Employer Engagement and Active Labour Market Policies. Evidence from a Norwegian Multi-Method Study

Abstract

Using Work Training in Norway as a case, this article provides insight into motivation and structural factors that impact employer engagement with active labour market policies (ALMP) targeting young people. Drawing on mixed-methods data, we find a substantial proportion of Norwegian employers engage in Work Training. Both social responsibility and the economic interests of the company influence employers’ motivation for committing to Work Training. The findings reveal that the structural factors of business size and sector are crucial determinants of employer behaviour when it comes to hiring Work Training candidates. Although improved outreach activities by local job centres may be important, the article argues that efforts towards opening up sectors closed by sector-specific regulations on hiring, and increased awareness of structural constraints, are similarly important.

The Impact of Employer Characteristics on Sustaining Employment for Workers with Reduced Capacity: Evidence from Norwegian Register Data

“…Norway has implemented demand-side policies focused on increasing labour market participation for workers with reduced capacity (and other vulnerable groups) (Aakvik and Dahl, 2006;Clayton et al, 2012;Mandal and Ose, 2015;Østerud, 2020;Hyggen and Vedeler, 2021;Østerud and Vedeler, 2022). Despite this, labour market participation for this group remains lower compared to the population average (Eurostat, 2022).…”

“…Despite Norway's extensive policy interventions, a disability employment gap of 34.5 per cent remains, which is 12 percentage points higher than the EU average (Eurostat, 2022). In a study on employer participation in ALMPs, Hyggen and Vedeler (2021) found no association between employers participating in the Inclusive Work Life agreement and probability to hire young people remote from the labour market. In studies on the uptake of the 'Joint Inclusion Effort' with state employers, Østerud (2020) found that only 3.1 per cent fulfil the employment quota.…”

“…Theoretically, large employers have resources to provide accommodations, formalised routines and practices, and often an HR-department, all of which can contribute positively to sustaining employment for workers with reduced capacity (Goss et al, 2000;Borghouts-van de Pas and Freese, 2017;Beatty et al, 2019;Hyggen and Vedeler, 2021;Bacon and Hoque, 2022). This is, however, the opposite of what Stone and Colella (1996) predicted in their model of factors affecting treatment of people with disabilities in workplaces.…”

“…Norwegian demand-side policy differs from the direct regulation of central-European policy. In 2001, Norway implemented the Inclusive Work Life agreement that sought to reduce sick leave absence and improve work retention for people with ill health, disabilities, or reduced work capacity (Mandal and Ose, 2015;Hyggen and Vedeler, 2021). The agreement was voluntary until 2019, after which participation in the agreement became mandatory for both public and private employers.…”

Shifting roles of Employers: At the Intersection of Employment and Social Work: A case study from Norway

“…As for employers, they are usually not trained for handling employees with complex challenges and problems. Even though larger companies often have more developed HR departments, with more resources and knowledge available to facilitate potential training Hyggen & Vedeler (2021), the majority of Norwegian companies are small or medium-sized. In one of the quotes above, an employer expressed that she needs to be 'sort of a mum'.…”