Employment in 2001, November 2002

Author (Person)
Publisher
Series Title
Series Details 13.11.02
Publication Date 13/11/2002
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The European Commission has adopted a draft fifth Joint Employment Report (JER), covering developments in 2001. The Report gives an overview of the employment situation in the EU and Member States in the context of the Employment Guidelines and Recommendations agreed by the Council in February 2002 and also highlights challenges for the Member States in implementing employment policy.

The Report shows that some two million new jobs were created in 2001, despite a less favourable economic climate than in the previous year. Overall, employment rose by 0.6% and unemployment fell by the same figure.

Total Employment Rate
 
EU 15 63.9
Austria 68.4
Belgium 59.9
Denmark 76.2
Finland 68.1
France 63.1
Germany 65.8
Greece 55.4
Ireland 65.7
Italy 54.8
Luxembourg 62.9
Netherlands 74.1
Portugal 68.9
Spain 56.3
Sweden 71.7
United Kingdom 71.7

 

Total Employment Growth
 
EU 15 1.2
Austria 0.2
Belgium 1.2
Denmark 0.2
Finland 1.2
France 1.9
Germany 0.2
Greece -0.1
Ireland 2.9
Italy 1.6
Luxembourg 5.6
Netherlands 2.1
Portugal 1.6
Spain 2.5
Sweden 1.9
United Kingdom 0.8

Despite these figures, the Commission is concerned that 'the current economic slackness should not serve as a pretext to slow down the pace of reforms. On the contrary, governments should prioritise employment even more strongly, not least by setting clear, ambitious and measurable national targets for their employment policies.'

Long term unemployment remains a particular problem, with too many people excluded from the labour market. There are also 'unacceptable regional differences in labour market performance' with relatively low employment amongst older workers also highlighted as cause for concern.

Commenting on the EU employment situation, the European Commissioner for Employment and Social Affairs, Anna Diamantopoulou, was reported to have told the Financial Times 'it would be wrong to jettison Europe's social model in favour of US-style labour policies' and that 'It is a very simplistic approach to say that we are not flexible enough to hire and fire people.'

Introducing the reports themselves, Commissioner Diamantopoulou said: 'The very impressive performance of 2000, when we had the best employment situation for many years, was a difficult act to follow in 2001 but EU labour markets are still improving. They have so far withstood the economic downturn because Member States have launched, and stuck to, ambitious reforms. If all stakeholders keep their end of the bargain, the EU has a good chance of overcoming cyclical downturns without again paying a high price in terms of unemployment.'

The five-year old European Employment Strategy is due for revision. A new Strategy is expected to take account of the Lisbon objectives, to be more results-oriented, and to be better coordinated with other 'relevant processes', including the Broad Economic Policy Guidelines. Three key issues are expected to be addressed by the new guidelines:

  • raising employment and participation rates
  • improving quality and productivity at work
  • promoting an inclusive labour market

Following the Commission's adoption of the draft JER, a draft revision of the European Employment Strategy is expected in January 2003 followed by a formal proposal in April. The Employment Guidelines and Recommendations which make up the rest of the 'Employment Package' will be proposed after the Spring European Council.

Links:

European Commission:
12.11.02: European Commission reports improved performance in EU labour markets despite economic slowdown [IP/02/1653]
Draft Joint Employment Report 2002
Draft Joint Employment Report 2002
12.11.02: United Kingdom: New Commission analysis of labour market performance [MEMO/02/247]
12.11.02: SWEDEN: New Commission analysis of labour market performance [MEMO/02/246]
12.11.02: PORTUGAL: New Commission analysis of labour market performance [MEMO/02/245]
12.11.02: THE NETHERLANDS: New Commission analysis of labour market performance [MEMO/02/244]
12.11.02: LUXEMBOURG: new Commission analysis of labour market performance [MEMO/02/243]
12.11.02: ITALY: new Commission analysis of labour market performance [MEMO/02/242]
12.11.02: IRELAND: new Commission analysis of labour market performance [MEMO/02/241]
12.11.02: GREECE: new Commission analysis of labour market performance [MEMO/02/240]
12.11.02: FRANCE: new Commission analysis of labour market performance [MEMO/02/239]
12.11.02: FINLAND: new Commission analysis of labour market performance [MEMO/02/238]
12.11.02: SPAIN: new Commission analysis of labour market performance [MEMO/02/237]
12.11.02: GERMANY: new Commission analysis of labour market performance [MEMO/02/236]
12.11.02: DENMARK: new Commission analysis of labour market performance [MEMO/02/235]
12.11.02: BELGIUM: new Commission analysis of labour market performance [MEMO/02/234]
12.11.02: AUSTRIA: New Commission analysis of labour market performance [MEMO/02/233]
 
European Sources Online: Financial Times:
07.11.02: 'Hire and fire' is no recipe for Europe, says EU jobs chief

Eric Davies
KnowEurope Researcher
Compiled: Wednesday, 13 November 2002

a draft fifth Joint Employment Report (JER), covering developments in 2001 was adopted by the European Commission on 12 November 2002.

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