SUPPORTING YOUTH IN ENTREPRENEURSHIP IN POLAND 21 September 2015 Warsaw, Poland David Halabisky Economist Local Economic and Employment Development Programme

Agenda 1.About the OECD 2.Work programme on Inclusive Entrepreneurship 3.Supporting youth entrepreneurship in Poland a.Methodology b.Context c.Findings d.Key recommendations

About the OECD The mission of the Organisation for Economic Co- operation and Development (OECD) is to promote policies that improve economic and social well- being. The Organisation provides governments with a forum for exchanging public policy experiences, collaborating on solutions to common problems, identifying good practices and co-ordinating national and international policies.

Objectives: Present data on the state of self-employment and entrepreneurship activities by under-represented social groups (e.g. women, youth, seniors, the unemployed, migrants, people with disabilities). Examine existing policies, recent developments and areas for improvement. Build capacities of policy makers at national and local levels for policy designs and implementation. Outputs to date: 9 Policy briefs 2 Annual reports (2015 forthcoming) 3 Capacity building seminars Inclusive entrepreneurship

Policy briefs

Annual reports: The Missing Entrepreneurs The Missing Entrepreneurs 2015 will be available on 23 November

1.Youth entrepreneurship reviews: – 3 national case study projects in Italy, Lithuania and Spain 2.Rapid policy reviews: – Latvia, Poland, Slovenia, Netherlands, Hungary, Germany, Belgium, Finland, Portugal 3.Compendium of good practice: – 20 in-depth good practices – Identify key principles of good policy design – Published end 2015 Ongoing work

Rapid policy assessments: Method Follow a common framework: 1.Desk research and document analysis 2.Stakeholder interviews 3.Workshop 4.Report with findings and recommendations Analysis focusses on: 1.Entrepreneurship skills 2.Access to finance 3.Institutions and regulatory environment Examine the nature and appropriateness of existing and proposed policies and programmes.

Unemployment rates, Youth unemployment rate in Poland is slightly above the EU average but gap is much smaller than before the crisis

Activity rates, Activity rates for youth have been constant despite an overall increase

Self-employment rates, Self-employment rate has declined for youth in Poland but remains above EU average

Barriers to business start-up for Polish youth European Commission, 2013: – Access to finance – Lack of knowledge and skills – Unpredictable economic environment – Fear of failure – Administrative difficulties Amway, 2013: – Access to finance – Lack entrepreneurship skills

Entrepreneurship skills Strengths 1.National Qualifications Framework for Higher Education 2.Academic Incubators of Entrepreneurship (AIP) 3.Strong role of Junior Achievement Areas for improvement 1.No framework for entrepreneurship education in school 2.Passive teaching and little training for teachers 3.Coaching and mentoring delivered by trainers 4.Variations in quality

Access to finance Strengths 1.ESF support for grants and microfinance 2.Knowledge Education Development Operational Programme will increase support for unemployed youth Areas for improvement 1.Access is highly variable across regions 2.Diverse quantity and quality of information available 3.Often not accompanied by training

Institutions and regulatory environment Strengths 1.Reduced social insurance contributions for 2 years 2.Act on Bankruptcy and Reorganisation allows for “second chance” 3.Increase support under the Tax Administration Act Areas for improvement 1.Few role models for youth 2.Tax system is complex, with frequent changes

Key recommendations 1.Strengthen entrepreneurship teaching and promotion at all levels of education system. 2.Promote entrepreneurship role models. 3.Expand and improve coaching and mentoring programmes. 4.Shift to phased-out relief from social security contributions.

Discussion questions 1.What are the keys to the success of youth entrepreneurship initiatives in Poland? 2.Should youth be more involved in youth entrepreneurship policy making? How?