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Making Employment More Inclusive in the Netherlands

Author

Listed:
  • Mark Baker
  • Lindy Gielens

Abstract

The Dutch labour market has recovered and the unemployment rate has been converging towards pre-crisis levels. Non-standard forms of work have expanded with a strong trend towards self-employment and an increased reliance on temporary contracts. These developments may reflect a preference of some individuals for a more flexible working relationship, but they could also lower job security and job quality for others. Policies need to protect vulnerable groups in the more dynamic working environment without creating barriers to labour mobility and flexibility of the overall labour market. To improve the fairness of the tax system, policies should ensure a more level playing field between workers on different types of contracts. Regulatory policies should aim at raising labour market mobility to improve the matching of skills to jobs by easing the protection on permanent employment contracts and through a more targeted approach to activation policies for disadvantaged groups. Finally, measures should improve the skills of individuals in vulnerable groups to enhance their opportunities to find better jobs.This Working Paper relates to the 2018 OECD Economic Survey of the Netherlands 2018(www.oecd.org/eco/surveys/economic-survey-the netherlands.htm).

Suggested Citation

  • Mark Baker & Lindy Gielens, 2018. "Making Employment More Inclusive in the Netherlands," OECD Economics Department Working Papers 1527, OECD Publishing.
  • Handle: RePEc:oec:ecoaaa:1527-en
    DOI: 10.1787/da8bc5c4-en
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    More about this item

    Keywords

    labour market policy; non-standard work; skills; tax and benefits; work incentives;

    JEL classification:

    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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