1 . The functions of services for employment
Services for employment, in so-called international terminology, (or “ by ”) labour market are – cannot start with those for finally take of the labour market to the proper functioning of labour supply and demand, the resolution of problems which lead to structural imbalances between the two, and the provision of institutional tools that will contribute to meeting the sellers and plaintiffs and thus lead to the satisfaction of the employment needs of companies and workers.
This is obviously a complex task, firstly, the dimensions of the labour market, the largest in the economy. But, also for your complex features: align as possible the needs of supply and demand for work throughout the productive fabric, taking into account further the job seekers, not an easy task, and requires the provision of institutions and tools that allow wide-ranging adjustment of the most effective way.
To that end, these services to the management of employment and labour market must be, for its proper functioning, closely linked and articulated.
The two key functions are to be met, on the one hand, solve the problem of mismatches between labour supply and demand that causes high levels of structural unemployment, which were reflected in the existence in the long key long-term unemployed who are not reduced proportionally even in contexts such as the current of strong and sustained job creation. This is, therefore, on the scale of competences and/or geographical between supply and demand for labor, between the characteristics, needs and profiles of jobs, and the productive system in general, and the qualifications and skills of unemployed persons.
On the other hand, the second function essential services for employment is to reduce the costs of recruitment of enterprises, particularly onerous for small businesses, as well as the time required for the annulment of the needs of companies in the process of coverage of jobs with unemployed persons who are actively searching for those jobs and have the skills and competencies to fill them.
This second gap, which is called friccional unemploymentit is important, because less efficient, effective and efficient are the functions of brokering to be carried out by the employment services, whether public or private.
In a labour market such as the spanish government, whose size is significant both in terms of large numbers of the workforce and unemployed, and the number of companies, both imbalances are, in the absence of effective employment services, particularly important. Causing costs both economic and social affairs very high.
Employment services and labour market should address, or be geared, an ideal model for which there are clear references in existing systems in a number of countries of our european area. If in its genesis and its development has not been so, as happens in Spain, this has had and has a series of repercussions they entail, finally, various types of problems, among which some of the most important have been and remain as follows:
a. An overall underdevelopment of the labour market
(b. The mere existence of essential services such as for undertakings
c. The lack of overall effectiveness of the employment policies