On the 20th of March, the European Parliament hosted the official launch of Dom&Care Value, an innovative economic simulator designed to help policymakers assess the return on investment of indirect care services. This event brought together key stakeholders, including representatives from European institutions, researchers, and social partners, to discuss how formalising and supporting domestic and home care work can generate economic, social, and employment benefits.
Why This Event is Crucial Today
As highlighted by Aude Boisseuil, General Delegate of EFFE, the economic and social challenges of the Personal and Household Services (PHS) sector demand urgent attention. With the number of people over 50 requiring long-term care expected to increase by 21% by 2070, the demand for care services is rapidly growing. At the same time, undeclared work represents up to 50% of the home care sector, leading to significant tax losses, poor working conditions, and labour shortages. Without structured policies, many informal caregivers—predominantly women—are forced to leave the workforce, exacerbating gender inequalities and economic pressures.
Balancing Work and Family: The Key Challenge
As highlighted by Jean-François Lebrun, expert in PHS work, the simulator aims to support better work-life balance policies, allowing individuals—particularly women—to choose between professional careers and caregiving responsibilities. Across Europe, 10 billion hours of care work are outsourced formally or through undeclared labour, while 80% of necessary care is still provided informally by families. Without structured policies, informal caregivers face limited choices and financial instability.
A Tool for Smarter Public Investment
The Dom&Care Value simulator was developed as an instrument for policymakers to evaluate how to best allocate public funds to support home and indirect care. The data reveals significant disparities across EU Member States:
This lack of formalisation not only affects workers’ rights but also reduces tax revenues and social security contributions. By supporting formal employment, governments can both reduce undeclared work and create stable, recognised jobs in the sector.
Key Takeaways from the Discussions
Participants underlined that the Dom&Care Value simulator is a practical tool that can be integrated into policymaking, helping Member States demonstrate the benefits of formalising the home and indirect care sector. By using real data, the simulator provides clear insights into how strategic investments can maximise economic and social returns.
Miron Podgorean, member of the Cabinet of Executive Vice-President Roxana Mînzatu, emphasised that while technological advances and online platforms are reshaping labour markets, they also risk increasing undeclared work and worker vulnerability. Smart investments in the care sector are crucial to prevent this.
Aude Boisseuil stressed the importance of social dialogue to improve working conditions but underlined that Member State support is essential. Without social protections, domestic and home care work will remain in the informal economy.
The Role of the European Union
Idoia Mendia, MEP and host of the event, made a strong case for integrating the domestic and home care sector into EU policies. She emphasised that this sector should be considered one of the key challenges that the European Parliament must address. While care policies remain a national competence, the EU has a key role to play. Supporting families with care subsidies and social incentives has proven economic benefits, including reducing the impact of aging populations and ensuring women’s freedom of choice in the labour market. Collaboration with civil society will be essential in driving these policies forward.
Next Steps: Encouraging the Use of Dom&Care Value
The simulator serves as a starting point for evidence-based policymaking, helping governments and stakeholders assess the real cost and return on investment of care policies. Key areas of focus moving forward include:
As Marie Béatrice Levaux, President of EFFE, reminded, families are not yet organised as representative bodies in all Member States. Ensuring their voices are heard will be essential to integrating care into national and European policies. Investing in indirect care is not just a social necessity but an economic opportunity, with every €1 invested generating measurable socio-fiscal returns.
The Dom&Care Value simulator is now available for policymakers, researchers, and stakeholders to explore. We invite you to test it, compare national data, and use it as a tool to shape smarter, more inclusive care policies.