You are here: Home Knowledge Base Economy Creating Employment
Symposium 2008

Creating Employment

The Challenge

Many people in the developed world are not participating in the growth of the world economy. In some countries, unemployment remains high, whereas others suffer from the problems of the working poor. What are the most effective policies for creating employment – particularly in well-paid, satisfying jobs – in OECD countries?

How does the choice of these policies depend on what other policies are in place elsewhere in the welfare system? What role can business play in creating employment? What interplay between public policy and private enterprise enables the poor to benefit from the globalization process?

    Solutions

    Solution
    Symposium 2008

    In various OECD countries, stimulate employment of older workers by reducing incentives for early retirement.

    In various OECD countries, stimulate employment of older workers by reducing incentives for early retirement.

    In various OECD countries, stimulate employment of older workers by reducing incentives for early retirement.

    Polity, Civil Society
    Solution
    Symposium 2008

    Pursue policies to provide work and work incentives for disabled people.

    Pursue policies to provide work and work incentives for disabled people.

    Pursue policies to provide work and work incentives for disabled people.

    Polity, Business, Civil Society
    Solution
    Symposium 2008

    Stimulate the participation of women in the labor forces of various OECD countries, particularly through reform of the tax system and childcare provision.

    Stimulate the participation of women in the labor forces of various OECD countries, particularly through reform of the tax system and childcare provision.

    Stimulate the participation of women in the labor forces of various OECD countries, particularly through reform of the tax system and childcare provision.

    Polity
    Solution
    Symposium 2008

    Redesign welfare systems so as to strengthen individual incentives for job search and for work, such as through hiring and wage subsidies, as well as payroll tax reductions, instead of ...

    Redesign welfare systems so as to strengthen individual incentives for job search and for work, such as through hiring and wage subsidies, as well as payroll tax reductions, instead of generous and pr ...

    Redesign welfare systems so as to strengthen individual incentives for job search and for work, such as through hiring and wage subsidies, as well as payroll tax reductions, instead of generous and prolonged unemployment benefits. Remove institutional barriers to supplying labor, especially in the tax and social security system.

    Polity
    Solution
    Symposium 2008

    Use retraining subsidies for the long-term unemployed and low-skilled workers to strengthen the market power of labor market “outsiders.”

    Use retraining subsidies for the long-term unemployed and low-skilled workers to strengthen the market power of labor market “outsiders.”

    Use retraining subsidies for the long-term unemployed and low-skilled workers to strengthen the market power of labor market “outsiders.”

    Polity
    Solution
    Symposium 2008

    Use demand management policies to boost employment in countries with high unemployment and where labor supply is sufficiently flexible to respond to variations in product demand.

    Use demand management policies to boost employment in countries with high unemployment and where labor supply is sufficiently flexible to respond to variations in product demand.

    Use demand management policies to boost employment in countries with high unemployment and where labor supply is sufficiently flexible to respond to variations in product demand.

    Polity
    Solution
    Symposium 2008

    Promote deregulation and encourage entrepreneurship and investment to boost employment.

    Promote deregulation and encourage entrepreneurship and investment to boost employment.

    Promote deregulation and encourage entrepreneurship and investment to boost employment.

    Polity, Business, Civil Society
    Solution
    Symposium 2008

    Consider unemployment accounts as a possible option to provide incentives for unemployed workers.

    Consider unemployment accounts as a possible option to provide incentives for unemployed workers.

    Consider unemployment accounts as a possible option to provide incentives for unemployed workers.

    Polity, Civil Society
    Solution
    Symposium 2008

    In various OECD countries, promote the employment of minority groups through education reforms designed to promote social integration.

    In various OECD countries, promote the employment of minority groups through education reforms designed to promote social integration.

    In various OECD countries, promote the employment of minority groups through education reforms designed to promote social integration.

    Polity, Civil Society

    Proposals

    Proposal
    Symposium 2008

    Points about the unemployment problem

    When fighting unemployment, supply-side policies and demand-side policies are highly complementary. Supply-side policiesThe most “lenient” type of supply-side policy in the labor market is probabl ...

    When fighting unemployment, supply-side policies and demand-side policies are highly complementary. Supply-side policiesThe most “lenient” type of supply-side policy in the labor market is probably attempts to strengthen the market powers of labor-market “outsiders”, i. e. unemployed workers, individuals living on different types of social benefits, and new entrants to the labor market (including immigrants). Obvious examples of such policies are so called active labor market policies (ALMP), including retraining and employment subsidies for long-term unemployed and individuals with little appropriate skills. In countries, such as the US and the UK, where the wage dispersion is huge, and the number

    Polity, Business
    Proposal
    Symposium 2008

    Creating Employment

    A bit of perspective Higher employment will boost output and real income. It is also usually good for government budgets. Hence a need to ensure that government policies do not unnecessarily create ba ...

    A bit of perspective Higher employment will boost output and real income. It is also usually good for government budgets. Hence a need to ensure that government policies do not unnecessarily create barriers to employment. It does not follow that policy should aim to maximise employment at any price. First, the ideal is for people to be free to choose how much they wish to work so as to maximise their welfare based on appropriate incentives. Second, the pursuit of legitimate policy objectives – for example in the social field – may skew incentives away from work. In such

    Polity, Business, Civil Society
    Proposal
    Symposium 2008

    ICT’s contribution and essential policy steps towards a globalised network economy

    Information and communication technologies (ICT) have been the major driving force for new enterprises, new services and major new developments in production in recent years. ICT contribute about 40 p ...

    Information and communication technologies (ICT) have been the major driving force for new enterprises, new services and major new developments in production in recent years. ICT contribute about 40 percent of productivity growth and one quarter of overall economic growth in the European Union. The economic benefit it creates is most significant in explaining employment growth. ICT is key driver of economic growth because it increases productivity and generates new consumer services within the sector, but most of all it creates additional employment in interrelated industries. The communication-sector significantly contributes to the development of worldwide economies. Telecommuni¬cations bridge distance

    Polity, Academia, Business, Civil Society
    Proposal
    Symposium 2008

    Creating Employment

    Economic research has shown that across industrial countries unemployment rates are highly correlated with measures of the generosity of the welfare system. In particular, there seems to be a close co ...

    Economic research has shown that across industrial countries unemployment rates are highly correlated with measures of the generosity of the welfare system. In particular, there seems to be a close connection between the level of unemployment benefits and the duration of entitlements. In addition, the restrictiveness of the unemployment benefit system seems to play an important role. Given the theoretical and empirical evidence, reforms of the welfare system that strengthen the individual incentives for job search and for work in general should be high on the political agenda in many countries. One way to implement such reforms could be a

    Polity, Civil Society