[PDF] Precarious Employment in Europe: Patterns Trends and Policy





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DIRECTORATE GENERALFOR INTERNAL POLICIESPOLICY DEPARTMENT A:ECONOMIC AND SCIENTI

FIC POLICYPrecariousEmploymentin Europe:Patterns,TrendsandPolicyStrategiesAbstractThisPolicy Department Astudyprepared at request of the Employment andSocial Affairs Committeeexamines precarious employment, its patterns, trendsand policy strategies in Europe.It explores the risk of precariousness ofdifferent types of contract, using information from EU data analysis andliterature review,as well as case studiesIt finds that there are a range and degrees of risks of precariousness associatedwith all types of contract, based onkey indicators of precariousness.A secondnote presentscountry case studiesof eight EU Member States.IP/A/EMPL/2014

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This documentwas requested by the European Parliament's Committee on Employment andSocial Affairs.Andrea BROUGHTON,Martha GREEN,Catherine RICKARD,Sam SWIFT, Institute forEmployment Studies (IES)Werner EICHHORST, Verena TOBSCH, IZA-Institute for the Study of LaborIga MAGDA, Piotr LEWANDOWSKI, Roma KEISTER,Institute for Structural Research (IBS)Dovile JONAVICIENE, Public Policy and Management Institute (PPMI)Nuria Elena RAMOS MARTÍN, Universityof AmsterdamDaphné VALSAMIS, IDEA ConsultFrank TROS, Amsterdam Institute for Advanced Labour Studies (AIAS)SusanneKRAATZKarine GAUFILLETOriginal: ENPolicy departments provide in-house and external expertise to support EP committees andother parliamentary bodies in shaping legislation and exercising democratic scrutiny overEU internal policies.To contact Policy Department A orto subscribe to its newsletterpleasewrite to:Policy DepartmentA:Economic and Scientific PolicyEuropean ParliamentB-1047 BrusselsE-mail:Poldep-Economy-Science@ep.europa.euManuscript completed inMay 2016© European Union, 2016This document is available on the Internet at:http://www.europarl.europa.eu/studiesThe opinions expressed in this document are the sole responsibility of the author anddonot necessarily represent the official position of the European Parliament.Reproduction and translation for non-commercial purposes are authorised, provided thesource is acknowledged and the publisher is given prior notice and sent a copy.

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CONTENTS1.1.Risk of precariousness in employment relationships201.1.1.Approaches to identifying precarious work211.1.2.Employment relations221.1.3.Individual risk of precariousness231.2.Dataanalysis approach232.1.Introduction252.2.Economic drivers252.3.Institutional and legal drivers27 3.1.Fewer than six in 10 employees have an open-ended contract, and the trendis decreasing323.2.Demographic characteristics333.3.Sectoral patterns: Most full-time, permanent contracts in industries, publicadministration and education373.4.Wide country differences423.5.Varying national traditions and contexts464.1.Full-time, open-ended contracts584.1.1.Introduction584.1.2.Standard contracts still most common type of contract594.1.3.Main risks: less satisfaction with pay in Hungary, job security inLithuania and health in Latvia594.1.4.Low pay and in-work poverty also a risk for standard contracts644.2.Part-time work694.2.1.Introduction704.2.2.Part-time work accounts for around 7% of EU employment714.2.3.Main risks of part-time work are job security and low pay724.2.4.Literature review: main risks include low pay, low job security, lackof progression and health risks754.2.5.Marginal part-time work increasing77

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4.2.6.Around one-quarter of part-time workers do so involuntarily inEurope814.2.7.Job-sharing is employee-driven but can increase risk ofprecariousness in terms of career advancement and job satisfaction824.3.Self-employment834.3.1.Introduction844.3.2.Freelancing accounts for around 10% of employment and is stable854.3.3.Main risks for freelancers include low investment in training, low payand health issues864.3.4.Self-employment with employees accounts for 4% of employment894.3.5.Main risks for the self-employed include lack of training and stress894.3.6.Both freelancers and self-employed at risk of lack of training andstress934.3.7.Literature review: involuntary and 'bogus" self-employment athighest risk of precariousness934.4.Fixed-term contracts954.4.1.Introduction964.4.2.Fixed-term employment accounts for around 7%of EU employment964.4.3.Wide variety in the length of fixed-term contracts974.4.4.Fixed-term workers experience much lowerjob security andsatisfaction with working conditions and pay994.4.5.Decrease in transition rates from temporary to permanentemployment1024.4.6.Half of all fixed-term workers would prefer a permanent contract1034.4.7.Risks of precariousness of fixed-term contracts include job security,low income, health risks and transitions1044.4.8.Mixed picture on transitions1064.4.9.Casual and seasonal work1094.5.Temporary agency work1104.5.1.Introduction1104.5.2.Temporary agency work accountsfor around 1.5% of EUemployment1114.5.3.Risk of precariousness of temporary agency work include lowerincome, lack of training and advancement and lack of transition1124.5.4.Outsourced or subcontracted work increasing in prevalence1134.6.New forms of work1154.6.1.Technological change and new employment relationships1164.6.2.Other new forms of employment growing1174.7.Posted work1184.7.1.Introduction1184.7.2.Posted work increasing by 8.5 % in the EU1194.7.3.Risk of precariousness arising from abuses119

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4.8.Zero hours contracts/on-call work1224.8.1.Introduction1224.8.2.Limited prevalence of zero hours contracts1224.8.3.No guaranteed minimum hours leads to lack of financial stability andsecurity1234.9.Internships1254.9.1.Introduction1254.9.2.Almost half of young people have completed an internship1264.9.3.Risks of low-quality internships and lack of transitions1274.10.Informal or undeclared work1304.10.1.Introduction1304.10.2.4% of people in the EU admit to carrying out undeclared work1314.10.3.Lack of tax and social insurance coverage and risk of poor workingconditions1334.10.4.Deterrence and compliance approach to mitigating the risks1334.11.Forced labour1345.1.Key Directives provide EU framework to curb risk of precariousness1385.1.1.Assessment of Directives1405.2.Other EU-level initiatives1445.2.1.Europe 2020 strategy has implications for precariousness inemployment1445.2.2.European Semester process offers recommendations to MemberStates1445.2.3.Mutual learning share good practice on curbing risk ofprecariousness1445.2.4.Social partner initiatives at EU level form basis of EU Directives1455.2.5.Trade unions active in tryingto curb risks1455.2.6.Employers focus on reducing unemployment and increasing skills1465.3.International initiatives alsofocus on mitigating precariousness risk1475.4.National provisions implement EU and international framework1495.4.1.National legislation goes beyond EU regulation1495.4.2.National strategies and initiatives to contain the risk ofprecariousness1535.4.3.National social partner initiatives focus on national issues of concern1615.4.4.The way forward for policy1666.1.Policy recommendations from this study: A balanced regulatory approach173

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Box 1:Illustrative example: social dumping in the EU30Box 2:Methodology: working conditions in Europe-subjective measures ofprecariousness60Box 3:In-work poverty64Box 4:Illustrative example: working conditions for artistic workers92Box 5:Illustrative example: evolution of fixed-term contracts of very shortduration inFrance107Box 6:Illustrative example: risk of precariousness of civil law contracts inPoland108Box 7:Good practice example: labour market transitions in the Netherlands145Box 8:Regulation of precarious working in Denmark. Collective agreement andlegislation149Box 9:Good practice example: Dutch Act on Combating Spurious Labourcontracts (Wet Aanpak Schijnconstructies, 2015)153Box 10:Illustrative example: marginal part-time work in Germany154Box 11:Good practice example: Job-sharing in the UK154Box 12:Good practice example. Reducing insecurity: Work and Security Act2015 in the Netherlands155Box 13:Illustrative example: deregulation of temporary agency work inGermany156Box 14:Illustrative example: temporary agency work in the UK156Box 15:Good practice example: incentives for self-employment in France157Box 16:Illustrative example: self-employment in Denmark158Box 17:Illustrative example: open-ended contract to support entrepreneurshipin Spain159Box 18:Good practice example: internships and the 'Cherpion" Law in France160Box 19:Good practice example: tackling undeclared work in Lithuania161Box 20Good practice example: labour law reform in Spain162Box 21:The 2013 national interprofessional agreement on competitiveness andsecurisation of employment in France165Box 22:The role of Spanish collective bargaining after the labour market reforms165Box 23:Summary of success factors and criteria for good practice166

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Figure 1:Conceptual framework of precarious employment20Figure 2:Trends in atypical working in the air transport sector (EuropeanCommission 2015a)29Figure 3:Extent of different types ofemployment relationship in the EU28 in 201433Figure 4:Contract types by gender in EU-28 in 201434Figure 5:Contract types by age and educational attainment in EU-28 in 201435Figure 6:Contract types by economic activity (NACE Rev. 2) in EU-28 in 201438Figure 7:Share of full-time open-ended employment in Europe 2003,2008 and 201459Figure 8:In-work at risk of poverty rates for households without dependentchildren by work intensity, 201465Figure 9:In-work at risk of poverty rate by working time, 2014: risk of poverty ishigher for part-time workers65Figure 10:In-work at risk of poverty rate for permanent and temporary employees,2014: greater risk for temporary employees, 201466Figure 11:Share of part-time employment in Europe 2003, 2008 and 201471Figure 12:Working conditions of part-time work in Europe, 2010(average deviation from average across all types of work)75Figure 13:Share of marginal part-time employment in Europe 2003,2008 and 201477Figure 14:Share of involuntary part-time employment in Europe 2014(% of all part-time workersincl. marginal part-time)81Figure 15:Share of freelancers in Europe 2003, 2008 and 201485Figure 16:Share of self-employment with at least one employee in Europe 2003,2008 and 201489Figure 17:Working conditions of self-employment in Europe93Figure 18:Share of fixed-term employment in Europe 2003, 2008 and 201497Figure 19:Working conditions of temporary work in Europe102Figure 20:Transitions from temporary employment to permanent employment:share of temporary employees in year t who transit to a permanent jobin year t+1103Figure 21:Share of involuntary fixed-term employment in Europe 2014104Figure 22:Evolution of open-ended contracts, FTC of less than one month and FTCof more than one month in France, 2005-2015108Figure 23:Share of temporary agency work in Europe 2008 and 2014111

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Table 1:Types of employment relationship16Table 2:Synthesis map of changes in working conditions since the crisis26Table 3:Main risks of precariousness by country42Table 4:Top three types of work at risk of precariousness in the eight case studycountries50Table 5:Advantagesand disadvantages of standard employment contracts58Table 6:Dimensions of working conditions full-time opened-ended contracts(averag e deviatio n fro m overal l EU-28 average) . Subjectiv e andobjective indicators of precariousness62Table 7:Mapping of standard contracts against indicators of precariousness,based on the literature and statistical analysis in this section69Table 8:Advantages and disadvantages of part-time contracts70Table 9:Dimensions of working conditions, part-time work (averagedeviationfrom overall EU-28 average) . Subjectiv e an d objectiv e indicator s ofprecariousness73Table 10:Dimensions of working conditions, marginal part-time work(averag e deviatio n fro m overall EU-28 average) . Subjectiv e andobjective indicators of precariousness79Table 11:Mapping of part-time work against indicators of precariousness, basedon the literature and statisticalanalysis in this section83Table 12:Advantages and disadvantages of self-employment85Table 13:Dimensions of working conditions-freelancer (average deviation fromoverall EU-28 average) . Subjectiv e an d objectiv e indicator s ofprecariousness87Table 14:Dimensions of working conditions-self-employed with employees(averag e deviatio n fro m overal l EU-28 average) . Subjectiv e andobjective indicators of precariousness90Table 15:Mapping of self-employment (self-employed with employees andfreelancers)against indicators of precariousness, based on the literatureand statistical analysis in this section95Table 16:Advantages and disadvantages of fixed-term contracts96Table 17:Duration of fixed-term contracts in Europe 2014 (based on all fixed-termworkers incl. temporary agency work, marginal part-time,apprenticeships and trainees)98Table 18:Dimensions of working conditions-fixed-term contracts(averag e deviatio n fro m overal l EU-28 average) . Subjectiv e andobjective indicators of precariousness100Table 19:Mapping of fixed-term contracts against indicators of precariousness,based on the literature and statistical analysis in this section110Table 20:Advantages and disadvantages of temporary agency work111

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Table 21:Mapping of temporary agency work against indicators of precariousness,based on the literature and statistical analysis in this section115Table 22:Advantages and disadvantages of posted work118Table 23:Mapping of posted work against indicators of precariousness, based onthe literature and statistical analysis in this section121Table 24:Advantages and disadvantages of zero hours contracts122Table 25:Mapping of zero hours contracts against indicators of precariousness,based on the literature and statistical analysis in this section125Table 26:Advantages and disadvantages of internships126Table 27:The role of internships after education128Table 28:Mapping of internships against indicators of precariousness, based onthe literature and statistical analysis in this section129Table 29:Advantages and disadvantages of informal or undeclared work131Table 30:Typology of undeclared work (Pfau-Effinger 2009)132Table 31:Mapping of informal or undeclared work against indicators ofprecariousness, based on the literature and statistical analysis in thissection134Table 32:Risk of precariousness by employment type136Table 33:EU policies to mitigate risk of precariousness by type of employmentrelationship138Table 34:Key European Directives and assessment of impact and effectiveness141Table 35:Examples of relevant legislation from the eight case study countries150Table 36:Selected national social partner actions to reduce risk of precariousness164Table 37:Policy lessons on labour market segmentation from the Mutual LearningProgramme expert workshop in Ljubljana, November 2015167Table 38:Possible measures to address risk of precariousness by employmentrelationship type174

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This study describes and analyses the development of precarious work in Europe, focusingon its underlying causes and assessment of policy answers at European and national level.It is based on existing available data, studies and analysis from various sources,complemented by our independent data and expertise and documents from nationalandinternational institutions. It providesspecific discussions of the issues associated withthe risk of precariousnessand is based on concrete quantitative and qualitativeevidence.The study works with thetwo analytical axes of employment relationsand individualrisk of precariousnesswith a conceptual link to quality of work. The types of employmentrelationships examined are 'standard" open-ended, full-time contracts, part-time work, self-employment, temporary work (includin g fixed-term contracts,temporary agency work,seasonal and casual work, posted work and outsourced or subcontracted work), zero hourscontracts, internships, and informal or undeclared work. The most relevant indicator forindividual risk of precariousness is in-workpovertyand low pay,though interpretationneeds to be cautious, as in-work poverty is the result of multiple factors in addition to lowearnings, such as levels of working hours, the labour supply, jobless households, householdsize, means-tested social benefits, and poverty thresholds. Other indicators aresocialsecurity, labour rights, stress and health, career development and training, and low levelsof collective rights.The financial crisisand its aftermathhas beenonedriveraffecting risk ofprecariousness in Europe.As employers and employees find themselves operating in amore competitive and uncertain context post-crisis, new hirings have increasingly takenplace on the basis of temporary and marginal part-time contracts. Jobseekers haveaccepted thesecontracts, as the alternative would be continued unemployment.This rise inatypical contracting has meant thatjob insecurityhas increased significantly in somecountries, such as Portugal, Spain, Ireland, Latvia and Greece,involuntary temporaryworkhas increased significantly in Ireland, but also in Latvia andinvoluntary part-timeworkinghas increased significantly in Italy, Lithuania, Spain, Ireland, Latvia and Greece.Eurofound (2013b) also finds that the financial crisis has had a significant negative effecton working conditions in Europe.Further,lower levels of funds have been available forenforcement servicesin Member States, with the result thatabuses of employmentrelations, such as non-compliance with labour legislation or collective agreements,may begoing undetected.Other driversof precariousness include theinstitutional framework, such as theabsence orpresenceof a statutory national minimum wage,which helps to reduce the riskof in-work poverty,the extent of active labour market policies, the interaction of tax andsocial security systems with low pay,which has an impact on labour market participationand on reducing the risk of in-work poverty,and theexistence ofcollective bargainingsystems, which help to balance workerprotection and flexibility.Labour market regulation is also a key factor affecting risk of precariousness.Labour markets that afford protection to workers in the areas of working conditions,protection against discrimination and dismissal, access to social rights and to collectiverights are likely to have a lower overall risk of precariousness than those which do not.However, there isa risk towards an increasinglydualised labour market(e.g. in Spainand France) wherehigh levels of employment protection for 'insiders"are accompanied byhighand risinglevelsof fixed-term contracts for new hirings.

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This study shows thatall employment relationships are at some risk ofprecariousness. The risk of in-work poverty, lack of social security coverage andlack ofaccess to labour rights are the most serious risks for individuals (seeTable1above).On the basis of the set of indicators used, this study found evidence that:iOpen-ended full-time contracts and open-ended part-time contracts are at arelatively low risk of precariousness.iMarginal and involuntary part-time work, fixed-term work and involuntary fixed-term work, work and self-employment (wit h an d withou t employees ) are at arelativelymedium risk of precariousness.iTemporary agency work and posted work are at a relativelymedium/high risk ofprecariousness.iInformal/undeclared work and in some cases zero hours contracts are at arelatively high riskof precariousness.This evidence confirms that so-called atypical contracts bear a higher risk ofprecariousness, although, as stated above,much depends on the concrete situationofthe individual and the type of risk to which they are exposed.Men are more likely to work on a full-time and permanent basis(65% comparedwith52%),and as freelancers or self-employedthan womenand conversely,womenare much more likely than men to work on a part-time basis.The likelihood ofbeing employed on afull-time permanent contract decreases, the lower theeducational level and the lower the age:half of young Europeans between 15 and 24years of age work either part-time, fewerthan 20 hours per week,or on a temporary basis(fixed-term or apprenticeships/trainees). One in two young people are working part-time(< 20 hours) or on a temporary basis. 64 % of those with high levels of education work ona full-time permanent basis, compared with 48 % of those with low levels of education.Bycontrast, the share of freelancer and self-employed persons is about constant across alleducational levels.Theshare of different types of contract varies by economic activityof the employer:for example, full-time working is most prevalent in industry, part-time workingismorelikely in services,self-employment is muchmore common in agriculture,and the extent oftemporary working is low in all sectors.Evidence from European statistics shows that there iswide variation regarding risk ofprecarious working by Member State. In many countries, atypical employmentrelationships, such as fixed-term and temporary working, are more associated with a highrisk of precariousness.According to our research, there are a wide variety ofpatterns,depending on country. For example,involuntary part-time workingishigh in Greece,Spain, Italy, Bulgaria, Portugal and Cyprus in particular.Marginal part-time workishighest in the Netherlands, Germany, Denmark, Ireland,UKand Austria.Fixed-termcontractsare widespread in France, Spain, Portugal and Poland, where the trend is rising.Undeclared workis a major issue in Estonia, Latvia, Netherlands and Malta.Zero hourscontractsare specific to a few Member States, such as the UK, the Netherlands andAustria, where they are concentrated in sectors such as retail and hospitality.The main type of employment relationship in the EU is full-time permanentcontracts, with 59% of the share of employment, down from 62 % in 2003.Logically, ifthis trend continues, standard contracts might becomeat the longer terma minority formof contracting, and it could be arguedthat this is already so in the case of young peopleand in some sectors. Full-time and permanent contracting ismost prevalent in

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industries, public administration and education. Its share is highest ineasternand south-eastern Europe.If the trend towards non-standard forms of work continues, it is likely thattherisk ofprecariousness will increase. This, coupled with therise of new forms of working,powered by digitalisation and new technology, will mean thatthe EU will need to focuson developing policy that ensures the framework necessary to promote bothflexibility and employment security.Whilestandard forms of employment are at a lower risk of precariousness,our dataanalysisand literature reviewshows that they are not free from risk of precariousness. Ona country basis,low payis a potential risk or precariousness inparticular inHungary,jobsecurityin Lithuania and health in Latvia.There aresome risks associated with low pay, in-work poverty, and poor workingconditions in some sectors and occupations, such as those inpersonal services,hospitality, elementary professions and in particular drivers and refuse workers.There is therefore a need for a policy focus on sectors and occupations that are at risk ofbeing at multiple disadvantage, particularly in the area of low pay and in-work poverty.Part-time work accounts for around 7% of employment in the EU, although thisfigure varies considerably between EU Member States,from 18% in the Netherlands toaround 2% in Latvia and Poland. The overall working conditions of part-time employeeswho have an unlimited contract seem not to be that differentfrom those of full-timeworkers.Marginal part-time work, involving employees who are working fewerthan 20 hours per week, is increasing.Marginal part-time employment is marked byless job security, fewer career opportunities, less training investmentby theemployers, ahigher share of low pay and in some countries less satisfaction withpayment. On average,around a quarter of part-time workers do so involuntarily.The share is more than twice as much in Greece, Spain, Italy, Bulgaria, Portugal andCyprus.The policy focus here should be on encouraging the transitionfrominvoluntarypart-time work to full-time work and on benefit coverage and pay thresholds in the case ofmarginal part-time work.The share ofself-employed persons without employees(freelancers)in Europe isslightly above 10%and has not changed over last decade for most of the countries.Perceptions of working conditions for freelancers in Europe are rather mixed but do notdeviate a great deal from the EU-28average.Freelancers perceive more positive jobsecurity (in seven countries) but their investment in training is below average in10 countries.Satisfaction with working conditions is at average or slightly above even.Satisfaction with health is below average in eight countries and particularly in Lithuania,Portugal and Romania. This might reflect the distribution of freelancers regarding theireconomic activity-they work mainly in physical demanding industries such as agriculture,fishery and forestry or other non-manufacturing industries.Self-employed persons with at least one employee, i.e. entrepreneurs, account for4% of total employment in Europe. Theshare is highest in Italy (6. 6 % ) and lo west inRomania (1.1 %). In all countries,self-employed persons with employees experiencethe best working conditions (o r subjecti ve perception s of it ), satisfac tion withcareer opportunities, job security and pay,with results above the EU-28 average,compared with other types of work. The main risks for this group are above-average levelsof psycho-social demands and lack of training.'Bogus" self-employmentcan be seen as anabuse of the employment relationshipinthat individuals are carrying out the same tasks, for one employer, as that employer"semployees. While the risks are no different than those for self-employment, there are

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issues aroundavoidance of social security payment and access to labour rightsinaddition to high dependency from one employer.Women are more vulnerableto 'bogus"self-employment than men. Bogus self-employed workers have thelowest incomes andthe greatest household financial difficulty of any category of worker.Nationalpoliciesand labour inspection measures need to focus on exposing this practice, targetinghigh risk sectors.The share of fixed-term contracts of total employment is 7%and has not changedsignificantly in most countries.The main risks of precariousness in the case offixed-termemploymentoverall includelower pay and limitedand decreasingtransitions tostandard forms of working(22.8 % in 2013, down from 27.3 % in 2007). At EU level, aquarter are between seven and 12 months, with just over 20 % up to three months. Thismay indicate thatfixed-term contracts are not being used as a stepping stone tomore permanent forms of contracting.Nevertheless, there is quite a difference incontract design between countries. Short-term contracts (u p t o thre e months ) arepredominant in Spain, Lithuania, Latvia, Belgium, Estonia and Hungary. A duration of morethan two years on the other hand is very likely in Austria, Cyprus and Germany.Our data analysis, backed up by the results of the literature review, found that workers onfixed-term contracts experiencemuch lower levels of job securitythan those inpermanent employment.Fixed-term work isalsoat risk of a lack of access to employmentrights:the majority of workers" rights and protection in the EU have been builtaround standard contracts. In terms of the health of workers on fixed-term contracts,the evidence is mixed.Member States need to be encouraged to focus on ensuring equaltreatment, preventing abuses and encouraging transitions.The majority ofseasonal workis low skilled,in sectors such as agriculture and tourism, and as such seasonal workis also, by nature,low paid.Temporary agency work accounts for 1.5% of total employment on average,although in the Netherlands and Slovenia, the share is twice ashigh. There is a risk ofprecariousness in terms of earnings for temporary agency workers if they receivelowerwages than comparable workers in the user firmin order to balance the fees paid tothe temporary employment agency. There is some evidence thattemporary agency workcan, under certain conditions,act as the first step forcertain categories ofunemployed individuals making their way back into the labour marketand on topermanent work.Member States need to be encouraged to ensure that theEU Directiveon temporary agencyworkis implemented correctly and that transitions areencouraged.European regulation governingposted workersprovides minimum standards in terms ofthe employment conditions of posted workers, but may leave some legal loopholes in termsof implementation. For example, employers can set up 'letter box companies" to circumventthe law. Further, posted workers are only entitled to minimum rates of pay as set by law orcollective agreement in the host country, rather than actualremuneration for comparablehost country workers. Therefore,posted workers are potentially at risk ofprecariousness if they are posted by employers who are making use of legalloopholes, whichmeans that they may applylower levels of pay anddisadvantageous terms and conditions. Precarious employment practices areconcentrated in certain occupations and sectors, such as construction, y, and as aresult, even relatively small numbers of incoming precarious workers may disruptemployment conditions locally.The policy focus needs to be oncurbing abusesandtargeting high risk sectors such as construction.

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Zero hours contracts are not found in all countries, but account for around 5% ofthe workforce in the UK and Austria, mainly in hospitality and retail.As zero hourscontracts have no guaranteed minimum hours of workthe risk of precariousness forcan be high for some individuals if they are in need of guaranteed hours of workand income levels.Further, although zero hours contracts usually stipulatethat zerohours workers are entitled to decline work,studies in the UK have shown thatin practiceindividuals often feel pressured to accept any work they are offered so that they have noreal choice. The policy focus should be ensuring adequate protection for these workers,which may include a minimum hours guarantee.Almost half of young people (46% of 18 to 35 years-olds 2013) have completedat least one internship.Internships are often unpaid, leading to incomeprecariousness. Even where internshipsare remunerated, payment is typically muchlower than the minimum wage of the country. There are also risks associated withinternships in terms of the quality of the placements and the danger of young peoplegetting trapped in lengthy cycles of unpaid internships.Overall,4% of people admit to having carried out undeclared work over thepreceding 12 months. However, the level varies significantly between EU Member States(>10% in Estonia, Latvia, Netherlands). Undeclared work is often associated withprecaritydue to the fact thatworkers do not pay into tax and social security funds and aretherefore not eligible for coverage by social security systems, resulting in a lackof entitlement to benefits and pensions.There is acomprehensive framework ofEU legislationin place that seeks to curb therisk of precariousness of certain types of employment relationship.Evaluations show thatthe effectiveness of Directives is generally judged to be good. However, there aresome issues, such asconcerns aboutderogations from the principle of equaltreatmentin relation to the temporary agency work Directive, concerns about on-callworkingand working time asindividualsmight not have thefreedom to opt out of the 48-hour maximum working week in relation to the working time Directive, and issues aroundenforcement of the posted workers Directive, such as legal loopholes, for example allowingthe setting up of 'letterbox companies" although many of these are expected to beaddressed by the new Enforcement Directive,which is set to come into force in MemberStates on 18 June. In addition, the Commission is reviewing the 1996 posted workersDirective.In general, there are some issues around theimplementation andenforcement of Directivesin some Member States,and issues around labour marketinspection and regulation in order to curb abusive practices. All Member States are obligedto transpose EU Directives into national law. Some implement the minimum requirements,whereasothers go further than the EU minimum standards set by the Directives,usually in response to a particular issue that is deemed to have warrantedattention in a specific Member State.Other EU initiatives that have relevance for the risk of precariousness include the EU"sEurope 2020 strategy, the European Semester Process, and the Mutual LearningProgramme.The focus of these initiatives is on themes such as segmentation of thelabour market and quality of work.Social partners at European level have concluded agreements that form the basisof much EU regulation in the area of atypical work. Trade unions also campaign on arange of issues relating to risk of precariousness, while employers tend to focus onreducingunemployment and increasing skills levels. In individual Member States,thesocialpartners have different strategies and priorities, depending on their national situation andthe types of work that are deemed to present the greatest risk of precariousness.The EUsocial partners interviewed for this study were broadly happy withthe framework

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of EU legislation as it stands,although theETUC has been calling for revision of theposted workers Directive.However,a number of challenges remain for EU policy:iReconcilingemployment security and job quality with flexibility needsremains a major challenge.iThere needs to be abalanced approach to regulation, avoiding extremeregulatory dualism between standard and non-standard contracts. Within this,mobility towards open-ended contractsshould be encouraged andjob qualitybe ensuredor improved, but without destroying entry opportunities.iThere is adivide between temporary and permanent contractsin many EUMember States. If employment protection for open-ended contracts is eased, it maybe helpful to think about alternatives to hiring and firing, such as greater levels offlexibility in working time and wages.iGiven that non-standard forms of employment are increasing, EU and nationalpolicymakers need to think about howwelfare systemscan support individuals inthe future, in order toavoid poverty trapsdue to inadequate social securitycoverage, particularly in relation to pensions.iThere remain issues concerning thecircumvention of labour legislationandstandards that are applicable to dependent work, in particular using freelancework/self-employment.Enabling inspection authorities to ensure that labourlegislation is being applied correctly is crucial, as is working with employers to try toencourage dependent employment where appropriate, including by focusing onemployersocial charges for dependent employees.iIn order to combatmarginal part-time workand encourage an increase inworking hours for those that want to work more,incentives to work longer hoursneed to be put into place.iThe spread ofdigitally-driven forms of employmentmerits furtherinvestigation, in particular in terms of the employment status and workingconditions of the involved workers. This is a fast-moving area and legislation istherefore not keeping pace.For more details, please see5.4.4and6.1.Full details of the eight country case studies that underpin this research are contained in aseparate report.

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Table1:Types of employment relationshipType ofemploymentrelationshipMagnitudeMain risksOverall level of riskCountries/sectors mostaffectedOpen-ended full-time contracts59% of the share of EUemployment. DecreasingtrendLow pay and in-workpovertyStress and healthCareer development andtraining.LowGreece, Poland, Hungary,Latvia, LithuaniaPersonal service workers,sales personnel, plant andmachine operators andelementary occupationsPart-time work,involuntary part-time work, marginalpart-time work7% of EU employment.Involuntary part-timework account for around25% of part-time work.Marginal part-time workaccounts for 9%.Increasing trend for alltypes of part-time work

Low pay and in-workpovertySocial securityCareer development andtrainingLow (open-ended part-timework)Medium(marginal part-timework)Medium (involuntary part-time work)Involuntary part-timeworking high in Greece,Spain, Italy, Bulgaria,Portugal and Cyprus inparticular.Marginal part-time workhighest in the Netherlands,Germany, Denmark,Ireland,UKand Austria.Freelancers, self-employment, bogusself-employmentFreelancers account for10% of employment.Stable trend.Self-employed personswith at least oneemployee =4% of totalemployment in Europe

Low pay and in-workpovertySocial securityLabourrightsCareer development andtraining

MediumRomaniaRisk for bogus self-employment and socialsecurity risks for artisticworkersFixed-termcontracts7% of employment inthe EU. Stable trendLow pay,in-work povertySocial securityLabour rightsMediumCasual and seasonal work,Agriculture and tourismLabour rights risk UK,

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Type ofemploymentrelationshipMagnitudeMain risksOverall level of riskCountries/sectors mostaffectedIrelandand Ireland.Temporary agencywork1.5% of totalemployment in the EULow pay and in-workpovertyLabour rightsCareer development andtrainingLow level of collectiverights

Medium/highOutsourcing, especially incleaning, catering, servicesand ICTNetherlands and SloveniaYoung people. LimitedtransitionsCountries where collectivebargaining coverage andunion density is nowPosted workThere were 1.92 millionpostings in Europe in2014. Increasing trendLow pay and in-workpovertySocial securityLabour rightsCareer development andtraining

Medium/highThose affected by abusivepractices.ConstructionIn absolute terms, the threemain sending MemberStates werePoland,Germany and France. Thethree main receivingMember States wereGermany, France andBelgium.Zero hourscontractsAbout 5% of theworkforce in UK andAustria, 2.6% in Estoniaand the Czech Republicand 1% in Malta andNorwayLow pay and in-workpovertySocial securityLabour rightsHighAustria, Netherlands, UKRetail, hospitality

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Type ofemploymentrelationshipMagnitudeMain risksOverall level of riskCountries/sectors mostaffectedInternships46% of 18 to 35-year-olds have completed atleast one internshipLow pay and in-workpovertySocial securityLabour rightsCareer development andtraining

MediumYoung people

Informal/undeclaredwork4% of people in the EUadmit to carrying outundeclared work in theprevious 12 months(Eurobarometer). StabletrendLow pay and in-workpovertySocial securityLabour rightsCareer development andtrainingLow level of collectiverights

HighEstonia, Latvia, Netherlands,MaltaCare and domestic servicesWomen and migrantworkers PrecariousEmployment: Patterns,Trends and PolicyStrategies in Europe

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The research consortium led by IDEA Consult was commissioned by the EuropeanParliament to carry out a study to describe and analyse the development of precarious workin Europe. The study aims to examine its underlying causes and assess policy answers atEuropean and national level.The study is based on existing available data, studies and analysis from various sourcescomplemented by our independent data and expertise and documents from national andinternational institutions. It aims to provide specific discussions of the issues associatedwith the risk of precariousness and is based on concrete quantitative and qualitativeevidence.In accordance with the European Parliament"s terms of reference, it aims to provide adefinition of precarious employment and an analytical concept. It also aims to summarisescientific and political debate, in addition to political practices in the EU Member States. Italso charts patterns and trends in respect of precarious employment. This includesdescription and analysis of all types of employment relationships with regards to the risk ofprecariousness, including an analysis of main underlying factors. For example, this coversthe specific elements and consequences of precariousness, their magnitude and trends. Italso covers the main drivers of precariousness and examines which groups are particularlyaffected.The study includes an analysis for relevant sectors that are particularly affected byprecarious work and mapscountry patterns of precarious employment in Europe for EU28,includingthe detection of research gaps.The study also examines policy strategies, describing and analysing European, internationaland national policy strategies, including relevant legislation and other institutionalarrangements, supporting services and initiatives. It examines whether strategies in placeare targeted at'precarious"employment or towards specific elements of concreteemployment relationships/contracts, how successful they are and whether they have beenchanged over time. It also provides an inventory of evaluated good practices and a list ofpolicy recommendations.

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Precarious workis a concept that does not have a universally-accepted definition in Europe.Different EU Member States are faced with different labour market challenges, dependingon a number of factors, such as their system of industrialrelations, collective bargaining,labour market regulation, economic composition and welfare systems. The conceptualframework suggested by Olsthoorn (2014 ) i s a usefulstarting pointwhen trying toconceptualise precarious work. Based on an overview of the academic literature onprecariousness, he distinguishes between three components of precarious employment(seeFigure1):iInsecure employment (e.g. fixed-term contract, temporary agency work).iUnsupportive entitlements (i.e . few entitlements to income support whenunemployed).iVulnerable employees (i.e . f ew othe r mean s o f subsistence , suc h a s wealt h o r apartner with a significant income).Precarious employment can then be defined as the intersection of these threecharacteristics, i.e. vulnerable employees who have an insecure job and few entitlements toincome support.However,it should be noted thatprecarious employment is always arelative concept, referring to non-precarious forms of employment and a certain thresholdasa border line.The exact demarcation is always contested.Figure1:Conceptual framework of precarious employment

Source:Olsthoorn.1.1.Risk of precariousness inemploymentrelationshipsThe next step isto consider different forms of contracting. The literature shows overall thatall types of contracts could potentially be at risk of precariousness, including contracts thatare full-time and open-ended. The focus here is on thedegree of risk of precariousness,which is likely to be greater in the case of certain types of contracts.However, there is alsoa quality of work dimension-work that is characterised by a lack of control over jobcontent, lack of autonomy, lack of employee voice, low variationof tasks, or a lack of

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control over working time carries a higher degree of precariousness. Eurofound (2015)defines job quality as containing the following fourelements:'earnings; prospects (that is,job security or opportunity for advancement) ; workingtime quality; and intrinsic jobquality. This last component has four sub-components: skill use and discretion; socialenvironment; physical and environmental risks; work intensity". The ILO has also carriedout a body of work on the issue of quality of work and decent work. The ILO defines decentwork as some that'involves opportunities for work that is productive and delivers a fairincome, security in the workplace and social protection for families, better prospects forpersonal development and socialintegration, freedom for people to express their concerns,organiseand participate in the decisions that affect their lives and equality of opportunityand treatment for all women and men"1. The European Commission has also carried outwork on job quality, in the context of a range of initiatives such as its Agenda for New Skillsand Jobs2.The OECD (OECD,2014) has also analysed job quality, focusing on three mainelements: earnings quality, based on the level and distribution of earnings; labour marketsecurity, based on unemployment risk and unemployment insurance; and quality of theworking environment, based on the nature and intensity of work, the organisation of workand the working atmosphere.1.1.1.Approaches to identifying precarious workThe absenceof definitionsof precarious workmeans thatthisterm is often usedsubjectively to describe the particular experiences or situation of one or more individualworkers(McKay et al, 2012)It should also be noted that precarious work is also a highlypoliticisedterm often used in a critical perspective, but rejected by some observers.As there is no common understanding of precarious employment, itisdifficult to find acommonset of indicators to measure this.Moreover, significant shares of precariousemployment are not counted in current statistics (part-time contracts with very few hours,e.g. less than15, and other forms of underemployment, quasi self-employment, andundeclared work)3(Europea n Commission , 2004).Therefore, the wide-ranging nature ofprecarious work, together with the fact that at least some of it occurs in the informalsectors of the economy, means that the available statistical data is necessarily limited4(McKay et al, 2011)This holds in particular when searching for comparativeEuropean datasources.We considereda range ofapproachesto studying precarious work,and decided to useelements of the following:iThe individual contracts approach.Under this approach, the contract typedefines the risk of precariousness.In general, most estimations of precarious workin the economic literature are based on calculating the numbers of workers indifferent forms of employment relationship.However, estimating the size of theprecarious workforce in this way inevitably has limitations.The key questionbecomes how to distinguish precarious from non-precarious atypical employment.One issuewith measuring precarious employment through atypical employment isthat there is no common understanding between the countries of how'atypical"or'non-standard"employment is defined. It has to be acknowledged, however, thatthis use of atypical contracts to study precarious employment is largely due to thedifficulties of finding appropriate indicators to study precarious employment. We1http://www.ilo.org/global/topics/decent-work/lang--en/index.htm.2http://ec.europa.eu/social/main.jsp?catId=958.3ftp://ftp.cordis.europa.eu/pub/citizens/docs/kina21250ens_final_esope.pdf.4http://www.precarious-work.eu/sites/default/files/effat/files/publications/EFFAT_Study_on_Precarious_Work_EN.pdf.

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therefore wantedto focus more widely than just on atypical employment, whileacknowledging thatatypicalemployment will play a large part in the study.iThe individual choice approach. Thisis based on its more or less voluntarycharacter, and resorts to a subjective appreciation by workers.However,this type ofapproach has beencriticised,as'choices"are heavily dependent on what peopleperceive is available to them. Subjective measures are also used to grasp whetheror notpeople are satisfied with their situation.This is important in the case ofinvoluntary part-time and temporary working, for example.We thereforeacknowledge the role of individual choice, but treat this with caution.iThe quality of work approach.In order to distinguish between jobs of differentquality, the European Commission in its Employment in Europe 2001 report groupedjobs according to three main dimensions: job security, access to training and careerdevelopment, and hourly wages. Although the Commission bases its approach onthe concept of'good"and'bad"jobs rather than the notion of'precarious"employment, the dynamic approach taken shines a light on a whole set of aspectslinked to the question of'precarious employment".Thisquality in work dimension isvery useful for our study, as this has significant implications for precarious work.Our approach isbased on analysis of all types of employment relationship, in thesearch for a more comprehensive definition and measurement of precarious working thanany of the single approaches outlined above. Our approach isthereforemultidimensionalinnature, taking some useful elements of the approaches described briefly above.However,we have placed our focus on the nature of jobs, as this is the factor for which most data isavailable, bearing in mind that the job, or employment position, is the key element ofprecarious employment (eve n thoug h othe r factor s suc h a s unsupportiv e welfareentitlement and the vulnerability of individuals also play a role) . We hav e als o includedelements of quality in work and awareness of the role of individual choice, as weacknowledge that these factors play a role in determining precariousness.Wehave workedwithtwo analytical axes:iEmployment relations.iIndividual risk of precariousness.1.1.2.EmploymentrelationsWehave takenaneutral approach to the analysis of employment relations, makingno assumptions, but taking as a starting point the fact that all types of employmentcontracts are potentially at risk of precariousness, although it will be likelythat some typesof contracts will have a higher risk of precariousness than others. Therefore, the types ofcontracts that we will examine will be as follows:i'Standard"open-ended, full-time contracts.iPart-time work (includinginvoluntary part-time work,marginal part-time work andjob-sharing).iSelf-employment.iTemporary work (including fixed-term contracts, temporary agency work, seasonaland casual work, posted workand outsourced or subcontracted work)iZero hours contracts.iInternships.iInformal or undeclared work.

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1.1.3.Individual risk of precariousnessThe focus here is on the risk of precariousness for the individual. We will therefore use thefollowing indicators in this axis:iIn-workpovertyand low payiSocialsecurity.iLabourrights.iStressand health.iCareerdevelopment and training.iLowlevel of collective rights.These elements may be present to a greater or lesser degree in many types of contract andtypes of work. However, in terms of their contribution to precarity, some carry more weightthan others.We would argue thatpoverty, which in an employment context means income levels(pa y andsocial security coverage) i s on e o f th e mos t importan t contributor s toprecarity. We would therefore weight these indicators as most important.Lack of labourrightsis also an important indicator of precarity, linked to factors such asinformality and length of service. Some labour rights do not apply to individuals who do notachieve a specific threshold in terms of length of service in a contract, leaving thempotentially vulnerable in areas such as protection against unfair dismissal or entitlement tosocial security or maternity pay and leave.This is also linked to quality of work, as set outabove. In this study we have based our analysis on reports of survey data, objectivereports and subjective analytical reports and our own analysis of survey data.Lack of access to collective representationcould be a proxy for lack of labour rights,as employee representatives inform, advise and guide works on many issues, includinglabour rights.Finally, quality of work plays a role in precarity. Work that involves a low degree ofautonomy and control, low variation of tasks, lack of control over working time, or aninadequate or dangerous working environment can increase the risk of psychosocialproblems, such asstress at work, and physical health problems. This can result inemployees needing to take time out of their job and even the labour market, which in turnwill increase the risk of poverty.Finally, lack of career development andtraining will add to precariousness, in thatindividuals will not develop the skills necessary to enable them to maintain theiremployability, putting them at risk of unemployment in the future.1.2.Data analysis approachBy means ofthe European Labour Force Survey (EU-LFS) andtheEuropean WorkingCondition Survey (EWCS ) to tal employmentcanbe analysed according to the type ofcontract that can be described by dimensions such as duration, working time, agency work,apprenticeships and self-employment. Some of these determinants can be overlapping, e.g.part-time and fixed-term contracts. It is also possible that agency work is not fixed-termbut part-time etc.Themain distinction of different types of work is between employees andself-employedpersons. The latter may includefreelancersor self-employed persons without employeeswhichforma separate category. Thusself-employedpersons are those with at least oneemployee. The reference type of contract is afull-time permanentcontract (FTP) since it

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representsthe standard normal employment in most of the European countries. Thedefinition of full-time vs. part-time work in the EU-LFS is based on subjective indicators asperceived bytherespondents and hence not consistent witha certain number of minimumhours worked per week. In order to take into account that part-time work may be marginalboth with respect to hours worked and in turn lowearnings, we distinguish between part-time workers with less than 20 hours per week andthose who workat least 20 hours perweek. Part-time workerwitha working time ofat least 20 hours per weekand apermanentcontractare classified in the following description aspart-time permanent(PTP)workers.Part-time work with less than 20 hours per week is classified asmarginal part-time(MPT ), no mat ter whet her it is fixed-term or permanent. Another indicator of atypicalemployment is temporary agency work (TAW) which is a special case due to its contractualpeculiarity. It will be analysed as aseparate category of higher priority. That meanstemporary agency workcan be permanent or fixed-term, full-time or part-time, ormarginal but is not included in those other categories.The remaining contract typesofinterest are fixed-term contracts.Since there are some countries where apprenticeshipsand trainees are generally employed on a fixed-term basis with higher chances of leadinginto a permanent contract once the vocational education or training is successfullycompleted, we exclude them fromthe category offixed-termcontracts (FTC) and from allother possible categories.Please note that while we have tried wherever possible to cover all EU28 Member States,this has not always been possible, depending on the datasets used. Further, recent data isnot available for all employment topics covered. Where no data is available, we have reliedon studies quoted in our literature review.

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As employers and employees find themselves operating in a more competitive anduncertain context, post-crisis, new hirings have increasingly take place on the basis oftemporary and marginal part-time contracts.Jobseekers have accepted these contracts,as the alternative would be continued unemployment. In this way, it can be said thatthefinancial crisis and its aftermath has been one driver affecting risk ofprecariousness in Europe.The crisis and ensuing austerity has also resulted in alackof funds for services such as labour inspectorates, which maycontribute towardsweakeninginspection services and result in abuses not being detectedTheinstitutionalframeworkcan exert an influence on risk of precariousness. In the case of in-workpoverty and low pay, factors such as whether or not there is a statutory nationalminimum wage, theeffect of active labour market policies, the operation of tax andsocial security systems and how they interact with low pay, and the presence orabsence of collective bargaining systems can all exert influence.Labour market regulationis held to be a keyfactor affecting risk of labour marketprecariousness.Labour markets that afford protection to workers in the areas ofworking conditions, protection against discrimination and dismissal, access to socialrights and to collective rights are likely to have a lower overall risk of precariousnessthan those which do not. However, there are marked differences between labour marketregulation within Europe: the Anglo-Saxon model of flexibility, higher levels ofemployment and a degree of in-work poverty differs from continental European modelsof tighter labour market regulation and employment protection. Deregulation incontinental countries has contributed towards the creation of an insider/outsiderculture.Opening up the market to increased competitioncanincrease the risk of anegative impact on the job quality and overall working conditions of workers.Finally,digitalisationis changing employment relations in some sectors, such asminicabs and accommodation, where new organisations, such as Uber and Airbnboperate through new technology.2.1.IntroductionThis section examinesthe drivers of degrees of precariousness of particular types ofcontract.These are principally:ieconomicdrivers;iinstitutional and legal drivers;itechnological change.2.2.Economic driversThe financial crisis has had an impact on the labour market throughout Europe. There isevidence that the years following the crisis have seen an increase in the number of atypicalcontracting forms, such as temporary agency work, fixed-term work and zero hourscontracts, as employers find themselves operating in a more competitive and uncertaincontext.We can see fromTable2below (Eurofound,2013b) tha t jo b insecurit y hasincreased significantly in some countries, such as Portugal, Spain, Ireland, Latvia andGreece, that involuntary temporary work has increased significantly in Ireland, but also in

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Latvia and that involuntary part-time working has increased significantly inItaly, Lithuania,Spain, Ireland, Latvia and Greece.Eurofound (2013b)alsofinds that the financial crisis has had a significant negative effecton working conditions in Europe, including an increase in job insecurity, greater workintensity, cuts in wages, a deterioration of work-life balance and an increase in work-related stress:'The economic crisis is a factor in job stress and insecurity. Concerns riseabout having or keeping a job and about establishing or maintaining income. Job insecurityhas increased across Europe. The negative consequences of this insecurity on well-beingand health are arecognisedscientific fact".(Eurofound,2013b,p.59)Table2:Synthesis map of changes in working conditions since the crisisCountryJob securityInvoluntary temporaryInvoluntary part-timePL4.2-11.51.2DE-2.4-1.9-5.6MT5.40.7-1.0AT1.2-9.6-2.1BE-0.4-4.1-4.4NO3.0-0.41.5SE-1.4-0.71.7IT7.05.615.0LT3.1-4.110.0EE5.46.2PT11.44.06.9ES10.97.023.0IE12.527.926.6LV12.411.217.7EL22.43.615.3Source:Eurofound 2013b.Countries least and most affected by crisis, % change country average, 2007-2011;Jobsecurity = change inproportion between 2007 and 2012 of working people who think it is 'very likely" or 'quite likely" they willlose theirjob within the next six months (source: EQLS);Change in the proportion of temporary/part-time employed (2007-2011) wh o giv e a s reaso n fo r temporary/par t tim e employmen t tha t the y 'coul d no t fin d permanent/fullemployment" (produce : LFS);Colour coding: dark green = relatively strong positive change; light green =relatively positive change; light red = relatively negative change; dark red = relatively strong negative changeThe crisis and ensuing austerity has also resulted in a lack of funds for services such aslabour inspectorates, which may weaken inspection services and result in abuses not beingdetected.Eurofound (2013a) found that there had been an overalldecline in undeclared work in theEU between 2002 and 2013. It also found, however, that there is a strongcorrelationbetweenneo-liberal austerity measures (such as reducing taxes, pursuing deregulation andminimising state intervention) an d large r undeclare d economies , whil e socia l democratic

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austeritymeasuressuch as boosting state labour market and welfare expenditure arestrongly correlated with smaller undeclared economies.Koukiadaki et al (2016 ) a lso exami ned the imp act of the cri sis on jo int regulat ion andlabour market policy, finding that reforms carried out in Member States were largelyimplemented on a unilateral governmental basis. There have been downwards wageadjustments and many Member States are reported to be experiencing a crisis in collectivebargaining, particularly at national and sectoral level, and this has implications for collectivebargaining coverage. They also note that trade unions seem to be hampered in their abilityto monitor the enforcement of collective agreements and labour standards since the crisis.2.3.Institutionaland legaldriversTheinstitutional framework, both at EU level and at Member State level, can exert aninfluence on risk of precariousness. In the case of poverty and low pay, factors such aswhether or not there is a statutory national minimum wage, the effect of active labourmarket policies, the operation of tax and social security systems and how they interact withlow pay, and the presence or absence of collective bargaining systems can all exertinfluence on levels of in-work poverty. It should bequotesdbs_dbs14.pdfusesText_20

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