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“Who does what” for active labour market policies: A zoom on the role of subnational governments

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  • OECD

Abstract

This paper maps “who does what” across levels of government in OECD countries in relation to active labour market policies (ALMPs), with a focus on the role of subnational governments. It highlights recent reforms in the multi-level governance of ALMPs in a number of countries, and shows that in about two out of five OECD countries, subnational governments have some type of formal competences for delivering ALMPs. It also shows other ways subnational governments are commonly involved in such policies. This includes delivering their own labour market programmes, often targeted to those farthest from the labour market or facing multiple barriers to employment. Finally, it considers some of the benefits and drawbacks of more decentralised approaches to ALMPs and offers some general principles for managing these trade-offs across different types of governance systems.

Suggested Citation

  • Oecd, 2023. "“Who does what” for active labour market policies: A zoom on the role of subnational governments," OECD Local Economic and Employment Development (LEED) Papers 2023/09, OECD Publishing.
    • Handle: RePEc:oec:cfeaaa:2023/09-en
    DOI: 10.1787/d8d6868d-en
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    More about this item

    Keywords

    active labour market policies; employment; multi-level governance;
    All these keywords.

    JEL classification:

    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy
    • H70 - Public Economics - - State and Local Government; Intergovernmental Relations - - - General

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