Federal Department of Economic Affairs, Education and Research EAER State Secretariat for Economic Affairs SECO Labour Market and Integration Effective support to firsttime job seekers in Switzerland Markus Weber 13 May 2015 Contents • Facts and figures about Switzerland and the Swiss labour market • Youth unemployment in Switzerland • Vocational/Professional Education and Training System (VPET) in Switzerland • General aims for first-time «job seekers» • Apprenticeship marketing measures • Unemployment insurance in Switzerland • Labour market measures financed by the unemployment insurance • LMM for young people • Participants and costs • Challenges Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 2 Facts and figures about Switzerland and the Swiss labour market (1) Population: 8,236 million, 24% of whom are foreign nationals Districts: 26 cantons National languages:German (63%), French (22%), Italian (8%), Rumantsch (0,5%), other (6,5%) 99.6% of all Swiss companies have fewer than 250 employees. These small and medium enterprises (SME) account for two thirds of employment, they are often called the backbone of the economy. Switzerland is not member of the European Union Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 3 Facts and figures about Switzerland and the Swiss labour market (2) Flexible Labour Market policy Structure: - primary sector - secondary sector - tertiary sector 4,3% 25,3% 70,4% Net activity rate (15 - 64 age range): 84,9% Unemployment / rate (April 2015) all ages : 141’131 / 3,3% Unemployment / rate (April 2015) 15 - 24 age : 17’482 / 3,1% Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 4 Youth unemployment in Switzerland (1) Source: SAKE / ILO 250000 7.7 203541 200000 4.5 6.0 4.5 4.4 4.2 4.0 5.0 4.0 100000 50000 9.0 2154868.0 7.0 204751 192892 183694 150000 8.6 8.5 8.4 7.8 48957 48540 52894 3.0 53732 53647 2.0 1.0 0 0.0 2010 2011 total 2012 15-24 yars 2013 total 2014 15-24 yars Source: SECO 160000 136524 125594 140000 120000 5.0% 151986 4.3% 136764 122892 3.5% 3.2% 100000 3.2% 3.2% 3.4% 3.2% 3.2% 2.9% 2.8% 4.5% 4.0% 3.5% 3.0% 80000 2.5% 60000 2.0% 1.5% 40000 24344 20000 17860 18191 1.0% 18906 18067 0.5% 0 0.0% 2010 2011 total 2012 15-24 yars 2013 total 2014 15-24 yars Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 5 Youth unemployment in Switzerland (2) registered unemployed 200,000 180,000 160,000 141131 120,000 100,000 80,000 60,000 40,000 20,000 17482 13954 3528 total 15-24 years 15-19 years 20-24 years Jan-15 Jan-14 Jan-13 Jan-12 Jan-11 Jan-10 Jan-09 Jan-08 Jan-07 Jan-06 Jan-05 Jan-04 Jan-03 Jan-02 Jan-01 0 Jan-00 registered unemployed 140,000 Source: SECO Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 6 Jan 00 May 00 Sep 00 Jan 01 May 01 Sep 01 Jan 02 May 02 Sep 02 Jan 03 May 03 Sep 03 Jan 04 May 04 Sep 04 Jan 05 May 05 Sep 05 Jan 06 May 06 Sep 06 Jan 07 May 07 Sep 07 Jan 08 May 08 Sep 08 Jan 09 May 09 Sep 09 Jan 10 May 10 Sep 10 Jan 11 May 11 Sep 11 Jan 12 May 12 Sep 12 Jan 13 May 13 Sep 13 Jan 14 May 14 Sep 14 Jan 15 May 15 Sep 15 unemployment rate Youth unemployment in Switzerland (3) unemployment rate 2000-2015 source: SECO; basis: VZ 2010 8.0 7.0 6.0 5.0 4.0 3.9 3.0 3.3 3.1 2.0 1.7 1.0 0.0 total EAER/SECO/TCMI – M. Weber 15-24 yearsMonat 15-19 years 20-24 years Source: SECO Effective support to first-time job seekers in Switzerland 7 Vocational/Professional Education and Training System (VPET) in Switzerland Transition 2 VET – Labour Market Transition 1 School – VET Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 8 General aims for first-time «job seekers» • Aim of the partners of the Swiss PVET system: 95% of young people have a certificate on the upper-secondary level II. • We want to integrate «school leavers» into the PVET system and not into the labour market (without qualification/education)! • «Education prior to labour» • Transition 1: school – VET • Aim: To find a place in the VET (or general education school) • Transition 2: VET – Labour Market • Aim: To find a first job outside the former apprenticeship host company Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 9 Apprenticeship marketing measures • • • • Information and advice on careers Apprenticeship records Creation of host company networks Provision of state-sponsored transitional options (mainly bridgeyear courses) • VET promotion agents deal directly with companies, encouraging them to create apprenticeship positions • Placement and individual mentoring of young people who have been unable to find a suitable apprenticeship • VET Case Management • In Switzerland, the unemployment insurance is not responsible for all this measures for “apprenticeship seekers”! • More information: http://www.sbfi.admin.ch/index.html?lang=en Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 10 Unemployment insurance in Switzerland Main task of the unemployment insurance: Promotion of a quick and long-lasting integration of jobseekers into the labour market. Rights and duties of job seekers Rights: - Receive unemployment benefits - Get help from job centres to find a new job Duties: - Actively search for a new job (own initiative) - Respect control regulations - Respect instructions from the job centres Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 11 Agreement between cantonal governments and federal ministry Federal Ministry (SECO) Steering Committee Cantonal governments Regulatory framework Steering tool (benchmark) Activity of cantons Measurement of efficiency - AVIG - AVIV Communication of results Competition Federal act / ordinance - AVG Review of the situation Financing Performance indicators - operating cost - labour market measure cost Exchange of best practices Transfer of best practices -AVV Activity according to the law: - counselling job placement labour market measures controls and sanctions Outcome measurement 4 impact indicators: - rapid reintegration - avoid long-term unempl. - avoid ineligibility for unempl. benefits recipients Continuous improvement process - avoid re-registrations Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 12 Labour market measures financed by the unemployment insurance Educational Measures • Courses • Practice firms • Internships for the enhancement of qualification Practical labour programmes • Programmes, providing temporary employment in the „2nd labour market“ • Motivation semesters • Vocational internships Special Measures • Training subsidies • Job familiarisation subsidies • Financial subsidies for commuters • Promotion and support of self-employment Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 13 LMM for young people (1) Motivation semesters Target group: unemployed “school-leavers” without any upper secondary education Aim: Answer three questions (Who am I? What can I do? What do I want to do?) and find a qualification (apprenticeship) Duration: 6 months (average), in an organisation Method: Coaching, training, internal workshops or external firms Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 14 LMM for young people (2) Vocational internships Target group: unemployed young people with an upper secondary education or university degree. Aim: gain professional (practical) experience and find a job Duration: 6 months (average) Method: Internship in a private company or in the public administration Financing: Company pays 25% of the daily allowance Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 15 LMM for young people (3) Practice firms Target group: unemployed young people with an upper secondary education (in the commercial sector) Aim: practical professional experience, find a (first) job Duration: 6 month (average) Method: Internship in a special organization / Network of different practice firms in Switzerland and abroad / Trade with virtual products but real internal processes / “Learning by-doing” Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 16 LMM for young people (4) Number of persons Year Motivation semesters Total transition 1 Vocational internships Practice firms Total transition 2 2005 2006 2007 2008 2009 2010 2011 Transition 1 (after school) 5'708 6'920 6'670 6'366 5'313 5'447 5'187 5'708 6'920 6'670 6'366 5'313 5'447 5'187 Transition 2 (after apprenticeship/university) 3'052 3'904 2'063 1'471 2'108 2'633 1'828 3'840 3'019 3'812 3'235 3'034 4'021 2'565 6'892 6'923 5'875 4'706 5'142 6'654 4'393 2015 2012 2013 2014 (forecast) 5'548 5'872 6'163 5'548 5'872 6'163 6'557 6'557 1'701 1'800 1'779 2'441 2'242 1'895 4'142 4'042 3'674 1'090 2'065 3'155 Costs in million Swiss Francs Year Motivation semesters Total transition 1 Vocational internships Practice firms Total transition 2 2005 2006 2007 2008 2009 2010 2011 Transition 1 (after school) 60.4 66.6 67.5 65.7 65.6 69.5 69 60.4 66.6 67.5 65.7 65.6 69.5 69.0 Transition 2 (after apprenticeship/university) 4.7 5.2 3.9 3.2 3.9 3.8 2.9 25.6 26.2 24.4 20.8 21.5 23.4 21.8 30.3 31.4 28.3 24 25.4 27.2 24.7 2012 2013 2014 2015 (budget) 65.5 68.4 72.8 65.5 68.4 72.8 76.8 76.8 3.2 3.2 3.3 19.9 15.3 13.5 23.1 18.5 16.8 0.6 13.7 14.3 Source: SECO Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 17 Challenges • Competition between VET (apprenticeship) and general education (university) • (International) acceptance of the VET and the higher professional education and training • Shortages of qualified workers / occupational aptitude / “matching” • Inter-institutional cooperation: Minimizing the duplication of tasks among different insurance systems as well filling gaps in the social security system Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 18 Thank you for your attention! Markus Weber Expert Federal Department of Economic Affairs, Education and Research EAER State Secretariat for Economic Affairs SECO Section Labour Market and Integration Specialist Implementation Support RAV/LAM/KAST Holzikofenweg 36, 3003 Berne Tel. + 41 58 462 27 63 Fax + 41 58 462 29 83 [email protected] www.seco.admin.ch Effective support to first-time job seekers in Switzerland EAER/SECO/TCMI – M. Weber 19
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