EU Social Dimension in Question

What about the social profile of the EU? We share with you two interesting publications on one of the topics of NEUJOBS: EU integration and its social dimension. The two papers come from leading scholars: Maurizio Ferrera University of Milan and Jean Claude Barbier CNRS Paris. Both look at the recent evolution of the EU social dimension with different approaches and divergent conclusions: Ferrera (with the paper ‘Liberal Neo-Welfarism: new perspectives for the European Social Model’) adresses the ideological foundations of the EU straetgy in the field of social employment policy. Barbier (with the paper ‘Europe sociale : l’état d’alerte’) critically review the last meager advancements in the field. The two contributions are a good updated review of the research projects the two authors are now working on.

more info at: http://ose.be/EN/publications/ose_paper_series.htm

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What we should know about low-wage service employment

In this NEUJOBS paper Moira Nelson looks at low-wage service employment. The four largest of the thirteen occupational groups include caregivers, cleaners, restaurant workers, and salespersons.

There are strong economic and social reasons to expect that low-wage service jobs are expanding in the period between 1992 and 2010 across Europe. Technological change hollows out jobs involving routine tasks, leading to job polarization, and the consumption of low-wage services by a growing group of high-wage workers further boosts employment levels. Rising female employment and the related shift towards the dual earner model also leads to hikes in low-wage service employment, as families look to the market for services once provided in the home.

But are these jobs good jobs? Continue reading

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Innovation and Employment in Social Services: New opportunities for growth?

The 27 May 2013, the Masaryk University (Faculty of Social Studies) and the European Social Observatory (OSE) - in cooperation with the Czech Research Institute for Labour and Social Affairs (RILSA) organise the new NEUJOBS national workshop in Brno.

The Czech Republic, just like many other European countries, is facing the challenge of modernising its welfare system by developing social services and creating jobs, still subject to the constraints of the economic crisis and fiscal consolidation.
This NEUJOBS national event represents an opportunity for European scholars and national (and European) stakeholders to discuss the development of social services as a key issue in current labour market and social policy dynamics. Leading scholars from NEUJOBS (FP7 Project) will shed light on the present and future challenges relating to social services in Europe.

more info at: http://www.neujobs.eu/events/all 

Online registration at: http://www.ose.be/workshop270513/

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The Future of European Labour Markets: a Snapshot from the NEUJOBS Conference

On the 18th of February CEPS hosted a NEUJOBS conference: The Future of European Labour Markets: Fact-Checking the Vision. The four panels covered various topics, such as polarisation of labour demand and society, job quality, future labour demand and supply, the implications of innovation for the organisation of production. Interesting research findings were presented. Here a selection of the most interesting findings that my colleague Elisa Martellucci has kindly put together.

-          If we want to understand the interaction between labour market and innovation, we need to analyze three levels: systemic, organizational and the employees’ level. Innovation in fact is about the whole workplace. Innovation is also about investment which comprehends R&D and social investment.

-          Demand for medium skilled jobs is declining across Europe. This job polarization trend – the demand for high and low skills is increasing and the middle is shrinking- might cause higher income inequality and less social mobility.  Research outcomes demonstrated that job polarisation occurred in most European countries in the past decade. Continue reading

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Is the ECB really independent? Decision of the European Ombudsman closing his inquiry into complaint against the European Central Bank

Something about EU politics in here for Neujobs. In June 2012, Corporate Europe Observatory (CEO) turned to the Ombudsman alleging that the ECB President’s membership of the Group of Thirty is incompatible with the independence, reputation and integrity of the ECB. For the CEO, “the Group of Thirty constitutes an important interface between private banks and central banks, and members of the Group of Thirty include executives and advisors from major private financial bodies, such as Morgan Stanley, JP Morgan Chase and BNP Paribas”.

On  February  1st 2013, the European Ombudsman, P. Nikiforos Diamandouros, has rejected the complaint that the independence, reputation, and integrity of the European Central Bank (ECB) are undermined by its President’s membership of the Group of Thirty. After analysing the Group’s membership, funding, and aims the Ombudsman found the President’s membership to be compatible with his role. He also suggested that, in the interests of transparency, the ECB’s own website should publicise the President’s membership of the Group. Case: 1339/2012/FOR.

To know more: http://www.ombudsman.europa.eu/en/cases/decision.faces/en/49139/html.bookmark

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OSE/NEUJOBS Lunchtime Session: Changing Welfare States and the EU Social Investment Package

During this OSE/NEUJOBS Lunchtime Session, Prof. Anton Hemerijck will present his brand new book “Changing welfare states”, to Social Affairs Commissioner László Andor, who will place it in the context of the forthcoming Social investment Package. “Changing Welfare States” is a major new examination of the wave of social reform that has swept across Europe over the past two decades. It carries out a comparative analysis of reform trajectories and political destinations in an era of rapid socioeconomic restructuring.

A limited number of places are available, enrolment is therefore essential. Please follow this link: http://www.ose.be/session290113/

Sandwiches are provided. Only NEUJOBS partners’ travel expenses will be reimbursed.
Date: 29 January 2013 – 12.15 – 2.45 PM
Venue: NAR-CNT/Nationale Arbeidsraad – Conseil National du Travail, room 6,  avenue de la Joyeuse Entrée, 17-21 – 1040 Brussels

More info at: www.neujobs.eu

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Mea culpa from the IMF’s chief economist on austerity: Is it the right path for Europe?

New insights for Neujobers on the political and scientific debate about the Eu economy. In October 2012, IMF’s chief economist presented evidence that structural macro econometrics models used by international organisations are underestimating current fiscal multipliers. Presented at the annual meeting of the American Economic Association, a paper by Olivier Blanchard, IMF’s chief economist, and Daniel Leigh, economist of the IMF, investigates the relation between growth forecast errors and planned fiscal consolidation during the crisis. “Forecasters significantly underestimated the increase in unemployment and the decline in domestic demand associated with fiscal consolidation,” Blanchard and Daniel Leigh, wrote in the paper.

But, on 9 January 2013, the IMF recommended that Portugal slim down its civil service and cut civil servants’ pay and pensions in order to help make these €4 billion savings. It recommends cutting the 700,000 or so officials by a fifth and cutting civil servants’ pay by 7%, suggesting an increase in the retirement age and making it possible for the government to cut pensions if required by the budget.

Growth Forecast Errors and Fiscal Multipliers, O. Blanchard and D. Leigh,  January 3, 2013

http://www.imf.org/external/pubs/ft/wp/2013/wp1301.pdf

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The real risk for the global economy is in Europe? J. Stiglitz and the eurozone’s governance

To well start the new year, we refer to this most recent contribution of Joseph E. Stiglitz. According to Stiglitz , “(…) the real risk for the global economy is in Europe. Spain and Greece are in depression, with no hope of recovery in sight. The eurozone’s “fiscal compact” is no solution, and the European Central Bank’s purchases of sovereign debt are at most a temporary palliative. If the ECB imposes further austerity conditions (as it seems to be demanding of Greece and Spain) in exchange for financing, the cure will only worsen the patient’s condition”.

What does Neujobs tell about the way the EU is following to exit the crisis? We wait for comments from Neujobers….

Read more at http://www.project-syndicate.org/commentary/risky-europe-and-america-in-2013-by-joseph-e–stiglitz#l8h4rPksWrdPkL1m.99

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Pringle Case: the interpretation of the European Court of Justice (ECJ) of the European Stability Mechanism (ESM) Treaty

For the Neujobers looking at the EU debate here you find a short summary of the last rulings of the European Court of Justice (ECJ).

On 27 November 2012, the ECJ ruled that the ESM treaty is valid ! After the experiment of the application of the “memorandum of understandings” in Greece and elsewhere in the EU, it can be considered that the application for the ESM treaty will have consequences on economic (and social) policies of the Eurozone Member States. We remind the European Stability Mechanism (ESM) is a permanent international financial institution that assists in preserving the financial stability of the European Union monetary union by providing temporary stability support to euro area Member States.

According to the Court, the ESM “serves to complement the new regulatory framework for strengthened economic governance of the Union”. This is compounsed by the Six Pack which six legal references are mentioned. The Court considers that the ESM treaty does not affect the exclusive monetary competence of the EU.

Those who consider the ESM as a “solidarity tool” should keep in mind that, as says the Court, “the purpose of the strict conditionality to which all stability support provided by the ESM is subject is to ensure that the ESM and the recipient Member States comply with measures adopted by the Union in particular in the area of the coordination of Member States’ economic policies, those measures being designed, inter alia, to ensure that the Member States pursue a sound budgetary policy”.

more info at: Case C-370/12- Pringle v Irish Government Judgment of the Court – 27 November 2012http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:62012CJ0370:EN:HTML

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Employment Protection and Innovation Intensity

This NEUJOBS paper by Gavin Murphy, Iulia Siedschlag, and John McQuinn looks at the relation between employment protection legislation and innovation intensity: “Modern economic theory has identified innovation as a major driver of economic growth. While there is a well established literature on the effects of institutions on economic growth there is little evidence about the effect of labour market institutions and labour market reforms on innovation. From a policy perspective, innovation is in particular important for sustainable economic growth and maintaining high living standards in developed economies in the context of increased global competition from low-wage countries. This analysis provides empirical evidence on the impact of the strictness of employment protection legislation and innovation performance using data from OECD countries over the period 1990-1999. This evidence informs the formulation of economic policies on the role of labour market institutions and labour market reforms on innovation performance.  Continue reading

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