Report on the The Danish Employment Service’s involvement of other players in job creation efforts


Report no. 12/2005

The report deals with the Ministry of Employment’s – in practice, the Danish Employment Service’s – outsourcing of employment activities to several private and semi-public enterprises, collectively called other players. Outsourcing constitutes an important and innovative element of the politically agreed labour market programme – “More people in work”, adopted in autumn 2002 by a broad cross-sector of the parties in the Folketing. Other players have rapidly and increasingly become involved in job creation efforts and in 2005, the Employment Service referred every third unemployed person to other players.

The examination includes a review of all public procurement contracts awarded by the Employment Service to other players during the period 1 January 2003 – 1 October 2005. The purpose of the examination was to answer three questions: First, whether the Employment Service is determinedly involving other players in job creation efforts aimed at special target groups of unemployed. Second, it is examined whether the Employment Service gives other players a sufficiently strong incentive to place the unemployed in permanent, ordinary jobs as quickly and directly as possible. Finally, it is examined whether the Employment Service’s follow-up on other players’ job creation efforts is satisfactory.