Youth unemployment in Youth unemployment in Finland Finland

The Case of VantaaThe Case of Vantaa

Erika Palm Erika Palm Employment and Economic Development OfficeEmployment and Economic Development Office

City of Vantaa, Finland City of Vantaa, Finland

29th of April 2010, Tallinn Creative Incubator 29th of April 2010, Tallinn Creative Incubator Roundtable meeting for "Subsidised jobs in Europe - Roundtable meeting for "Subsidised jobs in Europe -

ideology, legislation and practice”ideology, legislation and practice”

Employment and Economic Employment and Economic Development Office in FinlandDevelopment Office in Finland

► 200 outlets all over Finland 200 outlets all over Finland ► Individual customer service and Internet services Individual customer service and Internet services ► Supporting access to employment in different waysSupporting access to employment in different ways► Services for employers: recruiting and training services Services for employers: recruiting and training services

(joint purchases), advice(joint purchases), advice and councelling especially in and councelling especially in change situations (outplacement, staff reduction)change situations (outplacement, staff reduction)

► Services for individuals (unemployed persons, people Services for individuals (unemployed persons, people entering or in working life): job seeking, career entering or in working life): job seeking, career planning, occupational rehabilitation, entrepreneurship, planning, occupational rehabilitation, entrepreneurship, advice on applying different benefits and supportadvice on applying different benefits and support

► Youth services especially for under 25 year old Youth services especially for under 25 year old individualsindividuals Challenges due to strict legislation on labour market supportChallenges due to strict legislation on labour market support Employment subsidy as an important tool in work induction, Employment subsidy as an important tool in work induction,

training and access to employment training and access to employment maintaining employability maintaining employability

Unemploymency in FinlandUnemploymency in Finland► Unemployed jobseekers registered at the Unemployed jobseekers registered at the

Employment and Economic Development OfficesEmployment and Economic Development Offices► February 2010: February 2010:

All 287,100 -> up 15% (37,100) in a yearAll 287,100 -> up 15% (37,100) in a year Under 25 year olds:Under 25 year olds: 35,000 up 19 % (5,500) in a year 35,000 up 19 % (5,500) in a year

► March 2010: March 2010: All 275,200 -> up 9% (23, 838) Under 25 year olds:Under 25 year olds: 32,500 up 12 % (3,500) in a year 32,500 up 12 % (3,500) in a year

► Youth unemployment: change from February to Youth unemployment: change from February to March 2010 decrease by 7% (2,500)March 2010 decrease by 7% (2,500)

► New vacancies reported:New vacancies reported: during February 2010 totalled 44,900, aprx. 2,000 more than during February 2010 totalled 44,900, aprx. 2,000 more than

20092009 during March 2010 totalled 53,000, aprx. 7,000 more than during March 2010 totalled 53,000, aprx. 7,000 more than

20092009

0

5

10

15

20

25

30

35

90 92 94 96 98 00 02 04 06 08

%

15–24 yrs.

15–64 yrs.

Unemployment per age group in Finland 1990 - 2009

11.2.2010/VM/KO/UL

15237.xls

Case of VantaaCase of Vantaa► Youth unemployment in City of VantaaYouth unemployment in City of Vantaa

609 unemployed job seekers in November 2008609 unemployed job seekers in November 2008 1234 unemployed job seekers November 20091234 unemployed job seekers November 2009 1297 unemployed job seekers March 20101297 unemployed job seekers March 2010 Half of the unemployed individuals under 25 years old are Half of the unemployed individuals under 25 years old are

lacking vocational education (elementary school based and lacking vocational education (elementary school based and drop outs)drop outs)

► What was learnt from the recession of the 90’s? What was learnt from the recession of the 90’s? Young people are easily excluded from work life and Young people are easily excluded from work life and working culture working culture multiple effects on society multiple effects on society

► National Audit Office of FinlandNational Audit Office of Finland has counted that total has counted that total costs of one permanently work disabled young costs of one permanently work disabled young individual could rise up to 1,100 000 euros per person individual could rise up to 1,100 000 euros per person (in 40 years)(in 40 years)

► New kinds of interventions and efficient co-operations New kinds of interventions and efficient co-operations among different interest groups are neededamong different interest groups are needed

Case of VantaaCase of Vantaa► ESF funded project launched in March 2010ESF funded project launched in March 2010► Goal is to create a new kind of model for customer guidance to Goal is to create a new kind of model for customer guidance to

explicate different services available for unemployed youngexplicate different services available for unemployed young better and more flexible network between Employment Office better and more flexible network between Employment Office

and other crucial interest groups; especially local enteprises and other crucial interest groups; especially local enteprises and entrepreneurs, also different services sectors of Vantaa and entrepreneurs, also different services sectors of Vantaa CityCity

Employment and Economic Development Office of Vantaa Employment and Economic Development Office of Vantaa appoints youth councellors, City of Vantaa recruits project appoints youth councellors, City of Vantaa recruits project staff and Kela (staff and Kela (The Social Insurance Institution of Finland) The Social Insurance Institution of Finland) appoints an officer appoints an officer to work in the projectto work in the project

Project staff consists of coordinators with expertese in Project staff consists of coordinators with expertese in different service areas (job seeking, group work and different service areas (job seeking, group work and development, social work, marketing, b-to-b-consulting, career development, social work, marketing, b-to-b-consulting, career counselling, studying councelling, financial counselling etc.) counselling, studying councelling, financial counselling etc.) including two nurses, of which the other one has specialized in including two nurses, of which the other one has specialized in mental health problemsmental health problems

► Project aims to reach all unemployed young individuals in VantaaProject aims to reach all unemployed young individuals in Vantaa

Tools and best practicesTools and best practices

► Preventing long term unemploymency by organizing young Preventing long term unemploymency by organizing young customers and guiding them to right practices (acknowledging customers and guiding them to right practices (acknowledging change of plans)change of plans) Attaining and maintaining employability Attaining and maintaining employability

Solutions for young unemployed without vocational educationSolutions for young unemployed without vocational education traineeship in private-own companies, non-profit traineeship in private-own companies, non-profit

organizations, different services sector positions and organizations, different services sector positions and workshops of Vantaa City (trainee support)workshops of Vantaa City (trainee support)

Apprenticeship training, subsidised work (wage subsidy), Apprenticeship training, subsidised work (wage subsidy), vocational training through educational system or vocational training through educational system or employment measuresemployment measures

► Solutions for vocationally trained youngSolutions for vocationally trained young ””Open market” AND subsidised jobs (wage subsidy), practical Open market” AND subsidised jobs (wage subsidy), practical

training and traineeship (trainee support), higher education, training and traineeship (trainee support), higher education, entrepreneurship, training through employment measuresentrepreneurship, training through employment measures

► New practices through multi-professional teamwork and New practices through multi-professional teamwork and interaction?interaction?

► Group services for segmented groups, constant training through Group services for segmented groups, constant training through employment measures, qualified and well-organized staff at handemployment measures, qualified and well-organized staff at hand