ABSTRACT

The year is 1989 and Matti, 21, is unemployed. The unemployment rate is 4 per cent. The national situation is characterized by rapid economic growth, income equality and almost non-existent poverty. Matti is not yet established in the labour market and is not entitled to earnings-related unemployment benefits. For this he would have needed six months’ previous work experience. He contacts the welfare office which asks him to contact the employment office. The welfare office also requires him to investigate if he has a right to a basic flatrate allowance. His employment benefits are suspended for one month. During that time Matti receives social assistance as a basic right. With the employment situation being relatively good, the employment office soon finds Matti a job. The year is 2004 and Mikko, 20, is unemployed. The unemployment rate is 10 per

cent and has fallen since the dramatic increase that occurred in the 1990s when it reached 17 per cent. Mikko has no work experience and is not entitled to earnings-related unemployment allowance as he lacks the required 10 months’ work experience. As a newcomer he is not entitled to a basic allowance and is suspended for five months. He turns to the welfare office which asks him to contact the employment office. During that time he receives social assistance. The employment office designs a work activation plan and after three months he is offered a job training placement. He refuses to take the placement because of long distances to travel and is sent back to the welfare office which cuts his social assistance by 20 per cent. After refusing another offer the social assistance is reduced by another 20 per cent. These case studies, drawn from Finland, highlight the changing situations for young

unemployed people in Europe. They say something about the changed conditions in the European labour market and illustrate the difficulties faced by young people trying to get a foothold in the labour market. Despite relatively strong economic performance and an increase in productivity, employment situations have not improved. Radical policy changes have also occurred which have changed the circumstances of the young and unemployed. In this context it is important to learn more about how unemployment is understood and looked upon. How is unemployment related to marginalization and can

we find new discourses, new concepts, which help us make sense of youth unemployment? These are broad questions which cannot be fully covered here. The aim, however, is to discuss how unemployment among youth relates to the discourses of late modern society and to highlight the challenges for policy. Contextual factors are crucial in understanding the ways in which unemployment is

shaped. Policy strategies construct citizenship, inclusion and participation. In particular, activation policies contribute to the shaping of the context in which youth unemployment exists. New forms of governance are being developed. Youth unemployment relates to the transformation of policies, governance and broader societal processes and also to the development of new theoretical perspectives. However, this is not to suggest that everything is being transformed. On the contrary, a large body of research suggests powerful continuities.