How can well-designed tax systems foster job creation, investment, and sustainable growth

IOE, in collaboration with Business at OECD (BIAC) and with support from the European Union, has released a new policy review: Ensuring Tax Policy Supports Employment. The publication examines the critical relationship between taxation and employment, providing analysis and recommendations for employers and policymakers on shaping tax systems that encourage growth, job creation, and investment.

Taxation plays a central role in financing public services, infrastructure, and social protection. Yet, if poorly designed, tax policies risk undermining innovation, deterring investment, and limiting employment opportunities. With today’s global challenges – including slowed economic growth, climate change commitments, and rising public debt – the need for efficient and employment-friendly tax systems is greater than ever.


Ensuring tax policies and government spending are welldesigned, efficient and support investment and employment has rarely been more important.


The review outlines how governments can balance revenue generation with economic dynamism, and offers guidance for employers on engaging in tax and fiscal reform debates. It highlights the importance of avoiding excessive complexity and disproportionate corporate tax burdens, while prioritising policies that sustain competitiveness, foster business development, and support communities.

For more insights, we invite you to access the full publication attached on the left.


Association of employers of Slovenia - ZDS is full member of IOE and Business at OECD.