Labour Market and Labour Market Policy Trends in Selected ... · been advanced to explain the "great productivity mystery", as the slowdown of US productivity has been named, amongst

discussion papers

FS I 88 - 2

Labour Market and Labour Market PolicyTrends in Selected Industrialized Countries1980 to 1985 - An Overview

Peter Auer

March 1988

ISSN Nr. 1011-9523

ForschungsschwerpunktArbeitsaarkt undBeschaftigung (IIMV)

Research UnitLabour Market andEiaploynent (IIM)

ForschungsschwerpunktArbeitsmarkt und Beschaftigung (IIMV)

Research UnitLabour Market and Employment (IIM)

Reichpietsch-Ufer 50

1000 Berlin 30

Smnmary

LABOUR MARKET AND LABOUR MARKET POLICY TRENDS IN SELECTEDINDUSTRIALIZED COUNTRIES 1980 TO 1985 - AN OVERVIEW

Although employment has risen in most of the industrialized countriesafter the recession from 1980 to 1982, unemployment has fallen onlyslowly or was still increasing during the period considered. Youthunemployment in particular has risen dramatically in many Europeancountries, and the ranks of the long-term unemployed have swelledrecord levels. It is noticeable that, while active labour marketpolicies have concentrated on youth unemployment, there have beenvery few initiatives for the unemployed in other age groups. As the"baby-boom generation" is moving into the prime age group, labourmarket policies have to be targetted on this group in the nearfuture. The present paper summarizes the development of employmentand unemployment in seven OECD countries (Canada, France, Germany,Italy, Sweden, United Kingdom, USA), and deals with certain trends inactive labour market policy, concentrating on developments in thefive European countries of this overview. Finally, two subjects whichhave recently come to the fore in the debate on combatting unemployment are discussed shortly: The reduction of working hours and measures to increase the flexibility of the labour market.

Zusanmenfassung

ARBEITSMARKT UNO ARBEITSMARKTPOLITIK 1980-1985: EINE UBERSICHT UBERTRENDS IN AUSGEWAHLTEN INDUSTRIALISIERTEN LANDERN

Obwohl die Beschaftigung in den meisten industrialisierten Landernnach der Rezession von 1980/1982 wieder anstieg, fiel die Arbeits-losigkeit nur leicht oder nahm sogar weiter zu. In vielen europdi-schen Landern ist in der Peri ode 1980-85 vor all em die Jugendarbeits-losigkeit gestiegen, und auch die Langzeitarbeitslosigkeit hat Re-kordhShen erreicht. Wahrend die aktive Arbeitsmarktpolitik in mehre-ren Landern stark auf Jugendliche ausgerichtet war, gab es wenigerInitiativen fUr andere Altersgruppen unter den Arbeitslosen. Da die"baby boom"-Generation aber nun in das Haupterwerbsalter kommt undsich auch die Struktur der Arbeitslosigkeit entsprechend veranderndurfte, muB die aktive Arbeitsmarktpolitik auf diese Zielgruppe ausgerichtet werden. Das vorliegende Papier gibt einen kurzen UberblickUber die Entwicklung des Arbeitsmarktes in sieben industrialisiertenLandern (Kanada, Frankreich, Bundesrepublik Deutschland, Schweden,GroBbritannien und Vereinigte Staaten von Amerika) und die Entwick-lungen der Arbeitsmarktpolitik in den fiinf europaischen Landern dieses Uberblicks.

CONTENTS

page

1 INTRODUCTION 1

2 EMPLOYMENT 1

2.1 Overall Trends 1

2.2 Shifts In the Structure of Employnient 5

2.2.1 Service sector and female employment increases 5

2.2.2 New forms of employment 6

2.2.3 Self employment 8

3 UNEMPLOYMENT 9

3.1 Overall Trends 9

3.2 Shifts in the Structure of Unemployment 9

3.2.1 Male/female employment 9

3.2.2 Youth unemployment and longterm unemployment 10

4 ACTIVE UBOUR MARKET POLICY 11

4.1 Overall Trends 11

4.2 Shifts in the Structure of Active Labour Market Policy 12

4.2.1 Main target: youth 124.2.2 Few measures for prime age adults 14

4.2.3 Policies for the older: withdrawal from the labour market 15

4.3 Labour Market Effects 16

5 OTHER MEASURES TO COMBAT UNEMPLOYMENT 18

5.1 Worktirae Reduction 18

5.2 Increasing the Flexibility of the Labour Market 19

6 OUTLOOK 21

1 INTRODUCTION

Although employment has risen in most of the industrialized countries

after the recession from 1980 to 1982, unemployment has fallen only

slowly or was still increasing during the period considered. Youth

unemployment in particular has risen dramatically in many European

countries, and the ranks of the long-term unemployed have swelled

record levels. It is noticeable that, while active labour market poli

cies have concentrated on youth unemployment, there have been very few

initiatives for the unemployed in other age groups. As the "baby-boom

generation" is moving into the prime age group, labour market policies

have, to be targetted on this group in the near future.

The present paper summarizes the development of employment and unem

ployment in seven OECD countries (Canada, France, Germany, Italy,

Sweden, United Kingdom, USA), and deals with certain trends in active

labour market policy, concentrating on developments in the five Euro

pean countries of this overview. Finally, two subjects which have

recently come to the fore in the debate on combatting unemployment are

discussed shortly: The reduction of working hours and measures to in

crease the flexibility of the labour market.

2 EMPLOYMENT

2.1 Overall Trends

Whereas the beginning of the period under consideration was marked by

a recession, most industrialized countries experienced an upturn in

their economies after 1982. The USA (especially in 1984), Canada, West

Germany, Great Britain and Italy all managed to achieve high growth

rates of GDP (cf. table 1). However, growth was somewhat lower than

during previous cyclical upturns, and unemployment remained at a much

higher level. On the other hand, inflation came down in most countries

- 2 -

to much lower values than would be expected during recovery, a fact

attributable partly to the falling price of oil and other raw mater

ials.

In many countries the positive economic trend has led to an increase

in the level of employment. This trend was particularly strong in the

United States and Canada, but was much less pronounced in Europe -

while Great Britain, Italy and, after 1984, West Germany achieved

growth in employment, France suffered a fall, despite the economic

upturn. Of the smaller OECD countries, employment grew particularly

strongly in Scandinavia.

However, it must be remembered that even by 1985 many countries could

not make good the loss of employment suffered during the years of

recession in the beginning of the 80s. Examining employment from 1980

to 1985, it is evident that France, West Germany and especially Great

Britain have all experienced a decrease in the numbers employed,

whereas the USA, Canada, Sweden and Italy had more people in work in

1985 than before the onset of the recession (cf. table 2).

If one examines the level of employment in the countries under compar

ison during the period 1980-85 (cf. table 2), one is again struck by

the large increase in employment in North America compared with that

in Europe. This difference conforms to the long-term trend: according

to the OECD, during the period 1969-85 economic growth of 1 % led to

an increase in employment of 0.8 % in the USA, but only 0.08 % in OECD

Europe.^

If one considers productivity growth rates, it appears that output

growth in Europe during the period 1969-85 was mainly due to increase

in productivity, whereas in the US output growth is largely attribut

able to additional employment. Therefore, although growth rates were,

from 1980 to 1985, much higher in the US and in Canada than in most

other countries considered (cf. table 2) and have some importance in

explaining the different development of the labor market in North

New Sources of Job Growth: a Macro/Micro Perspective OECD, Paris1986.

- 3 -

America and Europe in the last years, they obviously cannot explain

these differences in the long run: Between 1973 and 1983 GNP growth

rates over the whole period were about 22 % in the US and 18 % in

OECD-Europe, but the US economy created about 16 million net new jobs,

whereas employment in Europe stagnated.

It is clear then, that slow productivity is behind much of the employ

ment difference at least in statistical terms. Many arguments have

been advanced to explain the "great productivity mystery", as the

slowdown of US productivity has been named, amongst them for example

the large service sector, obsolete capital equipment and changing

employment structure, lower relative wage costs (and therefore no need2

for labor-capital substitution) and others. This slow growth in pro

ductivity (a fact judged negatively by American labor market experts

which envy Japan or Germany for their productivity increases), is a

fact which is very often omitted when the American labor market is

presented as a "model" which should be imitated by Europe.

A particularly prominent argument for explaining the differences be

tween the US and European employment creation performance has been

lately the flexibility argument: It states in short that high wages

and ample labor legislation such as for example dismissal procedures

bargained by strong trade unions have hindered adjustment to market

needs in Europe and are therefore responsible for low employment

growth. In the wake of such arguments policies of flexibilisation have

become prominent amongst the (mostly conservative) governments in

Europe and have already lead to changes in labor legislation in

certain countries. Although there might be benefits of flexibility for

individual enterprises no empirical study has yet shown convincingly

the advantages of lower wages or free hire and fire policies for a

nation's entire economy. To the contrary, some studies have come to

the conclusion that an introduction of flexibility for example in dis

missal prodedures would result - at least in the medium term - in

1see: Das Produktionsproblem in den USA, Wirtschafts- und Arbeits-marktentwicklung in den USA und der Bundesrepublik Deutschland,Informationspaket lAB Projekt 6-319, Bundesanstalt fiir Arbeit,NUrnberg, 1984.

- 4 -

3additional unemployment, as surplus labour would be shed. This seems

to be confirmed by French experiences: The change In dismissal proce

dures during 1986 has lead - exactly as the critics of the flexibility

argument predicted - to an Increase In dismissals and consequently to

Increased unemployment. In other European countries, where flexibility

arrangements were Introduced (e.g. deregulations In the area of fixed

term contracts and temporary work) these policies seem to affect less

the core workers which have already an employment, but seem to operate

more on the marge of the employment system and therefore reinforcing

labor segmentation. That Is, a growing number of new entrants Into the

labor market only holds "precarious" jobs which will only eventually

be transformed Into regular employment.

There seems to be growing awareness that different labor market cultu

res In Europe and In the US which have much to do with different

societal organization (e.g. strength of trade unions. Involvement of

central state etc.), different housing policies, which affect mobili

ty, different welfare policies etc. forbid for Europe a simple Imi

tation of US model flexibility arrangements without causing a lot of

disturbances which make them counterproductive as Instruments to 1n-4

crease employment.

A series of other factors also need to be taken Into account. If one

looks for an explanation of different employment growth rates between

the US and Europe or between European countries. Examples of these are

different demographic developments and changes In the participation

rates, differences In the use of active labor market policy (which

explain a part of the Swedish performances) or work time reductions

(which show Its effects at the end of the period under considerationfor example In Germany).

1 ^ 7"Pulg, J.P./J. Maurlce/M.T. Join Lambert, Perspectives d'emplol amoyen terme et les polltlques d'emplol en France. Paper presented atthe conference "Medium term economic assessment", Stockholm 1984.

4see for example: Sengenberger, Vi., Das amerlkanlsche Beschaftlgungs-system - dem deutschen uberlegen? In Wirtschaftsdienst 1984/VII.

- 5 -

In the latest Issue of Its employment outlook, the OECO states that

"... it is cross country disparities in service sector job growth that5

largely account for differences in overall employment performance" .

That is, especially the different relative sizes, compositions and

growth rates of the service sector could "explain" much of the differ

ences in overall employment performances.

Of course, differences in economic policy may explain some of theg

divergencies in employment growth. But - as the example of France

shows, where employment was on the increase and unemployment almost

stable during 1982/83 as a consequence of the demand oriented policy

of the socialist government - expansionary policies of only one coun

try may well come under pressure in an open world economy. That is, in

fact, what happened to France, where a large part of additional demand

went into imports leading to a detoriation in the trade balance thus

contributing to the setting up of a more restrictive economic policy.

2.2 Shifts In the Structure of Employment

2.2.1 Service sector and female employment increases

In all the countries examined the increase in employment can be traced

back to expansion in the tertiary sector. At the same time there was a

fall in employment in the agricultural and industrial sector. But even

this development was subject to country-specific variation. A decrease

in agricultural employment was registered in every country, but the

trend was most pronounced in France and Italy. This is partly due to

the relatively high proportion of agricultural employment in these

countries, which leaves more scope for structural adjustment.

In the United States only a relatively small decrease in industrial

employment was recorded, while in Canada and the industrialized coun

tries of Europe the fall was much greater. Particularly hard hit by

falling industrial employment were Great Britain (1980-85 -26.0 %),

^Employment Outlook, OECD, Paris 1987, P. 40.

g

For more details on possible strategies see: Scharpf, F.W., Sozial-demokratische Krisenpolitik in Europa, Frankfurt/New York, 1987.

France (-15.0 %), followed by West Germany (-13.9 %) and Italy

(approx. -12 %). The increase in employment in the tertiary sector was

particularly strong in Italy (1980-85 +18 56), in the United States

(approx. +14 56) and Canada (+12 56). Sweden and France with 7-8 % recorded lower rates, while Britain and West Germany with 4 % and 3 %

respectively over the same period lagged far behind (cf. table 2).

A reduction of employment in the agricultural and industrial sectors

affects in the main male workers, while an increase in employment in

the service sector tends to favour women. Consequently the sectoral

shift in employment is reflected in different rates of growth of male

and female employment (cf. table 2), although here too there are

country-specific variations; in North America there has been an in

crease in both male and female employment, while in the other coun

tries only female employment has risen (exceptions to this are Great

Britain and West Germany where both male and female employment de

creased from 1980 to 1985). The fall in male employment is most pro

nounced in those countries where large numbers of jobs were lost in

the industrial sector: in Great Britain male employment fell by some

10 56 and in France and West Germany by more than 6 %. The fact that

male employment only decreased slightly in Italy despite job losses in

the agricultural and industrial sectors can be partly explained by

institutional factors: for example, many industrial workers who have

in fact been made redundant, receive financial support from the 'Cassa

Integrazione' (a fund strictly speaking for those on short time work

ing or who have been temporarily laid off) and are still counted as

employed. (In 1984 on average around 470 000 people were in the •Cassa

Integrazione', that is some 2.2 56 of those in employment).^

2.2.2 New forms of employment

Partly in connection with the structural changes described above,

there has been a recent trend towards new forms of employment such as

part-time work, employment on fixed-term contracts and temporary

agency work, although the unlimited full-time employment relationship

remains the dominant form of employment in the industrialized

7Economic Survey: Italy, OECD, Paris, 1986b.

- 7 -

Q

countries. This trend differs among countries: For example, in France

part-time work was the only source of net employment creation

(+ 372.000 net part time jobs created against a net loss of 450.000

full time jobs) and in Britain more than 80 % of the 700 000 jobs

created during this period were part-time. In the USA the figure was a

mere 7 %, in Canada it was around one third. The only country whereQ

part-time working actually declined was Sweden. This seems to be due

to an increased demand of women for full-time jobs in a labor market

with a very high percentage of part-time jobs {24,5 % in 1985 as

opposed to 10,8 in France, 21,2 in the UK and 16.3 in the US, 12,3

(1984) in the FRG and only 5,3 in Italy).

In France fixed term contracts and temporary work were heavily repre

sented among new jobs, although at 4 % the proportion of these forms

of employment in total employment remains small. Considering firms

with more than 50 employees, in 1983 50 % and in 1984 some 60 % of all

newly recruited employees were initially offered fixed-term con

tracts.^^ Helped by the passing of the Employment Promotion Act in1984 which favoured this form of employment, fixed term contracts are

becoming increasingly important in West Germany for recruiting new

workers.

Although fixed-term contracts are rare in the USA since employment

relationships generally lack codification, there has been a noticeable

increase in temporary work there in recent years. About 5 % of the

growth in employment betv/een 1982 and 1985 can be attributable to

temporary work.^^

_

Buchtemann, Ch.F./Burian, K., Befristete Beschaftigungsverhaltnisse:ein internationaler Vergleich, in: Internationale Chronik zur Ar-beitsmarktpolitik 24, Wissenschaftszentrum Berlin fUr Sozialfor-schung, Berlin, April 1986.

gEmployment Outlook, OECD, Paris, 1986c.

Cornilleau, et al.. La suppression de 1'autorisation administrativede licenciement: des emplois ou des chomeurs?, in: Lettre de I'DFCE,No. 31, Paris, 1986.

OECD, 1986c.

- 8

It is yet not clear how this trends towards an increase in temporary

jobs has to be interpreted: for some the trend to more temporary em

ployment is a sign of additional job creation and new labor market

dynamics. The temporary jobs created will, so their argument, be

transformed into additional regular full-time jobs once the recovery

is more robust. Critics argue, that the easing of legislative barriers

for temporary jobs has lead if not to a substitution of full-time jobs

by temporary jobs at least to an ever increasing number of the work

force experiencing only instable job tenure. Some empirical evidence

supports such a critical view: There is an increasing number of unem

ployed entering employment via temporary jobs while the ending of a

temporary work assignment is becoming an increasingly important reason

for unemployment registration. But too little is yet known on the

longer term employment prospective of temporary workers as to empiri

cally assess either of both views. However, the fact that the recovery

has lost much of its strength since 1986 could also forbid a compre

hensive transformation of temporary jobs into full-time jobs.

2.2.3 Self Employment

In some countries the proportion of self-employed in the non-agricul

tural sectors has risen in recent years. The OECD average is around

10 %, but in Italy it is 21 %. The increase in the number of the

self-employed was especially strong in Great Britain, Italy and

Canada, thus contributing considerably to the overall employment in

crease, less so in Germany, France and the USA. The figure for Sweden12

remained about constant at just 4.6 %.

The increase in the number of self-employed can be at least partly

accounted for by new forms of state aid to assist in the setting up of

small businesses. Examples of this are the small business programmes

available to the unemployed in Britain and France (see below).

OECD, 1986c.

- 9 -

3 UNEMPLOYMENT

3.1 Overall Trends

Although 1n some countries economic growth and increased employment

have recently begun to have some effect on the unemployment statis

tics, the reduction in the jobless totals is still moving at a snail's

pace. Even those countries which have managed to bring unemployment

down, like the USA, now have totals which are higher than in past

recoveries (cf. table 3). In some of the large European countries -

Britain, Italy, France and Germany - unemployment has continued to

rise during the period under consideration and thereafter despite

economic growth and in some cases even increased employment. In Italy,

for example, the rate of unemployment increased to around 11 %, in

Great Britain - where it is declining only recently - to about 12 % of

the working population, whereas in Sweden the rate was held below 3 %

- the figure sometimes used as a definition of 'full employment' -

due, among other things, to the extended application of active labour

market measures (cf. table 3).

3.2 Shifts in the Structure of Unemployment

3.2.1 Male/female unemployment

The increase in female employment has done relatively little to ease

unemployment among women, whereas the fall in male employment was not

always fully reflected in an equal rise in unemployment, because men

often held jobs in the better protected core sectors of industry, and

the increase in unemployment has been lowered by using such measures

as short-time working or early retirement schemes. Despite these fac

tors, since 1979 the increase in unemployment amongst men was stronger

than for women in nearly all industrialized countries. In Canada and

the USA the upturn since 1983 has been a return to the historical

trend of relatively higher unemployment among women, after the in

crease in male unemployment during the recession. This could be partly

- 10

due to the fact, that women tend to raise their participation rates

during a recovery, but - in absence of a sufficient number of jobs -

join the ranks of the unemployed rather than those of the employed.

3.2.2 Youth unemployment and long-term unemployment

With the exception of West Germany, all the countries studied recorded

youth unemployment rates two to three times higher than those for

older workers. However, the proportion of young people who have been

out of work is now decreasing in most European countries (Italy being

an exception), partly because of labour market policy measures (see

below), partly because of demographic reasons. Youth unemployment is

especially high in Britain, France and Italy (cf. table 3).

The same countries have also the highest percentages of long-term

unemployed. In France and Italy almost half of all unemployed are

without work for more than 12 months, in the United Kingdom more than

40 %. Long-term unemployment remains primarily a problem of adult

workers: on average over 70 % of the long-term unemployed in the

countries under comparison are over 25. The duration of unemployment

still correlates positively with age, i.e. the older the unemployed

person is, the greater is the likelihood that he or she will have to

suffer long periods of unemployment. However, it was the age group 25

to 44 which became the largest group among the long-term unemployed.

This can largely be attributed to mass redundancies in industrial core13sectors. In some countries (e.g. Great Britain and France) the in

crease in total unemployment during the latter part of the period

1980-85 is not only caused by an increased inflow into unemployment,

but rather by an increase in its duration, i.e. a reduction in the

outflow. In these countries there has also been a particularly sharp

increase in the proportion of the unemployed who have been out of work

for more than two or three years.

TT Auer, P., Reintegration of the long-term Unemployed: an Overview ofPublic Programmes in eight countries, IIM/LMP 84-20a, Wissen-schaftszentrum Berlin fUr Sozialforschung, 1984; and White, M.,Long-term unemployment and labour markets, PSI no. 622, London,1983.

n -

4 ACTIVE LABOUR MARKET POLICY

4.1 Overall Trends

What follows is restricted to describing changing trends in labour

market policies of selected European countries during the period 1980

to 1985. The emphasis is on developments in West Germany, Britain and

France. Sweden and Italy are also considered.

Persistent mass unemployment and its concentration among young people

and the long-term unemployed have forced the governments of all the

industrialized nations to introduce, expand and adapt specific labour

market policies. In addition to the traditional measures of active

labour market policies such as job maintenance (e.g. short-time work

ing), job creation, wage subsidies and training, new programmes have

been introduced: examples include early retirement schemes with an

obligation on the employer to refill vacancies thus created, or grants

to unemployed to found small businesses. However, labour market and

employment policies have also come to include measures aiming at more

flexibility of the labour market.

An active labour market policy was continued and expanded in all the

countries during the upturn, although, of course, its anti-cyclical

components became less important. In West Germany, where short-time

work remains an important means of bridging short-term cyclical fluc

tuations, the number of workers on reduced hours fell from its cycli

cal high-point of 680 000 in 1983 to around 235 000 in 1985. A similar

development has taken place in France and even in Italy where the

number of 'short-time' workers - most of whom have, in fact, been made

redundant - supported by the 'Cassa Integrazione' was starting to

decline. In Great Britain, which in 1980/81 had around 1 million of

its workers on short-time, the numbers also fell dramatically, but for

political reasons rather than because of the economic upturn. In 1984

the government stopped using short-time working as a policy instrument

because in their opinion it was preventing necessary structural ad

justments.

- 12

Thus while the economic upturn reduced the importance of anti-cyclical

measures, other elements of active labour market policies were streng

thened, and total expenditure on active labour market policy was in-14

creased in most European countries.

4.2 Shifts in the Structure of Active Labor Market Policy

4.2.1 Main target: youth

The most noticeable feature of all the measures taken is their strong

orientation towards young people, which in Britain, France and Italy

goes together with an increasing importance of training programs. This

focus on youth and training is much less pronounced in Germany and

holds also only partially true for Sweden.

In Britain, for example, all 260.000 (1984/85) participants on the

"Youth Training Scheme" (a training programme for 16 to 17 year old

school leavers) and also over 60 % of the 140.000 in the "Community

Progranmie" (a part-time job creation programme for long-term unemploy

ed) are under 25. This age group is also the main target group in the

'Young Workers' Scheme' (since 1986 'New Workers' Scheme') a wage cost

subsidy prograrane for employers who take on young people at low wages

(about 60 000 placements in 1984/85). In all some 73 % of participants

in Britain's active labour market policy programmes are under 25.

The situation is similar in France, where nearly all those participat

ing in the various training schemes as well those in the 'Travaux

d'Utilite Collective' - a scheme to create part-time temporary employ

ment, introduced in 1984, with some 320 000 participants (1984/85) -

are young people. In Italy too, v/here labour market policy is still

less developed than in other European countries, most of those on

government programmes are under 25, e.g. the 100 000 young people who

have been employed on work/training contracts in 1985.

For more details see: Schmid, G./Reissert, B./Bruche, G., Arbeits-losenversicherung und aktive Arbeitsmarktpolitik Finanzierungs-systeme der Arbeitsmarktpolitik im international en Vergleich, edition Sigma, Berlin 1987.

- 13 -

The particular focus on the employment problems of young people is

explained by the mere extent of youth unemployment in these countries

which made political action necessary (cf. table 3). The stress on

training is due - besides a general trend of active labour market

policy towards policies which act on the supply side of the labour

market in all countries - to special deficiences in the vocational15

system in the three countries.

A common feature of training programmes in all these countries is that

they combine theoretical training with practical work experience, with

the aim of getting round the 'Catch 22' situation of 'no job without

experience, no experience without a job', which, in contrast to West

Germany's 'dual' system of apprentice training, is inherent in the

education system of these countries, because it is either mainly based

on special vocational schoools which do not offer practical exper

ience or merely on "learning-on-the-job" without much theoretical

schooling.

Also in Sweden, where the youth unemployment rate amounts to more than

twice the total unemployment rate, the proportion of young, people

amongst the participants in the various measures of active labor

market policy reaches about 60 %. But contrary to Britain, France and

Italy the main focus is not on training but on temporary job creation.

In Sweden all young unemployed in the age of IB to 28 have the right

to work in a part-time job creation scheme ("ungdomslag"). However,

also in Sweden there are special "work-experience jobs" for the 16 to

17 years old school leavers, which should provide them with "work

experience" necessary to enter the labor market.

In Germany, v/here the youth unemployment rate is generally not signi

ficantly higher than the general unemployment rate (1985: total unem

ployment rate: 8,3 %; youth unemployment rate: 9,5; 1986: 8 %:8,4 %)

the age distribution in the measures of active labor market policy is

T§Auer, P./Maier, F./Mosley, H., Programme zum Abbau der Jugend-arbeitslosigkeit, in: Internationale Chronik zur Arbeitsmarkt-politik 25, Wissenschaftszentrum Berlin fiir Sozialforschung,Berlin, Juli 1986.

- 14 -

clearly different from the other countries: in 1985 only about 30 % of

those participating in training schemes and 35 % in job creation

measures were young people under 25.

4.2.2 Few measures for prime age adults

In Sweden and West Germany both young and adult unemployed have been

increasingly taken into account in the provision of policy measures to

combat unemployment - in Sweden the long-term unemployed have the

right to a job in one of the job creation schemes - but this is not

always the case in the other countries in this study. This develop

ment, however justified it might be, given the high levels of youth

unemployment and the large proportion of young people who have been

out of work for long periods, is all the more questionable when it is

recalled that long-term unemployment remains largely a problem for the

over 25's. In this respect both core groups (25 to 45 year olds) and

older workers are equally badly affected. In France around 50 % of all

prime age unemployed and 70 % of all older unemployed (over 49) are

out of work for more than a year. For Great Britain the figure is 45 %

and 56 %, for West Germany 30 % and 50 %.

But in the countries, where labour market policy focusses heavily on

measures for the young (i.e. especially Britain, France and Italy)

there was up to now a severe lack of active measures designed to help

the unemployed in the prime age groups.

The prime age groups in those countries are usually only 'over-repre

sented' in the special placement efforts for the long-term unemployed,

the support schemes for starting up small businesses, and measures for

vocational training for adults, but the importance of the latter has

decreased in recent years, again partly as a result of the emphasis

put on combatting youth unemployment.

Recently there has been recognition that there are not many measures

for the prime age long term unemployed and both Britain and France

have recently introduced or plan to introduce changes in their active

labor market policies. In France, the whole range of measures for

- 15

youths (training programmes, job creation and wage subsidies in the

form of a reduction of employers' contribution to social security) has

been copied in order to set up almost identical measures for the long

term unemployed. In Britain it is mainly the job creation programme

(community programme) which will now be transformed from a youth pro

gramme into a programme for adult long term unemployed.

4.2.3 Policies for the older: withdrawal from the labour market

In all countries there are few active labor market policy measures for

the older long term unemployed. But most countries give them longer

benefit periods in the unemployment systems, often associated with

their exemption from the obligation to seek work. As they are then no

longer registered as unemployed, the unemployment statistics in some

countries have shown a considerable decline. From August 1983 British

unemployment statistics no longer take account of about 160 ODD unem

ployed men over 60. Similarly in West Germany, the exclusion of such

people has made a contribution of about 40.000 to the 1986 fall in the

unemployment figures.

In addition to this particular form of "quasi early retirement", which

leads to the withdrawal of older workers from the labour market, all

European countries tried alleviate the labour market by using more or

less extensively early retirement schemes. This policy was associated

sometimes by an effort to redistribute work in favour of the younger

unemployed. As older workers are often the prime target of dismissals

during mass redundancies, the introduction of such schemes, while not

altering the structural change from the old to the young, indeed often

accelerating it, does prevent a rise in registered unemployment of

older age groups. Early retirement policies have been particularly

popular in France, where between 1982 and 1983 some 210 000 people (or

ca. 24 % of all private sector employees between 55 and 59) left em

ployment under an early retirement scheme (known as 'contrats de soli-

darite'), whereby 95 % of these jobs were then taken up by younger

v/orkers. Subsequently the early retirement schemes were restricted -

the 'contrats de solidarite' expired at the end of 1983 - because they

had led to large deficits in the unemployment insurance funds. Fur-

16 -

thermore, in April 1983 the retirement age was reduced from 65 to 60

years, leading to a generalized reduction in the early retirement

schemes for the over 60's. Nevertheless, during 1985 a further 70 000

workers left employment as a result of early retirement schemes still

in operation (the so-called 'Fonds National de I'Emploi' schemes).

Between 1980 and 1985 approximately 800 000 employees left employment

at 55 or 60 under various schemes, although not all of these jobs were

subsequently filled by younger workers.

In Britain the so-called 'Job Release Scheme' was introduced, offering

early retirement to men and women when they reached 64 and 59 respec

tively, with an obligation on the employer to take on replacement

workers. The scheme was less successful than its French equivalent,

with 94 000 having retired early by March 1984, and 70 000 retiring in

1985. In 1984 Germany introduced an early retirement scheme for

workers of 58 and over, where the unemployment insurance meets some of

the costs of retirement if re-employment takes place. The take-up was

not as important as the governement has sought because the scheme

involved quite heavy cost for the employers. By the end of 1985 some

45 000 workers had used the scheme, with about -66 % of jobs thus freed16

being filled by younger workers and trainees.

As a result of such schemes aimed at encouraging older workers to

withdraw from the labour market, which have been introduced already

earlier, the decrease in the participation rate of the over 55's in

all the countries studied, with the most dramatic fall registered in

France (cf. table 4) has continued.

4.3 Labour Market Effects

It is clear that the gross overall employment effects of current

active labour market programmes are positive and unemployment would

have been much higher without them. This is, of course, particularly

true for Sweden, where some 218 000 persons (average 1984) took ad-

See also Casey, B., Early retirement schemes with a replacementcondition: programmes and experiences in Belgium, France, GreatBritain and the Federal Republic of Germany, IIM-LMP 85-6a, Wissen-schaftszentrum Berlin fiir Sozialforschung, Berlin, 1985.

17 -

vantage of labour market policy measures (about 5 % of the total

labour force). This has to be compared with the 136 000 officially

declared unemployed. In the same year in Germany, the participants

numbered 583.000 (about 2 % of the labour force, 65 % of them were

short-time workers). Without such measures one would have had to add

300 000 people to registered unemployment and the German unemployment

rate, for example, would have been 9.6 % instead of 8.4 %. In Great

Britain the 570 000 participants (in April 1985, 2 % of the labour

force) in labour market policy measures alleviated registered unem

ployment by about 450 000 persons, and in France the unemployment rate

would have been more than 1 percentage point higher than without these

measures (here mostly early retirement with replacement).

These gross employment effects do not take into account indirect

effects such as substitution or displacement of other workers by the

measures which could diminish the results. Neither do they consider

factors which could add positively to the employment effect such as

additional revenue and thus additional demand created by labour market

policy programmes.

There has been much discussion about the status of people in labor

market policy measures. Some critics have argued that the participants

in the measures have to be consideres as "hidden unemployed" and in

cluded in the official unemployment statistics. In France, conserva

tive critics have brought that question into political debate, asking

the then socialist government to include people on various schemes to

the unemployed figures. The socialist government turned this demand

down and was helped in doing so by the ILO which defines the unem

ployed as those being out of work and immediately available on the

labor market, which is not the case for most participants in labour

market policy measures. There is of course not much talking about that

in conservative led France anymore, where currently the so-called

"social treatment of unemployment" (traitement social du chomage)

which was criticized during the period of conservative opposition, is

now heavily extended.

- 18 -

5 OTHER MEASURES TO COMBAT UNEMPLOYMENT

5.1 Worktime Reduction

In addition to an active labour market policy, which is today a rather

important instrument of social and economic policy in all Europeancountries, in some countries work time reductions were used to raise

the level of employment. Lacking sufficient information to make an

overall evaluation, I will merely mention some individual policy

initiatives. The 39-hour-week was incorporated into French law as

early as 1982, and the government originally wanted to make the

35-hour-week the norm by 1985. Despite studies showing that the

39-hour-week had had positive effects on employment at least in the

short-term, the government plan for a legislative reduction in working

hours was abandoned partly because of resistance by the employers.

The opportunity of negotiating further, voluntary reductions in weekly

hours on branch and firm level aided by state grants, also introduced

in 1982 was, after initial success, only infrequently taken up. Never

theless, in 1982/83 there was a substantial reduction in working hours

for some 220 000 employees, with the subsequent creation of approxi

mately 17 000 new jobs. In 1985 only a further 15 000 employees en

joyed reduced working hours with the creation of about another 1 000

new jobs.

In West Germany the trade unions succeeded in 1985 after strikes to

arrange for all/2 hour/reduction per week in working hours in

several important industrial sectors in exchange for greater flexi

bility in working time. The result in Germany was also positive in18

terms of increased employment. The exact number of jobs created by

T7

18

Colin, J.F./Elbaum, M./Fonteneau, A., Chomage et politique deI'emploi 1981-1983, in: Observations et diagnostics economiques.No. 7, Paris, April 1984.

One of the big economic research institutes estimates, that about50.000 jobs were created in the metal manufactoring industry in thefirst year after the reduction. See: Beschaftigungsauswirkungen derArbeitszeitverkUrzung in der Metallindustrie, DIW Wochenbericht20/87, 14.5.87.

- 19

the reduction in hours remains a subject for controversy; Without

denying that the work time reductions had positive employment effects,

the employers claim that the extra jobs created were mainly attribut

able to fuller order-books and the improved opportunities for a more

flexible use of working time, which permitted for example to separate

machining time from individual working time. The unions, on the other

hand, maintain that the extra jobs created are mostly due to the re-19duction in working time. The German unions have gone ahead in that

direction and have negotiated further reductions which will bring

weekly statutory working time in the metal branches down to 37 hours

in 1989.

5.2 Increasing the Flexibility of the Labour Market

As has already been said, in the wake of the shift away from the

Keynesian-oriented economic policies of the 70's towards a more neo

classical interpretation of the economy, nearly all European

countries, albeit to a different extent, developed policies aimed at

increasing the 'flexibility of the labour market'.

According to the supporters of such theories the 'downward inflexibi

lity' of wages together with high indirect wage costs (e.g. employers'

social security contributions) prevent the clearing of the market via

the price mechanism and have therefore to be held responsible for at

least part of the current unemployment. Similarly, legislation giving

protection from dismissal and rigid controls on working hours are

considered to hinder the rapid adjustment of the labour force or of

working hours to cyclical fluctuations in demand.

In the course of the eighties such theories have led to considerable

changes in collective and legislative regulation and have had some

influence on the conception of labour market policy. In Britain, for

example, the setting of a minimum wage for young workers by the 'Wage

Councils' was abolished. In some countries (e.g. Britain and France)

T9 IGMetall: Ergebnisse der Umfrage "Bilanz Arbeitsplatze und Mehr-arbeit in der Metallindustrie fUr das Bundesgebiet", Materialienzur Arbeitszeitdiskussion 1/85; Gesamtmetall: Informationen fiirPresse, Funk und Fernsehen, Nr. 28/1986.

- 20 -

there was a weakening in the legislation giving protection from dis

missal. A worker in Britain now has to have worked for two years in a

company to enjoy the protection of dismissal legislation, whereas

before the qualification period was only six months. As already stated

above, the French Government makes it no longer necessary to seek

official authorisation of mass redundancies, which previously had de-20

layed (and in a few cases prevented) large-scale lay-offs.

The French as well as the German government have also promoted the

spread of fixed term contracts by changing regulations. An agreement

on more flexible working hours - as trade off for reduction in work

hours - was reached in some important branches in West Germany, and

the last law of the socialist government in France passed in 1986

linked flexibility provision with further work time reduction. This

law was never applied and instead the conservative French government's

new law on flexibility does not provide for a necessary link between

flexibility and work time reduction anymore.

In addition to the measures described above labour market policies

were revised to take account of the new objective of flexibility. For

example, young people on various government schemes usually receive

less than the going wage rate and do not enjoy much dismissal pro

tection. In the case of Britain the special wage-cost subsidy is only

paid when young people are employed at low wage levels. For the U.K.

it seems not exaggerated to conclude, that labour market policy is

also one element of the low wage policy of the Thatcher government. In

Italy, where the regulations on fixed term contracts are very strict,

employers can, with the help of the newly created so-called work/

training contracts, take on young people for fixed periods, if they

provide them with some on-the-job training. As the training content is

not clearly regulated, these "contratti formazione-lavoro" are often21

used as a substitute for fixed-term contracts. Some observers see in

that general development a strategy of the governments to introduce

Auer, P., Flexibilisierung des Arbeitsmarktes in Frankreich, in:Blichtemann, Ch., Mehr Arbeit durch weniger Recht, forthcoming.

21La formazione inesistente, in: Nuova Rassegna sindacale Nr. 46,Rome, december 14, 1987.

21 -

flexibility in the labor market via labor market policies.

6 OUTLOOK

The overview of labor market trends between 1980 and 1985 has shown

that unemployment remained a most serious problem in all countries.

Whereas in the US and Canada a further slight fall is predicted, total

unemployment in Europe will, after a period of stabilisation between

1985 and 1986, increase again at the end of 1987. For all European

OECD-countries an unemployment rate of almost 12 % which will affect22

almost 20 million people is forecasted for 1988. Although the indi

vidual countries are differently affected, virtually all European

countries - except Great Britain - will face increasing unemployment.

Of the countries considered in our sample only Sweden will have rates

below 3 % (other good European performers being Switzerland with pre

dicted 1 %, Norway with predicted 3 %). The others will have rates

going from over 8 (Germany) to 12 % (France).

Besides Sweden then, none of the other European countries in our

sample has obviously found an answer to the problem of unemployment.

Our overview of the measures of an active labor market policy has

shown, that in many countries youths have become the main target group

of the different progranmes and that it was tried to introduce differ

ent elements of "flexibility" into the measures to ease the integra

tion of youth into a .labour market which offers less stable employment

opportunities than in the past.

With the emergence and persistence of mass unemployment, the functions

of active labour market policies seem to have changed: from an instru

ment to accompany structural adjustment in the 60s (this holds true

mainly for Sweden, as in other countries labour market policies were

introduced later) it changed into an instrumnent targetted more on the

hard to place in the 70s. During the first part of the 80s, active

JKEmployment Outlook 1987, OECD, Paris 1987.

- 22 -

labour market policy seems to have developed into an instrument to

"manage" the oversupply of young entrants into the labour market and

to organize the retreat of older workers from the labour market. Con

sequently the integration into the labor market of many young is not

straight forward any more but happens via the transit through several

buffer zones between the educational system and the labour market -

like training or job creation programmes - which are institutionalized

in some countries as almost permanent bridging systems. The moving of

the "baby boom generation" into the prime age groups will make it

necessary to change the target again. A change in target may also mean

different instruments: while occupational and geographical mobility

could decline as a consequence of the growing age of the work force,

future policies should not strive at providing only temporary employ

ment possibilities (which might be acceptable for youth) but have to

include instruments which favor stable employment. More adult trainingand permanent job creation might be consequences of these changes.

Table 1: Growth and Employinent 1982 - 1986, seven Countries^^

1982 1983 1984 1985 1986

CANADAGDP - 3,2 3,2 6,3 4,3 3,3employment - 3,3 0,8 2,5 2,8 2,9

FRANCEGDP 2,5 0,7 1,4 1,7 2,0employment 0,1 - 0,4 - 1,0 - 0,2 - 0,1

GERMANY6NP - 1,0 1,9 3,3 2,0 2,5employment - 1,7 - 1,5 0,1 0,7 1,0

ITALYGDP 0,2 0,5 3,5 2,7 2,7employment 0,6 0,5 0,8 1,4 0,8

SWEDENGDP 0,8 2,4 4,0 2,2 1,3emploement - 0,5 - 0,4 1,1 0,5 0,6

UNITED KINGDOMGDP 1,5 3,3 2,7 3,6 3,3employment - 1»9 - 0,6 1,8 1,4 0,5

UNITED STATESGNP - 2,5 3,6 6,8 3,0 2,9employment - 0,9 1,3 4,1 2,0 2,3

1) Aggregates computed on the basis of 1982 exchange rates

Sources: OECD, economic outlook. No. 40, december 1987.

Table 2: Enploynent, total labour force, participation and uneoployment rates, GOP.(percentage change over whole period 1980-1985)

Contrles with enployment losses

utotal male female

2)Agri

culture

2)Industry

2)Services

3)Total

labourforce

4)Participation rates

total male female

5)Unemploy

ment

rates

6)GDP

France -2.4 -6.6 +4.0 t16.9 -15.0 7.2 2.8 (7.2) A) 68.5 82.8 54.1B) 65.7 76.3 55.0

3.8 6.6

Germany -4.3 -6.1 -1.1 -4.9 -13.1 3.2 2.9 (6.1) A) 66.8 84.5 49.68) 65.1 79.8 50.4

5.6 9.8

UnitedKingdom

-6.2 -10.5 -1.2 -4.9 -26.0 4.0 1.7 (3.8) A) 74.2 90.5 57.98) 73.8 87.7 59.8

6.6 5.3

Countries with employment gains

Canada 5.2 -0.8 14.0 -0.9 -9.5 12.0 10.4 (7.8) A) 70.8 86.2 55.5B) 73,6 84.8 62.4

3.0 13.4

Italy 1.1 -0.5 4.8 -29.2 -11.9 18.0 5.3 (6.7) A) 60.2 82.6 38.7B) 60.0 79.2 41.3

3.0 8.5

Sweden 1.5 -3.5 7.4 -13.0 -10.0 7.8 3.1 (1.8) A) 80.5 87,9 72.88) 81.9 85.7 78.0

0.8 10.3

USA 7.7 4,0 13.1 -4,8 -4.2 13,9 9,2 (6.1) A) 72.1 85.7 58.9B) 74.3 84.9 64.0

0.1 12.3

1) total employment2) civilian employment3) In brackets: growth rates of population of working age (15-64)4) A) = 1979; 8) = 1985, total labour force divided by population of working age5) percentage points (OECO standardized rates: differ slightly from figures used in table 36) standardized OECD rates

Source: OECD; own calculations

Table 3: Uneoploynent rates

Total Unenploynent Youth 11Unemployment '

1 1. 2)Lonqtero

Uneoployoent

1982 1983 1984 1985 1986 1980 1985 1986 1979 1985 1986

male female total male female total male female total male female total total

Canada 11,0 II.0 10.9 12.0 11.6 11.9 11.1 11.4 11.3 10,2 10.7 10.5 9.5 13.2 16.5 14.7 3.5 10.3 10.9

France 6.0 11,2 8.7 6.3 11.1 8.4 7.7 12.6 9.9 8.2 12.9 10.2 10^,4 15.0 25,6 23.4 30.3 46.8 47.8

Germany 6.0 7.7 6,9 7.5 9.3 8.2 7.5 9.3 8,2 7.6 9.4 8.3 8.0 3.9 9.5 8,4 19.9 31,0 32,0

Italy 6.0 14.7 9.1 6.2 15,3 9.3 6.5 16.3 9.9 6.7 16.6 10,1 10.9 25.2 34.8 39,3 35,8 56.4^^ -

Sweden 2.9 3.4 3.2 3.4 3.5 3.3 3.0 3.3 3.0 2.8 2.7 2.8 2.7 5.1 5.8 5.6 6.8 11.4 8.0

UnitedKingdom

12.6 7.0 10.6 13.3 8.0 11,2 13.0 8.4 11.2 13.4 8.8 11.5 11,6 14.1 21.7 20.8 24.8 41,0 41.1

USA 9.6 9.4 9.7 9.6 9.2 9.4 7.2 7.6 7.4 6.8 7.4 7.1 6.9 13,3 13,0 12.7 4.2 9.5 8,7

1) Youth c age groups 15-24, except Italy = 14-24 and USA 16-242) defined as those continuously unemployed for a year or more in percentages of total unemployment3) average of quarterly Figures (ISTAT)

Source: OECD, employment outlook 1986/1987

Table 4: Participation Rates of "Older Workers"

55 - 64 64 and over

male female male female

CANADA197019801986

84,276,268,5

29,833,733,3

22.614.711.8

5,04,33,6

FRANCE19701980

1986

75.468.549,5

40,039,730,9

19,57,55,0

8,63,32,0

GERMANY197019801986

80,165,555,7

28,527,222,1

17,27,05,0

6,13,12,1

SWEDEN197019801986

85.478,775.5

44,555.361.4

28,914,211,0

8,74,03,2

UNITED KINGDOM1970"19801986

88,181,667,0

39,939,135,0

19,3- 10,3

7,4

6,33.62.7

UNITED STATES197019801986

80,771.266,7

42,241,042,0

25,718,3.,15,2^V

9,07,62)

1) 1971

2) 1985

Source: Labour Force Statistics 1965 - 1985, OECD, 1987

ZITIERWEISE/CITATION:

Peter Auer:Labour Market and Labour Market PolicyTrends in Selected IndustrializedCountries 1980 to 1985 - An OverviewDiscussion Paper FS I 88 - 2Wissenschaftszentrum Berlin fUrSozialforschung 1988.

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I The Role of Small Firms and CraftI Businesses In the Professional Integration

of Youth: A Comparison of the FederalRepublic of Germany, France Italy andIreland

IIM/LHP 86 - 19Hohenberger, LydiaMaier, FriederikeBeschBftlgungsgarantle fUr Jugendllche -Die schwedische Strategie zur Bekampfungder Jugendarbeitslosigkeit

IIM/LMP 86 - 20Traxler, FranzVobruba, GeorgSelbststeuerung als funktlonales Aqulva-lent zum Recht; Zur Steuerungskapazitdtvon neokorporatistischen Arrangements undreflexivem Recht

IIM/LMP 86 - 21Grabber, GernotEine beschUftlgungsorlenterte Krlsenliber-wlndungsstrategle fUr tradltlonelle Indus-trlereglonen - am Belspiel der RegionNlederdsterreich-Sud

IIM/LMP 86 - 22Pichierri, AngeloDiagnosis and Strategy In the Decline ofthe European Steel Industry

IIM/LMP 86 - 23Nissen, SylkeEntstehungsbedlngungen und Aktlonsradlusder HlrtschaftsfUrderung Berlin GmbH

IIM/LMP 86 -24Streeck, WolfgangThe Territorial Organization of Interestsand the Logics of Associative Action: TheCase of Artisanal, Interest Organizationsin West Germany

IIM/LMP 86 -25Herr, HansJBrgWeltgeld und WShrungssystem

IIM/LMP 86 - 26Streeck, WolfgangThe Uncertainties of Management In the Management of Uncertainty: Employers, Labor Relations and Industrial Adjustment in the 1980s

DISCUSSION PAPERS 1987

IIM/LHP 87 -Arndt Sorgeiilolfgang StreeckIndustrial Relations and Technical Change:The Case for an Extended Perspective

HH/LMP 87-2Gerda BohmannGeorg VobrubaKrisenverglelch, Krise und Krisendeutung1929 ff. und 1974 ff. In Dsterrelch

IIM/LW 87 - 3Wolfgang SireeckVielfalt und Interdependent: ProbleneIntemedlSrer Organlsatlonen In sichSndernden Uniwelten

IIM/IMP 87-4Chrlstoph OeutschmannClaudia WeberDas Japanlsche 'Arbeltsblenen'-Syndrom -Auswirkungen der Rundum-Nutzung derArbeltskraft auf die Arbeltszeltpraxis amBelspiel Japans -

IIM/LHP 87 - 5Wolfgang StreeckIndustrial Relations in West Gemany: Agendafor Change

IIM/LHP 87 - 6Peter RosnerSozlalpartnerschaft, Zlnselnkoonen und makro-Okononlsche StablHslerung

IIM/LMP 87 - 7Hansjdrg HerrDer Euro-DM-Markt: Theoretlsche Erfassung,enplrlsche Entwicklung und EInfluB auf dienatlonale Geldpolltik

IIH/LMP 87 - 8Stephen SchulmelsterAn Essay on Exchange Rate Dynamics

IIM/LMP 37 - 9Robert A. HartPeter G. McGregorLabour Fixity, Inventories and EoploynentMultipliers

IIM/LHP 87 - 10aHans E. HalerDas Model1 Baden-HUrttemberg. UberInstltutlonelle Voraussetzungendifferenzlerter QuailtStsproduktlon- Eine Sklzze -

1

IIH/LMP 87 - lObCharles F. SabelGary B. HerrlgelRichard DeegRichard KazisRegional Prosperities Cotapared: Massachusettsand Baden-UQrttesd>erg In the 1980*s

IIM/LHP 87-11Friedhart HegnerSchrltte zu einer abgestuften Neuvertellungder Erwerbsarbelt

IIH/LHP 87 - 12Wolfgang StreeckJosef HllbertKarl-Heinz van KevelaerFriederike MalerHajo WeberThe Role of the Social Partners In VocationalTraining and Further Training In the FederalRepublic of Germany'

IIH/LHP 87-13HansjSrg HerrZur StablHslerung Bkononlscher Prozessedurch Instltutlonelle ReguHerungen

IIM/LHP 87 - 14Chrlstoph OeutschmannDie Japanlsche Aufuertungskrise - Lehren furdie Arbeltsnarktpolltlk

IIM/LHP 87-15Ronald SchettkatAnalyse der Erwerbsbetelllgung: zu denIfflpllzlten und expHzlten Annahmen derneoklasslschen Arbeltsangebotstheorle

IIM/LMP 87-16Robert HavemannBarbara WolfePhilip de JongLabor and Transfer Incomes and Older Uooen'sWork: Estlaates from the United States

IIH/LHP 87-17Giinther SchmidArbeltsnarktpolltlk 1m Handel.Entwicklungstendenzen des Arbeltsmarktes undUlrksankelt der Arbeltsmarktpolltik In derBundesrepubllk Deutschland

IIH/LMP 87-18Ronald SchettkatDie Erwerbsquote, ein geelgneter Indlkatorzur Analyse der Emerbsbetelllgung? ZurIntematlonalen und IntertenporBrenVerglelchbarkelt der Erwerbsbetelllgung

DISCUSSION PAPERS 19BB

FS I 88 - 1Wolfgang StreeckSuccessful A^ustment to Turbulent Markets:The Autonoblle Industry

FS I 88 - 2Peter AuerLabour Market and Labour Market Policy TrendsIn Selected Industrialized Countries 1980 to1985 - An Overview

FS I 88 - 3Wolfgang StreeckStatus und Vertrag als Grundkategorlen einersozlologlschen Theorle der IndustrlellenBezlehungen

FS I 88 - 4Hansjbrg Herrworld Money, the Monetary System, and theInstability of Economic Development In the1970s and 1980s

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