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POLICY ON

EMPLOYMENT AND LABOR


MARKET
Workforce
This paper was developed within Phare RO-2002 / 000-586.03.01.04.02 - "Initial training in European affairs for
civil servants in central government" implemented by the European Institute of Romania in collaboration with
EUROMED - Euro Mediterranean Networks in Belgium in 2005.

The work is part of Micromonogra Be - European Policies.

© 2005 European Institute of Romania


Printed MasterPrint Super Offset, tel. +40 21 223.04.00, fax +40 21 222.80.25
CONTENTS: UNION
EUROPEAN:
POLICY ON LABOR
MARKET AND
Employment
Introducere1
1. Employment policy labor European Union 2
1.1 KEY MOMENTS IN shelves employment The MUNCĂ2
1.2 The new agenda socială4
2. Labor market policy and employment in Romania 6
2.1 harmonization legislativă6
2.2 Market institutions muncii9
2.3 Develop National Employment Strategy and Action Plan on Employment the work9
2.4 Employment policies muncă11
2.5 Market policies muncii11
3. Characteristics of the current labor market situation România12
3.1 The statistics on the labor market muncă13
3.1.1 Population and muncă13
3.1.2 Challenges for employment of labor the sectoare13
3.1.3 Şomajul14
3.2 Instruments respond to the challenges of the labor market muncă16
3.3 Actions to prevent and combat long-term unemployment undertaken by in prezent17
3.4 Develop a policy to extend the life active18
3.5 Entrepreneurship and job creation muncă19
3.6 Integrated approach to equality between women and bărbaţi20
3.7 Policies for training and lifelong learning vieţi20
3.8 challenges and răspunsuri22
4. Lessons for România22
4.1 Development of Vocational Training continue22
4.2 Impact Strategy Lisabona24
4.2.1 What we can hope for this policy? 25
Glossary termeni26
Appendix 128
Appendix 229
Appendix 330
This model resulted after several attempts have been
"Sustainable growth, balanced and made that have concentrated either on, growth, either
respectful environment, a high level of on welfare (revised phrase). The changes that have
employment of labor and social protection, occurred in Member States where so-called "golden
level and quality of life, greater economic and age" which covered the period 1945-1970 and was
social cohesion" EU strategic objective - until characterized by an increase in labor demand has
2010 affected the general economic interest. To meet this
need have attracted new categories on the labor
market: women, youth, strangers. But this era to an
Introduction end with a major modification of the monetary
system and the oil shock that reduce activities in
European Union a framework to facilitate the different sectors. With this opportunity comes into
Member States achieving domestic and foreign play "Scandinavian model" of social protection for
policy, observing and consistent application of those who lose their jobs as a result of higher long-
common basic principles on which Romania assumed term unemployment and reducing the number of new
in its entirety: the rule of law and respect for law, jobs. The state's role in employment policy labor
establish a legal system uniform and protection of duration increases relatively high, about 15 years.
rights deriving from Community rules; They are introduced such active measures to
encourage those that retain or create jobs in times of
- principle of respect for human rights and recession and a series of measures softer such as the
fundamental freedoms - rule of law universal value; gradual closure of some areas due to increasing
- rule-social; concern unemployment in certain regions mono-
- cultural pluralism; industrial, mining the most frequent. This process of
- principle of subsidiarity. "adjustment" those who were most affected were
recent entrants to the labor market, women,
The process of integration into the European Union foreigners. The state's role in employment policy
must be structured from the premises stated by the labor duration increases relatively high, about 15
European Council in Copenhagen in 1993 as years. They are introduced such active measures to
preliminary criteria for becoming a member of the encourage those that retain or create jobs in times of
EU as called for political, economic, monetary, and recession and a series of measures softer such as the
the existence of a national administration capable gradual closure of some areas due to increasing
manage EU membership provided at the European concern unemployment in certain regions mono-
Council in Madrid 1995. over time EU architecture industrial, mining the most frequent. This process of
has become increasingly complex, has created new "adjustment" those who were most affected were
institutions, new tools always challenging objectives recent entrants to the labor market, women,
for Member States, but of course for its citizens. foreigners. The state's role in employment policy
labor duration increases relatively high, about 15
EU employment policy is an integral part of the set years. They are introduced such active measures to
of complementary policies that have evolved encourage those that retain or create jobs in times of
continuously with socio-economic development recession and a series of measures softer such as the
models. Treaty of Rome in 1957 was perhaps the first gradual closure of some areas due to increasing
rules on free movement of workers, equal on concern unemployment in certain regions mono-
payment of wages, and of the tools created, the industrial, mining the most frequent. This process of
European Social Fund is the first that aims to provide "adjustment" those who were most affected were
support for implementation of social policy and recent entrants to the labor market, women,
employment the work. We see how the evolution of foreigners. They are introduced such active measures
the development of Member States through several to encourage those that retain or create jobs in times
stages of maturation of concepts and models to create of recession and a series of measures softer such as
model called European social model. the gradual closure of some areas due to increasing
concern unemployment in certain regions mono-
industrial, mining the most frequent. This process of
"adjustment" those who were most affected were
recent entrants to the labor market, women,
foreigners. They are introduced such active measures
to encourage those that retain or create jobs in times
of recession and a series of measures softer such as
1
the gradual closure of some areas due to increasing
concern unemployment in certain regions mono-
industrial, mining the most frequent. This process
of "adjustment" those who were most affected
were recent entrants to the labor market, women,
foreigners.

After other methods were introduced in 1980 to


ensure better coordination of common policies
such as the OMC. In this regard they have been
regulated labor market issues, training, subsidies
for creating jobs or hiring certain categories which
had dif fi culties integrating this market. The
solutions were different depending on the school of
thought and have led either to reduced working
hours per week at 48-44 then 35 hours (France,)
either by using technologies which increase labor
productivity, reduce labor costs but increase pro fi t
(liberal attitude). This approach has the effect of
creating new jobs in new sectors, increasing.

Following the creation of the single market as a


result of the Single European Act of 1986 steps
were taken to ensure the health at work, solving
and preventing dangers they produce certain
substances used in the workplace. The hardest part
was to realize a balance between economic
development as "engine" of its social policy and
employment and labor.

2
Social dialogue promoted by the Single European content Social Charter into legislation. Social Charter
Act was perhaps "vehicle" that ensured a continuous was followed by social action programs.
process of negotiation between different Member
States through organizations such as ETUC Social Policy Agreement 3
Confederation europeae Unions, EUNICE Union of
Industrialists and Employers of Europe, UEAPME, Agreement on Social Policy annexed to Protocol
the Association of Enterprises small and Medium Social Policy annexed in turn to the Treaty on
Enterprises, CEEP, the European Center of European Union. Signed by 14 Member States
Enterprises with Public Ownership. These bodies (except the UK), established social policy objectives
have tried to defend, support or claim the rights of outlined in the 1989 Social Charter: promoting
those they represented and the general economic employment, improving working and living
interest. Among the approaches presented have conditions, combating social exclusion, human
prevailed in their center are available monetary resource development, etc. Social Policy Agreement
constraints that must comply with in order to ensure a establishes the procedure for adopting social policy
balance between development and social protection. measures and acknowledges the vital role played by
European experience has shown that Keynes's theory dialogue between management and employees in
interventionist policy, social policy. 1993 Green Paper which sets the action
and then the 1994 White Paper insists on the role of
vocational education and training, where we find two
1. Employment Policy lines, one vertical and one horizontal. In the vertical
direction, which should provide economic and social
employment in the European cohesion find active employment policies, equal
Union opportunities, education and training in trades, labor
quali fi ed to respond to ever-changing requirements,
allowing women access to the labor market. While it
1.1 Key milestones in the area of horizontally local employment, equal opportunities
employment policy labor and the society based on services, local partnerships
to ensure the favorable climate of entrepreneurship
If between 1957 and 1971 instrument used was the "poles of knowledge" which is transferred to new
European Social Fund (ESF), then there are other sectors. More funds are thus activated? Within their
regulations, strategies, programs and tools that will Regional Development Fund, the Structural Funds
influence the direction of development policy. The with three speci fi c objectives are known. After the
construction of the European social model was election of the new Labor government in May 1997,
marked these events have contributed to the vention Britain has announced plans to take part in social and
and then developing a European social and employment policy.
employment, appropriate strategies, new tools and
partnerships to achieve their objectives. Treaty of Amsterdam 1997, incorporated the
Agreement on Social Policy - with increased
European Social Charter provisions
- the Social Chapter of the Treaty on European
All member states except Britain adopted in 1989, by Community. It created a legal basis for equal
a declaration, the Charter of Fundamental Social opportunities between women and men in the
Rights of Angajaţilor1, known as the Social Charter. workplace and make clarifications regarding action
Charter is a political instrument containing "moral against social exclusion. In the final, a reference to
obligations" 2 whose object is to ensure that in a fundamental rights has given a new dimension to
country subject to certain social rights. These relate social policy objectives. The Maastricht Treaty of
primarily to employment, vocational training, equal 1992 was meant to integrate Social Charter in the
opportunities, working environment. Charter also treaty signed except Britain, which will sign later in
contains an explicit request to the Commission to the Social Agreement.
submit proposals to transpose The Amsterdam Treaty includes social policy and
1
employment necessary for achieving stability pact
Community Charter of Fundamental Rights for
Workers
2
www.ccir.ro
3
Ibid

3
growth and ensuring a balance between economic discussed and approved by the European Council;
integration and employment policy labor. It contains - preparation by each Member State of the "National
provisions aimed at deepening integration both in Action Plans" (National Action Plans- NAP's)
Community competence by passing certain fields plans that describe how to apply the Departments
were included in the scope of intergovernmental of Employment and recommendations specific to
cooperation and the development policies and each country;
objectives of the European Union. Including such - The Commission and the Council jointly examine
provisions with regard to employment insurance and these plans and draw up a "joint report on
social protection. Under those provisions, Member employment" (Joint Employment Report)
States will promote policy coordination to create jobs - after considering the report and recommendations
in order to develop a common strategy for to develop new directions for the next year.
elaboration of commitments.
The method by which this process takes place to
It also aims at eliminating discrimination and coordinate employment policies of labor is known as
ensuring optimal treatment as regards working the 'open method of coordination "in April. The
conditions and vacancy development of common principles supporting this method are:
policies on environmental protection, public health
and consumer protection. Thus it was adopted - principle of subsidiarity - is to establish / division
"European Employment Strategy labor" by of responsibilities between national and EU levels
introduction in the Treaty Title by setting objectives at EU and Member States
VIII. The coordination of actions relating to accountable action on measures taken for their
employment in the Union was launched by the implementation at national level;
European Council in Luxembourg in November 1997 - the principle of convergence - lies in shared
on "Job Summit". objectives with interrelated actions;
- based management objectives - refers to the
- Depending on the priorities identi fi ed strategy is monitoring and evaluation of progress by
structured around four pillars, each representing establishing common indicators for all Member
one field of action which contributes to the better States;
employment of labor at Community level: - monitoring country (country surveillance)
- is to produce reports that record progress and
- employability - represents a new culture in the field identify the possible "best practices" in the Member
of employment and refers to the adaptability of the States;
employee, contributing to combating youth - integrated approach - widening the Departments
unemployment and combating long-term labor market policies within other policies (social,
unemployment; educational, entrepreneurial, regional and taxation).
- entrepreneurship - promote the creation of new
jobs by fostering local development; At launch in 1997, the European Employment
- adaptability - envisages modernizing work Strategy of labor envisaged over the next five years
organization and promoting the flexible to make progress in combating unemployment
employment contracts; sentient. To check the this end, the strategy was first
- providing equal opportunities - refers to special assessed in 2000, but later in 2002 to carry out an
measures for women to have some of the same impact assessment. The results of these evaluations
opportunities as men. have shown progress towards creating an integrated
framework of national policies, increase transparency
To ensure coordination at European level of the of employment policies and the number of
strategy annually go through certain stages, as stakeholders at EU and Member State level. There
follows: have also been identified and sensitive aspects of the
employment policy and labor were outlined priorities
- establishment of "Trends in Employment" next period.
(Employment Guidelines) document prepared
based on the European Commission proposal,
which then

4
The Open Method of Coordonation - was initiated in the Employment Strategy Employment

4
Themes identi fi ed reform the European Its targets in 20038 were oriented more towards the
Employment Strategy labor were: Lisbon objectives (full employment of labor, quality
and productivity at work, cohesion and social
- establish clearer objectives; inclusion). To support the main objectives have been
- the sake of simplicity the lines of action (without identified 10 specific courses of action that. Also in
reducing the efficacy of these); 2003 the Commission asked a group be established to
- strengthening the role of social partnership in the address specific issues of particular employment
implementation of the Strategy; strategy (European Employment Taskforce). The
- increasing coherence and complementarity with group led by Wim Kok, former Prime Minister of the
other Community processes5. Netherlands, identified as priorities of the Member
States:
2000 is a major moment in the evolution of social
policy by developing the Lisbon strategy (Lisbon - creştereaadaptabilităţiimuncitorilorşi
Strategy), which establishes the goal for ten years the of companies;
European Union, namely "to become the most - attracting more people to the labor market and
competitive and dynamic economy based on keeping them on the market;
knowledge capable of sustainable economic growth - increasing investment in human capital;
with more and better jobs and greater social cohesion - ensuring ef fi cient implementation of reforms
"6. The European Council decided that the necessary through better governance.
conditions for full employment of labor and
established a level of employment rate of
employment of 70% and a rate of female
employment of 60%, targets to be attained by 2010 .7 1.2 New Social Agenda
The Lisbon Strategy was designed to help the
European Union to regain full employment provided "New Social Agenda '9 of February 9, 2005
employment and strengthen social cohesion by 2010. presented in Brussels are moving towards providing
The objectives of the Lisbon Strategy in terms of jobs for EU citizens by providing equal opportunities
employment policy work were: for all. Agenda priorities are related to:

- increasing the quality and quantity of jobs; - adapting legislation on labor relations with a
- anticipating and capitalizing labor market changes continuous social dialogue;
by creating a new balance between fl exibility and - monitoring poverty trends using a "Green Paper"
security; which to monitor the demographic that population
- fighting poverty and all forms of social exclusion and future relations between the generations;
and discrimination; - European labor market in which workers bene fi t
- modernization of social security; from a pension or social protection;
- promoting gender equality;
- increasing importance of the social aspects of In April 2005 the Commission published a
enlargement and external relations of the European document on the implementation of the Lisbon
Union. Strategy, as it results from the 2003 revisions.10 This
paper emphasizes the importance of taking

5
Communication from the Commission to the Council, The European Parliament, the Economic and Social Committee and
the Committee of Regions on "Taking Stock of Five Years of the European Employment Strategy" COM (2002) 416 fi nal
- page 4
6
The European Council in Lisbon in March 2000 (http: //
www.europa.eu.int/comm/employment_social/employment_ strategy / index_en.htm
7
Stockholm European Council of March 2001 added two intermediate targets: employment rate should increase to 67%
overall and female employment rate should reach 57% by 2005. It was added a new goal, namely employment rate for
older people to reach 50% by 2010.
8
Council Decision of 22 July 2003 on guidelines for the Employment Policies of the Member States (2003/578 / EC) - OJ L 197/13
9
http://www.europa.eu.int/comm/employment_social/news/2005/feb/social_agenda
10
SEC (2005) 622/2 COMMISSION STAFF WORKING PAPER - "Working together for growth and jobs. Next steps in implementing the revised Lisbon
strategy "

5
Community responsibilities by each Member State, c) Guidelines for employment
this re fl ectându into future National Reform
Programs (National Reform Program). In carrying - implementation of employment policies set for
out these plans must take account of the main reaching full employment of labor, improving
guidelines (the guidelines). The plans will be focused quality and productivity at work and strengthening
on three directions, depending on priorities: macro- social and territorial cohesion;
economic priorities; priorities micro-economic and - promoting labor phased approach throughout their
employment priorities. Regarding employment, these life;
plans will replace the National Employment Plans - ensuring integration into the labor market of people
current job by integrating their national Lisbon looking for a job and disadvantaged groups;
programs (National Lisbon Programs). In paragraph - improving the linkage demand labor market with
4 of the Council Decision 'on guidelines for the existing products;
employment policies of the Member States labor "11 - combining fl exibilităţii labor market with
shall be established in the new lines of action for employment security and also reducing labor
employment. These guidelines are established for a market segmentation;
period of three years and their renewal during this - providing a system favorable to the correct income
period is strictly limited. The following are the and other development costs;
Integrated Guidelines for Growth and Jobs. - increasing the volume and improving the quality of
investment in human capital;
a) Macroeconomic guidelines: - adaptation and development of the education
system to the new requirements.
- securitarea economic stability;
- safeguarding economic sustainability by These directions integrated employment action
promoting ef fi cient allocation of resources; listed above may be contained in three major
- promote greater coherence between guidelines - guidelines that were set mostly in 2003,
macroeconomic and structural policies; the assessment of the Lisbon strategy. We will
- development of wages that contribute to present these general guidelines.
macroeconomic stability and growth;
- EMU to contribute to a dynamic and functional. I. Attracting a larger number of people in
employment (and keep them in the labor
b) Microeconomic guidelines:
market) and modernization of social protection
- deepening and expanding domestic markets; (Integrated Guidelines comprise 16, 17, 18, 19).
- asigurareaexistenţeiunorpieţedeschise
and competitive; At the moment it is vital to achieve the goal of full
- creating a favorable environment for business; employment and reducing unemployment and
- promoting a culture of entrepreneurship and inactivity, by increasing the demand and supply in
creating an enabling environment for SMEs; the labor market. This goal must be matched by
- enlarging and improving European infrastructure increasing the attractiveness of jobs and the quality
and the completion of priority cross-border projects and productivity. Increasing employment is the
already approved; employment fi cient way to generate sustainable
- expanding and improving investment in research growth and promote social inclusion on the one hand
and development; and on the other hand is the way to support those
- innovations and increasing access to ICT who are unable to work. The approach of a new
development; terms of employment - one called approach to the
- encouraging wise use of resources and strengthen whole life cycle of assets' lifecycle approach to work
the synergy between environmental protection and "12th and modernizing social protection systems will
economic growth; play an important role in the future when projected
- the formation of a solid industrial base. population decline working age.
11
"Integrated guidelines for growth and jobs (2005-2008)" - 2005/0057 (CNS)
12
The test to determine the directions (pathways) in which the employment of young people and reduce the youth unemployment
rate

6
the problem of the employment of women and men, Community to ensure consultation with social
and the low employment rates among elderly people partners in making the most important economic and
and young people. social decisions.

Another important trend is related to people looking The compatibility of Romanian legislation with the
for a job. For this category it is important to facilitate acquis communautaire is determined as the ratio
access to job vacancies, to have good information on between the amount Romanian laws transposing the
the labor market, however their ability to increase acquis. The eight major fields are translated and
employment. made compatible in total about Romanian legislation
(Table 1), aiming at perpetually process curprins in
II. Improving adaptability of workers and armonograma present on the website of the Ministry
enterprises and labor market fl exibility of European Integration (www.mie.ro).
The increase investment in human capital through Assess the degree of compliance of the Romanian
education and vocational development, the Lisbon legislation with the acquis transposed to do so for
objectives fi xed and accepted the following each section, and on the whole, by comparing the
objectives for education and training are more valid two coe cient namely coe cient degree of
than ever. They were established by Member States transposition and coe cient degree of compliance.
themselves. Communication does not intend to
provide indications of what should be done in a Employment was seen as a priority, with efforts
particular country, and issues raised here are not being made to adapt the Romanian system for
important for some countries than for others. The implementing the European Employment Strategy
primary responsibility for achieving acceptable Employment. In this respect, in 2001, he was drafted
returns the authorities responsible for education and first Plan of Action on Employment (NAPE)
training of current and future Member States. accompanied by program to boost employment and
reduce unemployment, which transposes Resolution.
III. Knowledge and innovation 99/312 / EC on guidelines in the field of
employment.
This priority of the Lisbon strategy involves:
increasing and improving investment in human Table 1. The degree of harmonization in social
resources and development, facilitating the uptake of policy and ocupare13
ICT and sustainable use of these resources. Also, labor
knowledge and innovation, contributes to the
formation of a strong European industrial base. degree of degree of
subchapter transpositio compatibility
n %
2. Labor market policy and %
employment in Romania Work legislation 88.8 88.5
social dialogue 100 100
Equality between
100 91.5
2.1 Harmonization. women and men
antidiscrimination 100 100
Employment policy labor cover large areas, but Employment
100 100
closely related with. Of these areas can be
mentioned: labor law and working conditions, equal social security 100 100
opportunity, social protection, labor, elimination of Disabled
- -
social exclusion and combating discrimination,
creating a system of social dialogue function at both Health and safety at
95.6 98.9
the enterprise, branch, national and work
TOTAL 94.2 94.2
Work legislation 88.8 88.5
social dialogue 100 100

13
European Institute of Romania - Impact Studies (PAIS II)

7
Actions are developed by the National Agency for collective information of workers on the conditions
Employment (NAE) and monitored by performance applicable to the contract or employment
indicators provided by county agencies for relationship. European Commission assessed the
employment. Actions carried out in 2001 and progress report for 2003 that "the new Labor Code
objectives for 2002 aimed at strengthening has incorporated essential principles of acqis's in
Employment Strategy Employment 2002-2004, part this area, but it still needs some adjustments" and
of the strategy for social protection and employment that "an important part of acqis acquis should be is
prepared by the Ministry of Labor and Social implemented through secondary legislation ".
Solidarity and Family. Following the conclusions of
the NEA in the follow up of NAPE was elaborated a Proposed legislation on health and safety at work
series of laws that create new jobs and boost labor transposing European directives, keeping their basic
mobility. principles. Policy and action on the activity of labor
protection are established by the Ministry of Labor
Thus, Law no. 76/2002 on the unemployment and Social Solidarity, compliance control function
insurance system and stimulation of employment and being performed by the Labor Inspectorate.
Government Decision no. 174/2002 on the rules for
the application of the Law no.76 / 2002, provide for Law no. 90/1996 (republished) regarding safety is the
the growing importance of active measures to combat basic law in the field of health and safety. The law
unemployment, fi nancial support of jobs for the defines the organizational framework of labor
unemployed in order to achieve works of Community protection and responsibilities for coordination and
interest; granting of loans on favorable terms for control this activity by implementing Framework
SMEs. It has also been adopted and Government Directive 89/391 / EEC. General safety rules were
Decision no. 759/2002 on the National Plan for reviewed and approved by an Order of the MLSS no.
Employment of Labor. 508/2002 and the Ministry of Health no.933 / 2002.
This legislation transposing European directives 20
Other important documents on employment are: of which are 14 base Directives.

- new Action Plan for Employment for the period Until 2002, the Romanian legislation in this area
2004-2005, which is based on the European included the following directives: Framework
Employment Strategy and the Employment Directive 89/391 / EEC, Directive 89/655 / EEC
Guidelines (Employment Guidelines). The plan (Machinery) Directive 89/656 / EEC (relating to
was adopted in accordance with the priorities, personal protective equipment) Directive 90/270 /
commitments and recommendations identi fi ed in EEC (equipment display screen), Directive 90/269 /
the Joint Assessment of Employment Policy (The EEC (on manual handling of loads), Directive 89/654
Joint Assesstment Paper-JAP) / EEC (on jobs), Directive 92/91 / EEC (on mining
- on January 7, 2003 the Memorandum of by drilling), Directive 92/104 / EEC (the extraction
Understanding on the participation of Romania in of minerals), Directive 93/103 / EEC (the fishing
the 'Community incentive measures in the field of vessels), Directive 92/58 / EEC (the signal),
employment ". The legal framework was Directive 90/679 / EEC (the biological agents )
established under the Framework Decision No.1 / Directive 92/85 / EEC (on the protection of pregnant
2002 of the Association Council Romania - EU. or nursing) Directive 92/29 / EEC (the nursing
- The framework law which establishes general board).
principles governing labor relations, rights and
obligations of persons engaged as labor jurisdiction National Commission for Promotion of
is the Labor Code. In cooperation with the Employment (Law no. 76/2002), which aims to
confederations of employers and workers was develop strategies and policies to increase the level
drafted a new Labor Code. The advent of the new and quality of employment and human resources
code, which entered into force on March 1, 2003, development. Commission liaison body of
have been harmonized with the provisions of Acqui Employment and Labor Market Committee
following areas: work part-time, fixed-term (Directive 97/16 / EC) with the purpose of linking
employment contracts, protection of young people national and European strategies. other acts
at work, working time, redundancies

8
particularly normative social interest are: Law no. no. 507/2002 on the organization and performance of
429/2003 amending the Constitution of Romania, economic activities by physical persons. The law was
Law no. 53/2003 - Labor Code, etc. repealed by Law no. 300/2004 on the approval of
natural persons and family associations carrying out
By decentralizing the administrative decision in the economic activities independently.
field of employment, social partners are involved in
coordinating social policies on vocational training, The framework agreement on parental leave that is
employment, security, health and social protection. subject to Directive 96/34 / EC can be found partly in
Also adopted legislative measures: Romanian legislation, namely Law no. 210/1999 on
parental leave and methodological norms for its
- consolidation of Economic and Social Council; application (approved by Government Decision no.
- creating social partnership in the foundation laying 244/2000) as Law no. 19/2000 which optionally
of the minimum wage policy on minimum includes provisions on one side paid leave.
consumption basket;
- development of partnership National Development The principle of equal pay for equal work is laid
Plan; down in the Constitution, the Labor Code, Law no.
- creating virtual forum for information, consultation 154/1998 on setting base salaries in the budget sector
and debate for civil society and social partnership. collective agreement at national level, as Government
Ordinance no. 137/2000 on preventing and
Harmonization of legislation on equality between sanctioning all forms of discrimination, approved by
women and men Law no. 48/2002. These laws transposing the
provisions of Directive 75/117 / EEC on the
Law no. 202/2002 (republished in 2005) on equal elimination of discrimination in determining pay.
opportunity contains measures to punish
discrimination based on gender and stipulates equal Equality between men and women regarding access
rights of access to employment, training and to employment (Directive 76/207 / EEC and 97/80 /
promotion being approximated by Council Directives EC) into national law is found in the Labor Code and
75/117 / EEC, 76/207 / EEC, 79/7 / EEC, Law no. 1/1991 on social protection of unemployed
Commission Decision 95/420 / EC (which amends and Government Ordinance no. 137/2000, approved
Decision 82/43 / EEC). by Law no. 48/2002 provides for sanctioning all
forms of discrimination. The new bill on equality
Law no.19 / 2000 on public pension system, as the between women and men introduce the concepts of
Labor Code, some of the provisions transposing direct and indirect discrimination, thus
Directives 92/85 / EEC and 96/34 / EC. Measures to supplementing Government Ordinance no. 137/2000.
improve safety and health at work of pregnant or Directive. 86/378 / EC on Equal treatment in
nursing female employees were considered in occupational social security scheme is partially
drafting the law on maternity, family and child, as the transposed by Law no. 19/2000 regarding the public
draft law on Ratification of ILO Convention. pension system. Advisory Committee that covered by
183/2000 on the protection of maternity (Law No. Decision 82/43 / EEC, is reflected in national
25/2004 approving Government Emergency legislation, Government Decision no. 967/1999 on
Ordinance 96/2003 regarding maternity protection at establishment and operation of the Interministerial
work). Consultative Commission on equal opportunities
between women and men (CODES). In March 2004
National Action Plan for equality between women the Government issued Decision no. 285 on the
and men (approved by Government Decision no. application of the "National Plan for equality
1273/2000), as Law no. 19/2000 regarding the public between women and men". GD 266/2004 on the
pension system, transposing Directive 79/7 / EEC on balanced participation of women and men in the
equal treatment in social security. The provisions of teams of experts sent on a mission from the European
Directive 86/613 / EEC on equal treatment for men Commission, this decision transposing Commission
and women fulfilling employed based on free Decision 2000/407 / EC.
initiative can be found in full in Law

9
2.2 Labor market institutions social dialogue at all levels, by Law no. 109/1997
was to be inţat.
The administrative capacity of the first NEA to be Economic and Social Council, tripartite body with
inţată under Law no. 145/1998, modi fi ed and an advisory role in determining economic and social
completed by Government Emergency Ordinance policy, with the major objective social dialogue
no. 249/2000. between government, unions and employers, and
Substantiation guidance and solutions of increasing ensure social peace climate to con fl ICTU average
labor employment (Directive no. 98/171 / EC) is conditions occurred between the social partners.
provided by the National Science Research Institute
as the Labor and Social Protection, established by National Commission for the Promotion of
Government Decision no. 1305/1996 (modi fi ed by Employment It is a new tripartite body, the Advisory
Government Decision nr.1773 / 2004 on the established by the new law on unemployment
organization and functioning of the National Institute insurance system and stimulation of employment.
for Research Science is that Labor and Welfare).
National Council for Combating Discrimination,
Institute is charged with conducting studies and
Whose mission is to observe the implementation of
forecasts on labor market and social protection.
the principle of equality among citizens Government
Management responsibilities, coordinate and monitor Decision no. 1194/2001.
the implementation of programs be financed from the The Government Department for Interethnic
European Social Fund The Ministry of Labor and Relations work in as inţat by Government Decision
Social Solidarity, as Managing Authority and the no. 17/1997 and reorganized by Government
National Agency for Employment as Paying Decision no. 13/2001, with responsibility for the
Authority. development of draft laws on the protection of
national minorities.
Ministry of Labor and Social Solidarity and
Family It has overall responsibility to develop National Council for Occupational Standards
employment policies and labor market programs and (COSA), a body administered tripartite aims at
national plans. He is also responsible for preparing achieving an organizational framework to assess and
budget reports to the unemployment insurance certi fi cation of labor prepared based on
budget based on nominations made by the National occupational standards, including the assessment of
Agency for Employment, to control their execution skills acquired by non-formal and informal, non
and implementation of employment policies, equivalent quali fi cation courses organized by
strategies, plans and programs carried out by the system education, enabling further study for a
National Agency for Employment and the National diploma of education.
Council for Vocational Training.
National Council for Equal Opportunities.
National Agency for Employment, published in
1998 is the most important body for implementing
policies and programs related to the labor market. 2.3 Develop National Employment
The Agency is also responsible for the coordination Strategy and Action Plan on
of active labor market and the organization of Employment
training programs for the unemployed; also it has a
responsibility to collect contributions to Each member country or acceding must develop a
unemployment insurance budget, the budget of which national employment strategy and a National Action
have nanţează active measures. Plan on Employment. Both documents are monitored
at Community level. The pillars of the strategy
National Council for Adult Training autonomous
objectives converge with European employment
and tripartite (established in 1999) has an advisory
strategy, and they are adapted to specific situations.
role in promoting policies and strategies for adult
training, operational since February 2000.
National Action Plan for Employment14 hereinafter
Institutionalization
NAPE is a priority objective of aligning strategy
14
NAPE was published in the Official Gazette No 637/2002

10
European employment in the context of Romania's accelerated the process of privatization and
preparation for accession to the European Union, it restructuring. The aim is to shift the focus of
was based on the guidelines of the European strategy unemployment protection policies from passive
on employment, the EU Council adopted annually. measures to active measures.

NAPE outlines the steps that Romania intends to The horizontal objective B - National Strategy for
implement short and medium term, to increase "Lifelong learning". Legislative and institutional
employment and reduce unemployment, support reforms, in conjunction with the allocation of more
lifelong learning, e be cientizării and fl exibilizării funds for education and training show interest in the
labor market to respond rapidly to economic changes, development of national strategies, comprehensive
avoiding discrimination and social exclusion in order and coherent initial and continuous training.
to reduce the gap in this area to the European Union.
NAPE is the document that will help to assess The horizontal objective C - Development of social
progress made by Romania as a candidate country to partnership. Because, at this stage, the Romanian
join the European Union. economy has to adapt in all sectors to become and
stay competitive, social partnership becomes an ef fi
Fig. 1. Content NAPE cient way to ensure the modernization and
diversification activities.

EU policy guidelines The horizontal objective D - regional dimension.


employment Development regions are the design, implementation
and evaluation of regional development policy and
programs of economic and social cohesion.
Employment policy and vocational training are the
courses of action in terms of regional initiatives.
Five
fundamental
The horizontal objective is - Development of labor
objectives
market indicators. To develop coherent social
policies and to achieve a proper monitoring and
4 Pillars evaluation of progress in the implementation process
NAPE is imperative that reliable statistics.

18 Guidelines Pillar I - Improving employment is achieved


through a number of guidelines:

- Tackling youth unemployment and preventing


NAPE long-term unemployment;
- Employment friendly approach: taxes, benefits and
training systems;
European Council set full employment of labor as a
- Develop a policy for active aging;
major objective of social policy and employment
- Developing skills for the new labor market in the
policy in the EU. To achieve the objective, Member
context of lifelong learning;
States (as well as accession and pre-accession phase)
- Training in electronic technologies for all citizens;
must adjust the response to the guidelines governed
- Active policies for the correlation between supply
by the four pillars in a coherent overall strategy
and demand in the labor market and preventing
which incorporates the following horizontal
lack of quali fi ed workforce;
objectives:
- Combating discrimination and promoting social
inclusion by providing access to employment.
A horizontal objective - Increasing the employment.
Măsurilepropuse aimed at stimulating of jobs with
continuing the pace

11
Pillar II - Developing entrepreneurship and job occupancy influences the policies indirectly, they
creation should have been regarded as having the decisive
influence of the volume of employment.
- Facilitate launching and running a business;
- Access to entrepreneurial activities; Fig.2 Employment Policies
- New employment opportunities in knowledge-
based society and in services;
- Local and regional actions for employment; Employment policy
- Reforms have scalepentruocupareşi
formation professional.

PILLAR III - Promoting the adaptability of macro


enterprises and employees
In indirectly instruments
- Modernization of work organization; influences the
- Analysis of the existing proposals for new legal  policy the taxes,
provisions; Volume fiscal subsidies
- Supporting adaptability as part of lifelong learning. and  policy monetary (installme
structure interest rates nts of
PILLAR IV - Ensuring equality between women of currency, money supply)
exchange
and men employme  politicisalariale
nt (the wage minimum
- Integrated approach to equality between women wage indexing)
and men for all four pillars;  politicisociale (age
- Reducing disparities between the sexes in the labor  public of retirement
in infrastructure
market; allowance to
investme Children)
- Reconciling work and family life.  th
export promotion
nt
 business e environ of
2.4 Employment policy labor15 improvement ment

Are mainly macro-economic policy that addresses


global macro-economic categories such as global
consumer demand, global investment etc.
Employment policies work fl exibilizarea focus on
the labor market, encouraging production, especially 2.5 Labor market policies
small and medium enterprises through the allocation
of funds for lending interest rates or other systems as They include the following areas:
scales to facilitate employment.
- labor law (or all policies governing conditions of
Employment policy objective is to increase
employment of individuals such as minimum
employability of the working population and thus to
wages, working hours, duration and conditions of
maintain the unemployment rate at a minimum.
annual leave, the maternity leave regulations on
Instruments used the reach of public employment
hiring and firing, safety and health conditions, early
services, they "belong" Ministry of Finance, Industry
retirement , part-time employment, promoting
and Trade, the Government or the National Bank.
lifelong learning, etc.);
Many of employment policy instruments are identical
- policies "assets" (which consist of mediation
with economic policy instruments. This is
services / placement, information and career
understandable as long as the promotion of growth
counseling, training, employment subsidies,
promotion can generate a higher volume of
training techniques to find a job, promote private
employment (Fig.2.) Employment will increase or
initiative, etc.); policies "Passive" replacing wages
decrease in line with economic growth rates. In any
for those who have become involuntarily
case, even if
unemployed. Market policies
15
NEA staff training guide - developed by the German Society for Technical Cooperation - 2002

12
work (Figure 3.) usually have a direct impact on - granting loans from the unemployment insurance
decisions about employment participants in the on favorable terms
labor market compared with employment policies,
and also re fl ects and the volume and / or the
composition of employment and / or 3. Characteristics of the current
unemployment, particularly short term. This
applies particularly to those policies implemented labor market situation in
by public employment services, so-called active Romania
and passive labor market.
Between 2001 and 2002, due to maintaining a high
Fig.3 labor market policies level of industrial and construction activities,
especially on the development of services, as G4.
GDP recorded spectacular growth, over 4 times
higher than the EU so that GDP recorded in 2002
LABOR MARKET POLICIES
peaked at 1,512,256.6 billion lei, or about 43.3
billion Euro16. However, GDP per capita
(purchasing power standard) in 2001 was only 5.620
Macro and micro euros, or more than 4 times lower than the average
EU-15 and 2-3 times lower than the values recorded
by the new Member States (the Czech Republic - 17
In directly influences instruments 180 euro, the Slovak Republic - 16 830 euro,
the Hungary -
 all policies and services
Volume 13.455 euro, Poland - 9406 euros).
"Active" labor market
and  all policies of support or
structure Depending on the contribution to GDP of particular
other forms of income
of importance are activities with all the services, as can
replacement for
employme be seen in the graphic cul No. "The share of value
unemployed
nt added in GDP." 17 Services to the public sector is the
future, this opening minds signi fi cant increase the
living standards of the population.
Measures "active" labor market de fi ned under
Law No.76 / 2002, include the following services:

- information and professional advice


- labor mediation
- training
- advice and assistance to start a new business or
starting a business
- boosting labor mobility
- employers'subsidization
- encouraging employers for employment of
graduates of educational institutions
- subsidies to employers who employ people aged
over 45 or single breadwinners in the family, and
employers with fewer than 100 employees and
employ disabled

Fig.4 share of value added in GDP

16
Was used for transformation of the exchange rate since December 2002 (1 euro = 34.919 million).
January 17)
Semide data fi nished, 2) provisional data
*
It includes activity in trade, transport, post and telecommunications, tourism, hotels and restaurants, public administration
and defense, education, health and social assistance and other services to corporates and households.
Source: National Institute of Statistics

13
3.1 Analysis of the situation on the labor In 2001 the activity rate of 74.6% of the male
market population was 2 percentage points lower than in
1994 and well below the EU average of 78, 1%. The
activity rate of the female population has fallen from
3.1.1 Population and employment
63.1% to 62.4% over the same period and was above
the EU average in 2001 (60.2%). The decrease more
Romanian population discovers a continuous process
strongly affected by the participation of the younger
and slow down from the early 90s. During this period
age group, the rate of which the activity decreased
population decreased by 3.4% (800,000 people),
about 49% to 41% between 1994 and 2001. The rate
reaching 22.4 million in 2001. In 2001-2003 natural
of decline of activity was meant for the age group 45-
growth rate was declining birth rate due to fl at
54 years ( activity at a rate of 80.5% at the beginning
strengthen a downward trend table 2.
of the period at a rate of 77% at the end of that
period), while the activity rate for the age group 55-
In 2000, 54.5% of the population lived in urban
64 years has been one percentage point higher 2001
areas, compared to the 50.6% recorded at the end of
(51%) than in 1994 (50%). A feature of participation
the 80. This increase hides important changes
in Romania is the high rate of activity of the
anyway internal migration between rural and urban
population group aged 65 and over. The participation
areas at the beginning of the transition period. In the
of this age group showed an increase from 31% in
early 90 rural-urban migration was intensifying as
1994 to 37.5% in 2001, this being explained by the
cities Romania receiving more than half a million
importance of agriculture in the economy noastre.În
people in rural areas.
terms of average educational level of the entire
workforce can He said increased somewhat in the
Table 2 "Vital statistics"
mid 90s, but remained low compared to EU
standards. A comparison of levels of training
situation is presented in Table 3. Group work elderly
have a very low level of formal education (95% of
this group have low education level). The
participation of this age group showed an increase
from 31% in 1994 to 37.5% in 2001, this being
explained by the importance of agriculture in the
economy noastre.În terms of average educational
level of the entire workforce can He said increased
somewhat in the mid 90s, but remained low
compared to EU standards. A comparison of levels of
training situation is presented in Table 3. Group work
elderly have a very low level of formal education
(95% of this group have low education level). The
participation of this age group showed an increase
from 31% in 1994 to 37.5% in 2001, this being
The situation was repeated, but in reverse, in the mid explained by the importance of agriculture in the
90s when, due to deteriorating economic situation, a economy noastre.În terms of average educational
new stream of people, this time in the cities, moved level of the entire workforce can He said increased
to villages and began practicing subsistence somewhat in the mid 90s, but remained low
agriculture. Participation rate of population aged 15 compared to EU standards. A comparison of levels of
to 64 was 69.7% when the first Labor Force Survey training situation is presented in Table 3. Group work
since 1994. Until 1996 this rate reached 72.3%, but elderly have a very low level of formal education
began to fall slowly It reached 68.5% in 2001, below (95% of this group have low education level). but it
the EU average (69.2%). remained low compared to EU standards. A
comparison of levels of training situation is presented
in Table 3. Group work elderly have a very low level
of formal education (95% of this group have low
education level). but it remained low compared to EU
standards. A comparison of levels of training
situation is presented in Table 3. Group work elderly
have a very low level of formal education (95% of
this group have low education level).
14
Table 3. "The level of training of the active 3.1.2 Challenges for employment
population" workforce sector

1994 2000 Ocupată18 population in 1990 reached a level of


Higher education 7.6% 8.4% 10.84 million people. The decline began in 1992 and
High-school studies 74.3% 77.4%* continued throughout the 90s, ajungându- is up to
Primary studies or 8.42 million people in 1999. Since then increased by
less than that 18.2% 14.3% 3% reaching 8.67 million in 2001. The demographic
trends that negative determined low levels of public
*
of these 72% had post-secondary studies. participation in activities
18
The employed population comprises all persons 15 years and over who carried out an economic or social activity producing
goods or services for at least one hour during the reference period (which is one week), in order to get income as salary
payment in kind or other bene fi ts.

15
economic. In 1996-2000 the activity rate of the Fig. no. 5. The structure of
population 15 years and over was declining, the employment in 2002
highest rates being recorded in the 25-49 years group.
In 2000 the activity rate of the population aged 15
and over was 70.6% for men and 56.4% women.
Also, employment decreased continuously, it
dropped by 2.2 million people (according to the
Labor Force Balance).

In the period 2001-2003 the employment rate of the


workforce by age is shown in Table. 4.

Employment has dominated the adult population,


aged 25-50 years. Its share approaching 60% of the
population. Population aged between 15 and 24 years
represent 11.8% of total employment (in 2000).
Fig. no. 5 "The employment structure 'Agriculture
Table 4 Employment rate has played a damping by absorbing losses of jobs in
other industries, while employment reallocation by
the service sector has been sidelined due to slow
Road sign 2001 2002 2003
growth and marginalization of the sector.
Employment rate (% of
populaţiacu age 64.4 57.6 57.6 After analyzing the indicator of employment, it raises
15-64) two issues. The first is the very high proportion
Employment rate (% of (37%) of agriculture on overall employment, with a
populaţiacu age 32.6 28.7 26.4 rate of about 8 times higher than in the EU (4.5% in
15-24) 2000). The second problem is the low level of
Employment rate (% of population employment in the service sector
populaţiacu age 76.6 72.7 73.1 compared to the level registered in the European
25-54) Union: 32% in Romania to 66% in the EU.
Employment rate (% of
populaţiacu age 48.2 37.3 38.1 3.1.3 unemployment
55-64)
source EUROSTAT In Romania, the unemployment phenomenon was
recognized fi cial since 1991, with the entry into
Between 1990 and 2001 in all sectors except force of Law No.1 / 1991 on social protection of
agriculture and some services (trade, financial assets, unemployed and their professional reintegration.
banking and insurance, education, health and social
assistance and public administration) employed Unlike the data of the table according to the
population decreased. Thus, signi fi cant reductions methodology of ILO (International Labor
of employment were recorded in industry (52.6%) - Organization) unemployment increased until 1994
particularly manufacturing - and construction when there was a 10.9% unemployment rate followed
(51.8%). Although agriculture has been an increase by a reduction period and in 1997 the unemployment
in employment (13 percentage points, or 401 000 rate increased following the restructuring or
people), only to a lesser extent the persons liquidation of non-performing entities (especially the
unemployed in industry and construction was mining) culminating with a rate of 11.8% in 1999.
absorbed. The structure of employment by industry is Table 5 presents data only from 2000. According to
shown in FIG. no. 5. ILO methodology, the unemployment rate in 2002 it
was 8.4% (8.9% to 7.9% for men and women) 19.

19
Statistical Yearbook 2003

16
The main causes of this evolution of employment and (3.6%). The gap has increased since then and in 2000
unemployment were: general economic decline, the unemployment rate in urban areas was 11.7%
diminishing production volume of industries, while compared to 2.4 in rural areas. Unemployment rates
narrowing the internal market and loss of important remain relatively low for those with lower
market segments Foreign failure programs of macro educational level.
and delayed privatization, reduction investment and
restructuring of unprofitable businesses, low labor Youth unemployment is higher than among adults.
mobility territorial level and professional constraints This segment is disadvantaged because young people
caused by the international economic environment. suffer most in contact with the labor market being
disadvantaged compared categories of adulthood, so
in that year was among these latter populations were
Table 5. The main employment indicators 2000-
kept in supraocupare even if economy was and is in
2003 Romania and EU15
recession and the lack of work experience
- sometimes regarded as a mandatory requirement to
engage in a job. The phenomenon is evident if one
compares the age structure of the working population
EU15 of the unemployed, the latter being more "young"
Indicator /
and is even worse in the female labor force, for
Year
2000 2001 2002 2003 2003 which the share of unemployment young reach
active always higher values for the whole category of the
population 9590 9529 8833 8602 162.036 unemployed population. We present in table 6
(thousands statistics on unemployment by sex and age group 15
people to 24 years:
15-64 years)
Ratadeactivitate Table. 6. Evolution youth unemployment rate (15-24)
(% population 68.4 67.3 63.4 62.2 70.0 2000-2003
15-64 years) %
P ops 2000 2001 2002 2003
REFUGEES of 8629 8563 7745 7393 170.962 Total 17.2 17.6 21.0 18.7
employment
(thousands) B RBA 18.3 17.9 20.7 17.7
Employment rate REFUGEES
(% population 63.0 62.4 57.6 57.6 64.3 F omen 15.8 17.4 21.3 20.0
15- source EUROSTAT
64 years)
Unemployment Another aspect on which the National Plan for
rate (% power 6.8 6.6 7.5 6.6 8.1 Employment Employment bent, was long-term
of unemployment. Long-term unemployment rate in
work 15+) 2000-2003 was as follows:
Long-term
unemployment Table. 7. Evolution of long-term unemployment
3.5 3.3 4.0 4.1 3.3
rate (% labor
(2000-2003)
force)
Source: Employment in Europe 2004, Statistical Annex, %
Youth
Eurostat 2000 2001 2002 2003
unemployment
17.2 17.6 21.0 18.7 7.3 Total 3.5 3.3 4.0 4.1
(% population
Labor resources
aged 15-24) in Romania was fl at in the last Ladies 3.4 3.2 4.0 3.9
decade and under the impact of adverse demographic men 3.6 3.3 4.1 4.2
that social and how were accelerated decline in source EUROSTAT
fertility and maintaining mortality high, increasing
migration, decreased quality of care and nursing female unemployment
phenomena that increased the proportion of people During 1991-1999, the evolution of female
aged 60 years. unemployment has fluctuated, but its upward trend
prevailed. 2000 Table no. 8 female unemployment
Unemployment is concentrated in urban areas. In has fallen steadily since collective redundancies
1996 the unemployment rate was twice as high in started in 1997 focused on construction activities,
urban areas (8.4%) than rural mining, metallurgy, branches staffed predominantly
male.
17
Table. 8. Evolution of female unemployment 3.2 Instruments response to the
% challenges of the labor market
1998 1999 2000 2001 2002
The duck Action taken to prevent and combat this phenomenon
unemployme 10.4 11.8 10.5 8.8 8.1
consisted of a series of projects with wider action that
nt
The duck were mentioned and youth.
female 10.4 11.6 10.1 8.2 7.5
unemploy One such project was held at the Ministry of Labor
ment and Social Solidarity entitled "Information and career
Source: National Employment Agency Employment counseling" subcomponent of the "Employment and
social protection" co-financed by the World Bank.
In late April 2004, the unemployment rate Following this project were to be inţat 136
nationwide was 7.3%, 0.7 percentage points lower information centers and career counseling network at
than in April 2003 (it was 8%) and 0.4 percentage the National Agency for Labor Force Employment.
points lower than that of March 2004.
Since 2002 it initiated the program "A new beginning
The total number of unemployed for the month of - a new chance" to combat youth unemployment,
April 2004 (661.895 people) fell which provide information services and counseling
35 475 persons compared to the previous month. Of young unemployed newly registered so until they
the total registered unemployed, 291 382 370 513 reach 6 months of unemployment as many people
were paid unemployed and unpaid. The number of have is included in the counseling oriented an active
unemployed decreased by 25 503 persons indemnity measure that will enable reintegration into the labor
from the previous month, while the number of unpaid market. The institution responsible for this project is
unemployed decreased by 9972 people. Despite this the National Agency for Labor Force Employment
decrease in the number of registered unemployed, the (NAE).
share of unpaid unemployed in the total number of
unemployed keeps rising trend, reaching 56%. To prevent youth unemployment began running in
2002 the "From school to the workplace, to career"
The female unemployment rate was 6.2%, 0.3 that bene fi ts graduates of counseling based on an
percentage points lower compared to March, a individual plan advice.
similar pattern recording and the male unemployment
rate, which fell from 8.7% to 8.3%, a down 0.4 Since 2002 NEA is responsible for preparing
percentage points. individual plan for each person mediation fl forced
seeking employment registered with the NEA Law
In late April 2004 the gender structure of no. 76/2002.
unemployment is characterized by signi fi cant
decrease in the number of unemployed men 23 391 The Action Plan for 2002, Ministry of Tourism aims
people and the number of unemployed women by 12 to act to implement a training system "the flexible"
084 people. However, their share in total number of modular curricula adjusted to prepare simultaneous
unemployed has led to modifications spectacular. trades / occupations related training programs and
curricula that Polic encourage fi cation, all this
At the territorial level, in April 2004 the total number branch of tourism services.
of unemployed decreased in all regions compared to
the previous month, except the counties of Vaslui, Since 2001 menus nationwide job fair aimed at
Dambovita in Bucharest. The maximum percentage education graduates organized by the NEA.
decrease of 1.4 points was recorded York County,
this being followed by Valcea (1.2 percentage points) Since 2001 NEA conducts activities
and Iasi county (1.1 percentage points).

18
According to the National Action Plan on term granting information services and counseling
Employment, plan broken both stock and target in career counseling information centers within the
groups that are also young, with an emphasis on network NEA.
increasing active measures. - Private project have established a "Center for
Training and Consultancy for SMEs" with
In 2001 it signed a protocol between the NEA and technical assistance by the IFPMA (training for
the Ministry of Education and Research which adapts SMEs in Wallonia), the project will pursue the
tuition plan future requirements of the local labor creation of new jobs through stimulating as curing,
market. and development SMEs as a means of combating
long-term unemployment. Institution responsible
SAPARD program in 2003 provided two measures to for this Project is NEA.
help young people who want to settle in rural areas, - It has also been the development projects job
the practice of agritourism. rotation (forming rotation) which are to assist the
unemployed in identifying a job and placing them
in a fi rms / enterprise that has a vacancy for a
3.3 Actions to prevent and combat long- period of time.
term unemployment undertaken so
far Supporting employment with benefits, taxes
and training systems
Regarding action taken to prevent and combat long-
term unemployment, which consisted of a series of Law no.76 / 2002 on the unemployment insurance
projects some of which were mentioned earlier and system and stimulation of employment, governing
who had targeted all persons seeking employment one form of protection - unemployment benefits that
such as are found and long-term unemployed. These people will leave the payment is to be taken of the
projects are: social assistance system.

- The "Information and career counseling" be Boosting employment through the system of
established resulting in 136 centers offering allowances and tax targets both individuals seeking
information and counseling and long-term employment and employers. Some alternatives given
unemployed. below.
- Another program for this objective "program
Redistribution Employment" component of the - Support costs for temporary employment
project the World Bank, EN 3849 "Employment workforce unemployed by subsidizing the salaries
and social protection", developed in 1995, which of persons, being unemployed, were engaged to
dismissed persons collectively, people who risk carry out works for the benefit of local
than become long-term unemployed, have bene fi communities; as a result of this measure to
ted of the following types of active measures: stimulate employers, the share of people employed
training of quali fi / requalify which employment temporarily in 2003 was 38.3%20 the total persons
services, move, create jobs for the community, employed.
assistance and advice for starting a business - Encouraging employers through direct subsidies for
development services local economic, business creating jobs and for the recruitment of
incubators. unemployed people in the most vulnerable.
- The project "Development of social sector" - - Providing facilities to scale employers who have
subcomponent of the "Program Redistribution individual employment contract unemployed
Employment" be-financed by the World Bank loan people only if they remain in service at least six
or project RO4616 and the unemployment months.
insurance fund, beneficial ciarii this program being - Those subsidies falling in a town fl forced to over
as people who are or will be is redundant and 50 km of residence or who, following their
registered unemployed. classification
- "A new început- another chance" It is a
project to reduce unemployment and combat long
20
NAPE 2004- 2005

19
moving house. The share of people employed as a Law no.132 / 1999 was modi fi ed and completed
result of the implementation of the incentives of by Law no. 253/2003 thus ensuring a signi fi cant
employees in 2003 was 2.1% of total persons progress in the reform of adult training.
employed. - Another project for training is titled "Promoting
- Stimulate employers to employment of people aged vocational training in Romania" in partnership with
over 45 years if it provides employment for an the Ministry of Labor and Social Protection of
indefinite period unemployed aged over 45 or Romania and the Ministry of Cooperation and
unemployed single breadwinners of families. By Economic Development of the Federal Republic of
implementing this measure assets increased in 2003 Germany, which was aimed at consolidating the
labor market absorption capacity of the three Romanian-German foundations training
disadvantaged rate of completion being scheduled professional and their integration into the national
over the figure of 136%. network of training providers and technical
- Credit to the unemployment insurance fund, in assistance for strengthening and developing the
favorable conditions for creating new jobs, of national Council for Adult training.
which at least 50% for the unemployed, for the be - Leonardo da Vinci (PLV II) to be held during
reinforced or development of small and medium 1.01.2000-12.2006 under the Ministry of Education
enterprises or cooperative units, for a maximum of and Research to develop pilot projects in the
three years. Creating jobs is intended to be directed training field.
towards areas where there is a high unemployment - "Youth for Europe" carried out by the Ministry of
rate. Youth and Sports, aims to provide vocational
training for young people.
In terms of supporting employment through training
measures it concluded that the acquisition of skills
required in the labor market leads to increasing the 3.4.Elaborarea a policy of extending the
employment rate and quality of life and greater social working life
cohesion.
Another way to develop employment and human
Survey carried out in 2003 by the National Institute resources development is the development of a policy
of Statistics showed that the rate of participation in of extending working lives. This can be achieved
the process of lifelong learning, population 25-64 both by extensive and intensive nature. When we say
years is 10.02% a very small percentage indeed. "extensive" think of longer working lives of
Therefore active measures are needed in this regard individuals as a result of legislative measures by
and those that have been taken so far were the setting the retirement age limit as of late. But the path
following projects: is restricted due to physical limitations. But intensive
ways are endless and to emphasize those related to
Project RO 3849 "Employment and social protection" improving employability through various ways forms
by parts "of vocational training" and "Information the flexible learning organized and / or on their own.
and Career Counseling" project implemented by the
Ministry of Labor and Social Solidarity and fi nancial Such active measures to extend working lives are on
support of the World Bank. lifelong learning combined with incentives to
maintain the activity by using forms fl exible work
- The implementation of the National Action Plan on (initiative belonging to the social partners) and
Employment, National Employment Agency has measures to reintegrate into the labor market by
provided free training services, both unemployed encouraging employers to employment of people
and persons reintegrate after a period away from aged over 45 years.
teaching.
- National Council for Vocational Training of Adults Active policies for the correlation between supply
(CFPA) to be inţat by Law no. 132/1999, being an and demand in the labor market and preventing lack
autonomous administrative authority with an of quali fi ed workforce.
advisory role in promoting adult training policies.

20
The mono-industrial areas, persons unemployed as a 3.5 Entrepreneurship and creating jobs
result of the restructuring of the mining industry,
machine building, steel could not be classified in
other industries more dynamic than a very limited A crucial lever for economic development is the
extent the reason that led to the amplification development to undertakings small and medium
unemployment and problems social in those areas. enterprises (SMEs), considered to be the most
To remove imbalances in disadvantaged areas or important factor in labor absorption and is the highest
mono-industrial towns, not yet developed other fl exibility and mobility in adapting to market
economic sectors providing employment prospects, demand.
NEA launched special programs within the National
Program of Action for Employment:
Ensuring the improvement and stability of the legal
- "235 Program" - program to increase the degree framework on the development of small and medium
of occupation of areas declared in disadvantaged enterprises (SMEs), less bureaucracy and corruption
locations 170, in accordance with GEO no. 24/1998 in the business sector, are main objectives to
and 65 localities from industrial and mono; stimulate SMEs amid development consulting centers
- "Jiu Valley Program" - a program designed to and business training, improving SMEs' access to fi
increase employment and improve living nancing.
conditions in the Jiu Valley mining basin.
- "Delta Program"- to combat unemployment in Facilitate launching and running a business:
seven localities in Tulcea County, located in the
delta. - Applying incentives to SMEs through lending
activities in accordance with Law No.76 / 2002 on
In order to achieve a balance between supply and the unemployment insurance system and
demand for labor was signed in 2001, a Protocol stimulation of employment.
between the National Agency for Employment and - Initiating training and consultancy for SMEs to
the Ministry of Education, which provides for regular increase technical and organizational capability to
school plan to the actual requirements of the labor outsource manufacturing activities and services to
market based analyzes and forecasts regarding future large enterprises. Responsible institutions: Ministry
labor market requirements. of Industry and Resources and NEA.
- Develop and implement programs to support the
For the same purpose NEA organizes national job SME sector, be financed from the state budget.
fair for persons fl ate looking for a job. - Provision of consultancy and assistance to start a
new business or starting a business in accordance
For a better match between supply and demand for with Law no. 76/2002, the costs being borne by the
labor in the county agencies have to be inţat 136 unemployment insurance fund. The institution is
centers for advice and information on career where responsible for NEA.
people seeking work can obtain information on labor
market trends can be self-assessment of Supporting the development of SMEs and encourage
professionally and are informed of the measures private initiative through the Centers for Business
assets and menus that can be accessed. Development and support offices for companies of
the Chamber of Commerce and Industry of Romania
Also created by the Internet, Electronic Labor (CCIR) and the promotion of training programs for
Mediation Service (SEMM), where traders can entrepreneurs and future entrepreneurs by education
announce their vacancies, and those who want to systems
engage can consult the list of available offers. CCIR Responsible institution: Chamber of
Commerce and Industry.

- MIMMC for 2002-2005 envisages the development


of programs to support SMEs access to training and
consulting. Institution

21
: Ministry for Small and Medium Enterprises and which aims to create a national system of quali fi
Cooperatives. cations in technical and vocational education to a
- Organizing the annual Fair TIMM program for more coherent initial professional education system
SMEs, market information and offers services for of continuous vocational training in a lifelong
SMEs, aimed at stimulating and initiating business learning perspective.
initiatives. The institution responsible for this fair
is the National Agency for Small and Medium. Identifying needs This sub-program is based on the
- Implementation of the development of conclusions of the Joint Assessment on "Continuous
entrepreneurial abilities - EMPRETEC. The training session" which consist of:
program identified as potentially successful
entrepreneurs, offers training to develop - Awareness that participation in trainings sites of
entrepreneurial capacity and managerial skills, both the unemployed and those employed is very
assisting them in preparing business plans and low. This problem is due to the attitude of
accessing sources of fi nancing required their work. employers on training, lack of funding and
incentives for entrepreneurs and employees.
Because endeavors to shape a positive attitude on
3.6 Integrated approach to equality the training continuously to deliver results need to
between women and men involve social partners in drawing up the offer of
training in fi nancing, monitoring and evaluation of
Equality between women and men in the labor training programs.
market in Romania was recently addressed by the be - In today's labor market in Romania people with
established National Agency for Equal Opportunities low levels of education have a relatively low rate of
in 2004, the institution responsible for the project unemployment than those with a medium level of
being the Ministry of Labor and Social Solidarity. education, while there is a difference of 30%21
between the employment rate of those with high
This approach consists of studies on ensuring equal level of education and that those with low levels of
opportunities in initial vocational training through education. Training the unemployed tends to be a
access to training programs, adequacy vocational major challenge in the future given the economic
curricula, individualization of training programs restructuring following. It is very important for
according to the needs of personal and professional Romania to workforce able to meet new sectors and
development, the adequacy of content and of jobs.
evidence assessment the certi fi cation process of
training. Institutions responsible for this are the Priority areas set out in the Joint Assessment are:
Ministry of Education and the Institute of Education
Sciences - Develop a strategy for lifelong learning in close
cooperation with social partners and to develop an
Reducing disparities between the sexes in the labor appropriate framework and a system of incentives
market aims to be achieved by monitoring the to the employees.
participation of women and men in decision-making - Capacity building training for the unemployed
in the economy, being responsible institutions: taking into account the medium-term problems
Ministry of Labor and Social Solidarity, the National caused by restructuring
Statistics Institute. - Development with social partners a pay system to
support economic reforms and the labor market and
to be able to direct it towards skills training,
increased mobility and reallocation of labor to
3.7 Policies for training and lifelong
productive sectors.
learning
National Committee for Training of Adults is being
Establishing the National Authority for Cali fi designated as National Authority for quali fi who will
This sub-project is a technical assistance program work closely with the Sectoral Committees
established as a multi-party formats

21
The Joint Assessment, October 2002

22
representatives of the social partners, government, updating the National Register of Professional quali
professional associations, chambers of commerce and fi cations;
technical staff. These structures will be based on the - Improving analysis studies occupations in
agreement on Common Framework of Reference developing sectoral quali fi cations based on
Development quali fi cations National which occupational standards;
includes as vention and classi fi cation of quali fi - Creating a database to support management
cations, occupational standards and standards of information system quali fi cations.
training oriented development, certi fi cation and
validation quali fi cations and professional skills. Expected results for 2004 were:
These are preconditions of this sub-project
implementation. - A study of job analysis, review, development and
validation of quali fi cations, certi fi cation quali fi
The project pursues the following achievements: cations and skills development methodologies
National Registry of Professional quali fi cations.
- Increasing institutional capacity of the National - Development or revision of at least 15 quali fi
Authority for Cali fi including its Sectoral cations within 3-4 selected sectors at all levels of
Committees quali fi cation.
- Development of the National quali fi cations as a
base for quality, accessibility and recognition of The expected results for 2005-2006
quali fi cations labor market. For the years 2005 - 2006 in the sub-project 1 is
- Applying methodologies certi fi cation and quali fi expected the following results:
cations skills in vocational education both in the
original and in the continuous. - Providing training programs to a number of 27,500
persons employed and the number of bene fi ciaries
The National quali fi cations will be provided for of vocational training have is about 19250 people;
developing National Registry of Cali fi cation - Participation in grant schemes of the project a
training that will link these initial vocational number of 275 small and medium enterprises.
education and vocational training continuously, - Improving human resource management skills
thereby creating a national system of standards of through specific programs of training followed by
training and quali fi cations recognized in view of about 1350 people.
labor market needs. Therefore called for an
awareness campaign, training applications support The expected results for 2005-2006 relates to:
information campaigns, evaluation and selection of
projects. Support to cover the costs of advertising, - Creating a National Authority for quali fi cations
with seminars and conferences, editing, publication and of Sectoral Committees operational and
and dissemination of information material, pamphlets equipped.
etc. An information desk opened in each PHARE - Develop National Registry of Professional quali fi
Program Implementation Unit to provide information cations and supplementing it with quali fi cations
to potential applicants. developed or reviewed in this project.
Needs assessment and developing a strategy for - Create and implement an operational certi fi cation
human resource development by companies of quali fi cations and skills.
supported by external experts. - Develop operational quality assurance mechanisms
quali fi cations.
Activities undertaken in 2004
- Review the tripartite agreement concluded prior to In Romania occupancy population is not the same
project implementation; throughout, with differences from one region to
- Implementation of trainings and advising staff of another, therefore requires a differentiated
the National Authority of Cali fi and sectoral distribution support using tools such as those offered
committees; PHARE Economic and Social Cohesion Human
- Develop a methodology to: studies exploring Resources Development RO05- 551.05.03.02. The
occupations, development and quali fi cations auction program for 2003 has recently launched from
review, validation quali fi cations, certi fi cation the EU support of EUR 5.6 million from the state
quali fi cations and skills based on common budget and 1.87 million euros.
principles of initial vocational education and
learning, development and

23
PHARE 2003 - RO05-551.05.03.02 The largest share of the active measures must have
"Economic and social cohesion" shall be based on the measures learning lifelong, lifelong learning, due to
priorities identi fi ed in the National Development the growing need for new skills in the labor market.
Plan and contains two major directions for solving The largest share of active measures will address
problems in the labor market. The first direction is those with lower quali fi cation or without quali fi
active labor market measures (for the unemployed) cation. The answer to the challenge that arises
and the second is the development of human capital because of the structure of the labor market in
(employee). For the first component should be noted Romania at present. One can see how such aims at
that 70% of the total available is allocated to increasing employment, adaptability and mobility of
facilitate the access of unemployed in the labor labor and social inclusion in the labor market
market. This tool is made in the correlation between objectives contained in the European Employment
the performance of the Romanian economy, under Strategy.
pressure from EU competition economies and quality
of the human factor and structural adaptability of the
workforce. Thus, Romania's regional development 4. Lessons for Romania
policy an important place in human resource
development, increase employment and combating A comparison between NAPE in Romania and the
social exclusion, which is in fact the third priority in Swedish model or the English can demonstrate what
the National Development Plan 2004-2006. The could improve. Romania aligned with the European
overall objective of this plan is to promote human Employment Strategy, revised essential tool for
resources development and employment adaptability coordinating employment policy priorities in
and to promote social inclusion of high-risk social employment in the EU in this context being
exclusion in the labor market. developed both NAPE 2002-2003 and 2004 - 2005.
One of the objectives of European development of
According to the Joint Assessment of Policy continuing vocational training in Romania is that by
Ocupare22 is conducted in accordance with the 2010 the average level of participation in lifelong
Accession Treaty includes a set of labor market and learning of the population aged 24-64 years have is
employment objectives, agreed so that it can be 12.5%; to achieve this goal is necessary to develop
implemented Employment Strategy .23 coherent strategies and practical measures in order to
stimulate lifelong learning for all.

3.8 Challenges and Responses


4.1 Developing continuous vocational
Major challenges for Romania They are linked to training
long-term unemployment and the registered youth
aged 15-24. The employment rate of those with high The five priorities for developing continuous
quali fi cation is there a gap greater than that of vocational training is determined in accordance with
young people with a qualification of that medium to the essential elements identi fi ed to develop a
low. comprehensive and coherent strategies on adult
training in consultation at European level on the
The answers to these challenges come from the Memorandum on lifelong learning and consider
National Strategy for Employment for the period priorities, the difficulty and constraints highlighted
2004 - 2010 (approved by Government Decision by the survey conducted as part of the consultation
1386 of 2004) and the National Action Plan on on the possibilities of implementation of the
Employment 2004-2005 approved by Government Memorandum in Romania achieved in 2001.
Decision 588 of 2004. Both documents are in fact a After analyzing NAPE 2004 - 2005, they were found
realization of the provisions of the European to be made following priorities:
employment Strategy which focuses on increasing
the share of active employment measures. - Dezvoltareaparteneriatuluiînformarea

22
Assement Joint Paper, prepared in accordance with the Accession Agreement.
2. 3
www.mmssf.ro

24
continuing professional promoting partnerships system evaluation and certi fi cation skills acquired
between public authorities, social partners and by non-formal and informal, creating a national
other stakeholders at central and local levels in system of evaluation, training and certi fi cation of
order to sustain, develop and implement policies trainers, introduction of innovative information
and strategies of continuous training, involving a technology, implementing the European model of
growing number of employers in facilitating access quality assurance.
to continuing training, including by providing the
necessary resources training, social partners, The main criticisms, and therefore future challenges
especially employers and professional associations brought Romanian training programs or trends
to validate quali fi cations, occupational standards brought by NAPE are:
and framework programs of continuous training to
ensure the quality of vocational training and - The average educational level of the whole
assimilation of the European model of quality population remained low compared to EU
training opportunities;development cooperation at standards;
local / regional level for identifying training needs - Small number of unemployed in vocational
and improving access to training is another training;
component of this priority as important as the - insufficient funds and identi fi cation of fi scal
development of cooperation at European and stimulus measures addressed both employers and
international level in the field of CVT, capitalized employees in training;
when European programs dedicated to training - insufficient monitoring of the impact of measures
continue; on various groups to be addressed, necessary to
- Ensure adequate resources training; provide a solid data base for planning fi cation
expenditures that are forming to be considered as employment policies;
being investments not costs, and greater investment - providing the legal framework to stimulate both the
in training are important following lines of action: employer and the employee in terms of continuous
providing the legal framework to stimulate fi professional development;
nancing learning, involvement of social partners in - insufficient training in enterprises. in Romania only
this fi nancing, attracting external fi nancing and 11% of enterprises are supplying training courses;
expansion of vocational training providers. - low investment in training, enterprises in Romania
- Facilitating access to continuing vocational investing only 0.5% of labor costs for continuing
training by creating opportunities for professional education courses.
training closer to the bene fi ciaries, improving
access to vocational training in rural areas, the One of the countries with a rich tradition in
number of people looking for a job that will be vocational training and the involvement of social
included in training programs and extend the partners is Sweden. 1960 CVT played an important
training adult NEA, upgrading and equipping of role in the Swedish labor market policies. An
existing centers, stimulating their employer for important part in the education system has Swedish
training personnel to increase and diversify the public sector. Initial vocational training is supported
book professional skills of persons in employment by the municipality and the CVT is supported by
and monitoring the evolution of access to state employees; social partners also have an
continuing training. important role in human resource development, as in
- Promote life long learning, promoting rewards Denmark. This or involvement of social partners is
learning, involvement of the media and the social not well defined in the Romanian national action plan
partners in promoting continuous training and regarding employment. Another relevant aspect is
monitoring implementation of the strategy for that Swedish organizations have realized the
developing continuous vocational training. importance for training.
- Ensuring quality in CVT by implementing
But of course there are other aspects of the Swedish
model as that employees be nanţează most of the
CVT (95% of expenditure) with a grant from the EU;
active participation of organizations

25
Regarding support employee training could be open and distance learning, lifelong learning
achieved through the existence of legal provisions or programs (lifelong learning).
collective agreements obliging them to contribute fi
nancial development of human resources; for Of course, the national Romanian is fl has just
example, in France and Spain training developed started, not backward traditions as the Swedish or
using mechanisms required by law ie taxes training English in this area - training, but precisely for this
in as rmelor, collecting all taxes or part and its reason it can take certain trends in European models
administration by the social partners, consultation that have proven their quality and ef fi ciency to
with employee representatives and access to training increase employment in the labor market.
within organizations.

Funding for training in Romania could be done by 4.2 The impact of the Lisbon Strategy
companies by paying a percentage; instead they
could grant tax deductions to pay. Impact of the provisions of the Lisbon strategy on
employment policy labor in Romania is on the one
Another shortcoming of the Swedish would be hand and on the other hand favorable less favorable.
avoided over is the lack of control over the use of fi The main conclusions drawn from the analysis of this
nancing obtained for training, unlike the French issue of the labor market in the context of European
model; This stands in Romanian strategy in the field enlargement are:
of training.
- economic development gap between member states
The English, Liberal, is characterized by the absence of the Union is the main driver orientation
of social partners in the training of human resources, migratory flows of labor;
there is a wide variety of types of training programs - due to differences in economic development
that offer people a variety of options. Another speci
between countries EU25, most likely will greatly
fi c model is decentralization and voluntarism enhance the export of capital (investment) from
English, which are key features of the employment western European countries to the Central and
policy and system administration. Eastern Europe, because production costs are much
lower, labor is cheap, thereby increasing
The tendency status to assist and engage in
competitiveness on the European market;
continuous training. For example, individuals can
- in countries receiving investment and new
form professional being supported by the state budget
through public funds, and companies can choose technologies will increase considerably the process
between using their own funds or public funds to of training to increase the qualification of the
support the development of their employees. employees at work;
Comparing the current Romanian system with the - labor market policies should take more account of
English could be observed ,, shy "of the state to cultural particularities specific to;
support employers in terms of support in this - Ciera beneficial by new members of the Structural
direction. Thus, when employers send young Funds will result in a significant advance in the
graduates whom are committed to professional labor market in these countries;
training, the expenses incurred can then be returned - reducing disparities in economic development
to the state budget at the request of the organization between Member States, enhancing product
(Law no. 76 of 2002 on stimulation of labor competitiveness, increased competition on the
subsequent modifications). European market, leading to increased
competitiveness overall EU economy.
Another trend noted in English strategy is trying to
facilitate access to educational products and services A special role plays component Economic and Social
to make them available at home, at work and in Cohesion that encourages and supports practical
education centers through the use of modern measures to prepare human resources and labor
technologies for processing and transmission of market in Romania to meet standards and challenges
knowledge. In Romania we can observe this trend by of EU accession and have it able to manage
creating system Structural Funds that would bene fi t from to
Romania.

To conclude the Economic Evolution

26
knowledge that will have a major impact on the c) More jobs and better
development of the Romanian economy have
included in Annexes 1, 2 and 3 in the form of The Lisbon European Council has called for more
European best practices to be transferred to Romania, jobs and better setting goals for angajare25 and
policy recommendations and institutional strengthening the role of social partners in achieving
development and instrument of overall used the EU. them. The contribution of education and training at
this manifests itself in several ways. Clearly, it is
evident that schooling is the main determinant of
4.2.1 What we can hope for this policy? individual earnings, with the labor market situation.

Commission24 report concludes that investment in d) Social inclusion and active citizenship
human capital contributes signi fi cantly increase
productivity and is an attractive investment Beneficial ciind a growing reward for quali fi
alternative to spending at micro and socially. There is polarization between those with high volume and
evidence that socially investments in human capital those with a small amount of knowledge affects the
are responsible for a signi fi cant proportion of all economic and social cohesion. Access to employer-
productivity growth. financed training is often limited to those who
already have a qualification of that high and some
a) Competitiveness and dynamism groups are so stuck in the bottom of the labor market.
An important goal is to develop education and
Competitiveness and dynamism are two aspects to training throughout life, so that changes and
which the EU is currently surpassed the United restructuring of the economy does not produce
States. Education and training must play a decisive adverse effects for social cohesion. One of the most
role in attracting and retaining talent in Europe. important conclusions of recent educational research
is that investing in education and training people is
Productivity gap between the US and the European both a growth factor, particularly in the current
Union continues to expand. Reversing this order context of rapid technological change,
requires not only investment in research,
development and information and communication e) regional policies
technology and the development of human capital.
Education and training of high quali fi is also an
b) Knowledge-based society and economy important element of regional policies, being seen as
a means of reducing differences between regions
It was widely recognized that the size and quality of more developed or less developed regions by
human resources are major determinants of both the providing the human resources needed economic and
creation of new knowledge and of disseminating it. social development.
Key factors are ensuring a sufficiently new scientists
and engineers, strengthening research at university Since regional disparities will increase for sure later
level and the constant updating of labor scienti fi, and in the European Union enlargement, this role could
the level of general education of the working age become even more important in the next few years.
population and enhances the activity of lifelong Commission Action Plan on quali fi cations and labor
learning. mobility has already prompted particular attention for
a greater investment in human resources needed in
Education also plays a key role in driving progress
regions lagging urmă26.
and dissemination of science and technology for the
transition to the knowledge society. Knowledge
sector is dependent on the possibilities of education
and particularly universities.

24
De la Fuente and Ciccone, 'Human capital in a global and knowledge-based economy, "the final report for employment and
social affairs, European Commission, 2002.
25
Lisbon European Council, Presidency conclusions, paragraphs 28 and 29.
26
Commission's Action Plan on quali fi cations and mobility, paragraph 11.

27
Glossary meet, face and negotiate freely, labor demand
expressed by owners of capital and demand for labor
Coordinated strategy for employment It is to force represented by owners muncă.14
coordinate European strategies for stability and
economic development, with specific measures that Demand for labor It is made by owners of capital
aimed at creating jobs. It aims at training the (companies, institutions) and is need of paid work at
workforce and prevent its exclusion from the labor some point.
market and society, creating an optimal climate for
new jobs by adapting unemployment benefits and Demand for labor corresponds to the number and
taxation, reducing the administrative burden and by quality of people who want to provide a paid
modernizing working methods. employment which has the following composition:

Employment policy labor are mainly macro- - Working age population - is the civilian
economic policy that addresses global macro- population from the minimum of 16 years and the
economic categories such as global consumer retirement age, resident in the territory of reference
demand, global investment etc. We include regional, and structure likely to participate in social work.
social, educational, industrial, fi nancial, monetary, - inactive population - means all persons not
etc. participating in social work (pensioners,
housewives, people unable to work, students).
National Action Plan for EmploymentHereinafter - Civilian labor force - represents all persons
called NAPE is a priority objective of alignment with participating in the social work carrying out a
the European strategy in the field of employment in professional activity, but also of people of working
the context of Romania's preparation for accession to age who want to work and are available to be
the European Union, it was based on the guidelines assigned.
of the European strategy on employment, adopted - Civilian labor force employed - represents all
annually EU Council. people who have a job that allows exercise of
economic and social activities generating income.
Labor market policies They are all the macro and
micro policies that try to regulate supply and demand Employment is an economic indicator, which
in the labor market. Labor market policies attempt to expresses the degree of participation of the working
direct the influence of decisions on employment and population in carrying out activities in a country
mainly include the following policies: (area, region, county ...)
The difference between the total active population
- work legislation (Or all policies governing and active population occupied by defining the
conditions of employment of individuals such as number of unemployed in a country (area, region,
minimum wages, working hours, duration and county ...)
conditions of annual leave, the maternity leave
regulations on hiring and firing, safety and health unemployment is a negative state of the economy,
conditions, early retirement, employment part time reflected in a significant imbalance in the labor
promoting continuing education, etc.); market where demand for labor is greater than the
- policies «active» (Consisting of mediation services demand for labor by businesses.
/ placement, information and career counseling, In terms of psychosocial unemployment is a factor
training, employment subsidies, training techniques for expansion of poverty, stimulating the criminality
to find a job, promote private initiative, etc.); of impaired health, marginalization and discouraging
- policies "Passive" replacing wages for those who some categories of human resources and finally
have become involuntarily unemployed. economic instability and con fl ICTE social .

Labor market, Also known as the labor market can Unemployed - a person who meets the following
be defined as being the economic space in which conditions:
- It is looking for a job at the age of

28
at least 16 years and until the conditions for
retirement;
- health and physical and mental abilities make him
able to work;
- no job, no income or income from legal activities is
lower than the unemployment benefit and would
cuvenii law;
- It is available to start work in the near future if they
find a job;
- It is registered with the NEA or another
employment services provider, operating under the
law.

Human resources policies in organizations:

- a) employment policies or occupancy as


previously ned;
- b) equal opportunities policy guarantees to all,
regardless of age, religion, sex or marital status,
equal opportunities in terms of employment,
reward, promotion, access to information, career
development, access to a management etc.
- c) involvement and participation policy - ensure
employee participation in decision making;
- d) the rewards - regulating salary rights;
- e) development policy for employees encourages
permanent employees with secondary education to
pursue higher education and those with higher
education to follow postgraduate courses to enable
them to increase their competitiveness training and
career development, giving them in this study leave
pay ;
- f) employee relations policy concerns the right to
represent and support the interests of your CEO,
individually or through employee representatives,
elected democratically, they part of the disciplinary
committee and the Joint Commission.
- g) protection policy and health provide secure
employment and complying with hygiene, health
and labor protection;
- h) use of human resources policy is based on HR
strategy, indicating intentions organization.

29
ix 1
Append
Knowledge economy

Knowledge Economy. Recommendations for Romania


innovative Development Organization
culture Human resources Network
28

organizations Policy makers and organizations Policy makers and organizations Policy makers and
public authorities public authorities public authorities
Accessing the funds Considering T & D as Transfer tacit
European for Facilitating Innovation problem The Constantly study the need knowledge (especially Developing social
research and strategy, along with its T & D / facilities when adapting best dialogue
development Formatting legal basis for formal and informal providing dynamic and practices)
innovation components direct training activities Coherent HR strategy in
Innovation as the goal Q T T mbuna output an economic environment
for the medium and Promoting regional managers must Facilitate the formation based projects based on knowledge
long term strategies innovation become familiar with and leakage of knowledge
Knowledge and research communities Coherent strategy for Providing a framework for
Q encouragement the Creating a culture of Management, especially change partnership
potenţialuluiinovativ knowledge its social dimension Facilitating knowledge
employees aggregation
Understanding and
learning development
Appendix 2, a set of European best practices' to be transferred to Romania

29
Appendix 3Strategia from Lisbon

30
Notes:

31
Notes:

32

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