Youth on the Move A new impetus for improving youth employment in Europe Policy coordinator Youth, Human Capital, Social Inclusion European Commission, DG Employment, Social Affairs and Equal Opportunities December 2010

2 Youth employment policies in the EU Member States’ competence and EU role 3 relevant EU policy frameworks: EU employment strategy (as part of Europe 2020 growth strategy) Education and Training 2020 strategy EU Youth Strategy ( )

3 Youth in Europe 2020 headline targets By 2020: 75 % employment rate (% of population aged years ; includes “youth” for 20-24) < 10% early school leavers & min. 40% hold tertiary degree 3% investment in R&D (% of EU’s GDP) “20/20/20” climate/energy targets met (incl. 30% emissions reduction if conditions are right) 20 million less people should be at risk of poverty

4 Youth employment in Europe 2020 flagships Smart Growth Sustainable Growth Inclusive Growth Innovation « Innovation Union » Climate, energy and mobility « Resource efficient Europe » Employment and skills « An agenda for new skills and jobs” Youth education and employment « Youth on the move » Competitiveness « An industrial policy for the globalisation era » Fighting poverty « European platform against poverty » Digital society « A digital agenda for Europe »

5 Youth on the Move ( ): 3 strands Improve education and training systems: lifelong learning, higher education Facilitate EU mobility for learning purposes and on the labour market Policy framework to improve youth employment

6 A framework for youth employment What do we want to achieve?  Reduce high youth unemployment  Raise youth employment rates EU had these objectives already before the crisis when youth employment was not satisfactory either, but there are important additional short term challenges in the jobs crisis:  tight public budgets  fewer job openings, risk of “lost generation”

7 A framework for youth employment What is the role of the European level?  Robust policy coordination at European level within the common principles for flexicurity: Commission has to drive the themes with MS, main task identification of most efficient policies and measures  Specific EU actions directly for young people  EU financial support for policy implementation

8 A framework for youth employment Challenges:  Diversity of labour market performance of young people in Member States  Diversity of education/employment/social policies in Member States  Diversity of cultural contexts in which youth employment is embedded  How can we achieve convergence in policies and outcomes?

9 A framework for youth employment Clear priorities and specific support to those most a risk Sustained action: ensure functioning of institutions in the sequence of young people’s transition steps from education to work Coordinated action: education institutions, Public Employment Services (PES), Social Partners, Social and Youth services, NGOs Integrated action at and between the different levels: EU, national, regional, local endeavours

10 Improve education-to-work transitions  Ensure information, guidance and counselling about labour market opportunities during and after finishing education  Skills development at labour market entry (vocational training, apprenticeships)  Early contact with labour market during studies (traineeships, internships)

11 Improve education-to-work transitions  Introduce tailored measures for specific groups of youth with difficulties (« cumulated disadvantages ») to make the first step after education  Ensure all young people are in further education or work within 4 months of leaving school (« Youth Guarantee »)  Specific focus on Public Employment Services: partnerships with training and education institutions, social support and career guidance services  Reduce recruitment obstacles: adequate wage arrangements and non- wage labour costs

12 Consolidate labour market attachment and improve career progression In segmented labour markets, introducing an open-ended "single contract" with a sufficiently long probation period and a gradual increase of protection rights, access to training, life long learning and career guidance for all employees. Make permanent contracts more attractive, eg. by introducing minimum incomes specifically for young people and by positively differentiated non-wage costs. (EU supporting document: Employment in Europe 2010)

13 At-risk youth : proxy NEET (15-24 years)

14 Early support to at-risk youth Coordinated strategies at the local level in order to:  Ensure EARLY intervention: Prevent the early disengagement from education, training and employment with suitable pathways leading to the labour market Avoid if possible putting young people with health problems / disabilities on permanent disability benefits, in order to reduce risk of more permanent exclusion

15 Strengthen social safety net for young Offering a good balance between rights to benefits and targeted activation measures based upon mutual obligation; in order to avoid that young people fall outside any social protection system and to avoid benefit traps  Active inclusion approach: adequate income support, inclusive labour markets and access to quality services  Modernisation of social security systems to take account of specific situation of young people, especially their increased risk of precariousness

16 Further information Overview of recent employment policy measures specifically targeting young people Recent developments in the EU-27 labour market for young people aged (analytical document with series of statistics) European Employment Observatory Review 2011 on Youth (forthcoming in early 2011) Employment in Europe 2010 report OECD “Jobs for Youth” reviews (includes 9 EU countries: BE, DK, F, EL, NL, PL, SK, ES, UK)