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Globalization and deregulation : Does flexicurity protect atypically employed?

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  • Tangian, Andranik
  • Seifert, Hartmut
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    Abstract

    Hitherto, discussion of flexicurity has focused on normal employment (permanent full-time), with atypical work receiving only cursory attention. Nevertheless, the most affected are just atypically employed (= other than normally employed). To monitor effects of flexicurity policies in Europe, flexicurity indices are constructed from: (a) scores of the strictness of employment protection legislation provided by the OECD, (b) qualitative juridical data on social security benefits (unemployment insurance, public pensions, etc.), and (c) data on the dynamics of employment types (permanent, temporary, full-time, part-time, self-employed, etc.). The empirical investigation shows that, contrary to political promises and theoretical opinions, the deregulation of European labour markets absolutely predominates. Its moderate compensation by advantages in social security occurred only twice: in Denmark and Netherlands at the end of the 1990s. The flexibilization reduces the average employment status, i.e. employees are more often employed not permanently but temporarily, not full-time but part-time, and more frequently they involuntary turn to self-employment. On the other hand, the eligibility to social benefits depends on the employment status. Thereby these trends disqualify employees from social benefits. The apparent compensation of the labour market deregulation by social advantages is therefore insufficient. --

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    Bibliographic Info

    Paper provided by Wirtschafts- und Sozialwissenschaftliches Institut (WSI), Hans-Böckler-Stiftung in its series WSI Discussion Papers with number 143.

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    Date of creation: 2006
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    Handle: RePEc:zbw:wsidps:143

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    Related research

    Keywords: flexicurity; labour market flexibility; atypical employment; social security; composite indicators;

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    References

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    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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    1. Eckhard Hein & Achim Truger, 2004. "Macroeconomic co-ordination as an economic policy concept – opportunities and obstacles in the EMU," Macroeconomics 0412007, EconWPA.
    2. Eckhard Hein & Thorsten Schulten, 2004. "Unemployment, wages and collective bargaining in the European Union," Macroeconomics 0412006, EconWPA.
    3. Eckhard Hein & Thorsten Schulten & Achim Truger, 2004. "Wage trends and deflation risks in Germany and Europe," Macroeconomics 0412008, EconWPA.
    4. Tangian, Andranik S., 2004. "Liberal and trade-unionist concepts of flexicurity: Modelling in application to 16 European countries," WSI Discussion Papers 131, Wirtschafts- und Sozialwissenschaftliches Institut (WSI), Hans-Böckler-Stiftung.
    5. Eckhard Hein, 2007. "Interest Rate, Debt, Distribution And Capital Accumulation In A Post-Kaleckian Model," Metroeconomica, Wiley Blackwell, vol. 58(2), pages 310-339, 05.
    6. Eckhard Hein, 2005. "Die NAIRU – eine post-keynesianische Interpretation," Macroeconomics 0501009, EconWPA.
    7. Tangian, Andranik S., 2004. "Defining the flexicurity index in application to European countries," WSI Discussion Papers 122, Wirtschafts- und Sozialwissenschaftliches Institut (WSI), Hans-Böckler-Stiftung.
    8. Seifert, Hartmut, 2004. "Flexibility through working time accounts : reconciling economic efficiency and individual time requirements," WSI Discussion Papers 130, Wirtschafts- und Sozialwissenschaftliches Institut (WSI), Hans-Böckler-Stiftung.
    9. Tangian, Andranik S., 2005. "Composite indicator of German regional policy and its use for optimizing subsidies to regional labour markets," WSI Discussion Papers 138, Wirtschafts- und Sozialwissenschaftliches Institut (WSI), Hans-Böckler-Stiftung.
    10. Schulten, Thorsten, 2004. "Foundations and Perspectives of Trade Union Wage Policy in Europe," WSI Discussion Papers 129, Wirtschafts- und Sozialwissenschaftliches Institut (WSI), Hans-Böckler-Stiftung.
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