The OECD Local Economic and Employment Development (LEED) Programme’s first biennial publication tackles a question that is at the top of government agendas: how to create more and better quality jobs. Addressing this question is a key aspect of the OECD’s efforts not just to strengthen the recovery, but also to make our economies and societies more resilient.

It is with great pleasure that we are publishing the first edition of Job Creation and Local Economic Development, a landmark publication for the LEED Programme. For over 30 years, the OECD Programme on Local Economic and Employment Development has worked to fulfil its mission of contributing to the creation of more and better jobs through effective policy implementation, innovative practices, stronger capacities and integrated strategies at the local level. For the first time, this publication brings together the most recent findings from LEED across the areas of employment and skills, entrepreneurship, social inclusion and local development in one place.

Creating more and better quality jobs is key to boosting growth, reducing poverty and increasing social cohesion. At national level, job creation requires a stable macroeconomic framework coupled with structural policies that encourage innovation, skills and business development. But how can national and local policies be better aligned and tailored to specific local opportunities and challenges?

Job Creation and Local Economic Development 2014 is the first edition of the OECD Local Economic and Employment Development (LEED) Programme’s biennial publication. This publication highlights new evidence on policies to support local job creation across LEED’s areas of work, including labour market, entrepreneurship, and local economic development policy. It draws from LEED research to identify common issues that local areas face, general lessons and promising approaches, and examples of programmes and policies that are emblematic of strong local responses. As it cuts across the various output areas of the LEED Programme, it is intended to complement and add value to LEED’s more specific and in-depth publications.

In the recovery it will be important to build new jobs from the bottom up through putting in place the right local conditions for job creation and expansion. Getting the governance right at the local level is important, and this often means better reconciling local and national policy goals and objectives. This introductory chapter sets out a new integrated approach to building productive local economies which host skilled and entrepreneurial workers. Economic development policies, labour market policies, policies to support entrepreneurship and social entrepreneurship, and education and training policies all have a role to play. This chapter explores how these policy areas can be brought together most effectively to contribute to the common goals of job creation, social cohesion and resilience.