NDLI: Labour Market Reform to Increase Resilience and Labour Utilisation

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OECD Economic Surveys: Netherlands 2006

Assessment and Recommendations

Challenges Faced by the Dutch Economy

Putting Public Finances on a Sustainable Path

Labour Market Reform to Increase Resilience and Labour Utilisation

Further Improvement of Product Market Competition, Especially in Services

Making Better Use of Knowledge Creation in Innovation Activities

Labour Market Reform to Increase Resilience and Labour Utilisation

Content Provider	OECD iLibrary
Organization	OECD
Abstract	This chapter discusses labour-market reforms to increase macroeconomic resilience and labour utilisation. Strict EPL on regular contracts and long unemployment benefit duration weaken re-equilibrating mechanisms that drive the economy back to trend. Regulations that make EPL strict on regular contracts are identified in the first part of the chapter, along with recent and planned reforms to ease EPL on such contracts and suggestions for further reforms. The need to sharpen incentives for unemployed persons to search for a job early in their unemployment spell is also touched upon. Concerning labour utilisation, the main weaknesses are in female working time and in the employment rate for older workers. Low female working time appears to be mainly attributable to difficulties that mothers have in reconciling family and work life. Childcare and out-of-school-hours care arrangements are being strengthened but more needs to be done. To encourage older workers to remain in the labour force longer, access to publicly subsidised routes to early retirement has progressively been made more difficult but there is still scope to go further, especially in respect of unemployment benefit. At the same time, more needs to be done to enhance the employability of older workers.
Page Count	23
Starting Page	67
Ending Page	82
Language	English
Publisher	OECD Publishing
Publisher Date	2006-02-15
Access Restriction	Open
Subject Keyword	Economics
Content Type	Text
Resource Type	Chapter

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