, NO 11 empowerment, job creation, and employment within disadvantaged communities (Daves 2001). SMES have a valid claim to heightened relevance,
and strategies have been developed world wide to expand and integrate this sector into the mainstream of economic activities (Luiz, 2002).
and employ 54 per cent of all formal private sector employees (informal employment). According to Terziovski (2010) Small and Medium enterprises (SMES) in the manufacturing sector make a significant contribution to economic growth,
'In Jacques Delors'white paper‘Growth, Competitive Strength, Employment. Towards the 21st Century: Roads and Challenges'potentially important role of‘Cultural Industry'in our economic system was pointed out 7. When accepting his professorship in‘Cultural Industry'at the Erasmus University, Rotterdam,
and unemployment, gives rise to some economists assuming that structural changes in which knowledge plays an important role are under way in our economy.
The key relationships, Report of the Technology and Economy Programme, OECD, Paris, 1992.7 European commission, Growth, Competitive Strength, Employment.
whose group employment exceeds 500 employees and is located outside the Centre region. By holding concurrently two criteria, the size of the firm and the ownership status, we avoid the classification discrepancies described by Tether et al.
which in turn can yield employment gains and contribute to the general economic health of a state, region or nation 12.
Participants OF THE DIALOGUE 33 Employment/Labor unions Government Regulationsngosacademic institutions Think tanks/Research groups Customerssuppliersreligious groupsindigenous peoplesyouth/Women Media Who needs this innovation Who is directly responsible for decisions in the issues
It underpins employment, economic growth and global exports, while providing citizens with resources and mobility that are essential to the quality of life.
'which involves the elaboration and adoption of new products, methods and processes alongside the creation of new industries and employment,
(per billion euros of GDP) SMES innovating in-house Business R&d expenditures New doctorate graduates Employment in knowledgeintensive activities Non R&d innovation expenditure Youth with upper secondary
between 1995 and 2004 already 7%of the GDP growth could be attributed to R&d activities National Science Foundation 2007 EU Doubling of the R&d expenditure of a company can increase the employment of given company by 2
research and development organisations, enterprises, government institutions, organisations funding innovation developments, universities, high schools and vocational training establishments, research hospitals, libraries, historical archives, museums, public education
1) The strengthening of the higher education required for enhancing the number of research and development workplaces. 2) The development of the vocational training for creative, innovative professionals. 3) The strengthening the interdisciplinary approach in higher education. 4) The generalization and strengthening
ERDF, ESF, normative funding, KTIA NATO procurements, procurements related to major challenges Contribution relief in case of employment of researchers;
innovative procurement Contribution relief in case of employment of researchers; Tax incentives and tax return qualification, legislative rationalisation JEREMIE export guarantee;
ERDF, KTIA Innovative procurement Contribution relief in case of employment of researchers; Tax incentives and tax return;
Training support ERDF, KTIA, EKD--Contribution relief in case of employment of researchers; Tax incentives and tax return qualification legislative rationalisation---Support in line with smart specialization;
distortion of tax benefits in the less-favoured areas Innovative supplier SMES Support for developing workplaces ERDF, KTIA--Contribution relief in case of employment of researchers;
joint RDI projects with the private sector ERDF, KTIA, sectoral budgets Innovative procurement Contribution relief in case of employment of researchers;
Job creation Effects of R&d Expenditures: Are High-tech Sectors the Key? IPTS WORKING PAPER on CORPORATE R&d AND INNOVATION-No. 10/2011 December 2011 http://iri. jrc. es/papers/WP%2010-2011. pdf Einiö
The growth potential of national economy providing two-thirds of the employment is weak, it is not capable of technological development by itself,
The aim of the European Social Fund (ESF) is to facilitate the balanced economic and social development with the support of those policies of the member states that aim at achieving full employment,
improving the quality of work and productivity, advancing social inclusion and reducing national, regional and local inequalities in the employment.
The current rules are included in regulation (EC) No 1083/2006 determining those types of measures (convergence, regional competitiveness and employment and European Territorial Co-operation), according to
starting knowledge-intensive enterprise which can produce fast growth small with a small investment in capital or Labour policy:
2012 Global Entrepreneurship Monitor July 2013 Annual Employment Survey Forfás July 2013 Ireland's Competitiveness Performance 2013 Forfás May 2013 Making
September 2012 Annual Employment Survey 2011 Forfás August 2012 National Skills Bulletin 2012 NCC July 2012 Monitoring Ireland's Skills Supply
commentary on Europe's economy focuses on its precarious financial system and anemic employment recovery since the Great Recession.
While employment presents a formidable challenge in many European countries, sacrificing productivity for jobs that is, deliberately creating or maintaining inefficiencies is not the answer.
& INNOVATION FOUNDATION JUNE 2014 Firms with high levels of ICT are more likely to grow (in terms of employment)
and expanded employment over the past year. 61 Castiglione measures the impact of ICT investments in Italian manufacturing firms
and purportedly leading to unemployment. 1 The main problems with this view are that productivity is clearly not speeding up,
and that productivity growth has been shown clearly to have no negative impact on either unemployment or workforce growth. 1 Reality,
and other Mediterranean countries stand out as having an unusually high proportion of their employment in small firms.
This explains the overriding focus in Europe on job creation and the concern that productivity growth will conflict with job growth.
as the top priority. 156 As long as European policymakers continue to place job creation above productivity it will be difficult to close the productivity gap with the United states. To be clear, in the aftermath of the Great Recession and the relatively anemic job growth in Europe (and the United states),
job creation is important. But productivity growth is just as important, and will become even relatively more important as the years go on.
It's a lot harder to support a change in laws that would lead organizations to restructure work through ICT that might lead to some layoffs.
Philipp Koellinger, Impact of ICT on Corporate Performance, Productivity and Employment Dynamics (European commission Enterprise and Industry Directorate General, December 2006), http://ec. europa. eu
Removing Barriers to Growth and Employment in France and Germany (Mckinsey Global Institute, March 1997), http://www. mckinsey. com/insights/europe/removing barriers to growth and employment in france and germany. 117.
Murat Seker, Rigidities in Employment protection and Exporting, World Development 40, no. 2 (2012): 238 50.181.
or within their organisations, covering both technological and non-technological innovations and Employment in fast-growing firms of innovative sectors.‘
‘Economic effects'includes 5 indicators and captures the economic success of innovation in Employment in knowledge-intensive activities,
the place holder for the 25th indicator has been filled in with Employment in fast-growing firms of innovative sectors.
indicator on employment in fast-growing firms of innovative sectors. This last indicator is added to the Innovators dimension in the IUS measurement framework.
By adding data on Employment in fastgrowing firms of innovative sectors there are positive rank changes for Estonia, Ireland and Spain and negative rank changes for Austria, Cyprus and Portugal (cf.
2008,2010 3. 1. 2 SMES introducing marketing or organisational innovations as%of SMES Eurostat (CIS) Eurostat (CIS) 2004,2006, 2008,2010 3. 1. 3 Employment in fast-growing
2010 Economic effects 3. 2. 1 Employment in knowledge-intensive activities (manufacturing and services) as%of total employment Eurostat Eurostat 2008 2012 3. 2
This also results in faster employment growth linked to innovation activities. Cyprus, Slovenia and the UK are the weakest performing Innovation followers
marketing or organizational innovations, Employment in knowledge-intensive activities and the Contribution of medium and high-tech product exports to the trade balance have been the main drivers of the country's strong growth performance.
and innovation is having positive effects on exports and employment. For Finance and support(-0. 5%)and Firm investments(-1. 4%)growth has even been negative,
and Economic effects where it has best performance in two indicators (Employment in knowledge-intensive activities and License and patent revenues from abroad).
and Employment in knowledge-intensive activities and innovation performance has been improving rapidly at an average annual growth rate of 5. 5%.others (9. 4%compared to 11.7%for the EU)
Employment in knowledge intensive-services and Knowledge-intensive services exports. Relative weaknesses are in Community designs and Non-R&d innovation expenditures.
Growth declines are observed in Venture capital investments, Non-R&d innovation expenditures, Community designs and Employment in knowledgeintensive activities.
Non-R&d innovation expenditures and in Employment in knowledge-intensive activities. Very high growth is observed for Community designs
No data for Venture capital investments, PCT patent applications in societal challenges and Employment in fast-growing firms of innovative sectors.
Employment in knowledge-intensive activities and Youth with upper secondary level education. Relative strong weaknesses are in Community designs, Community trademarks and R&d expenditures in the business sector.
PCT patent applications in societal challenges and Employment in fast-growing firms of innovative sectors. 76 Innovation Union Scoreboard 2014 Turkey is a Modest innovator.
The IUS 2014 for the first time included an indicator on Employment in fast-growing firms in innovative sectors.
E g. for Spain the drop in 1 rank compared to the IUS 2013 can be explained by a combination of a positive effect adding the indicator on Employment in fast-growing firms in innovative sectors
Adding the indicator on Employment in fast-growing firms in innovative sectors has an effect on 6 countries.
6 12,7 18,1 17,8 Economic effects 3. 2. 1 Employment in knowledge-intensive activities 13,9 15,2 8, 3 12,5 15,5 15,8
2 14,3 14,6 17,9 20,4 15,8 13,3 16,6 16,7 18,0 Economic effects 3. 2. 1 Employment in knowledge-intensive activities 13,9
, 2%0, 0%1, 6%Economic effects 3. 2. 1 Employment in knowledge-intensive activities 0, 7%0, 3%0, 2
%-0, 5%Economic effects 3. 2. 1 Employment in knowledge-intensive activities 0, 7%1, 1%-1, 3%0, 4%2
Eurostat (CIS) Eurostat (CIS) 3. 1. 3 Employment in fast-growing enterprises in innovative sectors(%of total employment) The sum of sectoral results for the employment in fast-growing enterprises
Total employment in fast-growing enterprises in the business economy (without financial sector) The indicator shows the degree of innovativeness of successful entrepreneurial activities.
Eurostat Eurostat 3. 2. 1 Employment in knowledgeintensive activities(%of total employment) Number of employed persons in knowledge-intensive activities in business industries.
as all NACE Rev. 2 industries at 2-digit level where at least 33%of employment has a higher education degree (ISCED5
or ISCED6) Total employment Knowledge-intensive activities provide services directly to consumers, such as telecommunications, and provide inputs to the innovative activities of other firms in all sectors of the economy.
The Economic effects dimension includes 5 indicators and captures the economic success of innovation in employment
indicator N/A n/A Economic effects Economic effects 3. 2. 1 Employment in medium-high
& high-tech manufacturing as%of workforce---EIS 2009 indicator no longer used 3. 2. 2 Employment in knowledge-intensive services as%of workforce---EIS 2009 indicator no longer used---3. 2. 1
Employment in knowledge-intensive activities (manufacturing and services) as%of workforce New indicator Eurostat 2008,2009
and compelling (young innovative firms need to grow to create employment), mobilizing (it stresses the role of business in innovation), analytically very relevant,
Not yet available 3. 2. 1 Employment in knowledge-intensive activities as%of total employment Numerator:
as all NACE Rev. 2 industries at 2-digit level where at least 25%of employment has a higher education degree (ISCED5A or ISCED6).
Total employment. Rationale: Knowledge-intensive activities provide services directly to consumers, such as telecommunications, and provide inputs to the innovative activities of other firms in all sectors of the economy.
The indicator on knowledge-intensive activities replaces EIS 2009 indicators 3. 2. 1 on employment in medium-high
and hightech manufacturing and 3. 2. 2 on employment in knowledge-intensive services. The indicator is correlated highly with the EIS 2009 indicator on knowledgeintensive services but not with the EIS 2009 indicator on medium-high and high-tech manufacturing. 3. 2. 2 Medium and high technology product exports
and are generally a source of high value added and well-paid employment. Data source: UN Comtrade/Eurostat 3. 2. 3 Knowledge-intensive services exports as%of total services exports Numerator:
or process innovations CH---3. 1. 2 SMES introducing marketing or organisational innovations DE DE DE--3. 2. 1 Employment in knowledgeintensive activities LU
3. 2. 1 Employment in knowledge-intensive activities as%of total employment Employment in knowledge-intensive activities 05 10 15 20 25 TRROLT BGPT
Luxembourg The indicator on knowledge-intensive activities replaces the European Innovation Scoreboard indicators on employment in medium-high and high-tech manufacturing and employment in knowledge-intensive services.
Knowledgeintensive activities are defined as those industries where at least 33%of employment has a university degree (ISCED5 or ISCED6.
or close to 5%.Growth performance Employment in knowledge-intensive activities has been growing for the EU27 and for most countries.
The employment share has decreased with more than 1%annually in Cyprus, Hungary and The netherlands. Employment in knowledge-intensive activities-2%-1%0%1%2%3%4%NL CY HU BE HR MT IT PT FI TR GR
SK UK CZ EU ES DK DE SE CH AT FR BG IS NORO LT LU IE SI PL EE LV 51 3
and are generally a source of high value added and well-paid employment. Export shares are very high in Hungary,
Moreover, the literature shows that stricter regulation of labour is correlated with lower labour force participation and higher unemployment, especially of the young (Botero et al, 2004.
primarily in order to expand local high-tech employment. 33 3. Lessons for Innovation Policies 3. 1 Key inputs in the innovation process We have identified in our case studies,
many countries will move to absolute dependence on software in all major sectors of employment and economic prosperity, from health to banking to steelmaking.
Employment is seen as a transient state, something that may be necessary between entrepreneurial ventures. Thus there is a tradition of workers moving between start-ups, a mechanism
which provides both job security and mobility of the skilled workforce, to assure investors that the right skills are easily available.
which provides both job security and mobility of the skilled workforce, to assure investors that the right skills are easily available,
who are anxious to expand employment in high technology. The overall objective of the VINNVÄXT programme is to create‘winners'who can become internationally competitive in their respective fields within 10 years.
94 5. 3. 5 ICT Employment...96 5. 3. 6 Growth in ICT Employment...98 5. 3. 7 Turnover by ICT Firms...
100 5. 3. 8 Growth in Turnover by ICT Firms...102 5. 3. 9 Number of New Investments in the ICT Sector...
Agbuss 3 11 Location of ICT firms Agbuss 4 7 ICT employment Agbuss 5 13 Growth in ICT employment Agbuss 6 1265
Agbuss 3 1 Location of ICT firms Agbuss 4 1 ICT employment Agbuss 5 5 Growth in ICT employment Agbuss 6 82
60 Location of ICT firms Agbuss 4 8 ICT employment Agbuss 5 2 Growth in ICT employment Agbuss 6 82 Turnover by ICT
affiliates Agbuss 3 29 Location of ICT firms Agbuss 4 30 ICT employment Agbuss 5 31 Growth in ICT employment Agbuss 6
ICT Employment Table 73: Top ranking regions according to ICT employment indicator Rank NUTS3 Code Region name Indicator Value EIPE Rank 1 DEA22 Bonn, Kreisfreie Stadt
100 12 2 FR101 Paris 33 3 3 DE122 Karlsruhe, Stadtkreis 21 4 4 FI181 Uusimaa 12 9 5 UKI12
DEF0B Rendsburg-Eckernforde 2 138 30 DE21B Freising 2 57 Indicator description Indicator ID Agbus 5 Name of indicator ICT employment
measure It measures the total employment in ICT firms in the observed region Unit of measurement Region's share in the total employment by ICT firms located in the EU to a region's share in the EU population Definition of ICT dimension
Frequency of the ICT employment indicator values 1292 7 1 1 1 1 0 500 1000 1500 Frequency 0 20 40 60
80 100 ICT employment Table 74: Descriptive statistics of ICT employment indicator Number of observations Mean value Standard deviation Variance 1303 0. 21 3. 05 9. 28 98 5. 3. 6
Growth in ICT Employment Table 75: Top ranking regions according to Growth in ICT employment indicator Rank NUTS3 Code Region name Indicator Value EIPE Rank 1 PT171 Grande Lisboa
100 93 2 PL325 Rzeszowski 76 376 3 NL113 Overig Groningen 69 246 3 UKH31 Southend-on-sea 69 257 3 DEA1B
Kleve 69 317 6 NL327 Het Gooi en Vechtstreek 61 133 6 SE213 Kalmar lan 61 491 8 FI1A2 Pohjois
Anhalt-Bitterfeld 46 425 Indicator description Indicator ID Agbus 6 Name of indicator Growth in ICT employment What does it measure?
It measures employment growth in ICT firms in the observed region Unit of measurement Growth rate in%Definition of ICT dimension Based on NACE Rev. 2 Unit of observation NUTS 3 Source
Frequency of the Growth in ICT employment indicator values 2 7 7 23 1183 51 13 10 2 3 1 1 0 500
1000 1500 Frequency 0 20 40 60 80 100 Growth in ICT employment Table 76:
Descriptive statistics of Growth in ICT employment indicator Number of observations Mean value Standard deviation Variance 1303 30.50 5. 05 25.54 100 5. 3. 7 Turnover
Frequency of the Growth in ICT employment indicator values 1293 4 4 1 1 0 500 1000 1500 Frequency 0 20 40 60
Descriptive statistics of Growth in ICT employment indicator Number of observations Mean value Standard deviation Variance 1303 0. 21 3. 04 9. 23 102 5. 3
of ICT Scoreboard Headquarters Ownership of ICT Scoreboard affiliates Location of ICT Scoreboard affiliates Location of ICT firms ICT employment What does it measure?
affiliates located in the observed region It measures the number of ICT firms located in the observed region It measures the total employment in ICT firms in the observed region Unit of measurement Region's share in the total number of ICT Scoreboard
ICT Scoreboard affiliates located in the EU to a region's share in the EU population Region's share in the total number of ICT firms located in the EU to a region's share in the EU population Region's share in the total employment by ICT
7 Agbuss 8 Agbuss 9 Name of indicator Growth in ICT employment Turnover by ICT firms Growth in turnover by ICT firms New business investments
It measures employment growth in ICT firms in the observed region It measures the average annual turnover by ICT firms in the observed region It measures turnover growth in ICT firms in the observed region It measures the number
but not creating any new employment), not-for-profit organisations. 134 8. 6 Patent Data:
Thus, the typical measures of R&d include, for example, R&d expenditure, R&d employment or R&d facilities on the input side (OECD, 2002;
More disaggregated data on business activity show business indicators such as the number of firms, employment, capital, turnover, value added, profits,
the EIPE project builds this measurement by observing the actual presence and development of ICT firms (headquarters and affiliates, employment data, turnover and investments.
As a result of the interplay between these forces, economic activity, population, employment and wealth are distributed unevenly. Residents, workers,
ICT employment (JRC-IPTS, 2007. The advantage of the Balassa index over a simple comparison of shares in total employment is that relative size is taken also into account here.
The original Balassa index compares a region's share of a specific variable, for example, employment in the ICT sector,
with the region's share in the general variable, i e. in this case the total employment. However, because of the focus of this project,
which aims to map ICT-related activities and the lack therefore of a number of data at the general level,
Location of ICT firms Agbuss 4 30 ICT employment Agbuss 5 31 Growth in ICT employment Agbuss 6 32 Turnover by ICT firms
as well as to their turnover and employment size and growth. 13 In order to account for the differences of size of the regions,
of ICT Scoreboard Headquarters Ownership of ICT Scoreboard affiliates Location of ICT Scoreboard affiliates Location of ICT firms ICT employment What does it measure?
affiliates located in the observed region It measures the number of ICT firms located in the observed region It measures the total employment in ICT firms in the observed region Unit of measurement Region's share in the total number of ICT Scoreboard
ICT Scoreboard affiliates located in the EU to a region's share in the EU population Region's share in the total number of ICT firms located in the EU to a region's share in the EU population Region's share in the total employment by ICT
ICT Business Agglomeration indicators (Agbuss) Indicator ID Agbuss 6 Agbuss 7 Agbuss 8 Agbuss 9 Name of indicator Growth in ICT employment
It measures employment growth in ICT firms in the observed region It measures the average annual turnover by ICT firms in the observed region It measures turnover growth in ICT firms in the observed region It measures the number
as detailed information on employment or R&d expenditures in those centres is not available at this level of granularity. 5. 5 European Investment Monitor by Ernst & young The European Investment Monitor (EIM) is a unique
but not creating any new employment), not-for-profit organisations. 36 especially as many patents are filed by large companies with several establishments located in different regions and countries.
Besides providing the company-level information that was used to count the number of firms or the employment,
sales, operating surplus, employment and capital expenditure (to be interpreted as a flow, the increasing of tangible assets) for the top 1,
Location, Employment, Factors of Attractiveness and Economic Impact. Seville. Kaplan, S n.,Strömberg, P, . & Sensoy, B. A. 2002).
may sustain high levels of employment, decent standards of living and welfare, in short, preconditions for happiness.
employment and patents, with the conclusion that the connection between priorities and the economic and innovation structures is weak.
we have used Eurostat data on the number of organisations, employment data and patent applications in absolute terms,
Therefore, we have looked also at the number of employees per sector (NACE code categories) and growth of employment.
'There was quite a strong link between regional priorities and the sectors with the largest growth in employment in 2010 (illustrated in Figure 7),
Eurostat employment data for 2010, SBS data by NACE Rev. 2 for the EU-28 (and Norway) with missing data for Croatia, Greece, France, Italy, The netherlands and Slovakia.
According to our analyses, priority choices correlate with existing specialisations mainly in terms of relative growth of the number of firms and employment,
%18%20%Growth rate of employment Mining support service activitiesmining of metal oresoffice administrative, office support and otherbusiness support activitiesactivities of head offices;
Finally, we compared Eye@RIS3 data with Eurostat data on numbers of local units in different sectors, employment and patent applications.
The chosen innovation priorities somewhat reflect growth in employment, the relative growth of the number of local units and the absolute number of patent applications.
and engineering activities, technical testing and analysis Education Employment activities Financial service activities, except insurance and pension funding Insurance, reinsurance and pension funding, except compulsory social security Legal and accounting activities Office administrative,
employment and patents, with the conclusion that the connection between priorities and the economic and innovation structures is weak
Export and import performance 13 1. 6 Number and size of ICT businesses 15 1 7 Rate of employment 18 1. 8 International outlook
Among the new member states, Hungary, the Czech republic and Poland recorded significant increases in ICT manufacturing employment
(in addition to the cost cutting and redundancy methods widely used in other sectors). Figure 4: Gross value added of the Hungarian ICT sector as a percentage of value added of the total economy, 1995-2011.
which could distort the statistical result to a certain extent. 1. 7 Rate of employment Since the beginning of the 2000s,
where employment did not fall to such a degree in 2009 but has been experiencing a rather erratic performance ever since.
It is noteworthy that sectoral employment rose significantly since the beginning of the 2000s, furthermore, it can boast one of the most dynamic rates of growth in employment compared to all sectors of the national economy.
Figure 12: The ICT sector by company size(%)2011. Source: Hungarian Central Statistical Office 1. 18 According to the OECD Information and Technology Outlook (2010), two out of the 250 TOP ICT companies founded a subsidiary in Hungary,
employed in the ICT sector, Hungary outperforms the United states, Germany and the average of OECD countries Hungary's rising employment in the ICT sector is aligned also with international trends.
however, that each of these countries has an outstandingly high relative proportion of ICT employment,
Based on its share of ICT employment Hungary is 3rd in the ranking of OECD countries (after Sweden and Finland),
Share of ICT employment in business sector employment. Source: OECD Key ICT Indicators, 2012 8based on OECD data for 2009.0%2%4%6%8%10%Portugal Greece Spain Switzerland Austria Germany
It is interesting that 4%of respondent companies named doing research for the sake of research (be to be) as a motivating factor. 12 R&d employment:
then after a drop in 2008 the sector could once again start making a contribution to the increase in R&d employment.
The most dynamic increase in R&d employment took place in the ICT services sector compared to other branches of the national economy,
Rate of R&d employment increase in the ICT sector and other business sectors in 2005-2009.
%The growth in Hungarian ICT R&d employment is outstanding even in international terms. 9. 2 2. 7 4 11.4 0. 9 2. 7 2010
Relative proportion of ICT research and development professionals within the total R&d employment(%.%Source: Eurostat 0%5%10%15%20%25%30%Czech republic Poland Hungary Bulgaria Austria Germany 2007 2009 National Innovation Office RDI
While R&d employment within the ICT service sector is on the same scale for Poland, the Czech republic and Hungary in absolute terms,
there was significant growth also in the scale of overall ICT employment. 33 National Innovation Office RDI MIRROR-1. Review on the ICT Sector Summary 34 Speaking of expenditure,
Share of ICT employment in business sector employment. Source: OECD Key ICT Indicators, 2012.19 Figure 14:
Rate of R&d employment increase in the ICT sector and other business sectors in 2005-2009.
Relative proportion of ICT research and development professionals within total R&d employment(%.%Source: Eurostat...25 Figure 24:
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