1887

OECD Social, Employment and Migration Working Papers

This series is designed to make available to a wider readership selected labour market, social policy and migration studies prepared for use within the OECD. Authorship is usually collective, but principal writers are named. The papers are generally available only in their original language - English or French - with a summary in the other.

English, French

Faces of joblessness in Finland

A people-centred perspective on employment barriers and policies

Following five years of economic growth, employment in Finland increased to 72.6% of the working-age population in 2019. The effects of the strong recovery, however, were not felt by all, and long-term unemployment remains stubbornly high.

This report uses a statistical clustering model to map individuals with similar support needs into 8 “faces” of joblessness: (1) the rural inactive; (2) unstable workers; (3) skilled retirees; (4) urban active; (5) female carers; (6) low-skilled youth; (7) prime-aged low skilled; and finally (8) those with limited financial incentives.

These results shed light on the effectiveness of existing employment support strategies, and lay the foundation for the development of holistic policy packages: that are tailored to the barriers people face; that recognise most people with weak labour-market attachment face multiple barriers, and that coordinate policy interventions across policy domains and institutions accordingly.

English

JEL: J8: Labor and Demographic Economics / Labor Standards: National and International; C38: Mathematical and Quantitative Methods / Multiple or Simultaneous Equation Models; Multiple Variables / Classification Methods; Cluster Analysis; Principal Components; Factor Models; J2: Labor and Demographic Economics / Demand and Supply of Labor; H31: Public Economics / Fiscal Policies and Behavior of Economic Agents / Fiscal Policies and Behavior of Economic Agents: Household; I38: Health, Education, and Welfare / Welfare, Well-Being, and Poverty / Welfare, Well-Being, and Poverty: Government Policy; Provision and Effects of Welfare Programs; J6: Labor and Demographic Economics / Mobility, Unemployment, Vacancies, and Immigrant Workers
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