Unemployment benefits in times of crisis: their role as automaticstabilisers

Transcription

1 Thematic Review Seminar: Unemployment benefits in times of crisis: their role as automaticstabilisers Austria s unemployment benefit system and measures taken since 2008 Christine Holzer

2 European Social modell Modernizing and improving social protection virtous triangle AT continental Europe CORPORATISTIC MODELL` Bismarck schen Sozialversicherungssystem Focus on previous earnings/ contribution based Priority: save (former) living standard Right on social benefits NO right on labour Distribution process: focus on taxes & transfers rather then Social Services Social Partners are important actors!

3 TRS Seminar - Christine Holzer

4 Unemployment benefit system Wage compensation for duration of unemployment Benefits for employment promotion/ family benefits Secure livelihood for elder employees Social security Protection for the recipients of benefits UI Basic amount 55% of former net income +family-+ additional supplements: ~ 60% - 80% Duration 20 / 30/ 39 / 52 weeks depending on insurance period and age Eligibility reg. PES, availability for job placement, ability & willingness to work, Compliance with eligibility criteria, period of claim not yet exhaused UA Claim for unemployment is exhaused, financial distress + availibility for placement 92% res. 95% of UB basic amount + family supplements Assesment of partner income Granted up to 52 weeks at a time

5 UI amendements Training leave: ( participants/year) Min. work relationship: 6 months; Min. duration: 2 months; max. duration: 1 year within 4 years Training allowance equals UB - Bildungskarenz plus Part-time allowance scheme for older workers - Adaption of minimum age for accessing part-time scheme : 53 years. :58 years) compensating costs 55% block; 90% continuing basis Self employed covered by UI /voluntarily ( )

6 STW 2009/ [since May 2009 (peak) declining] app. 500 enterprisis app short time working persons 2010 Slight economic recovery app. 260 enterprises 10% - 90% red. of working time PES app persons STW with Qualification - low demand STW available until 2014! TRS Seminar - Christine Holzer

7

8 Means tested Minimum Income 06/10 _ 10/11 KEY FEATURES Further development of Social assistance standardized nation-wide minium level Support service by PES - intensive problem analysis, comprehensive supply, - special LM Projects, re-entering LM (ESF) Public health insurance coverage Better services for lone parents (mainly ) No recourse ( incentive to enter LM) 08/11 app persons took advantage

9 Means testes minimum income (BMS) Graduates Upper secundary education Intermediate schooling Completed apprenticeshipp Compulsory schooling BMS Registered unemployed Two out of three BMS have only compulsory schooling!

10 Automatic stabilizers International Indicators: ER, UR / Austria has a good performance AT: September 2011: 3,9 % lowest UR in EU - 27 Are low Unemployment rates a gain for the welfare state? Watch Inactive Persons!! Lacks in the saftey net!! New labour contracts no unemployment insurance Focus on Migration to Out of Labour Force (OLF) which means: high social cost, social transfers,.. [Mobility, Chances of Migration flows, changes in illegal employment; ] High labour market participation OF ALL

11 THANK YOU VERY MUCH FOR YOUR ATTENTION! Recognize that things change and that we need to change with them, so that the mere fact that a set of practices has been succesful or comfortable in the past is not an argument for its maintenance in the future. J. Bradford DeLong after Baily & Kirekegaard (2004)