Skills Training and Employment for Youths in NEPAL
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1 Skills Training and Employment for Youths in NEPAL Lava Deo Awasthi, Joint Secretary/MoE Shiva P. Aryal, Country Director, Helvetas Nepal Bal Ram Paudel, Fund Manager, Employment Fund
2 Country and Sector Issues Nepal: Diversity in livelihoods and Richness in human capital Low economic base and high rates of income poverty (1/3 pop in poverty) Per capita income US$ 350 Unemployment (11%) and under-employment (50%) visible in rural and urban areas Conflict and post-conflict contexts Effects on Girls and Women (facing social, economic and location disadvantage) Collaboration and process of partnership building
3 Priority of Government of Nepal Remittance in non-conventional job markets Interim Constitution and Three Year Plan: Youth employment and Income generating Program Integrated approach to youth employment Harmonization, Alignment and Integration for concerted efforts Employment Fund Chaired by MoE: SDC, DFID, the Word Bank Integration with Govt. Pool Fund initiatives
4 Nepal s Political Context AGEI: Innovative Pilot for generating knowledge Model building and enabling environment Flexible framework and targeted interventions: Govt., Development Partners and Private sectors working together WB s entry to AGEI instrumental in systemic and strategic interventions Sustainable and locally appropriate trades and post training support AGEI for income and non-income support for PR
5 The Skill and Employment in Nepal 450,000 young people enter the labour market every year 50,000 young people Receive skills training from public and private training providers,
6 Funding Modality Employment Fund Public and Private Organizations SDC/DFID/World Bank Other Donors Employment Fund Procurement of Products & Services Resource Organizations Private sector Training & Employment Service Providers
7 The Objective Provide skills training to economically poor and socially discriminated out of school youth, years of age (AGEI years) and ensure their gainful employment through Private Sector Training and Employment Service Providers
8 Target Young Female and Male: age yrs Young girls under AGEI: yrs Economically Poor people Below Grade 10 level education Socially Discriminated (e.g. Women, Dalit, Janajati)
9 Key Features Differential Pricing Mechanism: Service Providers are paid higher rate for the most disadvantaged group/category. Incentive based System: Service providers are paid additional amount for 6 months employment guarantee. Outcome based Financing: First installment after training, subsequent payments after 3 months and 6 months employment. Private Sector Partnership: Private firms are the service providers, identifies trainings needs as per the market. Mobile Training: Trainings are offered at the nearest market centre which is close to the participants home.
10 Project Components Communication and Outreach: Communication strategy for better information to the target. Skill Training and Employment: 3 months occupational skill trainings, skill test and employment service Skill Plus Packages: Business Skills, life skills, facilitation for credit, coaching, counseling and consulting in addition to core skill. Research and Innovation: Identification of new occupations, methods, curricula and manuals Capacity building of T&E providers Impact Evaluation: Final findings by the end of 2012.
11 Organogram
12 How does it work? Youth from Disadvantaged Groups Occupational Skills training Gainful Employment Training and Employment Service Providers Procures services Others Employment Fund Funds SDC, DFID, World Bank
13 Service Procurement Process Public Announcement for Letter of Intent (LOI) Letter of Intent (LOI) Submission LOI Assessment & Screening Orientation Workshop working modality and Rapid Market Appraisal (RMA) RMA Report submission, Assessment and Screening Service Proposal Submission Proposal Evaluation and Yearly Plan of Operation (YPO) Preparation YPO Approval by the Steering Committee Agreement Signing 13
14 Glimpses of training
15 Project Progress overview 2009 Total number of young people trained Total employed Employment rate 80% Average cost per person trained and employed( NRS.)... 20,000 ($285) Average income per month (NRs.) ($53) Total Number of Training and Employment providers 17 Total Number of Franchisees/Technical Training Providers 36 Number of District Reached (out of 75 in total).. 39 Number of Trades 48 Number of New Trade Identified, Women % Trained 57% Category of people Trained a) Category-A 14% b) Category-B 76 % c) Category-C 10 % Skill test Pass % 81 % ( Average)
16 Project Progress overview 2009
17 Targets & Groups Target Trainees Year
18 Targets & Groups Adolescent Girls, 10% Men, 40% Other Women, 50%
19 Quality Assurance Mechanism Rapid Market Appraisal (RMA) Training of Trainers to all trainers Training courses based on occupational skills standards/curriculum of Government Market Compatibility of training courses Skill Test Mandatory for all trainees Plus packages required for sustainable employment: Life skills, credit linkage, business skills Post Training support in the process of income verification
20 Major Challenges Monitoring: Employment and Income verification Women focused trade: achieving employment rate Identification of non-stereo type trades attractive to women Selecting the Target Group - Attracting AGs sufficiently - Verifying Education level (below grade 10) - Verifying Economic Condition
21 Lessons Learned in Design and Implementation Outreach has been expanded with better communication Incentive system is proved as instrumental to bring poor & discriminated Post financing system has been proved as key factor to work hard for ensuring employment to trained people Graduate receiving continued post training support are performing better Value addition of the plus packages are yet to be confirmed (Life skill, Business skills and Access to Credit) Local level service providers are more effective in post training service
22 Thank You!
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