From quasi‐markets to public–private networks: Employers' engagement in public employment services

Abstract

AbstractThis article explores the implications of creating a role for private‐sector partners in public employment services (PES), rather than creating quasi‐markets. It focuses on how the engagement of employers in public–private networks with local government can enhance employment opportunities for disadvantaged welfare recipients but may require a further shift in local public services. The theory relates to contractual arrangements versus network modes of public–private partnerships. Based on surveys among employers and welfare recipients, and interviews with politicians, managers, and frontline workers in five Dutch municipalities, the article provides detailed evidence on innovative and promising cases of public–private networks in employment services. It shows that, under certain conditions, vulnerable jobseekers are better served by a network involving employers than by the standard supply‐driven approach that predominates in quasi‐markets. It also reveals that public and private partners have yet to fully embrace the implications of the network approach for their respective roles. The article contributes to the theoretical debate on public–private partnerships in the context of PES, reflecting on public–private networks as a policy design that could help improve employment opportunities for disadvantaged jobseekers.