monique ramioul research institute for work and society hiva – k.u.leuven

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a Monique RamioulResearch Institute for Work and SocietyHIVA – K.U.Leuven

The EU2020 employment package “More and better jobs”: The green economy

The EU2020 employment package “More and better jobs”

M. Ramioul – EZA-seminar series

1.Job growth and job quality2.Green jobs and job quality3.Workplace and workers’

strategies



strategies in the green economy

4.New jobs in care


Europe wants the become an economy that is:• Smart => productive and innovative, educated workforce• Sustainable => climate and energy-efficiency goals• Inclusive => employment, education

The Employment Package includes the objective to have more and better jobs:• Job creation• Job-rich growth• In the green economy• In health care, personal and household services• In ICT



Overall employment evolution• 2000-2007: job growth all across EU (most in DE, SP, FR, IT, UK)• 2008-2012: 6 mio jobs were lost (exc. In DE,LU, HU, MA, AT) • And not yet recovered in 2012Recent figures from ILO-study:• 26,3 mio Europeans,10,9% of EU workforce, are unemployed in

Feb. 2013• On the rise:

– long-term unemployment, discouraged jobseekers going into inactivity– Atypical forms of employment: part-time and temporary work– Most hit: youth (23,5% in Feb 2013) and 30% of youth is at risk of

poverty and social inclusion (2011)– Low-skilled


Employment trends and shifts in the employment structure

Employment structure: The EUROFOUND job monitor approach• Total working population divided in 5 groups, based on wage (low-paid,

mid-low paid, mid-paid, mid-high paid, high- paid)• Evolution of employment in each pay-group:

• shows employment structure of a country• compares employment structures across time: shifts in employment

structures



Several possible trends: (2011-2012)

Upgrading Polarisation Downgrading


Shifts in the employment structure

General trend


Shifts in the employment structure

Trend 1995-2006 2008-2010 2011-2012

Upgrading LU, FI, DK, IE DE, SE, SK, LU PL, DE, MT, AT, SE, FR, DK, LT

Downgrading CZ, DK, HU, IT, LT SK, RO, NL, BG, HU, SI, IT, EE, LV

Polarisation SK, NL, FR, CY, HU, PT

FR, BG, CY, UK, SI, PT, ES, IE, LV, EL

BE, LU, CZ, FI, CY, UK, PT, ES, IE, EL

Growth in the middle

SE, CZ, IT, LT, EE, ES, LV, EL RO, NL

Hybrid upgrading DE, AT, BE, UK, SI PL, AT, BE, FI

Unknown PL, MT, RO, BG MT, EE

Red = countries hardest hit during crisisBlue = countries least hit during crisis

Key messages:• About 6 mio jobs have been lost in the crisis• No really improvements since• During the crisis: general polarisation trends with high

job loss in the middle level wage groups• Countries hardest hit: polarisation and downgrading• Countries less hit: less job loss in higher skill levels

(upgrading)



What is job quality: 38 job characteristics impact on job qualityJob demands• Physical demands• Environmental/ambiant demands• Work load (pace and amount)• Intellectual and emotional demands• Task complexity• Workload• Interaction with others

Job resources• Autonomy• Repetitiveness/variety of tasks• Social support• Teamwork

Pay (wage level,…)

Skills and development (training, learning, skill utilisation)

Security and flexibility• Contract (temporary)• Fultime/parttime work• Career perspectives• Atypical working hours• Flexible working hours

Labour relations and engagement• Voice and say• Supportive management• Employee representation• Violence and harrasment


A clustered approach: 7 types of job qualityWork

OrganisationSkills

& Dev.

Pay &

Reward

Security & Flexibility

Voice

Job Resources

Job Demands

Security Flexibility

HIGH QUALITY1. Active High High complexity &

cognitiveOthers Mod/Low

Mod/High

Mod/High

High High work time autonomyLow non-standard hrs

Mod

MODERATE QUALITY

2. Saturated High High High High High High work time autonomyHigh non-standard hrs

High

3. Team-Based High Mod/High Mod Mod High Low work time flexibilityLow non-standard hrs

Mod

LOW QUALITY4. Passive-Independent

Low Low Low Low High Low work time autonomyLow non-standard hrs

Low

5. Insecure Mod High physicalLow cognitiveOther Mod/Low

Low Low Low Low work time autonomyMod non-standard hrs

Mod/Low

6. High-Strain Low/Mod HighLow cognitive

Low/Mod

Mod High Low work time autonomyHigh non-standard hrs

Mod


Where are the good jobs? Job Types by Main Sectors (Holman&McClelland – WALQING, 2012)

Industry ServicesActive

14.3 17.5

Saturated9.3 14.5

Team16.6 14.8

Passive25.1 19.9

Insecure13.9 15.1

High-Strain20.9 18.2

• Service sector has fewer low quality jobs than Industry (53.2% vs. 59.9%) except for insecure jobs!


Where are the good jobs? Growing and Declining Sectors (Holman&McClelland – WALQING, 2012)

Declining GrowingActive

13.9 17.4 Saturated

10.9 13.7 Team

13.8 15.6 Passive

24.2 20.0 Insecure

13.9 16.3 High-Strain

23.2 17.0

• Growing sectors (43.3%) have fewer low quality jobs than declining sectors (61.3%) except for insecure jobs! Still 1:5 is ‘new’ passive job


Fast growing, low quality sectors (NACE) (Holman&McClelland – WALQING, 2012)

Catering(Hotel &

Restaurant)

Care (Health &

Social Work)

Construction Growing Sector Av.

Active 4.1 13.4 12.1 17.4

Saturated 23.6 23.4 10.9 13.7

Team 6.2 12.7 22.1 15.6

Passive 8.1 11.8 23.5 20.0

Insecure 21.5 10.7 18.4 16.3

High-Strain36.6 27.9 13 17.0

• Not all growing sectors offer high level of quality jobs


Estimated Job Creation 2000-2008 by Job Type (Holman&McClelland – WALQING, 2012)

Job Type

Active Saturated

Team-Based

Passive

High-Strain

Insecure

NEW jobs from 2000 to 2008 (in millions)

3.1689

2.6161 2.4062 3.2225 2.5146 2.7450

• 8.48 million low quality jobs created

• 8.19 million high and moderate quality jobs created

• One cannot rely on sector change to increase high quality jobs


Key messages:• There are different types of good and bad jobs• These are distributed very differently• Fewer service jobs are of low quality BUT they are more insecure

jobs• Job growth is not necessarily only in good jobs: they may be

insecure and high strain (catering, care) or passive (construction)• Job growth in the service sector cannot be relied on to produce

“more and better jobs” economies

• The recession has accentuated this even more


Job growth and job quality




4.New jobs in care


The greening of the economy is at the section of two key EU2020 objectives:• Job-rich growth ambitions• Reduction beyond 20% (or even 30%) of GHG

emissions• 20% increase in energy efficiency



A specific focus on green jobs

The green economy is considered as a key resource of job creation in Europe. Current estimates (Ecorys 2012) are:

• 2.8 mio new jobs by increasing resource efficiency• 2 mio new jobs by energy efficiency measures• 3 mio new jobs by boosting renewable energies

BUT: the transition requires investments in skills in emerging green sectors and active policies to preserve employment in traditional industries



Definitions:“All jobs that depend on the environment or are created, substituted or redefined in the transition process towards a greener economy” (Ecorys, 2012)

• Created: e.g. installation of solar panels or water pumps in construction, energy-auditors

• Substituted: e.g. waste and recycling• Redefined-transformed: e.g. isolation in construction, shift to

energy-efficient production, craddle-to-craddle production



The green job agenda focusses on sectors with each have different challenges and require different strategies:

1. Eco-industries: environmental protection and resource management

estimated at 3,4 mio workers in the EU (2012) (but figures are incomplete)

2. Greening of traditional/ emission-intensive industries: energy supply and energy-use sectors, transport

estimated at 15,8 mio workers in the EU (2011) representing up to 7,45% of total EU employment in 2011 (significant differences within the EU)


Emission-intensive industries

Impact of emission-reduction strategies on GDP and on employment depends on:

1. Regional concentration of these industries2. Re-investment of taxes into economy - labour market

(reduction of labour costs)

a reduction of GHG emissions is possible without affecting GDP and employment seriously. It could even lead to 1.5 mio new jobs by 2020 in the most optimistic scenario (EC impactstudy 2011)


Green economy and job quality

Some observations and estimations (Eurofound)Emerging eco-industries may be likely to have:

• Lower degree of representation (e.g. collective agreements coverage)

• More widespread patterns of undeclared work (in SMEs)• SMEs with poorer working conditions• More volatile companies• More outsourcing and more SMEs and self-employed• Health and safety effects: new or transferred hazards

BUT (…)



(…) the willingness to innovate may also have positive effects on job quality

• Greening associated with new technologies• Social innovation• New skills: investments in training• Focus on attracting and retaining of high skilled

workforce• Better working conditions• Companies more sensitive to reputation• If… resources are available



Health and safety• New risks: e.g. cadmium telluride in solar industry• Old risks abolished: e.g. materials in construction• Transferred risks: e.g. working on roofs• New combinations of risks with emerging technologies

Companies across all sectors will have to adapt their current risk anticipation, identification, evaluation and control activities to the emerging technologies


Greening in construction: more teamwork or more standardisation?


Impact of greening: an illustration from the WALQING project

Greening in construction: what is it?

Construction sector: implementation of full range of measures to raise energy-efficiency may create 400.000 new jobs

• Energy-friendly constructions: buildings in conformity with the European E standard, that gradually grows stricter (has come down from E100 to E60 at this moment). The E standard takes into account the insulation quality of the dwelling and the heat source(s)

• Passive houses (criteria: low energy consumption, airtightedness, limitation of the room temperatures during the hot season)

• Eco-friendly constructions: energy-friendly or passive house + use of sustainable and low-carbon building materials


Greening in construction: impact

Traditionally: improvisation• Every construction site is unique• Continuous change of workplace and environment• Typical: underspecifications of plan• Requiring high levels of contextualisation and improvisation• The next in stage repairs the errors of the previous…

Trend: standardisation• A paramount requirement of accuracy, sense of detail and

high quality performance• Detailed specification of all components and processes• Are a prerequisite for the performance tests


Greening in construction: impact

Response:•‘Professionalisation’ : growing use of management techniques (e.g. ex-ante and ex-post cost calculations,just-in-time delivery…)•Prefabrication of components: walls and roofs•to be produced at central workshops or specialised subcontractors with JIT delivery•This aleviates health and safety risks considerable

BUT!!very contrasting effects on job content and intrinsic job quality caused by different corporate and management strategies



Standardisation and prefabrication

First management strategy: maximise control, minimise risks

1. Building a house boiling down to assembling standardised elements

2. Short-cycled and repetitive work done by new immigrants3. Top-down management: adherence to detailed instructions

and strict time tables, high process-control and bureaucratisation

4. Maximum outsourcing, vertical relationship between main contractor en subcontractor


Second management strategy : maximise involvement

1. Experienced builders having an insight in the why and how of eco-friendly construction techniques

2. Craftmanship is valued, training efforts for all3. High autonomy4. Working in construction teams – mutual responsibilities5. Decentralised, on-site planning and regulation, involving all

concerned 6. Sharing of information and finetuning of plans


The impact of greening on job qualityKey messages• It is impossible to isolate effects of climate change from

broader contextual factors (globalisation, technological progress, the crisis, rising public debt levels, aging)

• Very different effects across (green) sectors, occupations and regions

• No evidence for direct or indirect causalities between climate change and job quality

• Company policies matter!• the crisis seems to slow down climate change response

strategies due to shrinking financial resources


The EU2020 employment package “More and better jobs”:

1.Job growth and job quality2.Green jobs and job quality 3.Workplace and workers’


4.New jobs in care


Workers’ strategies

Trade union position:• Unions were fixated too long on coping with

consequences of subsequent restructurings

• They have to consider innovation and greening as an opportunity because :

• innovation means job creation• A competitive firm is a common interest and

shared goal


Workers’ strategies: participate in innovation and greening

Broadening the diagnosis: look at the full picture• Not only wage costs, productivity, lack of skills• Also quality, mistakes, use of material and energy, unsafe

working environment…• Employees know where the problems are; this shopfloor

knowledge should be better acknowledged and used

employees are the experts as far as work is concerned


Workers’ strategies: participate in innovation and greening

Examples:• IG Metall’s ‘better not cheaper’ strategy as

an offensive approach• Participate in joint surveys on energy-use

and in energy audits• Identify energy and resource hotspots

where interventions are needed


Workers’ strategies: innovating the social dialogue

Innovating the social dialogueUnions/employees should be partners of employers in seeking strategic answers and participate in innovation and greening:• Participation in innovation is not to be hindered by

collective bargaining on working conditions: these should be taken out of the innovation/greening agenda

• Active participation in diagnosis, analysis, solutions and implementation

• Motivate colleagues and raise awareness


Workers’ strategies: innovating the social dialogue

Examples: • Including energy efficiency targets in collective

agreements• Appointing a ‘green’ employee representative• Give ER green responsibilities (eg. monitoring)• Plan and develop environmental training at the

workplace• Support energy audits and other awareness

initatives


Conclusion: A triple win

41M. Ramioul – EZA-seminar series

Competitiveness Better job quality

A healthier environment

The EU2020 employment package “More and better jobs”:

1.Job growth and job quality2.Green jobs and job quality 3.Workplace and workers’


4.New jobs in care


The care sector

Growing sector ànd expected to grow: • Especially elderly care, including at home• Over the next 40 years: (EUROFOUND)

• proportion over 65 will double from 17% in 2005 to 30% in 2050

• proportion over 80: increase in threefold• Health and social work sector:

• Between 2000-2009: + 4,2 mio jobs leading to 21,4 mio jobs

• Shortage of local labour lead to increasing reliance on migrant workforce (whether legal or not)


The care sector

Care is organised in Europe in different care regimes:

– Northern Europe: state responsibility based on taxes– Continental: insurance systems and universal cover– Mediterranean: family-based and social assistance/ not-for-

profit/third sector– Central-Eastern EU: families legally or implicitly bound to

care and strict entrance criteria to public funds (subsidiarity)– UK: massive contracting out of public health care provision

leading to fierce competition amongst private service providers


Health and social work are under reform everywhere

1. First trend: privatisation and outsourcing:– Decrease of direct service provision and privatisation– New models of purchase by public services: public

procurement and outsourcing, sometimes in subsequent tiers

– Triangular and “quardangular” relationships between:– public procurement/purchase – service provider(s) – Workers

– Public austerity programmes further increase pressure on costs, hence on wages and contracts of the service provider


Health and social work are under reform

2. Second trend: shift from institutional to domiciliary care

• Domestic care offered by public, private or non-profit providers or by self-employed

• Reinforcing shifts from skilled to unskilled labour force in care

• This ‘personalisation’ of care contributes to creating different new types of jobs often less-regulated and protected


Health and social work are under reform

3. Third trend: skill-based segmentation• Personal care: growing differentiations between types of care

and growing professionalisation and regulation

Versus

• Household tasks, personal hygiene, cleaning, support,… which are in the low-skilled /low-paid segment

• This leads to skill-based and often also ethnic segmentation• BUT: the boundaries are under constant negotiation and in

practice often blurred: tasks overlap, patients’ needs evolve and emotional support is left to the implicit task agenda


A sector of (growing) vulnerabilities

Consequences:– Growing erosion of public employment models: from civil

servant to precarious worker– Increasing reliance on migrant workers, whether legal, semi-

legal or undeclared– Increasing reliance on unskilled labour force (segmentation)– Co-existence of formal work and informal labour– Increasing pressure on costs and contracts– This also puts the position of skilled workforce under high

pressure as they are comparatively expensive and boundaries between care tasks are blurring and escape from control in the private sphere



(…)– Weakening of employee representation and collective

bargaining as a result of outsourcing and privatisation and the shift to domestic care

– Control of work organisation and working conditions and voice or collective action are difficult at home and in triangular relationships


Fast growing, low quality sectors (NACE) (Holman&McClelland – WALQING, 2012)

Catering(Hotel &

Restaurant)

Care (Health &

Social Work)

Construction Growing Sector Av.

Active 4.1 13.4 12.1 17.4

Saturated 23.6 23.4 10.9 13.7

Team 6.2 12.7 22.1 15.6

Passive 8.1 11.8 23.5 20.0

Insecure 21.5 10.7 18.4 16.3

High-Strain36.6 27.9 13 17.0

• Not all growing sectors offer high level of quality jobs



Quality of work: increasing vulnerabilities similar all over Europe

• Increasing income insecurity due to:– Low pay– Increased use of fixed-term contracts and part-time (split shifts) – Increased use of zero-hour or very small contracts

• Increasing workloads, combining standardisation of work with unclear prioirities

• Hard physical work and health hazards• Risks of burn-out, emotional exhaustion, bullying and

violence


A sector of (growing) vulnerabilities(…)But also potential for personal meaning and rewards: care

as vocation

The client is a key factor in the quality of work


Action is needed

Areas of awareness in the light of the future job growth:

– Increase wages and making them less unpredictable– Training of unskilled staff esp. in care work– Tackling racism and client-abuse– Health and safety measures– Regulate flexibility in times and contracts– Opportunities to build collectivities with colleagues– Improve employee representation


Action is needed

Some best practice examples :– Regularisation campaigns targeted at care sector, including

requirements for minimum wages, contracts and hours: eg. Italy regulated 300.000 immigrant workers in the sector

– Training elderly care workers or personal assistents to be able to provide more complex services, eg. reabling services (short-term care in view of gaining back independency) (UK)

– Enhancing social contact to limit isolation: meetings with supervisors, lunch breaks at the office, working in pairs,…


monique ramioul research institute for work and society hiva – k.u.leuven

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