2010年-世界发展银行全球_Employment-Related_Mitigation_Measures_in_ECA_Countries_4页_792kb

Summary of Employment-Related Mitigation Measures in ECA Countries

Core Content

The document outlines employment-related mitigation measures implemented in Eastern Europe and Central Asia (ECA) countries in response to the global economic crisis. It highlights the varying degrees of impact on the labor market, the limited availability of resources for intervention, and the types of policy responses adopted by different countries.

Key Messages

• Economic Impact: ECA countries have been affected by the economic downturn, with the Baltic States, Armenia, Russia, and Ukraine experiencing the most significant GDP contractions.
• Public Finance Constraints: Many countries face limitations in public finances, which restrict the scope of labor market interventions. Only a few, such as Estonia, Kazakhstan, and Russia, had set aside resources for crisis response.
• Policy Focus: Most ECA countries are targeting vulnerable groups (e.g., youth) or specific policy areas (e.g., public works, training). A few, including Kazakhstan, Russia, and Turkey, have adopted comprehensive anti-crisis measures.
• Types of Interventions: Labor market policies can be categorized into four main types:
  • Job creation: Public works, wage subsidies, and start-up support.
  • Job protection: Wage subsidies, tax concessions, and support for short-time work.
  • Enhancing employability: Training, retraining, apprenticeships, and mobility allowances.
  • Income support: Expansion of unemployment benefits, increased benefit amounts, and extended payment durations.

Main Policy Measures

1. Measures to Create Jobs

• Public Works/Investments: Latvia, Slovenia, and others have significantly increased funding for public works and infrastructure projects.
• Wage Subsidies: Bulgaria, FYR Macedonia, Hungary, Serbia, and others introduced or expanded wage subsidies for new entrants, particularly youth.
• Start-up Support: Estonia, Latvia, Poland, and others have provided financial assistance for entrepreneurs and self-employed individuals.
• Kazakhstan's Roadmap: A major public intervention program added 140 billion tenge (about US$1 billion) to the national budget, including 63,100 social jobs with 50% wage subsidies and 34,400 fully subsidized jobs for graduates.

2. Measures to Preserve Jobs

• Sectoral Support: FYR Macedonia, Latvia, and Ukraine have provided targeted assistance to sectors and enterprises most affected by the crisis.
• Social Security Tax Reductions: Turkey reduced social security contributions for employers by 5 percentage points, and for the young and women. Disabled workers' contributions are now paid by the Treasury.
• Preventive Training: Russia and Kazakhstan included preventive training in their anti-crisis programs to avoid layoffs.

3. Measures to Enhance Employability

• Training Expansion: Armenia, Croatia, and Estonia nearly doubled their training budgets in 2009. Latvia expanded training programs using the European Social Fund.
• Apprenticeship Programs: Belarus introduced a wage subsidy for hiring apprentices and covered social insurance contributions for these youth.
• Staff Expansion: Estonia and Russia increased the number of job counselors to improve service delivery to job seekers.

4. Measures to Provide Income Support

• Unemployment Benefit Extensions: Poland extended the duration of unemployment benefits from 12 to 18 months. Romania increased the maximum duration from six to nine months.
• Benefit Increases: Russia increased the maximum unemployment benefit to 4,900 rubles (about US$170).
• Tightened Regulations: Hungary introduced the "Way to Work" policy to restrict eligibility for welfare for long-term unemployed who have exhausted their benefits, encouraging more active job-seeking.

Limitations and Considerations

• Effectiveness of ALMPs: Active labor market programs (ALMPs) are more effective at addressing structural unemployment than demand-deficient unemployment.
• Cost and Uncertainty: Large-scale job creation programs can be costly and have uncertain long-term benefits.
• Need for Economic Recovery: The resumption of economic growth is essential for easing labor market tensions.
• Comprehensive Strategy: Job creation requires a balanced approach that addresses both labor supply and demand, including economic and social policies.

Conclusion

The ECA region has adopted a range of employment-related mitigation measures in response to the economic crisis. While some countries have implemented broad, comprehensive strategies, others have focused on specific vulnerable groups or sectors. These measures include job creation through public works, job preservation via tax and wage support, employability enhancement through training and apprenticeships, and income support through extended and increased unemployment benefits. However, the effectiveness of these interventions depends on the alignment with labor market needs and the resumption of economic growth.