„Workfare” or „Active Social Inclusion” Agnes Simonyi Symposium 5 Work and employment in a global world: decent work, migrations and workfare 33rd Global Conference of ICSW - Tours, France 2008

Growing pressure on welfare systems Effects of globalisation, competition, new international division of work, global value chains The competiton of low cost economies, ICT technologies, re-structuring and segmentation of labour markets in the developed countries Migration, unemployment, irregular forms of work, black and informal work Marginalisation, exclusion from the labour market of wide social groups (unskilled, minorities, migrants, women, 50+, disabled)

Costs and risks Growing costs of pension systems and health services Growing number of unemployed and inactives supported by unemployment and social benefits Growing costs to combat poverty Danger of the „assistance trap”, no alternative to „living on benefits” Loss of human capital, inter-generational cycle of poverty (child poverty) Social conflicts, lack of solidarity

The rise of the workfare approach More cost sensitive governments and communities Need of solidarity based not only on rights but on responsibilities too Need to establish link between income support and work („work for benefits” initiatives) Setting conditions to social income support

Discussion points to the „workfare” approach Universal human and social rights (means of decent living and dignity) Non-availability of jobs (labour market demand) Low education and skill level hindering entrance to formal employment (labour supply) Costs of public works and subsidized jobs Subsidized jobs interfering with job-creation and small entrepreneurship Wider social context of availability to work

Complexity of being available to work Health, age and family conditions Child care support, child care infrastructure Public transport, means of geographical mobility Education and training services Quality of job offers (part-time, working conditions for women, disabled, 50+ …)

The „activation” approach Recognizing public responsibilities of social inclusion Differentiated public support to the employability of marginalized groups Offering services (education, capacity building, training, transport, health care, family support…) on the way to employment Integrated actions of labour market and social services, coordinated efforts of social and employment policies

Incentives to work The social benefit – minimum available wage ratio Financial incentives, „make work pay” initiatives Child care support initiatives (vouchers, nurseries and kindergartens) Family and 50+ friendly workplaces Support to mobility (transport, housing…) Investments in LLL, in capacity building, recognition of skills and work experiences

The „flexicurity” need Measures to balance greater contract, job and working time flexibility with income security, with LLL, with H&S policy, with participation and representation as incentives to work Support to geographical mobility by accessibility to quality services (housing, education, health care, child care, family support, etc.)

The EU Active Social Inclusion Policy Three pillars: 1) minimum income support, 2) inclusive labour markets, 3) access to quality social services Linking income support with activating labour market policies and social services Personalized („tailored”) activating programs Gender aspect and equal opportunities taken into account Role to the social economy Greater involvement of local authorities and communities in the design of activating policies Quality jobs, LLL, participation Evaluation and monitoring