This panel aims to analyse the alterations of the EU governance structure in responding to the 2008 financial crisis and its various effects on different European political economies and welfare states. It is interested, firstly, in analyzing shifts in EU institutions and the emergence of new governance mechanisms - most of them austerity-related - to cope with the consequences of financial-economic implications, as well as the re-ordering of existing ones, in particular, EU social policy instruments (such as OMC and peer reviews). Moreover, the panel considers crisis ‘spillovers’ on other governance mechanisms related to the EU2020 strategy, e.g. in the environmental sphere. Secondly, it will explore outcomes in terms of welfare state reforms in EU member states and their results, which may differ depending on countries' financial challenges and welfare state configurations. Finally, this panel contributes to the debate about the changing nature of boundaries and competences between the EU and member states in the area of social and labour market policy.