conference on productivity, investment in human capital and the challenge of youth employment...
TRANSCRIPT
Conference on Productivity, Investment in Human Capital and the Challenge of
Youth Employment
Bergamo (Italy) 13-18 December 2010
Youth Employment in HungaryAn Empirical Study of the Hungarian Situation
Balazs RossuAssistant Research FellowUniversity of Szeged (Hungary)
Employment Related Problems
Number of registered unemployed in January 2009: 509.907
in August 2010: 546,094
Peak reached: January 2010: more than 650.000
Source in the PastA Trend Born
Major change in the patterns of work and learning:
1989 (Regime change):
2004:
Number of people employed:
Number of people employed:
Number of students in higher education:
Number of students in higher education:
5.2015 million
100,868
3.9916 million
378,466
- Outdated thinking by most of society:
- Education = Well paying jobs
- Vocational qualification Lower salary- ”Prestigeous” professions are oversupplied Intense need for professional (manual) workers- Inaccurate vision of the labour market and future salaries;
- Low level of mobility;
Basic Problems (Background Philosophy):
Labour Market Possibilities
- Teachers: In 2004 it was in sync, later there became an oversupply- Computer studies: In sync (no accurate data regarding the private sector)
Ratio of the employed and the ones aiming to be (among registered unemployed):
- Engineering: 2.5 times more registerd etrants, than those
currently employed (no data on specialised)
- Health care: according to the registered unemployed, not too many aim to work in this sector
Youth Perspective
- Results of studies (in an inverse proportion)- Knowledge of languages (most commonly English)
Factors influencing the expectation of a higher salary:
- Education of parents (the lower, the lower wage accepted)- Internet connection at home (higher if positive)
- The institution or faculty and the chosen profession itself
- Gaining work experience during school years
Factors influencing the expected amount of time to pass before employment:
- Education of parents (affects in reverse the lower, the less time is expected to pass)
- The institution or faculty and the chosen profession itself
- Knowledge of languages (most commonly English) (reversed effect)
Effective Support Programs
- Effectively helps entrants to be employed for at least
two (or one for graduates) years (full-time)- ”Compensates” the employers for the entrants’ lack of field experience by considerable allowances - Instead of 27% (of the gross wage) as employers’ contribution and social insurance contribution, the employer only has to pay 10% during the first year, (or first 9 months for graduates) and 20% during the second year (or the last three months for graduates)
The START-Card:
Main advantages:
- regular employment-like conditions;- actual wage-like grants;- participants are insured (in aspect of social security);- can be combined with the Start Card Scheme;- tax reduction;- preferential contributions;- the participant is provided a letter of recommendation certifying the work experience
The Paid Internship Employment
Other Possibilities:- Organization of job fairs and open days by various institutions
- Operation of informational services and consultation offices (e.g. In schools) by Employment Centres
- Support of simple needs, e.g. reimbursement of travelling expenses to promote mobility and widen the range of possibilities for the individual
Conclusion- Necessary information do not get to people;- Families and society influences the younger generation based on false or absolete conceptions and values;- There is not enough focus on practical and manual training in education;- Supply and demand do not match on the labour market;- Flaws of the current system should be mended;- Thinking in general should be modernized
YOUR KIND ATTENTION!
THANK YOU FOR