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Belgium:
towards a multilevel welfare state?


Peter Bursens
Antwerp Centre for Institutions and Multilevel Politics
Department of Political Science
towards a multilevel welfare state?


Multiple pressures to decentralise welfare state policies away from
the federal level:
        institutional preferences of regional political elites
        policy preferences of regional political elites
        impact of European integration and globalisation
        regional identity building by regional political elites
        deadlock at the federal level



Result: upwards and downwards hollowing out of the federal level
or evolution towards a multilevel welfare state ?




                                                                      2
towards a multilevel welfare state?


    institutional preferences of regional political elites:

         regional elites prefer to take over from the federal level those
policy domains that are not or will not be covered extensively by           the
European level
         => welfare state policies are targeted by regional elites


    policy preferences of regional political elites:

         diverging social-economic parameters trigger diverging policy
preferences and calls for decentralisation of these policies
         => welfare state policies are targeted by regional elites




                                                                                  3
towards a multilevel welfare state?

    impact of European integration and globalisation:
        federal level looses monopoly as a public goods supplier

        increasing competition forces states to focus on the most
competitive regions

        => this strengthens economic heterogeneity and triggers electoral
        success of regionalist parties in strong economic regions


    regional identity building by regional political elites:

        welfare state policies are used as instruments of nation building:
        regions look for policy ownership




                                                                             4
towards a multilevel welfare state?


federal level deadlock:

    large numbers of veto players at the federal level lead to deadlock,
    non decisions and leave little room for policy innovation

    => welfare policies are targeted by regional political elites



=> Will these factors, including European integration, eventually lead
    to the creation of an autonomous regional welfare state?




                                                                           5
towards a multilevel welfare state?


    Hollowing out of the federal welfare state towards the EU?



    Cultural heterogeneity and divergent political preferences provide only
limited incentives to upload social (security) policies strictu sensu to the
European level

    But: the EU becomes increasingly active in supplementing, supporting
and coordinating national policies

    => the federal welfare state survives, but as a part of a European
multilevel system




                                                                               6
towards a multilevel welfare state?


    Hollowing out of the federal welfare state towards the regions?



    Political preferences are so divergent among political elites that a
consensus on decentralising welfare state policies seems very unlikely

    At the same time, this triggers regional entities to develop social
policies in niches that are not yet (fully) covered by the federal level

    => the federal welfare state survives, but as a part of an intra-Belgian
         multilevel system




                                                                               7
towards a multilevel welfare state?


Conclusion:



   “What is emerging in Europe is a multileveled, highly fragmented
   system in which policy develops but is beyond the firm control of
   any single political authority’


   (Leibfried and Pierson, 1994 !!!)




                                                                       8
centralisation or decentralisation ?


Case: Flemish Care Insurance (Vlaamse Zorgverzekering)
   - Flemish system of personal assistance on top of federal social
   security arrangements for those living and working in Flanders
   - after complaints by the French Community, the ECJ ruled that it
   should also apply to EU citizens living outside Flanders (also in
   Wallonia) but working in Flanders (but not to Belgian citizens living in
   Wallonia but working in Flanders)
   - crucial is that the ECJ did not mingle in domestic policies and
   therefore indirectly affirmed the Flemish authority to develop social
   policies complementary to federal social security benefits
   ⇒In this case, the tendency towards more autonomy was indirectly
   supported by ‘Europe’
   However, this ‘victory’ has triggered the Flemish government to
   announce the development Flemish child allowances and hospital
   insurance. It is yet unclear how the ECJ will react to these intentions.


                                                                           9

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Towards a multi-level welfare state in Belgium?

  • 1. Belgium: towards a multilevel welfare state? Peter Bursens Antwerp Centre for Institutions and Multilevel Politics Department of Political Science
  • 2. towards a multilevel welfare state? Multiple pressures to decentralise welfare state policies away from the federal level: institutional preferences of regional political elites policy preferences of regional political elites impact of European integration and globalisation regional identity building by regional political elites deadlock at the federal level Result: upwards and downwards hollowing out of the federal level or evolution towards a multilevel welfare state ? 2
  • 3. towards a multilevel welfare state? institutional preferences of regional political elites: regional elites prefer to take over from the federal level those policy domains that are not or will not be covered extensively by the European level => welfare state policies are targeted by regional elites policy preferences of regional political elites: diverging social-economic parameters trigger diverging policy preferences and calls for decentralisation of these policies => welfare state policies are targeted by regional elites 3
  • 4. towards a multilevel welfare state? impact of European integration and globalisation: federal level looses monopoly as a public goods supplier increasing competition forces states to focus on the most competitive regions => this strengthens economic heterogeneity and triggers electoral success of regionalist parties in strong economic regions regional identity building by regional political elites: welfare state policies are used as instruments of nation building: regions look for policy ownership 4
  • 5. towards a multilevel welfare state? federal level deadlock: large numbers of veto players at the federal level lead to deadlock, non decisions and leave little room for policy innovation => welfare policies are targeted by regional political elites => Will these factors, including European integration, eventually lead to the creation of an autonomous regional welfare state? 5
  • 6. towards a multilevel welfare state? Hollowing out of the federal welfare state towards the EU? Cultural heterogeneity and divergent political preferences provide only limited incentives to upload social (security) policies strictu sensu to the European level But: the EU becomes increasingly active in supplementing, supporting and coordinating national policies => the federal welfare state survives, but as a part of a European multilevel system 6
  • 7. towards a multilevel welfare state? Hollowing out of the federal welfare state towards the regions? Political preferences are so divergent among political elites that a consensus on decentralising welfare state policies seems very unlikely At the same time, this triggers regional entities to develop social policies in niches that are not yet (fully) covered by the federal level => the federal welfare state survives, but as a part of an intra-Belgian multilevel system 7
  • 8. towards a multilevel welfare state? Conclusion: “What is emerging in Europe is a multileveled, highly fragmented system in which policy develops but is beyond the firm control of any single political authority’ (Leibfried and Pierson, 1994 !!!) 8
  • 9. centralisation or decentralisation ? Case: Flemish Care Insurance (Vlaamse Zorgverzekering) - Flemish system of personal assistance on top of federal social security arrangements for those living and working in Flanders - after complaints by the French Community, the ECJ ruled that it should also apply to EU citizens living outside Flanders (also in Wallonia) but working in Flanders (but not to Belgian citizens living in Wallonia but working in Flanders) - crucial is that the ECJ did not mingle in domestic policies and therefore indirectly affirmed the Flemish authority to develop social policies complementary to federal social security benefits ⇒In this case, the tendency towards more autonomy was indirectly supported by ‘Europe’ However, this ‘victory’ has triggered the Flemish government to announce the development Flemish child allowances and hospital insurance. It is yet unclear how the ECJ will react to these intentions. 9