The European labour markets are facing a context of deep change. Beside the economic slowdown, which has a large impact on labour market outcomes, the long-term challenges such as facing the globalisation or demographic imbalances, threaten the sustainability of labour markets.
To address this situation, governments at various levels can effectively influence the functioning of the labour market, by applying Active Labour Market Policies (ALMPs). Indeed, these are often used to manage problems of structural unemployment, through a wide-ranging approach, focusing on the supply or demand for labour or fostering economic growth.
The nature of these measures suggests that the ALMPs, aimed at the local level, may be a useful complement to the regional development strategy; thus, the inclusion of ALMPs in a traditional approach to regional development is an opportunity to promote a strong and effective local growth.
This discussion brings out two new challenges, both in terms of flexibility of labour markets and the safety of workers, with the need to quickly update the skills of the workforce.
Therefore, in order to identify efficient and effective criteria for labour market policies, is essential to know in detail the regional labor market, its degree of dynamism and security and, finally, the demographic trends.