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Eu – USA
The world has changed. There are big demographic shifts, globalisation, new
technologies and changes in the nature of work. New economic and social models
are needed but the welfare state should not be abolished. In America little
money is spent on social services such as unemployment maternity and pensions
benefits or on state-sponsored health care and education.
In Europe high benefits paid to the jobless
discourage. This is no incentive for the unemployed to find a job. So the
working age population decrease whereas and the number of people who retire
increases. The result: governments have to finance more and more welfare
services with less money.
Consequences are that the welfare budget will have to
be cut, the active labour market will have to grow, more people will have to
work even longer, unemployment benefits will depend on the people’s
willingness to accept training programmes and work. Collaboration among
employers, the unemployed and governments is important.
At the moment the situation is like this: you either
have low unemployment, low wages, widening gulfs between rich and poor as in the
USA and high unemployment, high wages and a more even income distribution as in
the E. U.
But there should be a way to make the market fairer
and the welfare system more efficient.
They should not be financed by tax money but by extra
contributions which depend on the income. People with low wages would have to
pay less. The important thing is people spend their own money and have more
decision making power over which services to consume.
The days of high growth, excessive welfare benefits
and jobs for life may be over but the now ways should not lead to economic
brutalities and social demolition.
In Western Europe 20 million people cannot find jobs.
The statistics show that at the moment the rate of unemployment is about 11 %.
These figures are a catastrophe, especially when you are familiar with social
net. The united States are also affected by this problem. The rate of
unemployment is about seven per cent that shows that in Europe the rate is
higher but you must not forget that the American social system is totally
different from our social net. So many Americans have tried their luck in part
time or temporary jobs that do not offer them health and pension
benefits.
Austria is a social welfare state and also affected by
this problem, just like the rest of Western Europe. But in Austria the rate of
idle workers is one of the lowest in Europe.
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