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Flexicurity – a new buzzword in EU labour market policy Jochen Clasen

Flexicurity – a new buzzword in EU labour market policy Jochen Clasen School of Social and Political Studies University of Edinburgh paper to be presented to: Scottish Policy Innovation Forum ‘Social policy, employment and the active labour market’, Edinburgh 1 November 2007.

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Flexicurity – a new buzzword in EU labour market policy Jochen Clasen

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  1. Flexicurity – a new buzzword in EU labour market policy Jochen Clasen School of Social and Political Studies University of Edinburgh paper to be presented to: Scottish Policy Innovation Forum ‘Social policy, employment and the active labour market’, Edinburgh 1 November 2007

  2. flexibility: • numerical (internal; external) • functional (skill adjustment) • wage • security: • job • employment • income • combination • always a trade-off or combinations and different paths towards ‘flexicurity’ (Employment in Europe, 2006)?

  3. T. Wilthagen’s dimensions of flexicurity and security (flexicurity matrix)

  4. Standardised unemployment rates and employment/population ratios Source: OECD Employment Outlook (2007)

  5. Average annual hours actually worked per person in employment Source: OECD Employment Outlook (2007)

  6. Labour force participation rates; men: 25 to 54

  7. Comparing flexibility and security • unemployment protection (passive labour market policy) • active labour market policy • employment protection

  8. Unemployment benefit replacement ratios; % of previous earnings, 2004 Source: OECD Benefits and wages; (summary: over 3 family types, 3 durations, 2 earnings levels);

  9. Active labour market policy: public expenditure as a percentage of GDP in 2005 Source: OECD Employment Outlook (2007)

  10. Summary indicators of the strictness of employment protection legislation (EPL) Source: OECD Employment Outlook (2004)

  11. General profile of labour market success countries

  12. Denmark • combines: flexible labour markets (low EPL), generous UP & emphasis on (right and duty) of ALMP (‘golden triangle’) • high external-numerical flexibility; high income security; high employment security • role of social partners important

  13. Earnings dispersion: 9th to 1st earnings deciles Source: OECD Employment Outlook (2007)

  14. The Netherlands • reducing dismissal protection (core workers) but improving social security rights for atypical work (flexible workers) • promoting (better protected) part-time work • role of social partners important (wage moderation deal in 1980s)

  15. Part-time employment: men and women working part-time and pte as share of total employment (2006) Source: OECD Employment Outlook (2007)

  16. ……so what? • what could all of this mean for Scotland – if anything?

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