Decent work and quality jobs for young people
A collection of articles on the employment situation and working conditions of young people in Ireland, Italy and Denmark. INDEX
Foreword 1 Young People Not in Employment, Education or Training 2 Ireland 4 Italy 10 Denmark 13
This collection of articles has been developed as part of the project “Decent work for European youth – active methods and best practices” supported by the European Commission’s DG Employment, Social Affairs and Inclusion. The content of this publication is the sole responsibility of the author and can in no way be taken to reflect the views of the European Union.
Youth Job Patrol aims to promote the participation of young people in industrial relations (that is to say in the employer-employee relationship and social dialogue) by helping them to get informed about their rights and discuss working conditions in their workplaces through social media.
With high levels of youth unemployment and the declining quality of employment available for young people, this European network is being created to encourage young people to get more actively involved in demanding decent working conditions in their jobs and thereby stressing the necessity, relevance, and benefits of the engagement of young people in industrial relations.
The project consortium consists of organisations and team members who have a long-lasting experience in developing and sharing good methods and practices in regard to advancing social inclusion and promoting decent work. On a daily basis they operate in diverse fields such as NGOs, European networks, trade unions, educational institutes; which brings an added value to the project by their specific contribution: FIC (Denmark), SOLIDAR (European Network), CGIL (Italy) and IDEAS Institute (Ireland).
Published in October 2013 © Youth Job Patrol Foreword
A million dollar question: from which country does the statement “our youth is lazy” derive from?
A: Norway B: Italy C: United Kingdom
Answer? All of them. And we could add several more countries to the list. The economic crisis has created a plausible platform where the blame game between relevant stakeholders in each country, has made winners of those who could convincingly pinpoint why the youth unemployment has skyrocketed. Laziness among youth has made the headlines in several European countries. Schools all over Europe report of demotivated youth that frequently drops out; the employers are tired of young people treating job interviews like musical auditions and the trade unions are bedazzled because the youth is ignorant of the unions’ fight for a decent labour market.
The European Union and its respective Member States have significant focus on youth and their future. The concept of NEETs (young people not in employment, education and training) has quickly entered the language of the Europeans, and the focus on youth employment is bigger than ever.
This is a focus we all must retain, but we also need to focus on youth that is active. A ‘NEET’ will quickly fall of the statistics if he or she enrolls in training, and an unemployed youngster will cause decrease in the youth unemployment rate as soon as he or she starts working. These are quantitative goals that are very important, but it is as important to actually engage youth in matters that concern them. Youth that is already active in improvement of the labour market must be offered a platform where they can define, develop and implement their own projects. They must be offered possibilities to influence the labour market and their interest must be nourished.
“Decent Work for European Youth” has been such a project. Our goal and mission has been to give youth a platform where they can meet and inspire each other and take ownership of the activities that would secure decent work for European youth. The focus of the project has predominantly and intentionally been on the practical exchanges, with one of the main activities being a study trip to Denmark. Here, the young people from Ireland and Italy were hosted by the young activists from the Danish Job Patrol. During the couple of days of paying visits to Danish companies, the young participants from the three countries became very motivated to establish a lasting cooperation.
I believe that each of the young participants will tell you that they have been cringing prior to the company visits. The results however are uplifting.
But do not take my word for it. Read on.
Project Manager
Dijana Dix Omerbasic, FIC
Decent work and quality jobs for NEETs | 1 Young people not in employment, education or training
The term NEET is used to describe young people struggled to make the transition from education to who are not engaged in any form of employment, work. Spurred by increasingly high youth education or training. The term has come into the unemployment rates and by the economic and policy debate in recent years due to societal consequences associated with NEET disproportionate impact of the recession on young status, EU Member States have been actively people (under 30 years old). The unemployment engaged in designing and implementing policy rate for those under thirty is nearly double the measures aimed at increasing the employability average rate. Those with low levels of education and promoting higher employment participation of are three times more likely to be NEET than those young people3. with third-level education. The risk is 70% higher for young people from an immigration background SIPTU PRESS RELEASE4: than nationals while having a disability or health issue is also a strong risk factor. SIPTU researcher, Lorraine Mulligan, said: “The rate of youth unemployment in Ireland is among Rates of NEETs across Europe1 the highest in the EU. However, the rate of young people under 29 years who are ‘not in Some 14 million young people are not in employment, education or training’ (referred to as employment, education or training across the EU ‘NEETs’) is elevated at 18.4% in Ireland this is as a whole. However rates vary widely from significantly higher than the average EU rate of around 5.5% of 15-24 year olds in the 12.9%.” In the main, this category has a Netherlands to 22.7% in Italy. heightened risk of being disengaged or distant from the labour market. “She added: “The expansion of apprenticeship/structured The cost of NEETs to Society2 traineeships and vocational education should be prioritised as part of the roll-out of a ‘Youth The economic cost of not integrating NEETs is Guarantee’ in Ireland, allowing young people to estimated at over €150 billion, or 1.2% of GDP, in gain recognised industry-relevant qualifications.” 2011 figures. Some countries, such as Bulgaria, Lorraine also stated “The Government must utilise Cyprus, Greece, Hungary, Ireland, Italy, Latvia the €6 billion funding recently agreed as part of and Poland are paying 2% or more of their GDP. the ‘Youth Guarantee’ at EU level in order to assist young people into the workforce. This will Fostered by increasingly high youth require the Government to commit resources over unemployment rates and the economic and a period of time. Engagement with the social societal consequences associated with NEET partners is urgently needed to work out how to status, there is a renewed sense of urgency to best implement a programme of supports for develop and implement policies to bring young young people, emphasising the need for quality with regard to training/further education and people (back) into employment, education or 5 training across Europe. In recent years EU workplace opportunities.” Member States have been actively engaged in designing and implementing policy measures aimed at increasing the employability of young people and promoting a higher level of employment participation among them.
There is a general consensus that the current economic situation in Europe risks the creation of a lost generation of young people who lack opportunities and pathways into employment. High youth unemployment and NEET rates show that the pathway to employment for young people nowadays is difficult. As a result of the crisis, even 3 Eurofound (2012), NEETs – Young people not in the most highly educated and skilled have employment, education or training: Characteristics, costs and policy responses in Europe 4 Http://www.siptu.ie/media/pressreleases2012/featurednews/full 1 www.eurofound.eu/emcc/labourmarket/youth story_16867_en.html 2 www.eurofond.eu/emcc/labourmarket/youth 5
Decent work and quality jobs for NEETs | 2
Decent work and quality jobs for NEETs | 3 IRELAND
Written by: Ideas Institute (Ireland)
Position of young workers on the in both welfare payments and lost revenue as well 6 labour market as in lost production .
In today`s economy young people especially Between 2010 and 2011, the deterioration in the those under 25 have been badly hit by the labour market indicators for the younger age recession. Ireland now has one of the highest cohorts was notable: the younger age groups rates of youth unemployment in Europe. One were relatively more affected by outward in four young people aged between 17-25 migration, with those aged 20-34 being years are jobless. Figures in last year`s census particularly adversely affected, despite the growth show the unemployment rate in the 15-24 age in the overall population, it is estimated that the group is almost three times the overall rate of number of persons aged 20-34 declined by almost unemployment at 39%. It also found that more 44,000 the number of 20-34-year-olds than 82,000 of people under 25 were out of work. participating in the labour force declined by More than 30% of unemployed people under 25 approximately 40,000 the number of unemployed have been unemployed for more than 12 months. persons aged 20-24 declined, the only age cohort People aged 25-44 accounted for the largest for which a decline occurred the decline in the number of emigrants with 39,500 people leaving labour force participation rate was the sharpest for the country and this has increased from 31,300 in those aged 20-24. the previous 12 months. With regards to the age distribution of Since early 2008 there has been a severe employment, those aged 25-34 were the largest deterioration in the Irish economy, which has had category in quarter 4 2011, with almost 29% of major knock-on implications for the labour market. employment falling into this age group .However, Unemployment increased from around 4.5 per the share of those younger than 35 in total cent at the end of 2007 to over 13 per cent in employment declined by 1.5 percentage points 2010. Given the scale of the problems currently when compared to quarter 4 2010. At the same facing the Irish economy, the level of time, the share of those aged 55 and above unemployment is likely to remain high over the remained effectively unchanged. medium term. In this context it is particularly important to implement effective activation The Charts below shows the education measures to assist and encourage jobseekers distribution of employment for the working age to remain active in the labour market and/or to population (persons aged 15-64) in quarter 4 increase their employability in order to avoid 2011. Approximately 45% of employment was in long-term unemployment. Prevention of long- the third level category: 29% holding an honours term unemployment is important from both degree or equivalent (a two percentage-point rise economic and social perspectives. on the share in quarter 4 2010) and 16% with a non-honours degree (a 1.3 percentage point The long-term unemployed find it particularly drop). Almost 39% of persons in employment held difficult to find work, even when demand for labour higher secondary/FET qualifications, a marginal increases. This disparity arises partly because increase on the share observed for quarter 4 they tend to have lower levels of education and 2010. The share with below higher poorer labour market experience, and partly secondary/FET qualifications was just above 16% because their skills deteriorate and those with - a decline of one percentage point. shorter spells of unemployment are better able to compete for jobs. In addition, long-term unemployed individuals are more likely to suffer from social exclusion and poor health. From the perspective of the wider economy, long-term unemployment entails substantial financial costs
6 SLMRU(2012), National Skills Bulletin 2012, A Study by the Skills and Labour Market Research Unit in FÁS for the Expert Group on Future Skills Needs
Decent work and quality jobs for NEETs | 4
Employment by Age % (Quarter 4 2011) 35
30
25
20
Age Groups 15
10
5
0 15-19 20-24 25-34 35-44 45-54 55-59 60-64 65+
Source: SLMRU (FÁS) analysis of CSO data
Employment by Education (Highest Level Achieved) (%), Quarter 4 2011
Third Level Honours Degree or Above 29.1% Lower Secondary and Below16.3% Higher Secondary/FET 38.8%
Third Level Certificate/Below Honours Degree 15.9%
Source: SLMRU (FÁS) analysis of CSO data.
Decent work and quality jobs for NEETs | 5 Exploitation of young workers way to tackle these problems is for young people 7 to get organised through a trade union . In Ireland, youth unemployment was a reality even during the days of the Celtic Tiger. We have had, Due to the economic times we are in many for over a decade, one of the highest rates of young workers are been exploited in many youth unemployment in Europe. At the same time, different area`s such as Nurses, Guards, young people in the workforce often face teachers, low paid workers, professional people exploitation and discrimination because of their and workers in the construction area. The current age. Jobs available to young workers have economic crisis has generated a number of shifted towards part-time, casual and previously unseen issues. Apprentices are now temporary employment lacking security, unable to complete their training since there is no paying lower wages and with a high turnover work for them to complete their field modules. of staff. Due to the huge rise in unemployment Those anyway involved in the construction or along with the relentless attack on working motor industries find themselves now considering conditions, there is also now the fear of a new other life options. brain drain as young Irish people are forced to emigrate. Many young Irish people think their jobs Business has almost grinded to a halt in some outlook is bleaker than that of the rest of the cases. Professional people, for example Solicitors population and the evidence backs this up. and Architects, now face the shock of joining the dole queue after having spent years studying in According to Eurostat, the EU’s statistical office, order to acquire professional qualifications. One the rate of unemployment across the 16-member exceptional feature about this current economic euro area stands at 10%, but youth predicament is its global affect. In the past, the unemployment in the same area is 20.4%. option of finding work abroad remained. Similarly, the unemployment rate across the Consequently, many Irish immigrated to richer whole of the EU was 9.6% in 2010, but in the pastures. However, within the current context, same period the youth unemployment figure was every nation on every continent is affected by the 21%. Youth unemployment in Ireland was downturn. Unemployment is rife everywhere. calculated as 29.1% in March this year when Unlike the 1970s and 1980s, today’s unemployed the overall figure was 14.1%.Therefore, using the Irish people have nowhere to go in their quest to International Labour Organisation definition of an find work. unemployed person [i.e. someone looking for and available for a job],the youth unemployment rate Case: Teachers in Ireland in the EU is more than double the overall unemployment rate. The pay of Irish teachers has been among the worst hit by cuts to education systems across 34 In the EU, two out of every 10 young people in countries, the European Commission has the labour force is unemployed. In Ireland, this reported. While a 20% increase in teachers’ figure rises to almost three in every 10 young income over the previous decade was one of the people. While educational qualifications are still highest across Europe, the report — to coincide the best insurance against unemployment, the with World Teachers’ Day — highlights the impact challenge facing jobless youth in Ireland is the on entrants to the profession. Teachers who have failure of government to stimulate jobs growth in started work since the beginning of 2011 started the services, sales and construction industries on 13% less than others, while those appointed which traditionally employ young workers. Without since last February faced a further 20% drop on a jobs strategy focused on retaining our school foot of suspended qualification and other leavers and graduates in this country, we face the allowances. prospect of losing a generation to emigration. For young people out of work, or in precarious and Although these have subsequently been stopped exploited employment, the question to ask is do for anybody who started teaching after last we need to wait until our youth unemployment February as part of last month’s public service rate is as high as that in Spain before we act? allowance review, a revised salary scale for new The organisation and participation rate of young teachers has slightly reduced the overall impact of workers in trade unions is low. As a result, many the cuts. The starting pay of any new teacher young workers – unaware of their rights – since Feb 1 is €30,702, compared to €32,240 for experience unsafe, exploitative and discriminatory those who started between Jan 2011 and that work practices. But the message is clear: the best 7 www.siptucommunicationsdepartment.newsweaver.ie
Decent work and quality jobs for NEETs | 6 date, or almost €37,000 for new teachers in 2010. At present, it is not the desire of some student nurses to emigrate, however, the way the The Irish National Teachers’ Organisation says government is treating our profession it may leave the difference between earnings in the first some with no choice. decade for those starting this year and in 2011 will be almost €4,400 but would rise to over €100,000 After studying and working hard for four years to across a 40-year career, or €250,000 when earn our honours degree these students feel it is compared to a 2010 entrant. The pay of serving unfair and unjust we will have a starting salary teachers before the signing of the Croke Park deal that is less than that received by other in 2010 cannot be cut by Government. occupations in the hospital which do not require a degree. However, the three unions representing teachers are preparing an equality case on behalf of those Naomi Alexander Leacy, who signed the petition who started last year on the grounds of age yesterday, said she thinks the cuts are discrimination, which they hope could make the disgraceful, especially when other hospital campaign to reverse the cuts easier. “It’s not positions go untouched: I realise everyone is conscionable or fair that people doing the same enduring cuts, but the repeated cuts on nurses, job are on different pay rates and it simply has to and student nurses in particular is offensive when be and will be put right, the only question is when so many other positions in the hospitals go and how,” INTO deputy general secretary Noel untouched. Ward told recently-qualified teachers in Cork .At his inauguration the new president of St Patrick’s Liam Doran, General Secretary of the INMO said College in Dublin, Dr Daire Keogh, warned cuts to the HSE announcement was “tarnished and new teachers’ pay could make the profession less sullied” by the announcement of reduced pay and attractive. He said ending payment of that they would seek discussions with the HSE in qualifications allowances to serving teachers order to address the shortcomings. would disincentives them from improving their skills. Case: Croke Park Agreement
Case: Student nurses against paycut The Croke Park Agreement (CPA) is an agreement reached by the government and the Young nurses are also been exploited over 1,600 Public Services Committee of the Irish Congress people have signed an online petition calling on of Trade Unions (ICTU) as well as the Garda and the cuts to nurses’ pay to be reversed. It comes Defence Forces representative associations in after the Health Service Executive announced June 2010 i.e. public sector workers. Officially the recruitment of 1,000 graduate nurses and mid- known as the Public Service Agreement – but wives to the public health service next year. The given the name because of the venue where graduate nurses will receive a two-year contract negotiations took place (in its conference facilities and will be paid a rate of 80 per cent of the first as opposed to on the field!) – it runs from 2010 to point of the salary scale for a staff nurse. 2014 and is broadly a commitment by the public service to “change the way it does business” and The HSE8 said that those recruited can earn in return there is a commitment from the “approximately €26,000 per annum including government that there will be no reductions in pay basic pay and premium pay”. The recruitment rates or compulsory redundancies within the drive aims to save around €10 million for the HSE public sector. by reducing the reliance on agency workers and overtime. Excluding those who work in semi-state companies like the ESB there are just over 334,000 people working in the public sector which accounts for just under a fifth of the current workforce in Ireland. That makes the agreement a An online petition, Student Nurses against Paycut pretty significant one within the Irish labour signed by more then 1600 young people, read9: market. Unions such as the country’s largest, SIPTU, are worried about the effect the deal is having on low-paid workers which they believe are being disproportionally affected by roster 8 The HSE provides all of Ireland's public health services, in changes, redeployment, extended working days hospitals and communities across the country and loss of allowances. 9 www.irishtimes.com
Decent work and quality jobs for NEETs | 7 Orders (EROs).A Collective Agreement which Case: Penny’s results from negotiations between trade unions and employers and has been registered with the In recent news the retail giant Penny`s (Primark) Labour Court it is known as a Registered are refusing to give their staff pay rises. Staff at Employment Agreement (REA).Employers in Penney`s have been refused a 3pc pay rise. The sectors covered by an ERO or REA are obliged by retailer has seen business boom during the law to pay the wage rates and provide the recession as shoppers flocked to its stores to buy conditions of employment prescribed by the up cheaper clothes. But talks on a 3pc pay rise for orders and agreements11. 3,000 staff collapsed, with Mandate now having referred the dispute to the Labour Court. The Statutory minimum hourly rates of pay trade union said the bosses at the British-owned retailer would not commit to giving the increase. In Employee Minimum Hourly Rate of a letter, Mandate said: "Despite Penney`s Pay Experienced adult worker €8.65 per working hour achieving consistently huge profits during the years of recession, the disappointing response by Under age 18 €6.06 per working hour management was to produce a list of counter- demands." The retailer proposed a lower pay In the first year after the date €6.92 per working hour scale and a cut in Sunday premiums for new of first employment over age 18, recruits, the union said. Penney`s management whether or and union representatives last met at the Labour not the employee changes Relations Commission on March 1. Revenue at employer Primark - operating as Penney`s in Ireland - was during the year In the second year after the €7.79 per working hour up 13pc to €3.54bn in the year to the end of date September 2011. The dispute comes after about of first employment over age 14,000 staff at Dunne’s Stores was awarded a 18, 3pc pay increase. It represented the first pay rise whether or not the employee 10 changes for staff at the retailer since December 2007 . employer during the year
In a course of training or study €6.49 per working hour Legislation to protect young workers over age 18, undertaken in €6.92 per working hour normal €7.79 per working hour working hours The Protection of Young Persons (Employment) 1st one third period Act, 1996 is designed to protect the health of 2nd one third period young workers, and to ensure that employment 3rd one third period done during the school year does not put their NB Each one third period must be at education at risk. The law sets minimum age limits least one month and no longer for employment, sets rest intervals and maximum than working hours, and prohibits the employment of twelve months. those under 18 years of age on late night work. Experienced adult worker Labour Court will decide the named lower The National Minimum Wage Act 2000, became by the Labour Court in hourly rate of pay that the law on the 1st April, 2000. From 1 July 2011 the granting a employee national minimum hourly rate of pay is €8.65. See temporary exemption to an must be paid for the period below a table outlying the statutory rates of pay in employer of the from paying €8.65 per working temporary exemption Ireland. hour NB. Minimum period of Employees in certain sectors in Ireland are temporary covered by specific agreements regarding their exemption is 3 months and maximum employment - Employment Regulation Orders period is 12 months (EROs) and Registered Employment Agreements (REAs). These agreements deal with the pay and working conditions of the employees in these sectors. The various agreements on pay and conditions made by Joint Labour Committees (JLCs) are known as Employment Regulation
10 www.eveninghearld.ie 11 http://www.employmentrights.ie
Decent work and quality jobs for NEETs | 8 Activities and Information Campaigns unemployment. They have built upon models that have been used in Finland, Sweden and Austria. At present there is not sufficient political It includes a “Youth Guarantee” which would give leadership on the issue of youth unemployment, under 25`s a guarantee of quality work, training or many of the actions and initiatives are spread education with 4 months of leaving school or across 3/4 Departments and a range of state losing a job. The European Youth Guarantee agencies. Reverse the cutbacks in social welfare campaign was launched in Dublin at start of to young jobseekers -the new policy is ill-thought December .The Department of Social Protection out and does not take the needs of different young has submitted a proposal for €250,000 from the people into account. At the moment some young European Commission for a `preparatory action` people are forced to engage in education and Youth Guarantee scheme in the North-side training which is of little use to them just to retain community of Dublin which is due to run from April their benefits. The vast majority of young people 2013 to April 2014. want a job and failing that want education, training or work experience12. Recent initiatives that the Government has 13 introduced are : Forfás, Ireland’s policy advisory board for JobBridge- National internship Scheme enterprise, trade, science, technology and Pathways to Work- Government Policy innovation, has recently completed a review of Statement on Labour Market Activation Training Programmes. The findings raised a Work Placement Programme number of questions about the focus and Tús- Community Work Placement effectiveness of some of the programmes Initiative provided. This review indicates that some of the Back to College Initiative for Jobseekers programmes need to address dropout rates, are not sufficiently targeting those on social welfare, have lost focus on their target group and need to Sectors where jobs are available do more to ensure participants make progress According to a report produced by the Skills and after the course is over and provide certification. Labour Market Research Unit (SLMRU) in FÁS for NYCI believes that the following changes are the Expert Group on Future Skills Needs (February 2013) vacancies were most frequent for required. 14 Increased investment in supports and the following :
measures to retain young people Sales, marketing and customer service particularly disadvantaged youths on Business associate professionals (e.g. training courses. sales accounts and business Courses such as the local training development managers, business sales initiative should be refocused on young executives) job seekers between 16 and 25 years of Sales occupations (e.g. field sales agents, age. retail sales assistants) Training opportunities should be targeted Customer service occupations exclusively at those who are unemployed, Science and engineering professionals particularly young people and the long IT professionals (e.g. term unemployed. programmers/software developers, IT All state funded courses should be business analysts, web designers, IT required to provide certification within a 3 specialist managers) year period. Ø Courses should be Design and development engineers required to demonstrate their effectiveness in supporting the Process engineers progression of young people into further Business professionals education, training or employment. Financial project management Where courses or programmes are not professionals, chartered accountants, delivering for young people, the resources management consultants and business should be diverted to other more effective analysts, regulatory professionals, quality programmes. control professionals. The European Commission has proposed new measures to tackle the high levels of youth 13http://www.citizensinformation.ie/en/employment/unemploym ent_and_redundancy/employment_support_schemes/national _internship_scheme.html 12 www.rte.ie/news 14 http://www.skillsireland.ie/
Decent work and quality jobs for NEETs | 9 ITALY
Written by: CGIL FILCAMS (Italy)
The employment situation of young at 41%. The reduction affects both genders and people in Italy all regions. The OECD data speak of an Italy where people To discuss the nature of the employment situation remain below the poverty line beyond 40 years of of young people in Italy first we must understand age and reveals a labour market in which young what is meant by "young people" in Italy. people find themselves in precarious and poorly paid conditions, where they come and go, as if If, in other European countries, particularly in the they were stuck in the revolving door of a hotel. countries of Northern Europe, they are the under- 25s, under-27s, under-30s who are considered The low employment rates recount/denounce young, in Italy in the third millennium people under three realities that characterise Italy: 35 are considered as young, a standard which tends constantly to be raised to include those 1) The extreme prolongation of the period of generations that have an uncertain employment internships and apprenticeships, tools that status or who do not enjoy stable employment; employers often abuse to take advantage nor are they autonomous, against their wishes, of of free or almost free labour and a young, their family of origin. Young is, therefore, also dynamic, enterprising, industrious those who are no longer "young". workforce often willing to do anything in hope of being hired. An expectation that 9 To describe their situation, we start with the times out of 10 will end in disappointment. official numbers and statistics (ISTAT 2012): Only 1 in 10 young people, in fact, after an internship in a private company In the 15-24 age group, that is, in the age receives an offer of employment. In group which includes school leavers, school most cases, young interns are sent home leavers with professional qualifications, school and replaced with other interns. leavers with another certificate of study, university students, in short a population of 2) Moonlighting: from the data of around 6,041,000 people, the economic Almalaurea, an organisation that monitors activity rate is equal to 28.7%. This means the placing of graduates in the labour that 71.3% are not working nor looking for market, it emerges that about 13% of work and are involved in other activities. Of graduates in medicine, law, those who are active, only 18.6% have a job. architecture, pharmacy, chemistry and Those who are looking for work but cannot veterinary find themselves in find it number about 611,000, a figure that unreported employment. This means already in 2013 has risen to 650,000. that not only do they receive less than they ought to receive, but also that they In the 15-29 age group, a mid-range which are totally without protection and NI and includes school leavers and graduates, the social security contributions. economic activity rate is 43.5% and only 32.5% are working. 3) The existence of multiple types of precarity: not only fixed-term In the 25-34 age group, which includes employment, which now affects 2.5 graduates, young people with a high level of million people, but also forms of education, young people with work “parasubordinate” work (contracted- experience, etc. (a population of 11,625,000 out work) that continue to grow and people), the economic activity rate is just over multiply, leaving entire generations half, the equivalent of 54%. Only 40% (about without any contractual reference 4,667,000) are employed, while 14.9% (about point and deprived of most of their 815,000) are actively seeking work but cannot basic rights: about 4 million people. find it. Since the 1990s, Italian Governments have In short, the employment rate of those aged introduced types of fixed-term contracts, with the between 15 and 34 years continues to fall: it is declared intent of encouraging job creation. In
Decent work and quality jobs for NEETs | 10 reality, employment for an indefinite period has accident, a dispute, joining a union), which, been replaced with temporary employment, however, should be prohibited by law and the subordinate (or dependent) employment has been Workers' Statute. replaced by forms of para-employment or freelancing. 85% of new appointments take place In addition, the risk for the young precarious through one of the 46 types of employment worker of tumbling, on the loss of contracts foreseen in the Italian legal system. The employment, into the abyss of poverty and result is that the index of Strictness Employment social exclusion is very high, because the risk Protection, with which the OECD measures the is elevated of not having the minimum degree of rigidity of a job and ease of dismissal, requirements for access to unemployment has fallen to 1.77% as opposed to 3.05 in France, benefits or forms of redundancy pay in the case of 2.98 Spain, and 2.12 in Germany. bankruptcy/company collapse, there does not exist the possibility of obtaining a Temporary or part-time would not be in itself a subsistence/basic income nor are there active bad thing, if: policies for retraining and vocational rehabilitation, nor tools to facilitate the start-up of business and 1) Young people had the chance to choose, support the innovative ideas of an enterprising that is, it was not mandatory because of a young person. lack of alternatives; as the etymology of the word "precarious" implies, if they did The more work is precarious, the more fragile is not have to pray for a job, to keep it and the ability of the union to provide representation to have it renewed; and protection.
2) If it really constituted a chance to enter A young precarious employee, with a temporary the labour market and enrich their contract, exposed to the risk of being blackmailed professional skills; and fired, tends to avoid becoming unpopular with the boss, to accept any request and stay away 3) If there were a system of social from trade unions, for fear of the possible protection, which would give the young consequences. person who loses their job unemployment benefits and tools for re-entering the In addition, the Italian system is made up of labour market. companies that are almost all small or very small (about 3.5 million workers are employed in Instead, in most cases temporary employment companies with over 250 employees, just over 2 is not a voluntary choice of the new employee million in those with between 50 and 249 who wishes, for example, to have an income for a employees, about 1.6 million in those with certain period of time or wishes to combine work between 20 and 49 employees and about 10 and study activities. It is the only form of million in companies with under 20 employees). A employment. Part-time is often imposed, but even trade union presence in micro-enterprises, with when it is a free choice the modulation of hours one or two fixed-term employees is very difficult, if can become a prison that limits flexibility in the not impossible. Consequently, the possibility of management of the time of workers and especially having relations with the company to clarify the for females. conditions of workers and if necessary to regularise irregular situations is very limited. Having a temporary contract often means being exposed to various actual abuses, such as the Whole generations have entered the labour possibility for the employer to pay less than the market without knowing what a national proper rate for work, to disguise under a form of collective labour contract is. Several para-employment or freelancing real relations of generations now do not know what a just wage is, employment, to circumvent the collective or the right to get sick, to have children, to rest, to agreements for the sector (whose regulatory strike. This reserve army was the last link of the provisions often apply only to employees, not to chain on to which were placed the risks and costs para-employees or interns) and the law, to pass of production as well as becoming, when required, on to the worker the increased costs of NI and the tool used to call in question the rights of all social security contributions, to lay off (when the and encourage the breaking up of solidarity contract expires) without just cause, also for among workers: as has happened over the last discriminatory reasons (for example, an twenty years with relocation, procurement, unexpected pregnancy, a protracted illness, an outsourcing, subcontracts, etc.
Decent work and quality jobs for NEETs | 11
In addition to those who work, and in poor conditions, moving from one job to another, there are also those who do not work and have stopped looking for work in the awareness of not being able to find it, and who have also stopped training themselves in the belief that training is no longer the spur for social mobility, the tool to access the labour market and grow, but is simply a waste of time.
In Italy the under-35 NEETs number 3.2 million, more than 1 in 4. Fewer and fewer people consider schools and universities as an instrument of social mobility, the instrument through which to improve their economic and cultural conditions of origin. More and more people consider study to be a waste of time, something which does not facilitate entry into the labour market, which will provide absolutely useless skills for the labour market. In Italy, only one third of graduates do work related to their studies and their skills. It is no coincidence that the number of graduates, already lower than the European average, has started to decline once more.
And finally there are those who emigrate, leaving the country in search of a job that meets their expectations and skills and allows them to achieve employment and economic stability, so as to be independent of their family of origin and build their own family. Over 27,000 a year flee abroad, generally the more educated under- 40s. A brain drain, particularly in the direction of Germany, the most popular destination,
Switzerland, Britain and France. Faced with this “massacre” of young people, which also affects workers in more stable employment, due to the attempt of companies to attack the rights and protections that have been established, and to extend throughout the whole world of work the conditions and treatment that today are reserved for temporary workers, the CGIL, the largest union in Italy, with about 6 million active and retired members, has raised the issue of how to restructure their practices and methods of action and how to renew the contents of their struggles in order to address the new generations, how to organise people who are often invisible and marginalised, how to provide representation and protection, including contractual, for the new forms of work, how to relaunch the conquest of new rights for those who do not have them and defend the rights of those who do, to ensure that to equal work corresponds equal pay and the same guarantees and rights.
Decent work and quality jobs for NEETs | 12 DENMARK
Written by: FIC (Denmark) benefits that are approximately 65-130 Euros The unemployment situation lower than for other Danish residents. The mentioned amounts are before taxes. 13,2% of the Danish youth under the age of 30 is unemployed. The numbers are cleared for There is a major focus on youth unemployment students, who are therefore not included in these on the political arena. There are many policies 13+ percent. The amount of young unemployed that seek to activate young people into (first and has been somewhat the constant in recent foremost) education for those without one and years, although it has been doubled since the helping those who are skilled back to the labour financial crisis in 2008. market. However, the system of flexicurity is sensitive in times of crises because of low According to the statistics the situation is slowly conjecture, i.e. low demand from the getting better. Different stakeholders employers. This is however a temporary representing the government, the education and situation, because as soon as the conjecture the employment system and the public in turns there will be a need for more (young) general express optimism on behalf of skilled workers. This is one of the reasons why different youth and youth that has completed an stakeholders express only little worry about education, since these groups are less exposed skilled and educated youth – because they are to precariousness. equipped to enter the labour market as soon as the demand increases. But unskilled and Youth under 30 has a right and a duty to begin uneducated youth faces much rougher times, some sort of activity (courses, programs, not just in the short run but also on long term education etc.) for a minimum period of 6 basis. Studies show that Danish youth who does months no later than 13 weeks after registering not begin some sort of education from early on is as unemployed, in order to be eligible for more exposed to never completing an education. unemployment/social benefits. Youth under the The political goal to be reached by 2015 is that age of 20, without any acquired education or 95 % of young people complete an education. training must begin same type of activity as the The focus in a Danish context is very much on target group above, but with the first 4 weeks of the “problematic” group of young people that are unemployment. It is the job center or the neither in employment, education nor training municipality that arranges different courses and (NEETs). Currently, the government is programs for the unemployed. The courses are introducing reforms that will focus even more on obligatory and their purpose is of course to get getting the NEETs back on track and off the the youth back on the labour market, but since social schemes. education is number one priority, the efforts will usually focus on educational activities for youth Precarious employment for youth that has not completed an education previously. Both insured and non-insured youth must be Young workers are in some sectors more available for the labour market at all times, also exposed to precariousness, depending on how if they are following programs arranged by the precariousness is defined. Precariousness can job center or the municipality. Young be measured on different parameters: working unemployed must confirm their unemployment to time, wages, health and safety at work, types of the job center once a week. contracts, sickness and work related injuries - just to mention a few. The social security is currently about 435 Euros pr. month for young unemployed In terms of precariousness related to health and under 25 who are living with their parents safety at work, the Danish youngsters are far and about 900 Euros pr. month for those not more exposed to “dangerous” work than in any living with their parents. If the young other age group. As a matter of fact, every unemployed have children or are expecting a fourth Danish youngster has a job where baby the rates are higher. If the young working environment regulations are unemployed have not been resident in Denmark, violated. Young apprentices and interns Greenland or Faroe Islands for the past seven between 18-24 years of age have 50 percent out of eight years he/she is entitled to social
Decent work and quality jobs for NEETs | 13 more risk of work related injuries than any The young Danish workers can work 8 hours pr. other age group. shift. The Job Patrol shows that 20, 3 percent actually work more than that. After 4 hours of Other cases that concern a different type of work the young workers are entitled to a half precariousness are connected to the working hour break, but 26, 1 percent of the young contracts. There have been a few cases where workers do not get these breaks. The wages for young workers had contracts which stipulated the young workers have been somewhat stable the possibility of economic sanctions, and in in the past years. The lack of payment is usually many cases, the young people did not have a connected to try-out or training periods where contract at all. the youth is entitled to wages. 6, 4 percent have not received payment during the try-out/training The cases that are being reported in the media period which is a positive development since show that it is not only health and safety 2009 where 18 percent did not get paid during issues that youth are unaware of, but also these periods. their rights regarding working time (including overtime), sick leave, pension rights etc. At As previously mentioned, the Danish youth is far the same time, the employers are not complying more exposed to health and safety risks. This with the labour legislation either. year’s Job Patrol reports that there has been a negative trend in this area: 25, 4 percent of It has become apparent that there are many youth has reported that they lift, carry or push more of these cases and they are hard to more than the allowed 12 kilos of goods. In uncover unless young workers involve their general, the youth is very poorly informed about parents and the trade unions. The exposure of the risks at work – almost 40 percent have not these recent cases has pressured the employers received any safety instructions about their work. concerned to sign collective agreements (for 8, 9 percent have had a work related injury. instance by employers Agnes Cupcakes and Joe & The Juice) and the unions have established In case of sickness, the employer is obliged to task forces to prevent work-related exploitation find a substitute but every fifth young worker has of young workers. had to find his/her own substitute. This results in young people showing up for work sick, if they Most of the issues regarding work-related had not found a substitute. In case that a young conditions for youth are described in the annual worker has been successful in finding a Job Patrol reports. Job Patrol is a task force that substitute, he/she exposes him/herself to the risk has been monitoring wages, working conditions of not getting paid during the sickness period and the working environment for young workers because they technically have given their shift below 18 for more than 30 years. Job Patrol was away to someone who could work instead. established by the Danish Confederation of Trade Unions (LO) and since January 2012 it is In order to receive payment during sickness a being run by LO’s two largest member unions young worker must work more than 74 hours HK and United Federation of Danish Workers during a 8 week period. Although, 55,6 percent (3F). It is actually the reports from Job Patrol of the youth workers that the Job Patrol has that have revealed that almost one third of spoken to are entitled to this they have not employers do not comply with formal received payment during period of sickness. regulations. The Job Patrols’ report is based on interviews The recent Job Patrol report, which shows with more than 3.000 young workers and visits results of patrolling during the summer of 2013 to more than 11.000 companies. In 70, 4 percent where young representatives from Ireland and of the visits that have led to an interview there Italy were visiting Denmark as a part of this was a problem in the employment. In other project, have just been released. words, only 29, 6 percent of the young workers The report shows that 13 percent of the young have a job where no rules or regulations are workers do not have a work contract. This shows being breached. a positive curve since 2009 where it was 20 percent. According to legislation, (young) Another sad trend can be traced in the young workers that work more than 8 hours pr. week workers’ trade union membership. In 2009, only are entitled to have a work contract. 14,3 % of young people were a member of a union. The amount has been decreasing since – this year landing on poor 8,6%. The
Decent work and quality jobs for NEETs | 14 Job Patrol concludes that the poor union young people dropping out of schools, becoming membership is directly illustrated in the youths’ demotivated and ending up on social security poor knowledge of their rights on the labour schemes. At the same time, the vocational marked. Apart from the directly precarious schools in particular, suffer from the large aspects of youth’s work the aspect of how amount of dropouts which has led to a bad unknowledgeable the youth – as well as some image of vocational schools as a second class young entreprenours – are of the labour market education. In order to improve this image, the legislation is disturbing. Lack of knowledge VETs have focused on higher quality of exposes the young workers to precarious work education but sometimes these initiatives have even more. backfired; the quality of education has sometimes been “improved” by unreasonable or Many European countries are also concerned irrelevant demands. The Danish LO used the about the growing tendency towards temporary example of demands for top level English skills contracts and part-time work. Temporary in the car mechanic training, which in their contracts and part-time work as such are not opinion makes no sense. The quality of training necessarily considered as precarious work in is also being “improved” with admission exams Denmark. Denmark has always had high part-time and those stakeholders that have embraced it, employment since it by large implies that young explain that it is better for a young person to get people are in apprenticeship either under a the impression of what the education/training is vocational education programme or in a job while all about before the enrolment. Otherwise the studying. This accounts for the high part-time young person would risk dropping out later on. rates reported in many countries and their The critics on the other hand are saying that increase in recent years. admission exams for vocational training make no sense, since they do not give an impression of One of the areas where the Danish youth is young persons’ real competencies, but only of highly exposed is in poverty-at-risk statistics. their ability to master academic language. Danish youth leaves home quite early and depends on their own resources. The very high The paradox becomes more obvious if we look costs of living urge the youth to be employed at the young people in vocational training; i.e. and secure their income. This paradoxically youth that is both motivated and capable of implies that having a job as a young person achieving skills and training. They are also a produces higher levels of at-risk-of-poverty. vulnerable group because their completion of an education depends on available training places. Other challenges… The lack of training places is often being raised as a critique towards employers and articulated Education and employment have always been as employers’ unwillingness to take interlinked in Danish settings, which is why the responsibility for the youths’ education. opportunities on the labour market cannot be Employers, on the other hand, stress that they discussed as an area detached from the are more than willing to take responsibility for educational system. the youth since they are very aware of the fact that the youth is their future work force. Current situation, where unemployment is high for all age groups, and where the young lack It is this exact link between education and labour training opportunities, have an important impact market that has further defined which group of on both the labour market and the educational youth has the worst chances of getting (back) system. The government-proclaimed goal of into the labour market. This group includes youth having 95 percent of all young people through that is neither in employment or education and an education is therefore firmly rooted among all who therefore is more exposed to a life on social stakeholders (from the educational system, the benefits. labour market system, the government, the employers’ and employees’ organizations etc.), but it also poses challenges on how to achieve …and what we do about them that goal. In Denmark, there is a major focus on youth in Sometimes this quantitative goal pressures general. We often hear from our European young people into training and education that partners that the issues of youth they are not prepared for or capable of (un)employment have not been or are not yet achieving, which starts a vicious cycle of many prioritized by their governments. This is certainly
Decent work and quality jobs for NEETs | 15 not the case in Denmark – the real challenge is to make the different stakeholders meet on common ground and provide specific solutions.
One of the best practices, which is one of the pillars of the Danish welfare state, is the system of free education.
In combination with the Danish State Educational Grant and Loan Scheme15, the free education system in Denmark makes education available to and attractive for many young people. The SU benefits have furthermore motivated more young people to enroll in training and education during the economic crisis. The strong educational system hereby contributes in keeping this age group out of the unemployment lines.
Hence, through active labour market policies which are specifically targeted towards different groups of youth, the free education and the system of flexicurity, Denmark has managed to keep the unemployment in the 15-30 group somewhat low in comparison with the EU- average.
Also, the VET system generally works well – in spite of the bad image. Dual education is the key word, and the mix of practical and theoretical training gives the Danish youth a large advantage on the labour market compared with VETs in many other European countries. At the same time, it is very common that the youth has a part-time jobs throughout their studies and they are therefore generally well experienced workers.
As for the decent work for youth, the Job Patrol is once again very worth mentioning. It is not only the specific patrolling of work places every summer that is important; it is the very participation of youth in industrial relations that is significant and important to nourish. With such high unemployment rates in Europe, it is not strange that the youth has given up on politicians, trade unionists and the employers. Furthermore, it is not only in the interest of politicians, trade unions and the employers that inactive youth is activated, but in the interest of the society as a whole. But it is also important that youth that already is active is given a platform where they can see that their influence makes a difference and that their voices are being heard.
15 In Danish: Statens Uddannelsesstøtte (abr. SU)
Decent work and quality jobs for NEETs | 16
Figure 1: Part-time employment rate of young people (aged 15-24), by country, 2008 and 2011, and EU-27 average 2000- 2011 Source: Eurostat – LFS. Online data code: lfsa_eppgan
Figure 2: EU youth indicator: At-risk-of-poverty or social exclusion rate, by country and by age, 2010 Source: Eurostat – Statistics on Income and Living Conditions (SILC). Online data code: ilc_peps01
Decent work and quality jobs for NEETs | 17
Figure 3: Housing cost overburden rate, by country and by age, 2010. Source: Eurostat – SILC. Online data code: ilc_lvho07a
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