Did the government used ALMPs to de-segment the labour market? In short, no. The spending effort in The paper also shows there was a clear liberalizing ALMP dropped in to one-third of the effort. The level of security in employment, especially It fell both before and after the MoU recall the indicator for individual dismissal of standard worker, and controls by the rising number of unemployed and the security in unemployment, especially generosity of declining GDP.
It declined in , and continued to income security, fell significantly. The main changes fall after the formal bailout in , until it stabilised in collective bargaining are congruent with this trend. By then the crisis had been A more decentralized system and the curbing of the redefined as fiscal emergency, amid dramatic economic mandatory extension of collective agreements erode the recession, historically high unemployment and low institutional mechanisms that protect wage levels from employment. The level of spending effort in is market fluctuations.
Note that this liberalization was not similar to that of Even if we ascribe the uptick in offset by any unemployment compensation or activation to new ALMP measures, the data does not support strategy. Rather, we conclude that the opportunity offered by the crisis to curb the structural There was a shift in the balance of power between labour imbalance between insiders and outsiders was lost market insiders, outsiders and employers.
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The fact as regards ALMP. In fact, neither social concertation that the situation worsened for insiders and outsiders which from was paralysed , nor unilateral action indicates that there was both a wide flexibilisation of the by the government which from focused collective market and that segmentation remained. After austerity bargaining were used to that effect. A more liberalized dualisation obtained. The last time the ALMP spending effort rose in Portugal was between and , prior to the crisis, when Our finding is consistent with the argument that the the gap relative to the Eurozone average grew smaller.
MoUs goal was never to recalibrate the Portuguese Since then, and contrary to trends in other labour labour market as openly stated , but to internally market policy fields since , such as deregulation devaluate it in order to boost competitiveness and of security in employment and unemployment, and growth Caldas, This shows that the crisis as decentralization of wage bargaining, where reforms opportunity was not seized neither to fix segmentation brought relative convergence with the more liberalized in the labour market, nor to fight poverty, including European norm, the evolution of ALMP spending effort working poverty, and income inequalities in the country.
Lastly, we conclude that the changes brought about 6. Conclusion during the troika years were qualitatively different from the reforms adopted in the past. Even though The Portuguese labour market regulation changed the reforms adopted after the MoU built on previous substantially as a result of the implementation of the changes, the main difference was that for, the first time, MoU.
The Memorandums stated goals were to recalibrate the protection of insiders was significantly lowered in its the labour market by dealing with segmentation and various dimensions employment, unemployment and to enhance efficacy and competitiveness through the collective bargaining.
This, we conclude, configures a liberalization of various rigidities. Yet, this paper clearly shows there was no recalibration.
Future research will focus on explaining how did such The measures adopted post in terms of security sizeable changes in the Portuguese labour market come in employment and unemployment, and in terms of about. For example, the literature suggests the center-right ALMP did not especially benefit outsiders. EPL dropped government used the crisis as a window of opportunity for both insiders and outsiders, even if the regulatory to implement a reform agenda that would otherwise gap narrowed.
The MoU strengthened or coverage, nor the modifications in income security the governments political and institutional power both significantly improved the situation of outsiders. In this respect, the resort by the government from late to unilateral actions that no social partner demanded indicates it was acting responsibly for a different constituency: the creditors, the Troika and international debt markets.
A democratic price accrued in terms of unresponsiveness to domestic demands of citizens and organized interests in society and the economy. For a detailed history and evaluation of the bail-out, see Abreu, et al. Version 5. Moreira, Amilcar et al Employment and Social Developments in Europe Luxembourg: Publications Office of the European Union.
For example, in , a wide reform package was approved which, inter alia, broadened the concept of just dismissal to include the circumstances of the firm and placed limits on automatic re-engagement of employees found to be unjustly dismissed. In , the definition of fair dismissal was again broadened, this time to include the workers unsuitability for the job as grounds for firing. At the same time, steps were taken to discourage temporary contracts: they could be renewed only twice - total duration of the contract cannot exceed three years, becoming permanent if the three-year period is exceeded.
However, by contrast, the period of employment required to qualify for social security, redundancy pay and retirement pensions was extended Glatzer, , which clearly hurt outsiders and, in , a strategic social plan between social partners and the government was agreed to widen the use of fixed-term contracts. Instead, the European Council monitors national policies. It adopts a series of common objectives, guidelines and indicators for monitoring, based upon proposals from the Commission. In Portugal, one has to include also scholarship holders and interns Varela, et al.
The former included, among others, the reduction of social security contributions and the prolonging of unemployment benefits for some people. The latter included the extension of professional internships for the young; support for youth contracting; and the establishment of a program of training-qualification placements Cabinet of the National Coordinator of the Lisbon Strategy and the Technological Plan, Abreu, A. A Crise, a Troika as Alternativas Urgentes.
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It is important to emphasize the pedagogical character of this book. He is an accredited member of the Brazilian Bar Association. Home Global Law. Compartilhar por email. De: Nome:. Para: Nome:. Cancelar Enviar. ISBN v. Autor es.
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