Transcript Labour Market Mobility in a Danish Perspective

The Three Elements of Flexicurity
Flexible
labour market
Social
security
system
Employment and
training
policy
Employment Security
Scale from 1-10 – the higher the number the more secure, 2001
(4,3)
(3,6)
(2,2)
(4,9)
(7,4)
(9,1)
(6,7)
(3,9)
(5,0)
(9,1)
(8,4) (10,8)
(4,0)
GR
PT
ES
FR
IT
UK
EIR
BE
FIN
DE
SE
NL
AT
(10,8)
DK
9
8
7
6
5
4
3
2
1
0
NOTE: Figures in brackets are unemployment rates in 2001.
SOURCE: CEPS (2004) and Eurostat.
9
8
7
6
5
4
3
2
1
0
Job Satisfaction
1999, per cent
SOURCE: European Foundation for the Improvement for
Living and Working Conditions (2004).
GR
IT
PT
50
ES
50
FR
60
UK
60
DE
70
EIR
70
FIN
80
SE
80
BE
90
AT
90
NL
100
DK
100
Average Job Tenure in OECD
Years
12
10
10
8
8
6
6
4
4
ICE
US
DK
UK
IE
NL
CZ
NO
HU
ES
CH
Fl
PT
PL
D
GR
SK
F
L
SE
B
IT
OECD
12
SOURCE: CEPS (2004).
Labour Market Regulation
Index of regulation, the lower the number the less regulation, 2003
4
4
3
3
2
2
1
1
0
0
UK IRL DK AT
IT
FI
SOURCE: OECD, 2004.
NL BE DE SE
EL
FR
ES
PT
Regulation and Unemployment
Unemployment, per cent 2003
12
12
SPA
GRÆ
FIN
ITA
9
TYS
BEL
FRA
Estimated line
USA
6
POR
UK
3
DAN
IRL
6
JAP
SVE
ØST HOL
3
Employment regulation index 2003
0
0
1
2
9
3
NOTE: A high index number reflects tight regulations.
SOURCE: OECD (2004).
4
0
Flexibility in Wage Setting
Per cent of employees where wages are negotiated:
Centrally
Locally, but minimum
Locally
wage centrally negotiated
4
20
15
34
65
62
1989
NOTE: DA/LO area.
SOURCE: DA.
2004
Flexibility in Working Hours
The 37 hours of work
per week is calculated as
an average over:
Share of employed
per cent
In 1998
In 2004
No flexibility
7
2
3 weeks – 6 months
24
7
6 months to 11 months
13
15
1 year or more
56
77
NOTE: The figures represents collective agreements for
approximately 90 per cent of the employees at the DA/LO area.
SOURCE: DA.
Mobility in the Wage Distribution
36
Per cent of employees in 1st wage decile who are
in a higher wage decile 1 year after. 1999-2000.
36
SOURCE: European Commission, 2003.
B
I
D
0
A
0
EL
6
EU
6
UK
12
FIN
12
NL
18
F
18
E
24
P
24
DK
30
IRL
30
Participation in Continuing Education
Per cent of employed, 2004
50
45
40
35
30
25
20
15
10
5
0
50
45
40
35
30
25
20
15
10
5
0
EL
IT
HU
ES
PT
PO
EIR
CZ
DE
LUX
BE
FR
AT
SL
CA
UK
SCH
USA
FIN
SE
DK
Source: OECD, Education at a Glance, 2005
Educational Costs at Company
Level
Per cent of total labour costs for educational training in
private companies, 1999
3,5
3,5
3,0
3,0
2,5
2,5
2,0
2,0
1,5
1,5
1,0
1,0
0,5
0,5
0,0
0,0
EL
PT
AU
ES
DE
BE
IT
LUX
NO
EU-15
FI
FR
EI
NL
SE
DK
SOURCE: Eurostat (2002).
Educational Attainment
Per cent of labour force (25-64 year-olds) with higher education
Canada
USA
Japan
Finland
Australia
Sweden
Belgium
Norway
New Zealand
Ireland
Denmark
UK
Spain
Netherland
Korea
Iceland
France
Germany
Greece
Mexico
60
50
40 30
2002
20
10
Canada
Japan
Belgiu
Finland
m
Spain
USA
Norway
Korea
Ireland
Sweden
Australia
France
UK
Denmark
Netherland
New Zealand
Iceland
Greece
Germany
Mexico
0
SOURCE: OECD (2004b) and DA (2004).
10
20
30 40
2020
50
60
Low Availability of Unemployed
Per cent of unemployed, 2003
Do not wish to work
Do not seek work
Not able to attend work
60
60
50
50
40
40
30
30
20
20
10
10
0
15-24
25-29
30-49
SOURCE: Statistics Denmark.
50-59
0
60-66 Years old
Making Work Pay
Incentives to work for the lowest paid
are small
26 per cent of the unemployed gain
less than 70 Euro/month if they get a
job.
12 per cent of the employed gain
less than 70 Euro/month compared
with the unemployment benefit.
5 per cent of the employed earn less
than if they were unemployed.
SOURCE: Rockwool Foundation (2003).
Expenditure on Labour Market Measures
Per cent of GDP
Active measures
Total measures
5
4
4
3
3
2
2
1
1
0
0
DK
NL
BE
GE
FIN
FR
SE
ES
EIR
AT
PT
SCH
NO
NZ
CA
AUT
UK
SL
JAP
USA
CHZ
5
SOURCE: OECD (2005).
GDP per capita
USA=100 calculated in PPP, 2003
100
100
80
80
60
60
40
40
20
20
0
0
USA
EU
SOURCE: OECD, 2004.
Denmark
Japan
Unemployment
Per cent
12
EU 15
10
8
Denmark
6
4
USA
Japan
2
0
'91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04
SOURCE: OECD Employment Outlook 2005
Employment rate
Per cent of 15-64 years old
1990
2004
100
90
80
70
60
50
40
30
20
10
0
100
80
60
40
20
0
EU15
Denmark
USA
SOURCE: OECD, Employment Outlook, 2005
Japan
Population – Working age
15-64 years old, index 2000=100
130
130
120
120
USA
110
100
Denmark
90
EU
80
Japan
70
60
110
100
90
80
70
60
2000 2005 2010 2015 2020 2025 2030 2035 2040
SOURCE: UN.
Flexible Regulation in Denmark
 Main Characteristics
Basic principles established more than 100 years ago
Regulation at company-level through collective
agreements
Disputes are handled by the two sides of industry solely
Employment Regulation
 Collective agreements the primary regulation:
Wages
Working time, overtime
Redundancies, shop stewards, extra holidays
Sickness pay, maternity leave, pension, training,
 Legislation only on specific topics:
Holidays
Health and safety
 Equal pay and equal treatment (sex, race, religion etc.)
Regulation by Framework Agreements
 Collective agreements cover aprox. 90 pct.
of the employeed in companies affiliated to
DA member federations
 Framework agreements
 Supplemented by agreements at company
level
Collective Agreements and Legislation
 Legislation is built on and in respect of
provisions in Collective Agreements
 The Social Partners have the prerogative
when implementing EU-Directives