simply clever employment transition – czech experience from business perspective radek Špicar...
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SIMPLY CLEVER
Employment Transition – Czech Experience From Business Perspective
RADEK ŠPICAR
EXTERNAL AFFAIRS
ŠKODA AUTO, a.s.
Implementig of flexicurity strategy in the economical crisis
PRAGUE 03/25/2009
SIMPLY CLEVER
Employment transitionCzech experience from business perspective
Škoda Auto in the Czech Republic:
The biggest Czech private company
Over 25.000 employees
Huge need for labour recruitment
Recruiting graduates from different types of
schools and universities (workers, technicians,
researchers…)
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SIMPLY CLEVER
Employment transitionCzech experience from business perspective
Czech educational system and labour market
Lack of apprentices
• traditionally strong role of industry
• decline of vocational school system
Lack of graduates and highly skilled experts
• Limited number of university graduates in population
(only 14% of population, the OECD average is 27%)
• Inappropriate fields of study (lack of technical universities graduates)
Lack of support of soft skills and creativity
Strong discrepance between the structure of graduates and needs of business
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SIMPLY CLEVER
Employment transitionCzech experience from business perspective
Employment rates for age group 15-24Persons in employment as a percentage of population in that age group, 2006 or latest
available year
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SIMPLY CLEVER
Employment transitionCzech experience from business perspective
Škoda Auto solution: Own human resource development:
• Skoda Auto University (over 750 students, marketing
and economy)• Apprentice school (more than 900 students)
Modern HR tools, appropriate wage policy
Cooperation with government and local governments
Solution for the whole economy: Broader and deeper cooperation between universities and companies Teachers and professors from real business Internships in companies during the studies
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SIMPLY CLEVER
Employment transitionCzech experience from business perspective
Seniors on the labour market:
Aging of population in the Czech Republic:• share of people older than 65 years shall rise from 14% in 2004 to 31,3% in 2050• Much more difficult for elderly people to re-establish themselves in career• Inconvenient legislation
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SIMPLY CLEVER
Employment transitionCzech experience from business perspective
Employment rates for age group 55-64Persons in employment as a percentage of population in that age group, 2006 or latest
available year
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SIMPLY CLEVER
Employment transitionCzech experience from business perspective
Solution in Skoda Auto:
Several programmes for older employees
(50+ together with EC, health care) Life-long employing System of couching and requalifications
Solution for economy:
promotion, development and implementation of training, life-long learning and requalifications
Flexible forms of work (temporary, part-time and self-employment) Appropriate legislation Controlled migration (Green cards…) Stimulating subsidies for unemployed people
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SIMPLY CLEVER
Employment transitionCzech experience from business perspective
Economic crisis:
More than 130.000 newly unemployed people from June 2008
Number of vacancies fell from 150 thousand to 65 thousand people
Companies don’t want to fire people, but are pushed to do so by rigid labour code
Solution in Škoda Auto: Shorter working time (four-days working week) Lowering of temporary agency workers Requalifications and shift among workplaces
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SIMPLY CLEVER
Employment transitionCzech experience from business perspective
Solution for economy:
Stronger flexibility in labour relations (preservation of existing jobs) Esp. flexibility in adjustment of working time (system of work accounts) Social systems supporting employment (motivating unemployment subsidies) Support for other forms of employment (shorter contracts, fixed-time contracts, job
sharing, home-working…)
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