Competitiveness is not an end in itself. It is only a sensible objective if it improves people's well-being in practice. The EESC therefore recommends that an updated definition of competitiveness ("competitiveness 2.0") be used in future, taking into account "the ability of a country to deliver the beyond-GDP goals for its citizens". The EESC urges that future discussions refer not to "competitiveness boards" but to "boards for competitiveness, social cohesion and sustainability". The EESC asks the Commission to present concrete proposals on how the following necessary requirements with regards to these boards can be safeguarded: accountability, legitimacy and transparency; representation of balanced unbiased expertise; non-binding character of proposals of the boards; inclusion of the dual role of wages, both as a cost factor and as the main determinant of domestic demand.
The EESC believes that income and wealth inequalities in the EU have become economic and social challenges that should be addressed with appropriate measures at national level and with the support of EU-level action.
A well-functioning system of social transfers and social assistance is thus needed. Fiscal redistribution should to a large extent complement the gaps in the market system. Public assets (social infrastructure, facilities for services in the public interest, etc.) should be developed as a means of addressing inequalities. And fiscal income should be shifted from labour-based taxation towards a more wealth-based one, with taxation on inheritance and capital income. Overall, Intensive economic growth is key to reducing poverty and wealth inequalities.
The EESC welcomes the reforms aimed at increasing high-quality investment and productivity growth, inclusiveness and institutional quality, and to ensure macro-financial stability and sound public finances. The EESC also welcomes the recognition of the need for investment focused on education and training and the need to strengthen the EU’s social dimension. However, it remains to be specified how these objectives are to be achieved. The EESC underlines that progress is very slow and proposals often rather modest in areas where new policies have been proposed, including fair taxation, the banking union and the functioning of the euro area. Moreover, the EESC recognises the importance of addressing climate change but measures so far adopted remain insufficient.