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The EU: giving and taking opportunities for flexicurity policies Mijke Houwerzijl Abstract: Since the 1980’s, (Western) European countries are faced with conflicting challenges: an external challenge to keep up their economic competitiveness for the future and an internal challenge to preserve their social achievements of the past. They have to boost economic growth and employment on the one hand and social security and cohesion on the other hand. In the field of labour market policies these challenges are often translated in demands for flexibility (mainly from the employers side) and demands for security (mainly from the workers side). Is it possible to reconcile demands for flexibility and security, or, even better, to make win-win combinations of them? Over the past decade, labour market policies in countries such as Denmark and the Netherlands have become known for it. Such policies or social models are more and more labelled with the term ‘flexicurity’. However, important social policy and labour market issues are not under exclusive authority of European nation states anymore. First of all, ‘Europeanisation’ of the labour markets takes place on the policy-level. The pursuit of a right balance between flexibility and security on the labour market, has also reached this European stage and is especially manifest within the European Employment Strategy (EES). ‘Flexicurity’ is mentioned in guideline 21 of the newly integrated EES-guidelines. Moreover, the European Commission recently published a Green Paper on the role labour law might play in advancing a ‘flexicurity’ agenda. Secondly, ‘Europeanisation’ of the national labour markets takes place in practice as a result of increasing mobility of workers in the gradually expanding European Internal Market of goods and services. This development is accelerated by the recent enlargement of the European Union. It appears that tensions between the opportunities for flexicurity policies and the limits thereof are emerging at the level of the Member States. Especially the growing use of (posted) workers from one (new) Member-State to provide services in another (old) Member-State is perceived as putting pressure on active labour market policies targeted at vulnerable groups of domestic workers in the receiving States. The question of service provision and its implications were very strongly debated recently in France, Germany, Belgium and the Netherlands regarding the so called (draft) Services Directive. It was claimed that this ‘Bolkenstein’ Directive would permit unregulated or badly regulated movement of service providers around the Union into the Member States. These service providers would undermine national wage standards and working conditions. This paper tries to answer the following question: What are the legal and empirical consequences of service provision liberalisation on the possibilities for flexicurity policies on the EU- and national level? The original aspect of this paper is that it brings together both the examination of flexicurity policies on the EU- and national level and the aspect of cross-border movement of services workers in the EU. This is necessary, because the separation of these two important areas of research results in an uneven understanding of the field. The paper engages two levels of policy and regulation. Firstly, (examples of) the national level (in countries mentioned above); secondly, the EUlevel. It consists of a socio-legal comparative study of legal and political developments giving and taking opportunities for flexicurity policies. By looking at the developments mentioned at several governance levels, this paper provides arguments relevant for both the scholarly and the public policy debate about how to find a balance between the ongoing demands for flexibility and security on European labour markets.