Europe 2020 Romania : Evidence-based Policies for Productivity, Employment, and Skills Enhancement
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Washington, DC
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Employment and skills are at the core of
Europe 2020, the European Union's (EU) competitiveness
strategy, and are decisive for high productivity and
sustained growth. Romania has overcome significant
challenges on its path to EU membership and in the early
years thereafter. However, the Romanian economy has recently
come under pressure as a result of the economic crisis and
because important reforms in employment and education have
not yet been completed. The Europe 2020 Romania report
discusses the key challenges currently faced by Romania in
the area of productive employment, and proposes a set of
steps the Romanian government could consider in order to
reach the Europe 2020 targets. Skills remain a major
challenge. In particular, there is insufficient provision of
the higher level generic and technical skills needed for a
modern and competitive economy, including skills for
technological innovation and absorption of new technologies.
While Romania performs comparatively well in terms of higher
education participation rates, there are concerns about
early school leavers and the quality of provision, in
particular at the tertiary level but also at earlier stages.
Skills shortages are a major constraint to economic growth,
together with labor participation. For Romania to achieve
its Europe 2020 employment target it must increase
employment rates, starting with the labor force
participation of women, youth and older workers. Achieving
the Europe 2020 employment target in Romania thus hinges
especially on increasing the labor force participation of
the population beyond the age of 55, especially of women.
Romania could expand its labor force by at least 25 percent
if older workers fulfilled their participation potential.
This report argues that by combining policies in two key
areas, Romania can achieve its Europe 2020 employment target
and go beyond that. The most relevant policy factors under
the two pillars: 1) in the short and medium term, policy
reforms to enable a faster dynamic of job creation by the
private sector; and 2) in the short to longer term, policies
to foster the adaptability and productivity of a shrinking
and aging workforce.
Palabras clave
ACCESS TO EMPLOYMENT, ACTIVE LABOR, ACTIVE LABOR MARKET, ACTIVE LABOR MARKET POLICIES, ACTIVE LABOR MARKET PROGRAM, ACTIVE LABOR MARKET PROGRAMS, ADULT EDUCATION, AGE GROUP, AGE GROUPS, AGRICULTURAL OUTPUT, AVERAGE PRODUCTIVITY, AVERAGE WAGE, BANKING SECTOR, BANKRUPTCY PROCEDURES, BENEFIT ANALYSIS, BIG CITIES, BUDGET CONSTRAINTS, BUSINESS CYCLE, CAPITAL INVESTMENTS, CHILD DEVELOPMENT, CITIZENS, CLEARINGHOUSE, COLLECTIVE AGREEMENTS, COMPETITIVE ECONOMY, CONSOLIDATION, DEBT, DEFICITS, DEMOGRAPHICS, DISADVANTAGED GROUPS, DISSEMINATION, DRIVERS, EARLY CHILDHOOD, ECONOMIC CONDITIONS, ECONOMIC GROWTH, ECONOMIC POLICIES, ECONOMIC PROBLEMS, ECONOMIC TRANSITION, EDUCATIONAL ATTAINMENT, EDUCATIONAL QUALIFICATIONS, EMPLOYMENT, EMPLOYMENT CREATION, EMPLOYMENT GROWTH, EMPLOYMENT LEVELS, EMPLOYMENT OPPORTUNITIES, EMPLOYMENT PATTERNS, EMPLOYMENT PERFORMANCE, EMPLOYMENT PROSPECTS, EMPLOYMENT RATE, EMPLOYMENT SERVICES, EMPLOYMENT SITUATION, ENTREPRENEURSHIP, ETHNIC MINORITIES, EXTERNAL MIGRATION, FINANCIAL RESOURCES, FISCAL POLICY, FOCUS GROUP DISCUSSIONS, FOREIGN DIRECT INVESTMENT, FREE TRADE, GENDER GAP, GOVERNMENT EXPENDITURES, GROSS DOMESTIC PRODUCT, HARD BUDGET CONSTRAINTS, HEALTH CONTRIBUTIONS, HIGH UNEMPLOYMENT, HIGH UNEMPLOYMENT RATE, HIGH UNEMPLOYMENT RATES, HOUSEHOLD INCOME, HOUSEHOLD SURVEY, HOUSING, HUMAN CAPITAL, HUMAN DEVELOPMENT, HUMAN RESOURCES, IMPORTANT POLICY, INFLATION, INFORMAL SECTOR, INNOVATION, INTERNATIONAL MARKETS, INTERPERSONAL SKILLS, JOB CREATION, JOB DESTRUCTION, JOB OPPORTUNITIES, JOB SEARCH, JOB SEARCH ASSISTANCE, JOB SEARCHES, JOB TRAINING, JOB VACANCY, JOBLESS GROWTH, JOBS, LABOR CODE, LABOR COSTS, LABOR DEMAND, LABOR FORCE, LABOR FORCE PARTICIPATION, LABOR MARKET, LABOR MARKET FLEXIBILITY, LABOR MARKET OUTCOMES, LABOR MARKET PERFORMANCE, LABOR MARKET PROGRAM, LABOR MARKET RIGIDITIES, LABOR MARKETS, LABOR POLICIES, LABOR PRODUCTIVITY, LABOR REGULATIONS, LABOR SUPPLY, LABOR SURVEYS, LEGAL STATUS, LEVEL OF DEVELOPMENT, LIFE-LONG LEARNING, LIFELONG LEARNING, LIVING CONDITIONS, LIVING STANDARDS, LOW EMPLOYMENT, MACROECONOMIC CONDITIONS, MACROECONOMIC STABILITY, MACROECONOMIC STABILIZATION, MARKET ECONOMY, MATHEMATICS, MINORITY, MODERNIZATION, MONETARY POLICY, NATIONAL EFFORTS, NUMBER OF PEOPLE, OCCUPATIONS, OLDER ADULTS, OLDER WORKERS, ON-THE-JOB TRAINING, OVEREMPLOYMENT, PARTICIPATION OF WOMEN, PENSIONS, POLICY FORMULATION, POLICY FRAMEWORK, POLICY MAKERS, POPULAR SUPPORT, POPULATION PROJECTIONS, PREVIOUS SECTION, PRIMARY EDUCATION, PRIVATE CONSUMPTION, PRIVATE SECTOR, PRIVATIZATION, PRODUCT MARKET, PRODUCT MARKET REGULATION, PRODUCT MARKETS, PRODUCTIVE EMPLOYMENT, PRODUCTIVITY GAINS, PRODUCTIVITY GROWTH, PRODUCTIVITY LEVELS, PROGRESS, PUBLIC EMPLOYMENT, PUBLIC FINANCE, PUBLIC POLICY, PUBLIC SERVICES, PURCHASING POWER, QUALITY OF EDUCATION, REGIONAL LABOR OFFICE, RESOURCE ALLOCATION, RETIREMENT, RISING UNEMPLOYMENT, RURAL AREAS, RURAL LABOR, RURAL POVERTY, RURAL RESIDENCE, SECONDARY EDUCATION, SECTORAL POLICIES, SKILLED LABOR, SKILLS DEVELOPMENT, SOCIAL BENEFITS, SOCIAL FACTORS, SOCIAL NORMS, SOCIAL POLICY, SOCIAL SECURITY, SUBSIDIARY, SUBSISTENCE FARMING, SUPPLY CHAINS, TAX ADMINISTRATION, TAX RATES, TAXATION, TECHNICAL SKILLS, TECHNOLOGICAL CHANGE, TERTIARY EDUCATION, TERTIARY LEVEL, TOTAL EMPLOYMENT, TOTAL FACTOR PRODUCTIVITY, TRADE UNIONS, TRAINING PROVIDERS, TRAINING SYSTEM, TRANSACTIONS COSTS, TRANSFER OF TECHNOLOGY, TRANSITION ECONOMIES, TRANSPORT, UNEMPLOYED, UNEMPLOYED PEOPLE, UNEMPLOYMENT, UNEMPLOYMENT BENEFITS, UNEMPLOYMENT FIGURES, UNEMPLOYMENT RATES, URBAN AREAS, URBAN CENTERS, VOCATIONAL EDUCATION, VULNERABLE GROUPS, WAGE BILL, WAGES, WATER SUPPLY, WORK FORCE, WORKFORCE, WORKFORCE DEVELOPMENT, WORKING CONDITIONS, WORKING-AGE POPULATION, YOUNG MEN, YOUNG WOMEN, YOUNG WORKERS, YOUTH UNEMPLOYMENT