Report about Labour Market and Social Welfare 2011
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ReportCross-Border CommutingandYouth Unemploymentand measures to fight youth unemploymentin the Baltic Sea Region20th Baltic Sea Parliamentary Conference,August 2011 HelsinkiRapporteurFranz Thönnes, Member of the BundestagFormer Parliamentary State SecretaryMember of the Standing Committee of theBaltic Sea Parliamentary ConferenceOn the occasion of the 18th Baltic Sea Parliamentary Conference (BSPC) in Nyborg in 2009, the BSPC working group “Labour Market and Social Welfare” presented its report, which was prepared over a period of two years under the leadership of Franz Thönnes. In line with the task set out at the 16th BSPC in Berlin, the report addressed the current situation of cross-border workers and youth unemployment in the Baltic Sea region. The working group members’ remit was to deal with the development of workers’ mobility in cross-border labour markets and the integration of young people into labour markets and to submit recommendations on both of these subjects. In accordance with the recommendations set out in the working group’s report, the 2009 BSPC in Nyborg passed a resolution to make the following requests to the governments of the countries neighbouring the Baltic Sea, to the Council of the Baltic Sea States (CBSS) and to the EU:Regarding Labour Market and Social Affairs, to29. make systematic and coordinated efforts to identify barriers to the development of cross-border labour markets and mobility, in accordance with the political recommendations in the final report of the BSPC Working Group on Labour Market and Social Welfare, and to carry out practical measures to dismantle and prevent such barriers;30. make labour market and social welfare issues a priority task on the agenda of the CBSS, taking into account the work and results of the Baltic Sea Labour Network (BSLN);31. strengthen the existing information centres in the Baltic Sea Region and to establish new centres in locations where the extent of cross-border commuting is growing but where centres do not exist; the information centres should have the capacity and mandate to provide comprehensive and official information on social security, employment legislation and tax legislation in all the languages spoken on both sides of the border, including, where applicable, minority languages;32. foster regular dialogue between associations representing cross-border workers, trade unions, employers and political decision-makers, and strengthen cooperation regarding cross-border labour markets via the establishment of councils for border regions and the development of networks; likewise, an exchange of experience should be organised regarding the work of the information centres throughout the Baltic Sea Region;33. enhance transport and logistics capacities in border regions, especially as regards public transport, in order to facilitate cross-border commuting and to promote economic growth; efforts undertaken should be compatible with the overall objectives of the Northern Dimension Partnership on Transport and Logistics;34. take concerted action to exchange and implement best practices regarding training and employment of young people in the Baltic Sea Region, including joint activities between schools, social partners, public authorities and the civil society, and paying special attention to disadvantaged groups;35. start giving students an introduction to the world of work two years before they leave secondary school, propose agreements between governments and social partners to ensure that sufficient training places are created, and ensure that, in the case of youth unemployment, the employment agencies offer integration plans and, after three months of unemployment at the latest, further training, the opportunity to gain additional qualifications, training places or jobs.In line with the task assigned to me by the BSPC Standing Committee as rapporteur for these issues and for implementing the agreed requests, I hereby present this report to the 20th BSPC. It is based on written responses to a survey of the responsible ministries in the CBSS member states, and on research and interviews carried out by the working group itself.Cross-border workersAs discussed in the working group, it became apparent that cross-border labour markets can contribute to improving employment opportunities and to a dynamic regional development, which benefits the economy, business and employees. Such markets promote flexibility, open up options for experiencing different working conditions, resolving conflicts in different ways, and conveying other hierarchical structures, cultures and values.Be that as it may, challenges do exist, such as information deficits, imbalances between freedoms and rights on the labour market, uneven regional developments, demographic challenges, labour shortages, labour deficits in certain professions and various economic sectors, migration of young and qualified employees, illegal labour, wage dumping and working conditions, social-security issues while working in two countries, rehabilitation options, unemployment-benefit issues in the case of casual work, vocational training, taxation of companies employing temporary workers, lack of language skills, poor traffic infrastructures, deficits in the social dialogue between government, authorities, companies and trade unions, etc.This report defines, as the working group did as well, commuters as employees commuting on a daily or weekly basis or working for several weeks and months in another country. But the situation is the same as in 2009: No precise picture of the number of cross-border commuters can be drawn in the EU or in the states of the Baltic region: statistical surveys are often lacking. If figures are nevertheless quoted, they came about on the basis of differing methods. This means that most of the data are based on estimates and extrapolations. In addition to data obtained from the most varied of sources, this report was also able to fall back on the 2006/2007 figures contained in a study by MKW Wirtschaftsforschung GmbH, Munich, advertised, financed and commissioned by Unit G 3 of the Directorate General Employment 5 of EURESCO in Brussels. Statistics from the Nordisk Pendlingskarta 2009 are also used in part. The corresponding data are given again here either to supplement ministry data or if a ministry has not provided any data.It is a pleasing development and an impressive achievement of the BSPC that, in just two years, the issues of “Employment in the Baltic Sea Region” and of working in transnational labour markets have become increasingly important at the political level.Even while the working group, founded by the BSPC in 2007, was still preparing its report, 22 partners – trade union federations, employers’ associations, the CBSS and “associate partners” (e.g. the BSPC) – came together to set up the Baltic Sea Labour Network project as part of the EU Strategy for the Baltic Sea Region. The project aims to improve the management of the transnational labour market in the Baltic Sea region and to develop transnational adaptation strategies, campaigns and models that also take into account demographic change and migration processes. This is the first time that the countries and social partners within the Baltic Sea Region have joined forces to seek solutions to existing problems and create conditions for sustainable labour markets.In addition to international conferences, the individual project partners in all eight participating countries carry out studies and collect data. The results are used to organise targeted activities, such as seminars, further-training sessions and discussions between the social partners, as well as to fill gaps in available informational materials. Pilot projects are carried out in the “focus countries” (the Baltic states and Poland) and in Germany.One specific goal is to develop a concept for setting up a competence centre, which will also serve as an information facility, for employers and employees in the Polish-German border area. The centre is to be jointly set up by the two countries. Among other things, it will focus on education and training.This Baltic Sea Labour Network – a flagship project of the EU Strategy for the Baltic Sea Region – will be concluded during the German presidency of the CBSS with an international conference in Hamburg in November 2011. The conference will be accompanied by the first-ever workshop for all information centres in the Baltic Sea region that serve the needs of cross-border workers. One major sign of the project’s success is that, in its declaration from the 16th Ministerial Session of 7 June 2011 in Oslo, the CBSS announced that it intends to establish a Forum for Social Dialogue in the Baltic Sea Region in conjunction with the final Conference of the Baltic Sea Labour Network in November 2011.Another positive development is that regional offices were set up in Holeby and Eutin in March 2009, in connection with the planned Fehmarn Belt Fixed Link between Denmark and Germany. These offices provide information and advice to citizens, companies and cross-border workers on all matters relating to cross-border working in the Fehmarn Belt region. Modelled on the Grenze info centre in Padborg, the offices serve as points of contact for job seekers or for job holders wishing to change their situation. The aim of the individual consultations is to help potential cross-border workers understand all the relevant issues, such as taxes, health and social insurance, and child benefits. The offices do not provide job placement services.We also welcome the work of the Nordic Council of Ministers, which has set up the Border Barrier Forum and an expert group tasked with compiling a report by the end of 2011 on persisting border barriers relating to social security in the area of the labour market and social affairs.A very recent development is the agreement of 21 June 2011 between the Polish Ministry for Labour and Social Policy and the German Federal Ministry of Labour and Social Affairs on a new advice and support project. The scheme, which will be run by the Polish trade union Solidarnosc, the All-Poland Alliance of Trade Unions (OPZZ) and the German Confederation of Trade Unions, will advise Polish workers taking up jobs in Germany on all questions concerning their employment relationship.Youth UnemploymentYouth unemployment is a major problem all over Europe. In 19 EU member states, the youth unemployment rate is currently higher than 20 percent. It is a big challenge in the Baltic region as well, even though all of the countries in the region have already made political decisions and instituted measures to lower it. In some areas they have been successful, while in others it has remained a difficult task to offer all young people in the Baltic region good prospects when making the transition from school to the working world. The success or failure of these measures will largely determine whether the view expressed in the Vilnius Declaration by the heads of government of the member states of the Council of the Baltic Sea States of 1 and 2 June 2010 – namely that the Baltic region has the potential to become one of the wealthiest, most innovative and most competitive regions in the world – can be made a reality.Young people might face greater difficulties in entering the labour market, which is why solving the reasons of their unemployment needs special attention and care. The basis for labour market integration, for young people as well as for other groups, is the work-first principle. It must be worthwhile to obtain employment and to receive education and training. Every country takes slightly different steps to face youth unemployment issues. The following overviews of national youth unemployment policies show the measures those countries have undertaken to fight youth unemployment during the last couple of years. Data are taken primarily from Eurostat so as to make the comparison valid.To save space, the examples given have been reproduced based on excerpts from the responses provided by the relevant ministries of the member states of the Council of the Baltic Sea States. A complete compilation of their responses can be requested from the secretariat of the Baltic Sea Parliamentary Conference.I would like to conclude by thanking all the ministries that provided data and reports in response to the questions. I would also like to thank my research assistant Sabine Herget and Veronika Svits of Estonia, a participant in the German Bundestag’s International Parliamentary Scholarships (IPS) scheme, who were a great help to me during the creation of this report.Franz Thönnes, Member of the BundestagFormer Parliamentary State SecretaryMember of the Standing Committee of the BSPCRapporteurBerlin, August 2011Cross-Border WorkersCountry: Germany1. Where are the border crossing points most frequently used by the cross-border workers in your country?and2. How many cross-border workers use the crossing point (please provide a breakdown of out-commuters from your own country and in-commuters from the neighbouring country)?For Denmark it is:Border crossing: FlensburgTotal cross-border workers2: 10,800, of which 9,800 commute to Denmark and 1,000 commute to Germany.For Poland it is:Border crossing: Pomellen – KolbaskowoTotal cross-border workers1: 2,000, of which 400 commute to Poland and 1,600 commute to Germany.Border crossing: Linken – Lubieszyn. Total cross-border workers1: 300, of which 50 commute to Poland and 250 commute to Germany.Border crossing: Ahlbeck – Swinoujscie. Total cross-border workers1: 100, of which 10 commute to Poland and 90 commute to Germany.Total: 2,400, of which 460 commute to Poland and 1,940 commute to Germany.1 very rough estimate2 qualified estimate, accepted in the region3. At which border crossing points do information centres or information offices for cross-border workers exist?For border crossings to Denmark: EURES-T advisors (Federal Employment Agency, advisor of the German Trade Union Confederation, Jobcenter), Regionskontor/Infocenter Grenze in Padborg/DK.For border crossings to Poland: none besides EURES-T advisors (Federal Employment Agency), but the Federal Employment Agency has an information office in Szczecin.4. Do the staff at these border crossing points have skills in the languages spoken on both sides of the border?For border crossings to Denmark: All Regionskontor and EURES-T staff are bilingual, most are trilingual (German, Danish, English).For border crossings to Poland: Yes5. Is information on social security, employment legislation and tax legislation provided here?For border crossings to Denmark: YesThe Regionskontor offers information to employees, employers and public authorities regarding taxes, social security and the labour market. The EURES-T team (on both sides of the border) offers advice on training and employment access and job placement in the Sonderjylland-Schleswig border area.For border crossings to Poland: Yes6. Are there any associations representing the interests of cross-border workers?For border crossings to Denmark: YesThe Verein der Grenzpendler (cross-border workers association), with headquarters in Denmark and an office in Germany, promotes the concerns of cross-border workers. It focuses on five key areas: training and language, taxes, social security, traffic and transport and work in the border region. It holds a general assembly once a year to discuss and clarify important issues.The Verein Grenzgänger (non-resident workers association) is a voluntary association founded in 1987 by people who live in Germany and work in Denmark. It exists primarily to promote the interests of German residents who are employed in Denmark. Its main activity is ensuring that these commuters receive equal treatment from their employers and their country of employment in terms of taxes and social welfare. Its second most important activity is advising these commuters on taxes, social welfare and working conditions in Denmark.For border crossings to Poland: No7. Is there a regular dialogue between trade unions, employers, public authorities and public decision-makers in the border region regarding cross-border labour markets?For border crossings to Denmark: various conferences, meetings and regular exchange in various committees, such as regional assembly, EURES-T committees, university events, chambers.For border crossings to Poland: Yes8. Do any joint advisory bodies for the border region exist?For border crossings to Denmark: Yes, see above.For border crossings to Poland: Yes, EURES-T region 'Odra – Oder'.Country: Denmark1. Where are the border crossing points most frequently used by the cross-border workers in your country?Border crossing point:Between Copenhagen (Zealand) and Malmo (Scania – Sweden)Between Elsinore (Zealand) and Helsingborg (Scania – Sweden)2. How many cross-border workers use the crossing point (please provide a breakdown of out-commuters from your own country and in-commuters from the neighbouring country)?It is estimated that nearly 20,000 cross-border workers use the crossing point between Zealand and Scania. It is estimated that over 90 pct. are cross-border workers living in Scania and working in the greater Copenhagen area and other places in Zealand while under 10 pct. are cross-border workers living in Zealand and working in Scania.It is not possible to provide a breakdown of the out-commuters from Denmark and in-commuters from Sweden in regard to border crossing point, but we estimate that over 90-95 pct. of the cross-border workers cross the Øresund-bridge between Malmö and Copenhagen either by train or by car.3. At which border crossing points do information centres or information offices for cross-border workers exist?In the Øresund Region some “homepages” and some information centers are offering information and service to jobseekers and employers. The most important organisations are:• Oresund.direct which is an information service that provides public information from authorities to citizens and businesses in the Øresund Region. The organisation has an information centre in Malmo and a comprehensive homepage www.oresunddirekt.com with focus on living and working conditions on both sides of the Øresund Region.• Workindenmark Center East in Copenhagen. The purpose of this centre is to connect international jobseekers and Danish companies in order to bring a balance on the Danish labour market and give information about living and working conditions in Denmark.• Eures Crossborder Øresund. This partnership is involved in activities to help cross-border workers and students, as well as employers who wish to recruit labour from the other side of the Øresund. The organisation has a homepage www.oresundsinfo.org4. Do the staff at these border crossing points have skills in the languages spoken on both sides of the border? Yes5. Is information on social security, employment legislation and tax legislation provided here?Yes, both in the information centre Øresund direct in Malmo and Workindenmark in Copenhagen and on the homepages of these two organisations you can find information on social security, employment legislation and tax legislation.6. Are there any associations representing the interests of cross-border workers? If so please provide their names: No7. Is there a regular dialogue between trade unions, employers, public authorities and public decision-makers in the border region regarding cross-border labour markets?Yes, there is a regular dialogue. It takes place in the Eures Crossborder Øresund, which is a partnership with the participation of the PES in Denmark and Sweden, trade union organisations and employers’ organisations, local authorities meeting regularly about 5 - 6 times a year.8. Do any joint advisory bodies for the border region exist? See question 7.In addition there is also the Øresund Committee which is made up of leading politicians from Scandia in Sweden and Zealand in Denmark. The Committee cuts across party lines in its efforts to solve important questions about the infrastructure, labour market, culture and popular support. The Committee has a homepage www.oresundskomiteen.dkCountry: NorwayQuestions 1. to 8.:No new data from the Norwegian Ministry of LabourNorway – Denmark:2,900, of which 600 commute to Denmark and 2,300 commute to Norway.(Position 2005. Nordic Commuter map http:/norden.org/en/publications/2008-599/at_downdload/publicationsfile)3,098, of which 547 commute to Denmark and 2,551 commute to Norway.(Position 2006, Nordisk Pendlingskarta 2009, www.norden.org/no/publikasjoner/publikasjoner/2009-555)Norway – Sweden:17,100 – 18,900, of which 1,200 – 1,960 commute to Sweden and about 15,900 commute to Norway.Data from 2006, Nordic statistics yearbook 2008, www.norden.org/pub/ovrigt/statistik/skand MkW:17,880, of which 1,961 commute to Sweden and 15,919 commute to Norway.(Position 2006, Nordisk Pendlingskarta 2009, www.norden.org/no/publikasjoner/publikasjoner/2009-555)Norway - Finland:1,200, of which 200 commute to Finland and 1,000 commute to Norway.(Position 2005. Nordic commuter map / Similar Position 2006 Nordisk Pendlingskarta 2009, www.norden.org/no/publikasjoner/publikasjoner/2009-555)Country: Sweden1. Where are the border crossing points most frequently used by the cross-border workers in your country?and2. How many cross-border workers use the crossing point (please provide a breakdown of out-commuters from your own country and in-commuters from the neighbouring country)?No new data from the Swedish Ministry for Foreign AffairsBut see Denmark and Norway above.Sweden – Finland:6,140, of which 2,360 commute to Finland and 3,780 commute to Sweden.MkW Wirtschaftsforschung GmbH 2006/2007 Figures3. At which border crossing points do information centres or information offices for cross-border workers exist?4. Do the staff at these border crossing points have skills in the languages spoken on both sides of the border?and5. Is information on social security, employment legislation and tax legislation provided here?There are information offices in the Öresund region as well as at the Swedish-Norwegian border, that provides information for cross-border workers on employment benefits, social security and taxes.In Malmö “Öresunddirekt” provides information mainly through visits and by the phone for cross-border commuters. Experts from relevant Swedish authorities attend the questions. The office receives around 35,000 questions annually.“Öresunddirekt” in Malmö has a close co-operation with “Öresunddirekt” in Copenhagen. The information for cross-border workers provided by “Öresunddirekt” in Copenhagen is mainly webbased.The information centre “Grensetjänsten” is situated at the very border between Sweden and Norway. The information centre is a joint Swedish-Norwegian undertaking. Cross-border commuters are provided information on relevant Swedish and Norwegian regulations by phone, mail or through the web.As people in the Scandinavian countries understand each other’s languages there are in general no problems to understand the information that is given. However, regarding information given on the web it is normally possible to choose between the relevant Nordic languages.6. Are there any associations representing the interests of cross-border workers? If so please provide their names: No7. Is there a regular dialogue between trade unions, employers, public authorities and public decision-makers in the border region regarding cross-border labour markets? No8. Do any joint advisory bodies for the border region exist?The aim of “Hallä Norden” is to promote mobility between the Nordic countries.”Hallä Norden” is a part of the secretariat of the Nordic Council of Ministers and there are offices of “Hallä Norden” in all Nordic countries. Information is given on the phone as well as through mail or the web.Country: The Åland IslandsThe Åland Authority for Labour Market and Student Services and Statistics and Research Åland (ÅSUB) has provided the Government of Åland with the facts for the questionnaire. Some of the questions are not possible to answer in detail, due to the small size of the community.1. Where are the border crossing points most frequently used by cross-border workers in your country?Border crossing point: MariehamnBorder crossing point: LångnäsBorder crossing point: Eckerö2. How many cross-border workers use the crossing point (please provide a breakdown of out-commuters from your own country and in-commuters from the neighbouring country)?The latest commuting figures between the Åland Islands and Sweden are from 2006. According to these figures, the number of out-commuters from the Åland Islands to Sweden were 427 (of which 305 were ferry employees) and from Sweden to the Åland Islands 542 out-commuters (of which 136 were ferry employees).The latest commuting figures between the Åland Islands and Finland are from 2008. From the Ålands Islands there were 299 people (of which 50 were ferry employees) who commuted to Finland and from Finland to the Åland Islands 2,157 (of which 1,904 were ferry employees).We would like to emphasise that 1,900 commuters from Finland to the Åland Islands are Finnish citizens employed on Ålandic ferries, these are of course not typical commuters.3. At which border crossing points do information centres or information offices for cross-border workers exist? None.4. Do the staff at these border crossing points have skills in the languages spoken on both sides of the border? Yes.5. Is information on social security, employment legislation and tax legislation provided here? No.6. Are there any associations representing the interests of cross-border workers? If so, please provide their names: No (except for trade unions)7. Is there a regular dialogue between trade unions, employers, public authorities and political decision-makers in the border region regarding cross-border labour markets? Yes, to some extent in the Nordic cooperation.8. Do any joint advisory bodies for the border region exist? No.Country: FinlandQuestions 1. to 8.:Facilitating labour mobilityFinland’s, together with the other EU/EEA countries’ Public Employment Services belong to the European Employment Services (EURES) network. The aim of EURES is to inform, guide and provide advice to potentially mobile workers on job opportunities as well as living and working conditions in the European Economic Area and to assist employers wishing to recruit workers from other countries. In addition to this, the network provides advice and guidance to workers and employers in the border areas.There are currently over 20 EURES cross-border partnerships, spread geographically throughout Europe and involving more than 13 countries. Aiming to meet the need for information and coordination connected with labour mobility in the border regions, these partnerships bring together public employment and vocational training services, employers and trade union organisations, local authorities and other institutions dealing with employment. EURES cross-border partnerships serve as valuable points of contact among employment administrations, both regional and national, and the social partners.In Finland, there is one cross-border partnership in the North, in Tornedalen valley in the border region with Sweden.[1] In the capital region, there is a cooperation network which includes Eures services from Finland/capital region and Estonia/Tallinn region, cities of Helsinki and Tallinn, social security and tax authorities, as well as labour market organisation from both countries. In practice, both employers and workers crossing the border can get advice from the local employment offices in Helsinki and Tallinn. Close cooperation was carried out with Tallinn-based Info Point of the Finnish Working Life coordinated by the Central Organisation of Finnish Trade Unions until the end of 2008 when it closed.Also, as a part of the neighbouring area cooperation funded by the Ministry for Foreign Affairs and in cooperation with the Finnish Employment and Economic Development Administration, the Russian labour administration and the Centre for International Mobility CIMO, an Info Point to facilitate labour and student mobility between Eastern Finland and Russian Carelia was opened in Petrozavodsk in October 2010.Cross-border workers - statisticsAccording to the border interview survey commissioned by the Statistics Finland,[2] most of the foreign travellers in Finland in 2010 came from Russia (some 1.4 million travellers, which is a bit less than 40 % of the total amount of travellers). The second biggest group came from Sweden (422,000) and the third biggest from Estonia (316,000 travellers). Some 19 % of these travellers came to Finland because of the work.The most frequently used border crossing points in Finland are Helsinki-Vantaa airport, Helsinki harbours, Turku harbours and airport, Tampere airport, the border crossing points to Russia in Vaalimaa, Nuijala and Niirala, as well as trains going to Russia.[3] The exact number of the commuters in each border crossing point may be asked from the Statistics Finland.In practise, most of the commuters coming to work in Finland come from Estonia. According to a recent report commissioned by the European Commission,[4] in 2009 there were about 20,000 commuters coming from Estonia to Finland, mainly on the weekly or on seasonal basis whereas there were some 1,250 Finnish commuters going to Estonia weekly. However, the exact number is impossible to estimate, as these numbers exclude for instance temporary workers and posted workers(See also above Sweden and Norway)Further cooperation measures in the northern Baltic Sea region to counter border obstaclesIssues with regard to problems cross-border workers face have a high priority in the work of the Nordic Council of Ministers.“Gränshindersforum” (GF) is body established by the Nordic Council of ministers. The forum comprises representatives from the Nordic countries and its mandate is to identify and give proposals for a solution of obstacles for the inhabitants in the Nordic countries who work or study in one country and live in another Nordic country.GF has since asked the sectors of the Nordic Council of Ministers to more actively promote the identification and removal of obstacles at national borders in their specific areas of responsibility. In addition, Denmark’s minister for co-operation, in his role as chair of the Nordic Council of Ministers for Co-operation (MR-SAM), in April 2010 sent a letter to all the chairs of the sector minister councils urging them to actively work to remove those border obstacles that the GF had pinpointed as priorities. A cross-sector group of experts consisting of the civil service commissions for labour and for social issues is actively involved in working to remove such obstacles. The Nordic Council of Ministers defines a border obstacle as “any obstacle that prevents, impedes or limits a person’s ability to work across national borders and which is rooted in EU provisions, national laws, implementing provisions, adjustments or regulations enacted by a public office or similar institution.”The group of experts will pursue the goal of taking stock of border obstacles relating to social security in the realm of the labour market and social issues. Its work is intended to give an overview of existing border obstacles in this realm and provide suggestions for areas where action is required. The group’s work will also aim to contribute to the work of the Border Obstacle Forum, by completing the list of identified border obstacles, for instance. It began its work in early September 2010 and will conclude it in late December 2011. The group will report to the civil service commission for labour and to the civil service commission for social issues in the first quarter of 2012 by submitting a document that details the questions that the group of experts investigated. The report will also describe its proposed solutions and defend its reasons for choosing them or ruling them out. The two civil service commissions will then make an assessment and decide how to proceed with the group’s proposed solutions.At the regional political level these issues are also addressed. One example is the work in the Committee of Öresund (Öresundskommittee, comprising regions and municipalities on both sides of Öresund) who, in co-operation with local authorities, is working on the issue of reducing obstacles for cross-border commuters. Authorities in the Nordic countries also cooperate over the borders.Country: Estonia1. Where are the border crossing points most frequently used by cross-border workers in your country?Border crossing point: Tallinn (Estonia-Finland)Border crossing point: Valga (Estonia-Latvia)Border crossing point: Narva-1, Narva-2, Luhamaa, Koidula (Estonia-Russian Federation)2. How many cross-border workers use the crossing point (please provide a breakdown of out-commuters from own country and in-commuters from the neighbouring country)?No statistics from the Ministry of Labour and Social Affairs(See also Finland)3. At which border crossing points do information centres or information offices for cross-border workers exist?At the moment there are no information centres at border crossing points for cross-border workers. There is a EURES office to perform advisory tasks for cross-border commuters.4. Do the staff at these border crossing points have skills in the languages spoken on both sides of the border.At Estonia-Russian Federation border crossing points the staff has skills in the languages spoken on both sides of the border.5. Is information on social security, employment legislation and tax legislation provided here?EURES advisers provide specific advice and guidance on the rights and obligations of workers living in one country and working in another.6. Are there any associations representing the interests of cross-border workers? If so, please provide their names.Trade unions, the Labour Inspectorate.7. Is there a regular dialogue between trade unions, employers, public authorities and political decision-makers in the border region regarding cross-border labour markets?No8. Do any joint advisory bodies for the border region exist?EURES has advisory tasks for cross-border workers.Country: Latvia1. Where are the border crossing points most frequently used by cross-border workers in your country?and2. How many cross-border workers use the crossing point (please provide a breakdown of out-commuters from your own country and in-commuters from the neighbouring country)?No data from the Ministry for Foreign AffairsLatvia – Estonia1,000, of which 500 commute to Estonia and 500 commute to Latvia.MkW Wirtschaftsforschung GmbH, Figures 2006/20073. At which border crossing points do information centres or information offices for cross-border workers exist?At the border crossing points are not established specialised information centres or information offices for cross-border workers.4. Do the staff at these border crossing points have skills in the languages spoken on both sides of the border?The staff at the border crossing points have skills to speak Russian which is used on both sides of the state border.Questions 5. to 8.:No data.Country: LithuaniaNo data from the Ministry of Social Security and LabourLithuania – Latvia:1,000, of which 500 commute to Latvia and 500 commute to Lithuania.(MkW Wirtschaftsforschung GmbH, Figures 2006/2007)Country: PolandNo data from the Ministry of Foreign Affairs(See Germany above)Country: RussiaNo data from the Ministry of Labour and Social AffairsCountry: IcelandNo data from the Ministry of Health and Social DevelopmentYouth unemploymentDenmarkYouth unemployment in Denmark:|January 2010 |December 2010 |March 2011 ||13.6 |13.5 |13.7 |Examples of measures against youth unemployment in DenmarkThe key words in Danish employment policies for young people are early and active intervention and education. In Denmark the main approach is that young people with an education must work – and young people without education must start taking one if they can. The employment rate in Denmark for young people (aged 15-24) is 60.1% (2010Q2) and is among the highest in the EU. Many Danish youth enter the job market when they are still in school or studying.In November 2009 the Danish government made a broad political agreement “More young people in education and jobs”. The package first of all upgraded the activation measures for young people. The measures targeted at the 18 to19 year-olds are based on intensive contact and rapid active intervention. There have also been introduced new activation tools such as mentor programs, education measures or job training for the 15 to 17 year-olds who not are in education, employment or training.In April 2011 the Danish government had made a proposal for a new young package to strengthen the efforts to get young people into education or jobs. The new proposal introduces new initiatives include much closer contact between the Job Center and the young people without job, expanded opportunity for job training and new initiatives for young unemployed graduates. At municipality level, job centre, schools, social partners and employers work together to promote young people’s integration in the world of work.Youth guidance centres are responsible for the co-operation with schools and provide guidance services/vocational orientation. There are 45 municipal youth guidance centres, which provide guidance services for young people up to the age of 25 years. The youth guidance centres focus on guidance related to the transition from compulsory school to youth education or, alternatively, to the labour market. The main target groups for the youth guidance centres are: pupils in primary and lower secondary school and young people under the age of 25 who are not in education, training or employment.In Denmark the social partners are involved to create sufficient training places through their participation in the Employment Councils. There is one employment council at the national level, four employment councils at the regional level and employment councils at the local level, one in each of the municipalities.NorwayYouth unemployment in Norway|January 2010 |December 2010 |March 2011 ||8.6 |9.0 |8.7 |Examples of measures against youth unemployment in NorwayYoung people under the age of 20 are offered labour market measures as soon as possible when out of work and education. Young people aged 20-24 are guaranteed a follow-up after three months of unemployment, and labour market measures after six months of unemployment. The follow-up of unemployed is done by the Work and Welfare Centres. Young people are most often offered labour market measures with a focus on qualification and training.Norway continues with the measures among others with youth guarantee under the age of 20, support guarantee for young people aged 20-24 and with support guarantee for school drop-outs.Completed upper secondary education is important in order to get a firm foothold in the Norwegian labour market. In the beginning of 2010, the Ministry of Education started a 3-year project in cooperation with the counties regarding drop-out from upper secondary school, called “Ny GIV”. The project focuses both on preventing drop-out and to help those who have already dropped out to finish their education. The cooperation between the counties and the Work and Welfare Centres is an important part of the project.There is a constant effort to create as many apprenticeships/training places as possible. There are cooperative activities between schools and social partners. In Norway there is a structure for tripartite cooperation. Through the National Council for VET (SRY) and the nine advisory vocational training councils established for each VET education programme, the social partners give the Ministry of Education and Research and the Norwegian Directorate for Education and Training advice on the need for changes in the structure of the Upper Secondary Education Vocational Education Programmes e.g.SwedenYouth unemployment in Sweden|January 2010 |December 2010 |March 2011 ||27.4 |24.2 |24.0 |Examples of measures against youth unemployment in SwedenIn terms of measures to foster youth employment, Sweden is continuing its special strategy, a programme called the Job guarantee for young people. The aim is to offer individually oriented activities to enable the youth to find jobs or alternatively to return to the regular education system as quickly as possible.For people aged between 18 and 26, employers have lower outlays for social security. In addition the new start jobs scheme for young people provides a tax relief equivalent to the employer’s social contribution for an employer who hires a person between 20 and 26 who has been unemployed for at least six months (during a period of maximum of 12 months). The reduced social contributions, together with the reductions associated with “new start jobs”, results in reduced cost of hiring a young person in a “new start job” with about 40 % less than it would be without these measures.In January 2010 a new measure was implemented aiming to help unemployed young people who have not finished upper secondary school, back to studies. The initiative includes 1,000 places in folk high schools each year. In addition, financial incentives for young people without a school-leaving certificate to take up studies in the municipal adult education system have been strengthened temporarily during 2011.ÅlandYouth unemployment in Åland:|January 2010 |December 2010 |March 2011 ||10.4 |8.0 |5.3 |(The figures are from PES’ registers, not compatible with EUROSTAT criteria); (Ålands statistik- och utredningsbyrå/Statistics Åland)Examples of measures against youth unemployment in ÅlandThe “katapult youth project” which aims to create a permanent, well-functioning and flexible method that leads to the integration of young unemployed into the labour market continues. There is also a variety of supported occupations as well as internship possibilities for youth. In addition all school students have periods in the working life during their education.FinlandYouth unemployment in Finland|January 2010 |December 2010 |March 2011 ||22.7 |20.7 |20.5 |Examples of measures against youth unemployment in FinlandThe social guarantee for young people involves producing an estimate of the needs for services and an employment plan at an early stage in the job-seeking process. The employment plan must be drawn up for each unemployed jobseeker under the age of 25 before they have been unemployed for a continuous period of 2 weeks (changes were made in the law of Public Employment Services in spring 2010, the time scope was earlier much longer). The employment plan is a starting point, based on which a potential programme of active measures is offered within three months.Young people are offered active measures like• job-seeking training• preparative or vocational labour market training• subsidised employment• a traineeship without an employment relationship or work try-outs• subsidy for starting a company or• if required, vocational rehabilitation.There were three different Government Policy Programmes for fulfilling the government programme strategies during the last government period (4 years) – all had goals on youth employment.• A policy programme for employment, entrepreneurship and worklife• A policy programme for the well-being of children, youth and families• A policy programme for health promotionYoung jobseekers and unemployment allowance/labour market subsidy in Finland:A person under 17 years has no right to get an unemployment benefit. If a 17-year-old person has not any vocational training degree he/she can be paid only for the time in active measures. 18-24 years old young persons have right to unemployed subsidy if he/she has no obstacles for working and if he/she has applied to suitable training in joint application system.EstoniaYouth unemployment in Estonia:|January 2010 |December 2010 |March 2011 ||39.7 |25.8 |20.4 |Examples of measures against youth unemployment in EstoniaEstonia lays main attention if considering youth unemployment on measures in the educational policy. In the education policies, preventing short-term educational spans and dropping out of school is among the key priorities. The main target group therefore is formed of the ones with low educational and skills level.In order to reduce the number of school drop-outs and to support the development of the young there have already been implemented several reforms in the education system. In general education, the new Basic Schools and Upper Secondary Schools Act was approved by the Parliament in June 2010. The new standards for basic education and general secondary education have recently been worked out. Also the accessibility to vocational education has been improved and possibilities to obtain vocational education at basic and secondary schools have been created. To increase the quality level in higher education, an independent quality agency has been launched.In the Labour Market Services and Benefits Act young people (aged 16-24) are marked as a labour market risk group. In general terms the approach in directing labour market services lies on the principle of individuality: the set of labour market measures that help to direct the unemployed young person back to the labour market are combined for each person individually. In practice the most common measures used to help to direct the young unemployed people into the labour market are the following:- career information and career counselling- labour market training- work practice- job clubsExamples of successful ESF projects:• ESF programme “Developing youth work quality” (2008-2013) supports the employability of young people. The programme highlights youth work as a learning process and is implemented by governmental institution Estonian Youth Work Centre in partnership with Estonian National Agency for Youth in Action programme.• ESF programme “Development of a System of Career Services” (until 2013) aims to ensure accessibility and quality of career guidance and educational counselling.• Two separate ESF programmes, originated by the Estonian Ministry of Education and Research, enable people to graduate their previously broken up studies in higher and vocational education.To support pupil’s introduction to the world of work and to increase the motivation of students, the creation of supports persons system is under development in line with sufficient counselling services network. The competence-based vocational education standards have been introduced in order to better prepare youth for the entrance and participation into the active labour market.To better integrate young people into the labour market the apprenticeship training scheme has been implemented more extensively to combine vocational training with real work experience in a company.The process of entering the labour market for young people will be supported by a work practice scheme in companies, which enables young people to gain practical work experience. On the other hand, it allows the employer to train a potential employee according to company-specific needs in a quick and flexible way.LatviaYouth unemployment in Latvia|January 2010 |December 2010 |March 2011 ||39.1 |30.4 |29.8 |Examples of measures against youth unemployment in LatviaIn Latvia the young unemployed aged 15-24 years may participate in active labour market policy measures for example:• training measures• short-time training and measures for enchasing competitiveness• workplaces with stipend• complex support measures, including work practices• subsidized employment measures• training and practice of inspectors’ assistants in the Agency• career counselling servicesCareer consultants play an essential role in the process of choosing appropriate employment and training measures for young people and in managing their future careers. Methodology for career services is developed by the Agency, some services (different tests, counselling) are available in electronic format online.To tackle youth unemployment, it was developed a new labour market measure “Providing working experience for young people”. The measure was launched in the 2nd quarter of 2010 to provide opportunities for gaining first work experience to young unemployed aged 18-24 years. Young people may participate in a 6-12 months long work practice, receiving a monthly allowance of 120 LVL. Young person may acquire working skills under the supervision of a professional trainer (instructor) provided by an employer. Above mentioned measure was improved in order to provide more effective support to young people. From 2011, the measure is called “Workplace for youngsters”, and the main improvements were aimed at providing long-term employment for young people involved in the measure.In the 2nd half of 2011, young people will be able to participate in a new measure called “Youth Workshops” to try out several professions in order to be able to make an informed and final decision on their future career. The young unemployed will be able to try out 3 different professional fields working in each area for 3 weeks and receiving a monthly allowance of LVL 40.Another new measure “Support for youth volunteering”, launched in 2011, is aimed at young unemployed aged 18-24 years and promotes volunteer work of young people helping them to integrate into the labour market. Young people have an opportunity to carry out community works (lasting up to 6 months) in different non-profit associations and foundations receiving a monthly allowance of LVL 40.The goal of the porgramme “Measures to Encourage Innovations and Business Start-ups” is to inform and encourage a maximum number of individuals, especially youth, to start business activities, raise the prestige of entrepreneurship, foster understanding of the society about the role of innovations in promoting competitiveness. In 2010, special attention was paid to fostering pupils’ interest in innovation and business.There are also some cooperative activities between schools and social partners. In 2010, information activities were carried out in 16 Latvian schools – in May, within the framework of the State Chancellery’s campaign “To my own school, 2010”, the officers of the State Labour Inspectorate organized lessons on the activities of the State Labour Inspectorate, including labour relations and labour protection issues.Timely introduction to the world of work in Latvia is supported by the projects like:• Competition “Smarts” on labour relations and occupational safety and health issues in 2011 (planned also in 2012) for pupils from secondary schools;• Campaign “Safe To Do” for youngest pupils (grades 1-6) in 2009 and 2011 in order to introduce children with safety at home and at work.School programmes include also some elements of career planning and development which are integrated into the various teaching subjects. It is up to subject teachers to determine the methods to be used for exploring themes within the curriculum.In Latvia different vocational education and training programmes are developed and offered for all branches of the national economy of Latvia.LithuaniaYouth unemployment in Lithuania|January 2010 |December 2010 |March 2011 ||34.9 |33.7 |32.9 |Recent measures for supporting youth employment introduced in 2010:• Youth (up to 29) became the group of persons additionally supported in the labour market. The ESF Project “Be Active in the Labour Market” has been launched which contributes to subsidised employment of young people (average duration is 5 months); or enables the youth to acquire working skills directly in the workplace.• Youth (up to 29) has a priority to participate in vocational training and supported employment measures.• Youth (up to 29) is among the priority groups who can get a credit by participating in the EU funded project “Promoting Entrepreneurship” and:o participate in the training “Basics of Entrepreneurship”;o obtain free training in one of 6 training models according to individual needs;o obtain a free individual consultation on the preparation of a business plan.• Young people who enter the labour market for the first time benefit from a lower rate social insurance contribution (they pay 7.7 % instead of obligatory 31 %).To increase the youth employability skills in the future, 11 Youth Job Centres constantly organize vocational motivation seminars at schools, inform about services PES provide. Around Lithuania there operate 700 Career Information Points, and in the future activities in this field will be further expanded.Motivational seminars are available for unmotivated young people who suffer from social exclusion. Since 2008, by implementing the EU supported project “Development of New Innovative Services for Youth Seeking to Decrease Youth Unemployment and to Facilitate Entering the Labour Market”, services are provided for the most vulnerable young people. In 2010 there were 415 such motivational seminars organized.A First Job Programme is offered for graduates who completed education and started working according to acquired professional competences or for graduates or persons with basic education who are seeking a job for the first time. Participants of this programme are provided with information, counselling and intermediation services.On the website of the Lithuanian Labour Exchange there is designed a Talent Bank database for high qualification specialists in which jobseekers can provide information about themselves. High school graduates and students of final courses who know at least one foreign language and have a computer literacy are invited to participate in the Talent Bank programme.Support is also offered for territorial mobility if no employment can be found in the locality. The project “Support for employment and labour mobility” funded by the European Social Fund has been implemented in this regard.The National Programme of Promoting Youth Entrepreneurship creates the conditions to design and implement new and to improve existing measures for promoting youth entrepreneurship in Lithuania. In 2010, the Youth Affairs Department under the Ministry of Social Security and Labour funded 14 youth entrepreneurship-promoting projects in which over 1200 young people participated.PolandYouth unemployment in Poland|January 2010 |December 2010 |March 2011 ||23.1 |24.3 |25.3 |Examples of measures against youth unemployment in PolandUnemployed youth belongs to the group of people who find themselves in a specific situation on the labour market. In accordance with the above, such unemployed youth should be presented, no later than 6 months from the date of registration, by the county labour office, an employment offer or an offer to take part in a labour market activity programme aimed at raising the chance of employment.Young people can benefit from the labour market measures, which enable them to obtain professional experience and broaden their professional qualifications, i.e. professional preparation for adults, internships and workshops covering free-of-charge trainings, financing of post-graduate studies or licence/certificate costs and the possibility of obtaining interest-free training loans.In 2010, almost 300,000 people in this age group were covered by labour market activity programmes. Almost 190,000 of them were granted placements which enabled them to obtain the necessary professional experience.In 2010 was activated an additional Labour Fund target reserve allocations towards the implementation of the Professional Activation Programme for people aged under 30, with a view to increase financial support for labour offices with regard to youth assistance. The allocation of additional funds from the Labour Fund target reserve towards the implement-tation of special programmes should lead to a substantial increase in the level of professional activation of unemployed persons and persons seeking employment, including among the youth.GermanyYouth unemployment in Germany|January 2010 |December 2010 |March 2011 ||11.1 |8.9 |8.1 |Examples of measures against youth unemployment in GermanyWithin Germany’s dual system of vocational education and training, it is primarily the job of companies to provide an adequate number of training positions so that a sufficient pool of young skilled workers is available. The central focus of labour market policy is thus on integrating disadvantaged and low-skilled young people into vocational training and the labour market. One example is experimental schools – of which there are currently around 1,000 – where mentors assist young people experiencing difficulties in achieving the grades they need to obtain a school-leaving qualification. This assistance is available to pupils from their penultimate school year onwards. The pilot scheme is complemented by the Berufseinstiegsbegleitung action programme, part of the Bildungsketten – Abschluss schaffen – Anschluss finden initiative at a further 1,000 Hauptschulen (lower secondary schools) and special schools. In addition, the Federal Employment Agency is ramping up its careers guidance services and has extended the period for implementing additional careers guidance services to at least 2013.Many cooperation programmes between schools, social partners and the authorities concentrate explicitly on improving cooperation between the parties involved at the local level. The JUGEND STÄRKEN initiative aims to ensure continuous support by closing current service gaps and by bringing together the parties concerned, regardless of their legal system. The Perspektive Berufsabschluss programme aims at better coordinating various existing assistance programmes and support services to make the transition from school to vocational training easier. Collaboration on vocational training between the German Federal Government and central business associations is promoted particularly strongly within the National Pact for Education and Vocational Training, which has been extended to run until 2014. Among other things, the partners set targets for the creation of new training positions and also for the provision of subsidised long-term company internships for young people who, for various reasons, cannot immediately embark upon professional training after leaving school. Due to demographic developments, in the future the partners within the pact will focus more on better exploiting the potential on the training market – among both high-performing and under-performing young people.Young people who contact an employment agency in search of a training position or job are first asked a series of questions to ascertain their career preferences and suitability for various jobs. On the basis of the skills, preferences and suitability are determined and the young person and the agency representative sign an integration agreement. This includes the integration goal that the signatories have decided together, the steps the agency will take to find its client a training position or job, the steps the client himself or herself will take, and the active labour market support services that the agency will provide.RussiaYouth unemployment in Russia:|January 2010 |December 2010 |March 2011 ||29.4 |29.3 |30.8 |(of the total number of registered unemployed) ROSSTATExamples of measures against youth unemployment in RussiaThe most common reasons why school leavers in Russia cannot find work or training positions is a shortage of job vacancies, a lack of professional experience, inadequate salaries and a scarcity of jobs in the required field. The high risk of unemployment for vocational school leavers, i.e. young, newly trained skilled workers, is a serious social problem that is exacerbating the situation on Russia’s labour market. The economic crisis has made it even more difficult for vocational school leavers and even for graduates from higher-level vocational colleges to find work.In order to improve the ability of graduates from vocational training institutions of all levels to better compete on the labour market, regional programmes can organise paid six-month internships that enable these young people to gain professional experience. Since 2010, the scheme has been expanded so that older employees now receive money for functioning as mentors and supervisors.One area where Russia is fostering the employment of young people is by offering unemployed youth vocational training in basic entrepreneurship. An important element of the Empowering Youth Through Enterprise project that Russia embarked on with Canada involves awarding microcredits to help young people interested in participating in starting a new business.The careers guidance and vocational training programmes offered by employment offices are targeted primarily at young people. Job placement centres offer young people with no vocation, who have never worked before, or who are looking for a job for the first time a personal careers advice session. These youth take various tests and receive help in choosing possible vocational training approaches. They can also attend specially organised job fairs.IcelandYouth unemployment in Iceland:|Q1 2010 |Q4 2010 |Q1 2011 ||16.4 |15.4 |16.4 |Source: Statistisamt IslandExamples of measures against youth unemployment in IcelandThe Directorate of Labour in Iceland started a special programme initiated by the Ministry of Welfare in January 2010 for young unemployed persons, “Youth in action”. The aim is to activate all unemployed persons age 16-24 (now 16-29) within three months of registration on unemployment benefits. They are offered various opportunities as different forms of education and training, job-training, counselling and voluntary work. Participation is obligatory, inactivity is not an option. According to an external evaluation the programme has proved very successful and has fully reached its target group, young unemployed.Unemployment amongst young people has increased dramatically in the last two years. Directorate of Labour has cooperated with various actors such as municipalities, labour unions, civil society (e.g. the Red Cross) and schools under the umbrella of above-mentioned programme “Youth in action”. Also a new project is under way where 1,000 jobseekers are given the opportunity to take up full formal studies on university or secondary school level for one semester while keeping their benefits. This programme is done in close cooperation with a number of schools and universities. Additionally, some schools introduce the labour market to some extent to their students within the curriculum of a subject called “life skills”.Data source: Eurostat online database, July 2011, seasonally adjusted data (unless stated otherwise under table)-----------------------[1] www.crossbordertornedalen.net[2] www.stat.fi3 Statistics Finland[3] Scientific Report on the Mobility of Cross-Border Workers within the EU-27/EEA/EFTA Countries, 2009
Report about Labour Market and Social Welfare 2011