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Flexicurity policies and their effects on productivity [Elektronski vir] : empirical analysis of the EU countries
Laporšek, Suzana, 1984- ; Dolenc, Primož, 1976-
The paper examines the issue of flexicurity in the EU Member States and studies the impact of flexicurity policy components (i.e. employment protection legislation, active labour market policies, ...lifelong learning programs and unemployment benefits) on labour and total factor productivity growth in 20 EU Member States in the 1998-2008 period. The empirical analysis pointed on the existence of large differences in the level ofimplementation of flexicurity policies across EU Member States, by which the least successful are NMS,especially in the field of active labour market and lifelong learning programs. As regards the impact of flexicurity variables on productivity, panel regression estimates showed that active labour market policies and participation in lifelong learning programs have a statistically significant positive impact on labour and total factor productivity growth. On the other hand, rigid employment protection and high net replacement rate for unemployment may reduce productivity growth.
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