London School of EconomicsEuropean Institute / Hellenic Observatory

J a n u a r y 2 0 1 2

Social Policy and Social Justice in Greece:The Unfair Deficit

Dimitris Venieris

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G u i d e l i n e s

• A violent and ‘blind’ social reform in Greece

• Social justice by pursuing tangible aims and by redistributing intangible resources

• Social policy is also about values

• A low cost social policy (solidarity patterns and citizenship rights) for a country richer irrespective of the political/economic crisis

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Framework

• stark imbalances between social policy and social justice

• social policy in Greece never aimed at justice or at challenging inequalities

• ‘unfair deficit’ reinforcing national deadlocks• unequal consequences by the enforced social policy

retrenchment• prospects for social justice and social policy?

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A. Social Policy and Social JusticeI. The notion of social justice

• equality of rights and possibility to benefit from economic/social progress for all

• the conceptual model of justice has clear implications in public procedures

• is social justice is a notoriously difficult concept to define?

• a desirable balance between inequality and welfare

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I. The notion of social justice

• Hayek (1944) disputed the validity of the very idea of social justice

• Nozick (1974) proposed a free market system to allocate wealth irrespective of justice

• Rawls (1972) theory incorporates a strong element of social justice by redistribution of income, wealth and power to the advantage of the worst off

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I. The notion of social justice

• one straightforward definition is about ‘how the good and bad things in life should be distributed among the members of a human society’ (Miller 1999)

• the redistribution paradigm of social justice is complemented with the recognition paradigm and the dimension of representation

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II. Social Policy and Social Justice: the discourse

• policies either to intervene/regulate or not• justice/redistribution according to need/wealth• distribution for greater equality / social rights• ‘social equality’, ‘equality of status’, ‘equality

of regard’ against social privilege• Rawls focuses on equality of opportunity• Redistributive taxation, egalitarian welfare and

market regulation prerequisites for efficient/just allocation

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1980s• ‘reviewing’ the notion of social justice(complex equality,

differential equality) / principlesof complex/differential justice

1990s• a controversial form of social justice (equality of obligation),

New Democrats/US - New Labour/UK • neutral equality - ‘fairness’, deregulated market, flexibility• social inclusion, equality of obligations/social responsibilities • differentiated equality of opportunity /‘statutory justice’• the poor have to change values and habits• meritocracy (opportunity/social mobility)

But, greater equality remains the prerequisitefor equality of opportunity / ‘fair inequality’

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III. The impact of social policy

on equalizing wealth, income and power?

• The welfare state has failed to deliver equality

• Welfare services are weakly egalitarian

• Modest redistribution supported by middle class

• Social policy / fair equality of opportunity / poor impact on social justice

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IV. Social (distributive) justice through Social Policy

• conceptual model of justice: major implications for social policy

• society needs justice and compassion

• privilege of inequality attached to offices, state regulated fair equality of opportunity

• welfare rights guarantee liberty and equality of opportunity after fulfilling basic critical needs

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IV. Social (distributive) justicethrough Social Policy

• Social justice implies redistribution justified on the understanding of equality and the belief that scarce commodities (healthcare, education, etc.) should be distributed less unequally than income

• The principle of ‘redistributive equality ’ (modify initial distribution, generate redistribution through universal welfare rights)

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IV. Social (distributive) justice through Social Policy

• arguments for common needs, for common citizenship and for democracy

• arguments against poverty, social exclusion, discrimination

• arguments for recognition, dignity, healthy environment, family caring, work opportunities, etc.

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V. Social Policy Today

• class analysis and social movement theory• social justice procedures of equal opportunity, of

pluralism or of radical change?• welfare state: reconcile class and social movement

theories, reconsider social inequality• redistribution of non-economicresources (power,

access, opportunities) towards non-economicrights (dignity, diversity, plurality, autonomy)

• reallocation of cultural standing• ‘collective rights’ / differential equality• differential vs equal citizenship?

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VI. Prospects of justice through social policy during the global crisis?

• material basic needs by redistributive instruments• non-material needs and new forms of provision

(citizenship rights, market regulation)

R e c o n s i d e r1. issues(pluralism, cultural diversity, civil society) by

redistributing intangible resources/processes2. realities (boosting poverty, unemployment and

inequality) by redistributing vertically scarce economic resources

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VI. Prospects of justice through social policy during the crisis?

• a (post) crisis social policy / multidimensional ‘differential social justice’ / new priorities of lower social spending/new forms of egalitarian politics (provision of basic needs, empowerment of social participation, strengthening of citizenship rights)

• more just society and more activecivil society• democratic rights and communalduties• a new form of a‘communitarian welfare state’

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B. Social Policy and Social Justice in Greece

I. The pattern

controversial impact on social development,

unbalanced policies, absurd decisions,

social justice distortion, low need satisfaction,

high poverty rates,

weak political and solidarity patterns,

absence of social/financial planning

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I. The pattern

M a i n c h a r a c t e r i s t i c s

delayed/restricted universal welfare policies, contributory social transfers (pensions),

unrestricted/unjustified insurance privileges,

poor health/social assistance/social care services, distributional imbalance/administrative inefficiency,

inexistent family policy

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I. The pattern

• Inequality predominant feature(level, range, criteria financing) of benefits

• Inefficiency(deficient administrative capacity / waste of resources)

• Urgent reform(promotion of justice: enforcement of equalizing/redistributing policies, rationalization/ modernization of social administration)

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II. The politico-economic crisis

• 2010 international emergency plan (EU, IMF, ECB)/huge austerity and deregulatory reforms

• overall welfare state failure major cause

• ‘aid plan’: income cuts, tax increases, recession

• means: horizontal violent reductions / devaluation

• ends: alarming inequalities, no legitimacy

• f r a m e w o r k: national institutional, political and economic weaknesses, limits of EU coordination/ limitations of Eurozone solidarity

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II. The politico-economic crisis

In social policydiminishing social rights/welfare provisions

(pensions -in level, retirement/replacement rates; health, cost containment, rationalisation/reorganisation; social assistance dismantling; industrial relations

deregulation/devaluation)

Outcomespoverty, insecurity, commodification/privatisation,

inequality/injustice, loss of rights

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II. The politico-economic crisis

• argument: economic efficiency/low productivity

• way: diminishing social expenditure/welfare institutions towards an overall internal devaluation

• main victims: the most vulnerable

• the ‘new social policy pattern’: a creeping austerity economic policy

• social injustice: diminishes incomes and job opportunities, increases uncertainty, dismantles labour rights, intensifies need for descent employment/social protection

• middle-class / the new poor, stronger social division

• dramatic fall in living standards, welfare, available income

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III. The Change: towards a new social justice vision in Greece t o d a y

• neither class analysis, nor social movement theories

• representative institutions (political parties, trade unions)conservative/bureaucratic promoting interests, benefits, offices irrespective of justice/meritocracy

• civil society fragmented/weak

• Greek welfare capitalism connected with interests but not need

• old-fashioned/diverging ‘peculiarities’ the social policy explanatory framework

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III. The Change: towards a new social justice vision in Greece t o d a y

• individualism, residual welfare state, clientelism, dependency, inequality, anti-social vision, low protection, poor citizenship rights, primitive administration, more benefits to the more advantaged

• disputable distribution of vital ‘underneath’ resources (power, access, opportunities, cultural standing, rights of minorities, participation/ empowerment)

• a contested form of differential anti-citizenship(sociopolitical status/non equalising criteria)

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T o d a y (limited resources/large problems)

a real distributive social justice pattern / an ‘emergency social policy’ / a new multidimensional protection scheme1. basic material needs (minimum income, health, education)2. equalizing/redistributing non-material resources (power, access, merit, opportunities)3. safeguarding citizenship rights/communal duties

A N e w P o l i c y :• poor in economic but sufficient in sociopolitical

resources/legitimacy• inclusive ‘differential social justice’

(individual/community,‘active citizenship’).

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Current featurescrudely liberal Greek State /

divided Greek societya non-State (common good, coherent social

minimum basis, duties/rights?)

A strategic reform plan(communitarian ideas/social solidarity)

Today: basic needsTomorrow : reshaping patterns,

enhancing collective spirit, changing social behaviour.

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Conclusions

• Social justice elements: rights, dignity, voice, economic, social and political empowerment

• Greece deficient in every element• Strategy for social justice / economic progress• ‘Greek social justice’ / l e g i t i m a c yin:1. Social (fair/descent social policy)2. Economic (rational/effective funding and

administration)3. Political (institutional framework/citizenship

procedures)Conditions for descent employment

and adequate social protection?

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• deeper economic-political union in Europe/ reinvigoration of European Social Model?

• policy alternatives for social equality/cohesion• a balancedsocial policy mix (meritocracy/equality,

individualism/liberty)1. distribution of non-economic resources (universal

basic services)2. redistribution of non-economic resources

(opportunities, recognition, power)3. universal/affordable income maintenance

Crucial prerequisites: fair taxation, reorganization of social administration

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A Greek form of a Rawlsian system

• of fair inequalities: a distributive mechanism for equalizing opportunities influencing both social

processes and outcomes• Distributional equality/social welfare (commitment to

more equality/redistribution)• A ‘too good to be true’ scenario?

• Structural social change or eternal institutional, economic and political underdevelopment(outside

Europe)

Next and worse crisis is forthcoming?

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Postmodern Social Policy Paradigm

• State, civil society, distributive justice

• Reconciling class and social movement analysis

• Reconsidering social inequality

• Incorporating social participation/welfare provision

• Commitment for less inequality and more justice

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What is the kind of society in which we want to live?

Crisis, redistribution, respect, recognition, individual lives, social relations

I n G r e e c eConsider the outcome of past policies/practices

on lives and relations today Re-consider the prospects to change

for tomorrow

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