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Convergence without hard criteria: Does EU soft law affect domestic unemployment protection schemes?

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Author Info

  • Paetzold, Jörg

    ()
    (University of Salzburg)

  • van Vliet, Olaf

    ()
    (Department of Economics, Leiden University)

Abstract

The European Employment Strategy (EES) aims to promote convergence of domestic labour market policies by soft law instruments. Previous studies on the impact of the EES are mainly focused on active labour market policies. The present study aims at explaining cross national variation in national passive labour market policies and unemployment benefit levels. Building on the most recent measures and pooled time series data, the empirical findings reveal the presence of a convergence process among the most advanced economies regarding passive labour market policy efforts, with the EES fostering this trend even further. Furthermore, our findings support the argument that the EES creates pressure on governments to reform domestic labour market policies, but this pressure varies across countries and over time. The results suggest that the recommendations from the European Council have contributed to unemployment benefit reform processes.

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Bibliographic Info

Paper provided by University of Salzburg in its series Working Papers in Economics and Finance with number 2012-9.

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Length: 36 pages
Date of creation: 09 Nov 2012
Date of revision:
Handle: RePEc:ris:sbgwpe:2012_009

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Related research

Keywords: Passive labour market policies; convergence; European Employment Strategy; Europeanization; Open Method of Coordination; welfare state;

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Cited by:
  1. Furlan, Benjamin & Oberhofer, Harald & Winner , Hannes, 2014. "A Note on Merger and Acquisition Evaluation," Working Papers in Economics and Finance, University of Salzburg 2014-2, University of Salzburg.
  2. Rathner, Sebastian, 2013. "The Relative Performance of Socially Responsible Investment Funds. New Evidence from Austria," Working Papers in Economics and Finance, University of Salzburg 2013-1, University of Salzburg.

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