Flexible Working Patterns and Equal Opportunities in the European Union Conflict or Compatibility? Diane Perrons LONDON SCHOOL OF ECONOMICS INTRODUCTION Within the European Union policy discourse, flexible employment represents a means of reducing unemployment, increasing economic and social cohesion, maintaining economic competitiveness and enhancing equal opportunities between women and men. These issues, together with economic integration, are key objectives of the European Commission. They are to be achieved, however, without undermining the overall growth strategy (European Commission, 1996a). The main purpose of this article is to consider whether one of the key employment strategies (flexible working) is compatible with one of these policy objectives - equal opportunities - both conceptually and in practice. The article begins by discussing the role of flexible working in EU policy-making. Flexible working is said to facilitate the reconciliation of paid work and family life and by so doing, contributes to equal opportunities. To evaluate this claim the meanings of the two main concepts, flexible working and equal opportunities, are explored in the first section. The second section explores the scale, dimensions and gender balance of numerical flexibility in EU labour markets. In the third section, which forms the main part of the article, a case study of flexible working in the retail sector in six European countries is presented. The purpose of the The European Journal of Women's Studies Copyright © SAGE Publications (London, Thousand Oaks and New Delhi), Vol. 6,1999: 391^18 [1350-5068(199911)6:4;391-418;010242] 392 The European Journal of Women's Studies 6(4) case study is to explore whether flexible working in practice contributes towards achieving equal opportunities as it has been understood within the official discourse of the EU. In the final section, some recommendations are made about how flexible working might be developed, so that the equal opportunities objectives have a greater prospect of realization. FLEXIBLE WORKING AND EQUAL OPPORTUNITIES Employment flexibility is particularly associated with neoliberalism and deregulation and thus with Britain, rather than member states more closely associated with corporatism or social democracy (Esping-Andersen, 1990). During the 1990s, however, employment flexibility has been more widely advocated and it is expanding in all EU countries. Although different national working time regimes exist and employers face very different constraints on the ways they can organize working time (Rubery et al., 1998), it is important to recognize that legislation has been introduced in many European countries in order to increase flexibility. For example, changes to employment legislation were made in France (from 1982), Greece (from 1992), Spain (from 1980 with further reforms in 1997) and Germany (from 1994) (Perrons, 1998). There is, accordingly, some convergence in labour market policies in this respect. Most of this legislation permits employment flexibility by allowing variations in weekly hours. Measures to facilitate part-time work in Greece and temporary work in Spain have also been introduced and expanded. In the UK, legislative changes have not been necessary owing to the low initial level of regulation (Hakim, 1990; Bruegel and Perrons, 1998). Furthermore, current EU economic policies and policy statements in relation to competitiveness, expanding employment and equal opportunities all emphasize the importance of employment flexibility, sometimes referred to as 'employability' and 'adaptability' (European Commission, 1993, 1996a, 1997a). However, flexible working practices must be differentiated and analysed before any general statements about their desirability or impact on employment, competitiveness and equal opportunities can be made. Meanings of Flexible Working There are so many different kinds of flexible working, that what is meant by flexible working is itself flexible. Nevertheless, two analytically distinct forms can be defined: numerical or defensive flexibility and functional or adaptive flexibility (Atkinson, 1985; Bosch, 1995). Numerical flexibility refers to the ability of an organization to match its labour force to the scale of consumer demand, while adaptive flexibility refers to the Perrons: Flexible Working Patterns and Equal Opportunities 393 ability of firms and their employees to respond to the changing composition of consumer demand. The former requires numerical adaptation which is obtained by using a wide variety of working patterns, including part-time, flexi-time, annualized hours, zero hours, temporary and seasonal contracts1 (see Dex and McCulloch, 1995). Adaptive flexibility, by contrast, requires employees to be polyvalent and able to switch between different tasks and adapt to new products and processes in response to changing consumer tastes. This form of flexibility has progressive connotations, as it implies a varied working life with continuous retraining and life-long learning, and it is this form of flexibility that is often implicitly referred to in official discourse (see European Commission, 1997a). Functional flexibility also increases the possibility of numerical flexibility, as employees with polyvalent skills are able to substitute for one another. This form of flexibility is difficult to identify in practice and measures on a comparable European scale do not exist. What is clear, however, is that numerical flexibility, with more ambiguous connotations, has been increasing in practice. Furthermore, it is this form of flexibility that has been associated with increasing feminization and precariousness in the labour markets of the EU (Rodgers and Rodgers, 1989; Meulders et al., 1994,1997; Casey et al., 1997). Flexible Employment and European Union Objectives Flexible employment is said to contribute to the broader objectives of growth, cohesion and equal opportunities of the EU. The EU has three key objectives (or 'three pillars'). The Single Market, Monetary Union and Economic and Social Cohesion (European Commission, 1997a). The first two objectives are designed to increase economic growth by increasing efficiency and competitiveness. The cohesion objective, including equal opportunities between women and men, is designed to ensure that all member states and citizens benefit from the anticipated welfare gains deriving from the increased growth. By increasing firm competitiveness, reducing unemployment and by enabling parents to reconcile paid work and family life, flexible working is expected to contribute to the realization of all these objectives (European Commission, 1996a). The EU tends to look towards the US model of development, where undoubtedly flexible employment has contributed to the expansion of employment. However, less attention is paid to negative aspects of flexibility, such as the nature of the employment being created and how flexible labour markets are also associated with an expansion of the working poor.2 Although the contradiction between employer demands for flexibility and workers' needs for security has been recognized as a policy challenge, the adverse implications of flexibility for equal opportunities have been less widely recognized in the EU. Some forms of 394 The European Journal of Women's Studies 6(4) flexibility, such as annualized hours and term-time only working, can provide certainty over annual incomes, but for those on extremely variable hours and temporary contracts, incomes can be both low and insecure. This could be one reason why these forms of flexibility are disproportionately female, since implicitly, dependency on a second source of income (whether the state or a primary [male] breadwinner) is assumed. However, there are also negative implications for male employment, because flexible employment increasingly becomes the main source of new employment (Gregg and Wadsworth, 1995; European Commission, 1997b). In the light of these issues it is important to examine flexible employment in practice and to consider the longer-term implications, rather than just assume that flexibility, in all its forms, will necessarily contribute towards the EU objectives. The emphasis in this article, however, is to consider the extent to which flexible employment, in practice, is compatible with the EU's equal opportunities objective. Equal Opportunities Policies in the European Union First of all it is important to consider the place of equal opportunities policies within EU policy discourse and, specifically, the meaning of equal opportunities policies under the EU's mainstreaming initiative. Equal opportunities is one of the issues covered under Agenda 2000, which specifies the main goals and expenditure requirements of EU policy for the period 2000-6. This document, and the policies contained within it, is due to be approved by the Commission towards the end of 1999. Agenda 2000 draws upon issues raised in the Cohesion Report of 1996 (European Commission, 1996a) and consolidates many of the previous objectives under the Structural Programmes. Specifically, equal opportunities forms part of Objective 3, which is a horizontal objective concerned with expanding labour market opportunities for excluded groups, including women, and with fighting unemployment (European Commission, 1997b; Hall, 1998). Within this objective, adaptive flexibility is implicitly assumed. Emphasis is placed on training and life-long learning which are assumed to promote adaptation to labour market changes through occupational mobility (European Commission, 1997b).3 Equal opportunities is also included within one of three remaining EU initiatives, the human resources initiative. These initiatives have been reduced from thirteen to three, the other two being concerned with border areas and rural areas (European Commission, 1997b; Hall, 1998). Furthermore, equal opportunities is one element of the action plans that each member state has to put forward under the European Employment Strategy consolidated by the Employment Title in the Treaty of Amsterdam (European Commission, 1998). The other elements Perrons: Flexible Working Patterns and Equal Opportunities 395 were entrepreneurship, employability and adaptability, the last being interpreted as working time flexibility with security (Trades Union Congress, 1998). Thus the concept of equal opportunities has been present in EU treaties since the very beginning and continues to be emphasized as a key objective. The high profile given to equal opportunities was strengthened when it was mainstreamed in 1996. It is important therefore to examine what is understood by equal opportunities in this policy discourse. In relation to equal opportunities, mainstreaming is said to involve not only the promotion of measures to assist women but the application of a gender perspective and analysis to all policies, programmes and actions of the Commission (European Commission, 1997b). The objective is to 'introduce measures aimed at adapting the organisation of society to a fairer distribution of men's and women's roles' (European Commission, 1997b: 15-16). Specifically T)y adapting the organisation of work to help women as well as men reconcile family and working life and to provide more flexible employment solutions, again for both men and women' (European Commission, 1996b: 5; emphasis added). Thus 'the promotion of equality must not be confused with the simple balancing of statistics: . . . but it is a question of promoting long lasting changes in parental roles, family structures, institutional practices and the organisation of work and time' (European Commission, 1996b: 5). By referring to the promotion of 'long lasting changes in parental roles', the EU is expressing a very radical position, well beyond the liberal agenda. It seems to imply that some of the structural barriers to gender inequality will be addressed and thus overcomes some of the limitations that have been identified in relation to past EU initiatives. For example, they have been criticized for being concerned only with rights of people in employment (Hantrais, 1995; Duncan, 1996) and for ignoring the interests of migrant women in the EU (Sales and Gregory, 1996; Rees, 1998). Furthermore, they have been criticized for being formulated around the lowest common level of rights, which, in some cases, ironically has led to national and regional states having to abandon their more progressive equal opportunities measures under the EU equal opportunities legislation (Hoskyns, 1996). It is certainly fair to point out that despite the intention to bring about a more even division of paid and domestic work between women and men and to bring about lasting changes in parental roles, the only policy measures introduced so far are very limited. The Parental Leave Directive was ratified in July 1996. It specifies that a minimum period of three months can be taken until a child reaches a certain age (the recommendation is eight years) and that further leave should be made available for urgent family circumstances. However, there is no requirement that this leave is paid and there is no specification as to how it should be treated for 396 The European Journal of Women's Studies 6(4) social security reasons (European Commission, 1997a). Similarly, the idea that the leave be non-transferable, so that some has to be taken by fathers, is at the discretion of the member states. So far there has been no directive on childcare. The Directives on Part-Time and Working Time indirectly relate to equal opportunities issues within paid employment and are progressive in this respect, although they do not directly address the wider goals of the mainstreaming initiative. The objectives of this article are simply to examine the extent to which flexible employment contributes towards equal opportunities, given the meaning that equal opportunities has within the European policy discourse. This article is not really concerned with addressing the wider limitations of the equal opportunities policies. Having set the context, the next section outlines the quantitative extent of flexible working practices in the EU, and experiences of flexible workers are discussed in the subsequent section. FLEXIBLE WORKING IN THE EUROPEAN UNION Since the 1980s, the female employment rate, especially among prime age workers, has increased dramatically, and at a faster rate than men's, throughout the EU, with the exceptions of Sweden and Finland (Rubery et al., 1996; Gonäs, 1998) and so in one sense gender inequalities have narrowed. However, much of this employment growth is flexible (Rubery et al., 1998). Part-time jobs increased by 9 percent while full-time and the overall number of jobs fell by 6 percent and 3 percent respectively. Women, who now account for over 40 percent of the European labour force, are overrepresented among the flexibly employed; 83 percent of part-time workers, 70 percent of family workers5 and 50 percent of the temporary workers6 in the EU are women. Part-time work accounted for 32 percent of female, but only 5 percent of male, employment in 1996 (Eurostat, 1997). Flexible work and precarious working practices are particularly associated with economic restructuring and the relative expansion of the service sector.7 One-third of women employed in service jobs in the EU work part-time. In the Netherlands, where the highest rates of part-time working are found (67 percent of all women who work), 68 percent of all service jobs are filled by part-time women workers (European Commission, 1997a). However, flexible working takes different forms between the different EU countries, and the extent of women's overrepresentation among the flexibly employed also varies. Furthermore, both the extent and meaning of part-time work, one of the main forms of flexible working, also vary significantly between the EU countries (Plantenga, 1997). Taking the workforce as a whole, part-time work is increasing but it is Perrons: Flexible Working Patterns and Equal Opportunities 397 still much less prevalent in the Mediterranean countries (5 percent in Greece, and no more than 10 percent anywhere else in the Mediterranean, as compared to 38 percent in the Netherlands [Eurostat, 1997]). Until recently in these countries, the cost of employing part-time labour was comparatively high, and formal part-time work was strongly resisted by the trade unions. Even so, female part-timers exceed male part-timers, with Spain having the highest proportion of female workers working part-time (18 percent in 1996) among these countries (Eurostat, 1997). Nevertheless, family and informal8 work are also widespread (Stratigaki and Vaiou, 1994; Vaiou, 1996; Baylina and Garcia-Ramon, 1998), and, where formal employment is highly regulated, as for example in Spain, there has been an increase in fixed-term, temporary working. Fifteen percent of women workers are on fixed-term contracts in Spain compared with 10 percent in 1990 (European Commission, 1997a). In Belgium, Germany and Luxembourg, female part-time employment is about 10 times the male figure but, even so, the proportion of women working part-time is lower than in the Netherlands, Sweden or the UK. Part-time workers in the EU are also more likely than full-timers to be on temporary contracts (19 percent as opposed to 10 percent for full-time employees). Furthermore, part-timers, especially in Denmark and Sweden, are more likely to be working at the weekend than full-timers, but there is considerable variation between member states on the link between part-time work and unsocial hours. In Denmark, the Netherlands and the UK, between 25 percent and 28 percent of part-timers work fewer than 11 hours a week, although, in contrast to the UK, a relatively high proportion of Dutch and Danish part-time workers also work over 30 hours (Eurostat, 1997). In Sweden, part-time work tends to be longer (43 percent working between 21 and 30 hours) and many part-time workers simply work a reduced working day to which all parents with dependent children are entitled, although women disproportionately take up this entitlement (Jonung and Persson, 1993). In France parents are also entitled to work a reduced day, but this opportunity has not been institutionalized to the same extent as in Sweden, so workers are often discouraged from doing so, especially in the private sector (Fagnani and Déscolonges, 1998). Women's overrepresentation in flexible work is consistent throughout the EU member states, albeit to different degrees. There is no a priori reason why these new forms of employment should be predominantly female. In the context of a childcare deficit, flexible working arguably facilitates the reconciliation of paid work and family life, by providing jobs of varying hours and at varied times, when children are in school or when family help might be available. In reality, whether flexible working contributes towards equal opportunities in this way depends very much on the specific terms and conditions of employment for any employee. 398 The European Journal of Women's Studies 6(4) These conditions not only vary considerably between countries (Plan-tenga, 1995) but also within countries and within the same firm. Furthermore, whether flexible working contributes to reconciling paid work with family life also depends on the meaning of 'family life'. For two-parent households, flexible working patterns sometimes permit both partners to carry out paid work. However, increasingly, for at least one partner, this means working unsocial hours (see Ferri and Smith [1996] and Harkness [1999] on the UK), which have also been increasing throughout the EU (Rubery et al., 1998). In reality, however, the rationale for flexible working and the relative balance of benefit between employer and employee varies between countries. In 1994, a European-wide survey carried out by the European Foundation for the Improvement of Living and Working Conditions found that part-time work was introduced in response to employee wishes in 36 percent of establishments; in only 2.3 percent of cases could the same be said of fixed-term contracts. In 41 percent of cases, the firm initiated part-time work (Bosch, 1995). Nevertheless three-fifths of female part-time workers (compared to one-third of men) in the EU in 1994 expressed a preference for part-time work (European Commission, 1997a). In the UK, for all part-time employees over 25 years old, 84 percent said that they did not want a full-time job in 1996 compared with 12 percent in Belgium and 4 percent in Spain. However, part-timers in Sweden (57 percent), Denmark (69 percent) and the Netherlands (88 percent) expressed a similar preference to those in the UK (Eurostat, 1997). Although employee preferences for part-time work are often made in the context of inadequate and /or costly care provision and with little awareness of the adverse effects on lifetime earnings, the desire to carry out care work should not simply be dismissed. At the same time there is no a priori reason why the 'choice' for reduced hours should simultaneously, if not intentionally, also be a choice for limited job opportunities. Despite legislation and equal opportunities policies, promotion opportunities, in reality, seem to be limited for part-time workers. Ways of reconciling paid work and family life need to be found which do not rest on and reinforce women's subordinate position in the workplace. Whether or not flexible working is necessary for the reconciliation of paid work and family life depends on the availability of care, which varies considerably throughout the EU. There are also considerable differences in the extent to which mothers with dependent children participate in paid work, although in all countries this figure is increasing. However, there is no direct relationship between the amount of care available in any society and the employment patterns of carers (Meulders et al., 1993; Rubery et al., 1998). Figure 1 portrays the working patterns of mothers with dependent children in the EU. The Netherlands has the highest rates of part-time Perrons: Flexible Working Patterns and Equal Opportunities 399 FIGURE 1 Working Patterns of Mothers with Dependent Children ^/////////// cf <^ r ^ ^^ ^ v jjs* ^ ^ I Full-time -0^ Part-time