* : URGENT message from the ETUC on the expected compromises for the Report A Revamped Long-Term Budget for the Union in a Changing World

Brussels, 02 April 2025

To: Members of the Budget Committee of the European Parliament

Dear Members of the European Parliament,

The ETUC is closely following the adoption process of the Report A Revamped Long-Term Budget for the Union in a Changing World. This week, the EMPL Committee adopted an important opinion, which we hope will be given due consideration.

The ETUC shared with all MEPs in the Budget Committee its proposals for the Post-2027 MFF. Please find our proposals in attachment. 

In the light of progresses made in EMPL vote, the ETUC invites the Budget Committee to confirm that: 

• Preserving the MFF’s mission for social, economic, and territorial cohesion especially with respect to fuelling cohesion policy and pursuing economic, and territorial cohesion. We agree with the EMPL Committee when stating that post-2027 MFF must be strategically aligned with the EU’s political aims, all equally and mutually valuable as per the TFEU, adding tangible value for the people in all regions of the Union.
• ESF+ must continue to be the key and primary instrument for supporting the Member States, people and regions in strengthening the social dimension of the Union, as long-time requested for enhancing social inclusion, equal opportunities provision and right to training, and warrant a minimum envelope to finance the Child Guarantee.
• The MFF size must be adequately increased, to enable the EU to respond to emergencies and ongoing challenges, confirming the relevance of  social conditionalities for resources allocated to the private sector. A specific fund should be activated in case of need to enable the EU to adequately respond to emergencies and ongoing challenges without diverting any resources from the long-term and permanent cohesion policy objectives.
• Strengthening a meaningful involvement of social partners, in line with the Partnership Principle. Social partners involvement should be (as proposed by EMPL Committee) guaranteed in the design, the implementation, the follow-up and the evaluation of funds at all levels, including technical assistance (TSI), with consistent financial resources allocated for capacity building, in order to empower social dialogue both at European and national level, to enhance social partners’ potential and the role of social dialogue, including in neighbourhood policies, enlargement and development cooperation.

Still, the ETUC considers that the European Parliament could do more to meet expectations of European workers and citizens, namely on investment financing, social conditionalities and MFF democratic and open governance. We encourage MEPs to consider the following points when agreeing on compromise amendments. 

• As affirmed in EMPL Committee Opinion the European Union needs a coherent, integrated public investment policy that is able to address the multiple challenges that Europe is now facing. The ETUC stresses the importance of establishing an EU Investment Facility beside the MFF, financed through the issuance of EU debt at a scale sufficient to bridge the persistent gap in public investment. The Competitiveness Fund itself should not be financed by the MFF but incorporated in the EU Investment Facility (EMPL adopted text) to invest in sectors and industries that are essential to strengthen the EUs strategic autonomy, the digital and green transitions and contribute significantly to the EU competitiveness, respecting social conditionalities.
• The ETUC also welcomes the vote in DG EMPL when it stresses that the EU budget must include social conditionality, with the social dimension of EU spending becoming a cross-cutting criterion for all policy areas, including the development of a methodology for tracking social expenditure.
• We would also like to highlight potential risks associated with the "money for reform" principle. Lessons learned from the RRF underscore the necessity of an EU-financed investment facility. However, the approach of linking EU expenditures to European Semester priorities—through milestones and targets—has proven to be fragile and warrants a thorough assessment. We also agree that a leaner, more efficient MFF requires more robust resources, spent as close as possible to people and local administrations, as well as parliamentary accountability; 

Only by addressing these concerns can the post-2027 MFF truly meet the expectations of European workers.

We look forward to constructive cooperation with the Budget Committee.

Best regards,

Tea Jarc and Ludovic Voet
Confederal Secretaries