As the previous chapters and the country profiles have shown, the approaches to labour market integration of individuals with substance use problems have both similarities and differences. All the Nordic nations covered in this report have high employment rates, indicating a generally robust labour market. They also share adherence to the Nordic model of labour market regulation, which includes employee and employer organisations, wage agreements, and comprehensive legislation for workers’ protection. This model is characterised by cooperation between trade unions and employers’ organisations. All countries face substance use issues, with both alcohol and illicit drugs being a common problem. The prevalence of risky alcohol consumption and illicit drug use varies, but is a concern in all these nations. In summary, while these Nordic countries share commonalities such as high employment rates and substance use issues, there are significant differences in educational attainment, income inequality, geographic variations in unemployment, and substance use policies. These differences highlight the unique challenges and contexts faced by each country in their labour markets and efforts to address substance use problems.
This chapter presents the results of the case-oriented comparative analysis. In particular, the focal point of the analysis is the identification of any successful intervention and organisational settings for service delivery.
Policy directions, laws, and regulations
Overall aim of services and statutory rights
The overall aim of drug and alcohol policy in the Nordic countries is typically characterised by a comprehensive and balanced approach that focuses on both reducing substance-related harm and preventing substance use. In the Nordic countries, the current prevailing approach is to regard substance use problems primarily as health and, to some extent, social issues, rather than moral failings. Consequently, comprehensive support is provided to assist individuals in rebuilding their lives, including enhancing their employment prospects. These aims reflect the comprehensive and multidimensional approach to substance use treatment in the Nordic countries, which emphasises not only the reduction of substance use but also the improvement of overall health, wellbeing, and social integration of individuals affected by substance use problems.
As the country profiles showed, individuals with substance use problems have statutory rights to employment services in all Nordic countries. However, they do not possess any distinct statutory rights and are treated like any other target groups outside the labour market. This absence of particular rights can be disadvantageous, given that individuals with substance use problems have distinct needs that differentiate them from other target populations. Nevertheless, it can be argued that differentiating them from other groups may be highly challenging due to widespread comorbidity. In particular, it is estimated that a significant proportion of people with substance use problems also have one or more co-occurring mental health disorders (Castillo-Carniglia et al., 2019; Kingston et al., 2017).
Organisation of services
Welfare reform and conditional services/benefits
The country profiles revealed that over the past decades, a series of reforms pertaining to employment services have taken place in several Nordic countries. These reforms encompass both substantive and organisational aspects. The objectives have been to achieve more comprehensive services, to increase the effectiveness of employment services, and to personalise the services. For example, the establishment and evolution of job centres in Denmark can be attributed to a series of labour market and welfare reforms that have taken place over the years. These reforms reflect Denmark’s proactive approach to addressing unemployment and labour force participation through a strong focus on active labour market policies and the work-first approach. This is closely related to conditional welfare measures, referring to a set of requirements, obligations, or conditions that individuals must meet to receive certain benefits or services related to employment and social welfare. In the utmost consequence, welfare conditionality may entail sanctions – withheld economic benefits or welfare services – in cases where the client has failed to comply with activity requirements. While Denmark is renowned for implementing one of the most stringent welfare conditionality frameworks, similar policies are also observed in other Nordic countries, such as Norway, Sweden, and Finland. For example, as seen in the Finnish case, the system can be rather punitive in the sense of harsh sanctions imposed upon those who have not met activity-related obligations. There is limited research on the effectiveness of such policies, and the existing evidence is divergent. While certain studies suggest that favourable outcomes may result from its prudent implementation (Dahl & Lima, 2016), others conclude that the policy as a whole is ineffective (Dwyer et al., 2020). Irrespective of the efficacy of welfare conditionality, numerous scholars have contended that it can have adverse impacts on the most marginalised segments of society, such as individuals grappling with substance use problems (see, for example, Fletcher & Flint, 2018; McNeill, 2020). In accordance with these alerting observations, it is recommended that the application of welfare conditionality measures targeting individuals with substance use problems be approached with caution or implemented in a restricted manner.
The importance of holistic services
As mentioned previously, one of the most pronounced objectives of the reforms in the Nordic countries has been to address the fragmentation issues among sectors and service providers, and ultimately aiming to deliver more holistic services. However, fragmentation issues still represent a major obstacle in most Nordic countries, as is clearly demonstrated in, for example, the Finnish, Swedish, Norwegian, and Danish country profiles. Individuals with substance use problems constitute a vulnerable group requiring comprehensive services from multiple professionals, agencies, and sectors. The services must be coordinated to effectively assist these individuals’ transition to the labour market. Hence, most Nordic countries have a long way to go in addressing the issues related to fragmentation of services. Assessments of the labour and welfare administration reform in Norway have yielded varied outcomes (Erlien, 2017; Minas, 2014), but there are still grounds to posit that such one-stop shops can be a step in the right direction with respect to facilitating the provision of comprehensive services. Indeed, comprehensive services are not a categorical entity, and distinctions can be made among various degrees and dimensions of comprehensiveness. As such, there may be reason to recommend that other Nordic countries imitate the Norwegian model. Despite the abundance of research emphasising the significance of comprehensive services (Andvig & Karlsson, 2021; Bergheim & Rugkåsa, 2022; Frøyland et al., 2022), scholarly knowledge regarding the practical implementation and achievement of such services remains limited. There is thus a requirement of further research to determine the most effective approaches for enhancing the comprehensiveness of services.
Privatisation
The Nordic countries have long been regarded as models of comprehensive welfare states with strong public services. In recent decades, however, there has been a notable shift towards the privatisation of various public services, including employment services (Greer et al., 2017; Jantz et al., 2018). This trend has sparked significant debate and scrutiny, as it challenges the traditional Nordic welfare model.
Although most Nordic countries engage both public and private providers in delivering employment services, there is no uniform approach among them concerning the participation of private providers in this sector. Sweden and Denmark, for instance, have adopted relatively extensive privatisation measures, with a substantial share of employment services being outsourced to private agencies (Ennerberg, 2020; Greer et al., 2017; Jantz et al., 2018) (see elaborative accounts from the Swedish case). In slight contrast, Norway, Finland, Iceland, and Greenland have been more cautious in privatising these services, with a greater emphasis on maintaining public control (Leiren et al., 2020). Also, the Nordic countries differ in terms of which types of private providers of employment services are entrusted with delivering private services. One main distinction can be made between NGOs (non-governmental organisations, often non-profit and voluntary organisations operating independently of governmental control) and for-profit organisations. For example, Iceland, Finland, and Norway lean more towards NGOs, whereas Denmark and Sweden are known for their more extensive use of for-profit organisations in the delivery of employment services.
The involvement of private organisations in delivering employment services has sparked intense debates in the realm of public policy and social welfare, including employment services themselves. Proponents argue that private organisations bring innovation and efficiency to their delivery. Driven by competition and profit motives, these entities are incentivised to adopt modern technologies, streamline processes, and respond rapidly to changing labour market demands (Hermann & Flecker, 2013). Furthermore, the contractual framework of performance-based models, wherein providers receive compensation contingent upon their capacity to integrate unemployed individuals into the labour market, has been contended to bolster outcomes and streamline service delivery for greater efficiency (Crépon, 2018).
On the other hand, critics have raised numerous critical objections (Rehwald et al., 2017). For example, it has been maintained that the involvement of multiple private providers has the potential to exacerbate service fragmentation even further and lead to reduced coordination between stakeholders (Crépon, 2018). Individuals facing substance use problems may confront difficulties when navigating a complex network of service providers, potentially impeding their access to comprehensive support, as is evident in both the Finnish and Swedish contexts.
Another issue raised with respect to privatisation of employment services is the notion of cream-skimming and parking (Crépon, 2018). Whereas cream-skimming refers to the practice of selecting and prioritising the unemployed who are perceived as easier to place in employment, parking pertains to the passive or inadequate provision of services to the unemployed who face significant barriers to employment. Although creaming and parking can be an issue in the public sector as well, it is presumed to pose a more substantial problem when private actors are responsible for service provision (Crépon, 2018).
In light of the above discussions, what remains a challenge for the Nordic countries in their efforts to integrate individuals into the labour market is balancing the involvement of private and public providers. This challenge requires careful consideration of the potential benefits and drawbacks, coupled with robust regulatory frameworks to safeguard the interests of individuals with substance use problems and uphold the principles of the Nordic welfare model.
Interventions
General considerations regarding interventions
The primary impression derived from the analysis is that a wide variety of interventions are employed in the Nordic countries. However, as
table 2 demonstrates, in terms of content, there is a significant overlap between the interventions. Most of these interventions are not specifically tailored for individuals with substance use problems. Several countries employ simplistic, broad categorisations of users/clients/citizens that do not encompass the complexity of users’ needs, such as those of individuals with substance use problems. For instance, in Denmark, they are often placed in the category ‘ready for activity’. Similarly, in Sweden, they are categorised as disabled, in Finland as individuals with partial work ability, and in Norway they are assigned to the category of reduced work capacity. These categories are very broad and are intended to guide the selection of interventions. Consequently, interventions may not always be well-targeted within these broad categories, which consist of highly heterogeneous groups of individuals.
The analysis further demonstrates that many interventions take place at the local level, initiated by local and regional entities such as individual municipalities/regions or private organisations in certain regions. They are often not implemented nationwide. In addition, a scarcity of evaluations and research regarding the effects of the various interventions is obvious. This lack of evaluations can be particularly problematic given that much of the activity occurs at the local level. Despite considerable innovation potentially occurring at the local level, the capacity for knowledge acquisition and sharing is hampered by the limited assessment of diverse interventions. One notable exception here might be the Finnish Centre of Expertise for Social Enterprises, which aims to collect, evaluate, and disseminate good practices for promoting employment (see more detailed information in the country profile of Finland). As the centre was established as late as 2021, it is too early to assess its impact. However, such expertise centres might indeed serve as a model for other Nordic countries to follow.
Finally, another main impression derived from the analysis is the shift from train-then-place to place-then-train. Swift placement in ordinary employment constitutes the core of the IPS intervention (individual placement and support), but there are several other recent intervention initiatives that emphasise the prompt integration into ordinary workplaces. Research from both Nordic and non-Nordic regions concludes that these interventions have positive effects on the labour market integration of marginalised groups of individuals (Frederick & VanderWeele, 2019; Harrison et al., 2020; Probyn et al., 2021; Rosenheck et al., 2017).
Types of interventions and their assumed benefits and efficiency
Even though there are some universal characteristics describing people with substance use problems as a group, it is important to bear in mind the significant variations among them. Some have lived a long life with substance use problems; they never finished school or have never really been included in ordinary work life. Others are young and could still be able to follow a more standard life cycle and be a part of ordinary work life. Others have education and/or work experience. Additionally, variations arise based on the specific substances individuals use. Those who use illicit substances encounter distinct issues compared to those who use legal substances such as alcohol. Users of illicit substances may experience additional complications, such as legal consequences, social stigma, and unintended consequences of drug policies (Moskalewicz et al., 2021).