The European Commission Mutual Learning Programme. DG Employment, Social Affairs and Inclusion

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1 The European Commission Mutual Learning Programme DG Employment, Social Affairs and Inclusion Key policy messages from the Peer Review on the Youth Guarantee Helsinki (Finland) September 2014 Month Year

2 This publication is commissioned by the European Community Programme for Employment and Social Solidarity ( ). This programme is implemented by the European Commission. It was established to financially support the implementation of the objectives of the European Union in the employment, social affairs and equal opportunities area, and thereby contribute to the achievement of the EU2020 goals in these fields. The seven-year programme targets all stakeholders who can help shape the development of appropriate and effective employment and social legislation and policies, across the EU-28, EFTA-EEA and EU candidate and pre-candidate countries. For more information see: For more information on the Mutual Learning programme, please refer to: European Commission: Emilio Castrillejo, DG Employment, Social Affairs and Inclusion, Unit C.1 Employment, Social Affairs and Inclusion Author: ICF International The information contained in this publication does not necessarily reflect the position or opinion of the European Commission October 2014

3 Key messages from the Peer Review Table of Contents 1. Introduction The Youth Guarantee in Finland: a national priority The Youth Guarantee in practice: features and key measures General overview The Youth Guarantee approaches in the Peer Review countries Key measures associated with the Youth Guarantee Working with employers Youth Guarantee partnerships Sharing of information among partners Emerging lessons on partnerships Raising awareness of the Youth Guarantee Next steps: Evaluating and monitoring the Youth Guarantee Monitoring the quality of the offers Conclusions and lessons; turning the Youth Guarantee into reality...19 Month Year

4 1. Introduction On September 2014, the Finnish Government hosted a Peer Review on the Youth Guarantee. The event brought together ministry officials and independent experts from twelve other Member States (Austria, Belgium, Denmark, France, Germany, Ireland, Latvia, Lithuania, Luxembourg, Netherlands, Poland and Sweden), as well as representatives from the European Commission. The aim of the event was to present the Finnish Youth Guarantee model and experiences related to its development, implementation and monitoring and examine and evaluate the model in light of practices of participating countries. This policy message report draws on the presentations given as well as roundtable and working group discussions held during the event. The focus is placed on highlighting key messages and practical examples. The report starts off with a short overview of the Finnish Youth Guarantee model 1, based on information provided by the range of Finnish stakeholders during the event. It is followed by a broader overview of the Youth Guarantee approach in Europe, based on information from the countries represented at the Peer Review. This section looks at progress in implementation, examines broad similarities and differences in approaches to the Guarantee and outlines some of the key measures constituting the Youth Guarantee. This is followed by reviews of the roles of employers and cross-administrative Youth Guarantee partnerships. The report will also discuss the importance and benefits of awareness raising efforts and observe the potential role of youth organisations in this process. The final section focuses on the on-going monitoring of the Guarantee and the good quality offers associated with it, before ending with key conclusions. 2. The Youth Guarantee in Finland: a national priority The Finnish Youth Guarantee, spearheaded by the Government Programmes 2 and implemented since 1 st January 2013, builds on a social guarantee scheme that was first introduced in The social guarantee was launched to support young people under the age of 25, and it focused on the improvement and delivery of PES services to young jobseekers. The current Youth Guarantee is more comprehensive in terms of measures and services underpinning it and the depth and breadth of crossadministrative working at both national and local levels. The newly-reformed guarantee is also associated with greater political and financial commitment as well as publicity campaigns to raise the profile of the Guarantee among general public, young people and employers especially. The objective of the Finnish Youth Guarantee is to support young people to gain a place in education, training or employment. All persons under the age of 25 and those aged who have graduated within the last 12 months are offered a job, on-thejob training, a study place, a period in a youth workshop, or rehabilitation within three months of becoming unemployed or leaving education. The Guarantee places a particular focus on finding each young person a personalised pathway to employment and on preventing long-term unemployment and social exclusion. The emphasis of the Guarantee depends on the age and education background of young people, with the 1 For further information about the Finnish Youth Guarantee, see or Tuusa M., Pitkänen S. (2014), Host Country Discussion Paper - Review of the Youth Guarantee in Finland. 2 Including the Government Programmes of the Prime Minister Jyrki Katainen ( ) and the Prime Minister Alexander Stubb (2014 ) 1

5 overall focus on upskilling of low-qualified youth and employment integration of qualified jobseekers. Target groups Young people who have just completed compulsory education Low-qualified youth (young people without an upper secondary level qualification or above) Guarantee Study place in general education or vocational training ( school-based or an apprenticeship), or Supportive intervention such as career preparatory/exploration programme (Career Start), supported training workshops where young people can undertake practical training and learn life, work and study skills (youth workshops) or rehabilitation (e.g. vocational rehabilitation to prepare a young person with learning difficulties or health problems for education or training) Registered young jobseekers (applies to all under 25 year old jobseekers and recent VET and HE graduates up to the age of 30) Job offer, Work placement, Study place, or Supportive interventions (see above) While no specific legislation has been passed in relation to the Youth Guarantee, joint policy statements, reviewed regulations 3, cooperation between administrative branches, and the updating of existing legislation have allowed for its implementation 4. Crucially, strong political commitment for the Youth Guarantee, both at the central and local levels has been an important force behind its realisation. At the highest political level, its design and rolling out relied on the cooperation of six different ministers from four different political parties. Municipalities have also made a commitment to turn the principle of the Youth Guarantee into practice. Cooperation among a wide variety of actors (many of whom were represented at the roundtable discussion) at both national and local levels is of paramount importance for the effective delivery of the Youth Guarantee in Finland. It is based on a model of public-private-people-partnership, which brings together government officials, private businesses, social partners, representatives of entrepreneurs, civil society organisations and young people, in the design and roll out of the Youth Guarantee. A National Youth Guarantee Working Group was set up to this effect 5. In terms of local level, every municipality is expected to establish a youth guidance and service network aimed at promoting cross-sectoral cooperation in the field of youth services. With a view to promoting youth participation and empowering young people to create their own future, the results of a national survey of 6,300 young people fed into the design of the Finnish Youth Guarantee. In Finland, municipalities are very large employers and have significant responsibilities in the area of basic and vocational education. As such, municipalities play a key role in fulfilling the Youth Guarantee. In addition to offering study places and facilitating 3 Existing legislation / regulations on matters concerning young people have been revised. As an example, the legislation concerning applications to upper secondary VET have been revised so that young people leaving school are prioritised, rather than being at a disadvantage like they used to be, in comparison to older applicants. 4 Tuusa M., Pitkänen S. (2014), Host Country Discussion Paper - Review of the Youth Guarantee in Finland. 5 The National Youth Guarantee Working Group consists of 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, Confederation of Unions for Professional and Managerial Staff in Finland (Akava), Confederation of Finnish Industries (EK), The Central Organisation of Finnish Trade Unions (SAK), Finnish Confederation of Professionals (STTK), Federation of Finnish Enterprises, The Social Insurance Institution of Finland (KELA), Allianssi - Finnish Youth Cooperation 2

6 transitions towards further education or work, municipalities are involved in the delivery of youth and outreach work and youth activation workshops independently or with co-financing from the Ministry of Education. The Finnish Youth Guarantee: key facts Launch: January 2013 (builds on a social guarantee in place since 2005) Target group: young people NEET under 25, VET or HE graduates aged Timeframe for activation: 3 months Coordination body: National Youth Guarantee Working Group Budget: EUR 60 million per year added to the state budget The results of a national survey of 6,300 young people fed into the design A key feature of the Finnish Youth Guarantee is the education guarantee that secures every compulsory school graduate a place in further education or training (or a preparatory or rehabilitation programme). Other key pillars of the Guarantee include a commitment to prepare an individualised employment plan within two weeks of PES registration and a skills programme for low qualified young adults which gives young people aged without an upper secondary level qualification are given an opportunity to pursue a full or partial VET qualification, with increased level of guidance and support. A more comprehensive overview of the key measures linked to the Finnish Youth Guarantee is included in the table below, based on a sequence of activities typically associated with youth guarantees. Youth Stage Guarantee Examples of key measures within the Finnish Youth Guarantee Stage 1. Engagement of young jobseekers PES registration, online or at a job centre (TE-centres) Outreach work by a network of designated outreach workers covering nearly 90% of municipalities across the country Stage 2. Initial assessment, guidance and planning, leading to job and activation matching service Stage 3. Activation and upskilling measures Initial assessment and drafting of a personal employment plan by the PES advisor together with the young person within two weeks of registration. The plan is mutually binding and includes responsibilities both for the young person and the PES. The plan outlines different activation measures and a timeline for following up and monitoring activation Job-search and career/ work coaching Career information services, online and telephone Job matching for those who are ready to take up employment Education guarantee a guarantee of a place in education or training for compulsory school graduates More study places within the VET systems, including a skills programme for low qualified young adults - young people aged without an upper secondary level qualification are given an opportunity to pursue a full or partial VET qualification, with increased level of guidance and support Wage and apprenticeship subsidy scheme to encourage employers to take on young people as employees or apprentices (Chances 3

7 Card / Sanssi Kortti). The support amounts to approximately EUR 750 per month for a maximum of 10 months. The subsidy can be granted for the duration of the whole apprenticeship training. Stage 4. Follow up and monitoring Personalised activation measures, such as youth workshops which help vulnerable young people enter the labour market (or re-enter education) by improving their skills through practical learning and personalised support. Rehabilitation services including municipal social and health services and vocational rehabilitation to prepare young people with disabilities or health problems for education or work. The reform of the Social Welfare Act is going to bring in youth service guarantee ensuring an access for young people to support from a case worker. Career exploration opportunities, such as work trials (replacing the old traineeship scheme) for up to 6 months in private businesses and up to 12 months in municipalities and VET trials (Career Start) to explore different study options Practical support for aspiring young entrepreneurs, including training, start-up grants and guidance More language training for immigrant youth Personal employment plans include a timeline for follow up during the job-search / activation period Outreach workers do follow up work with the vulnerable youth they have worked with Sources: Background documents on the Youth Guarantee, including the website and presentations of Finnish representatives at the Peer Review An independent monitoring and evaluation of the implementation the Youth Guarantee was carried out during its first year. The results show that the concept of the Youth Guarantee has improved cooperation with educational institutions and employers, as well as internal cooperation within organisations providing services to youth. Similarly, the Guarantee has achieved good public awareness, although employers and young people in particular require more substantial information about its content. Finally, the scheme has been best implemented within municipal youth services, but its delivery of higher threshold services such as social, health and rehabilitation services has fallen short of expectations. The implementation of the Youth Guarantee is an on-going process and calls for further improvement. For instance, some of the challenges lying ahead are to further increase cooperation and networking with businesses, work on the implementation of the recently adopted social welfare act to create a new individualised social service guarantee and further develop online guidance services and use of social media to engage with young people. More details can be found in the Host Country Paper providing a review of the Youth Guarantee 6. 6 Tuusa M., Pitkänen S. (2014), Host Country Discussion Paper - Review of the Youth Guarantee in Finland. 4

8 3. The Youth Guarantee in practice: features and key measures 3.1 General overview Alarmingly high youth unemployment and NEET rates prompted the Commission and the EU Member States to take action to avoid a possible crisis legacy of lost generation of young people detached from the labour market. In December 2012, the European Commission put forward a Youth Employment Package; a set of measures aimed at supporting Member States in tackling the youth employment crisis. On the basis of a Commission proposal outlined in this package, a Council Recommendation on establishing a Youth Guarantee was adopted in April Through this Council Recommendation, Member States committed to ensuring that all young people under the age of 25 years receive a good-quality offer of employment, continued education, an apprenticeship or a traineeship within a period of four months of becoming unemployed or leaving formal education 7. With a view to swiftly implementing the Council Recommendation - and following the European Council conclusions on June Member States were requested to submit a Youth Guarantee Implementation Plan (YGIP) 9 to the European Commission. This planning phase is now completed. All Member States have submitted their YGIPs and are in the process of rolling out of national Youth Guarantee Schemes. The rolling out process varies significantly from country to country and the MSs can be grouped into five broad clusters in terms of their progress in implementation 10 : Countries with significant experience in running and implementing the Youth Guarantee Countries with similar approaches in place, even if they have not been labelled as youth guarantees per se Countries running Youth Guarantee pilots and testing the model or key parts of it before upscaling Countries, which are introducing new youth employment measures or improving PES and other youth services, as foundations of the Youth Guarantee Countries that at an earlier planning, design and/or partnership building stages The countries participating in the Peer Review fall into different categories in terms of their progress in the implementation and the approaches they have adopted. These are discussed further in the following sections. 3.2 The Youth Guarantee approaches in the Peer Review countries Many similarities as well as differences towards the Youth Guarantee were found across the countries represented at the Peer Review. For example, most countries have chosen a four month period as a target for activation but not all. For example, the French scheme is focussed on vulnerable youth who enrol on a year-long activation programme as part of the Youth Guarantee. The Finnish Youth Guarantee is 7 Council Recommendation of 22 April 2013 on establishing a Youth Guarantee (2013/C 120/01) Member States with regions experiencing a youth unemployment rate above 25% were asked to submit a Youth Guarantee Implementation Plan (YGIP) by December Other Member States were requested to do so during the first half of To date, 19 Member States have published their YGIPs online; these are available on the Commission s website: 10 ICF: Hall, Anne-Mari (2014) Youth Guarantee: European overview 5

9 associated with two specific deadlines: a two-week deadline for the drafting of an employment plan and a three-month deadline for activation. Youth Guarantees are built around existing measures and safety nets while new funding is used to address weaknesses and bottlenecks in employment support for young people. The Austrian Youth Guarantee for instance builds on an (apprenticeship) training guarantee that was formally introduced in The recent measures are more multi-faceted and include a broader set of activities especially focussing on early intervention and prevention of disengagement more generally. The French model is also giving an impetus for numerous existing measures in this field with guarantees of first professional experience and financial support. In some of the countries represented at the Peer Review, the definition of the target group of the Youth Guarantee differs from the one formulated in the Council Recommendation. Specifically, young adults aged are eligible for support in various Member States. In Poland, HE graduates up to age of 29 are covered, following an amendment of the concept of groups of special situation in the labour market for the PES in the summer of In a similar manner and as noted above, in Finland, young graduates aged 25 to 29 are covered by the Youth Guarantee. In Lithuania, the target group includes young people aged 15 to 29. A selection of countries prioritise support for disadvantaged youth. In France, although the broad target group is composed of NEETs aged 16-25, a specific focus is on year old NEETs at high risk of exclusion. The Danish youth guarantee prioritises young people under 30 years of age without a VET or HE qualification. Another main difference across the Member States is the importance given to trainfirst versus work-first approaches 11. Various countries, especially in Northern Europe (e.g. Finland, Denmark, Netherlands), apply a train-first approach for unqualified youth: for this target group, a systematic offer of training (including apprenticeship training) has to be made before undertaking other initiatives to support their integration to the labour market (unless other preparatory or rehabilitation interventions are required). The main objective is to support the employability of young people in the long-term. On the other hand, a work first approach is prioritised for qualified youth. In Lithuania, the emphasis on train-first approaches is not as strong as in those countries, but a young person does not have any qualification can get support to enrol into VET. In other countries, further education and training is one of the (many) options available as part of the Youth Guarantee, but young people with low levels of educational attainment are also actively encouraged to take up a job whenever possible (e.g. in France). Poland and Ireland only apply a train-first approach under certain conditions, young people under the age of Key measures associated with the Youth Guarantee Despite of some differences in the approaches, the Youth Guarantee process from the perspective of young people tends to involve measures at four different stages: 1. Engagement of young jobseekers in the Youth Guarantee, including general entry/access points as well as outreach work with hardest-to-reach groups, 2. Initial assessment, guidance and employment/employability planning of participants, leading to job and activation matching, 3. An offer of activation and upskilling measures (provision of quality offers ), and 11 Hall A-M., (2014) The Youth Guarantee A lifeline for European youth? Experiences from the EU-28. Thematic Paper, Peer Review on Youth Guarantee. European Commission Mutual Learning Programme 6

10 4. Follow-up of participants. These are discussed in sections below. Stage 1. Engagement of young jobseekers in the Youth Guarantee, including mainstream recruitment channels and outreach work The most common entry point to the Youth Guarantee is through PES registration, with the registration of young jobseekers in many countries automatically leading to participation in the Youth Guarantee and entitlement to additional support provided by it. Intermediary bodies, such as Voluntary Labour Corps in Poland, may also facilitate access or act as a referral service. One-stop-shops are also playing a growing role. The missions locales in France for example play an important part as does a new youth guarantee house (Maison de l Orientation) a one-stop-shop service in Luxembourg, which brings together the PES, guidance, education and career services under one roof. In Finland, integrated service centres have also been identified as a priority area and the longer-term plan is to have at least one in each municipality. In Latvia, there are three different entry points to the Youth Guarantee: PES, secondary schools and outreach work which is due to start shortly. Table 1. Youth Guarantee services linked to Stage 1 Stage 1: Engagement of young jobseekers through: - PES registration, - One-stop-shops for youth services, - Intermediary bodies, - Outreach work with hard-toreach groups, - Online Youth Guarantee platforms, and/or - Schools and training providers Stage 2: Initial assessment, guidance and planning, job and activation matching service Stage 3: Activation and upskilling measures Stage 4: Follow up and monitoring Source: ICF 2014, on the basis of discussions at the Peer Review A key challenge for authorities across Europe is to identify ways and secure resources to reach out to young NEETs who are not registered with the PES and/or are unknown to social services and youth services. These groups of young people can be difficult to identify and reach especially if PES registration and participation in activation measures is not linked to any benefits (social or unemployment) or incentives. In many contexts, outreach work is still mostly carried out by NGOs and/or through adhoc project basis. Tracking services and outreach work are being developed in most countries 12. While PES (including specialised services) are increasingly prompted to take more action in the area, this task can also fall under the responsibility of schools or bodies linked to education authorities and/or different types of local youth agencies and youth oriented social work. In several countries, municipalities or other organisations have a legal responsibility to undertake outreach work. In Finland for instance, municipalities are expected to recruit youth outreach workers independently or in collaboration with other municipalities and they get support from the Ministry of Education and Culture to do so, with the ministry covering around 70% of costs associated with it. The position and functioning of the outreach model is outlined in the recently revised Youth Act (see further information below). 12 Some examples can be found here in the Background Paper for Workshop 2 on Early intervention and activation prepared for the MLP Thematic Event on Practical support for the design and implementation of Youth Guarantee Schemes (October 2013). 7

11 Outreach work in Finland There are approximately 40,000 young people aged in Finland who are regarded as NEETs (at risk of social exclusion, inactive and lack post-compulsory qualifications). The number of young people missing from PES and educational statistics is estimated to be around 25, Outreach work in Finland is carried out by a network of designated outreach workers covering nearly 90% of municipalities across the country. They are in close contact with student welfare teams in schools and follow-up on school drop-outs. In addition, young people are referred to them by social workers, health care institutions, employment services and youth workshops. Young people may also contact them spontaneously. Outreach workers are also very active online, using Facebook and social media effectively to reach out to young people. Larger cities in Finland also have outreach workers engaged in street work. In 2012, outreach workers were in touch with over 20,000 young people and 75% of their customers were placed into different activation measures. Other well-developed examples of outreach work are found in Sweden, Denmark and the Netherlands. In Sweden, the responsibility for tracking young people who drop out from secondary school until the age of 20 also falls on municipalities, which are responsible for their activation as of A similar situation is found in the Netherlands; but paradoxically, as municipalities are also in charge of paying social benefits to young people, there have no incentive to reach out to unregistered NEETs. In Lithuania, the implementation of the Youth Guarantee has stimulated the development of youth outreach policies. Youth outreach in Lithuania In Lithuania, in addition to the youth measures delivered by the PES (Lithuanian Labour Exchange), the Youth Guarantee implementation plan foresees the development of outreach youth work. This strand of the Youth Guarantee targets NEETs who are not registered with PES and it is implemented by dedicated open youth centres, coordinated by the Department of Youth Affairs. Every municipality should have a Youth Affairs Coordinator to engage with youngsters with the help of social workers. In open youth centres/spaces, young people are provided with social and psychological rehabilitation services and opportunities to get engaged in voluntary youth activities, with a view to build up their motivation for work and/or study. Stage 2. Initial assessment, guidance and employment planning, leading job and activation matching service Following engagement in the Youth Guarantee, participants typically benefit from an initial assessment of their skills, competences, qualifications and aspirations. The first assessment may be based on a face-to-face or telephone interview(s) or submission of an application form. This usually leads into individual action planning, with the PES or another organisation having the responsibility to draft a detailed individual employment plan together with the jobseeker. Depending on the background and profile of the jobseeker, the next step may involve career coaching, job matching or referrals to activation measures. 13 Tuusa M., Pitkänen S. (2014), Host Country Discussion Paper - Review of the Youth Guarantee in Finland. 8

12 Table 2. Youth Guarantee services linked to Stage 2 Stage 1: Engagement of young jobseekers Stage 2: Initial assessment, guidance and employment planning, leading job and activation matching service: - Initial assessment of young jobseekers skills, competences, qualifications and aspirations - Individual action / employment planning - Career information, advice and guidance - Coaching on job search skills - Job and activation matching and referrals Stage 3: Activation and upskilling measures Stage 4: Follow up and monitoring Source: ICF 2014, on the basis of discussions at the Peer Review As an example, the recently revised Danish Youth Guarantee is based on a contract between a job centre and young person. The contract is drafted which outlines three specific deadlines for each young client; a deadline for finding an appropriate course or training opportunity, a deadline for application and a deadline for starting the course. In Finland, the PES are measured against their target to prepare an individualised employment plan for each young jobseeker within two weeks of PES registration. Stage 3. Activation, employability and upskilling measures (provision of quality offers ) Activation, employability and upskilling measures are typically offered for those jobseekers who are not ready to take up employment for example - due to lack of qualifications or poor employability skills, or jobseekers who have been unable to find employment. These range from on-the-job training, mainstream education, tailored training and second chance measures to employer subsidies, entrepreneurship support and higher threshold services, such as vocational rehabilitation (see Table below). Most of them are existing measures, which may have been enhanced, expanded or complemented through the Youth Guarantee. Table 3. Youth Guarantee services linked to Stage 3 Stage 1: Engagement of young jobseekers Stage 2: Initial assessment, guidance and planning, job and activation matching Stage 3: Activation, employability and upskilling measures: - On-the-job learning, including apprenticeships, traineeships, work trials, blended models - Mainstream education and training and tailored training programmes - Prevention of early school leaving and disengagement - Preparatory programmes into E&T - Career exploration and transition programmes - Second chance programmes, including activation workshops - Employer subsidies and other incentives - Entrepreneurship support - High threshold services for those with complex personal, social or health needs Stage 4: Follow up and monitoring Source: ICF 2014, on the basis of discussions at the Peer Review In Austria and Germany, where the dual system vocational training is well-developed and is used as the main pathway towards the labour market, a key objective of the Youth Guarantee is to broaden the access to apprenticeship training and recognised vocational qualifications. This objective has been supported by national policies predating the Youth Guarantee. In Austria for example, apprenticeship training can start from the age of 15 years. The low level of remuneration of apprentices in their first year of training (around EUR 400) makes it easy for employers to hire; in addition, 9

13 employers receive a subsidy of EUR 1000 per year and an additional subsidy linked to the quality of on-the-job training. However, shortages of placements are an issue. Supra-company apprenticeships have been developed for those young people who are not able to find an apprenticeship position in a company (see box below). Other measures to support apprenticeship training includes support to employers in terms of paperwork and coaches paid by the federal chamber of commerce (based on social security contributions from employers) whose role is to inform both apprentices and employers and help to mediate problems. The Training Guarantee (Ausbildungsgarantie) in Austria The aim of the training guarantee, launched in 2008, is to help young people including people from disadvantaged backgrounds, school drop-outs or young people with learning difficulties - access apprenticeships either in a company or in a supra company apprenticeship training entity. The supra company apprenticeship training is funded by the PES and is very similar to regular company based apprenticeships in terms of content and assessment modes, and lead to the delivery of the same qualification. As of December 2013, approximately 9000 students - 7.6% of all apprentices in Austria - were enrolled in the supra company apprenticeship training. More information on supra-company apprenticeships is available here in the MLP database of labour market practices. In Germany, different types of pre-apprenticeship training schemes are available for help young people who cannot start vocational training directly, to prepare them for apprenticeship training 14. A similar scheme is in place in Sweden, where apprenticeship training has been introduced recently to complete the offer of schoolbased vocational training. In Finland, the further development of apprenticeship training is actively encouraged within the context of the Youth Guarantee through campaigns and financial incentives for employers, as the current apprenticeship system is mostly used by adult learners. In Denmark, preparatory programmes and financial support linked to participation in E&T are some of the new strategies introduced by the Government to boost activation rates of unqualified youth (see example below). Educational support in Denmark A "Youth Guarantee" was introduced in 1995 in Denmark and adapted over time. According to a new law adopted on the 1 st January 2014 concerning young people under 30 without a VET of HE qualification, all young people have to sign a contract with the job or youth centre. In exchange, they receive financial support ( educational support, no longer called benefits). The objective is that all young people under 30 who receive education benefits have to acquire a vocational or higher education qualification if they have the ability to do so. Transition programmes are offered to young people who are not immediately ready to enter vocational training and/or not sure about which study programme to choose: the building bridges to education programme involves trials in different fields of study. Those facing more complex issues receive support from a mentor and combined social, health and educational activities. Employer subsidies are a key youth employment measures in countries such as Ireland, Denmark and Finland with evaluations of the schemes showing positive net employment effects, while their use is not encouraged in countries with strong dual systems (Austria and Germany) due to concerns over deadweight effects. In Ireland however, a range of financial incentives are provided to employers who recruit young people. Efforts have been made to make businesses more aware of these measures, market them and change the language to encourage their use. Wage subsidies are 14 More information on the German pre-apprenticeship training scheme is available here on the MLP database of labour market practices. 10

14 also promoted by the PES in Finland. The measure is known as Sanssi card and this measure is now a permanent youth employment integration tool (see box below). The Sanssi card (chance card) in Finland The Sanssi card grants access to a wage subsidy for the employer (a company, municipality or other type of employer) for work performed on an employment contract or as part of an apprenticeship. Young persons can be issued with a Sanssi card at the PES offices, which are tasked to raise awareness of the measure among jobseekers and employers. The wage subsidy amounts to approximately EUR 700 per month (for a full-time job) and is reduced for a part-time job. It can last up to ten months (24 months for young people with partial work ability) or the entire training period in the case of an apprenticeship. The subsidy can be used to support different successive contracts interrupted by periods of registered unemployment, until the young person has found a sustainable job. Very frequently, young people are offered temporary contracts and they alternate work and studies. Employers generally use the subsidy for a period of 4 to 6 months. The scheme is easy to access as there are no requirements for employers to offer employment once the subsidy ends. The raft of measures offered within the Youth Guarantee should reflect the heterogeneity of young people s starting points. Indeed, additional measures should be available to support groups of young people who have personal, social or health needs and may require intense individual coaching/support. As briefly outlined above, in France, a new measure focusing on young people most at risk has been recently launched to complement the existing offer of youth policies. The measure relies on the existing infrastructure for providing support to young people but includes a new allowance for the participants (see box below). France s Garantie Jeunes for most disadvantaged young people This new scheme was launched in October 2013 in a form of ten local pilot projects. The geographical coverage of the scheme will be progressively expanded to other areas, with a view to reach 50,000 beneficiaries in The measure targets NEETs aged at risk of exclusion. The scheme is based on a work-first approach: in addition to guidance, participants are provided with different types of professional experiences (short placements) to help them get a foothold on the labour market, completed by other training opportunities. One of the targets is that 80% of the participants should get their first professional experience in the first 7 weeks. Participants are also entitled to a means-tested monthly allowance (up to , compatible with wages within a certain ceiling). This is an innovative aspect of the measure, as young people in France are not entitled to social benefits. The support is provided by the Missions locales (specific youth centres which are part of the public employment services) and each young beneficiary is followed by a personal counsellor. New participants are selected by a commission meeting on a monthly basis and gathering different stakeholders (state, local authorities, PES, mission locales, etc.). Participation is based on the mutual engagement between the PES and the young person. It is formalised by a contract, signed for one year and renewable once. Support can be suspended if participants do not respect their engagements. A follow-up support for a 6 months period is ensured for those participants who find a job. The so-called youth workshops / production schools are used widely within the context of the Youth Guarantee for example in Luxembourg, Austria, Denmark and Finland. They are well established practices of which service offer may have been expanded through the Guarantee. The local youth workshops in Finland combine different aspects such as work experience, counselling and training (see box). Youth workshops in Finland Workshops are similar to production schools : their purpose is to help vulnerable young people enter the labour market (or re-enter education) by improving their skills through 11

15 practical learning and personalised support. Young people can be referred to a workshop by the PES, who buy their services. When a young person joins the workshop, an individualised plan is set up, which can involve training or enrolling into a formal school on a part-time basis. Participation in workshops helps young people to improve their work habits and sense of self-efficacy and to acquire relevant skills. However, as workshops are not part of the formal education system, participants can only receive credits through an agreement with an education institution. The length spent in the workshop varies across individuals, but is on average of 6 months. Youth workshops are one of the measures most positively valued by young people, according to surveys carried out by Finnish youth organisations. In 2012, young people under the age of 29 participated in workshops. After the workshop period, more than four-fifths (80%) found a place in education, work or other measures. More information on this measure can be found here on the MLP database of labour market practices. Higher threshold services are needed for young people with personal, social and health problems - young people who have a limited ability to work. The delivery of support for this target group is based on the close cooperation between employment services, municipal and health care services. In Finland, the PES counsellors can refer young people to other actors, such as KELA, the social insurance institution, which offers vocational rehabilitation to help unemployed young people with learning or health problems. A recent change in legislation has made vocational rehabilitation easier to access. The key objective is to motivate and enable young people facing specific issues to the next steps towards integration by taking into account their general circumstances for an effective and multi-faceted reintegration. In addition, it carries out projects for group-based rehabilitation with young people with psychological problems, or with substance abuse. KELA also develops services online and using social media. A comparable form of multi-agency cooperation can be found in Denmark. According to new legislation enforced since 2013, in case of rehabilitation for individuals over the age of 18, the social services, employment services and health care services need to elaborate jointly an individual plan, on a case-by-case basis. The young unemployed person is also present and participates in this discussion. Social workers employed by municipalities are competent to refer a young person to such a tripartite commission. Stage 4. Follow up of participants The follow up of Youth Guarantee participants was not discussed to the same extent than the measures linked to the other three stages, but in general terms, the followup is rarely systematic and when available, it tends to be linked to the most vulnerable youth (e.g. outreach workers in some countries have a responsibility to follow their customers up to one year from the referral). Table 4. Youth Guarantee services linked to Stage 4 Stage 1: Engagement of young jobseekers Stage 2: Initial assessment, guidance and planning, job and activation matching Stage 3: Activation and upskilling measures Stage 4: Follow up and monitoring Source: ICF 2014, on the basis of discussions at the Peer Review 12

16 4. Working with employers Another key component of the Youth Guarantee, which is common to all Member States, is the need to strengthen links with employers so as to increase traineeship, work trial, apprenticeship and employment opportunities for young jobseekers. As already discussed in previous activities of the Mutual Learning Programme 15, the success of the Youth Guarantee relies on a large part on the commitment of employers and in their active participation in the delivery of the planned measures. While this remains a common challenge for all countries, some examples of successful strategies to ensure employers buy-in could be identified during the event: Investing in dedicated services and personnel in the PES who can proactively identify placement and apprenticeship opportunities, Minimising the administrative burden for employers, Offering incentives for employers and ensuring that they are linked to the quality of the job, apprenticeship or on-the-job learning provided; subsidies should be well-targeted in order to avoid deadweight and replacement effects. Diversifying placement types, such as offering alternatives to existing forms of apprenticeships and other on-the-job learning opportunities. Working closer with employers also requires a change of approach for PES counsellors and other agencies acting as intermediaries with employers. In France for instance, the missions locales (one-stop-shops for young people) have gained importance in the delivery of employment policies. Their role as intermediaries is also evolving, as they are now in charge of contacting employers and offering them new services in a proactive approach, in addition to their traditional role of matching vacancies and candidates. In Finland and Luxembourg, extra resources have been allocated to PES in order to increase their capacity to undertake proactive work with employers. Furthermore, the level to which employers will feel accountable and engage as partners depends on the importance of the political commitment, media attention and public awareness of the Youth Guarantee. A good public awareness and high media profile means that it is in the interest of companies to get involved from promotional and CSR perspectives. In Finland, examples of company-specific Youth Guarantee programmes can be found (see box below). An example of employer engagement: the Youth Guarantee programme at the Kesko group in Finland The Kesko group specialises in retail in areas such as food and home goods and it employs some 30,000 people in Finland. Young people under the age of 30 account for half of employees. The group launched its own Youth Guarantee programme in October 2013 and it is a part of the group s corporate social responsibility programme. Youth Guarantee beneficiaries are employed and taken on trainees by the group by utilising the various measures of the scheme, such as the wage subsidy scheme Sanssi Card, work trials and apprenticeship training. A coordinator has been hired to support and coordinate all activities undertaken as part of the Youth Guarantee programme. This includes representing the company at meetings and trade fairs and ensuring the sharing of knowledge across the organisation. Young people interested in applying for a job or placement at Kesko can contact the coordinator for one-to-one support. It is also the task of the coordinator to support managers in planning and recruitment of young jobseekers. 15 See for instance the Learning Exchange on Apprenticeship Schemes in Austria (November 2013), which discussed ways to increase employers involvement. 13

17 In 2014, a total of 1,200 unemployed young people have been hired by the group. This has been made possible as a result of the commitment of the top management at Kesko, as well as efficient cooperation with local PES offices and the Ministry of Employment and Economy. 5. Youth Guarantee partnerships Cross-administrative working is a crucial element in the design and implementation of a national Youth Guarantee scheme. Partnerships are important because they have the potential to: Promote effective and efficient use of resources, both financial and personnel, Ensure a comprehensive approach which brings together all key youth employment services, Encourage and enable partners to solve problems and bottlenecks in service delivery, and Help to ensure that also young people with most complex needs are reached by the scheme. In order to ensure that no young person is left behind, partnerships should be designed from the client s perspective. Each young person should be offered (1) a comprehensive and blended service offer that meets his/her needs (in terms of work placement as well as education and training but also more broadly, subsistence, housing, and social and psychological support); (2) quality guidance, and (3) a seamless transition between services and service providers. A number of Member States have established two parallel processes of cooperation at the national and local level. While cooperation at the national level provides impetus and direction and serves to monitor the implementation of the guarantee, partnerships at the local/municipal level aim to ensure an integrated service delivery. The importance of comprehensive partnerships at both levels is well illustrated by the Finnish example. National and Municipal Partnerships in the delivery of the Youth Guarantee in Finland Led by the Ministry of Labour and the Economy, the National Youth Guarantee Working Group brings together 6 different ministries 16, the social partners, representatives of entrepreneurs as well as local and regional authorities, social insurance institution and youth organisations. Prior to the launch of the Youth Guarantee, the Working Group prepared proposals for its implementation, as well as the budgetary impacts and potential legislative amendments arising from them. In order to make informed decisions, the Working Group utilised the results of a survey of over 6,300 young people regarding their future and reviewed comments and recommendations from more than 50 experts, including academics, government officials, business community, young people and their representative organisations, and other NGOs. Since its launch on 1 st January 2013, the Working Group is responsible for monitoring the implementation of the Guarantee. At the local level, the Youth Act (2006) requires that municipalities have a youth guidance and service network responsible the delivery of youth services and organising cooperation among local partners. This multi-sectoral network includes representatives from education, social, health and youth services, as well as labour and police administration. Its tasks include: (1) gathering contextual information to support local decision-making and planning, (2) promoting the integration and effectiveness of services, (3) developing shared procedures for steering and guiding young people across services, (4) promoting the smooth exchange of information related to the provision of services for youth. In order to lead this process of 16 Ministry of Employment and the Economy, the Ministry of Education and Culture, Ministry of Defence, Migration Department of the Ministry of the Interior, Ministry of Social Affairs and Health, Ministry of Finance. 14