Work Activation Regimes and Well‐being of Unemployed People: Rhetoric,Risk and Reality of Quasi‐Marketization in the UK Work Programme

Well‐being and employment activation have become central and intertwined policy priorities across advanced economies, with the mandation of unemployed claimants towards employability interventions (e.g. curriculum vitae preparation and interview skills). Compelled job search and job transitions are in part justified by the well‐being gains that resulting employment is said to deliver. However, this dominant focus within the activation field on outcome well‐being – the well‐being improvement triggered by a transition to paid work – neglects how participation in activation schemes can itself affect well‐being levels for unemployed people – what we term ‘process well‐being’ effects. Combining theoretical literature with empirical work on the UK's large‐scale quasi‐marketized Work Programme activation scheme, we develop the limited existing academic discussion of process well‐being effects, considering whether and how activation participation mediates the negative well‐being effects of unemployment, irrespective of any employment outcomes. We further relate variation in such process well‐being effects to the literature on activation typologies, in which ‘thinner’ work‐first activation interventions are linked to weaker process well‐being effects for participants compared to ‘thicker’ human capital development interventions. Confirming these expectations, our empirical work shows that Work Programme participants have, to date, experienced a largely ‘thin’ activation regime in which participants are both expected to, and empirically demonstrate, similar if not lower levels of process well‐being than those who are openly unemployed. These concerning findings speak to all nations seeking to promote the well‐being of unemployed people and particularly those perusing ‘black box’ activation schemes based around quasi‐marketization, devolution and New Public Management.     

Client contribution in negotiations on employability – categories revised?

Eskelinen L, Olesen SP, Caswell D. Client contribution in negotiations on employability – categories revised? Int J Soc Welfare 2010: 19: 330–338 © 2010 The Author(s), Journal compilation © 2010 Blackwell Publishing Ltd and International Journal of Social Welfare. In this article, we explore how the institutional category ‘unemployed’ is specified in everyday practice when implementing an active employment policy. We illustrate the process of categorisation as an aspect of the in situ positioning and self‐representation of the client by examining one social worker–client talk: how the category unemployed is shaped and ‘translated’ when the client negotiates her situation with the social worker. Two types of category revisions are identified. First, the employability of the client, rather than her unemployment situation, is the issue under negotiation. Second, the client introduces new categories that are compatible with the demands of the employment system. She contributes by drawing on discursive resources related to the category of ‘active job seeker’ but does this with an own agenda of looking for a suitable job. The analysis elucidates the client's contribution to institutional practice and discusses constitutive and constituted elements of categorisation.     

Activation,Public Employment Services and their Clients: The Role of Social Class in a Continental Welfare State

This article fills a gap in the existing literature by investigating how public employment service (PES) staff actually deal with their clients under a continental regime of activation. The results reported here are based on interviews both with PES staff and their unemployed clients in Germany. We argue that due to its Bismarckian origins as an insurance‐based system of ‘unemployment protection’, Germany's system of unemployment compensation is attractive not only for the marginalized, but also for core workers. As a result, PES staff deal with clients from very heterogeneous class backgrounds. We demonstrate that social class is a significant factor in client outcomes, and that earlier research has perhaps overemphasized the role of frontline staff as ‘street‐level bureaucrats’. While staff do have considerable power, the result of the encounters between the administration and clients also depends on the capabilities of the clients, which, in turn, are strongly related to social class.     

Networks,case managers,and the job-search experiences of unemployed people

Employment services are commonly provided in network settings, but it is rare to find social policy analyses of how unemployed people search for jobs through networks. In a germinal analysis of social networks and employment, Mark Granovetter argued that “weak ties” (less familiar contacts) are more important to finding employment than are “strong ties” (family and friends). This is because weak ties provide more novel job-relevant information. Scholarship since Granovetter has predominantly supported the opposite argument, namely, that strong ties are more important for the unemployed, because they are more plentiful and thus provide more information in aggregate. Findings are also generally coloured by the focus being on “informal” networks or personal contacts. “Formal” networks, as represented most cogently by employment service providers, are absent or underestimated in most social network studies. On the basis of a qualitative study of 80 long-term unemployed people in Australia, incorporating analysis of both informal and formal networks, we argue that although “strong informal” ties are vital to job search, it is also important to consider “weak formal” ties, which can be complementary if and where service organizations are able to supply positive case management experiences.     

Financial Incentives and Job‐search Training: Methods to Increase Labour Market Integration in Contemporary Welfare States?

In their efforts to increase labour market integration, contemporary welfare states emphasize the importance of financial incentives, active job‐searching and participation in labour market programmes. However, the effects of these policies have been minor and in some cases even inconsistent. The aim of this study was to examine whether and how financial incentives and job‐search training programmes increase re‐employment and the quality of re‐employment. A total of 1,015 unemployed persons participated in a Finnish follow‐up study with a randomized experimental design. Although no overall impact of job‐search training on re‐employment emerged, a positive effect was found for those groups of the unemployed who had a financial incentive to participate in the programme. Nevertheless, among unemployed workers with benefits at a minimum level there were no positive effects on the quality of re‐employment, and the impact decreased when unemployment was prolonged. Financial incentives and job‐search training appear to increase re‐employment among those of the unemployed who generally have better chances on the labour market, whereas these measures are not sufficient for the more disadvantaged groups of the unemployed.     

Attitudes towards the unemployed. An analysis of Swedish survey data

To be unemployed is often associated with being stigmatised by others. People may blame the unemployed themselves, insist that they could find a job if they tried harder, maintain that too little is demanded from recipients of unemployment benefits and consider differences in standard of living between the unemployed and the employed too small. This article is aimed at studying the prevalence of such negative attitudes and to examine the determinants behind them. In May 2000, questions were added on to a randomly selected subsample in the regular Swedish labour force survey. The results indicate that own unemployment experience and perceived risks of becoming unemployed make people less apt to blame the unemployed. Having family members or close friends with unemployment experience tends to have a similar impact. In contrast, young people more often express stigmatising attitudes. With respect to social class position the results are divided.     

The quest for sustainable employment: Challenges faced by young people during the job‐search process

Young people who are unable to find and sustain employment are at risk for long‐term social and economic exclusion. Active labour market policies (ALMPs) addressing the problem of youth unemployment have focused on building the employability skills of young job seekers to expand their employment opportunities. Yet research exploring how young people navigate the job‐search process is limited. Drawing on interviews with young Australian job seekers and their employment consultants, this article addresses the questions of how young people navigate entry into employment through the job‐search process and what challenges they face. The study revealed three common frustrations experienced by the young people during their job‐search: employers' expectations of relevant work experience in the young person's preferred occupation, being required to apply for jobs not aligned with their career aspirations, and the impact of personal factors on their ability to confidently present themselves to prospective employers. The findings highlight the need for ALMPs and employers to facilitate positive employability support mechanisms that will build a stable platform from which young people can build a trajectory towards sustainable employment to reduce long‐term youth unemployment.     

USING BUDGET CONSTRAINTS TO ILLUSTRATE POVERTY TRAPS: THE CASE OF YOUNG PART-TIME WORKERS IN AUSTRALIA

Although much is known about the incidence of unemployment in Australia over the recent past, the causes of unemployment remain controversial. Various explanations have been advanced, some of which focus on the unemployment benefits system. The present study examines the problem of high effective marginal tax rates faced by young social security recipients wishing to engage in part-time employment, and the resultant emergence of so-called ‘poverty traps’. We examine budget constraints for unemployed eighteen year olds, both singles and couples, for part-time employment in four low income occupations; namely, brickie's labourer, public service clerk, stationhand and sales assistant. The results indicate that pervasive disincentive effects exist for young people seeking low wage employment.     

Does Active Labour Market Policy have an Impact on Social Marginalization?

Countless evaluations of active labour market policy (ALMP) have been conducted in the last decade. The common denominator for most of these evaluations is a focus on employment (self‐sufficiency) as the dependent variable, where the success of ALMP is measured in terms of the number of unemployed finding ordinary employment after (or immediately before) participating in an activation programme. The main argument in this article is that this focus is inadequate. For many long‐term unemployed people, it would be an understatement to describe the road to employment as merely ‘bumpy’. Research must take this into consideration. This article therefore deals with the Danish activation policy from a new perspective by analyzing the impact on different aspects of social marginalization, focusing on long‐term social assistance recipients. Using data from a comprehensive, representative quantitative survey of Danish unemployed conducted in 2007, the first analysis convincingly reveals that we fail to find any systematic correlation between participation in ALMP and any of the social marginalization indicators. The second analysis presents a more mixed picture of the participant's own assessment of the impact of ALMP on their self‐esteem; some are quite positive, while others are more neutral or even rather negative. Taking the existing research into account, these results leave us with conceptual and methodological questions for further research.     

Deciphering Deservedness: Canadian Employment Insurance Reforms in Historical Perspective

In 2012, the Government of Canada introduced reforms to Employment Insurance (EI), Canada's primary income security programme for the unemployed. The changes entailed new requirements for particular types of claimants to apply for and accept jobs of increasingly less pay, and codified the efforts claimants must demonstrate in job searches to maintain benefits. These measures leave many claimants little choice but to accept precarious employment as a means of financial survival. The central claim of the article is that recent EI reforms are not adequately understood as an instance of neo‐liberal activation. Instead, they must be situated in a long history of attempts to categorize the unemployed as deserving or undeserving of income security on the basis of their work history and perceptions of their willingness to work. Through a survey of different periods of unemployment policy in Canada, we demonstrate continuity in authorities' efforts to differentiate the unemployed into categories of worthy and unworthy. Within this history, however, the 2012 reforms are unprecedented in the extent to which they reorient the EI programme to service low wage labour markets. By way of conclusion, we suggest that the current EI programme exacerbates insecurities for the growing segment of workers in precarious employment.     

Employer‐oriented labour market policies in Sweden: Creating jobs and the division of labour in the public sector

In many European countries, greater importance is accorded to labour market policies in which employers are involved in activating unemployed people. Such employer‐oriented policies target employers’ demand for labour and attempt to influence their willingness to hire, train or guide (often disadvantaged) unemployed groups. Using data from a qualitative interview study of an employer‐oriented programme in a medium‐size city in Sweden, the present article aims to develop knowledge about how these policies are used to influence employers to hire unemployed workers and how jobs created in this context differ from regular jobs. The article argues that creating jobs through new arrangements for the division of labour, with the promise of relieving regular staff of unskilled tasks, may influence employers’ willingness to hire the unemployed when used alongside other kinds of policy instruments. However, the article also shows that this new division of labour, with programme participants performing mainly unskilled tasks, has been difficult to realize, as new staff gradually come to perform an increasing number of regular working tasks.     

The perceived fair duration of unemployment benefits for older workers. The role of lifetime achievements in the labour market

The welfare state regulates social policies and reallocates scarce resources. For the social legitimacy of the welfare state, it is important that the public supports the principles underlying this reallocation. This article examines the impact of different activities during the life course on public deservingness perceptions of older unemployed people. In a factorial survey experiment conducted among a random sample of individuals drawn from German administrative employment records, we examine the maximum duration of benefit receipt which is perceived as fair for older unemployed persons with different biographies. The results indicate strong public support for a nexus between previous contributions and benefit entitlements. Besides financial contributions to unemployment insurance, parenting and further training are considered to be ‘lifetime achievements’ which justify longer unemployment benefit receipt. We interpret these findings as an expression of a generalised form of reciprocity which guides perceptions of deservingness regarding older unemployed persons.     

AUSTRALIAN ATTITUDES TO UNEMPLOYMENT AND UNEMPLOYED PEOPLE

Social security policy towards unemployed people in Australia has become increasingly conditional on their demonstrating ever greater job search effort. The evidence from attitudinal survey data on whether this policy shift accords with public opinion is ambiguous. Although, by international standards, Australians take a relatively hard line on the responsibilities of unemployed people lo actively seek work, there is little information about views on the detail of activity testing. While a majority oppose greater public expenditure on unemployment, they still see an important role, for government in addressing unemployment and supporting unemployed people.     

THE ETHICS AND POLITICS OF MUTUAL OBLIGATION

Welfare schemes which require recipients of benefits to ‘give something back’ are often justified in terms of ‘fairness’ or fulfilling the ‘social contract’. The Australian Government's recent and proposed changes to unemployment benefits through the Mutual Obligation Scheme appeal to both justifications. However, insufficient attention has been paid the underlying ethical and political assumptions — a serious deficiency. given their role in legitimating harsh new penalties. There are two broad reasons the current trend to tie benefits to obligations is inappropriate. First, the unemployed have little choice about their contract. And second, there is insufficient mutuality shown towards the unemployed for the Scheme to be obligation‐generating. Rather than being a means of encouraging participation or mutuality, the Scheme is essentially punitive.     

Combining Welfare-to-Work Measures with Tax credits: A New Hybrid Approach to Social Security in the United Kingdom

The changes described in this article reflect a shift in social security away from social insurance and towards a mixture of social assistance, occupational or private insurance and tax credits. It suggests that what is new and distinctive about UK social security policy is the way in which a new strategy has been forged by linking the New Deal, which provides job opportunities for people who are not in employment but can often only offer them low-paid jobs, with tax credit schemes, which provide in-work benefits and are designed to ensure that, if necessary, people accept poorly paid employment.     

Unemployment in Poland - causes and remedial measures

This article describes unemployment and labor market policy in Poland after 1989. The analysis is based on official statistics, legislation and Polish social science literature. The unemployment situation in Poland is continually changing. Conclusions drawn by social scientists in 1991 and 1992 no longer give an adequate account of labor market trends in 1995. Steeply rising unemployment is the most traumatic upheaval in post-Communist Polish society. At the end of 1989, the number of people looking for work in Poland was far less than the number of available jobs. But by the end of 1992 there were 62 job-seekers for every job opening, dropping to 56 in September 1994. The social problems associated with unemployment vary from region to region. Women and young people predominate among the unemployed. The Polish government set up a Work Fund in January 1990 to alleviate unemployment. The Work Fund is the first real measure taken to assist the unemployed, but new legislation is needed if it is to become more effective.     

A fistful of euros: Is the German one‐euro job workfare scheme effective for participants?

Hohmeyer K, Wolff J. A fistful of euros: is the German one‐euro job workfare scheme effective for participants? Welfare reforms have constituted a major policy issue in many OECD countries in recent decades. In Germany, a major reform in 2005 emphasised the activation of welfare recipients and introduced a workfare programme –‘One‐Euro Jobs’– on a large scale. In the present study, the impact of one‐euro jobs on the employment prospects of different groups of participants was estimated. The analysis was conducted on a large sample of welfare recipients using propensity score matching. The sample of one‐euro job participants and other welfare recipients was drawn from administrative records comprising all those who started their participation in the programme in early 2005. Our results showed that participation slightly improved the medium‐term employment prospects for women but not for men. Participation reduced the employment rate of participants younger than 25 years but raised it for some of the older participant groups. In conclusion, one‐euro jobs are effective for participants who have been jobless for several years but ineffective for participants who were recently employed.     

失业者再就业行为及其影响因素分析————基于湖北省武汉、荆州、洪湖三市的调查

本文通过对湖北省武汉、荆州、洪湖三个地区973名失业者的调查，描述了失业者的再就业行为的基本状况，并运用高级统计方法分析了影响失业者再就业行为的主要因素。研究发现：失业者再就业态度积极，但多数人从事着社会地位低、无稳定性的非正式职业或自雇职业；个体的社会特征因素对失业者再就业行为的影响显著，而再就业意愿对再就业行为的影响不显著。所以，本文不支持失业者由于就业期望过高而制约其再就业的看法。     

Employers' attitudes towards long‐term unemployed people and the role of activation in Switzerland

Over the last few years, most OECD countries have extended their activation policy to new groups of non‐working people, including the long‐term unemployed (LTU). However, it is widely known that employers tend to regard LTU people as potentially problematic persons. This is likely to constitute a major obstacle for long‐term unemployed jobseekers. On the basis of a survey among employers in a Swiss canton (N = 722), this article aims to shed light on the perception employers have of the long‐term unemployed and whether this may matter for their recruitment practices. It also asks what, from the employer point of view, may facilitate access to employment for an LTU person. A key finding is that large companies have a worse image of the long‐term unemployed and are less likely to hire them. Furthermore, independent of company size, a test period or the recommendation of a trustworthy person is seen as the factors most likely to facilitate access to jobs for LTU people.