Term:
Flexibility of labour
Definition:

The flexibility of a labour market is determined by its ability to adapt quickly to new conditions. It occurs in several dimensions of a labour market, including adapting the quantity of labour by means of hiring and firing or recurring to temporary contracts (external flexibility) or by variation in working time, the way work is organized, and the adjustment of wages to respond to shocks and other developments (internal flexibility). Flexible forms of work and casualization, including fixed-term and short-term contracts, agency work, project work, multiple jobs, self-employment and so on, are often associated with insecurity in access to, or coverage by, social security schemes, including pensions, health care and other forms of social assistance. In particular, flexibility is problematic when it takes the form of low-waged work with poor working conditions or is regarded as inevitably involving deregulation. In addition to low levels of security, flexibilized labour markets are also associated with less advantageous contractual/employer-provided legal rights, benefits and working conditions.

Domain:
Labour
Source:
ILO
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