Policy Responses to New Forms of Work

Chapter 10. Public employment services

Public employment services (and the provision of these services through private providers in some countries) play an important role in matching jobseekers to new labour market opportunities but existing services may not cover those currently in new forms of work nor those seeking opportunities in new forms of work. In many cases, this will be a deliberate policy choice. For instance, public employment services with a mandate to tackle unemployment will prioritise unemployed jobseekers over those in new forms of work seeking other employment opportunities. A consequence of this is that those currently working in new forms of work may have limited opportunities for professional development.

The same services may be more likely to guide jobseekers towards open-ended employment contracts or other employment forms considered “sustainable”, than to opportunities in the platform economy. Developments in the labour market may lead governments to question whether existing public employment services strike a balance between standard and non-standard employment that is in line with policy objectives regarding job quantity and quality.

This chapter will discuss some actions taken by countries to respond to developments in the labour market by:

• Ensuring that those in new forms of work can access public employment services, including career guidance and job referral services;

• Matching jobseekers with opportunities in new forms of work, particularly in the platform economy;

• Innovating in public employment service delivery.

10.1. Ensuring that those in new forms of work can access public employment services

Those working already in new forms of work could have difficulty accessing job referral or career guidance services, where employment services are primarily targeted towards the unemployed or inactive, and where new forms of work (such as zero-hour contracts) blur the distinction between in-work and out-of-work categories. There was little evidence of countries actively targeting employment services at those in new forms of work. However, countries that target low-paid or low-skilled workers may be successful at reaching vulnerable workers in new forms of work.

One example of public employment services actively targeted towards those in new forms of work is in Bulgaria. The Bulgarian response described information campaigns and activation services targeted at those working outside the regulated labour market and those in dependent or false self-employment, often found in regions characterised by chronic unemployment. Efforts are made to integrate into employment individuals who have not been employed in the formal labour market for a long time.

A number of countries also stated that public employment services were open to all, including those in new forms of work. One example of a country moving towards a more inclusive approach to career guidance is Germany, where the Federal Employment Agency recently enhanced the range of counselling services available for all adults (including the self-employed), going beyond the traditional focus given to the unemployed population.

10.2. Matching jobseekers with opportunities in new forms of work

The questionnaire asked whether public employment services were using new forms of work to tackle unemployment or for worker activation more generally, including providing information on what vacancies exist in new forms of work. In many countries, although there was not a special effort to guide jobseekers to job opportunities in new forms of work, some opportunities in new forms of work would already be covered within the regular remit of public employment services. For instance, depending on the country, public employment services may be able to match jobseekers to: any legal job offer; any form of paid work; any job opportunities linked to payment of social contributions, regardless of the actual form of work; any employment or self-employment opportunities; etc. Under such systems, one could imagine a jobseeker being matched to casual or fixed-term work opportunities, provided that the match was considered suitable.

There was some evidence of employment services enabling jobseekers to access opportunities in the platform economy.

10.2.1. Matching jobseekers with opportunities in platform work

Finland and Sweden reported initiatives to offer opportunities in the platform economy to jobseekers.

Between 2017 and 2018, the Finnish Public Employment Service ran a pilot called “New Forms of Work and Entrepreneurship”, which used their digital job-market platform (Työmarkkinatori) to offer opportunities in new forms of work and entrepreneurship to jobseekers, by linking them to invoicing companies and digital job mediation platforms. According to the response, an advantage of the pilot was also that it gave those working in the Public Employment Service experience in these new forms of work. The pilot has since been integrated into Työmarkkinatori, and was still under development at the time of writing.

“From the perspective of employment and business services, it is critical that emerging entrepreneurial activities related to the sharing and platform economies can be supported, and that this kind of activity can be identified as a new form of entrepreneurship and employment” – Finnish questionnaire response

The Swedish Public Employment Service has started an initiative called Jobstore, intended to be “an open, neutral and common platform for all actors offering digital services such as matching, recruitment and education”. As there are so many different platforms, the PES says, Jobstore aims to make it easier for jobseekers to find jobs and for platforms to find workers. It is also an effort to contribute to the “digital ecosystem” by offering a common platform that encourages all actors (including the Public Employment Service) to share data, maximising the efficiency of matching and stimulating the creation of more digital services.

10.2.2. Training jobseekers for opportunities in platform work

Israel reported that it was offering training in the digital skills necessary to take advantage of opportunities in the platform economy. The Israeli Ministry of Labour and Social Affairs operates a few small pilot programmes targeted at workers in new forms of work. One of these offers training to particular groups (people with disabilities, Arab women, ultra-Orthodox) on using online trading platforms and making a living on the global online market.

A number of countries also mentioned that programmes aimed more broadly at encouraging entrepreneurship and self-employment could lead participants to the platform economy. For example, the Argentinian response mentioned that the Independent Employment Programme, which helps participants to develop and implement a business plan according to their interest and economic possibilities, could lead them to platform work or other new forms of work.

10.3. Innovating in public employment service delivery

Providing employment services to those in new forms of work or those seeking opportunities in new forms of work may require adjustments to service delivery and to toolkits. Many countries described how their methods were evolving to reflect current labour market trends and expectations about the future of work, including:

• Digitalising advisory and job referral services and/or teaching jobseekers skills that they would need to use online job search tools; and

• Closely following developments in the labour market and in recruitment practices and updating matching services in response.