In December 2014 the OECD published a study entitled “The Missing Entrepreneurs 2014: Policies for Inclusive Entrepreneurship in Europe”. This looks at the possibilities for entrepreneurship and self-employment for groups in Europe that are disadvantaged or are under-represented in the labor market and in entrepreneurship. The study looks at how the barriers to entrepreneurship can be overcome for these groups.

The study recommends the payment of an allowance, or a continuation of unemployment benefits, for a certain fixed period after a person starts a business after being unemployed to give support during the early period of business development. Both financial and non-financial support should be given to maximize the effect of both types of support. Local partners such as unemployment offices and chambers of commerce should be involved in the business start-up schemes and those starting businesses could use the knowledge and networks made available by these organizations.

The policy recommendations include the alignment of start-up support schemes with tax and social security schemes to ensure the policy approaches do not compete with one another. The study also suggests the use of evaluations to assess the effect of start-up support schemes on unemployment and to provide evidence that can inform the development of policy across the EU.

The study looks at the subject of social security for the self-employed and notes that quite often countries do not legislate for unemployment benefits for the self-employed and sometimes do not provide for occupational or work-related accidents or injuries. This can be an obstacle to entrepreneurship as this makes it more risky than employment. Self-employment and entrepreneurship could therefore be made more attractive by making the treatment between employed and self-employed more equal. Examples are given from European countries that have made policy changes to achieve more equality.