Measures, Public Private Partnerships and Benchmarking
Edited by Jaap de Koning
Chapter 9: The Reform of the Dutch Public Employment Service
Jaap de Koning 1 INTRODUCTION The purpose of this chapter is to give a description of the new Dutch delivery system for active labour market policy (ALMP), why it has been changed and what the results of the new system are. The main feature of the new system is the fact that a considerable part of the implementation of ALMP has been outsourced to private agencies that have to compete for the contracts. The new system was introduced in 20001 and follows the general trend in Dutch society of delegating delivery of formerly public services to the private sector, or even completely privatizing them. Similar reforms have taken place in public transport and other areas. The general idea is that private provision of goods and services leads to greater eﬃciency and higher quality compared to provision by government agencies. The potential advantage of markets is that they work without too much regulation. However, when it comes to the type of services that used to be or are still provided by the government, this is often not the case. Accessibility to all is often seen as an important criterion for these services. Health care can be given as an example. It is also the type of services where market imperfections tend to play an important role. In the case of health care, for example, it is clear that services should only be provided by competent service providers. This implies that private provision of such services is only considered feasible and...
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