Index. and challenges across welfareemployment

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1 Index active labour market policy (ALMP) and Austria, and France, 42 3, and Greece, 228, 239 and Hungary, 166, 167, and Sweden, 83, 85, 87 9, 102; cutback in, ; integration of immigrants, 93; integration of unemployed, 88; social legitimacy, 88 actors and national employment models, and interest groups, 40 2 and new actor configurations, 15 ageing population, 7, 14, 35 and Hungary, 172 and Italy, 207 8, 216 and pension reform, architecture of national employment models, 18 and challenges across productionemployment nexus, 32 5 and challenges across welfareemployment nexus, and impact of differences in, 31 2 and meaning of term, 53 n11 and political will, 32 Australia, 66 Austria and active labour market policy, and austerity policy, 145 and Central and Eastern Europe (CEE), and changes in model, 25 6, 138, 149 and childcare, 148 and collective bargaining, 25 6; attitudes towards, 41; erosion of, 147; sector/company agreements, 133; sector-specific differences, ; stability of, and competitiveness, 141, 142, 143, 149 and consensual capitalism, 133 as coordinated market economy, 24, 132, 133, 151 and corporate governance, 138, 142 and corporatism, 25, 133 4, 147 and crisis in system, 138 and economic growth, 137 and education and training, 135, 140, and European Union membership, 138, 140, 145, 149 and features of post-war model, and foreign direct investment, 135, 140, 141 and heterogeneity of economy, 148 and historical context, 132 and incremental change, 132, and inequality, 136, 148 and institutional continuity, 146 9, 150 and internationalization of economy, and labour market, 143 5; flexibilization, 144; segmentation of, 136 and labour protection, 134 as liberal market economy, 132, 149 and minimum wage, 136, 147 and negotiated capitalism, 134, 147 and outsourcing, 143 and part-time work, and pension reform, and political will, 43 and privatization, 25, 43, 132, and production system, changes in organization, and public social expenditure, 36 and relationship with Germany, 131; investment by, 135 and research and development, 135 and Rhenish capitalism, 133 and role of the state sector, and shareholder value, 139 and small and medium-sized enterprises, and social partnership, 133 4, 146,

2 Index 271 and strike activity, 146 and tax policy, 146, 149 and trade unions, 133, 136; weakening of, 140 and unemployment, 138 and welfare state, 136 7; as conservative regime, 26, 137, 148 9; family model, 148 9; male breadwinner model, 137; reform of, participation, 38, 137, 144, 148 Austrian Trade Union Federation, 133 Balladur, Edouard, 185 Bank of England, 62 birth rate, and decline in, 35 Blair, Tony, 57, 66 Brown, Gordon, 65, 66 Cap Gemini, 192 capitalism, see varieties of capitalism Central and Eastern Europe (CEE), and Austria, Central European Bank, 188 childcare, 14 and Austria, 148 and Germany, 112, 124, 127 n2 and Greece, 242 and Hungary, 168 and Sweden, 92, 94, 95 and United Kingdom, 73 cluster analyses, and national employment models, 9 codetermination, and Germany, 108, 109 collective bargaining and Austria, 25 6; attitudes towards, 41; erosion of, 147; sector/company agreements, 133; sector-specific differences, ; stability of, and employers attitudes towards, 40 1 and France, post-war period, 180 and Germany, 25, 34, 108; attitudes towards, 40 1; erosion of, 121; introduction into East Germany, and Greece: establishment of free, 235; post-dictatorship changes, 228; role of the state, 227 and Hungary, 163, 164 5; weakening of, 165 and Sweden, 24, 34, 82; Agreement on Industry, 89; changes in, 87, 89 90; solidaristic wage policy, 82 3; two-tier system, 90, 91, and United Kingdom, 34; erosion of, 58 9, 71 see also trade unions comparative advantage, and quality of work, 3 comparative institutional advantage and coordinated market economies, 5 6 and institutional complementarities, 6 and liberal market economies, 6 and national employment models, 12 competitiveness and Austria, 141, 142, 143, 149 and compatibility with social protection, 14 and education and training, 24 and France, 181, 188, 192 and Germany, 108, 114, 120 and globalization, 12 and Greece, 223, 225, 231, 234, 243 and Hungary, 173, 174 and Italy, 203, 205, 209, 210, 211, 212, 213, 217 and national employment models, 4 5 and Spain, 249, 250 1, 253, 255, 256, 264 and Sweden, 84, 91, 99 conflicts of interest, and national employment models, 15 16, 40 2 consensual capitalism, and Austria, 133 conservative welfare regimes, 7 and Austria, 26, 137, and France, 27, 181 and Germany, 24, 25 and Italy, 28 continental European model of capitalism, 9 continental welfare regimes, see conservative welfare regimes conversion, and institutional change, 17; Austria, 150

3 272 Index coordinated market economies (CMEs), 5 6 and Austria, 25, 132, 133, 151 and Germany, 24 and Hungary, 173, 174, 175 and institutional complementarities, 6 and reduced scope of actors, 40 and Spain, 247 8, 264 and Sweden, 23 corporate governance and Austria, 138, 142 and France, 180, and Germany, 107; changes in, and Greece, 226, 232, 234 and Hungary, 160 and Italy, 210 corporatism, and Austria, 25, Council for Mutual Economic Assistance (COMECON), 141, 157 country size, and national employment models, 13, 45 crises and Austria, 138 and change in national employment models, 11 and Germany, and Sweden: early 1990s, 85 6; late 1970s, 84 5 cycles and national employment models, 11, 45 and United Kingdom, 57 decent work, 3, 51 n2 and Germany, 126 and Spain, and United Kingdom, 75 decentralization, and France, 27, 185 deregulation and France, 33 and Germany, 33 and Greece, 233, 234 and impact of, 32 4 and Italy, 201, and labour standards, 32 4, 48 and Nordic countries, 33 and Spain, 254 5, 256 and Sweden, 98 and United Kingdom, 33; disadvantages of, 67; financial sector, 23; low regulation economy, 66 7 displacement, and incremental change, 17 drift, and institutional change, 17; Austria, 150 economic growth and Austria, 137 and France, 187 8, 189 and Germany, 105, 106, 111, 114, 126 and Greece, 223, 224, 227, 232, 235 and Hungary, 155, 157, 159 and Italy, 202, 203 and Spain, 247, 253, 266 and Sweden, 84, 86, 97 and United Kingdom, 67 education and training, 14 and Austria, 135, 140, and competitiveness, 24 and France, 195; post-war period, and Germany, 107 8; deficiencies in school system, 120; firms reluctance to offer training, 120; innovation, 120; underinvestment in, 126 and Greece, 226 7, 235, 240 and Hungary, and Italy, ; women, 215 and Spain, and Sweden, 24, 88 and United Kingdom, 59; focus on higher education, 71 2; skill problems, 72 3 elites and France, 182, 183 4, 185 and increasing exit options, employers organizations and France, and Germany, 108 and Hungary, 164 and Spain, 251 and Sweden, 83 European Central Bank, 11, 113, 126 European Commission, 15 European Court of Justice, and Laval case, 34, 91

4 Index 273 European Employment Strategy, 48 and Greece, 28, 242 European Social Fund (ESF), and Greece, 28, 228, 242 European social model and basis of, 2 and challenges to, 2 3 and core principles of, 44 and Hungary, 174 and ruptures within, 49 European Structural Funds and Greece, 239 and Hungary, European Union (EU) and deregulation of product markets, 32 3 and directives of, 14 and influence at national level, 44 and integration of new members, 49 and macroeconomic constraints of, 50 1 and neglect of productionemployment interactions, 51 and Posted Worker Directive, 91 and reduced scope for national action, and reform, 2 and role of state actors, 47 and strengthening of national executives, 15 exhaustion, and institutional change, 17 familialist welfare regime, 7 and access to, 31 and Austria, 148 and Greece, , 242 and Italy, 28, 218 n5 and social protection, 7 financial sector, and United Kingdom, 23, 57, 59, 66 Finland, 52 n5 flexibility, 3 flexicurity, 3, 50 foreign direct investment and Austria, 135, 140, 141 and France, 188 and Hungary, 156, and United Kingdom, 67 France and activation policy, 42 3 and active labour market policy (ALMP), and balance of trade, and changes in model, 27, 197 and collective bargaining, post-war period, 180 and competitiveness, 181, 188, 192 and continuity in model, 197 and corporate governance, 191 2; post-war period, 180 and deregulation, 33 and difficulty in classifying, 178 as dirigist state, 182 and economic growth, 187 8, 189 and education and training, 195; postwar period, and employers organizations, and employment growth, 190; public sector, 191; subsidized jobs, 191 and European Union, influence of, 183 and foreign direct investment, 188 and governance structure: decentralization, 27, 185; political/administrative elites, 182, 183 4, 185; territorialization, and immigration policy, 198 and increased importance of stock exchange, 32 and incremental change, 179, 197; social policy, 183 and industrial concentration and restructuring, 192 and industrial relations: fragmentation, 186 7; post-war period, and inequality, 193 and labour market: age structure, 194; labour cost reductions, 193; postwar period, 180; subsidized jobs, 191; unskilled jobs, 195; working time, 195 and labour standards, worsening of, and macroeconomic policy, 182; deflationary strategy, 182 and manufacturing, 192 and minimum wage, 27, 180, 182, 193, 197

5 274 Index France (contd.) and nationalized industries, 181, 182 and neoliberalism, 183 and paradoxical policies, and part-time work, 195 and political will, 42 3 and privatization, 27, 32, 184, and public expenditure: growth of social expenditure, 190 1; reduction in, 184, 189 and public sector employment, 181, 186, 191 and research and development, 184 and role of the state, 178 9, 192; changes in, 184 6; economy, 181 2; industrial relations, 181; as prime mover, 185, 186 and service economy, and small and medium-sized enterprises, 192 and social policy, 183, 185 and social protection, and social stratification, 179 and state-enhanced capitalism, 27, 32, 178, 179, 197 and state-led capitalism, 27; employment regime, ; pressures on model, 179 and trade unions, 181; weakening of, 184 and unemployment, 187, 190, 192 4; impact of, 192 3, 196 and welfare regime: as conservative regime, 27, 181; conservative welfare regime, 181; incremental change, 183; post-war period, 181 2; reform of, 196; segmentation of, participation, 193 4, and work organization, and young people, 198 Germany and changes in model, 24 5, ; status of, 12 and childcare, 112, 124, 127 n2 and codetermination, 108, 109 and collective bargaining, 25, 34, 108; change in employers attitudes, 40 1; erosion of, 121; introduction into East Germany, and competitiveness, 108, 114, 120 and coordination, 24 5 and corporate governance, 107; changes in, and crisis in system, and criticism of model, and deregulation, 33 and dual labour system, 125 and economic growth, 105, 106, 111, 114, 126 and education and training, 107 8; deficiencies in school system, 120; firms reluctance to offer training, 120; innovation, 120; underinvestment in, 126 and employers organizations, 108; declining membership, 121, 122 and essence of model, 105, 124 and export-oriented production, 105, 106; dependence on success of, 125; pressure on labour costs, 125 6; revitalization of, 125 and financial market capitalism, 126; increased importance of stock exchange, 32, 118; trend towards, and gendered nature of model, 111 and geographic divide, 25, 112 and healthcare, 118 and industrial relations, 108, 120 1; upheavals in, 121 2; wage dispersion, and institutional/social fragmentation, and labour law, 108 and labour market policy, 108; part-time work, 122 3; reforms, 123, 125 and low-wage sector, 34, 122, 123, 125 and macroeconomic policy, ; Maastricht criteria, 114, 126 and manufacturing, 105, 109; competition, 111; declining importance of, ; innovation, 119; reorganization of, 119 and minimum wage, 25, 26, 122, 127 and the Mittelstand, 107

6 Index 275 and neoliberalism, 111, 113 and parental leave, 124 and part-time work, and patient capital, 32, 107, 126 and policy challenges, and political will, 43; reunification, 113 and privatization, 113, 115, 118, 122 and production system, modernization of, and public social expenditure, 36 and reunification of, 105; impact of, 106, , 126 and Rhenish capitalism, 105 and segments of economy, 109; changes in employment in, 115; changes in employment model, ; regulation of, 110 and service economy, 106; lack of model for, 126 and trade unions, 30, 40 1, 108, 109; decline in influence, 114, 121 and unemployment, 105, 111, 126 and welfare state: as conservative regime, 24, 25; criticism of, 106; features of, 108; gender bias, 111, 124; reforms, 123 4; unemployment benefits, 123 participation, 38, 124 globalization and impact of, 32, 45 6 and labour standards, 49 and nation states, 15 and pressures for change, and United Kingdom, 66 governance structures and changes in, 32 and France: decentralization, 27, 185; political/administrative elites, 182, 183 4, 185; territorialization, and multi-level governance, problems with, 50 1 see also corporate governance Greece and active emigration policy, 227 and active labour market policy (ALMP), 228, 239 and changes in model, 28 9, 223 and childcare, 242 and collective bargaining: establishment of free, 235; postdictatorship changes, 228; role of the state, 227 and competitiveness, 223, 225, 231, 234, 243 and corporate governance, 226, 232, 234 and deregulation, 233, 234 and economic growth, 223, 224, 227, 232, 235 and economic policy, 223 and education and training, 226 7, 235, 240 and employment policy, and employment structure, and European Union membership, 224; impact of, 232, 237, 242 and financial market liberalization, 234 and immigration, and incomes policy, 228 and incremental change, 241 and industrial crisis, 225 and industrial relations, 227; eradication of state intervention, 235 6; post-dictatorship changes, 228; reduction in conflict, 236 7; social partnership approach, 236 and industrialization, 225 and inflation, 234 and labour market: flexibility, 237; irregular work, 237, 239; segmentation of, 226, and liberal capitalism, 242 and macroeconomic policy, 232 3; Maastricht criteria, and manufacturing, 225 and minimum wage, 227, 235 and part-time work, 237 and pension reform, and political will, 43 and privatization, 29, 233, 234 and production system, 224; international competition, 233; international specialization, 225, 234 5; nationalization, 226; stagnation, 225

7 276 Index Greece (contd.) and public debt, 242 and public sector employment, and research and development, 235 and small and medium-sized enterprises, and social partnership, and social policy, 223 and state-led familistic capitalism, 224; post-dictatorship changes, and strike activity, 228, 236 and sustainability of new model, and trade unions, 41, 43, 227, 228, 233, 243 and unemployment, 237 8, and welfare state: de-familialization, 242 3; familialism, , 242; family policy, 231; features of, 229; fragmentation of, 229; gender bias, ; healthcare, 229, 231, 241; increased spending on, 230; pension policy, 230; unemployment protection, 231 participation, and work organization, 226 healthcare and Germany, 118 and Greece, 229, 231, 241 and Hungary, 167, 169 and Italy, 203, 217 n1 and Spain, 248, 250, 254 and Sweden, 84, 85, 92, 97, 98, 99 and United Kingdom, 59, 62, 64 housing boom, 11 and Spain, 11 and United Kingdom, 67 Hungary and active labour market policy (ALMP), 166, 167, and changes in model, 26 7 and childcare, 168 and collective bargaining, 163, 164 5; weakening of, 165 and competitiveness, 173, 174 as coordinated market economy, 173, 174, 175 and corporate governance, 160 and development path, and economic growth, 155, 157, 159 and education and training, and employers organizations, 164 and European Union membership, 155, 158, 169; funding from, 173; Lisbon strategy, 172 3; Maastricht criteria, 159, 173 and foreign direct investment, 156, and foreign trade structure, 157 and healthcare, 167, 169 and industrial relations, and inequality, 167 and labour market: ageing population, 172; changes in, 165 7; early retirement, 169; low employment rate, 169; regional differences, 166; wage elasticity, 167 as liberal market economy, 173, and Lisbon strategy, and macroeconomic policy, and management practices, 163 and minimum wage, 158, 160, 164, 165, 172, 175 and model-building, distinct periods of, and national tripartite forum (National Interest Reconciliation Council), 164 and obstacles to reform, and political conflict, 159 and post-communist transition, 155, 156 9; economic policy, 157 9; initial conditions for, 156 7; transition recession, 156, 157, 166 and privatization, 26, 156, 160 and public social expenditure, 36 and research and development, and Roma, 166, 170 and small and medium-sized enterprises, and trade unions, and unemployment, 156, 165, 166, 167 and welfare state: early retirement, 169; family policy, 167 8; maternalist, 167; premature welfare state, 168; reform of, 156, 167 9;

8 Index 277 in socialist period, 167; trends in, participation, 168 ideology, and pressures for change, 14 immigrants/immigration and France, 198 and Greece, and Spain, 258 and Sweden, 93 income distribution, see inequality incremental change, 132 and Austria, and France, 179, 197; social policy, 183 and Greece, 241 and national employment models, 17 and United Kingdom, industrial districts, and Italy, 28, 202 3, 212 industrial relations and France: fragmentation, 186 7; post-war period, and Germany, 108, 120 1; upheavals in, 121 2; wage dispersion, and Greece, 227; eradication of state intervention, 235 6; postdictatorship changes, 228; reduction in conflict, 236 7; social partnership approach, 236 and Hungary, and Spain: under Franco, 251; post- Franco, and Sweden, 89 91, see also collective bargaining; employers organizations; trade unions inequality and Austria, 136, 148 and employment relationship, 1 and France, 193 and Hungary, 167 and labour standards, 48 and social protection, 48 and Sweden, 84 and United Kingdom, 59, 68, 76 institutional change and societal effects, 2 and types of, 17 institutions and institutional complementarities, 6, and need for multi-level institution building, and role of, 1 interest groups, and national employment models, 40 2 international agreements, and pressures for change, 14, 46 international governance, and pressures for change, 14 International Labour Organization (ILO), and decent work, 3, 51 n2 Italy and ageing population, 207 8, 216 and changes in model, 28 and competitiveness, 203, 205, 209, 210, 211, 212, 213, 217 and corporate governance, 210 and dual production systems, 28, 201 and economic growth, 202, 203 and education and training, ; women, 215 and employment growth, and exchange rate policy, 203 and financial market capitalism, 210 and gender roles, and healthcare, 203, 216, 217 n1 and industrial districts, 28, 202 3, 212 and informal economy, 202, , 217, 218 n4 and job quality, 215 and labour market: deregulation, 201, 206 7; income policies, 205 6; protected sectors, 204; regulatory framework, 203 4; segmentation of, 202, 206 and macroeconomic policy, 205 and main features of social model, and manufacturing, and North-South divide, 201, 202, , 217; explanations of, 203 and obstacles to reform, 201 2, and part-time work, 37, 219 n9 and pension reform, 40, and political will, 43 and privatization, 28, 201, 202,

9 278 Index Italy (contd.) and production system, 202 3; export performance, ; frozen specialization, ; innovation, 213; structural weakness, 212; structure of, 211; upgrading, and research and development, 212 and social protection, and unemployment, 214; women, 216 and welfare state: as conservative regime, 28; familialism, 28, 218 n5; lack of reform, 216; southern model of welfare, participation, 39, 214, 216 and young people, 207, 208 Japan, and changing status as model, 12 job quality, 3 and comparative advantage, 3 and Italy, 215 and labour standards, 48 and social protection, 48 and Spain, 254, 255, and United Kingdom, 75 Keynesianism, 10 Kornai, János, 168 labour markets and Austria, 143 5; flexibilization, 144 and European Union regulation, 34 and France: age structure, 194; labour cost reductions, 193; post-war period, 180; subsidized jobs, 191; unskilled jobs, 195; working time, 195 and Germany, 108; reforms, 123, 125 and Greece: flexibility, 237; irregular work, 237, 239; segmentation of, 226, and Hungary: changes in, 165 7; early retirement, 169; low employment rate, 169; regional differences, 166; wage elasticity, 167 and impact of product deregulation, 33 4 and Italy: deregulation, 201, 206 7; income policies, 205 6; protected sectors, 204; regulatory framework, 203 4; segmentation of, 202, 206 and non-standard work forms, 48 and polarization of, 48 and Spain: deregulation, 254 5, 256; flexibility, 256; gender pay gap, 261; job insecurity, 257, 259; low-quality jobs, 254, 255; opposition to reforms, 252; reducing labour costs, 255 6; reform of, 252, 254, 255 6; segmentation of, ; temporary jobs, 255, 256, 259, 266 n2, 267 n4; transitional phase, 254; turbulence in, 255; young people, and Sweden: integration of immigrants, 93; integration of unemployed, 88; large companies, 98; low employment growth, 99; regulation of, 33 4, 91; total employment, 99 and United Kingdom: job quality, 75; segmentation of, 74 and women s participation, 7, 8, 14, 35 6, 37 9; Austria, 38, 137, 144, 148; France, 193 4, 197 8; Germany, 38, 124; Greece, 241 2; Hungary, 168; Italy, 39, 214, 216; Spain, 39, 258; Sweden, 92 3; United Kingdom, 39, 73 see also active labour market policy (ALMP); part-time work labour standards and deregulation, 32 4, 48 and globalization, 49 and income distribution, 48 and insider-outsider labour competition, 48 and non-standard work forms, 48 and offshoring, 49 and quality of work, 48 and wages and employment security, 48 9 and weakening of, 49 layering, and institutional change, 17; Austria, 150 liberal market economies (LMEs), 5 6 and Austria, 132 and Hungary, 173, and institutional complementarities, 6 and Spain, 264 and United Kingdom, 23, 58 liberal welfare regimes, 7

10 Index 279 liberalization, and incremental change, 17 Lisbon strategy, 12, 48, 70 and education and training, 213 and France, 194, 197 and Hungary, Maastricht criteria, 11 and Germany, 114, 126 and Greece, and Hungary, 159, 173 macroeconomic policy and France, 182; deflationary strategy, 182 and Germany, ; Maastricht criteria, 114, 126 and Greece, 232 3; Maastricht criteria, and Hungary, and Italy, 205 and national employment models, 10 11, 45 and Sweden, 82, 83; reorientation of, 87, 100 and United Kingdom, 62, 74 manufacturing and France, 192 and Germany, 105, 109; competition, 111; declining importance of, ; innovation, 119; reorganization of, 119 and Greece, 225 and Italy, and Spain, 249 and Sweden, 97 and United Kingdom, 58, 59, 70 1 market-based model of capitalism, 9 market state, 23 and United Kingdom, 23, 65, 76 maternity leave, and United Kingdom, 73 see also parental leave Mediterranean model of capitalism, 9 Meidner, Rudolf, 83 minimum wage, 30, 34 and Austria, 136, 147 and France, 27, 180, 182, 193, 197 and Germany, 25, 26, 122, 127 and Greece, 227, 235 and Hungary, 158, 160, 164, 165, 172, 175 and Spain, 252, 259 and United Kingdom, 23, 39, 59, 65, 69 Mitterand, François, 182 mixed market economies (MMEs), 52 n6 and Spain, 264 Mouvement des Entreprises de France, 184 multi-level governance, and problems with, 50 1 multinational companies, and pressures for change, 14 nation state and continuing importance of, 19, 47 8 and political will, 42 3 and reduced scope for action, national employment models and actors in, and architecture of, 18; challenges across production-employment nexus, 32 5; challenges across welfare-employment nexus, 35 40; impact of differences in, 31 2; political will, 32 and challenges to, 2; responses to, 2 3 and changes in, 4; balance of power, 30; degree of liberalism, 31; lack of purposeful design, 31; variations in, 20 2, 30 1 and commonalities among, 2 and competitiveness, 4 5 and country size, 13, 45 and cycles, 11, 45 and developing analyses of changes in, 44 5; expanding factors accounting for employment performance, 45; expanding range of challenges, 45 6; hybrid typologies, 46 7; importance of actors, 47 8; political will, 47 8 and development of, and diversity in, 2 and employment relationship, 1 and forms of change, 15 20; conflicts of interest, 15 16; environmental change, 16 17; historical perspective, 18; incremental, 17; power relations, 15 16; rupture, 17 18

11 280 Index national employment models (contd.) and globalization, 13 14, 32, 45 6 and macroeconomic policy, 10 11, 45 and multi-level institution building, and political will, 19, 42 3 and pressures for change, 13 15; external, 13 14, 45 6; internal, 14, 46; new actor configurations, 15 and societal effects, 2 and specialization, 12, 45 and status of, and typologies of, 4 10; cluster analyses, 9; institutional complementarities, 6; value of, 5; varieties of capitalism approach, 5 6, 8 9; welfare regime approach, 7 9 and varieties of capitalism, 1 2, 5 6, 8 9; criticism of approach, 15 and welfare regimes, 5 see also individual countries negotiated capitalism, and Austria, 134, 147 neoliberalism and France, 183 and Germany, 111, 113 and Spain, 255 and United Kingdom, 58 Nordic countries and deregulation, 33 and labour market regulation, 33 4 offshoring, 49 and United Kingdom, 71 Organization for Economic Co-Operation and Development (OECD), 2 outsourcing, 48 and Austria, 143 and United Kingdom, 64 ownership, and changes in, 32 parental leave and Germany, 124 and Spain, 261 and Sweden, 92, 94 5 see also maternity leave part-time work and Austria, and France, 195 and Germany, and Greece, 237 and Italy, 37, 219 n9 and Spain, 37, 259 and Sweden, 39, 92 and United Kingdom, 39 participation, 37 9 pension policy/reform, and Austria, and Greece, 230, and Italy, 40, and Spain, 262 and Sweden, 24, 39 40, 96; actors attitudes, 41 and United Kingdom, 40, 67 8, 75 6 political will and architecture of national employment models, 32 and national employment models, 19, 42 3, 47 8 Portugal, 52 n5 poverty reduction, and United Kingdom, 59, 65, 75 poverty traps, and United Kingdom, 67 power relations, and national employment models, privatization, 7 and Austria, 25, 43, 132, and France, 27, 32, 184, and Germany, 113, 115, 118, 122 and Greece, 29, 233, 234 and Hungary, 26, 156, 160 and Italy, 28, 201, 202, and Sweden, 98 and United Kingdom, 34, 58, 67 production system and changes in, 2 and elements of, 18 and employment relationship, 1 see also individual countries public discourse, 14 public social expenditure and Austria, 36 and Germany, 36 and Hungary, 36 and Sweden, 36, 81 and United Kingdom, 23, 36 7, 62 and variations in, 36 7 quality of work, see job quality

12 Index 281 radical change, and national employment models, Rehn, Gösta, 83 research and development and Austria, 135 and France, 184 and Greece, 235 and Hungary, and Italy, 212 and Spain, 250 and Sweden, 98, 99 and United Kingdom, 70 Rhenish capitalism and Austria, 133 and Germany, 105 see also coordinated market economies (CMEs) ruptures and European social models, 49 and national employment models, service economy, 5 and development of, 35 6 and France, and Germany, 106; lack of model for, 126 and growth patterns in, 8 and Spain, 250 and Sweden, 98 and United Kingdom, 70, 71, 74 and welfare regimes, 8 Siemens, 141 small and medium-sized enterprises and Austria, and France, 192 and Greece, and Hungary, and Spain, 250 social cohesion, 3 social-democratic model of capitalism, 9 social-democratic welfare regimes, 7 and Sweden, 23 social policy and France, 183, 185 and Greece, 223 as productive factor, 48 and Sweden, 92 social protection and the family, 7 and flexibility, 3 and income distribution, 48 and maintenance of, 3, 37 and quality of work, 48 and weakening of, 49 social services and provision of, 37 and women s employment in, 37 societal effects and institutional change, 2 and national employment models, 2 and technological change, 14 southern model of welfare and Italy, and Spain, 248, 260 Spain, 260 and changes in model, 29; contested by trade unions, 265; factors influencing, 247, 248, 265; pace of, and competitiveness, 249, 250 1, 253, 255, 256, 264 and construction sector, 249 and contradictory views of employment system, as coordinated market economy, 247 8, 264 and decent work, and difficulty in classifying economic system, and economic growth, 253, 266; under Franco, 247 and education and training, and employers organizations, 251 and employment rates, and environmental problems, 264 and European Union membership, impact of, 260 and healthcare, 248, 250, 254 and housing boom, 11 and immigrants, 258 and industrial relations: under Franco, 251; post-franco, and international trade, 251 and job quality, 254 and labour market: deregulation, 254 5, 256; flexibility, 256; gender pay gap, 261; job insecurity, 257, 259; low-quality jobs, 254, 255, 258 9; opposition to reforms, 252;

13 282 Index Spain (contd.) reducing labour costs, 255 6; reform of, 252, 254, 255 6; segmentation of, ; temporary jobs, 255, 256, 259, 266 n2, 267 n4; transitional phase, 254; turbulence in, 255; Workers Rights Statute (1980), 255, 256; young people, and liberal capitalism, 264 and manufacturing, 249 and minimum wage, 252, 259 as mixed market economy, 264 and neoliberalism, 255 and part-time work, 37, 259 and peripheral Fordism, 247, 264 and production system, ; dual business structure, 250, 253 4; employment structure, ; productivity, 250; sectoral specialization, 250 and research and development, 250 and service economy, 250 and small and medium-sized enterprises, 250 and trade unions, 29, 30, 41 2, 251 3, 265, 266 n1; weakness of, 255 and unemployment, and welfare regime: family policy, 261; growth in role of state, 260; impact of EU policies, 260; life-work balance, 261 2; low quality of, 264; parental leave, 261; pension reform, 262; southern model, 248, 260 participation, 39, 258 specialization, and national employment models, 12, 45 state-enhanced capitalism, see France state-led capitalism and France, 27, and Greece, 224, stock markets, and increasing importance of, 32 Austria, 133, 139, 145 France, 32 Germany, 32, 118 Greece, 234 Italy, 210 strategic alliances, and coordinated market economies, 6 Sweden and active labour market policy (ALMP), 83, 85, 87 9, 102; cutback in, ; integration of immigrants, 93; integration of unemployed, 88; social legitimacy, 88 and actors role, 41 and central bank, 87 and changes in model, 23 4; status of, 12 and childcare, 92, 94, 95 and collective bargaining, 24, 34, 82, 87; Agreement on Industry, 89; changes in, 87, 89 90; solidaristic wage policy, 82 3; two-tier system, 90, 91, and competitiveness, 84, 91, 99 and deregulation, 98 and devaluation, 84, 85, 86 and economic growth, 84, 86, 97 and economic performance, 97; crisis of late 1970s, 84 5; employment crisis of early 1990s, 85 6; post recovery, 86 and education and training, 24, 88 and employers organizations, 83 and future direction of, 100 and healthcare, 84, 85, 92, 97, 98, 99 and household-related services, 98 9 and industrial relations, 89 91, and inequality, 84 and labour market: integration of immigrants, 93; integration of unemployed, 88; large companies, 98; low employment growth, 99; regulation of, 33 4, 91; total employment, 99; women s participation, 92 3 and macroeconomic policy, 82, 83; reorientation of, 87, 100 and maintenance of model, 48 and manufacturing, 97 and parental leave, 92, 94 5 and part-time work, 39, 92 and pension reform, 24, 39 40, 96; actors attitudes, 41 and privatization, 98 and production system, 97 9 and public sector employment, 85 and public social expenditure, 36, 81

14 Index 283 and Rehn-Meidner model, 83 and research and development, 98, 99 and service economy, 98 and sickness benefits, 97 and social protection system, 94 7, 101 and tax policy, 95 6, 99 and trade unions, 24, 83, 89, 90, 91 and traditional model, 82 4; egalitarianism, 92; revival of, 82, 100; strengthening of, 87 and unemployment, 81, 83, 85, 86, 100; crisis of early 1990s, 85 6 and welfare state, 82; characteristics of, 92; egalitarianism, 92; individualization of social policy, 92 Swedish Confederation of Trade Unions (LO), 83, 90 Swedish Employers Confederation (SAF), 83 system effects, and pressures for change, 14 tax policy and Austria, 146, 149 and Sweden, 95 6, 99 technology, and pressures for change, 14 territorialization, and France, Thatcher, Margaret, 58, 64, 67 tipping points, and United Kingdom, 70 3 trade unions and Austria, 133, 136 and coordinated market economies, 5 6 and decline in power of, 42 and France, 181; weakening of, 184 and Germany, 30, 40 1, 108, 109; decline in influence, 114, 121 and Greece, 41, 43, 227, 228, 233, 243 and Hungary, and Spain, 29, 30, 41 2, 251 3, 265, 266 n1; weakness of, 255 and Sweden, 24, 83, 89, 90, 91 and United Kingdom, 58, 65; decline of, 71 unemployment and Austria, 138 and France, 187, 190, 192 4; impact of, 192 3, 196 and Germany, 105, 111, 126 and Greece, 237 8, and Hungary, 156, 165, 166, 167 and Italy, 214, 216 and Spain, and Sweden, 81, 83, 85, 86, 100; crisis of early 1990s, 85 6 United Kingdom and assessment of model, 76 and balance of payments, 74 and Bank of England, 62 and changes in model, 23, 60 1; incremental change, 68 70; nature of, 60; tipping points, 70 3; turning points, 62 4 and characteristics of, 58; re-evaluation of, 68; reinforcement of, 66 8 and childcare, 73 and collective bargaining, 34; erosion of, 58 9, 71 and continuity in model, 66 8 and credit expansion, 67 and cyclical volatility, 57 and debt, 59; consumer, 67 and deregulation, 33; disadvantages of, 67; financial sector, 23; low regulation economy, 66 7 and dual-earner households, 73 and economic growth, 67 and education and training, 59; absorption of graduates, 68; focus on higher education, 71 2; skill problems, 72 3 and employment growth, 10 11, 59, 64, 71 and employment relations, and employment rights, 69 and English language, 68 and financial sector, 66; collapse of, 57; deregulation, 23; reliance on, 59 and fiscal policy, 11 and foreign direct investment, 67 and fragility of, 57, 75 and globalization, 66 and healthcare, 59, 62, 64 and housing boom, 67 and inequality, 59, 68, 76

15 284 Index United Kingdom (contd.) and internationalization of economy, 65 6 and labour market: job quality, 75; segmentation of, 74 as liberal market economy, 58; characteristics of, 58 9 as low-wage/low-skill economy, 58 and macroeconomic policy, 62, 74 and manufacturing, 58, 59, 70 1 and the market state, 23, 65, 76 and maternity leave, 73 and minimum wage, 23, 39, 59, 65, 69 and non-union private sector, 71 and offshoring, 71 and outsourcing of public services, 64 and part-time work, 39 and political choice, 42, 65; Bank of England independence, 62; remaining outside Euro zone, 62 and poverty reduction, 59, 65, 75 and Private Finance Initiative (PFI), 66, 76 n1 and privatization, 34, 58, 67 and public sector employment, 64 and public social expenditure, 23, 36 7; employment impact, 64; future of, 75; growth of, 62, 63, 64 and research and development, 70 and retail sector, 70 as role model for Europe: assessment of, 76; Blair s claims for, 57; debate on, 74 6 and service economy, 70, 71, 74 and shareholder finance system, 68 9 and specialization, 12 and status of model, 12 and trade unions, 58, 65; decline of, 71 and transformation into neoliberal model, 58 and turning points, 62 6; poverty reduction, 65; rise in public expenditure, 62 4 and United States: differences from, 52 n4; similarities to, 59 and wage bargaining in public sector, and welfare state: pension policy, 40, 67 8, 75 6; poverty traps, 67; raising of safety nets, 70; recommitment to, 59; residual, 57, 58; as targeted system, 67 participation, 39, 73 and work first policy, 65 and work-life policies, 59 United States and changing status as model, 12 and social protection, 48 varieties of capitalism and coordinated market economies, 5 6 and core hypothesis of, 5 and criticism of approach, 15 and institutional complementarities, 6, and large-country focus of approach, 131 and liberal market economies, 5 6 and mixed market economies, 52 n6 and national employment models, 1 2; typologies of, 5 6, 8 9, 178 and weakness of approach, 6 7; coherence, 131 2; interdependence, 131; pace and extent of change, 132 welfare regimes and elements of, 18 and national employment models, 5; typologies of, 7 9 and service economy, 8 and typology of, 7 8 see also individual countries women, and labour market participation, 7, 8, 14, 35 6, 37 9 Austria, 38, 137, 144, 148 France, 193 4, Germany, 38, 124 Greece, Hungary, 168 Italy, 39, 214, 216 Spain, 39, 258 Sweden, 92 3 United Kingdom, 39, 73 World Trade Organization (WTO) and pressures for change, 14 and reform, 2