Policy strategy which is integrated and implemented to enhance labor


This expedition for a modern stableness, easing and maximise the conformity and ability which enables to run into with future alterations which occurs in an organisation or by persons that combined by flexicurity. Flexicurity can be identified in signifier of policy scheme which is integrated and implemented to heighten labour market flexibleness, companies and dealingss of employment at individual minute and in planned manner with security of employment and societal security. The chief purpose of flexicurity is to find balance between security of employment and security of income with labor market which is flexible, organized and its work and dealingss of employees. Exchange between flexibleness and security exceeds by this attack and at the beginning of this attack employer involvement is protects and ulterior involvement of employee.[ 1 ]

In modern sphere among all States of European Union the construct of flexicuirty is known as indispensable portion of scheme of European Employment and this scheme has been described by the European Council with its common rules. After execution of flexicuirty as a construct assorted states such as Denmark and Netherland can be consider as illustration that how labour market can go more dynamic with protecting societal security.[ 2 ]

The first portion of this literature has presented the development of flexicuirty as a construct on behalf of different economic conditions of last 20 old ages. Second, it has described that how flexicuirty is best suited to labour flexibleness with occupation security on behalf of some research workers. Third portion of this literature focuses upon elements and policies of flexicuirty with illustrations of most good provinces Denmark and Netherland. Fourth portion of this literature has presented that how common rules of flexicurity has been developed by the European Council for the intent to accomplish positive growing in labour market. In last it is stated that on behalf of available four tracts of flexicuirty a state can accomplish dynamic state of affairs of future labour market.[ 3 ]

Concept of Flexicurity:

Harmonizing to Wilthagen and Tros ( 2004, p. 170 ) – Flexicurity that provides a certain grade of occupation and consistent employment security by this manner a labour market can heighten its place from weak labour market calling and employers lifes to high labour market and societal inclusion and able to supply rewards, numerical and functional flexibleness. On behalf of this a labour market can do accommodations harmonizing to current clip for the intent to better productiveness and fight.[ 4 ]

Two European states Denmark and Netherland were involved in developments and arguments and on behalf of these developments thought of flexicurity was placed. The construct of flexicuirty is based on assorted certain fortunes and first clip came into being in the twelvemonth 1990 in the Netherland. At that clip Netherland was involved with Denmark for arguments and developments upon dismissal of employees for the intent to increase flexibleness in force of workers to supply better fortunes to endeavors to entree impermanent employees on fixed contracts. This measure has taken to protect the favour of general typical workers those have lower degree employment security and other right such as pension, benefits etc. in comparing with lasting employs.

On other manus some research workers have believed that, the first clip construct of flexicurity was utilized by Han dynasties Adriaansens ( Dutch sociogilst ) with mention to the Dutch Flexibility and Security Act during 1990. This Act emphasized upon unsure conditions of labor markets to protect exigency force of workers and establishes to revamp the conditions of labor markets for workers. Some perceivers defined that construct of flexicurity is cause of reform in the policies of labour market and those introduced by Danish socio- democratic authorities in the twelvemonth 1993. Therefore it represents two positions upon flexicurity by Dutch and Danish attacks.[ 5 ]

On behalf of two different attacks upon this subject Klammer and Tillmann has defined the construct of flexicurity as a policy which leads to set up balance between flexibleness and security. Or in other mode it can be defined as – by supplying fusion to flexible labour markets with computation of happening of hapless working category and growing of societal exclusion.

Flexicurity is an incorporate scheme which enables to digest labour market with suited flexibleness and security which is defined by the European Commission. There is another definition of flexicuirty that has developed on behalf of facts of labour market that defines equal public policy harmonizing to certain conditions of labor markets.[ 6 ]

Flexi-curity is best suited to labour flexibleness and occupation security:

Two attacks that are labour flexibleness and occupation security comes under flexicurity as a construct and suggests that labour flexibleness and occupation security both are possible at same clip because it acts like an oxymoron. Flexibility and security both are different signifiers of flexi-curity and on behalf of that policy of flexicurity can be defined that included single workers, group of workers, specific sectors or full economic system. For the intent to clear up policy of flexicurity, four dimensions matrix of flexibleness and security structured by Wilthagen and Tros ( 2004, p. 171 ) .[ 7 ]

Harmonizing to the Atkinson ‘s ( 1984 ) , there are four different types of flexibleness and security has been stated under the construct of flexicurity.

Flexibility of external numerical functions- simpleness of naming and let go ofing of employees and utilizing labor contracts which should be in flexible mode.

Flexibility of inter- numerical maps – that identifies at what extant a company can set harmonizing to run into with fluctuations of market.

Flexibility of maps – this shows capableness of an organisation to run into with new tendencies and how new accomplishments and developments can deployed in their employees.

Flexibility of Wages – capacity of a company to administer rewards harmonizing to public presentation and accomplishments of employees.[ 8 ]

Flexibility is a construct and that can be understood from both employers and employees point of position. In other mode we can place that flexibleness for employer poetries flexibleness for employees.

Harmonizing to the Wilthagen and Tros ( 2003 ; 2004 ) , four different types of security towards occupation have stated and these are as follows:

Security of Job – by manner of statute law of employment protection there is a certainty of continuing a peculiar occupation with same company or employer.

Security of employment – through development of preparation and accomplishments in employees there is certainty of acquiring paid but non certain about position of occupation, means with same company or employee.

Security of income – after completing or break in paid work there is security of acquiring sufficient and certain sum of gaining will have by an employee.

Combination of Security – harmonizing to work- life, an employee is able to unite work with their household members or others in footings of committednesss and duties.[ 9 ]

On behalf of two combinations ( flexibleness and security ) , policy of flexicuirty can be examined and flexibleness and security are able to supply elucidation upon single workers, groups of workers, specific sectors of economic system or full economic system. For the intent to categorise policy of flexicuirty, on behalf of four dimensions of flexibleness and security, matrix has been developed by Wilthagan and Tros ( 2004, p. 171 ) . Sing this subject analysis of national labor market has been presented in conformity with four dimensions of flexibleness and security. National labour market can be examined by this matrix in the signifier of different sectors.

Therefore as a construct of flexicurity it is presented by some research workers that it is combination of different signifiers of flexibleness and security ( Keune and Jepsen, 2006 ) . Some research workers have criticized this attack and one of them is ( Tangian, 2005 ) concluded that there is ignorance of require flexibleness for security and for concentrating upon apparent minutess and in this manner weakening to capture policies clearly indicated the function of both either flexibleness or security.[ 10 ]

On the other side it might be built on behalf of selected dimensions of flexibleness or security. In this concern trade-off indicated that specific combinations such as occupation security are related with employment security and related with flexibleness and security. External numerical flexibleness and income security dimensions have considered by the ( European Commission 2006a ) . Categorization of flexicurity has been defined by Auer and Cazes ( 2002 ) and this attack is based upon badness of employment protection and munificence of benefits related with unemployment. For the intent to analyze assorted policies of flexicurity, matrix has been used by Tros ( 2004 ) .[ 11 ]

Real World of Flexicurity: Examples of two states: Denmark and Netherland:

For the intent to accomplish consecutive flexibleness in labour market, policies practiced by Netherland and Denmark after procuring societal norms.

Flexicurity in Denmark:

Golden trigon of Danish labour market which includes combination of three constituents: flexible labour market, lavish unemployment support, and effectual consideration on beginning. High occupational and geographical labor mobility via low protection of employment, remunerated by lavish benefits of unemployment and effectual policies of labour market which directed towards the development of accomplishments and unemployed gap, all above cardinal things promoted by this theoretical account. Danish theoretical account which is able to unite high exterior numerical flexibleness with high degree of income and employment security by utilizing Withagen ‘s matrix ( 2007 ) . Employment security is new construct which has been placed alternatively of occupation security. Danish theoretical account of flexicurity is able to unite all four elements such as agreements of flexible work with effectual security of society, active policies of labour markets and digesting acquisition. In the beginning of the 1990, informative policies have introduced by the committee which provide benefits like employees is enable to acquire paid vacation for child care and development of professional and indispensable accomplishments through preparation. This policy protects the favour of employees every bit good as people who are unemployed and employers every bit good because on behalf that they receives grant which enable them to confront engaging cost by replacing employees on leave alternatively of unemployed.[ 12 ]

Crucial function played by societal spouses in this theoretical account. Easy hiring and fire of employees comes under the broad employment protection system and this system is appreciated by trade brotherhoods. Magnificent unemployment benefits which is accepted by employers, all these benefits are able to supply flexible accommodations harmonizing to different conditions of labour market. Third constituent of this theoretical account facilitates development of require accomplishments through preparation for unemployed workers and it is indispensable in active labour market policy.[ 13 ]

Positive success has been achieved by this theoretical account for betterment of labour market conditions this is the ground it is able to pull involvement of international forum and policy developers. After this singular success has been achieved by labour markets of Denmark and it shows the considerable lessening in unemployment from 12 % in 1990 to 5 % in 2001. On other manus rates of employment is besides increased in this sphere. Therefore flexicurity directed towards successful combination of steps of flexibleness, often associated to a globalized broad economic system of market and its societal security which is able to protect from negative impacts of structural alterations to citizens.[ 14 ]

Flexicurity in the Netherland:

The Dutch flexicurity include cardinal elements and these are: work which is flexible with all societal security rights and all these benefits are equal to all such workers those are in standard format. In other mode we can state that this construct can be define as a normalising nonstandard work ( Visser, 2002 ; Withagen, 2007, p.3 ) . Harmonizing to this attack for the intent to better public presentation of labour market assorted steps have been taken and these are: provide instruction and proper attention, extend work. On behalf of in fiscal matters supported voluntary salvaging strategy by which an employees can salvage specific sum of pay that nest eggs will assist to cover period of leave for attention, instruction and many more state of affairss like this ( European Commission, 2006b ) . For the intent to supply employment protection right, rights to preparation, warrants and auxiliary pension by get downing active labor market plans ( Withagen, 2007 ) . Harmonizing to the European Commission, 2007 – harmonizing to this point of position without losing flexibleness of labour market the state of affairs of employees that are in short term contracts will better.[ 15 ]

There is complete apprehension is given upon the Dutch theoretical account of flexicurity with inter-relatedness with dismissal low and its system and ordinance. In the Netherland there is an being of double system of dismissal low and due to that strong protection is available for employees that are associated with traditional based employment contracts but on other manus greater insecurity is available for all those workers who are associated with short term or impermanent contracts.

Harmonizing to ( Keune and Jepsen, 2006 ) , the purpose of this theoretical account is to convey together involvements of both employers and employees and besides societal protection and fight. In the twelvemonth 1997 there were flexibleness and security measure introduced by the authorities and under this measure jobs related with labour market status arises and on behalf of this job it is stated that beginning of flexibleness, short term labor market which is far from liberalisation and revamp of security types. Harmonizing to some research workers who have criticized it and stated the addition that have been achieved by portion clip employees and flex-employs are far from this advantage.[ 16 ]

Four elements of flexicurity were described by the European Expert Committee on Flexicurity ( 2007 ) – in comparing with the Danish instance less consideration has been made on activation schemes and short term work bureaus and their function. It is depicted by flexicurity policy of Denmark that it is an indispensable measure for the positive public presentation of labour market ( OECD, 2004 ) . Therefore in both states, stress laid on the function of societal spouses and societal duologue in legalizing and developing policies of flexicurity ( see, eg. , Visser, 2003 ; Withagen, 1998 ) .

It is clear that different ways of fall ining flexibleness with security is practically executable in both states Denmark and Netherland.[ 17 ]

Measures of Flexicurity in Other European States: Austria and Spain:

The construct of flexicurity is successfully established in Denmark and Netherland. On other manus many European parts have besides recommended policies which enables integrating of flexibleness with security. Austria which is frequently ally mentioned state. Sing flexicurity a construct was developed in Austria and it was based on protection of mean degree of employment and benefits of unemployment likewise in EU-15 states, relatively there was addition in passing on assorted plans of labour market and dependence have created on public employment service which is decentralized. The construct of employment security has taken topographic point alternatively of occupation security same as other European parts. Harmonizing to Auer ( 2002 ) – there is a similarity between construction of policies of Denmark and Austria ; In Austria fixed system of employment protection and limited benefits of unemployment, and existent exchange between protection of employment at steadfast degree and protection of societal environment at macro degree appears same as in Denmark. Well-established societal partnership by which easy precedes the labour market change procedure and besides by which position of flexicuirty can be develop.[ 18 ]

Sing this attack proper programs have been developed for the intent to maximise both flexibleness and security and these programs included larning steps for long life. In the twelvemonth 1998, there was an illustration which shows that under these for extra instruction and developing workers can avail up to 12 months paid vacation for the employers. Harmonizing to the following policy immature kids ‘s parents can travel with portion clip working hours and they have right to acquire back to old on the job hours ( European Commission, 2006b ) . There was besides betterment has been made in the policy of separation wage because old policy was non able to give right to severance wage in state of affairs of acquiring new occupation.[ 19 ]

Western labour market establishments and policies introduced assorted procedures those enable to institutional reforms that included revenue enhancement of labour, systems of united bargaining, strategies those enable to benefits for unemployed workers, policies of active labour market. On behalf of all these steps there were positive results were achieved in footings of public presentation of economic system, societal duologue and national civilizations and energy of trade brotherhood. Positive results achieved by this step and this are the ground flexibleness theoretical accounts executed by assorted provinces such as Cardinal European states and the Baltic states in way of Western Europe.[ 20 ]

Harmonizing to ( Auer, 2002 ) , in Ireland employment sector is turning really quickly in both portion clip and full clip specially in private sector. Benefits which are provided to workers are modern and high sum of disbursement utilized on labour market intensive plans bing to Denmark, Netherland and Austria. There was magnificent revamp has been made in public sector employment construction that directed a measure towards localisation, decentalisation, higher possibility for arrangements in private sectors. On behalf of all these steps economic system of Ireland is able to accomplish sufficient growing degrees and diminution in unemployment degrees. Merely thing is that there was demand to concentrate upon instruction development for old age workers.[ 21 ]

Finally in the twelvemonth 1980, Spain has besides introduced policy of flexicurity. Under this construct policy of liberalisation has been introduced for fixed term and short term work bureaus through increasing flexibleness by doing reforms in system of dismissal protection.

Encouragement was given to cleavage of labour market through limitations on the foreigner flexible labour market, complications in long term contracts continued, all these steps established to supply long term employment growing.[ 22 ]

Harmonizing to the ( Valdes Dal-Re, 2004 ) – due to reforms in employment protection, state was able to accomplish long term and fixed growing of labour market with full of employment and besides political use of fixed term employs besides improved by this steps.[ 23 ]

Common Principles for Further Reforms in Case of Flexicurity:

Changed fortunes replicate by the steps and policies of flexicurity and sing this state of affairs of modernisation and globalisation major challenges face by all members of European Union. It shows that common rules of flexicurity are indispensable to run into with the common aims of the occupation security and its growing. On behalf of the common rules of flexicurity, farther positive consecutive growing is situated in footings of accessible and more unfastened labor market and workplace which is more productive. Therefore there is a demand of cooperation from all member provinces in forming and development of policies of flexicurity and how it can be implemented to obtain positive results in order to run into available challenges and obstructions and where engagement of active societal spouses is antiphonal.[ 24 ]

Principles of Flexicurity:

There is an engagement of consistent and flexible agreements of contracts, larning schemes which are digesting and comprehensive, policies of labour markets which are effectual and societal security which is modernized. The chief end of this policy is to accomplish positive growing and occupation scheme in labour market, outgrowth of new and improved occupations in labour market and supplying strength to the theoretical accounts of European society with aid of modern signifiers of security for the intent to maximise adaptability, consistence of employment and society.

For new freshman ‘s in occupation market, employees, employers, balance between rights and duties entails by flexicuirty.

Adaptation of flexicuirty should be at specific extent in assorted fortunes, member provinces and their industrial dealingss and labour markets.

Separation between insiders and foreigners should minimise by flexicuirty. All through transitions of occupation to occupation, current insiders requires support and protection. Sing long term contracts all current foreigners requires easy stairss including point system for entry and specific advancement.

From one organisation to another, Flexicuirty should be promoted whether it is internal or external. There is handiness of adequate flexibleness in procedure of enlisting and dismissal by protecting occupation to occupation passages. Between unemployment and work at that place is a demand to ease turning mobility. Flexicurity is a combination of its assorted parts such as workplace that must be high quality with effectual leading, good piece of work in organisation and consistent development of preparation and accomplishments harmonizing to fortunes. Inhibit and mobility non necessitate by societal protection merely support is needed by it.

July 2007, Towards Common Principles of Flexicurity: More and better occupations through flexibleness and security, European Commission, Directorate- General for Employment, Social Affairs and Equal Opportunities Unit D.2

Gender equality should be supported by the flexicurity with aid of supplying equal entree to quality employment for both genders work forces and adult females. Besides this there is need to supply sufficient balance between professional life and personal life and besides by offering equal handiness of occupation chances to migrators, disabled and senior workers and for immature every bit good.

There is demand of flexicurity that are specific fortunes including bounding of trust, conversation between societal spouses and public governments to run into farther alterations where all are prepared for appropriate actions for the intent to bring forth policy bundle which will equilibrate.

Execution of flexicurity requires specific cost of budget this is the ground specific aims and ends must be determined in progress. And there is besides just division of its determined cost and positive result from it, particularly between persons, public budgets, concerns and with specific state of affairs where specific attending is neededs. For the intent to accomplish overall ends, an effectual policy of flexicuirty can supply success in effectual mode.[ 25 ]

Further development on behalf of common rules of flexicurity:

Sequence of policies and steps, suitably planned and combinations provides tracts to an execution of the common rules of flexicurity in the Member State. There is a immense fluctuation in their cultural differences, socio-economic conditions, and institutional parametric quantities.

Flexicurity is non merely associated with theoretical account of individual labour market or in a individual scheme of policy, for the member provinces there is an chance to portion policy steps by accessing public presentation of national construction. Assorted constituents and sequences can be utilized for the intent to take obstructions and to run into with challenges. The common rules of flexicurity have been developed by the European Commission 2007b in proposal of guidelines for employment scheme ( 2008-2020 ) . In recent arena the proposal of European Employment scheme has become scheme of European flexicuirty. The chief purpose of execution of this scheme is to supply positive growing in labour market. Harmonizing to the Keune 2008, common rules of flexicurity are able to develop future reforms in any state of affairs but construct of flexicurity is non yet clear. On behalf of common rules it is clear that flexicuirty is merely one manner out figure of tracts available which is practical.[ 26 ]

There are four tracts and these are as follows:

Undertaking Contractual Cleavage: on behalf of insiders and foreigners cardinal challenges are segmented by the states. The chief of these tracts is to set up effectual flexibleness and security particularly for the force of workers. This tract is the get downing point for the freshman ‘s and able to back their development in to farther sufficient agreements of contracts.[ 27 ]

Development of flexicurity in an organisation and supplying alteration security: This manner of flexicurity enables to states to maximise investings in employability and by this manner employs can revise their abilities in an organisation and on behalf of that employs can fix themselves for future alterations for the intent to increase methods of production and ways of making work in an organisation. By this manner an employer can supply protected and successful passage of occupation to occupation while reorganising the company.

Gearing spread of chance and accomplishments among employs: accomplishments and chance spread among people is the cardinal challenge this tract is applicable in these states. By this manner people can develop their accomplishments and preparation for the intent to accomplish good repute in active labour market.

There is betterment of available chances in favour of impermanent employs: this manner of betterment is for those states where restructure of economic system have been developed and supply long term employment reimbursement in complicated labour market. And there is chief purpose is creative activity of employment by developing new policies of labour market and long term acquisition plans.[ 28 ]


Harmonizing to the above reappraisal it is clear that the construct of flexicurity is equivocal. In some stages it provides designation of specific policies and its elements that help to supply farther way to states to take necessary stairss in instance of mutable state of affairss of labour market. We can state that with aid of policies of flexicurity states can implement for the betterment of active labour market conditions and besides can develop womb-to-tomb larning programmes. Harmonizing to Keune and Jepsen 2006 has stated that developing reforms with reconstituting economic and societal security in active labour market is new phenomena. Hence this attack is similar to the construct of flexicurity. After the 2nd universe war in Sweden for the intent to link mobility of high labour with available full employment and maximise productiveness graduated tables brilliant Meidner Model introduced there with policies of active labour market. It shows that the construct of flexicurity is emerging as a type of invention.

Harmonizing to the Madsen, ( 2002a ) , Klindt and Moberg ( 2006 ) has stated that flexicurity is good for get reform in labour markets of both Denmark and Netherland because economic public presentation of these states demoing positive growing and they besides suggested that the success narrative of Danish theoretical account besides underlined by the corporate bargaining of decentalisation. On behalf of the Danish theoretical account state is able maximize productiveness additions.

The construct of flexicuirty is noteworthy in assorted states because of its positive success in active labour market and due to its political mentions. It is clear that the policy of flexicurity is proactive instead than post-hoc in Netherland and Denmark. Harmonizing to Visser ( 2002, p. 26 ) for the intent to supply security to the portion clip employment understanding because of increasing portion clip work force they introduced Dutch societal security system. And besides it was stated that because of policy reforms in Netherland was the cause of debut of inventions in labour market and besides described long term ends and their manner to accomplish these ends.

Main motivation of development of common rules is to directed guidelines for the growing in occupation market and to employment. Harmonizing to the Employment Report 2007-08, it is clear that on behalf of four elements of flexicurity and from common rules and tracts able to accomplish singular benefits by assorted member States in footings of supplying suited employment contracts and developing inventions in occupation market.