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Deregulation of Placement Services. The Case of Austria


  • Gudrun Biffl



Labour market mechanisms are being transformed, as the composition of labour supply and demand are changing in the wake of demographic changes and industrial reform and restructuring. In the course of the implementation of new organisations of work, labour turnover increased significantly since the mid 1980s. As a result, the Labour Market Service was faced with an increasing mismatch between jobs advertised and unemployed registered with them. The skill and occupational composition of the unemployed becomes more heterogeneous, while the job vacancies registered with the LMS remain traditional. This is a major challenge for job matching, the core business of the LMS. The Public Employment Services (the Austrian Labour Market Service) responded to the problem with deregulation and privatisation in the late 1980s and the 1990s. However, the reforms were half-hearted and did not embrace the potential for public-private partnerships in job matching. Thus, the problem of an increasing mismatch between labour supply and demand remains an open issue.

Suggested Citation

  • Gudrun Biffl, 2000. "Deregulation of Placement Services. The Case of Austria," Austrian Economic Quarterly, WIFO, vol. 5(1), pages 35-51, February.
  • Handle: RePEc:wfo:wquart:y:2000:i:1:p:35-51

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    Cited by:

    1. Gudrun Biffl, 2004. "Health and Employment Status. The Case of Austria," WIFO Working Papers 219, WIFO.
    2. Helmut Mahringer, 2000. "The Dynamics of Labour Market Entry and Job Search Channels. A Study of the Styrian Labour Market," WIFO Monatsberichte (monthly reports), WIFO, vol. 73(2), pages 123-136, February.
    3. Gudrun Biffl, 2014. "Case Study: Independent migration commissions in Europe: The case of Austria," Migration Letters, Transnational Press London, UK, vol. 11(1), pages 43-53, January.


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