The life course research perspective on individual working lives: Findings from the European Foundation research

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1 CAPRIGHT Workshop: Sen-sitising life course research? Exploring Amartya Sen s capability concept in comparative research on individual working lives Göttingen 24th/25th September 2008 The life course research perspective on individual working lives: Findings from the European Foundation research Ute Klammer Prof. Dr. Ute Klammer University of Duisburg-Essen, Germany ute.klammer@uni-due.de, ute-klammer@t-online.de,

2 Structure of the presentation 1. The life course projects on behalf of the European foundation 2. Theoretical background and conceptual model of the summary report 3. Empirical results 3.1 Individual level 3.2 Company level 3.3 State level 4. Policy Implications

3 1. The life course projects on behalf of the European Foundation

4 The reports: 1. The life course projects No 1: Naegele, Gerhard et al. A new organisation of time over working life (2003) No 2: Klammer, Ute/Keuzenkamp, Saskia et al.: Working time options over the life course: Changing social security structures (2005) No 3: Anxo, Dominique/Boulin, Jean-Yves et al.: Working time options over the life course: New work patterns and company strategies (2006) No 4: Torres, Anália et al.: First European Quality of Life Survey. Time Use, Work Life Options and Preferences over the Life Course in Europe (2007) No 5: Muffels, Ruud et al.: Flexibility and security over the life course empirical proofing (report finished 2007; Muffels et al (summary), Klammer/Wilthagen/Chung/Thiel 2007 and forthcoming). and

5 1. The life course projects Summary Report (No. 6): Flexibility and security over the life course: integrated report (forthcoming) Tasks: Re-evaluation and synthesis of the five life course reports/projects funded by the Foundation since ca Development of policy recommendations Project team: Ruud Muffels, Ton Wilthagen (OSA/University of Tilburg, NL); Ute Klammer (University of Duisburg-Essen, GE). Supported by an expert group Start summer 07 - finished Feb. 08 Report: ca. 50 pages, plus ca. 15 pages synopsis

6 2. Theoretical background and conceptual model of the summary report

7 2. Theoretical background and conceptual model The life course perspective: from an implicit agenda to a central issue within the European employment strategy The paradigmatic principles in life course theory: the principle of lifelong development the principle of human agency the principles of time and place (includes: institutional setting) the principle of timing the principle of linked lives

8 Klammer/Muffels/Wilthagen Conceptual Model Past Present Future Short term/ Long-Term Labour market institutions and Social security system Company strategies, business cycle Short term/ Long-Term Political, institutional, individual past; cultural heritage Employment position, kind of contract Values, norms Individual employment and working time patterns over the life course Income from work and social security / welfare benefits Economic resources of the country, economic cycle Future expectations and aspirations Individual preferences Gender, family situation, quality of life Demography, demographic development Short term/ Long-Term Political, institutional, individual past; cultural heritage Future expectations and aspirations (Childhood, adolescence, initial school and professional education) Labour market entrance phase Family formation, parenthood Career development, Rush-hour of life Elderly worker, empty nest phase Labour market exit phase (Post-retirement phase, old age, dependency) Life stages

9 3. Empirical results

10 3.1 Individual level Labour market participation of men and women over the life course I Different life courses (biological LC, family LC, professional LC, LC in the company, LC in the job...) Timing of the phases and transitions have become less clear Important: dimensions of gender, household type Working time: gender gap in WT existent in all life phases, but in particular in families with young children Effect of childbirth on labour supply of parents: men work more, mothers less (on average 5 hours/week); in some countries gender gap more than 20 hours/week.

11 3.1 Individual level Labour market participation of men and women over the life course II Country specific gender patterns: continuous, traditional and transitional model Push and pull factors: Institutional support (childcare) or economic need go along with mothers early return to the labour market Part-time work: Most female part-timers work PT due to family obligations, men work PT involuntarily or parallel to education/training Difficulties to change (back) from PT to FT: among women with small PT jobs, 5 years later only 17 work FT Country comparisons: Income penalties for PT are higher in the UK than in GE or NL Workers often underestimate the long-term effects of PT-work Cash benefits cannot compensate the loss of income

12 3.1 Individual level Trajectories: flexible work as springboard or dead end road? The chances to move from a flexible contract into a permanent job is highest in Luxembourg, Austria, the Netherlands and UK. Workers in flexible jobs move more likely into FT-work than unemployed persons After a while, the scarring effects of flexible work on the employment career diminish, but they don t fully disappear (in particular for women) Country comparison: Wage penalties for worker in flex. jobs are higher in Anglo-Saxon and Southern countries than in Nordic and Continental countries, but they diminish fastest in Anglo-Saxon counties Training helps to move from more to less precarious jobs; 70% of all respondents in Europe express interest in life-long learning.

13 3.1 Individual level Quality of life: preferences and reality Most companies today offer a range of flexible working time options Good news: In general, respondents prefer the most available WT options most (flexible control of working hours, wish to save overtime for times of need etc.) Preferences differ between cohorts and change over the life course Bad news: Many Europeans would like to work shorter hours and cannot realise it Impact of the company culture

14 3.2 Company level Country specific differences: depending on the institutional framework, industrial relations (e.g. trust relationship in the Scandinavian countries) VOC-approach Companies time horizon or long-term strategies do not necessarily go along with employees life course goals ( employee lifecycle ) Examples of good practice (company case studies); Working time accounts: light and shadow for a life course approach Differences in companies strategies vis à vis different subgroups of their workforce: Three different routes towards flexibility in HRM Commercialisation Negotiated stability Mutualisation

15 3.3 State level - I Different welfare states/welfare state regimes are characterized by different patterns concerning the distribution of work among both genders and all age groups Scandinavian welfare states show the most equal distribution of work among both sexes and all age groups of the population; they also come closest to a flexicurity-model. Continental and Southern welfare states have the strongest segregation. Countries differ a lot concerning the social protection for flexible working times and interruptions of working life; whereas all countries have schemes for some specific life phases (e.g. around childbirth), a coherent life course approach is usually missing

16 3.3 State level - II The Belgian career break scheme and in particular the Dutch life course saving scheme can give some inspirations concerning the development of a coherent life course approach; however, they can lead to a problematic further individualisiation of risks. Basic protection systems with a broad coverage of the population are favourable for persons mit discontinuous work biographies. Flexible and discontinuous life courses can endanger the financial sustainability of the social security system; this aspect requires further research

17 4. Policy implications

18 4. Policy implications The synchronization of business cycle and life cycle Business Worker Production Means & Synchronization Synchronization Synchronization Other Markets Work domains Capacity Business process Flexicurity of life Business Strategy diachronization Life course policy diachronization Synchronization (Business) cycle / (Life) cycle / phases Flexicurity phases Source: Based on Klammer, Wilthagen et al. (on behalf of the European Foundation), forthcoming.

19 4. Policy implications Life course policy: Definition: Life course policies can be defined as a purposeful strategy which on the one hand enables and empowers societal actors and citizens to successfully synchronize paid work and other socially productive activities at a given time and on the other hand facilitate the synchronisation and management of a variety of preferences and choices involved in life course decisions across different life- phases (the diachronization element) in order to guarantee optimal participation in work and other meaningful activities in the longer run (p. 43) Consequence: The life course perspective as an integrated and comprehensive perspective, involving different actors (individuals, companies, social partner, state)

20 4. Policy implications The need to establish a coherent life course approach (instead of schemes for selected life phases) Important elements: Legal rights (or respective regulations in collective agreements or company agreements) to adjust one s working time in both directions, and to leave and re-enter the labour market Support for transitions, upward mobility ( make transitions pay ) Framework regulation for saving schemes (similar to the Dutch system) Collectively financed support for specific life phases ( integrated options ); special support for caregivers Searching for a new balance between commodification and decommodification

21 4. Policy implications Social partners: Trade Unions as life course coaches, providing information and assistance for workers at different transition points in life Companies: Joint and mutual risk management for workers and employers Companies can support life-course policies by offering (more) flexible working time options, training options etc., but cannot be expected to adopt their workers life course perspective Life-course options will probably increase for the key players and the better qualified, but the situation of the flexible rim workforce might even become worse State: Public labour market and social policy should be concentrated on the vulnerable groups, the losers of flexibilisation! Strengthening of basic/minimum security systems But: Different pathways/priorities in different countries (e.g. improvement of the situation of flexible workers, focus on transition security, addressing the skill gap, enhancing opportunities for benefit recipients)