Tom Vandenbrande (HIVA)

1. Companies and mobility EMCC Seminar on fostering mobility through competence development, Thessaloniki, 9-10 November 2006 Tom Vandenbrande (HIVA)

2. EF Research Reports • Descriptive Report: • Mobility in Europe. Analysis of the 2005 Eurobarometer survey on geographical and labour market mobility. http://www.eurofound.eu.int/publications/htmlfiles/ef0659.htm • Five Analytical Reports: • Fouarge D. & Ester P. (2007), Determinants of international and regional migration intentions in Europe. http://www.eurofound.europa.eu/publications/htmlfiles/ef0709.htm • Coppin L. & Vandenbrande T. (2007), European workers’ expectations on voluntary and forced job mobility. http://www.eurofound.europa.eu/publications/htmlfiles/ef0712.htm

3. EF Research Reports (contd) • Five Analytical Reports: • Schömann K., Geerdes S., Fasang A. & Siarov L. (2007), Job satisfaction and labour market mobility http://www.eurofound.europa.eu/publications/htmlfiles/ef0710.htm • Bukodi E. & Robert P. (2007), Occupational career mobility and social stratification in Europe. http://www.eurofound.europa.eu/publications/htmlfiles/ef0711.htm • Birindelli L. & Rustichelli E. (2007), Long distance mobility: does it pay? http://www.eurofound.europa.eu/publications/htmlfiles/ef0702.htm

4. Conclusions Mobility Research Mobility: good or bad? • Mobility is a crucial characteristic of European Employment Policy • European citizens agree mobility is a good thing for individuals, European society, etc. • Movers are satisfied, and experience upward mobility • High mobility regions face low unemployment and realize a high employment rate • Still, low mobility levels in comparison

5. Conclusions Mobility Research Concerns and risks of mobility • Low mobility levels in specific European countries, and certain groups face below average mobility • Mobility has a bounded character • Geographic mobility cf. life cycle • Job mobility cf. career • Loosing support of social networks and family • Loss of human capital and bad skill match

6. Conclusions Mobility Research Policy reflections • Too much or too little geographic mobility • Brain drain or brain gain • Paradox of positive assessment and experience of mobility but low mobility rates • Flexicurity and mobility: highest mobility in liberal and social-democratic regimes • “More and better jobs, more and better mobility”

7. EMCC Seminar on how companies deal with mobility • Brochure: • Tom Vandenbrande & Ursula Huws, Fostering mobility through competence development. http://www.eurofound.europa.eu/publications/htmlfiles/ef0713.htm • Four company case studies: • Laura Coppin, Case example of Electricité de France Group. http://www.eurofound.europa.eu/publications/htmlfiles/ef07131.htm • Laura Coppin, Case example of Neorion Syros Shipyards. http://www.eurofound.europa.eu/publications/htmlfiles/ef07132.htm • Helena Op den Kamp, Case example of Telefónica. http://www.eurofound.europa.eu/publications/htmlfiles/ef07133.htm • Helena Op den Kamp, Case example of Bank of Cyprus. http://www.eurofound.europa.eu/publications/htmlfiles/ef07134.htm

8. EMCC Seminar The case of Telefónica • World player in telecom sector • Metamorphosis during the 1990s • Different policies for executives, managers and call center operators • Recruitment strategies: company prefers to train employees • Global competencies model driver for internal job mobility (e.g. job rotation policies) • Annual development plans for all employees

9. EMCC Seminar The case of the Bank of Cyprus • Leading financial services organisation in Cyprus, also active in other countries • Restructuring in 2002/2003, started recruiting again in 2006 • White collar workers • Bank of Cyprus is seen as a lifetime employer • Career plans for two types of employees, clerical staff and managerial positions • Employees should change jobs (vertically or horizontally) every 4 or 5 years • Employees rarely move between countries

10. EMCC Seminar The case of Electricité de France Group • Leading player in European energy market • 70% of employees hold a technical function, gradual increase of commercial functions • EDF as a lifetime employer: entry when graduated, exit at retirement • Flexicurity at company level: internal job mobility because of promotion, personal choice, or company needs. • Geographic mobility is part of career path of line managers in EDF

11. EMCC Seminar The case of Neorion Syros Shipyards • Oldest shipyard in Greece • Crisis for several decades. Number of employees dropped from 10.000 to 3.500 in Greek shipbuilding industry • Mobility strategy prepares employees for flexible jobs in the company (through vocational training and multi-tasking), and for a career in other industries • Close collaboration with sectoral mobility support centre

12. EMCC Seminar Conclusions Companies and geographic mobility • Companies welcome greater mobility • Multinationals also agree a change is good for their employees • Such international relocation of employees is only considered for senior management and professional staff • “Only occurred when top managers were starting up activities in a new foreign affiliate” (A. Artemiou, Bank of Cyprus) • “Personal development and building a career within the company remains the most important reason for internal (geographical) mobility” (J.C. Legros, EDF)

13. EMCC Seminar Conclusions Companies and geographic mobility • Expected barriers when moving to another Member State (in the view of the employer): • Lack of language skills • Employment opportunities for spouse • Availability of housing/schooling • Support from friends and family • Policy initiatives? • Language skills of Europeans • Transparency, recognition and transferability of skills • Harmonisation of social security, taxation, health care, … • One-stop shop for cross border mobile workers

14. EMCC Seminar Conclusions Companies and job mobility • Companies are aware of the benefits a mobile workforce can offer them. Therefore, opportunities to change function form time to time are developed. “Flexicurity at company level” exists in big companies. • “In order to maintain guaranteed employment, there’s a need for internal job mobility. Annual, between 15,000 and 20,000 employees of EDF change jobs within the company.” (J.C. Legros, EDF) • In order to generate greater efficiency and to keep employees satisfied, Telefónica emphasizes its Integral Mobility Model. The pre-executive program has a norm of rotation of 15 per cent.” (J. Buqueras, Telefónica)

15. EMCC Seminar Conclusions Companies and job mobility • “Senior mangers should change jobs every four to five years in order to guaranty career progression.” (A.Artemiou, Bank of Cyprus) • “Workers still hope to spend their whole working lives at the shipyard. In the past, this was normal. The shipyard adopted two strategies to deal with the downturn in its activities. (…) The purpose is to provide personalised counselling and support for those workers who are most exposed to change.” • Whether employees like it or not, mobility is part of a modern career. Even if workers do not change from one company to another, they will certainly be expected to change their roles within the company over the years.

16. EMCC Seminar Conclusions Competence development and job mobility • Job mobility as a part of competence development of employees, since the best way to learn new thing is usually by doing them. • “The global competencies model is used to select new recruits, but also acts as a benchmark in assessing individual employees’ career development plans. Job rotation forms an integral part of the development of the competences of employees.” (J. Buqueras, Telefónica)

17. EMCC Seminar Conclusions Competence development and job mobility • Training in companies focuses on job-specific tasks, and does rarely consider providing workers with a wider range of skills to prepare them for future new job opportunities. • Only in economic downturn, companies think about this. “The company hopes to increase employability elsewhere.” (G. Andronikos, Syros Shipyards) • Solution: complementary trans-company initiatives to ensure workers’ competence development and career management. Further development of career guidance initiatives at a sectoral or economy-wide level.