The Danish Labor Market Flexible Security Analysis

The word "flexicurity" is composed by "flexibility" and "security". The term flexicurity was first coined in the Netherlands in the mid-1990s. Afterwards, the notion is gradually accepted by other European countries and become a new policy strategy of European Union and its member states.On a certain extent, putting forward the flexicurity strategy is coped with the security problems of the flexiblization reform of the labor market. Since the 1980s, in the face of the serious continuous high unemployment rate, most western countries started the flexiblity reform in the labor markets by giving up the Keynesian employment policies and adopting the Neo-liberalism employment policies. Though the flexiblization of the labor markets has decreased the unemployment rate and increased employment rate, and created a Neo-liberalism employment miracle, meanwhile, a series of social problems such as the income-gap deepening, social exclusion, working poverty have come into being subsequently and all of above are threatening the employees' security badly, especially to vulnerable groups of employees and outsiders in the labor market. Therefore, how to combine the flexibility and security to realize the integration of efficiency and justice in the labor market reform becomes an important issue which is faced by both of the developed and the developing countries and the transition countries. Just in this condition, the concept of flexicurity is successively put forward and further studied in practice and theory by the international labor organizations and the governments and the scholar's fields in a number of countries. European Union has pointed out that flexicurity is a new way of looking at flexibility and security on the labor market. Flexicurity is an attempt to unite these two fundamental needs. Flexicurity promotes a combination of flexible labor markets and a high level of employment and income security and it is thus seen to be the best choice to the EU to maintain and improve competitiveness whilst preserving the European social model. In the practice of the western countries, being differ from the Swedish model the Danish labor market is acknowledged the successful model by the international societies. Therefore, the studying of the Danish labor market has great significance theoretically as well as empirically and will bring important revelation on the construction of the flexicurity in our labor market. In a perspective of studying the successful model, this paper has analyzed the development of the flexicurity ,the definition of it and its background through putting forward of the flexicurity notion and has made demonstration analyzing to the Danish labor market model. Finally, this paper provides the flexicurity model selection of our own labor market. The whole article is divided in three parts.Section 1 is about the putting forward of the problem of labor market flexicurity. This section has firstly introduced the development of it, analyzed its definition and pointed out the flexicurity is actually a new policy strategy of labor market. And on this basis, the paper points out that providing the right balance between flexibility and security will help support the competitiveness of firms, increase quality and productivity at work, improve social cohesion and prevent the social exclusion.Section 2 introduces the Danish flexicurity labor market model. The flexicurity labor market model in Denmark is a very successful model. Some of the structural imbalances in unemployment seem to have disappeared, and the positive employment performance to some extent have not made the widening of the wage dispersion. There has been a rapid reduction in Danish unemployment and the economy has been enjoying an inflation-free upswing. The Danish labor market model is often described as a "golden triangle". The model combines high mobility between jobs with a comprehensive social safety net for the unemployed and an active labor market policy. The flexicurity model in Denmark is based on its traditional literature, its industrial structure dominated by small and medium enterprises, and the well-developed system of public labour market education and training and sustained by a long-standing tradition of close cooperation between the social partners and government. With the rapid development of the globalization and technological progress, the Danish flexicurity labor market model also faced many serious challenges.Section 3 provides the revelations about the construction of labor market model of our country. In the flexiblization era, the flexicurity model of labor market is also a selection of ours. Comparing to the Danish labor market model, we should emphasize the importance of the balance between the functional flexibility, the employment security and the income security. Therefore, we ought to stress the government's role and strengthen our tri-cooperate system, perfect our active labor market policy through improving the employability current flexibility and the security condition, points out the problems and the dilemma in the development of the labor market in our country and discusses the active policy measures that can improve the situation of ours.