Integration and social cohesion: The case of the Netherlands

Abstract

The unemployment rate for most ethnic minorities in the Netherlands is higher than that of the host population. It is feared that ethnic minorities' low labour market participation will constrain the overall social cohesion of Dutch society. Increased labour market participation of ethnic minorities is therefore considered as the most effective way to reduce the number of claimants and increase their social integration. The two questions to be addressed in this paper are to what extent the labour market is accessible for ethnic minorities in the Netherlands and whether their increased participation in work increases the level of general socio-economic welfare. The available data suggest that social exclusion on the job market continues to be a widespread practice. In most cases increased labour participation has succeeded only due to the creation of low-paid jobs in the public sector. However, in these echelons increased participation hardly leads to an increase in individual welfare. The labour market intervention has thus resulted in the emergence of a social stratum of working poor. It is questionable whether this outcome strengthens intended social cohesion.