Countries in Latin America (LA) and the European Union (EU) exhibit distinct development paths. In LA, the levels of coverage on social welfare are underdeveloped, and the relatively low levels of human capital require considerable investments. However, both regions are facing similar social challenges today. Productivity is weak, and inequalities and social discontent have risen in both regions. Moreover, following the case of Europe, populations are getting older in LA, and both regions should adopt a new development model to increase well-being in the context of key global trends, including digital transformation, green transition, and migration. Overall, a common approach is needed in both regions: implementing a social contact to improve the well-being of all citizens. Based on the common characteristics and objectives to promote stronger democracies and better well-being, this chapter argues the importance of promoting concrete actions through a renewed social contract to support countries in their paths toward better development.