youth guarantee experiences -...

Youth guarantee – Experiences

from the first year and next steps

Janne Savolainen

Ministry of Employment and the Economy

Planning officer

12th December 2013

www.youthguarantee.fi 2

Social guarantee 2005-2013

Every young person under 25 will be offered a job, internship, a study place,

a workshop place or rehabilitation, within three months after registering

as unemployed.

• New guidelines regarding the implementation of Social guarantee in 2010

• New target oriented goals to the employment administration in 2011

• The central aspects of the youth guarantee: 1. The assessment of jobseekers’ service needs at the early stages of jobseeking

2. The drawing up of jobseeker’s plans within the time limit

3. The promise made to all young people under 25 years of age that an active alternative will

be arranged not later than within three months of unemployment.


Impacts of Social guarantee:

• The youth service process has become more effective due to the youth guarantee

model, when the work process based on a strong beginning and an active and

committed approach has been intensified regarding youth services.

• According to statistical monitoring, the enforcement of the youth guarantee has

considerably increased and accelerated the drawing up of jobseeker’s plans, but

the set target has not been realized. Plans have been drawn up within three

months for 61 %. Only about 45 % of the plans included a promise of an active

measure.

• The youth guarantee has had positive effects particularly on the situation of young

people with relatively good chances to be employed. Instead, the results of the

youth guarantee have been less significant for young people needing more

support than in average, multi-problem youth and young people of immigrant

background or of different ethnic background.


What has happened to those born

in 1987

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Boys Girls

No post basic Has been using Income Police record Sentenced Placed to a

Education Antidepressants support foster home


Why Finland needed to reform the

Social guarantee?

• In 1987 almost 40 % of the workforce had only basic education.

Today only 17 % of the workforce does not have post basic

education.

• It seems that education level required at the labour market is rising.

New jobs require higher education while at the same time those

jobs requiring low education are disappearing.


Why Finland needed to reform the

Social guarantee?

• Each year about 3–5 % of age group do not continue directly to the secondary degree or to preparatory class.

• About 120 000 young aged between 20-29 have only basic education.

• There are about 40 000 NEETs under the age of 30 who have only basic degree.

• About 1000 young aged under 30 retire due to mental health problems each year.

The estimated expenses raising from NEETs is estimated to be around 300 M€ each year


Youth guarantee 2013 – definition

in the government program

Every young person under 25 and recent graduates under 30 will be offered a job, a work trial, a study place, a workshop place or rehabilitation, within three months after registering as unemployed.

Every person completing basic education will be guaranteed a place in upper secondary school, vocational education, apprenticeship training, a workshop, rehabilitation or a place in some other form of study.


National Youth Guarantee Working Group • Ministry of Employment and the Economy

• Ministry of Education and Culture

• Ministry of Social Affairs and Health

• Ministry of Defence

• Ministry of Finance

• Finnish National Board of Education

• the Association of Finnish Local and Regional Authorities

• Akava - Confederation of Unions for Professional and Managerial Staff in Finland

• EK - Confederation of Finnish Industries

• SAK - The Central Organisation of Finnish Trade Unions

• STTK - Finnish Confederation of Professionals

• Federation of Finnish Entreprises

• The Social Insurance Institution of Finland

• Allianssi - Finnish Youth Cooperation

The working group published in its March 2012 report how the extra (60M€) funding would be allocated and what reforms would be needed.

The group gave 21 recommendations regarding required reforms.


The mandate of the working group: to decide how the extra funding from the government would be allocated

What reforms would be needed so that the YG can be fully implemented

The work in practice • Survey among young about their perceptions regarding their future -> 6300

respondents

• The working group had comments from more than 50 experts

• Academics

• Entrepreneurs

• Young

• Government officials

• NGOs

• Based on this work the working group made 22 recommendations. The working group’s report can be found from www.youthguarantee.fi

The national Youth guarantee working group


”Voice of the youth” –web survey

Some findings

(6300 respondents)

When making career and education choices young felt that they need more support from employers, PES officers, education coucellors and from career

guidance and workshops

Young are willing to see effort on job searching as a way to gain work

experience. Pay subsidies were also considered as an interesting option.

One in five of those young who had only basic education felt that their health

issues were a barrier between entering labour market.

Apprenticeship and learn by doing methods seemed to be most interesting

options for the unemployed and uneducated.

35 % of the unemployed felt that they are unable to begin in education. Most

important reason was low education benefits and unwillingness to take loan.


Youth Guarantee- ”The Finnish model”

• Youth Guarantee will be based on partnership between - Officials - Business - Associations,

Youth themselves are actively participating and creating their own future

Open-minded changes to working methods are needed.

PPPP: PUBLIC-PRIVATE-PEOPLE-PARTNERSHIP


Youth guarantee as from 1st of January

2013

Pillars of the Youth Guarantee:

Education guarantee

Skills programme for young adults

Employment and Economic Development services for youth (PES services)

Rehabilitative services including municipal social and health services

Other individual services for young people, such as

• youth outreach work and

• youth workshop activities

Goal

• to help young people gain access to education and employment.

Implemented across

administrative borders –

collaboration is vital!


Focus of youth guarantee funding

1. Educatio-

nal guarantee

(MEUR 24/year)

2. Measures promoting

employ-ment (MEUR 28/year)

3. Youth

outreach and youth

work-shops (MEUR 8/year)

4. From the beginning

of 2014 MEUR 4,7

(MEUR 2,4/year)

The Government Programme's policy

outline (60 M€/year):

5. Skills

programme for young

adults (MEUR

27–52/year, running from 2013 to 2016)

Added at the government

spending limits discussion in

March 2012 on the basis of

the preparatory working

group's analysis:

Broadening the criteria for vocational

rehabilitation, legislative reform


Promoting youth employment

• Sanssi-card, employers are eligible for pay subsidies

The risk of employing those under 30 is

reduced

Placement of young to labour market is

promoted with work coaching that will

support the young and the employer.

• Work tryouts are offered mainly for those who lack professional degrees

Work tryout has to support

employment plans and carreer

choices

• Supporting and developing new forms of entrepreneurship by training, guidance and startup grants.

Promoting youth entrepreneurship as a choice for paid work

• Increased 60 man-year to career guidance

• Career guidance telephone service

• Career coaching as a new service

Strengthened career guidance


Age group completing basic education per year

60 000

Continues directly to the secondary degree

about 55 000

Do not continue directly to the secondary degree about 5000

• New study places for those young who do not have secondary degree certificate, new criteria for student selection and regional distribution of study places under scrutiny

Goal: Each basic schoold graduate are guarantee a place in secondary level or in preparatory class

Education guarantee: background


The implementation of the

education guarantee

Renewed criteria for student selection to vocational education

Renewed e-application services for the joint

application process of autumn 2013

Sufficient offering of initial vocational education for young people who have

completed basic education but have no post-basic

qualification or a place in upper secondary education

Renewed preparatory training for vocational

education


The implementation of the

education guarantee

Strengthening apprenticeship training for

young people

Developing on-the-job learning and educational models which combine

education in educational institutions and

apprenticeship training

A fixed-term skills programme for young adults in 2013–2016


• New web site www.youthguarantee.fi

• TV advertisement

• News paper advertisement

• Internet advertisement

Youth guarantee media campaign

http://www.youthguarantee.fi/


Youth guarantee media campaign

Youth will be encouraged to use the opportunities offered by the Youth guarantee, to find a job or a place in education and to gain a sense of personal success

Employers are enouraged to offer jobs for youth and to use the tools offered by the Youth guarantee such as the ”Chance-card” and apprenticeship.

Adults working with the youth are encouraged to give support to young and to cooperate with other professionals


2013 at the end of October

• 36 405


•30 634


• 3 071


• 2 347

Recent graduates are those who have graduated within 12 months


October 2012

October 2013

The youth unemployment (Statistics Finland)

Unemployment rate %

16,6

16,2

Men

17,8

17,7

Women

15,4

14,9

Note! The figures of Statistics

Finland include full-time students!


Average duration of unemployment

in weeks (sliding average)


Employment plans prepared for unemployed youth

before unemployment exeeds three months,

January–August 2013

Most of those young people for whom a job-seeking plan has not been drawn up are entering military service, taking

maternity leave or have another valid reason for not having an employment plan.

Total 93.5%

Men 93.4%

Women 93.6%


How many have found work, education or

entered in PE – service within three months?

80,7 %

67.9%

Young people under the age of 25

Recent graduates aged between 25–29


Success factors

• Wide political support

• Inclusive and open implementation process

• Cross-sectoral cooperation

• Efficient and informative communication

• Broad based participation

• Rigorous long-term monitoring

Challenges

• Economic downturn

• Resources (services & human resources)

• Is YG seen mainly as a political program?

• The service sector is too fragmented

Challenges and successes


Youth guarantee – next steps

• On-the-job training of young people under 25 of age will be supported by developing apprenticeship training and other flexible models of combining education and work.

• One stop shop models will be developed and the operating model will be made national during the next ESF programming period

• The criteria for rehabilitation arranged by the Social Insurance Institution will be amended to take account situation in life.

• Best practises will be disseminated

• Enhancing information sharing between authorities


Lessons learned

Need for one stop shop

solutions,

Youth needs to be heard,

Cross-sectoral cooperation,

Clear roles and responsibilities,

Informative communication,

Clear indicators,

Creativity!

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