New EU regulation proposal: Stronger support for social enterprises like Humana Nova

Good news from Brussels! The new European regulation proposal on state aid (General Block Exemption Regulation, or GBER) could be a major win for social enterprises like Humana Nova.

The proposal is currently under public consultation, and the RREUSE network, a European-wide organisation of social enterprises that focus on reuse, repair, and recycling, has been actively involved in shaping it.

According to RREUSE’s analysis, the proposal brings a number of positive changes that directly benefit organizations like ours, especially in the fields of textile reuse, the employment of vulnerable groups and the development of the circular economy.

In late April, Humana Nova’s director, Ivan Božić, traveled to Brussels for the RREUSE annual meeting. As a board member, he helped present ideas to the European Parliament on how to improve working conditions and secure the future of our entire sector.

What is changing?

Greater support for inclusive employment

First off, the proposal offers higher and longer-lasting support for hiring people who struggle to find work, including people with disabilities, the long-term unemployed and other vulnerable groups. Wage subsidies could cover up to 65% of costs, and up to 85% for people with disabilities. These supports would last for two to three years, which is longer than what is currently allowed.

Furthermore, the new definition of "disadvantaged workers" expands to include victims of violence, refugees, and young people at risk of poverty and social exclusion. Beyond just funding salaries, there will be more support for mentoring, education, and employee integration—practices that are at the very core of what we do.

Boosting the circular economy

There is also a push to increase investment in reuse and repair activities, which are the foundation of what Humana Nova does. Funding for these activities could cover up to 40% of the investment, with extra benefits for social enterprises.

By clearly defining and recognizing social enterprises as key players in a green and inclusive economy, this proposal should make it much easier for organizations like ours to access funding, loans, and tax breaks.

Why is this important?

For Humana Nova and the broader social economy, these changes represent an important step toward a more stable and sustainable business model. The document also acknowledges current challenges in the textile sector, such as the falling value of used clothing and the consequences of fast fashion. This only proves that local, sustainable solutions like ours are more important than ever.

While this proposal still needs to be officially adopted, the direction is clear: social enterprises and the circular economy are taking on an increasingly vital role in European policy.

For Humana Nova, adopting this proposal means new opportunities to expand our textile processes, create more jobs, and make an even stronger positive impact on both society and the environment. We will continue to monitor these regulations and advocate for solutions that contribute to a more sustainable and just world.

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