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Flexicurity

The main goal of the Employment Institute is the labour market research. The publicity and promotion of labour market results in other countries is the part of this research. Besides the taking part in cema-net.org, the Employment Institute provides a research of EU labour markets. The case of Denmark and its flexicurity model is the most interesting for Slovakia. This model consists of advantages of the flexible labour market and social security of employees.

The term “flexicurity” in combination with the labour market, consisting of two words flexibility and security was introduced by Denmark. The flexicurity is the term characteristic for the Danish labour market. Its main contribution is that the security and flexibility are not in opposition, it means, the security does not work in spite of flexibility and conversely.

Danish labour market system is close to liberal systems with a weak protection of employees against lay off and there exists dense network of social security with high wage substitutions. Danish model is a combination of free market economy dynamics with social security and social balance of the scandinavian type.

Danish labour market model with socially balanced way solves the macro economical problems in continuity with the labour market imbalance. Flexibility and security are its main features, closely connected with the socialisation of the work force. It brings, from the point of view provisions' financing, the collective sociability but also a liberalism with the option of labour force use adaptability. The model has three pillars:

  • relatively high wage substitution in case of unemployment,
  • high flexibility on the labour market in the shape of flexible lay off protection rules, e.g. short notice time,
  • active labour market policy; it is secured that employees either seek job or attend some education course.
In Danish model, the state takes care in financing the education mainly in case of people with the lowest education and the worst connection to the labour market.

Danish ministry of labour describes provisions on the labour market as the „gold triangle" among flexible rules for hiring employeees with the generous support system and massive activation measures. Flexible rules lead to the quantitative flexibility, social support system offers a social security and the activation measures are the motivation for people to work and qualify them for the labour market entry.

Presentation (in Slovak only) shows the advantages and opportunities of this model


https://www.iz.sk/en/projects/flexicurity

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