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OECD Employment Outlook 2008

image of OECD Employment Outlook 2008

As ageing populations put more downward pressure on economic growth in the coming decades, it is essential that OECD countries improve labour market performance.  This edition of OECD's annual report on labour markets brings the reader not only detailed information on recent labour market developments, but also in-depth analysis of the effects of various policy measures and prospects through 2009.  The analysis includes coverage of of the youth labour market in OECD Countries; informal employment and undeclared work; labour market discrimination and policies to combat it; the link between job stress and mental health problems; and the pay and working conditions offered by multinational firms. This book includes StatLinks, URLs which link statistical tables and graphs to Excel spreadsheets on the internet.

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Declaring Work or Staying Underground

Informal Employment in Seven OECD Countries

Informal employment and undeclared work is a significant labour market problem for some lower- and middle-income OECD countries, prompting concerns about worker protection, making it difficult for governments to deliver high quality public services and hindering productivity and growth. Strong economic growth does not, per se, appear to guarantee a reduction in informal employment. What policies can countries adopt to address informal employment? The answer differs from country to country. Depending on the situation in each of them, incentives for employing workers formally may be improved by a combination of reducing labour costs when they are excessive, increasing flexibility in countries with stringent employment protection legislation and improving the design of social protection schemes to increase the benefits of affiliation to workers. Better incentives should be complemented by enhanced tax, social security and labour enforcement efforts. Improved governance standards would also encourage voluntary compliance.

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