Hoxha's successor Ramiz Alia was forced to introduce limited reforms in the late 1980s.

At an extraordinary congress on 10–13 June 1991, the PPSh voted to change its name to the PS in an effort to survive in the new system.

[14] Nano helped to reform the old Communist party and made it a member of the Socialist International.

[15] On 10 October 2005, Nano resigned as the chairman of the PS after losing the 2005 Albanian parliamentary election, and was succeeded by Edi Rama.

[16] Under Rama's lead, the PS formed the Alliance for a European Albania, which united several political parties.