<table><caption>Table 1 - Old and new activation across time in Germany and France</caption><thead><tr><th></th><th></th><th>1950's</th><th>1960+</th><th>1965+</th><th>1970+</th><th>1975+</th><th>1980+</th><th>1985+</th><th>1990+</th><th>1995+</th><th>2000+</th><th>2005+</th><th>2007+</th></tr></thead><tbody><tr><td rowspan="2">1-macro developments</td><td>FR</td><td></td><td>full employment</td><td></td><td></td><td>1974-83<br>Stagflation<br>million<br>unemployed]</td><td></td><td>1984-93<br>Competitive disinflation<br>[1993= 3 million<br>registered unemployed<br>State as employer of<br>last resort<br>1986-88<br>short labour market<br>boom]</td><td></td><td>1994-2001<br>Post-Maastricht<br>arrangement<br>1997-2001<br>labour<br>market boom and the<br>reduction of working<br>time</td><td>From 2002<br>The shock<br>of the<br>Euro</td><td>2008<br>economic<br>and<br>financial<br>crisis<br>collides with<br>sweeping<br>reforms</td></tr><tr><td>DE</td><td>post-war<br>unemployment,<br>refugees<br>from<br>Eastern<br>territories</td><td>1957 'full employment'<br>1961 Berlin Wall; increasing labour<br>shortage in the West</td><td></td><td>1975 oil<br>shock:<br>unemployment<br>exceeds 1<br>million</td><td></td><td>1983: unemployment<br>exceeds 2 million</td><td></td><td>1990:<br>unification<br>1993: UE<br>exceeds 3<br>million</td><td>accelerated<br>restructuring in the<br>West;<br>1997: UE<br>exceeds 4<br>million</td><td>1998 -<br>2005 Red-<br>Green<br>coalitions</td><td>2005: UE<br>briefly<br>hits 5<br>million</td><td>UE largely<br>stable<br>despite<br>crisis, short-<br>time<br>allowances<br>up to 1.5<br>million in<br>2009</td></tr><tr><td>2.Unemployment<br>insurance<br>with<br>associate<br>active<br>labour<br>market<br>programmes<br>(ALMP)</td><td>FR</td><td>1958<br>standard<br>unemployment<br>insurance<br>along<br>"Bismarckian<br>rules"</td><td>Old activation=<br>registering and looking<br>for jobs</td><td>End of full employment<br>Late 70s and early 80s=<br>first large scale<br>employment<br>programmes for certain<br>groups</td><td></td><td>1984: Allocation de<br>solidarité spécifique<br>(ASS)<br>Allocation d'insertion<br>(AI) for the young and<br>other groups</td><td></td><td>1988<br>Allocation<br>reclassification<br>(AFR)<br>Large<br>scale training and<br>employment<br>programmes</td><td>Various<br>reforms<br>implemented in the<br>ANPE<br>(Agence<br>nationale<br>pour<br>l'emploi)<br>(service<br>delivery,<br>monitoring of the<br>unemployed,<br>management of<br>agencies..</td><td>Failure of<br>the reform<br>of ASS<br>2002</td><td>Gestation<br>of fresh<br>reforms</td><td></td></tr></tbody></table>
<table><thead><tr><th></th><th>1950's</th><th>1960+</th><th>1965+</th><th>1970+</th><th>1975+</th><th>1980+</th><th>1985+</th><th>1990+</th><th>1995+</th><th>2000+</th><th>2005+</th><th>2007+</th></tr></thead><tbody><tr><td></td><td></td><td></td><td></td><td></td><td></td><td>New forms of activation strategies emerge in the employment service and unemployment insurance</td><td></td><td></td><td>)<br>Benefits are adjusted</td><td>Various reforms of unemployment benefit= PARE (plan d'aide au retour à l'emploi)</td><td></td><td>Sweeping reforms on the labour market and employment service</td></tr><tr><td>DE</td><td>labour market policy largely based on restored pre-war legislation from 1927</td><td></td><td></td><td>1969 Arbeitsförderungsgesetz (AFG - Employment Promotion Act)<br>ALMP emphasis on retraining: manpower policies in support of structural change</td><td></td><td></td><td>increasing use of direct job creation (ABM)</td><td>massive almp (training and direct job creation)</td><td>1997: AFG replaced by Sozialgesetzbuch III</td><td>2002: JobAQTIV Act: introducing 'activating' language<br>2003 'Hartz' reforms of the Federal Employment Agency<br>gradual paradigm shift from 'old' to 'new' activation: downplaying macro responsibility of the state, emphasis on individual responsibility; state intervention into individual behaviour rather than labour market structure</td><td></td><td></td></tr><tr><td></td><td>12 months unemployment benefit (UB) for the insured, unlimited unemployment assistance (UA) for the non-insured or after exhaustion of UB, if able and willing to work</td><td></td><td></td><td></td><td></td><td>1976 to 2000: direct access to UA without previous UB eligibility gradually restricted and finally abolished</td><td></td><td></td><td></td><td>2005 'Hartz IV': Arbeitslosenhilfe abolished; majority of unemployed now without status-maintaining benefit</td><td></td></tr><tr><td>3.minimu m income benefits/ social assistanc e with</td><td>FR</td><td>1953 Social assistance is reformed<br>No link with "activation strategies"</td><td></td><td></td><td></td><td>1975 = solidarity benefit with the disabled Allocation d'aide aux handicapé</td><td>1982 and 1986 decentralization of social assistance (aide sociale)</td><td>1988: RMI</td><td></td><td>2003 failed reform = Revenu minimum d'activité RMA comprehensive decentralization to the départements</td><td>2008/2009= RSA revenu de solidarité active</td></tr></tbody></table>
<table><thead><tr><th></th><th></th><th>1950's</th><th>1960+</th><th>1965+</th><th>1970+</th><th>1975+</th><th>1980+</th><th>1985+</th><th>1990+</th><th>1995+</th><th>2000+</th><th>2005+</th><th>2007+</th></tr></thead><tbody><tr><td rowspan="2">associate<br>active/ac<br>tivating<br>programmes</td><td></td><td></td><td></td><td></td><td></td><td>s= AAH<br>1976<br>allocation<br>de parent<br>isolé (API)<br><br>Preliminaries to full<br>scale<br>mechanisms;<br>experimentation by<br>associations</td><td></td><td></td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>DE</td><td>municipal<br>social<br>assistance<br>according<br>to legal<br>foundations<br>laid in<br>1924, with<br>punitive<br>elements</td><td>1962 Bundessozialhilfegesetz (Social Assistance Act): federal legislative framework for municipal social assistance:<br>SA becomes a social right; primacy of supporting oneself through work; acceptability of community work; refusal of acceptable work could lead to the withdrawal of the benefit<br>SA recipience is marginal and very exceptional in working age; activation principles 'dormant'.</td><td></td><td></td><td></td><td>1981: number of SA recipients exceeds 1 million and continues to grow almost steadily until the late 1990s to almost 3 million. SA develops into a 'third tier' of protection against worklessness.<br><br>Municipalities create temporary jobs subject to social insurance contributions in order to 'recycle' SA recipients into UB (and subsequently UA) recipience - this is later criticised as 'switchyards' of benefit eligibility</td><td>Minimum benefit<br>recipients are target<br>groups for employment<br>programmes/subsidized<br>contracts in the public<br>and non-profit sectors<br>(associations)</td><td></td><td></td><td></td><td></td><td></td><td>Reforms of<br>subsidized<br>contracts</td></tr><tr><td>Activatio<br>n by<br>reforming<br>social<br>contributi<br>ons and</td><td>FR</td><td>No activation</td><td></td><td></td><td></td><td></td><td></td><td>1989<br>introduci<br>on of<br>Contributi<br>on sociale<br>généralisé<br>e CSG</td><td>From<br>1993,<br>targeted<br>social<br>contributi<br>ons<br>reductions<br>on low<br>wages</td><td></td><td></td><td></td><td>From 1997, first coupled until 2003 with the reduction of working time, structural settlement of the reduction of social contributions for employers (on low and medium wages), in order to lower labour costs and foster employment creation.</td></tr></tbody></table>
<table><thead><tr><th></th><th></th><th>1950's</th><th>1960+</th><th>1965+</th><th>1970+</th><th>1975+</th><th>1980+</th><th>1985+</th><th>1990+</th><th>1995+</th><th>2000+</th><th>2005+</th><th>2007+</th></tr></thead><tbody><tr><td rowspan="2">taxes for the funding of social protection</td><td>DE</td><td></td><td>introduction of 'geringfügige Beschäftigung' (small jobs exempt from social insurance contributions and with flat-rate taxation): mobilisation of the female labour force without calling the male breadwinner model into question</td><td></td><td></td><td></td><td></td><td></td><td>Containment of social insurance contributions while maintaining the fiction of equal contributions: taking certain risks out of coverage, reducing benefits, introducing voluntary complementary schemes funded by employees alone, increases in tax-funded subsidies for social insurance schemes</td><td>Reform of 'geringfügige Beschäftigung' into 'mini-jobs' (easier administrative procedures, flat-rate taxes lowered and borne by employer) is followed by their statistical growth.</td><td>Gliding disregard for earned income makes Arbeitslosengeld II function like a "Kombilohn" (permanent low-wage income supplement, equivalent of earned income tax credits).</td></tr><tr><td>FR</td><td></td><td>No activation. Family support per se.<br>Mainstream tax system favours large families (family and not individualized base)</td><td></td><td>1976 allocation de parent isolé (API) : short term support till the youngest kid turns 3; family funds also manage RMI and AAH. Family funds crucially involved in poverty alleviating and policies against poverty</td><td></td><td></td><td></td><td>No activation. Family benefits are nevertheless recalibrated in order (in some cases) not to facilitate mothers' leaving the labour market.<br>Child care support is recalibrated in order to facilitate employment creation and coupled with lower social contributions and tax reductions for parents.</td><td></td><td></td><td></td></tr><tr><td rowspan="2">Family benefits</td><td>DE</td><td>1958 (re-) introduction of marital status tax relief for single breadwinner and unequal earner couples</td><td></td><td></td><td>1975 general child allowance from the 1<sup>st</sup> child, independent of income</td><td></td><td>1986: introduction of parental leave with guaranteed job return and child care allowances during the first two years for low and medium earners. In practice almost exclusively used by women.</td><td></td><td></td><td>parental leave incentivises access for fathers; its re-design as a wage replacement offers more incentives to higher than to lower earners</td><td></td><td></td></tr></tbody></table>
<table><thead><tr><th></th><th></th><th>1950's</th><th>1960+</th><th>1965+</th><th>1970+</th><th>1975+</th><th>1980+</th><th>1985+</th><th>1990+</th><th>1995+</th><th>2000+</th><th>2005+</th><th>2007+</th></tr></thead><tbody><tr><td rowspan="2">older age</td><td>FR</td><td colspan="12">No activation= traditional social insurance pensions (pay as you go)</td></tr><tr><td>DE</td><td colspan="2">1957 pension reform: status-maintaining pensions above poverty level after life-long full-time working careers; strengthening of survivors' pensions</td><td colspan="2">early exit policies: extended UB entitlements for older workers, exemption from job search requirements from 58 on and early pensions from 60 on as mechanisms for reducing excess labour supply</td><td colspan="2">gradual phasing-out of most early pensions</td><td colspan="2">2005 reduction of UB eligibility periods for older workers</td><td colspan="2">2008+<br>Heralded fresh restriction to inactivity for the unemployed [suppression of DRE from 2012] new restriction for early retirement schemes and legal measures for expanding older age employment 2010 pension reform</td></tr><tr><td colspan="2">character<br>ization of<br>periods</td><td colspan="6">Old activation</td><td colspan="4">New activation from 1988, with various turns</td></tr><tr><td colspan="2">FR</td><td colspan="6">Traditional "activation" in a dominantly "social insurance" (Bismarckian) system of social protection</td><td colspan="2">Gradual introduction of large scale employment programmes linked to the disappearing of full employment; introduction of a number of minimum income benefits and emerging of the insertion rationale: emerging new</td><td colspan="2">1988 the logic of insertion turns into public policy ("Republican activation= social activation")<br>1993 - 2006 the logic of incentivizing and making work pay combined gradually (coupled with the transfer of social contributions to the budget and</td><td colspan="2">Clashing with the crisis: The trial to homogenize activation as</td></tr></tbody></table>
<table><thead><tr><th></th><th></th><th>1950's</th><th>1960+</th><th>1965+</th><th>1970+</th><th>1975+</th><th>1980+</th><th>1985+</th><th>1990+</th><th>1995+</th><th>2000+</th><th>2005+</th><th>2007+</th></tr></thead><tbody><tr><td></td><td></td><td></td><td></td><td></td><td></td><td>activation</td><td></td><td></td><td>the lowering of labour costs)<br>variegated activation rationales and transition</td><td></td><td></td><td></td><td>making work pay; the discarding of RMI as an unconditional right<br>Sweeping reforms in the ANPE and UNEDIC</td></tr><tr><td rowspan="2">DE</td><td>post-war reconstruction</td><td>fully-fledged evolution of 'Bismarckian' type social protection</td><td></td><td></td><td></td><td>'active' Imp: Keynesian macro orientation</td><td></td><td></td><td>'almp overdose' in unification process</td><td>gradual paradigm shift</td><td>'activating' Imp: neo-liberal micro orientation, principles of 'work first', 'actively seeking' and 'must want to work'</td><td></td><td></td></tr><tr><td></td><td></td><td></td><td></td><td></td><td></td><td>'old activation': traditional principles of 'supporting oneself', availability for the labour market and for placement offers, criteria of acceptability according to vocational status; less emphasis on 'actively seeking work'</td><td></td><td></td><td></td><td></td><td>'new activation'</td><td></td></tr></tbody></table>