Flexicurity and Your Online Wholesale Business

This is a guest post by Catherine Turner. If you want to guest post on this blog, check out the guidelines here.

Flexicurity is a blend of two words, flexibility and security. The term was coined in the last decade of the 20^th century by the social democratic Prime Minister of Denmark, Poul Rasmussen. Flexicurity is basically a combination of flexibility in labour market and security for workers. The Government of Denmark identifies three basic components of flexicurity namely labour market flexibility, social security and a pro-active labour market policy containing rights and duties for the unemployed. Similarly the four basic components of flexicurity identified by the European Commission are flexible contractual arrangements, complete lifelong learning, active labour market policies and modern social security systems providing income support during employment transitions.

The current state of flexicurity is such that the European Commission monitors the implementation of flexicurity strategies by the member states in the framework of European Employment Strategy. Studies have found hardly any convergence among flexicurity pathways in the member states. The approaches of member states in employing the principles of flexicurity are quite different.

The impact of flexicurity on your online wholesale business or trade is debatable. The modern concept of flexicurity is believed to favour businesses at the expense of workers. It is believed that flexicurity places unnecessarily great emphasis on relaxing the rules for hiring and firing, bringing an end to labor standards, on ending job protection and setting tough conditions for social support. It is therefore believed that flexicurity allows businesses to minimize the quality of jobs and work contracts.

Flexicurity therefore has a positive impact on your online wholesale business. The concept of flexicurity simply tries to balance the employers’ need for flexibility with the employees’ need for security. Hence it provides you with adequate flexibility in your online wholesale business. Flexicurity enables you to operate a flexible company. Flexicurity provides such opportunities to businesses like numerical flexibility and functional flexibility. Numerical flexibility includes such thing as temporary contracts, over-time and part-time work, while functional flexibility includes job rotation, outsourcing, wage flexibility and flexible remuneration. Flexicurity is meant to increase the competitiveness of your company.

Flexicurity therefore gives you a good deal of benefits if you are running an online wholesale business or an ecommerce business, while flexible companies are not considered good for workers. Although flexicurity tries to conciliate the needs of both the employers and workers, it is often believed to be more advantageous for the employers i.e. companies and businesses. So as an online wholesale businessman, you are certain to get considerable advantages from the existing flexicurity.

Catherine Turner is a Wholesale expert and has a good understanding of supply chain management. She writes frequently on the topics related to wholesalers, distributors, dropshipper and trade suppliers.

Related Posts:

• Coming Up with Customer Retention Strategies to Become a Successful Wholesale Supplier
• Your B2B Clients Are Your Goldmine
• How to Leverage Wholesalers to Grow Your Online Business
• What issues might small businesses face while buying and selling wholesale?