Abstract

Modern capitalist economies usually require some kind of compromise between capital's twin needs for flexible employees but confident consumers. Engaged in this process are different forms of labour market governance, and the different levels of strength with which trade unions can challenge the unilateral power of employers. These patterns are associated with different levels of employment and income inequality. The result is a small number of types around which national profiles are grouped. These resemble but are not identical to the typologies of welfare state retimes that are prominent in the literature. The profiles have been under considerable pressure in the financial crisis.