Saturday, June 6, 2009

On "Flexicurity"

Originally Written: 28/1/2008

Flexicurity, ie systems that give employers flexibility in firing (and thus an added incentive in hiring) while offering employees security (eg in Denmark via a comprehensive unemployment benefits and re-training system operated by state agencies, with a higher taxes trade off for companies) is still well in the EU's policy and political agenda, including that of the so called European Social Partners (BUSINESSEUROPE, ETUC, etc).

There are many types of flexicurity models. In Germany flexicurity allows companies to move employees to new posts. The Danish model was agreed by employers and trade unions at their own initiative and approved by government (on the taxes part, I guess).

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