Active labour market policies
Encyclopedia
Active labour market policies (ALMPs) are government programmes that intervene in the labour market to help the unemployed
find work. Many of these programmes grew out of earlier public works
projects designed to combat widespread unemployment in the developed world during the interwar period
. Today, academic analysis of ALMPs is associated with economists such as Lars Calmfors
and Richard Layard
.
There are three main categories of ALMP:
Active labour market policies are prominent in the economic policy of the Scandinavia
n countries, although over the 1990s they grew in popularity across Europe. Notable examples include the New Deal
in the UK and many welfare-to-work programmes in the US.
A number of authors (Boix 1998; Esping Andersen, 1990; Huo, Nelson et al. 2008) have argued that countries with stronger left wing political parties and trade unions have more developed ALMP. On the other hand, Social democratic parties may not promote ALMP if their constituents are well protected workers and hence face little risk of being unemployed (Rueda, 2007). More recently, the notion that different types of ALMP have similar political determinants has been contested (Bonoli, 2010; Vlandas, 2011).
These programmes were satirised by the character Pauline Campbell-Jones in The League of Gentlemen
.
Unemployment
Unemployment , as defined by the International Labour Organization, occurs when people are without jobs and they have actively sought work within the past four weeks...
find work. Many of these programmes grew out of earlier public works
Public works
Public works are a broad category of projects, financed and constructed by the government, for recreational, employment, and health and safety uses in the greater community...
projects designed to combat widespread unemployment in the developed world during the interwar period
Interwar period
Interwar period can refer to any period between two wars. The Interbellum is understood to be the period between the end of the Great War or First World War and the beginning of the Second World War in Europe....
. Today, academic analysis of ALMPs is associated with economists such as Lars Calmfors
Lars Calmfors
Lars Calmfors, born July 12, 1948 in Stockholm, is a Swedish economist and professor of international economics at the Institute for International Economic Studies at Stockholm University....
and Richard Layard
Richard Layard
Richard Layard, Baron Layard is a British economist. He was founder-director in 1990 of, and is a current programme director at, the Centre for Economic Performance at the...
.
There are three main categories of ALMP:
- Public employment services, such as job centres and labour exchanges, help the unemployed improve their job search effort by disseminating information on vacancies and by providing assistance with interview skills and writing a curriculum vitae.
- Training schemes, such as classes and apprenticeships, help the unemployed improve their vocational skills and hence increase their employability.
- Employment subsidies, either in the public or private sector, directly create jobs for the unemployed. These are typically short-term measures which are designed to allow the unemployed to build up work experience and prevent skill atrophy.
Active labour market policies are prominent in the economic policy of the Scandinavia
Scandinavia
Scandinavia is a cultural, historical and ethno-linguistic region in northern Europe that includes the three kingdoms of Denmark, Norway and Sweden, characterized by their common ethno-cultural heritage and language. Modern Norway and Sweden proper are situated on the Scandinavian Peninsula,...
n countries, although over the 1990s they grew in popularity across Europe. Notable examples include the New Deal
New Deal (UK)
The New Deal is a programme of active labour market policies introduced in the United Kingdom by the Labour government in 1998, initially funded by a one off £5bn windfall tax on privatised utility companies. The stated purpose is to reduce unemployment by providing training, subsidised employment...
in the UK and many welfare-to-work programmes in the US.
A number of authors (Boix 1998; Esping Andersen, 1990; Huo, Nelson et al. 2008) have argued that countries with stronger left wing political parties and trade unions have more developed ALMP. On the other hand, Social democratic parties may not promote ALMP if their constituents are well protected workers and hence face little risk of being unemployed (Rueda, 2007). More recently, the notion that different types of ALMP have similar political determinants has been contested (Bonoli, 2010; Vlandas, 2011).
These programmes were satirised by the character Pauline Campbell-Jones in The League of Gentlemen
The League of Gentlemen
The League of Gentlemen are a group of British comedians formed in 1995, best known for their radio and television series.The League of Gentlemen may also refer to:* The League of Gentlemen ,...
.