Transcript Riga youth I.

Active Labour Market Policy Measures for Young
Unemployed to Integrate into Labour Market
Borbély-P., Tibor Bors, Ph.D.
Senior Adviser,
National Labour Office, Hungary
Riga, 21st August, 2013
Issues
1.
2.
3.
4.
5.
statistical portrait of the youth in Hungary
different target groups and sub-groups of the
young job-seekers
looking beyond 2013: Youth Guarantee –
national YG programme planning
bridging the gap: cooperation with schools
active measures for youth
„It is simply hard to tear your eyes away from the slow-motion train wreck that is Europe. Historians
will be writing about this moment in time for centuries, and with an ever-present media as we see it
unfold before our eyes. And yes, we need to tear our gaze away from Europe and look around at what
is happening in the rest of the world. There is about to be an eerily near-simultaneous ending to the
quantitative easing by the four major central banks while global growth is slowing down.
And so, while the future of Europe is up for grabs, the true danger to global markets and growth may
be elsewhere. …”
Source: John Mauldin If California
Were Greece 05/29/2012
Part I.
Statistical portrait on youth
employment, unemployment &
underemployment in Hungary
Youth unemployment rate (15-24) among the EU
Member States (2011,2012)
%
2012
2011
20.6
20.0
16.1
14.3
15.0
12.4
8.7
10.0
10.8
12.4
8.6
6.1 6.2
5.0
8.9 9.0 9.1 9.7 9.8
10.1 10.4
11.4
12.3
6.6
7.0 7.1 7.3 7.3
7.7
4.1 5.1 5.2
0.0
With absolute numbers 4 MS have more than half of the young unemployed (UK, FR, ES, PL)
Youth employment rate (15-24), Hungary
vs. EU27 (2002-2012)
40.0
%
36.7
36.0
35.7
36.0
36.6
37.3
37.4
35.0
34.0
33.7
32.9
18.1
18.3
18.3
18.6
2009
2010
2011
2012
35.0
30.0
28.6
26.7
23.3
25.0
21.8
21.7
21.0
20.0
20.0
15.0
2002
2003
2004
2005
2006
2007
2008
Open issues (TBD);
EU27
Magyarország
• dual-status, dual-training
•work-first vs. train-first approaches
• changes in school age limits
• long-term vs. short-term personal & public good of
education
•Consumption growth vs. GDP growth vs. new ways of
measuring development (e.g. OECD: Better Life Index)
…
Eurostat, LFS
Employment rate (15-24) by ISCED-levels, HU vs. EU27
2012
%
Eu27
60,0
54,5
Magyarország
54,4
50,0
43,5
40,0
29,3
30,0
20,0
19,6
10,0
5,1
0,0
Alapfokú (ISCED 0-2. szint)
Forrás: Eurostat, LFS
Középfokú (ISCED 3-4. szint)
Felsőfokú (ISCED 5-6. szint)
NEET-rate (15-24) HU vs. EU 27 2008-2012
%
Eu27
Magyarország
15,0
14,7
14,5
14,0
13,4
13,5
12,4
12,5
13,2
12,4
11,5
12,0
11,0
12,9
12,8
13,0
11,5
13,3
10,9
10,5
10,0
2008
Forrás: Eurostat, LFS
2009
2010
2011
2012
Registered young job-seekers (15-24) * based on the Hungarian
Employment Act
January- December 2012
fő
80000
30,0%
70000
25,0%
60000
20,0%
50000
15,0%
40000
30000
10,0%
20000
5,0%
10000
0,0%
0
2012/Jan 2012/Feb 2012/Mar 2012/Apr 2012/May 2012/Jun
Létszám, fő
NFSZ regiszter
2012/Jul 2012/Aug 2012/Sep 2012/Oct 2012/Nov 2012/Dec
Változás az előző év azonos időszakához képest
Registered job-seekers by ISCED groups, 2012
100,0%
90,0%
80,0%
70,0%
60,0%
50,0%
40,0%
30,0%
20,0%
10,0%
0,0%
max. 8 ált.
NFSZ regiszter
szakiskola, szakmunkásképző
gimnázium, szakközépiskola, technikum
felsőfok
Part II.
Hungarian Practices for youth
integration
Content
•
•
•
•
Career guidance
Cooperation with schools
Active measures
National plans for youth guarantee
programmes
Career guidance
• Hungarian PES based on the mandate of the Hungarian
ministry responsible for labour has been developing a
national lifelong guidance system since 2007.
• Since 2010 the current government has been managing
the national programme; the current phase has strong
emphasise on open vacancies, vocational training &
dual system developments
• The Berlin Communiqué (3rd July, 2013) on PES actions
and youth guarantee programmes highlights the
further development of a national vocational
counselling structure and a strong link between schools
and PES
Cooperation with (primary & VET)
schools: recent trends
• The head office of the Hungarian PES was
merged with the National Adult & Vocational
Education Institute in 2012
• orienting the VET system for the long-term
open vacancies;
•stipendium for primary school students at
grades 7 & 8;
•national list (Gov. edict 331/2012 (XI.28.)
on sponsored and non-sponsored vocational
occupation at county levels
Dual training, work practice
• The political programme of the current
government set up the goal of dual training
system development jointly with the
Hungarian Chamber of Commerce and
Industry;
– the new act on VET (2011) describes the 3-year
trade school; strong focus on vocational education
also allows students from grade 9 (age 15) get
engaged in workplace-based apprenticeship
agreements.
Active measure & programmes (I.)
First Job Guarantee
• Support for employers hiring registered jobseeking career
starters in part-time or full-time employment for maximum
4 months
• Entitled: Career starters having not obtained eligibility for
jobseekers’ allowance after completing their studies,
among them priority is given to unskilled persons and longterm jobseekers.
• Amount: 100% of the wage and social contribution tax, plus
the refund of travel expenses (prepayment)
• Length: 4 months
• Financial resources: HUF 3,6 billion (National Employment
Fund)
• Target: placement of 7000 career starters into the labour
market- it has succeded
• Application period: 1 September 2012 to 31 December
2012, but it will continue in 2013.
Active measure & programmes (II.)
Housing allowance for mobility
• A new intervention for those jobseekers who, in absence of suitable jobs,
are not able to enter employment locally
• Target group: jobseekers trying to find employment for at least three
months; jobseeking career starters; and employees affected by collective
dismissals
• Period/Amount of the allowance: 18 months, as a fixed amount
calculated degressively every six months (max. 100.000–60.000–
40.000Ft/person/month; HUF1,2 Million/person in total)
• Conditions:
– At least six-month long twenty-hour-per-week employment found at least one
hundred kilometres or three hours’ (six hours daily in total) travel by public
transport from the person’s domicile
– Monthly gross earnings may not exceed 300% of the amount of the minimum
wage.
• Resources: This measure is financed within EU-funded active labour
market programmes under the New Széchenyi Plan.
Active measure & programmes (III.)
youth entrepreneurship
Support stimulating youth entrepreneurship:
• Target group: young people aged 18-35 years.
• Training opportunity: entrepreneurship education (financial
literacy, business plan, marketing, legal environment, etc.);
mentoring and counselling.
• Financial support: a non-refundable grant of HUF 3 million
• A total of HUF 7 billion using EU funds will be available to assist
around 1.500 young entrepreneurs in launching their businesses
• Trainings start at the beginning of this year, the grant can be
applied for after completion of the training.
Innovative employment programmes (ÚSZT – HUF 4,7 billion funded
by the EU):
• Target: developing models of employment programmes.
• Priority target group contains career starters and young people
having disadvantaged social background or living in undeveloped
regions with lacking work opportunities.
YGI: Europe
YGI: Europe (2)
Berlin, High level meeting, 3rd July 2013
YGI: Hungary- open issues
• PES has ½ of the target group within the
registry
• Another half of young people are not visible
for PES
• Services & tools for effective help must be
integrated at a horizontal policy level (How?)
• How will come first: low skilled (under ISCED
2); long-term unemployed (more than 4
months)
Thank you for your attention
Some issues for discussion
•
•
•
•
•
dual-status (work & school) of the students / youth
dual-training
work-first vs. train-first approaches
changes in school age limits (increasing, decreasing?)
long-term vs. short-term personal & public good of
education
• Consumption growth vs. GDP growth vs. new ways of
measuring development (e.g. OECD: Better Life Index)
• PES (PES 2020) as a broker: one access point for services
and active measures but does not count as a provider