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By Niels Jahn Knudsen Consultant City of Aalborg Jobcenter Aalborg

What is flexicurity? – And why is local partnership between the trade unions, the employers and the municipality important?. Envisions 2005 22. – 23. November 2005. Fifth European Conference on Sustainable Cities and Towns Sevilla, Spain, March 22 2007 , Workshop C07.

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By Niels Jahn Knudsen Consultant City of Aalborg Jobcenter Aalborg

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  1. What is flexicurity? – And why is local partnership between the trade unions, the employers and the municipality important? Envisions 200522. – 23. November 2005 Fifth European Conference on Sustainable Cities and Towns Sevilla, Spain, March 22 2007 , Workshop C07 By Niels Jahn Knudsen Consultant City of Aalborg Jobcenter Aalborg

  2. Norway Aalborg Sweden Denmark

  3. Economy: Engineering, Foods, Manufacturing, Telecommunication & Construction, trade and restaurants, banking and insurance, education and health service/social institutions. Inhabitants total 192.000City 121.000 Total area 1.144 km2

  4. assisting all kinds of jobseekers in finding a job offering services to private and public employers who are looking for labour The Jobcentre is responsible for:

  5. A reduction of the numbers of persons left outside the Labour Marked is an important objective to create a social sustainable city. An active Labour Market policy leads to economical growth. Partnership between employers, trade unions and the local authorities is a necessary to fight the consequences of the global competition Statements:

  6. What is flexicurity? - the Danish tradition of partnership between employers, trade unions and the local authorities. Corporation on a local scale- illustrated by a case story Agenda

  7. Denmark has the highest expenditure on active labour market policy Denmark has some of the highest replacement rates for unemployed Denmark is one of the world’s most competitive economies Unemployment over the past 10 years has been low, around 3-4% below the EU average. Source: OECD The danish model:

  8. The flexibility it is easy for the enterprises to hire and fire employees - Most of the fired quickly gets a new job 1/3 of the labour force changes jobs each year Low strictness of employment protection legislation The security people are not afraid of changing job high level of social security. There is an active employment policy - A lot of funding is used on programs getting the unemployed back in job Flexicurity = Flexibility + Security.

  9. The Danish Confederation of Trade Unions (LO) The Confederation of Danish Employers (DA) The danish goverment How is this possible? A long tradition of cooperation between

  10. Labour market in Aalborg December 2006

  11. A case story Difficult for company to recruit new skilled workers. Jobcenter Aalborg finds 18 unemployed, who receives cash benefit. Education at avocational training centre (AMU Nordjylland) Job training at the company Employment at the company

  12. Before the start of the project, it was discussed at a special “activation board” The 7 members of the board are representatives from local trade unions, local employers organisation and from Jobcentre Aalborg The board wants to make sure, that only those, who really lacks skills get job training.

  13. the unemployed get education and get back in job the company get new skilled workers the trade union can recruit new members and prevent that those already employed in the company looses their job. An example of a win-win situation

  14. Mutual respect – it is important to know, understand and respect each others agenda. Transparency – all relevant information have to be given. Confidence - all written or un-written agreements has to be respected Corporation is based on

  15. create a board with representatives from the most important trade unions and employers organisations involve them in future projects on job creation, job training and educating unemployed use their experiences from the labour market to optimise your own labour marked policy. On a local scale - consider to

  16. Further recommended reading:How can it possibly fly? The paradox of a dynamic labour market in a Scandinavian welfare state.by Kongshøj Madsen, CARMA, University of Aalborg, (Strongly recommended)http://www.socsci.aau.dk/carma/pdf-filer/PKMflexicurityanewperspective.pdfExecutive Summary of the Danish report Flexicurity, May 2005: “Traditions, experiences and challenges for the Danish model and Danish labour market and social policies". http://www.ambsantiago.um.dk/NR/rdonlyres/49433634-DEA2-45A2-849E-77E5DBC1A316/0/Executivesummaryflexicurity.docFlexicurity – Developing people through jobs by Director General Jørn Neergaard Larsen, Confederation of Danish Employers – DA http://www.da.dk/SuperShowDoc.asp?pid=20060301140832NROFor the Danish, A Job Loss Can Be Learning Experience, by Marcus Walker, WSJ:http://economistsview.typepad.com/economistsview/2006/03/flexicurity.html

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