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This week, the EU Commission presented the Agenda for new skills and jobs. It is one of seven leading initiatives of the EU 2020 Strategy and shall contribute to achieving the envisaged EU employment rate of 75 % for women and men by 2020. According to the Commission, this requires reforming the labour markets, raising the standards of skills and matching them with market demand. The social partners are to play an important role in implementing the Agenda. But the EU Commission and the Member States are also called upon.
Faster labour market reform to improve the flexibility and security of labour markets
The Agenda for new skills and jobs contains 13 concrete measures to improve the workings of Europe's labour markets. One of the measures aims at preventing the segmentation in the labour market by introducing a new kind of employment contract. The Commission talks about extending the use of open-ended contractual arrangements – with a sufficiently long probation period and a gradual increase of protection rights, access to training, life-long learning and career guidance for all employees. According to the Commission, this would reduce the existing divisions between employees with temporary and those holding permanent contracts. This could mean for Austria that the current legal one-month probation period might need to be changed. However, it is unlikely that open-ended contractual agreements can solve the problem. Whether this type of contract should become law via a Commission proposal, e.g a Directive, has not been mentioned. It does not seem to be likely.

Demands to review the Working Time Directive and for better implementation of the Posting of Workers Directive
The Agenda contains practically everything, which could come under the heading 'modernisation of labour markets' and where there is still room for improvement. Hence, the Commission also addresses the review of the Working Time Directive and the better implementation of the Posting of Workers Directive. A major part of the Agenda is devoted to Flexicurity. The social partners will have to play an important role in particular in this context. To strengthen its capacities and to fully exhaust the problem solving potential of the social dialogue at all EU levels is a declared objective of the Commission. The Agenda also addresses job quality. It has been recognized that the quality of work is an important factor for a high employment rate. Interestingly enough, the fact that involuntary part-time work has risen in recent years, is also mentioned. And that salaries and wages are lagging behind productivity.

Success of the Agenda for new skills and jobs depends on all players
The Agenda covers a lot of ground, which is among others the result of the dual competence within the Commission. Both the Employment Commissioner László Andor and the Education Commissioner Androulla Vassiliou are responsible for the initiative. To enable all citizens to enjoy high-quality education and training and to provide them with the skills needed for finding a job is easier said than done. However, Commissioner Vassiliou envisages just that and demands that all partners – governments, employers, trade unions and citizens – make a joint effort to enable the Agenda to succeed in making a contribution to achieve a high employment rate. The fact that the term 'full employment' is mentioned in the Agenda is interesting and to be welcomed. Unfortunately, it cannot be found in the EU 2020 Strategy.

Further information:

Press release of the Commission on the Agenda for new skills and jobs

Communication of the Commission "Agenda for new skills and jobs"