Article i 'Tidsskrift for arbejdsliv' no. 2 1999, page 45-53.
Firms and their social responsibility
Social responsibility for those who cannot earn their own
salary is in the Scandinavian Labour Market Model usually taken over by the
State. However, there are situations where it is in the clear interest of the
firm to take responsibility for its labour force. One condition is that workers
stay long enough with the firm. This condition is seldom fulfilled in Denmark
where we have a very high level of labour force turnover at the firm level. The
proportion on disability pension has also been growing for the last 16 years.
Therefore it is appropriate to ask if the present system of transfer incomes and
activation by regulation should be substituted by a system where individuals,
firms and unemployment insurance funds would all have economic incentives to
keep persons in their jobs even if they can not earn a normal salary. A new
proposal is here to give people a tax allowance instead of pension.