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“Forced” but renewed welfare

An article has been published that looks at the origins and evolution of corporate welfare

 

 

Welfare above all, or almost. The subject is extremely topical at the moment (and not just because of the Covid19 pandemic, which has certainly increased its role and importance). As is always the case, we need to put the main points of the issue into order. We need a compass that we can use to orientate ourselves and act better. Veronica Pagan and Claudia Peiti’s paper, which was published in the third issue of Economia Pubblica in 2020, takes on this role effectively.

“Corporate welfare as a business community” aims to analyse the current corporate welfare tools and the measures introduced at various regulatory levels. It is a kind of “status report” that attempts to bring together the forms of corporate welfare, current regulations and development prospects, looking at the difficult period that the economy and business are experiencing in particular.

The authors explain that the research covers the various meanings of corporate welfare. The so-called second welfare, work-life balance factors, the goods and services that are most relevant to corporate culture (fringe or flexible benefits) and finally, the more innovative instruments that are associated with a more recent welfare concept (welfare extended to the external community).

After giving a snapshot of the different forms of welfare, Pagan and Peiti reflect on the role of bargaining, naturally noting its growing significance, as well as that of corporate agreements and the role of collective bargaining institutions.

This leads to a section looking at the comparison between corporate welfare and the current situation. Special attention is paid to the public utility sector, especially in light of the ongoing health emergency.

Pagan and Peiti note that the spread of Covid19 has “forcibly accelerated” the adoption of instruments that were already part of the corporate welfare policy spectrum, but had previously been limited to a minority of companies. Finally, the report’s recommendations are to continue to monitor the evolution of the corporate welfare situation, follow its growth and facilitate its role as an instrument capable of designing a new way of working and of being part of a business community.

Il welfare aziendale come comunità d’impresa (Corporate welfare as a business community)

Veronica Pagan, Claudia Peiti

Economia Pubblica, 2020 Issue3