Operational Programme Prague – Adaptability

City of Prague
Prague City Hall
Operational Programme
Prague – Adaptability
24 September 2007
Operational Programme Prague – Adaptability
24 September 2007
1
SUMMARY
For the City of Prague, the Operational Programme Prague – Adaptability represents an
instrument for drawing on funds from the European Social Fund in the programming period
of 2007-2013. Due to its economic maturity the City of Prague was classified under the
Regional Competitiveness and Employment Objective.
The global objective of the OP Prague – Adaptability is to increase competitiveness of Prague
by strengthening adaptability and performance of human resources and by improving access
to employment for everybody. Fulfilment of the global objective within the time frame of the
programme (until 2015) will contribute to the strengthening of sustainable socio-economic
development of the region and to increasing the importance of Prague in the Central European
region when compared to other capitals of Member States.
The programming document has the following structure. Chapter “Socio-economic Analysis
of the Region” describes the situation in the City of Prague from the viewpoint of
demography, economic performance of the region, situation on the labour market, including
risk groups, equal opportunities, business environment and education. Analytical findings are
summarized in the SWOT analysis based on which global and specific objectives have been
defined under chapter “Programme Strategy”, including its links to strategic documents of the
EU and the Czech Republic. Chapter “Priority Axes” describes areas to which support will be
directed in order to achieve the programme objectives, including quantification of the
programme objectives. Chapter “Implementation structure” describes how the operational
programme will be implemented by identifying the relevant responsible entities and by
outlining implementation procedures for monitoring, evaluation, financial management,
control and publicity. Chapter “Financial Plan” specifies the funds allocated for the fulfilment
of the programme objectives.
Information on applicability of the SEA to the programme
Given the nature of the European Social Fund, focusing on immaterial operations related to
human resources development, this operational programme does not set the framework for
operations likely to have significant environmental effects, such as infrastructure projects,
especially those listed in Annexes I and II to Directive 85/337/EEC, as amended.
For details on strategic environmental assessment of the Operational Programme Prague –
Adaptability see chapter 3.8.
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24 September 2007
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TABLE OF CONTENTS
SUMMARY............................................................................................................................... 2
TABLE OF CONTENTS......................................................................................................... 3
1
INTRODUCTION............................................................................................................ 6
1.1
1.2
2
PRAGUE AND THE EUROPEAN SOCIAL FUND ............................................................... 6
PARTNERSHIP FOR THE PROGRAMME........................................................................... 6
SOCIO-ECONOMIC ANALYSIS OF THE REGION ................................................ 8
2.1
GENERAL DESCRIPTION OF THE REGION ..................................................................... 8
2.2
DEMOGRAPHIC DEVELOPMENT ................................................................................... 9
2.2.1
Age Structure.................................................................................................... 10
2.2.2
Prognosis of Population Development............................................................. 11
2.3
ECONOMIC PERFORMANCE OF THE REGION ............................................................... 12
2.4
SITUATION ON THE LABOUR MARKET ....................................................................... 12
2.4.1
Employment ...................................................................................................... 12
2.4.2
Unemployment.................................................................................................. 18
2.5
RISK GROUPS AND EQUAL OPPORTUNITIES ............................................................... 21
2.5.1
Risk Groups ...................................................................................................... 21
2.5.2
Social Economy ................................................................................................ 24
2.5.3
Social Services.................................................................................................. 24
2.5.4
Non-governmental Non-profit Organisations .................................................. 26
2.5.5
Equal Opportunities ......................................................................................... 28
2.6
LIFELONG LEARNING ................................................................................................ 29
2.6.1
Participation in Education ............................................................................... 30
2.6.2
Education at Elementary, Secondary and Advanced Specialised Schools....... 33
2.6.3
Higher Education ............................................................................................. 34
2.6.4
Further Education ............................................................................................ 35
2.6.5
Modernisation of the City’s Public Administration ......................................... 37
2.7
BUSINESS ENVIRONMENT .......................................................................................... 40
2.7.1
Small and Medium-sized Enterprises ............................................................... 42
2.7.2
Tourism............................................................................................................. 43
2.7.3
Research, Development and Innovation........................................................... 45
2.8
EXPERIENCE FROM THE PREVIOUS PROGRAMMING PERIOD....................................... 47
2.8.1
Single Programming Document for Objective 3 .............................................. 47
2.8.2
EQUAL Community Initiative .......................................................................... 49
2.9
SWOT ANALYSIS...................................................................................................... 50
2.9.1
Strengths........................................................................................................... 50
2.9.2
Weaknesses....................................................................................................... 50
2.9.3
Opportunities.................................................................................................... 51
2.9.4
Threats.............................................................................................................. 52
3
PROGRAMME STRATEGY ....................................................................................... 53
3.1
GLOBAL OBJECTIVE .................................................................................................. 53
3.2
SPECIFIC OBJECTIVES ................................................................................................ 54
3.3
CONFORMITY WITH STRATEGIC DOCUMENTS............................................................ 54
3.3.1
Community Strategic Guidelines...................................................................... 55
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3.3.2
National Strategic Reference Framework........................................................ 57
3.3.3
Community Lisbon Programme ....................................................................... 59
3.3.4
National Strategic Documents ......................................................................... 61
3.3.5
Links to the Operational Programme Prague – Competitiveness.................... 67
3.3.6
Links between the ESF Operational Programmes ........................................... 68
3.3.7
Strategic Plan for the City of Prague............................................................... 71
3.3.8
Information on complementarity with EAFRD and EFF ................................. 72
3.3.9
Information on Complementarity with the Activities of the Seventh Framework
Programme....................................................................................................................... 72
3.4
TOPICAL, GEOGRAPHIC AND FINANCIAL CONCENTRATION ....................................... 73
3.5
HORIZONTAL THEMES ............................................................................................... 74
3.5.1
Sustainable Development ................................................................................. 74
3.5.2
Equal Opportunities ......................................................................................... 74
3.6
INTERNATIONAL CO-OPERATION AND SUPPORT TO INNOVATIVE ACTIVITIES ........... 75
3.7
SUMMARY OF EX-ANTE EVALUATION ....................................................................... 76
3.8
STRATEGIC ENVIRONMENTAL ASSESSMENT .............................................................. 78
4
PRIORITY AXES .......................................................................................................... 79
4.1
PRIORITY AXIS 1 – SUPPORT TO DEVELOPMENT OF KNOWLEDGE-BASED ECONOMY 79
4.2
PRIORITY AXIS 2 – SUPPORT TO ENTRY ONTO LABOUR MARKET.............................. 82
4.3
PRIORITY AXIS 3 – MODERNISATION OF INITIAL EDUCATION ................................... 84
4.4
PRIORITY AXIS 4 – TECHNICAL ASSISTANCE ............................................................. 88
4.5
MONITORING INDICATORS AND QUANTIFIED OBJECTIVES ........................................ 89
4.5.1
Context Indicators ............................................................................................ 89
4.5.2
Definitions of Indicators................................................................................... 90
4.5.3
Detailed Breakdown of Indicators ................................................................... 93
4.5.4
Quantification of Objectives............................................................................. 94
4.6
INFORMATION ON STATE AID .................................................................................... 98
5
IMPLEMENTATION STRUCTURE .......................................................................... 99
5.1
MANAGEMENT .......................................................................................................... 99
5.1.1
Managing Authority ......................................................................................... 99
5.1.2
Paying and Certifying Authority .................................................................... 100
5.1.3
Audit Authority ............................................................................................... 101
5.1.4
National Coordination Authority ................................................................... 103
5.1.5
Coordination Mechanisms of ESF Programmes............................................ 104
5.2
MONITORING ........................................................................................................... 105
5.2.1
Annual and Final Reports .............................................................................. 106
5.2.2
Computer Monitoring System......................................................................... 106
5.2.3
Joint Monitoring Committee .......................................................................... 108
5.3
EVALUATION ........................................................................................................... 110
5.3.1
Ex-ante Evaluations ....................................................................................... 110
5.3.2
Ongoing and Ad-hoc Evaluations .................................................................. 110
5.3.3
Ex-post Evaluations........................................................................................ 111
5.3.4
Evaluation Procedures ................................................................................... 111
5.4
FINANCIAL MANAGEMENT ...................................................................................... 111
5.5
FINANCIAL CONTROL SYSTEM ................................................................................ 113
5.5.1
Controls in Public Administration ................................................................. 113
5.5.2
Internal Control System ................................................................................. 113
5.5.3
Audits in Public Administration ..................................................................... 114
5.5.4
Controls by the Supreme Audit Office............................................................ 115
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5.5.5
Audit Activities Performed by the European Commission’s Bodies and the
European Court of Auditors ........................................................................................... 115
5.5.6
Irregularities .................................................................................................. 115
5.6
BASIC PRINCIPLES OF PROJECT SELECTION ............................................................. 115
5.7
INFORMATION AND PUBLICITY ................................................................................ 116
5.7.1
Communication Plan and Experience Exchange ........................................... 117
5.7.2
Publicity for Potential Beneficiaries .............................................................. 117
5.7.3
Public Awareness ........................................................................................... 118
5.8
ELECTRONIC DATA EXCHANGE WITH THE EUROPEAN COMMISSION ....................... 118
6
FINANCIAL PLAN ..................................................................................................... 119
6.1
6.2
6.3
EU FUNDS CONTRIBUTION ...................................................................................... 119
PROGRAMME BUDGET BY PRIORITY AXES .............................................................. 120
INDICATIVE BREAKDOWN OF THE COMMUNITY CONTRIBUTION BY CATEGORY...... 121
7
DEFINITIONS OF TERMS USED ............................................................................ 122
8
ABBREVIATIONS ...................................................................................................... 125
9
LIST OF TABLES, CHARTS AND FIGURES ........................................................ 127
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1 INTRODUCTION
1.1 Prague and the European Social Fund
In the programming period 2004-2006 the Prague region was eligible for assistance within the
framework of Objective 2 and Objective 3 of the EU cohesion policy. The Single
Programming Document for Objective 3 with a total budget of EUR 117.5m received a 50%
support from the European Social Fund.
In the programming period 2007-2013, the City of Prague will receive support from the
European Social Fund within the framework of the Regional Competitiveness and
Employment Objective by means of the Operational Programme Prague – Adaptability
(OPPA). The OPPA has been prepared with reference to Government Resolution
No. 175/2006 of 22 February 2006 and in compliance with Act No. 248/2000 Coll., on
Regional Development Support, as amended, and with other national and EU legislation.
Figure 1 Inclusion of NUTS 2 regions in the cohesion policy objectives for 2007-2013
Source: Development Authority of the City of Prague
1.2 Partnership for the Programme
The partnership principle has been strictly followed in the course of OPPA preparation and
the ensuing implementation phase.
The OPPA Programming Team, established within the Prague City Hall, participated in the
preparation of the programme. The team launched its activities on 2 March 2006 and its
members are representatives of the competent departments of the Prague City Hall and of the
departments participating in the preparation of programme implementation.
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24 September 2007
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The OPPA Preparation Workgroup has been set up for the purposes of broad involvement of
partners at the programme preparation stage; it launched its activities on 16 March 2006. The
Workgroup members are representatives of the coordinating ministries (Ministry for Regional
Development, Ministry of Finance), representatives of the Managing Authorities of the related
Convergence Objective programmes (Ministry of Labour and Social Affairs, Ministry of
Education), representatives of business associations, a trade union representative, a Chamber
of Commerce representative, a research and development representative, a tertiary education
representative, a representative of the Czech Statistical Office, an equal opportunities
representative and NGO representatives. NGO representatives shared the information on the
preparation of the programme with other organisations, including environmental
organisations.
As the programme was being prepared, its draft versions were available for public comments
and suggestions on the City of Prague’s website (www.praha-mesto.cz).
In order to involve as many future participants in the programme as possible, a joint public
discussion on Operational Programmes Prague – Adaptability and Prague – Competitiveness
was held on 15 June 2006.
During programme implementation, a Joint Monitoring Committee of operational
programmes co-financed under the EU funds within the City of Prague monitors compliance
with the partnership principle. The committee will monitor and assess the fulfilment of OPPA
objectives, discuss programme implementation reports, approve and modify project selection
criteria and carry out other activities related to OPPA implementation.
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2 SOCIO-ECONOMIC ANALYSIS OF THE REGION
2.1 General Description of the Region
Prague is the capital city of the Czech Republic and an attractive region to live in with rich
history and traditions. Prague ranks among the most economically advanced regions of the
EU with a potential for further economic growth. It generates nearly a fourth of the Czech
Republic’s gross domestic product, with the services sector being the most significant
contributor. The significance and the position of Prague can potentially influence the
competitiveness and economic development of the Czech Republic to a large extent.
From a geographic standpoint, Prague is situated in the middle of Europe, with a very good
position in relation to the neighbouring countries. Prague is surrounded by the Central
Bohemian region. The present-day reach of the city is the result of a natural historic and
long-term territorial expansion. It extends over an area of 496 sq km, which is only 0.6% of
the Czech Republic’s total area. Prague is home to 1.18m people, i.e. 11.5% of the Czech
Republic’s population.
Figure 2 Division of Prague into boroughs and administrative districts (as at 30 June
2006)
Source: Development Authority of the City of Prague
The City of Prague is a municipality and region, a NUTS 2 (cohesion region) and NUTS 3
region from the EU perspective. As regards the execution of delegated State administration it
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is divided into 22 administrative districts; in terms of local self-administration it consists of
57 city boroughs. The city boroughs vary largely in terms of size and urban nature. Some are
part of the city centre, others constitute its outskirts; industrial production is prevalent in some
parts, while residential housing dominates in others. Some boroughs have arisen through the
connection of peripheral village-type municipalities. Therefore, the population density, the
quality of technical infrastructure and the social and economic conditions for living are highly
varied in the individual boroughs.
2.2 Demographic Development
Until early 1990s, a long-term and intensive growth of Prague’s population prevailed due to
the inflow of people coming from the whole of Czechoslovakia. The overall population of
Prague began declining in 1993, influenced by a migration deficit and an ongoing negative
natural growth. The migration losses were mainly caused by the inhabitants leaving Prague
for the suburban areas. In recent years, however, there has been a slight increase in the birth
rate, while the mortality rate has remained stable. The rate of population decline has therefore
begun to slow down by way of natural exchange. Since 2002, Prague’s total population has
been slightly rising once again owing to migration. This is mainly due to the influx of
foreigners, included in the population totals for the first time.
Table 3
Fundamental demographic data of Prague’s population in 2000-2005
Natural population
growth
Population growth
through migration
Total population
growth
2000
-3,972
2001
-3,529
2002
-3,643
2003
-3,431
2004
-1,718
2005
-730
-1,757
-6,829
5,463
7,074
6,708
11,769
-5,729
-10,358
1,820
3,643
4,990
11,039
Source: CSO
As shown in the statistical results as at 31 December 2005, Prague had 1,181,610 inhabitants,
of which 615,068 (52.0%) were women. In 2005, a total population increase by 11,039
persons was recorded.
Table 4
Population development of Prague in 2000-2005 (as at 31 December)
Number of
inhabitants
Of which women
2000
1,181,126
2001
1,160,118
2002
1,161,938
2003
1,165, 581
2004
1,170,571
2005
1,181,610
621,582
610,466
610,048
610,099
611,463
615,068
Source: CSO
In comparison with European cities similar in size, Prague is homogeneous in terms of
population nationality. Based on the census taken in 2001, Prague’s population is
predominantly Czech (93.4%); another large nationality group in Prague are the Slovaks
(1.6%). Other nationalities are represented to a very small extent. The Roma hold a unique
position: during the 2001 census only few of them declared their nationality, but the
professionals estimate their number to be between 20,000 and 25,000. In general, the national
minorities in Prague are neither overly territorially concentrated nor segregated.
In 2005, an overall number of 89,911 foreigners legally resided in Prague, which constituted
nearly a third of the total number of foreigners with legal residency in the Czech Republic
Operational Programme Prague – Adaptability
24 September 2007
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(278,312 people). A total of 28% of the foreigners residing in Prague had permanent
residency (25,414 people), 63% had temporary or long-term residency there and 9% held
visas valid for more than 90 days. The most numerous groups were 30,000 Ukrainian citizens
(34%), 14,000 Slovak citizens (16%) and 8,500 Russian citizens (10%). Over 55,000 of the
foreigners living in Prague were economically active (this includes employment permits,
registration and trade licences), i.e. 9% of Prague’s total labour force, of which over
22,000 people owned trade licences.
2.2.1 Age Structure
Prague has the oldest age structure of the population in the Czech Republic. The average age
of the population (41.7 years in 2004) is constantly the highest of all the regions (the Czech
Republic’s average is 39.8 years) and continues rising slightly. The average life expectancy of
Prague’s women and men (average for 2003-2004) reached 79.6 and 74.1 years, respectively
(79.0 and 72.6 in the Czech Republic).
Table 5
Development of age structure indicators for the population of Prague and the
Czech Republic
Average age
Ageing index
Economic
burden
index
Prague
40.6
114.4
1998
CR
38.2
80.6
Prague
41.2
120.6
2000
CR
38.8
85.5
Prague
41.5
123.4
2002
CR
39.3
89.2
Prague
41.7
126.9
2005
CR
40.0
97.0
44.2
44.4
42.5
43.0
40.7
41.8
38.7
40.6
Source: CSO
Notes:
Ageing index – number of people aged 65+ per 100 children aged 014
Economic burden index – number of children aged 0-14 and people aged 65+ per 100 people
aged 15-64
Prague’s population has been growing older over the recent years particularly as a result of
a significant decline in the number of children. In 2004, there were 146,000 children aged up
to 14 (12.5%) living in Prague; which was by 50,000 fewer than 10 years before that (196,000
in 1994). There is a low birth-rate level in Prague in the long run compared with other regions
(Prague 1.19, Czech Republic 1.23). The low share of children in the recent years has been
also partially influenced by the migration of young families with children to the areas
surrounding Prague. The children vs. overall population ratio in Prague remains lower than in
the whole of the Czech Republic (14.9%).
Table 6
Development of the age structure of the population of Prague and the Czech
Republic (%)
Age 0-14
Age 15-64
Age 65+
Prague
14.3
69.4
16.3
1998
CR
17.0
69.3
13.7
Prague
13.5
70.2
16.3
2000
CR
16.2
69.9
13.9
Prague
13.0
71.1
16.0
2002
CR
15.6
70.5
13.9
Prague
12.3
72.1
15.6
2005
CR
14.6
71.1
14.2
Source: CSO
There have always been fewer children aged up to 14 than people aged over 60 in Prague.
Despite the changes in methodology, which set the post-productive age at 65+ in 2000, the
Operational Programme Prague – Adaptability
24 September 2007
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trend still persists. The proportion of Prague’s inhabitants in the post-productive age is the
highest of all regions, and in relation to the Czech average it is nearly by two percentage
points higher.
2.2.2 Prognosis of Population Development
The expected trends of the future population development in Prague do not differ from the
estimates for the entire Czech Republic. The CSO expects an increase in the birth rate and
a continued improvement in mortality rates; it also expects that Prague will remain
a migration-plus area.
Table 7
Projections of population development in Prague
Live births
Deaths
Natural population
growth
Birth rate (‰)
Mortality rate (%)
Life expectancy
- men
Life expectancy
- women
Aggregate fertility
rate
2006
11,187
13,869
2007
11,156
13,844
2008
11,051
13,829
2009
10,886
13,852
2010
10,676
13,871
2011
10,490
13,884
2012
10,280
13,916
2013
10,062
13,944
-2,682
-2,688
-2,778
-2,966
-3,195
-3,394
-3,636
-3,882
9.7
12.1
9.7
12.1
9.6
12.1
9.5
12.1
9.4
12.2
9.2
12.2
9.1
12.3
8.9
12.4
73.9
74.1
74.2
74.3
74.5
74.6
74.8
74.9
79.3
79.5
79.6
79.7
79.8
80.0
80.1
80.2
1.24
1.25
1.27
1.28
1.30
1.32
1.34
1.37
Source: CSO
A high proportion of the oldest age bracket in the population should be an enduring
characteristic for Prague. The shift of a numerous group of residents born after World War II
to the post-productive age will lead, despite the expected higher fertility rate of women, to the
preservation of an increase in the ageing index (number of people aged 65+ per 100 children
aged 0-14).
An expected slight decrease in the overall population is one of the main conclusions of
Prague’s population projections. The age components will be influenced by the development
of migration, especially from abroad. The mortality rate will continue improving, and the life
expectancy will continue rising among both men and women. The number of people in the
highest age brackets will increase the fastest, especially that of women. The number of people
entitled to healthcare, social and advisory services is expected to rise. The population decrease
in “downtown” Prague will continue.
Key characteristics and trends
à Positive population growth in recent years
à Minimum territorial concentration of national minorities
à Growing proportion of people in post-productive age in the region’s population – ageing
population
à Migration of families with children to regions outside of Prague
à Strong migration potential of the region
à Need to increase the effectiveness of the system of social and healthcare services
Operational Programme Prague – Adaptability
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2.3 Economic Performance of the Region
Approximately a quarter of the Czech Republic’s GDP (24% in 2005) is generated in Prague.
GDP per capita in Prague reached 209.1% of the Czech Republic’s average in 2005. At
present Prague highly exceeds the average values for the entire EU-25 (in 2005 GDP per
capita in Prague was 54% higher). Higher GDP (generally typical for a metropolis) is related
to a higher level of wages, localisation of activities with a high added value and the
concentration of central bodies of the public and private sectors.
Table 8
Economic performance of Prague in 2001-2005
Indicator
Unit of
measure
ment
GDP at usual prices
GDP in % (CR=100)
GDP per capita
GDP per capita in % (CR=100)
GDP in Prague per capita in PPS
(EU-25=100)
GDP in CR per capita in PPS (EU-25=100)
2001
2002
2003
2004
2005
CZK mil. 556,312 566,372 591,068 637,704 713,814
%
24.0
23.5
23.1
23.0
24.0
CZK 477,651 488,757 508,730 547,096 606,925
%
210.9
206.5
203.1
201.8
209.1
%
%
139.3
66.0
139.7
67.6
139.9
68.9
143.0
70.9
154.0
70.5
Source: CSO, Prague Statistical Yearbook, Eurostat
Prague is the strongest region of the Czech Republic in terms of labour productivity. In
Prague the figure is over twice as high as the Czech Republic’s average.
Key characteristics and trends
à High economic performance of the region
à High labour productivity
à Concentration of central bodies of the public and private sectors in Prague
2.4 Situation on the Labour Market
Prague constitutes the largest regional labour market in the Czech Republic. Approximately
760,000 people work there, of which over 600,000 live in Prague; 110,000 commute from
other regions and 50,000 are foreigners (in total this constitutes 15% of the employment in the
Czech Republic). Prague can draw on labour force of higher qualifications (62% of people
older than 15 with a school-leaving certificate or university education) and the average wages
are higher than in other regions of the Czech Republic (124% of the Czech Republic’s
average). The unemployment rate is below average (2.7% in 2006) in relation to the statistics
for the entire Czech Republic (6.6% in 2006).
2.4.1 Employment
In 2005, the labour force in Prague stood at 637,500 (people living in Prague), of which 54%
were men and 46% women. Prague’s share in the labour force for the whole of the Czech
Republic reached 12.2% in 2004. During the same period, the number of economically
inactive individuals (older than 15) in Prague was 394,700, i.e. 11.1% for the entire Czech
Republic.
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Table 9
Development of labour force in Prague and the Czech Republic in thousands
of people
Prague
645.4
340.5
304.9
Total
Men
Women
1998
CR
5,201.5
2,903.1
2,298.4
Prague
640.3
338.2
302.1
2000
CR
5,186.1
2,887.3
2,298.8
Prague
631.2
335.3
295.9
2002
CR
5,139.1
2,869.7
2,269.4
Prague
637.5
345.2
292.3
2005
CR
5,174.2
-
Source: CSO
The rate of economic activity in Prague is above the level of economic activity of the entire
Czech Republic (in 2004 62% in Prague compared to 59.4% in the Czech Republic). The
highest rate of economic activity is observed in the 35-54 age brackets, while the lowest is
seen in the age category of 19 and lower, which is, of course, related to the preparation of
these individuals for their future employment. The economic activity of the individual age
groups is roughly stabilised; a decline occurs for the age brackets of 60 years and over.
Table 10 Rate of economic activity
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
61.6 61.5 61.2 61.1 61.0 61.0 60.4 60.0 59.8 59.4 59.2 59.4
61.7 62.1 62.1 62.3 63.0 63.3 62.7 62.6 62.5 62.5 61.3 62.0
Czech Republic
Prague
Source: CSO
Chart 11 Rate of economic activity in Prague by age brackets in 2001-2004 in %
2001
100
2002
90
2003
80
2004
rate
70
of
economic 60
activity
50
40
30
20
10
0
15-19
20-24
25-29
30-34
35-39
40-44
45-49
50-54
55-59
60-64
65+
age group
Source: CSO
The highest rate of economic activity is observed among people with university education.
While the rate of economic activity is nearly the same for men and women with elementary
education and without education, in the secondary education group men have a higher rate of
economic activity than women.
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Table 12 Qualification structure and rate of economic activity by education and gender
Type of education
Elementary and no education
Secondary without schoolleaving certificate
Secondary with school-leaving
certificate
Higher
Men
Elementary and no education
Secondary without schoolleaving certificate
Secondary with school-leaving
certificate
Higher
Women
Elementary and no education
Secondary without schoolleaving certificate
Secondary with school-leaving
certificate
Higher
2001
18.5
2002
14.9
2003
20.3
2004
19.1
67.0
65.7
64.0
62.5
68.2
80.1
70.8
21.6
66.8
80.1
70.9
13.2
67.3
78.5
70.7
19.8
65.3
77.8
70.0
23.0
78.1
77.5
76.9
76.0
74.3
81.5
55.4
16.7
73.0
82.7
55.2
15.9
72.4
82.5
55.3
20.7
71.3
80.4
53.6
16.7
53.7
51.8
49.4
46.9
64.0
78.1
62.5
76.6
63.8
73.2
61.0
74.3
Source: CSO
The total number of employed people in Prague has been declining since 2000, but in 2005 it
started to slightly grown again. The number of employed men increased (most since 1998) as
well as that of employed women (to the level of 2002).
Table 13 Employed people aged 15+ in Prague and the Czech Republic (in thousands of
people)
Total
Men
Women
Prague
624.4
331.7
292.7
1998
CR
4,865.7
2,756.9
2,108.8
Prague
613.4
326.3
287.1
2000
CR
4,731.6
2,675.7
2,055.9
2002
Prague
608.3
325.8
282.4
CR
4,764.9
2,700.4
2,064.5
Prague
615.2
334.7
280.5
2005
CR
4,767.1
2,705.4
2,043.2
Source: CSO, SLFS
Most people are employed in retail, motor vehicle repair and consumer goods (16% in 2004),
followed by employees in areas dealing with real estates, rentals and private trading activities
(14%). Other major areas are transport, warehousing and communications (10%), processing
industry (10%), construction (9%), public administration (8%), health and social care (9%).
Women in Prague are mostly employed in retail and repair shops (15%), real estates and
rentals (13%), health and social care (13%) and education (11%).
Operational Programme Prague – Adaptability
24 September 2007
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Table 14 Employment in Prague by sector activities
1998 2000 2002 2005 1998 2000 2002 2005
total
women
Total
624.4 613.4 608.3 615.2 292.7 287.1 282.4 280.5
Agriculture, hunting and keeping, mineral resource mining
2.6
4.7 3.6 2.9 0.7 1.7 2.0 0.9
Processing industry
74.6 63.7 62.5 52.8 27.4 22.4 20.7 19.2
Power, gas and water production and distribution
10.1
8.0 11.0 9.5 2.8 2.1 2.9 2.7
Construction
61.6 59.3 54.1 61.2 7.6 7.6 7.0 6.6
Retail, motor vehicle repairs and consumer goods
108.7 107.9 96.2 93.6 54.2 52.3 45.9 43.9
Catering and accommodation
30.1 27.3 33.2 31.9 15.9 13.7 16.2 15.3
Transport, warehousing and communications
57.0 63.9 51.5 53.8 20.8 22.4 17.4 17.4
Financial brokering
29.9 24.7 29.6 25.4 19.7 16.0 15.8 13.1
Real estates, rentals and private trading activities
78.1 85.2 76.1 88.1 35.3 39.3 33.9 38.0
Public administration and defence, obligatory social
security
45.6 44.4 46.2 51.2 23.9 24.8 25.8 28.7
Education
38.3 38.0 47.3 48.5 26.6 27.9 34.8 35.5
Health and social care, veterinary activities
41.5 39.9 46.6 47.0 32.8 31.0 34.4 34.3
Other public, social and personal services
45.4 46.2 49.6 47.1 24.2 25.2 25.0 24.1
Source: CSO
Nearly an 80% share in Prague’s employment is held by the tertiary sector, while the
percentage of the primary sector is less than 1%. Between 1995 and 2004 there were several
major changes in Prague: the banking and insurance sector strengthened (rise in the number of
employees by 29%); the number of employees working on the real estate market grew (by
13%); the transport, warehousing and logistics sectors also showed an increase (by 10%). The
data available also show a shift of employees to the social and health services area.
Table 15 Development of sector employment in Prague in 1998-2005 (in %)
Primary sector
1998
0.3
1999
0.3
2000
0.7
2001
0.6
2002
0.5
2003
0.4
2004
0.3
2005
0.6
Secondary sector
23.5
22. 6
21.4
22.1
21.1
21.4
20.6
21.3
Tertiary sector
76.0
76.8
79.2
77.1
78.3
78.0
79.1
78.1
Source: CSO, EUROSTAT
Agriculture recorded a drop of 15%; there was also a drop in employment in the mining of
mineral resources.
Table 16 Sector employment in Prague, the Czech Republic and the EU in 2004
Czech Republic
EU (15)
Prague
4.3
3.8
0.3
Secondary sector
39.2
24.2
20.6
Tertiary sector
56.5
72.0
79.1
Primary sector
Source: CSO – SLFS, Labour market – employment in NE by sectors, ICEA, EUROSTAT
The employment structure in Prague is markedly different from the employment structure in
the Czech Republic. The highest share is held by employment classification groups 1-4 (i.e.
legislators, executives and senior management, scientists and professionals, technical,
healthcare workers and teachers; administrative staff and clerks) – with a total of 67.8%,
Operational Programme Prague – Adaptability
24 September 2007
15
while the same share for the whole Czech Republic is only 46.4%. Prague’s share of the
mentioned employment classification groups 1-4 constitutes 79% of the entire Czech
Republic. This is caused by the low number of people employed in industrial plants as a result
of the transformation of industry in the region and the development of employment in service
sectors (retail, real estates, rentals, private trading, accommodation, catering, transport,
warehousing and communications, public administration, health and social care and other
public services). There is a distinct rise in the number of scientists and professionals,
influenced by the large concentration of universities and scientific institutions and an
increased interest of business entities to spend more on research and development.
Table 17 Number of employees in Prague by employment classification (in thousands)
1998 2000 2002 2004 1998 2000 2002 2004
total
Total
624.4 613.4 608.3 601.3
Legislators, executives and senior management 45.2 50.7 54.4 45.0
Scientists and professionals
117.1 137.6 134.5 148.3
Technical and healthcare workers and teachers 146.0 146.3 152.8 155.0
Administrative staff (clerks)
75.2 59.1 63.8 59.1
Service and retail staff
78.9 68.9 74.9 62.4
Skilled agricultural and forestry workers
1.6 1.7 2.2 1.2
Craftsmen
and
skilled
manufacturers,
processors
83.5 77.6 66.5 67.3
Machine and equipment operators
36.4 30.9 27.5 31.9
Assistant and unskilled workers
36.8 36.3 28.7 29.0
Members of the armed forces
3.0 2.8 1.9 0.6
Not stated
0.6 1.6 1.0 1.4
women
292.7 287.1 282.4 275.8
10.1 11.0 15.4 12.5
57.1 68.9 64.2 73.2
79.7 80.8 79.8 81.6
62.1 47.2 53.1 50.9
50.7 44.3 42.9 34.3
0.7 0.0 0.9 0.0
8.8 9.4 5.4 5.3
3.5 2.6 2.4 3.3
20.0 22.0 18.1 14.1
0.0 0.0 0.0 0.0
0.0 0.6 0.0 0.0
Source: CSO – SLFS, Labour market – employment in NE based on employment classification
and position at work
The largest group among Prague’s economically active inhabitants comprises employees
(78% in 2004, 87% of women), although the overall number of employees is decreasing. On
the other hand, the number of self-employed people (i.e. who conduct business predominantly
on the basis of a trade licence) rose (99,000 in 2004) and their share in the total labour force is
16%. The number of self-employed women has stagnated since 2000 (28,000-29,000) and
represents 10% of the total female labour force.
Table 18 Development of the number of employees in Prague by position at work (in
thousands)
1998
2000
2002
Total
624.4 613.4 608.3
Employees
516.1 487.2 471.8
Employers
29.0 33.6 33.8
Self-employed
74.6 86.8 97.6
Members of production co-operatives
0.9
1.4
0.0
Assisting family members
3.7
4.1
4.9
2005
1998
2000
2002
2005
total
women
615.2 292.7 287.1 282.4 280.5
486.4 259.2 245.4 240.9 242.8
26.2
6.8
8.4
8.5
5.7
99.1
22.8 29.5 28.9 29.3
0.4
0.0
0.0
0.0
0.1
3.2
3.6
3.3
4.2
2.6
Source: CSO – SLFS, Labour market – employment in NE based on employment classification
and position at work
Operational Programme Prague – Adaptability
24 September 2007
16
The share of Prague in employment of foreigners in the CR stands at 35%. The largest
number of work permits (71% of all permits issued as at 31 December 2006) were granted to
foreigners from Ukraine (67% of work permits in construction), the second largest number
were for citizens of Russia, then Moldova and the USA, 40% of whom work in education
(lecturers and language teachers).
Table 19 Employment of foreigners, EU, EEA and Swiss nationals in Prague
Foreigners (work permits)
EU / EEA / Swiss citizens
2001
13,066
-
2002
16,947
-
as at 31 December
2003
2004
18,692
15,931
18,461
2005
25,602
24,520
2006
27,223
33,223
Source: Labour Office of the City of Prague
The employment structure in the Prague region is, at the fundamental level, comparable with
advanced EU countries and has a potential of flexible response to the quickly changing
economic conditions.
In 2004, executives and senior managers earned the highest wages (CZK 58,244). The lowest
gross monthly wages were earned by unqualified workers (CZK 13,084). A slight year-onyear drop in the gross monthly wages was recorded for scientists and professionals, technical,
healthcare workers and teachers. A slight year-on-year rise was recorded for other classes of
the employment classification. In 2004 the overall average wage among men saw a slight
year-on-year drop, while women’s wage at that time went through a slight rise. The wage
median for men was CZK 23,969, for women CZK 19,564.
Table 20 Development of average nominal wages (in %, CR = 100%)
City of
Prague
1997
121.6
1998
123.6
1999
124.0
2000
125.3
2001
125.8
2002
126.5
2003
124.6
2004
124.4
2005
125.8
Source: MoLSA based on data from CSO
Already since 2000, part-time jobs constitute 6% of all jobs in Prague. In 2003 it was 7.1%
compared to 3.2% in the whole of the Czech Republic and 16.6% in EU-15 (using the OECD
methodology – it is a percentage of employed working for less than 30 hours per week and it
includes both employees and self-employed). In Prague there is a major difference in the
share of part-time jobs between men and women; the share of men with a part-time job in
2004 was 3.1%, while the share of women with a part-time job was 10.2%.
Table 21 Number of part-time employees in Prague (in %)
2000
2001
2002
2003
2004
Total
6.2
5.9
6.7
7.1
6.4
Men
3.0
3.6
3.4
4.0
3.1
Women
9.8
8.6
10.6
10.6
10.2
Source: CSO – SLFS
Note: Includes employed people normally living in the Prague region regardless of the
location of employment
Operational Programme Prague – Adaptability
24 September 2007
17
2.4.2 Unemployment
Owing to the range of occupations it offers, the Prague labour market was able to absorb
nearly all of the labour force released during the transformation process as well as new
arrivals (the unemployment rate in the first half of the 1990s was around mere 1%). Since
1999 the registered unemployment rate in Prague has increased (similarly to other regions of
the Czech Republic), but has dropped again in the past two years and remains below half of
the national average.
Table 22 Development of unemployment in Prague in 1995-2006 (as at 31 December)
1995 1998 2000 2001 2002 2003 2004 2005 2006
1,854 14,580 21,832 21,632 23,691 25,448 26,727 24,571 21,364
Job seekers
55.0
56.5
53.2
52.1
52.6
52.3
52.5
52.9
53.1
Share of women (%)
14,432 5,370 4,906 7,658 7,685 8,482 14,583 11,119 16,192
Vacancies
Registered
0.3
2.3
3.4
3.4
3.7
4.0
4.2
3.2
2.7
unemployment rate (%)
Source: CSO
The unemployment rate of women is higher than that of men. The share of women among job
seekers has recently been around 53%; the rate of their registered unemployment exceeds 3%
(3.8% in 2005 and 3.2% in 2006). The share of women unemployed in the long term (for
more than 6 months) is approximately 73%.
The largest group of unemployed people consists of job seekers with vocational education,
CSV with a school-leaving certificate and people with elementary education.
Table 23 Educational structure of job seekers (as at 31 December 2005 in %)
No education and incomplete elementary education
Elementary education
Lower secondary education
Lower secondary vocational education
Secondary vocational education with a vocational
certificate
Secondary, secondary vocational without a
school-leaving certificate or a vocational certificate
CSE
CSE with a vocational and school-leaving certificate
CSE with a school-leaving certificate (without
a vocational certificate)
Advanced specialized education
Bachelor’s degree
University, college
PhD
Total
Total
0.4
18.3
0.4
1.2
Women
0.4
18.8
0.4
1.2
32.5
28.2
1.7
2.3
5.1
5.2
5.9
4.3
22.8
27.1
1.2
0.8
10.3
0.1
100.0
1.3
0.8
9.2
0.1
52.9
Source: Labour Office of the City of Prague
Unemployment for a period longer than 6 months is observed in about 45% of all unemployed
persons (as at 30 June 2005). 34.8% of job seekers are registered as unemployed for up to
3 months. The unfavourable rise in the number and share of job seekers registered for over
9 months is a continuing trend. The average length of unemployment registration, which was
295 days as at 30 June 2004, rose to 319 days as at 30 June 2005 and reached 326 days as at
Operational Programme Prague – Adaptability
24 September 2007
18
31 December 2005. A typical characteristic for long-term unemployment is low education.
Due to a lack of specific measures, the participation of this group in re-qualification
programmes is clearly insufficient. Women are more at risk of long-term unemployment than
men. A first-hand solution is a targeted and individual consultancy stimulating motivation and
activation, including specialised activities leading to an employment increase.
Chart 24 Share of men and women in groups by the length of unemployment as
at 31 December 2005
Share of men and women in groups by the length of unemployment as at 31 December 2005
18.0%
17.0
16.1
16.0%
14.0%
11.9
12.0%
10.1
10.0%
7.8
8.0%
6.7
6.2
6.2
5.5
6.0%
4.8
4.1
3.4
4.0%
2.0%
0.0%
up to 3 months
3-6 months
6-9 months
9 -12 months
men
12-24 months
24+ months
women
Source: Labour Office of the City of Prague
The age structure of job seekers has not seen any significant changes in recent years. Most job
seekers are aged between 50 and 54 (14.7%); female job seekers account for approximately
one third of this category. The average age of job seekers has risen by two years, i.e. to 40 (for
women as well). The greatest increase has been observed in the share of job seekers aged over
55. The highest total drop in comparison with 2004 has been recorded among job seekers
aged up to 24.
Table 25 Age structure of job seekers (as at 31 December 2005, in %)
Age up to 19
Age 20-24
Age 25-29
Age 30-34
Age 35-39
Age 40-44
Age 45-49
Age 50-54
Age 55-59
Age 60+
Total
Total
3.4
12.6
13.5
12.1
9.7
9.4
9.5
14.7
12.9
2.3
100.0
Women
2.9
10.1
12.6
13.9
11.4
10.4
10.8
16.4
11.0
0.4
52.9
Source: Prague Quarterly statistics
Operational Programme Prague – Adaptability
24 September 2007
19
There are extremely few vacancies suitable for individuals with health disabilities in the offer
of available jobs (S. 67 of Act No. 435/2004 Coll., on Employment, as amended). The
primary cause is the limited range of opportunities that disabled people have for work, with
regard to their disabilities, often linked to low or no qualifications. The negative influences
also include a change from a full disability pension to a partial disability pension and
a frequent lack of working skills and expertise (often due to collecting social benefits), the
employers’ fear of frequent or long-term work incapacity, and also a lack of the specific
individuals’ interest in the work process. The motivation tools specified in Act No. 435/2004
Coll., on Employment, as amended, have had a certain positive influence. Job seekers with
health disabilities constituted 11.8% (2,890 people) of the total number of job seekers as at
31 December 2005, of which 2,476 people were partially disabled job seekers.
Table 26 Number of disabled job seekers (as at 31 December)
Disabled persons
Share in the total number of job
seekers (in %)
Fully disabled
Partially disabled
Job seekers with health
disabilities
2001
2,781
2002
2,876
2003
3,137
2004
3,100
2005
2,890
12.9
13.3
12.3
11.6
11.8
-
-
-
70
2 510
54
2,476
-
-
-
455
360
Source: Statistics of the Labour Office of the City of Prague
In general, an increased care in employment brokerage is necessary in the category of young
people, which includes people aged up to 25 and university graduates up to two years after the
successful completion of study, but not aged over 30. The graduates of higher specialised
schools and universities are less prone to unemployment; in contrast, people with elementary
education or incomplete elementary education constitute the biggest risk group exposed to
unemployment. The share of graduates unemployed in the long run also depends on the level
of education reached: the lower the level of education, the higher the share of long-term
unemployment.
The ratio of the number of registered graduates and young people in Prague to the overall
number of registered job seekers is, in comparison with 2004, significantly lower in both
absolute and relative terms. As at 31 December 2004 it stood at 7.7% and in 2005 it was 6%.
Of the total number of graduates and young people, the largest share among the unemployed
is repeatedly held by graduates with CSV with a school-leaving certificate (30%) and with
a vocational certificate (18%).
Key characteristics and trends
à Unemployment in the region below the Czech Republic’s and the EU average
à High degree of economic activity of residents, including women, in comparison with the
EU-15
à Higher share of highly qualified people in the labour force
à Rise in the number of self-employed people
à More expensive labour force as compared to other regions of the Czech Republic – higher
average wages
à Increase in the number of scientists and professionals in recent years
à Low rate of utilization of part-time jobs (6.4% compared to 16.6% in the EU-15)
à Trend towards extending the average length of unemployment
Operational Programme Prague – Adaptability
24 September 2007
20
à Increase in the number of long-term unemployed people, especially among women
à Lack of job opportunities for the disabled
à Above-average share of foreigners in the Prague labour market
2.5 Risk Groups and Equal Opportunities
The level of social integration depends on the possibility of equal access of all people to
social funds. There are groups of people who for various reasons have limited opportunities to
access these funds.
2.5.1 Risk Groups
The 2007-2013 National Development Plan of the Czech Republic defines the following risk
groups: individuals with health disabilities, children, youths and young adults, seniors, ethnic
minorities, immigrants and asylum seekers, homeless people, people leaving an institutional
facility, people leaving facilities for serving a sentence of imprisonment, crime victims,
victims of domestic violence, commercially abused persons and victims of human trafficking.
As regards employability, the potential target groups include, in addition to those mentioned
above, also graduates within two years of finishing their study (but not aged over 30),
pregnant women, mothers up to 9 months after childbirth, persons taking care of children
aged up to 15, persons aged over 50, people registered as job seekers for over 6 months,
persons requiring special assistance, particularly persons who temporarily find themselves or
live in extraordinarily difficult circumstances, persons socially inadaptable and persons with
a socially and culturally disadvantaged background.
Disabled persons
Valid statistical data on the number and the structure of disabled persons are not available in
the Czech Republic or in Prague. The qualified estimates place the figure at 12% of the
population. This group includes citizens whose status has not been recognised as disabled, but
who have disabilities that limit their possibilities on the labour market.
The care for disabled persons is provided in Prague, just like in the rest of the Czech
Republic, in institutional facilities and in their natural social environment in which they live
with parents or other close persons. Persons tending to disabled people cannot therefore enter
the labour market. Their higher employability can be achieved through the development of
supporting social and healthcare field services. The development of field services and the
distribution of the necessary information on them will also lead to lower demands on
institutional care.
Children, youths and young adults
The most frequent causes for the social exclusion of children and young people include:
unemployment of parents, health disabled parents or children, incomplete family, excessive
number of household members, immaturity of parents, dysfunctional family, low education,
unfavourable social situation (bullying, running away from home, family break-up, abuse,
especially sexual abuse) and social marginalisation. In the Czech Republic and in Prague
there is an evident increase in the socially deviant behaviour among children from socially
weak families and in the number of problem children from well-situated families. The
problem is the absence of a prompt delivery of social assistance.
Operational Programme Prague – Adaptability
24 September 2007
21
Persons leaving an institutional facility
For people leaving institutional care, the causes for exclusion are especially deficiencies in the
subsequent care in the area of social services and in the delivery of employment and available
accommodation. There is a problem if these services are not provided concurrently. An
obstacle is posed by the insufficient co-operation of the other involved entities – towns and
labour offices. NGOs do not manage to cover the actual needs of all those leaving institutional
care.
Seniors
Seniors make up a significant population group in Prague as the region with the highest
ageing index in the Czech Republic. The current generation is very heterogeneous. Seniors are
more educated and women are more emancipated. Based on the sub-classification of the 65+
age group there is a marked rise in the number of the elderly. A typical trait is the much
higher proportion of women, those living alone and those widowed.
The risk groups of seniors prone to social exclusion can be defined using the definition
formulated by the World Health Organization (WHO); they include people aged over 80,
those living alone, people in institutional facilities, the childless, people with serious diseases
and health problems, couples in which a partner is seriously ill or disabled, poor people. In
a large number of elderly persons, there is an accumulation of the above-mentioned factors.
One of the results of the aging population is an increase in the needs and consumption of
social and health services.
In Prague, the demand for residential social services is on the rise. Among those in need are
a high proportion of people requiring intensive nursing care that rest homes cannot provide,
and the capacity of nursing facilities is insufficient. At the same time, many needs of seniors
can be accommodated with the help of family caretakers and through suitable services
provided in a natural environment. Approximately 80% of the care for elderly care-dependent
people is provided by the family. The average care period is 4-5 years. The persons providing
care are most often women, most of whom are employed.
Ethnic minorities
The ethnic minority most at risk of social exclusion in Prague are the Roma. During the
population census taken in 2001, nearly 12,000 people (0.1%) declared themselves as
members of the Roma nationality in the Czech Republic, while the actual number is estimated
at between 160,000 to 200,000 people; sometimes the total number is estimated at 300,000.
The number of Roma living in Prague is estimated at 20,000 to 25,000. The risk of social
exclusion mostly concerns unemployment and the related dependence on the benefit systems
of social protection. Other factors include the complicated residential situation and the low
level of education of the Roma population. Many Roma attempt to make a living on the black
market, sometimes as a consequence of overt or latent discrimination.
Immigrants and asylum seekers
Prague is a natural target for new migration. The residency of foreigners and the opening-up
to the world create a multi-cultural environment that brings with it both positive and negative
phenomena. The groups of immigrants are extremely heterogeneous. The rate of integration
varies depending on the specifics of each ethnic group. Generally speaking, the different legal
status, the complicated inclusion conditions, the cultural origin, the awareness of the legal
environment of the Czech Republic and the availability of information lead to varying levels
of social exclusion. There has not yet been a comprehensive study of the life of the various
Operational Programme Prague – Adaptability
24 September 2007
22
communities, which is why we can only draw on a few partial studies. We can infer from
them that the threat of social exclusion is real for many ethnic groups and that it can over time
lead to social problems and a threat to social cohesion.
According to CSO data, as at 31 December 2005, there were 89,000 foreigners living in
Prague, which constitutes a third of all foreigners staying in the Czech Republic beyond the
framework of a tourist visit. Most of the foreigners living in Prague hold a long-term
residency permit (63%), 28% have permanent residency in Prague. The population of
foreigners living is Prague does not differ in terms of citizenship from the rest of the Czech
Republic. A third of them come from Ukraine, 16% from Slovakia, 10% from Russia. Other
highly represented countries are Vietnam and China. Illegal immigrants are generally
considered to be exposed to the biggest risks. Their number is estimated at 200,000. Most of
them are immigrants from Ukraine and other countries of the former Soviet Union.
Persons without shelter
Prague has become the natural centre of homeless people in the Czech Republic over the past
ten years. The main reasons are the anonymity guaranteed by the number of residents and the
region’s economic force. In the past it was easy to find short-term or occasional work and
cheap accommodation in Prague. But the conditions have significantly changed in recent
years. There has been a dramatic decrease in the number of jobs and cheap accommodation
has become increasingly difficult to find. People coming to Prague therefore often find
themselves on the streets without any background and are unable to improve their situation
without help. Based on the census of the homeless taken in Prague in 2004, there are
evidently over 3,000 of them living there, with women constituting 14% of the total number
(Homeless Census Prague 2004, LSARI 2004).
Persons leaving facilities for serving a sentence of imprisonment
Persons released after serving a sentence of imprisonment encounter difficulties when they
attempt to find a suitable job (e.g. a clean criminal record is often a condition for applying for
a job), to find suitable accommodation or housing in general. Often these individuals
experience a family break-up and the deracination from a familiar environment accompanying
it, as well as rising debts.
Victims of crime, victims of domestic violence, commercially abused persons and victims
of human trafficking
The Czech Republic has gradually become a target country for human trafficking. More than
other regions, Prague offers anonymity and the market space. One of the forms of human
trafficking is trade for the purpose of sexual exploitation and prostitution brokerage. The
victims are women from Eastern European and Asian countries; they are forced into
prostitution or transported on to Western Europe. The victims usually display a low degree of
willingness to co-operate with the police. The second most common form of human
trafficking involves people traded for the purpose of forced labour. Labour exploitation of
foreigners is not a marginal problem; instead it is a common part of the migration reality in
the Czech Republic. It is related to illegal migration and the concept of the so-called
clientelism that offers brokerage of informal work in non-market ways. Violence in families
and violence between partners where women and children, but also seniors and disabled
family members are often the victims, is covered by the National Report on Families, MoLSA
2004.
Operational Programme Prague – Adaptability
24 September 2007
23
2.5.2 Social Economy
A specific feature of social economy is the integration of disadvantaged groups of people into
the society in relation to the development of local services and the economy. Its contribution
to the opening of new jobs and the improvement of the quality of life in a given place is
widely recognised, as it flexibly develops social and healthcare services, services for
dependent household members, retail services and selected production activities that are
subject to demand. It is a source of trading activities conducted mainly by NGOs.
The abatement of social exclusion requires the introduction of inclusive procedures and
mechanisms, which definitely include an expansion of social services and social economy
(Integrated Guidelines for Growth and Jobs 2005-2008, European Commission). In social
economy, the main attention is focused on merging social and economic goals (the new
business spirit). The social economy entities are parts of the local economy, whereas the cooperative form of ownership is equal to the others. The support of social economy is a tool for
social inclusion, increasing local jobs, local development and economic development
contributing to the balanced development and prosperity of the respective places. To date
there is only a limited awareness in the Czech society of what social economy means and
what it serves. There is no explicit government document introducing the concept of social
economy. Some social economy topics are supported by the EQUAL initiative.
NGOs constitute an important group with a potential to strengthen the social economy sector.
The share of this sector in the total employment in the Czech Republic is estimated at 3-4%
and its market force ranges between CZK 35bn and 50bn per year. If we include voluntary
participation, the share in the total employment is 5-6%. At present, NGOs operate more in
social services than in employment services.
The main causes for the low capacity in the area of social economy are the general
underdevelopment of NGOs in the Czech Republic, its dependence on one-year grants, its
fragmentation and capital weakness and also an extremely small number of companies with
social policies. To rectify these problems it will be necessary to support partnerships at the
regional and local levels, to support the development of managerial skills and professional
capabilities of workers in organisations with a potential to operate in the social economy
sector, to increase the quality of consultancy and the availability of investment capital, to
support new forms of social services and the direct involvement of clients in the usual course
of life (including job opportunities on the labour market).
2.5.3 Social Services
There are 585 providers of social services in the City of Prague. The structure of social and
healthcare services has gradually expanded in recent years, but the necessary changes are
limited by financial and capacity-related possibilities. The main trend in these changes is the
individualisation of the provided care.
An analysis of social service providers operating in Prague conducted in 2005 showed that the
largest number (roughly a third) of the providers of social services had been established
between 1990 and 1993. In 1994-1997, another 27% of the organisations were founded, of
which a vast majority were civic associations.
Operational Programme Prague – Adaptability
24 September 2007
24
Table 27 Social service providers in Prague
Category
Help-lines, crisis assistance and intervention
Victims of violence, crime
Consultancy, assistance with the exercise of rights and interests
Psychotherapy, social therapy and diagnosis
Children and youths
Family, family problems
Seniors
Physical disability, health disability
Mental disability, autism
Mental illness
Homelessness
Asylum shelters, dormitories, accommodation
Addictions
Sexual problems, AIDS, prevention against STDs
Youth centres for children in need, streetwork
Gender
Employment services, sheltered workshops
Prisoners and released prisoners
Foreigners and refugees, human rights
Minorities
Charities, humanitarian aid
City boroughs
Number of providers
34
8
259
74
135
54
131
188
48
30
28
23
40
11
7
4
12
14
11
6
49
23
Source:
Report on the analysis of social service providers operating in the
City of Prague, City Centre for Social Services and Prevention, February 2005
An overwhelming majority of the service providers delivers comprehensive social services to
several target groups. 33.8% of the organisations offer services to seniors, 32.4% to physically
disabled people and the same number provides crisis care. 31.5% of the organisations
specialise in families with children, 27% provide services to people with combined disabilities
and 26.1% to mentally disabled persons. Relatively few organisations provide services to
refugees, persons prone to prostitution and HIV-positive persons and those suffering from
AIDS. Geographically, most of these facilities are located in the centre of Prague. In a clear
majority of the service types, NGOs account for over 50% of providers, with the exception of
home care services and foster care. In 2003 the main financial resources of service providers
were subsidies from the Ministry of Labour and Social Affairs (21.5% of respondents) and
from the City of Prague (20.6%).
Approximately 3,900 employees, 75% of which were in direct contact with clients, worked in
the surveyed organisations. The providers and sponsors of social services generally respond to
a situation that arises on the basis of the current needs and without a longer-term systematic
solution. The way of solving the problems depends on the specific organisation’s position.
The organisation of social services has until now lacked a regional strategy and medium-term
(community) planning. (See Analysis of social service providers operating in the City of
Prague, City Centre for Social Services and Prevention, 2005). The objective of community
planning in Prague is to expand a regional project whose implementation began in 2006 using
SPD 3 funds. The need for any additional support of community planning will be analysed
following the completion of this project in order to implement the OPPA.
Operational Programme Prague – Adaptability
24 September 2007
25
2.5.4 Non-governmental Non-profit Organisations
Czech legislation has not defined the term “non-profit organisation” yet. This causes problems
in the activities of non-governmental non-profit organisations (NGOs), since the operation of
legal entities of a non-profit type is governed by special acts. In addition to the administrative
obstacles due to this legally unclear concept, there is only a limited group of legislative and
NGO specialists in the Czech Republic. Even though subsidies, grants and donations are free
of tax, the stipulated limit for possible deductions is insufficient and does not provide an
incentive to develop donorship. NGOs include civic associations, benevolent societies,
foundations and endowment funds and special-purpose religious facilities.
In 2003, there were 160 foundations, 240 endowment funds, 8,641 civic associations and
233 benevolent societies in Prague. 16% of the NGOs in the Czech Republic operated in
Prague; but their range of operation is not limited to the Prague region. A specific aspect of
Prague is that it is the seat of NGOs’ umbrella organisations that incorporate similarly
orientated NGOs. The activities of Prague’s NGOs mainly concern the delivery of services
that the city either provides in a limited extent or does not provide at all.
Table 28 Number of NGOs in 2003
Civic associations
Benevolent societies
Foundations
Endowment funds
Religious legal entities
Total
Prague
8,641
233
160
240
9,275*
Czech Republic
50,997
884
350
859
4,946
58,036
Share
16.9%
26.4%
45.7%
27.9%
16.0%
Source: Czech Statistical Office, November 2003, NGO Information Centre
Note: *not including religious legal entities
NGOs play an extremely important role in the community. They have an irreplaceable role as
the providers of social services to disadvantaged groups and also operate in the field of social
services not covered by the public sector. They are also essential in environmental education
and teaching.
The perception of NGO activities is mostly positive in the eyes of the public. NGOs try to
obtain a true and accurate picture of the needs of the society, but usually do not have the
capacities for marketing research of the specific needs of their target groups and therefore
often determine the actual needs on the basis of a qualified estimate.
The basic problems of NGOs include insufficient human resources and capital weakness.
People working in the NGOs are often only employed for the duration of a project. The
employees’ work is not always specifically described. There is a general lack of managers
with managerial skills and organisation managers. NGOs work with volunteers, but rarely
have a systematically compiled list of volunteers. Based on Act No. 198/2002 Coll., on
Volunteer Service and on Changes to Some Laws, as amended, the preparation and training of
volunteers are the responsibility of accredited volunteer centres.
It can be said that the activities of NGOs suffer from a long-term lack of funds, which leads to
limited opportunities to train managements and improve the quality of their activities. Most
NGOs consider their fundraising to be insufficient. This is caused by the insufficient level of
Operational Programme Prague – Adaptability
24 September 2007
26
the overall leadership and the unclear processes within the organisation. Skills lacking in
financial and marketing management have a negative impact. It is therefore justifiable to
recommend that an emphasis be placed on the systematic development of NGOs so that it
could help increase the employment opportunities in this area. This development should
include, in particular, the strengthening of management, fundraising and other professional
training of NGO employees at general and specific levels. At the same time an emphasis must
be placed on NGO networking in the relevant thematic areas, with a focus on engaging them
in the European network where applicable.
The links of NGOs to public administration vary at each level. The City of Prague has an
elaborate grant strategy and rules for supporting NGOs, while support coming from the city
boroughs is random and improvised. Public administration only carries out joint projects with
NGOs in certain areas (especially in dealing with the Roma, anti-drug and community issues,
issues concerning minorities and questions of human rights). In other areas (especially social
and health ones) public administration is the customer for services that NGOs provide.
Specific aspects of small NGOs
Due to their capacity, small NGOs do not have the chance to reach the support provided by
complex grant proceedings organized for funds drawn from the EU Structural Funds.
A simplified form of utilising support from the ESF is appropriate for building up an
absorption capacity, strengthening networks and the quality of social services provided by
small NGOs.
According to the study “Czech Civic Society 2004: Fifteen Years of Development” compiled
in 2005 within the framework of the CIVICUS Society Index project, social services are one
of two fundamental topics for NGOs in the Czech Republic (the other area involves
environmental protection). Even though the civic sector in the Czech Republic (including
Prague) has been developing for 15 years, numerous organisations work only on a voluntary
basis. A regional questionnaire that served as a basis for the said study showed that a large
majority of NGOs considered financing to be their biggest problem. Nearly 80% of
respondents stated that the financing of their NGO was insufficient. The issue of human
resources is related to financing and most organisations rely on volunteer work without the
possibility of professional background; only large and established organisations can afford to
employ a fundraiser, a qualified accountant, a lawyer or a public relations expert. Based on
the 2004 survey of the Non-Profit Sector Research Centre, only about a third of NGOs have
more than two employees. Without a background of professional employees, a grant from the
OPPA is unattainable for these organisations due to the administrative and capacity-related
demands. Owing to the smaller size of the intervention, it will be possible to reinforce the
capacity and volume of social services provided by small NGOs.
The benefit of NGOs is evident in the more successful presentation of neglected issues in the
society. A recent example in the Czech Republic is domestic violence. In Prague there are
active and influential volunteer-based NGOs with a smaller member base that provide
services to physically and mentally disabled or socially disadvantaged people, drug
prevention, etc. The advantage of these organisations compared to the State is their ability to
provide services to clients more cheaply and the achievement of a higher satisfaction rate
among social service beneficiaries. The study “Czech Civic Society 2004: Fifteen Years of
Development” states that 61% of respondents who received social services from the State and
from an NGO in 2004 believed that NGOs helped them more.
Operational Programme Prague – Adaptability
24 September 2007
27
The civic society index, developed in the above-mentioned study, shows that the further
development of the Czech civil society will depend on the strengthening of the structure,
networking, co-operation and communication among NGOs. The structuring and networking
of NGOs can be provided for by umbrella NGOs – umbrellas that cover individual fields or
regions. The study “Umbrella Organisations for Related Fields in the Civic Sector in the
Czech Republic 2005” carried out by the Civil Society Development Foundation for the of
and by the Faculty of Humanity Studies of the Charles University focused on the
specifications in the operation of these organisations. The number of umbrella organisations
active in the CR is estimated at 80; most of them are seated in Prague. Umbrellas, similarly to
non-umbrella NGOs, struggle mostly with funding. They mainly make use of the volunteer
work of their members. A third of all umbrellas do not have any employees, a third have one
or two employees. More than a half of all umbrellas have less than CZK 100,000 in assets.
The research also ascertained that umbrella members perceive the following as the most
serious problems and future challenges: 1) financing, 2) professionalization of organisations
and 3) co-operation with public administration.
2.5.5 Equal Opportunities
By signing the Convention for the Protection of Human Rights and Freedoms, the Czech
Republic undertook to observe the rights and freedoms without discrimination for any reason,
including gender. Although these principles are part of the Czech legal system, in practice
there are certain inequalities and discrimination. The principle of equal opportunities of men
and women is a hot issue mainly on the labour market in the Czech Republic (including
Prague).
Taking care of the family and its dependent members is still considered part of the woman’s
role. Women, even those who prefer having a career to having a family, are considered to be
individuals burdened by domestic obligations. This leads to a conflict of work and family
roles. Most women seek a way to manage family care without jeopardising their own careers.
The currently available flexible forms of employment such as part-time jobs, position sharing,
etc., are rarely used.
It is more difficult for women to find their position on the labour market. From the employers’
viewpoint, the biggest risk group includes mothers with children. The employment of women
in the Czech Republic reached 2,043,500 in 2004, i.e. 45.5% of women over 15. The share of
women in the overall employment rose only slightly (from 43.2% to 43.4%). While men
predominate in the primary and secondary sphere of the economy, women dominate in the
tertiary sphere. With regard to professions, most women in the Czech Republic are seen as
junior administrative workers (80.4%) and operating workers in services and retail (64.3%)
and assistance and unqualified workers (60.5%). This also influences the existence of
a difference in the remuneration of women and men. In 2004, the share of women’s average
wages to those of men was 80.9% (compared to 74.4% in 2001).
The rate of registered unemployment from 1999-2006 ranged from 2.7% (2006) and 4.2%
(2004) – the number of registered job seekers as at 31 December 2006 was 21,400. Since
1999, between 52 and 53% of all job seekers have been women. The rate of men’s economic
activity since 1999 has ranged between 70-71%; women’s economic activity is lower (61.3%
in 2004). Based on the working positions of working women, they are mainly employees. The
percentage of women among sole traders is low, regardless of whether or not they have
Operational Programme Prague – Adaptability
24 September 2007
28
employees. There is an extremely low number of women among legislators, executives and
senior managers, and over the past two years this figure has even fallen slightly.
The reconciliation of work and family lives remains at a low level. It is not a common
practice for employers to offer parents on parental leave the possibility to continue at work
even after maternal leave or to become involved in the working process during the parental
leave (Gender Package 3/2005, Gender Studies, o.p.s.). Women with children of preschool
age, elderly women and women after maternity leave are three of the five most frequently
discriminated groups on the labour market (along with individuals with health disabilities and
low education). Another contributing factor is the lack of available facilities for preschool
children (only a quarter of children aged under 3 attend facilities of this type).
In addition to legislative changes, statistical analysis and activists’ work, the enforcement of
principles of equality of men and women on the labour market requires above all an
awareness of the issues of equal opportunities among potential employers, public
administration officials and policymakers. Training programmes predominantly for
employment service workers will have to be developed. Flexible forms of work and the
possibility of further education will have to be developed in order to reconcile family and
work lives, especially for parents returning to the labour market.
Key characteristics and trends
à Heterogeneous structure of NGOs by field of activity
à Minimum percentage of social economy entities in the region
à High dependency of NGOs on grants from public funds
à Lasting lower awareness of equal opportunities, higher unemployment of women and
lower remuneration of women than that of men for the same work
à Insufficient managerial skills and financial knowledge of NGO workers
à Need to provide for a high-quality implementation of social care standards in practice
à Low degree of economic activity among the disabled
à Lack of timely social assistance for children and young people at risk of social exclusion
à Poor cohesion of social care for young people leaving institutional facilities
à Increasing need for residential social and health care for seniors
à Lasting barriers to the official participation of immigrants on the labour market
à Insufficient capacities of social assistance for people without shelter
à Prague’s population is relatively socially cohesive
2.6 Lifelong Learning
The current economic and social changes that are taking place throughout Europe require
a new approach to education. The initial education from elementary schools to universities
should constitute a gateway to the lifelong learning process for each individual. The 2000
Memorandum on Lifelong Learning talks about the necessity of teaching individuals to
responsibly educate themselves, regardless of the stage of their life, place, time and form of
learning.
The Czech Republic supports this new concept of education and reflects it in its strategic
documents. The 2003 Strategy for Human Resources Development for the Czech Republic
discusses not only each person’s responsibility for amending his knowledge and skills
throughout his life, but also emphasises the need to promote this concept and to stimulate
individuals, teachers and managers in private, non-profit and public sectors.
Operational Programme Prague – Adaptability
24 September 2007
29
The Czech Republic’s total public spending on education in relation to GDP is 0.8% lower
compared to other EU countries.
Table 29 Total public expenditure on education (in % of GDP)
EU-25
CR
1995
5.17
4.62
1996
4.68
1997
5.03
4.43
1998
3.93
1999
4.77
4.05
2000
4.71
4.04
2001
5.02
4.16
2002
5.14
4.41
2003
5.21
4.55
Source: EUROSTAT
The expenditures on education in Prague come, to a large extent, from public sources, in
particular from the State budget through the Ministry of Education, Youth and Sport
(approximately 80%); other funds are provided by school administrators (approximately
20%).
Governmental institutions of university education (Police Academy of the Czech Republic
and Defence University) are fully financed from State funds, and public institutions of
university education also get most of their funding from the State budget. Teaching activities
are financed in a normative manner, where the normative amount per student is derived from
the financial demands of the accredited study programmes. The scientific activities of public
institutions of university education are financed from the State budget, in particular through
contract funding (research plans, grants). Other income of public institutions of university
education comes from their asset management activities, the results of scientific, research,
development and other creative activities, and also from several types of charges pursuant to
S. 58 of Act No. 111/1998 Coll., on Higher Education and on Amendments and Additions to
Other Acts (the Higher Education Act), as amended (admission proceedings, extended study
time, study in a foreign language).
2.6.1 Participation in Education
When broken down by the highest education achieved, the population structure in Prague is
different to the average in the Czech Republic. Whereas Prague has a lower share in the
categories with lower education (elementary education, no education and secondary education
without a school-leaving certificate), it is above-average in the categories of secondary
education with a school-leaving certificate and university education. The share of the
population with university education in Prague is more than double that of the rest of the
Czech Republic.
Operational Programme Prague – Adaptability
24 September 2007
30
Share of total population
Chart 30 Population by the highest education achieved 15+ in 2004
45,0%
40,1%
38,3%
40,0%
35,0%
30,9%
30,0%
24,7%
25,0%
22,1%
20,9%
20,0%
13,1%
15,0%
9,9%
10,0%
5,0%
0,0%
Primary education and no education
Secondary with no school-leaving
certificate
Secondary with school-leaving
certificate
Higher
Highest education achieved
Prague
CR
Source: CSO
Between 1993 and 2004 the following trends were evident in the education structure of
Prague’s population in the 15+ age category: an increase in population with university
education (from 18% in 1993 to 22% in 2004) and secondary education with a school-leaving
certificate (from 34% to 40%) and a fall in the share of the groups of secondary education
without a school-leaving certificate and no education.
Chart 31 Trends in education structure of Prague’s population
Number of people aged 15+ (in thousands)
450,0
400,0
350,0
300,0
250,0
200,0
150,0
100,0
50,0
0,0
1993
1994
1995
1996
1997
1998
1999
2000
2001
2001
2002
2003
2004
Year
Primary education and no education
Secondary without school-leaving certificate
Secondary with school-leaving certificate
Higher
Source: CSO
The education structure in Prague varies significantly depending on gender, as women have
a higher degree of education at the levels of secondary with a school-leaving certificate,
primary education and no education.
Operational Programme Prague – Adaptability
24 September 2007
31
Table 32 Education structure of the 15+ population in 2004
Total
13.1%
24.7%
40.1%
22.1%
Elementary education and no education
Secondary without a school-leaving certificate
Secondary with a school-leaving certificate
Higher
Men
10.4%
28.1%
35.0%
26.4%
Women
15.5%
21.6%
44.6%
18.3%
Source: CSO
The City of Prague offers all types of schools. The following tables give statistical
information on the number of such types of schools and the number of their pupils/students in
the respective years.
Table 33 Trends in the number of children, pupils and students at various levels of
education
Nursery schools
Children
Primary schools
Total pupils
Grammar schools
Day-study pupils
Secondary specialised
schools
Day-study pupils
Vocational schools
Total pupils
Advanced specialised
schools
Day-study pupils
Higher education – number
of faculties
1990
1995
20002002
2004
2005
420
34,998
235
128,890
25
-
385
32,495
248
102,415
59
20,328
351
26,710
236
101,853
58
22,474
320
26,660
230
94,452
58
22,827
307
27,646
219
85,584
58
23,295
302
27,787
215
81,246
60
23,695
47
-
99
99
99
95
25,245
50
38,775
30,737
-
26,239
51
19,220
27,270
51
20,130
-
-
-
-
35
34
36
36
-
-
5,609
5,252
5,605
5,296
33
34
36
51
36
36
Source: CSO
Table 34 Number of teachers in the individual types of schools in Prague
Nursery schools
Number of children per teacher
Primary schools
Number of pupils per teacher
Grammar schools
Number of students per teacher
Secondary specialised schools
Number of students per teacher
Vocational schools
Number of apprentices per teacher
Advanced specialised schools
Number of students per teacher
2000
2001
2002
2003
2004
2,193
12.2
6,591
15.5
2,109
10.8
3,106
10.2
1,721
11.0
622
11.3
2,207
12.0
6,568
15.0
2,177
10.6
3,093
10.3
1,814
11.0
607
11.1
2,209
12.1
6,398
14.8
2,205
10.6
3,222
10.1
1,804
11.2
607
11.3
2,314
11.8
6,193
14.4
2,240
10.6
3,314
10.2
1,759
11.4
625
11.7
2,228
12.4
5,936
14.4
2,260
10.5
3,426
10.0
1,801
10.9
662
10.6
Source: CSO
Operational Programme Prague – Adaptability
24 September 2007
32
Education of individuals with special educational needs
There were a total of 148 schools for pupils with special educational needs (e.g. children,
pupils and students with a disability, health disadvantage or social disadvantage) at preschool, elementary school and secondary school levels in Prague in 2003. There were a total
of 6,962 children and pupils in such schools in 2002/2003. In recent years the schools have
been especially attended by children and pupils with more serious forms of disability, as
pupils with a disability are increasingly more able to integrate into ordinary schools, either as
pupils in special or specialised classes, or as pupils in ordinary classes.
The key trend in special education is the removal of segregated education for children and
pupils with special needs and their integration into ordinary education streams where equal
access to education for all children is guaranteed. In Prague the share of individually
integrated disabled pupils is 8% (the national average is 10 to 11%), another 2% are
integrated as part of groups. The fact that in Prague there is a high concentration of schools
for pupils and students with more serious types of disability and that these schools also cover
large catchment areas should, however, be taken into consideration.
One of the problems associated with the integration of such pupils is the unpreparedness of
school teachers for work with disabled children and also the low number of specialised
teachers in ordinary schools. It will therefore be necessary to develop programmes focused on
the education of pupils with special educational needs in ordinary types of schools and also, in
co-operation with institutions of university education, to develop special teaching courses for
the further education of teaching staff in order to integrate and include children and pupils in
society.
The Department of Education of the Prague City Hall is currently drafting a concept for the
education of children with specific developmental behavioural disorders. In addition to the
above-mentioned pro-integration measures, the concept envisages, with respect to the target
group of children with behavioural disorders, the establishment and development of
comprehensive specialised facilities that would first work with children separately and then
help their integration either back into elementary or secondary schools.
Another problem that has not been settled satisfactorily is the search for and education of
talented pupils and students. With regard to the differences in the quality and quantity of their
talents, talented pupils need a combination of various forms of differentiation of preparation
in the course of their schooling. This goes hand in hand with the need for qualified teachers to
be sufficiently aware of the opportunities, forms and methods of educating such pupils. In this
field it is also necessary to provide programmes focusing on educating talented pupils and on
the further education of the teaching staff.
2.6.2 Education at Elementary, Secondary and Advanced Specialised
Schools
The demographic development, characterised by a dramatic fall in the age groups in the
obligatory schooling age bracket, was and is marked by an equally dramatic fall in the number
of pupils in Prague’s elementary schools, however, in recent year thanks to the growing birth
rate the number of children in kindergartens has started to grow slowly, which will be
reflected in a few years also in the elementary schooling.
Operational Programme Prague – Adaptability
24 September 2007
33
Whereas in the school year 2002/2003 elementary education in Prague was provided to a total
of 94,000 pupils by 230 elementary schools, in 2003/2004 there were 229 schools, attended
by just under 90,000 pupils, in 2004/2005 there were a total of 219 elementary schools with
approximately 85,000 pupils, and in 2005/2006 only 215 elementary schools with
21,000 pupils. The above-mentioned statistics also include schools for pupils with special
educational needs.
Over 70,000 students studied at secondary schools in the school year 2002/2003. The
structure of specialisations in schools is well-balanced, primarily thanks to the concentration
of people in the capital city. The share of grammar school education in the total volume of
secondary education in Prague is the highest in the Czech Republic (24%), although the
degree of satisfaction of the demand to study in Prague’s grammar schools is the lowest when
compared to other regions.
In comparison with the Czech Republic’s average, the range of study fields in secondary
specialised schools in Prague marks a low share of general specialised education, an
insufficient volume of educational opportunities in areas involving information and
communication technologies, and an insufficient volume of educational opportunities in areas
related to tourism and social services.
In the field of vocational schools with a school-leaving certificate, Prague is at the level of the
Czech average. Due to the different structure of the labour markets, the structure of
specialisations in Prague differs from that of the rest of the country; there are less mechanical
engineering, construction and agricultural specialisations, while the offering of specialisations
in catering, tourism, sales and arts and crafts is larger.
In the school year 2002/2003 there were 5,252 students studying at advanced specialised
schools, about half of them at private and church schools. This year there were 34 advanced
specialised schools in Prague. Advanced specialised schools substitute Bachelor’s degree
courses, where there is an insufficient supply to meet the demand. The lower willingness of
Prague’s higher-education institutions to offer Bachelor’s programmes means that Prague has
the lowest proportion of students in Bachelor’s degree programmes in the Czech Republic
(18%). The population’s interest in tertiary education is growing constantly.
2.6.3 Higher Education
In the last ten years Prague’s institutions of higher institution have experienced an enormous
increase in the number of students, but there is still an unsatisfied demand in areas such as
law, medicine, humanities and the arts. Due to the transformation and significant changes in
the structure of labour force, and also as a consequence of the country’s integration into the
EU, a lot of new fields have emerged. In addition, many new private institutions of university
education were founded.
Operational Programme Prague – Adaptability
24 September 2007
34
Table 35 Numbers of students at institutions of university education in Prague in the
school year 2004/2005
Charles University in Prague
Czech Technical University in Prague
Institute of Chemical Technology in Prague
University of Economics in Prague
Czech Agricultural University in Prague
Academy of Performing Arts in Prague
Academy of Fine Arts in Prague
University of Applied Arts in Prague
Private institutions of university education in
Prague total
Total
Total
47,257
22,942
3,780
16,021
12,674
1,242
269
442
Of which: women
27,702
3,957
2,083
8,532
6,399
617
107
216
13,069
7,528
117,696
57,141
Source: CSO
Institutions of university education in Prague account for 40% of all students in university
education; this figure is even higher for private institutions – 68%.
The development of the system of university education in Prague is closely linked to a
qualified body of academic staff and the ability of the various institutions to react flexibly to
Prague’s needs and the demand on the labour market, whilst making use of the latest research
and development. The quality of the institutions is clearly interrelated with the quality of these
specialists, and private institutions, primarily the new ones have a certain problem in this
regard due to the unfavourable age structure and the lack of staff with teaching experience.
Another problem is the permeability of tertiary education, i.e. the permeability between the
various levels of university education, which can be dealt with using a modular structure of
study programmes that would enable access to study at any age and at any level.
Higher-education institutions should also concentrate on expanding the supply of further
education. This will require the development of combined and distance forms of study, the
establishment and introduction of teaching supports (multimedia educational aids), the use of
e-learning, interactive teaching programmes and materials for such forms of study, the
founding of common teaching laboratories, the introduction of project-based and problembased teaching methods and the development of advisory and information centres. All these
projects will require co-operation among the higher-education sector and national and
international partners, not only on the part of the higher-education community, but also on the
part of the employers.
2.6.4 Further Education
For a long time further education, one of the key factors for the growth of competitiveness in
Prague (and throughout the Czech Republic), has struggled with the lack of general legislation
on further education, in particular with a lack of recognition of the results of non-formal and
informal education. Act No. 179/2006 Coll., on Verification and Recognition of Further
Education Results and on the Amendment to Some Other Acts (the Professional
Qualifications Recognition Act), as amended (effective from 1 August 2007), which proposes
a national system of qualifications to describe partial and complete qualifications, was
Operational Programme Prague – Adaptability
24 September 2007
35
adopted in 2006. The national system of qualifications was created as a part of the “National
System of Qualifications Development” project of the Ministry of Education, Youth and Sport
in the programming period 2004-2006, which was co-financed under the ESF. Further, in
addition to Act No. 18/2004 Coll., on Recognition of Professional Qualifications and Other
Skills of EU Nationals, there are acts that set out, to various extents, the options of further
education for various professions (e.g. for teaching staff, for healthcare staff, etc.).
Act No. 179/2006 Coll., which was originally intended to comprehensively deal with the
whole area of further education, was unfortunately narrowed down to only include
qualifications. There are still, for example, limitations related to motivational tools for
employees and employers to support an increasing interest in lifelong learning.
The range of further education is relatively broad, but not transparent for those interested in it.
In Prague, in contrast to the total average for the Czech Republic, it is possible to attend a
large number of courses offered not only by companies and NGOs, but also by certain
educational institutions (in particular in university education). Prague schools (at all levels)
have the capacity and infrastructure for further education. Potentially they are therefore
significant contributors to the development of further education. Further education in schools
should be complemented by education in business and NGOs, while corporate education
should play an essential role, too.
Unfortunately, there are no accurate statistics on further education (in the Czech Republic or
in Prague). According to EUROSTAT, 5.4% of the population (aged 25-64) was involved in
further education in the Czech Republic in 2003. In accordance with the Lisbon Strategy the
Czech Republic’s aim is to increase this share to at least 12.5% by 2010. In 2003, the CSO
performed a research of formal, non-formal and informal education. The research showed that
the largest percentage of those in non-formal further education was in Prague (157% of the
national average).
Table 36 Number of people in non-formal education in 2003
Yes
Absolute terms
Czech
Republic
Prague
Men
CZ
Prague
Women
CZ
Prague
As a %
No
Absolute terms
Not ascertained
Absolute terms
348.1
4.0
8,205.1
71.3
64.3
6.3
944.6
4.2
156.2
26.3
3.8
5.5
3,951.6
446.6
49.0
3.3
191.9
37.9
4.3
7.1
4,253.5
498.0
22.3
1.0
Source: CSO
The research showed that non-formal education was most popular with people with average or
higher degrees of education, which paradoxically deepened the differences within the
population. In this context it is important to motivate people with a lower degree of education
and support their efforts to continue their education. It will be necessary to involve not only
employees, but also employers, in further education. Only about one quarter of Czech
businesses regard education as a priority in their HR policies and the development of human
resources as part of their development strategy. On average, the spending by Czech
companies and other organisations on educating their employees are less than half of those by
Operational Programme Prague – Adaptability
24 September 2007
36
EU-15 businesses. Only one in twenty job seekers attends re-qualification courses. The
dominant areas of further education include humanities, business and administration,
information technology, security services, foreign languages, use of computers, etc.
Since the effective date of Act No. 435/2004 Coll., on Employment, as amended, the
re-qualification education has been extended to include those interested in employment and
the possibility of purchasing advisory services. Labour offices focus on re-qualification based
on the monitoring of the labour market and the employers’ requirements to increase
employability and professional mobility. Re-qualification activities are otherwise targeted at
non-specific re-qualification, supplementary re-qualification, internships and employee
re-qualification.
Table 37 Re-qualification in 2001-2006
Indicator
2001
2002
2003
2004
2005
2006
Re-qualification of job seekers
968
1,189
1,173
1,497
Number of job seekers involved in
521
570
re-qualification
Of which: women
332
389
632
771
734
961
School graduates and youth
35
51
84
91
50
55
Disabled
55
36
86
110
115
139
Completed re-qualification total
460
514
875
1,080
1,114
1,354
Of which: successfully
438
483
822
999
1,027
1,246
Number of job seekers placed after
190
281
371
582
613
531
re-qualification
Re-qualification of persons interested in employment (from 1 October 2004)
Number of interested persons placed in
2
9
6
re-qualification
Re-qualification of employees
Number of employers
0
0
0
0
0
0
Source: Labour Office of the City of Prague
The range of further education on offer can be enlarged by a co-operation among employers,
educational institutions and specialised professional institutions. It is necessary to arrange for
the participation of experts with teaching experience and to ensure student and teacher
mobility through practical internships in companies. Another method is to build education and
training centres for the purposes of further education of persons without qualifications or with
qualifications not useful on the labour market.
An adequate level of support services is necessary for further education (in particular
information, analytical, advisory and diagnostic systems). Currently, the Czech Republic does
not have an umbrella system providing data about the supply and the demand for further
education that would make the situation more transparent. There is a fragmented offering of
partial information systems in the individual sectors. It is necessary to establish a system of
co-operation between the providers of further professional education and to promote
innovation activities and the professional training of lecturers, consultants, teachers,
methodologists and managers in further professional education.
2.6.5 Modernisation of the City’s Public Administration
The execution of public administration in both the Czech Republic and Prague has to be made
systematically more efficient. In accordance with the trends in the execution of administration
Operational Programme Prague – Adaptability
24 September 2007
37
in the EU, Prague’s public administration will change from managerial and autocratic into one
that primarily serves and individualises its services and is able, whilst performing its
functions, to co-operate with its partner institutions. One of the means of modernisation is
also the ever-increasing involvement of information technology in the execution of
administration (e-government). Along with the development of new electronic services (frontoffice), it is also necessary to change back-office processes and the way the authorities work.
There will be new demands on education and qualifications.
A reform of the local public administration was prepared and implemented between 1998 and
2002. In the first stage of the local public administration reform, regions were established as
higher regional self-governing units (as at 1 January 2001), and in the second stage district
offices were closed down (as at 31 December 2002) and their powers were transferred to
municipalities and regions. The current efforts are focused on modernising public
administration, both at the level of territorial public administration and at the level of central
State administration. Most attention is paid to increasing the efficiency and transparency of
public administration, increasing the quality and availability of public services, introducing
modern management methods, including the utilisation of modern information and
communication technologies, increasing the transparency of public administration, etc.
At the level of the Prague region, one of the key topics is developing the effectiveness and
interoperability of public administration (within the city and with State administration), as
well as the preparation and offer of e-services and information about the city. In 2005, Prague
adopted the concept document Information Strategy of the City of Prague until 2010, “The
Path to e-Prague”, which is based on the EU’s documents, for example the initiative of i2010
European Information Society for Growth and Employment (the follow-up of eEurope 2005),
and documents drafted at the national level – the State Information and Communications
Policy until 2006 – “eCzech Republic”. Prague is also one of the initiators of the LORIS
declaration – Local and Regional Information Society Development (2004) – and a signatory
of the EUROCITIES Charter of Rights of Citizens in the Knowledge Society (2005).
In Prague, in comparison with the Czech Republic, there is a high degree of computer
infrastructure development, Internet penetration and computer literacy, which creates good
conditions for the further development of an information society and e-government. The city
operates a city-wide high-speed computer network called MepNet, which interconnects more
than 50 municipal entities. It enables an efficient work and co-operation between all of the
interconnected internal users (civil servants and elected representatives) and provides Internet
access. There is a large amount of computers at the Prague City Hall and in the various
borough offices and other municipal entities. Virtually all professionals and elected
representatives have access to computer equipment and use it for their work. Most entities
provide basic information on their activities over the Internet.
Nevertheless, some weaknesses were identified in the further effective use of information and
communication technologies for the modernisation of the city’s administration:
(1) information systems of Prague’s entities are not interoperable, i.e. they cannot transfer and
use information in a uniform and effective way; (2) there is no set of policies, standards and
directives that would define the mode of co-operation in the field of IT; (3) there are no
suitable institutional tools, organisational structures and stipulated processes for managing
information technology throughout Prague effectively, for enforcing and meeting the
stipulated targets at the city level; (4) the level of computer literacy of civil servants, elected
Operational Programme Prague – Adaptability
24 September 2007
38
representatives and users does not enable sufficiently efficient work with the new information
systems and the use of e-services.
The modernisation of administration will be boosted by activities developed on the principles
of co-operation and participation: experience sharing (best/good practices), benchmarking in
e-Government, support for the development of knowledge of modern strategic and project
management methods using ICT support. Likewise, this involves the development of
transparency in administration, the participation of citizens in public administration and
community solidarity with the use of ICT and, last but not least, the facilitation of availability
of administration to the disadvantaged with the help of ICT (blind-friendly web, etc.).
As far as strengthening the involvement of ICT in public administration is concerned, Prague
has a better position than other regions in the Czech Republic. The Information Needs
Analysis (Prague) performed by STEM / Mark in 2005 showed that 74% of Prague’s
population were using the Internet and e-mail (compared to an average of 52% in the Czech
Republic), and a large majority of them were using it daily or almost daily (66%). Prague
came first, ahead of all the other regions, in the use of electronic communication with the
authorities, where the research confirmed that it was used by 42% of Prague’s population (the
nearest highest percentage was in the Olomouc region, where it was used by 30% of the
population).
The systematic education of employees in administration is fundamentally important for the
development of e-government. Education brings an increase in the quality and productivity of
labour, helps retain motivated and high-performing employees in administration, etc. The HR
Department of the Chief Executive’s Office of the Prague City Hall is responsible for the
education of Prague’s city employees at the Prague City Hall and employees in other borough
offices. The Department has drafted a needs analysis and an education concept. It has
experience in providing highly qualified trainers who often help create legislation applied
during the execution of administration.
The City of Prague currently has approximately 1,800 employees at the Prague City Hall and
another approximately 5,000 persons employed in the city boroughs. The employees of the
City of Prague can be broken down by the highest education achieved as follows: two fifths of
them are university graduates, half of them have completed secondary education. From the
viewpoint of age structure, the largest group is 50-59 (39%), followed by 40-49 (22%) and
30-39 (16%).
When dealing with further education, the city boroughs and organisations often encounter low
motivation among some employees to improve their education (there is no financial
appreciation and few opportunities for career growth), little use of analyses in modernisation
activities and relatively little use of information technology in the organisation of education
and in education itself.
The basic aims of modernising Prague’s regional and local administration are: to strengthen
the complementarity of formal, non-formal and informal teaching, to assemble and maintain
high-quality teaching staff, to strengthen networking within the city and at the selfgovernment level in the Czech Republic and internationally, and to increase the use of
feedback. The priority areas of education are, in addition to professional education, also
presentation, communication and psychosocial knowledge; information literacy is also very
important. So far, only minimum use has been made of the modern methods of coaching,
Operational Programme Prague – Adaptability
24 September 2007
39
mentoring, counselling, assisting and work rotation. The introduction of a high-quality
management system for administration in the City of Prague, which is expected to take place
soon, will be a fundamental innovation. Another way how to achieve higher efficiency in
administration is to develop co-operation with university education and other relevant
institutions.
Activities related to modernisation of public administration of the City of Prague will be
supported within the relevant multi-objective priority axes of the Integrated Operational
Programme and the Operational Programme Human Resources and Employment.
Key characteristics and trends
à Above-average education of Prague’s population compared to the rest of the Czech
Republic, lower compared to the EU-15 capitals
à Need to adapt the structure of the education offering to the falling number of children
à Increase in the number of students at secondary specialised schools, grammar schools and
in university education
à Decline in elementary school pupils
à Insufficient integration of pupils and students with special educational needs, in particular
due to lack of specially qualified teaching staff
à Below-average offering of Bachelor’s degree studies in university education in Prague
à Public institutions of higher institutions are mostly financed from the State budget, there is
a shortage of supplementary sources
à Potential for using the school infrastructure in Prague to develop further education
à Absence of a concept for further education, little motivation for people and employers for
further education
à Demand for tertiary education is not sufficiently satisfied
à Opportunities to strengthen the use of e-government in Prague
à Need to systematise the further education of employees in public administration and to
make it more effective.
2.7 Business Environment
According to information contained in the Register of Business Entities, as at 31 March 2005
there were a total of 418,000 business entities in Prague, 18% of the total for the Czech
Republic (2,352,601). The tertiary industries generate more than 80% of the total added value
in Prague (83.8% in 2003). The share of the production industries in the total added value and
employment in Prague is significantly lower than the national average.
Operational Programme Prague – Adaptability
24 September 2007
40
Chart 38 Number of registered business entities
Number of Registered Business Entities
Number of registered
business entities
2,500,000
2,000,000
1,500,000
1,000,000
500,000
0
2000
2001
2002
year
Czech Republic
2003
2004
Prague
Source: Prague Statistics Yearbook
In addition to retail, the industries with the greatest dynamism in the 1990s also included
tourism, which became a significant cornerstone for the city’s economic development. The
importance of congress and incentive tourism is rising. There was an extraordinary capacity
growth in finance. There are significant developments in the tertiary sector in
telecommunications and B2B services – consultancy, IT, real estate, advertising, marketing
and others.
In terms of the individual economic sectors, the situation in Prague corresponds to sector
employment. The most dynamically growing sectors are activities focused on real estate and
rentals (in the 1990s there was a 22% increase in the number of these entities), followed by
education and health care (increase by 20%), and transport and telecommunications (increase
by 13%). A fall of almost 54% was reported in public administration and defence.
Table 39 Registered operators in Prague by sector as at 31 December
Agriculture
Engineering
Construction
Retail
Transport and
communications
Financial brokering
Real estate services
Public administration and
defence
Education and health care
Others
2000
2,489
32,510
35,598
130,082
2001
2,598
32,842
36,034
129,363
2002
2,299
33,499
36,634
130,336
2003
2,510
34,482
37,968
132,636
2004
2,687
34,547
38,454
131,426
15,867
16,881
17,197
18,168
17,975
9,412
110,337
9,208
115,405
9,151
121,859
9,109
130,075
9,047
134,905
469
275
322
369
215
10,522
29,466
11,004
30,712
11,388
32,017
12,237
34,058
12,593
35,274
Source: CSO, Register of Business Entities
Operational Programme Prague – Adaptability
24 September 2007
41
The vast majority of business entities are individuals. Their number had been growing
steadily in the beginning of the millennium until 2003 and 2004 when their number dropped.
The drop between 2003 and 2004 can be perceived, among other factors, as a reaction to the
changes in the Trade Licensing Act which made the terms and conditions for doing trade
stricter. In 2005, however, there was again a very small increase in the number of registered
individuals by 0.26% when compared to 2004. Between 2000 and 2005, the most significant
increase was shown by trading companies. Owing to this significant increase in the number of
trading companies, the share of this group of entities in the total number increased, too. In
2005, the trading companies accounted for over one fifth of all business entities seated in
Prague. In terms of legal forms, other groups’ share in the total number of business entities
seated in Prague is significantly smaller. It is worth mentioning that the number of
representations of foreign entities has gone up since 2000, particularly in the past two years.
The fall in the number of state-owned enterprises is correlated with the development of a
decentralised economy.
Table 40 Registered operators in Prague by legal form as at 31 December
Total legal entities
Of which: State
enterprises
Of which: trading
companies
Of which: joint stock
companies
Of which: cooperatives
Of which: other legal
entities
Total individuals
Of which: sole
traders
Of which: farmers
Of which: free
trades
2000
2001
2002
2003
2004
2005
105,243
109,230
112,596
121,479
128,779
137,049
276
267
252
229
211
202
68,577
72,464
74,850
79,762
84,717
89,820
5,170
5,507
5,732
6,041
6,386
-
4,487
4,658
4,945
5,303
5,372
5,494
31,903
31,841
32,549
36,185
38,479
-
271,509
275,092
282,106
290,133
288,344
289,116
253,922
257,204
264,067
271,661
269,424
269,764
1,231
1,270
1,260
1,301
1,347
1,419
16,356
16,618
16,779
17,171
17,573
17,933
Source: CSO, Register of Business Entities
The number of sole traders in Prague reached 269,764 in 2005. In comparison with the second
half of the 1990s, when there was a high increase, in particular in retail, their number is
currently stagnating.
2.7.1 Small and Medium-sized Enterprises
The vast majority of business entities in Prague are individuals – persons involved in
independent gainful activity without their own employees (86%). Small sole traders account
for 95% of the companies with employees in Prague, while medium enterprises account
for 3%. This means that small and medium-sized enterprises are of a fundamental importance
for Prague’s economy.
Operational Programme Prague – Adaptability
24 September 2007
42
Table 41 Registered operators in Prague by size (as at 31 December)
No employees
1-5 employees
6-19 employees
20-24 employees
25-49 employees
50-99 employees
100-249 employees
250-499 employees
500 and more employees
2000
320,576
38,605
11,703
1,153
2,243
1,307
708
247
210
2001
330,474
36,574
11,539
1,045
2,195
1,328
718
243
206
2002
343,458
34,417
10,970
1,172
2,251
1,280
716
241
197
2003
356,769
37,567
11,344
1,257
2,268
1,284
687
238
198
2004
362,002
37,650
11,346
1,262
2,279
1,363
758
254
209
Source: CSO, Register of Business Entities
One of the characteristics of small and medium-sized enterprises is a certain degree of
undercapitalisation, because the enterprises spend money primarily on operations. In addition,
the education of employees in such enterprises is hindered by their greater workload. This
results in a lower managerial erudition of their employees.
2.7.2 Tourism
Tourism is an important sector of Prague’s economy and its performance in the last few years
has made it one of the most dynamic sectors. Tourism accounts for 3.6% of the total output of
Prague’s economy (in terms of gross added value) and for more than half of the national
revenues in catering and accommodation (over CZK 33bn).
The catering and accommodation sector accounts for a total of just under 5% of Prague’s
employment. In the long term it employs around 30,000 people, although it is subject to
marked seasonal fluctuations. Based on the 2001 census, additional 7,000 people commute to
Prague to work in this sector. The share of women is between 43 and 49%, which corresponds
to the share of women in Prague’s total employment. When the related segments are included
(e.g. travel agencies, guides, information centres, transport services, cultural facilities and
sales networks), the number of employees whose activities are related to tourism is as high as
15% of all jobs in Prague. The average salary in catering and accommodation (CZK 13,597)
in 2004 constituted only 73% of the average salary (CZK 18,582), which is caused both by
the high share of unskilled work and by the sector’s low prestige.
In 2000-2004 the number of mass accommodation facilities rose from 502 to 598 and the
number of hotels and similar accommodation facilities rose from 390 to 480. In the period in
question the number of four- and five-star hotels more than doubled (from 53 and 114), while
the number of beds they offered accounted for 46% of the capacity. The structure of
accommodation facilities is comparable to other European capitals and Prague is a soughtafter destination for foreign guests travelling for both business reasons and leisure.
Operational Programme Prague – Adaptability
24 September 2007
43
Table 42 Tourism trends in Prague in 1990-2005
Beds in
accommodation
facilities
Guests in
accommodation
facilities
Of which: foreigners
1990
2000
2002
2004
2005
-
68,379
71,160
68,913
66,351
1,685,720
2,619,816
2,534,421
3,863,969
4,108,565
-
2,319,294
2,231,760
3,470,279
3,725,180
Source: CSO
The number of foreign visitors is an important indicator. The number of guests in Prague’s
accommodation facilities reached a record-high 3.8m people in 2004 and 4.1m people in 2005
(of which almost 90% were foreigners). Prague accounts for 57% of foreign visitors to the
Czech Republic, which demonstrates the marked concentration of tourism activities in Prague.
The average length of stay in 2002-2004 was 2.8 days, whereas the average duration of a stay
by a foreign tourist was 3.8 days, which are both values under the national average, although
they correspond to the trends in other European cities. On the contrary, the occupancy of
rooms in accommodation facilities is above the national and European average (it was 61.2%
in 2004). The most numerous group of visitors to Prague in 2004 comprised citizens of Great
Britain (17.1%); visitors from Germany were dominant before that, but came second in 2004
(14.7%), followed by Italians (8.9%) and US citizens (6.8%).
Table 43 Performance of mass accommodation facilities in Prague and the Czech
Republic in 2005
Guests
Average number of nights*
Average length of stay (days)*
Total
Of which:
foreigners
Total
Of which:
foreigners
Total
Of which:
foreigners
Net utilisation of beds (%)
Utilisation of rooms (%)*
Czech Republic
12,361,739
6,336,128
Prague
4,108,565
3,725,180
3.3
3.1
2.8
2.8
4.3
4.1
3.8
3.8
35.8
44.1
53.4
61.2
Source: Prague Statistics Yearbook
Note: * Data of 2004
The results of surveys conducted among foreign tourists in 1997, 2001 and 2004 show that the
foreigners in Prague evaluate their stays positively and are increasingly more satisfied. The
city’s good reputation is based not only on its remarkable architecture and specific
atmosphere, but also on its “service” areas, such as the standard of catering and mass
transport. It is positive that visitors to Prague feel safe, praise the city’s cultural life and are
not disappointed about the prices. 98% of all foreign tourists wanted to return and 99% would
recommend Prague to their friends.
Operational Programme Prague – Adaptability
24 September 2007
44
Graph 44 Average evaluation of aspects of the city – trends over time
Architecture
Atmosphere
Cultural life
Public transport
Prices
Monument care
City cleanliness
Feeling of safety
Standard of restaurants
Quality of cuisine
Information service
Contact with locals
Taxi service
0
0,5
1
1,5
2004
2
2,5
3
3,5
2001
4
4,5
5
1997
Source: Prague Information Service
Note: The average values on a scale from 1 (excellent) to 5 (very bad) are displayed
2.7.3 Research, Development and Innovation
Prague contains approximately two thirds of all public research and development institutions
and one third of the capacity of private research and development. Therefore, it meets the
basic requirements for increasing the competitiveness of Prague’s economy in conjunction
with the use of research and development results, primarily by developing Prague’s
innovation potential and improving co-operation between science and research facilities,
education institutions and the business community.
Due to the location of research and development institutions’ headquarters, 37.9% of the
government spending in 2004 were directed to Prague (37.5% in 2005). In line with the
Lisbon Strategy, the Czech Republic wants to spend at least 1% of its GDP on R&D in terms
of public expenditure and at least 3% of its GDP in total by 2010. This parameter (share of the
total R&D expenditure in the GDP) reached 1.28% in the Czech Republic in 2004 (1.26% in
2003), whereas it was 1.98% in the EU-15 and 1.92% in the EU-25 in 2003.
Table 45 Spending on research and development (in CZK million)
Czech Republic
Prague
Share
2001
28,337
10,120
35.7%
2002
29,552
10,190
34.5%
2003
32,247
11,854
36.8%
2004
35,083
13,300
37.9%
2005
42,198
15,835
37.5%
Source: CSO
Operational Programme Prague – Adaptability
24 September 2007
45
Table 46 R&D employees as at 31 December (individuals)
Czech Republic
Prague
Share
2001
51,939
21,122
40.7%
2002
53,695
21,567
40.2%
2003
55,699
22,313
40.1%
2004
60,148
24,158
40.2%
Source: CSO
Prague is the seat of 40 offices of the Academy of Sciences of the Czech Republic (AS CR)
and 50 research institutes, as well as several universities. There are also professional
organisations engaged in research and development, innovations and technology transfer
(Association of Innovation Business, Association of Research Organisations, etc.), scientific
and technological parks, technology transfer centres, BIC and networks of regional advisory
and information centres (RAIC), economic chambers and other business and research entities.
Co-operation between these entities, however, is not sufficiently developed.
The use of the region’s research, development and innovation potential is inhibited by the
unsuitable structure of R&D support from the public budgets, the insufficient development of
R&D capacities (including human capital), the lack of a technology or innovation agency, the
low motivation for research and development organisations to co-operate with the business
sector and the differences in the organisation, style of work, financing and management of
research and development organisations and the business community. Most R&D institutions
do not have special departments dealing with the co-operation with businesses. The
technology transfer system and its institutional framework are insufficient. The low degree of
patent filing activities is caused by low motivation of research workers, whose work is
assessed in terms of publication criteria, not criteria of utilisation of the research results.
There has been a visible attempt to make co-operation between university education and the
AS CR more intensive in recent years, but it is currently only successful in the training of new
professionals/PhD students. Co-operation in other sectors is prevented due to the setup of the
labour law environment, which makes the exchange of employees difficult. The same
problems exist for transfers of employees between universities, the AS CR and industrial
plants.
There is some innovation infrastructure and consultancy in Prague. However, decisive are
entities such as scientific and technology parks, business incubators and institutions
supporting technology transfer. There are two scientific and technology parks in Prague (TIC
CTU and Aeronautical Research and Test Institute). The protection of intellectual property is
an area that sufficient attention is not paid to by R&D institutions or SMEs. Clustering of
companies is not currently a standard practice in Prague yet. The uncertainty of the business
environment is reflected in the low degree of co-operation between SMEs and their limited
communication with large companies and R&D institutions. There is currently no
environment for the development of spin-off companies, increasing business skills in
academic bodies and in university education, etc.
Operational Programme Prague – Adaptability
24 September 2007
46
Key characteristics and trends
à Just under a fifth of all business entities in the Czech Republic are seated in Prague
à 80% of Prague’s economy is constituted by services
à Tourism and trade are markedly dynamic
à Strong share of small and medium enterprises in the economy, but they invest most of
their spending into operations, not education and innovation
à High concentration of research and development institutions
à Lack of co-operation between research institutions, institutions of university education and
businesses
2.8 Experience from the Previous Programming Period
2.8.1 Single Programming Document for Objective 3
The experience gained through the implementation of the Single Programming Document for
Objective 3 of the NUTS 2 Prague region (SPD 3) is particularly relevant for OPPA. This
programme, which applies to the whole City of Prague, is by 50% financed from the ESF. The
total financial allocation for SPD 3 is EUR 117.59m, and the average annual allocation is
EUR 39.2m. The average annual allocation to OPPA is therefore less than half of that for
SPD 3 (EUR 18.2m).
The global objective of SPD 3 is an effective labour market based on skilled labour force,
competitive employers, use of the region’s research and development potential, social
integration of risk groups and equal opportunities, whilst respecting the principles of
sustainable development. This global objective will be reflected in four specific objectives
corresponding to the programme priorities, which are further specified in detail in the form of
11 measures (2 measures involve technical assistance).
With reference to the Evaluation of Progress Achieved in the Implementation of SPD 3
analysis, drafted by Elbona and Akses in March 2005, it can be stated that the strengthening
of the active employment policy proved to be the weakest link in SPD 3 intervention, as the
programme’s targeting insufficiently reflects the specific features of Prague’s labour market.
OPPA draws on these conclusions; it does not contain any intervention in the general
employment policy, but rather focuses on measures in favour of persons disadvantaged on the
labour market and on the reinforcement of lifelong learning. In addition to measure 1.1 of
SPD 3 focused on an active employment policy, the other SPD 3 measures were, based on the
above-mentioned analysis, regarded as having performed well, i.e. they had a sufficient
absorption capacity and helped the supported projects achieve the set aims. The OPPA
therefore draws on SPD 3 in many respects, i.e. in particular: support for the adaptability of
employers and employees, support for the integration of the disadvantaged on the labour
market, support for lifelong learning, etc. Priority axis 3 of OPPA directly draws on
measure 3.1 of SPD 3 (Development of initial education as the basis for lifelong learning and
in terms of the needs of the labour market and the knowledge-based economy), priority axis 2
of OPPA draws on all three measures of priority 2 of SPD 3 (Social integration and equal
opportunities), priority axis 1 takes over many of the activities supported under priority 4 of
SPD 3 (Adaptability and enterprise).
Operational Programme Prague – Adaptability
24 September 2007
47
The SPD 3 Managing Authority is the Ministry of Labour and Social Affairs, and the City of
Prague performs the function of an intermediate body for 4 of the 11 measures the programme
has. In financial terms, the City of Prague is responsible for measures accounting for
approximately 55% of the SPD 3 allocation.
From the viewpoint of the implementation setup, the SPD 3 encountered the following main
shortcomings:
− Complicated implementation structure (3 intermediate bodies);
− Unpreparedness of an implementation structure for the utilisation programme (the first
calls for submitting applications were announced as late as October 2004);
− Complicated integrated information system – SFMS, which is not automated in all
segments, i.e. there are a lot of duplicities with other information systems and it is not
set up to always provide up-to-date data;
− Poor degree of coordination of the application of some rules, e.g. the method of
demonstrating the eligible costs within the implementation structure;
− Lack of integrated and transparent setting of indicators which makes it hard to
aggregate them at a higher level and also complicates the understanding of indicators
by the applicants;
− Complicated system of setting the rules between the providers of support and the
beneficiaries resulting from rules based on the Czech legislation and the internal
by-laws of the entities themselves;
− Establishment of a Managing Authority at the level of the MoLSA insufficiently
reflected the specific features of the self-government of the City of Prague;
− Bureaucratic demands of submitting an application and, in particular, a payment
application;
− In some cases a low standard of project management knowledge on the part of the
applicants, related to an insufficient link to the strategic documents and the needs of
the target groups.
Most of the ascertained shortcomings resulting from the Evaluation of Progress Achieved in
the Implementation of SPD 3, dated March 2005, have been eliminated in OPPA. The
preparedness of the City of Prague and the potential applicants is therefore higher thanks to
the experience with SPD 3. The programme will be implemented by the City of Prague as the
Managing Authority, and no intermediate bodies will be involved. The simplified
implementation structure will also ensure an easy exchange and aggregation of information
and a uniform application of all the relevant rules. The City of Prague, as the Managing
Authority for OPPA and OPPC, plans to introduce a “one door” approach for applicants for
both operational programmes for the EU Regional Competitiveness and Employment
Objective, as well as for all stages of the project cycle. The City of Prague will strengthen the
ability of applicants to draft high-quality projects through counselling and publicity, as well as
other information activities. The City of Prague has already performed these activities, so
when implementing OPPA it will be able to make use of its experience. The above-mentioned
analysis includes the results of a questionnaire research among applicants for support under
the SPD 3. More than half of the respondents (211 respondents in total) said that the Prague
City Hall was the main source of support and expert guidance; they also gave it higher marks
for the quality of the support it provided than those they gave to other institutions.
The issues of setting the indicators for 2007-2013 will be significantly more coordinated with
the Ministry for Regional Development, as will be the issue of an information system, which
will be set with regard to the shortcomings in the SFMS currently in use.
Operational Programme Prague – Adaptability
24 September 2007
48
2.8.2 EQUAL Community Initiative
In the shortened programming period 2004-2006, the Czech Republic implemented also
projects aimed at pursuing the principles of partnership, international co-operation, joint
decision-making, innovation, mainstreaming, gender mainstreaming and topical approach.
Until today, all of the above principles could be pursued in a comprehensive way only within
the EQUAL Community Initiative.
In the new programming period 2007-2013, based on the experience gained from the
implementation of EQUAL, the EU Member States and the European Commission decided to
incorporate the principles typical for the initiative to all programmes supported from the ESF.
In the shortened programming period 2004-2006, the National Mainstreaming Strategy of the
EQUAL initiative left the responsibility for pursuing the mainstreaming principle primarily
with final beneficiaries. However, experience with the implementation of EQUAL shows that
the beneficiaries focused on dissemination activities rather than on the mainstreaming of their
outputs, experience and knowledge. Therefore, among other activities, the OP HRE supports
development of networks of key institutions and partners dealing with HR development issues
in the Czech Republic. At the same time, the implemented projects of this type will have
enormous potential to enhance the mainstreaming process in the HR area as such. Due to the
fact that the supported activities form part of the OP HRE multi-objective priority axes, it will
be possible to implement them also in the City of Prague. In order to make the mainstreaming
successful, based on the existing experience, it is necessary to provide for the participation of
competent partners in the networks and, in the case of innovation mainstreaming, to introduce
a validation methodology to verify the quality of innovation, and to involve key stakeholders
in the innovation development. The principles of innovation and mainstreaming shall receive
methodological support due to a general lack of awareness concerning the principles.
Key characteristics and trends
à OPPA builds on the experience in implementing SPD 3
à OPPA replaces the complicated SPD 3 implementation structure, OPPA’s agenda will
only be administered by the City of Prague, as the Managing Authority without
intermediate bodies
à Thanks to the greatly simplified implementation structure, OPPA will have simplified
monitoring and the implementation rules will be applied uniformly
à Active employment policy measures that proved to be ineffective in Prague are not
included in OPPA
à Initial education, which proved to be the best performing measure in SPD 3, is a separate
priority axis in the OPPA
à The City of Prague’s preparedness to implement OPPA is high thanks to its experience
administering more than one half of the SPD 3 allocation; the quality of the
implementation of part of SPD 3 for which the City of Prague was responsible was
appreciated by the applicants
à With regard to a reduction in the OPPA allocation compared to SPD 3, a sufficient
absorption capacity for the region is guaranteed
Operational Programme Prague – Adaptability
24 September 2007
49
2.9 SWOT Analysis
The SWOT analysis is a basic pillar of the OPPA strategy. It is a summary of the results of
analysing the qualitative and quantitative characteristics of the programme environment.
2.9.1 Strengths
Labour market
à Low rate of unemployment
à Highly qualified labour force
à Strong tertiary sector with growth industries, in particular tourism and trade
à Higher average salary compared to other regions of the Czech Republic
Economic environment
à Existence of a relatively strong SME sector
à Increase in the number of scientific and professional workers in recent years
à Traditional tourist centre of a European and global importance with a dynamic growth
à High concentration of research and development institutions
Social integration
à Relatively strong social stability
à High concentration of NGOs in the social sector
à Open environment of the city accepting impulses from various cultures and directions
à High degree of economic activity among women in comparison with the EU-15
à Varied structure of NGOs by field of activity
Lifelong learning
à Wide-ranging network of schools and training facilities with an appropriate capacity
useable for further education
à Large number of institutions of university education offering a wide range of subjects
à Increase in the number of students in secondary schools, grammar schools and in
university education
à Existence of strategy to make use of ICT to modernise city administration
2.9.2 Weaknesses
Labour market
à Trend towards the lengthening of the average time of unemployment
à Lack of job opportunities for the disabled
à Lasting lower awareness of equal opportunities, higher unemployment of women and
lower remuneration of women than men for the same work
Economic environment
à Insufficient co-operation between research institutions, universities and businesses
à Insufficient language and communications skills of workers
à Information and communication barriers between the various scientific fields and
between workers in scientific and business entities
à Low capacity of SMEs to invest in their long-term growth
Operational Programme Prague – Adaptability
24 September 2007
50
Social integration
à Existence of locations with a higher concentration of socio-pathological phenomena,
including crime, drugs and prostitution
à Insufficient managerial and financial knowledge of NGO workers
à Low degree of participation in economic activities by the disabled
à Lack of timely social assistance for children and young people at risk of social exclusion
à Lasting barriers to legal participation of immigrants on the labour market
à Low level of utilisation of part-time employment relationships
à Minimum share of social economy entities in the region
à Low degree of co-operation between public administration and NGOs
Lifelong learning
à Insufficient link between the educational system, the content of education and the needs
of the labour market
à Lack of a comprehensive system of further education
à Low permeability of the educational system
à Insufficient education of teachers in modern technologies and in using modern teaching
methods
à Insufficient offering of tertiary education
à Low willingness of employers and low motivation of employees for further education
à Insufficient use of modern education methods in the system of further education for the
city’s public administration employees
à Insufficient integration of pupils and students with special educational needs, in
particular due to a lack of specialised, qualified teaching staff
à Below-average range of Bachelor’s degree study programmes in university education in
Prague compared to other regions in the Czech Republic
2.9.3 Opportunities
Labour market
à Expansion of employment to delivery of social services
à Attractiveness of Prague’s labour market for immigrants
à Development of information and communication technologies
Economic environment
à Improvement in the business environment for SMEs
à Greater use of new forms of work organisation
à Further development of tourism in the city and the surrounding area
à More intensive link between research and development and the business sector
Social integration
à Developing social services as an opportunity to expand the participation of risk groups
on the labour market
à Maintaining relative social cohesion
à Rising public awareness about equal opportunities
à Developing community planning and social service quality standards
à Making use of the social economy’s potential to increase the employability of
disadvantaged persons
Operational Programme Prague – Adaptability
24 September 2007
51
à Introducing market principles (demand-supply) to the financing system for social
services
Lifelong learning
à Making further education more effective and increasing the motivation of employees and
employers for further education
à Improving the systematic verification of the quality of educational programmes and the
certification of results
à Use of schools as multifunctional centres of education for the further education of the
population
à Optimising the network of schools in Prague and the neighbouring region
à Expanding access to education and activation possibilities for citizens with special
educational needs
à Developing e-government in Prague
2.9.4 Threats
Labour market
à Ineffectiveness of measures for long-term unemployed and disadvantaged persons
à Barriers to the official work of foreigners
à Ineffectiveness of sanctions against employers who do not meet the mandatory quota for
employing disabled persons
à Lack of specific highly skilled workers on the Prague labour market
Economic environment
à Insufficient interest of employers in supporting the introduction and development of
further education and employees participating in further education
à Departure of qualified workers, in particular from university education and research
institutions, abroad
à Competition from other regions in the Czech Republic in the development of sectors with
high added value
à Increased competition by other European cities
Social integration
à Rising proportion of people at post-productive age in the region’s population – aging
population
à Risk of social degradation of Prague’s housing estates
à Disproportion between the aging population and the capacity of social and healthcare
services
à Insufficient professionalisation of NGOs due to the instability in their financing
Lifelong learning
à Low ability of the educational system to adapt to the changing needs of the labour market
à Insufficient motivation for teachers to get involved in development programmes, to
change their teaching habits and to increase their qualifications
à Lasting lack of controls of the quality of further education
à Insufficient co-operation between the key actors on the labour market
à Absence of legislation on further education
à Offering of further education courses is not transparent
Operational Programme Prague – Adaptability
24 September 2007
52
3 PROGRAMME STRATEGY
The pillars for formulating the OPPA strategy are:
− Analysis of Prague’s socio-economic situation summed up in the SWOT analysis
contained in chapter 2.9;
− Strategic documents of the EU and the Czech Republic on the cohesion policy, in
particular the Community Strategic Guidelines and the National Strategic Reference
Framework within the context of the Community Lisbon Programme, as reflected in
the National Reform Programme, the National Sectoral Strategy and the Regional
Development Strategy – Strategic Plan for the City of Prague.
3.1 Global Objective
The global objective of the Operational Programme Prague – Adaptability is to increase
Prague’s competitiveness by strengthening the adaptability and performance of human
resources and improving access to employment for all. Meeting the global objective within
the programme’s timeframe (by 2015) will help strengthen the region’s sustainable
socio-economic development and increase Prague’s importance in Central Europe in
comparison with the other Member States’ capitals.
Figure 47 System of OPPA objectives and priority axes
Global objective
Increase Prague’s competitiveness by strengthening the adaptability and
performance of human resources and improving access to employment for all.
Specific objective 1
Specific objective 2
Specific objective 3
Increase professional
mobility and adaptability
of employees and
employers leading to
increase in labour quality
and productivity
Improve access of
disadvantaged persons
to employment and
increase their
participation in the labour
market
Increase the quality of
education and
vocational training for
people to meet the
demands of the labour
market
Priority axis 1
Support to
development of
knowledge-based
economy
Priority axis 2
Support to entry onto
labour market
Operational Programme Prague – Adaptability
24 September 2007
Priority axis 3
Modernisation of
initial education
53
3.2 Specific Objectives
The specific objectives further elaborate on the focus of the operational programme’s global
objective. The specific objectives will be met through implementing activities within the
priority axes formulated in chapter 4. The OPPA’s specific objectives are:
Increase professional mobility and adaptability of employees and employers leading to
increase in labour quality and productivity;
Improve access of disadvantaged persons to employment and increase their
participation in the labour market;
Increase the quality of education and vocational training for people to meet the demands
of the labour market.
3.3 Conformity with Strategic Documents
Strategic documents constitute the second pillar on which the OPPA strategy is based.
Formulating the operational programme’s global and specific objectives and achieving them
by implementing the priority axes take place in the context of the Community Lisbon
Programme, whose aim is growth and jobs in Europe. The Lisbon objectives are transposed
for the Czech Republic in the National Reform Programme, which draws on the National
Action Plans in the field of employment.
The Community Strategic Guidelines and the ensuing National Strategic Reference
Framework were formulated in the context of the Lisbon Programme (see subsequent
chapters). OPPA activities will be very closely linked to the operational programmes on
related topics (OP HRE and OP EC) and to the geographically close Operational Programme
Prague – Competitiveness (see subsequent chapters for details).
The OPPA strategy takes into account the strategy formulated in the comprehensive
development document for Prague – the Strategic Development Plan.
Operational Programme Prague – Adaptability
24 September 2007
54
Figure 48 Context of the OPPA strategy
EU Level
Community Lisbon
Programme
Integrated Guidelines for Growth
and Jobs 2005-2008
Community Strategic
Guidelines
Employment Guidelines
2005 -2008
National Level
National Reform
Programme
National Strategic
Reference Framework
OP Prague –
Competitiveness
National Social Integration
Action Plan
OP Prague –
Adaptability
Economic Growth
Strategy
Regional Development
Strategy
OP Human Resources
and Employment
Strategic Plan for Prague
OP Education for
Competitiveness
3.3.1 Community Strategic Guidelines
The Community Strategic Guidelines (CSG) lay down the directions for economic, social and
local cohesion as a framework for interventions from the Structural Funds and the Cohesion
Fund in the programming period 2007-2013.
Operational Programme Prague – Adaptability
24 September 2007
55
Figure 49 Links between OPPA and the Community Strategic Guidelines
GUIDELINE I: Making Europe and
its regions more attractive places
to invest and work
Expand and improve transport
infrastructures
Strengthen the synergies between
environmental protection and growth
Address Europe’s intensive use of
traditional energy sources
GUIDELINE II: Improving
knowledge + innovation for growth
Increase and improve investment in
research + technological development
Facilitate innovation and promote
entrepreneurship
Promote the information society for
all
Improve access to finance
OP Prague – Adaptability
Increase professional mobility
and adaptability of employees
and employers leading to
increase in labour quality and
productivity
GUIDELINES III: More and better
jobs
Attract and retain more people in
employment and modernise social
protection systems
Improve adaptability of workers and
enterprises + labour market flexibility
Increase investment in human capital
through better education and skills
Administrative capacity
Improve access of
disadvantaged persons to
employment and increase
their participation in the
labour market
Increase quality of education
and vocational training for
people to meet the demands
of the labour market
Help maintain a healthy labour force
The focus of the OPPA strategy is directly derived from the CSG. The implementation of
OPPA will especially contribute to the accomplishment of the third guideline “More and
better jobs” and partially also to the accomplishment of the second guideline “Improving
knowledge and innovation for growth”. Within the third guideline, OPPA has strong links
with the priorities “Attract and retain more people in employment and modernise social
protection systems”, “Improve adaptability of workers and enterprises and the flexibility of
the labour market“, “Increase investment in human capital through better education and
skills” and “Administrative capacity”, as well as a partial link with the priority “Help maintain
a healthy labour force”. The links between OPPA and the priorities “Facilitate innovation and
promote entrepreneurship” and “Promote an information society for all” are identified in the
second guideline.
Operational Programme Prague – Adaptability
24 September 2007
56
3.3.2 National Strategic Reference Framework
The National Strategic Reference Framework (NSRF) is a fundamental strategic document of
the Czech Republic for utilising support from the Structural Funds and the Cohesion Fund
during the programming period 2007-2013.
The global objective of the National Strategic Reference Framework for 2007-2013 is to
transform the socio-economic environment of the Czech Republic in accordance with the
principles of sustainable development in such a manner that the Czech Republic would be an
attractive place for investing, working and living. Sustainable development will be
accomplished through the permanent strengthening of competitiveness and its pace will be
higher than the average growth in the EU-25. The Czech Republic will attempt to increase
employment and achieve a balanced and harmonious development in the regions, leading to
an increase in the quality of the population’s life. This global objective is further specified in
the four strategic objectives: “Competitive Czech economy”, “Open, flexible and coherent
Czech society”, “Attractive environment” and “Balanced development of the regions”.
The implementation of the Operational Programme Prague – Adaptability will primarily
contribute to achieving the strategic objective of an open, flexible and coherent society; there
is a relatively strong link with the objective of a balanced development of the regions and
a partial implementation of OPPA will contribute to achieving the objective of a competitive
Czech economy. The relationship between OPPA and the NSRF strategic objectives and its
intensity are shown in the following figure.
Figure 50 Links between OPPA and the National Strategic Reference Framework
National Strategic
Reference Framework
Operational Programme
Prague – Adaptability
Competitive Czech economy
Open, flexible and coherent
society
Attractive environment
Increase Prague’s
competitiveness by
strengthening the
adaptability and
performance of human
resources and
improving access to
employment for all.
Balanced development of
regions
The OPPA priority axes are intensively linked with all priorities of the second NSRF strategic
objective “Development of a modern and competitive society”. Medium-strength links are
identified with the priorities of the first NSRF strategic objective “Competitive Czech
economy.” The OPPA interventions are systemically included in the third NSRF strategic
Operational Programme Prague – Adaptability
24 September 2007
57
objective “Balanced development of the territory”. The detailed characteristics for the links
between OPPA priorities and NSRF priorities are shown in the following table.
OP Prague – Adaptability
Support to
development of
knowledge-base
d economy
Support to entry
onto labour
market
Modernisation of
initial education
Competitive Czech economy
1. Competitive business sector
«
2. Promote R&D capacities for
innovation
«
3. Develop sustainable tourism
National Strategic Reference Framework
Open, flexible and coherent economy
«
1. Education
2. Increase employment and
employability
««
«
««
3. Strengthen social cohesion
4. Develop information society
««
«
«
«
««
««
««
5. Smart administration
Attractive environment
1. Protect and improve quality of
environment
2. Improve transport accessibility
Balanced development of the territory
1. Balanced development of regions
2. Development of urban areas
3. Development of rural areas
4. Regional competitiveness and
employment – City of Prague
5. Regional co-operation
Notes:
«« Significant links
«
Medium-strength links
No links or indirect link
Operational Programme Prague – Adaptability
24 September 2007
58
3.3.3 Community Lisbon Programme
Integrated Guidelines for Growth and Jobs
The measures of the Community Lisbon Programme on employment – more and better jobs –
are reflected in the Integrated Guidelines for Growth and Jobs 2005-2008. Of the total of eight
guidelines, the implementation of OPPA conforms to seven of them. The detailed
characteristics are set out in the following table.
Integrated Guidelines for Growth and Jobs
2005-2008
OP Prague – Adaptability
Notes:
Guideline No. 17: Implement employment policies
aiming at achieving full employment, improving
quality and productivity at work, and strengthening
social and territorial cohesion.
Guideline No. 18: Promote a life-cycle approach to
work.
Guideline No. 19: Ensure inclusive labour markets,
enhance work attractiveness, and make work pay
for job seekers, including disadvantaged people,
and the inactive.
Guideline No. 20: Improve matching of labour
market needs.
Guideline No. 21: Promote flexibility combined with
employment security and reduce labour market
segmentation, having due regard to the role of the
social partners.
Guideline No. 22: Ensure employment-friendly
labour cost developments and wage-setting
mechanisms.
Guideline No. 23: Expand and improve investment
in human capital.
Guideline No. 24: Adapt education and training
systems in response to new competence
requirements.
Support to
development
of
knowledge-b
ased
economy
Support to
entry onto
labour
market
Modernisatio
n of initial
education
«
«
«
««
«
««
«
««
«
««
««
««
««
«
««
«
««
««
«« Significant links
«
Medium-strength links
No links or indirect link
National Reform Programme 2005-2008
The Lisbon Strategy was declared in March 2000 and further developed and supplemented by
the conclusions of meetings of the European Council in Stockholm (March 2001) and
Gothenburg (June 2001). The Lisbon Strategy is focused on dealing with the EU long-term
macroeconomic and structural problems as a whole and with those of the individual countries,
and could contribute to a higher consistency of attitudes when setting national economic
priorities. Based on the new focus of the Lisbon Strategy, or rather the Integrated Guidelines,
the Czech Republic has drafted the National Reform Programme (NRP).
Operational Programme Prague – Adaptability
24 September 2007
59
With regard to its focus, OPPA is not coherent with the macroeconomic part of the NRP, and
it is only marginally connected to the microeconomic part, through the first priority axis of
OPPA in the innovation area. There is an intensive link between OPPA and the employment
part, through all of the OPPA priority axes. The link to the NRP is clear in the areas of
education, lifelong learning, in-company education, information education and, last but not
least, integration of disadvantaged persons and co-operation with employers.
OP Prague – Adaptability
National Reform
Programme
Support to
development of
knowledge-based
economy
Notes:
Support to entry
onto labour
market
Modernisatio
n of initial
education
««
««
Macroeconomic part
Microeconomic part
Employment part
«
««
«« Significant links
«
Medium-strength links
No links or indirect link
In the microeconomic part of the National Reform Programme there are partial links between
OPPA and the priority measures “Simplify entry into business,” “Develop innovation
infrastructure” and “Promote development and effective use of ICT”. The detailed
characteristics of the contribution made by the implementation of OPPA to the National
Reform Programme’s priority measures on employment are shown in the following table.
Operational Programme Prague – Adaptability
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60
OP Prague – Adaptability
Integration on
labour market
Labour Market
Flexibility
National Reform Programme 2005-2008
Expand contractual freedom in labour law
relations
Reduce statutory non-salary costs of labour
Improve stimulation effect of direct taxes and
benefits with the aim of limiting unemployment
and increasing motivation to work for low-income
groups
Increase territorial mobility
Support to
developme
nt of
knowledgebased
economy
«
Modernise employment policy
«
Reduce unemployment of young people aged
under 25
Enforce equal opportunities for men and women
on the labour market
Increase participation of elderly people in the
labour market
Increase professional mobility with an efficient
re-qualification system
Simplify foreigners’ access to the labour market
«
Education
Expand access to advanced specialised and
university education
Promote co-operation between employers,
employees and educational and specialised
professional institutions
Improve connections between the systems of
initial and further education
Promote links between the various levels of
tertiary education
Promote further in-company education
Increase information education
Modernisation
of initial
education
«
«
««
«
«
««
««
Implement a curriculum reform
Notes:
Support to
entry onto
labour
market
«
«
««
««
««
««
«
««
««
««
«« Significant links
«
Medium-strength links
No links or indirect link
3.3.4 National Strategic Documents
OPPA’s focus is in accordance with a number of national strategic documents for economic
growth and regional development, as well as strategies for education, social integration,
research and development, etc.
Sustainable Development Strategy of the Czech Republic
The Sustainable Development Strategy of the Czech Republic, i.e. development that ensures
a balance between the economic, social and environmental development of the society, forms
a consensual framework for drafting other materials of a conceptual nature. The basic time
Operational Programme Prague – Adaptability
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61
horizon for the strategy is 2014, but some contemplations and objectives are, however, aimed
at 2030, or even farther on, depending on the nature of the given area (for example energy).
The strategy aims to ensure the greatest possible quality of life for the current generation and
to create the conditions for high-quality life for the future generations.
National Programme for Development of Education in the Czech Republic (White
Paper)
At the national level one of the significant documents in the field of lifelong learning is the
National Programme for Development of Education in the Czech Republic (White Paper),
which was drafted by the MoEYS in co-operation with its partners at the central, regional and
local levels and was approved by the Czech government in 2001. Based on a thorough
analysis, the White Paper formulates the strategic lines of education policy until 2005 and the
main measures to be taken to implement it. The document establishes the foundations for an
educational reform in the Czech Republic. It sets educational priorities until 2005 and in some
areas works with impacts that will occur by 2010.
National Programme for
Development of Education in CR
OP Prague – Adaptability
Support to
development of
knowledge-base
d economy
Support to entry
onto labour
market
Modernisation of
initial education
««
«
««
Implement lifelong learning for all
Adapt education and study
programmes to the needs of life in
knowledge society
Monitor and assess the quality and
efficiency of education
Promote internal transformations and
openness of educational institutions
Transform roles and professional
perspectives of teaching and
academic workers
Transfer from central management to
responsible common decision-making
Notes:
««
«
«
«
«
««
«
«
«
«« Significant links
«
Medium-strength links
No links or indirect link
Long-term Plan for Education and Development of Educational System of the Czech
Republic
Another important document for education is the Long-term Plan for Education and
Development of the Educational System of the Czech Republic of 2005 (the Long-term Plan).
The previous long-term plan dated 2002 elaborated on the strategic aims set out in the White
Paper in more detail. The missing legislation that prevented the implementation of some of
the strategic aims was supplemented by Act No. 561/2004 Coll., on Pre-School, Primary,
Secondary, Higher Specialised and Other Education (the Schools Act), as amended.
The 2005 Long-term Plan lays down six areas resulting from the assessment of trends in
education and society, following entry to the European structures.
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62
OP Prague – Adaptability
2005 Long-term Plan
Support to
development of
knowledge-base
d economy
Improve quality and modernise
education
Ensure quality, monitor and assess
results of education
Ensure equal opportunities for
education
Develop an integrated system of
advice in education
Increase professionalism and social
position of teaching staff
«
Promote further education
«
Notes:
Support to entry
onto labour
market
Modernisation of
initial education
««
«
««
«
««
««
«« Significant links
«
Medium-strength links
No links or indirect link
National Action Plan for Social Inclusion 2006-2008
The strategy of the National Action Plan for Social Inclusion is based on the updated
Common Objectives of the Fight against Poverty and Social Exclusion of the EU, as amended
in 2006, following the commencement of the process enhancing the efficiency of coordinating
social protection and social exclusion policies.
The following objectives were defined for the area of social exclusion:
§ Guarantee access for all to the basic resources, rights and social services needed for
participation in society;
§ Avoid risk of social exclusion and fight discrimination;
§ Ensure the active social inclusion of all;
§ Ensure that social inclusion policies are well-coordinated and involve all levels of
government and relevant actors, including people experiencing poverty, that they are
efficient and effective and mainstreamed into all relevant public policies, including
economic, budgetary, education and training policies and Structural Funds
programmes (notably ESF).
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63
OP Prague – Adaptability
National Action Plan for
Social Inclusion 2004-6
Support to
Support to entry
development of
onto labour
knowledge-based
market
economy
Notes:
Modernize initial
education
Mitigate regional inequalities
Facilitate access to employment
Facilitate access to resources, rights,
goods and services to all
««
««
««
«
««
«
««
«
««
«
Prevent social exclusion
Assist most
population
risk
groups
in
the
«
«« Significant links
«
Medium-strength links
No links or indirect link
Long-term Plan for Education and Scientific, Research, Development, Artistic and other
Creative Activities for Universities 2006-2010
The long-term plan for 2006-2010 drafted by the Ministry of Education, Youth and Sport in
August 2005 focuses on university education, but in some respects concerns the whole tertiary
sector of the educational system.
The Ministry aims to create a competitive, richly diversified system that performs all three
basic functions of university education.
§ In the field of education it enables the development and realisation of people’s
potential, the preparation of young people for the labour market and the arrangement
of their employment over the long-term.
§ In the field of research and development, universities are expected to set up highquality conditions for the development of top-quality research and development and
also to be able to transmit the results of the research and development or to directly
apply them in practice.
§ The third, no less important area of activity in university education is its close
co-operation with the business community (businesses, employers and other
customers).
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64
OP Prague – Adaptability
Long-term Plan for
Higher Education 20062010
Support to
development of
knowledge-base
d economy
Notes:
Support to entry
onto labour
market
Modernisation of
initial education
Structure and diversification of
programmes and institutions
««
Access to education, numbers of
students and graduates
«
Internationalisation
«
Quality and excellence of
academic activities
«
«
««
««
«
««
«« Significant links
«
Medium-strength links
No links or indirect link
Economic Growth Strategy of the Czech Republic
The strategy (adopted by the government of the Czech Republic on 16 November 2005) sets
out the priorities of the economic policy of the Czech Republic until 2013. The OP Prague –
Adaptability is particularly in compliance with the Development of Human Resources –
Education and Employment, and Research, Development and Innovation.
Economic Growth Strategy
OP Prague – Adaptability
Support to
development of
knowledge-base
d economy
Support to entry
onto labour
market
Modernisation
of initial
education
«
««
««
Institutional environment for business
Sources of finance
Infrastructure
Development of human resources –
education and employment
Research, development and
innovation
Notes:
««
«
«« Significant links
«
Medium-strength links
No links or indirect link
National Research and Development Policy of the Czech Republic for 2004-2008
The National Research and Development Policy of the Czech Republic (adopted by the
government of the Czech Republic in Resolution No. 5 of 7 January 2004) formulates the
government’s principles for science and research and provides institutions, organisations and
science and research workers with framework information for strategic decisions and the
drafting and subsequent implementation of their research plans, as well as other research
(including infrastructure), development and innovation, and other related areas. The following
Operational Programme Prague – Adaptability
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65
National Research and
Development Policy of the Czech
Republic 2004-2008
areas were chosen to be the fundamental priorities of this policy: human resources,
international co-operation in research and development, regional aspects of research and
development, use of research and development results in practice and assessment of research.
Notes:
OP Prague – Adaptability
Support to
development of
knowledge-base
d economy
Human resources in R&D
International
co-operation
in
«
«
Support to entry
onto labour
market
Modernisation of
initial education
«
R&D
Regional aspects of R&D
Use of results of R&D in practice
Assessment of research
«
««
««
«
«
«« Significant links
Medium-strength links
«
No links or indirect link
Regional Development Strategy of the Czech Republic
The Regional Development Strategy of the Czech Republic is the basis for drafting
development programmes. With regard to the Strategy’s focus, the links between the OP
Prague – Adaptability and the Strategy can only be seen in two problem areas: the Economy
of Regions and People and Settlements.
The promotion of research and development and innovation, and the further education and cooperation between the public and private sectors is related to the area of Economy of the
Regions; investments in human capital correspond to the field of People and Settlements.
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66
Regional Development Strategy of the Czech
Republic
OP Prague – Adaptability
Support to
development of
knowledge-base
d economy
Support to entry
onto labour
market
««
««
««
««
Modernisation of
initial education
European and National Economy
Strategic Framework
Economy of the Regions
People and settlements
««
Infrastructure
Countryside, landscape, and
environment
Tourism
Culture
Problem areas
Notes:
«« Significant links
Medium-strength links
«
No links or indirect link
3.3.5 Links to the Operational Programme Prague – Competitiveness
OPPA is closely related to the Operational Programme Prague – Competitiveness. Both
programmes focus on the assistance to the entire region of Prague. OPPC will be financed
solely from ERDF funds and is oriented on the availability of key services, the city
environment, innovation and enterprise, which are important factors for the city’s
competitiveness. These factors are closely linked to areas that are the subject of OPPA
intervention.
The global objective of OPPC is to increase Prague’s competitiveness as a dynamic city in an
EU Member State by removing all development barriers and weaknesses in the region,
improving the city environment, improving the availability of transport and
telecommunications services and developing the city’s innovation potential.
The OPPC priority axes are “Availability and environment” and “Innovation and enterprise”.
The first two OPPA priority axes are closely related to OPPC, in particular through activities
that are included under the Innovation and enterprise priority. This concerns, for example,
activities such as support and consultancy for developing the business environment, cooperation between business and science and research facilities, co-operation with employers,
and support for the development of social economy. The risk of overlaps in these areas is
dealt with by a different definition of eligibility of the supported activities.
The coordination between the operational programmes based on the principle of concentration
and the accomplishment of the maximum efficiency of the assistance provided through the
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67
synergy effect is a result of the joint management of the two programmes by the City of
Prague, including the existence of the Joint Monitoring Committee for both programmes.
3.3.6 Links between the ESF Operational Programmes
In the Convergence Objective regions (the whole territory of the Czech Republic with the
exception of Prague) the Operational Programmes Human Resources and Employment
(managed by the MoLSA) and Education for Competitiveness (managed by the MoEYS) will
be implemented with assistance from the ESF.
During the preparation of all operational programmes there was an ongoing coordination of
the areas of intervention through the working groups of the individual Managing Authorities,
in whose work other entities from ESF programmes were involved.
Whereas the OP HRE is focused on the active employment policy and on measures
strengthening social cohesion, the OP EC includes initial education and systems of further
education, including the strengthening of the links between research and development,
university education and businesses. OPPA is designed to be in synergy with both
Convergence Objective programmes and takes Prague’s specific features into account. OPPA
priority axis 1 includes areas of intervention corresponding to priority axis 1 of the OP HRE
(“Adaptability”), in particular in further education. The focus of OPPA priority axis 2
(“Support to entry onto labour market”) corresponds to OP HRE priority axes 2 and 3
(“Active policies on the labour market and social integration and equal opportunities”). OPPA
priority axis 3 (“Modernisation of initial education”) is parallel to priority axes 1 and 2 of the
OP EC (“Modernisation of initial education and modernisation of tertiary education and
research and development”).
In addition to the related contents of the various areas of intervention, it is necessary to take
into account the implementation of the systematic national activities in the OP HRE and the
OP EC. The City of Prague, as the centre of the Czech Republic, hosts the headquarters of
a number of central institutions with the potential to provide for national activities of
a systematic character. To ensure these activities as a part of the ESF programmes, an
agreement was made among the main ESF actors in the Czech Republic – the MoLSA, the
MoEYS, the MoF, the MfRD, and the City of Prague – to form the OP HRE and the OP EC
as multi-objective operational programmes with a contribution from the allocation of the
objective concerning regional competitiveness and employment for national systematic
activities, cross-section activities and to fulfil national policies. The following approaches will
apply in addition to the principle of multi-objectiveness: implementation of mirror projects,
transfer of outputs and good practice from the pilot projects.
Formation of OP HRE as a multi-objective programme
For operations in the areas of active employment policy, modernisation of public
administration (smart administration), international co-operation and complementarily also
technical assistance, four multi-objective priority axes were formed within the OP HRE
(“Active labour market policies”, “Public governance and public services”, “International cooperation” and “Technical assistance”) and the relevant transfer of some of the allocation of
the Regional Competitiveness and Employment Objective to the OP HRE budget was
implemented.
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68
Table 51 Priority axes of the OP HRE
Priority axis 1
Priority axis 2 a
Priority axis 2 b
Priority axis 3
Priority axis 4 a
Priority axis 4 b
Priority axis 5 a
Priority axis 5 b
Priority axis 6 a
Priority axis 6 b
Adaptability
Active labour market policies (Convergence)
Active labour market policies (RCEO)
Social integration and equal opportunities
Public governance and public services (Convergence)
Public governance and public services (RCEO)
International co-operation (convergence)
International co-operation (RCEO)
Technical assistance (Convergence)
Technical assistance (RCEO)
Source: NSRF
The multi-objective character of the OP HRE will apply to those activities that are of the
systemic nation-wide nature and it is therefore desirable that they be implemented in the
whole of the Czech Republic. The activities of the systemic nature with a nation-wide impact
fall within the priority axes concerning active employment policy, public governance and
public services, international co-operation and technical assistance. The OP HRE Managing
Authority in co-operation with the OPPA Managing Authority, using the coordination
mechanisms of the ESF programmes (see below), will ensure that the funds allocated to the
Convergence Objective be not spent on interventions in a territory falling within the Regional
Competitiveness and Employment Objective; at the same time, both Managing Authorities
guarantee that the activities implemented under the OP HRE not duplicate the OPPA
activities, i.e. the same type of activities is not implemented for the same target group.
Public administration modernisation will be supported under two topical OPs – under the
priority axis “Public governance and public services” of the OP HRE and under the priority
axes “Public administration modernisation” and “Increased quality and accessibility of public
services” of the Integrated Operational Programme (IOP). The IOP aims to support the
interventions which take place in seven NUTS 2 regions in the Czech Republic falling under
the Convergence Objective (it does not concern the City of Prague). The projects of the
systemic nature with a nation-wide impact (smart administration, tourism) will be
implemented within the framework of the IOP multi-objective priority axes.
Formation of OP EC as a multi-objective programme
The multi-objective character of the OP EC will apply to those activities that are of the
systemic nation-wide nature and it is therefore desirable that they be implemented in the
whole of the Czech Republic The activities of the systemic nature with a nation-wide impact
fall within the priority axis “Lifelong learning system framework” which includes systemic
projects on the national level, including initial, tertiary and further education. The
multi-objectiveness includes the priority axis “Technical assistance”. The OP EC Managing
Authority, using the coordination mechanisms of the ESF programmes (see below), will
ensure that the funds allocated to the Convergence Objective be not spent on interventions in
a territory falling within the Regional Competitiveness and Employment Objective; at the
same time, the OP EC Managing Authority in co-operation with the OPPA Managing
Authority guarantee that the activities implemented under the OP EC not duplicate the OPPA
activities, i.e. the same type of activities is not implemented for the same target group. At the
same time, the Managing Authority shall provide for the sufficient financial allocation to the
activities of the systemic/nation-wide nature.
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69
Table 52 Priority axes of OP EC
Priority axis 1
Priority axis 2
Priority axis 3
Priority axis 4 a
Priority axis 4 b
Priority axis 5 a
Priority axis 5 b
Initial education
Tertiary education, research and development
Further education
Systemic framework for lifelong learning (Convergence)
Systemic framework for lifelong learning (RCEO)
Technical assistance (Convergence )
Technical assistance (RCEO)
Source: NSRF
In the areas of no multi-objective priority axes the principle of mirror projects will apply. It
concerns particularly the areas of developing social services and a system of further
education. Within the framework of the OPPA, the City of Prague will implement projects
mirroring those implemented at the national level under the OP HRE. The projects of this type
are designed to meet and implement the already developed national policies with a strong
regional dimension, usually falling within the powers of the regions.
Pursuant to Art. 3(6) of Regulation (EC) No. 1081/2006 of the European Parliament and of
the Council (The ESF shall also support transnational and interregional actions in particular
through the sharing of information, experiences, results and good practices, and through
developing complementary approaches and coordinated or joint action.), the OPPA activities
will be complementary with the OP HRE and OP CE activities through sharing of outputs and
good practices derived from pilot projects.
Figure 53 Links between OPPA and operational programmes 2007-2013
City of Prague
Operational
Programme
Human Resources
and Employment
Operational
Programme Prague –
Adaptability
Operational
Programme Education
for Competitiveness
Operational
Programme Prague –
Competitiveness
Notes:
Related contents of the specific objectives of operational
programmes
Additionality of national systematic activities, coordination in
the form of multi-objective priority axes
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70
3.3.7 Strategic Plan for the City of Prague
Prague’s basic programming document is the Strategic Plan for the City of Prague, which was
approved by the Prague City Council in 2000. It is a comprehensive and long-term document,
which, however, strives to react to the current trends in the city and the world.
The Strategic Plan for the City of Prague places emphasis on Prague’s role as the capital of
the Czech Republic, the city’s economy, quality of life and environment, transport and
technical infrastructure, management and administration, spatial development. The strategic
vision for Prague’s development is focused on five areas:
§ A successful, competitive and respected city with a strong, modern economy, ensuring
good conditions for its inhabitants, prosperity for business and the funds necessary for
public projects.
§ An attractive city that attempts to satisfy its inhabitants and visitors with a good
quality of life and safety, attractive and balanced communities and equal opportunities.
§ A high quality of natural and urban environment whilst respecting the principles of
sustainable development related to reducing the current environmental burden on the
city and achieving a balance between housing sections and the landscape in the sense
of a clean, healthy and harmonious city.
§ Modernisation, development and operation of the city’s own transport and technical
infrastructure to support the correct functioning and economy of the city, its ambitions
and development, the corresponding standard of technical progress, reliable and
efficient work of systems sensitive to the environment.
§ Dynamic and friendly administration of the city, high performance when providing
services and protecting the public interest, co-operation with other entities based on
the principles of partnership, enabling the activities of others and supporting the
participation by the citizens in the municipality’s management and development.
The Strategic Plan for the City of Prague is the initial document for OPPA. Its themes focus
on supporting education, strengthening the adaptability of human resources, increasing the
flexibility of the labour market, strengthening social cohesion. The area of public
administration modernisation which is of key importance for the City of Prague (where most
of the public administration institutions are located) will be supported within the framework
of the OP HRE multi-objective priority axis “Public governance and public services”.
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71
Strategic Plan for the
City of Prague
OP Prague – Adaptability
Support to
development of
knowledge-base
d economy
Support to entry
onto labour
market
Modernisation of
initial education
««
«
««
«
««
««
Prague’s role and city economy
Quality of life
Quality of the environment
Transport and technical infrastructure
Management and administration
Notes:
«« Significant links
«
Medium-strength links
No links or indirect link
3.3.8 Information on complementarity with EAFRD and EFF
Geographic eligibility of the Operational Programme Fisheries 2007-2013 (financed from the
European Fisheries Fund – EFF) covers regions of the Czech Republic, which are eligible
under Convergence Objective, i.e. the whole territory of the Czech Republic except for
Prague.
Under Rural Development Programme 2007-2013 (financed by the European Agriculture
Fund for Rural Development – EAFRD) priority axis 1 “Enhancing competitiveness of
agriculture and forestry” covers the territory of the Czech Republic except for Prague, priority
axis 2 “Enhancing environment and landscape” excluding agro-environmental measures,
which are applicable in Prague, covers the territory of the Czech Republic except for Prague,
as well as priority axis 3 “Quality of life in rural areas and diversification of rural economy”.
European Social Fund interventions are linked only to priority axis 3 of Rural Development
Programme 2007-2013, which is not intended for application in Prague. Operational
Programme Fisheries 2007-2013 covers only territory of the Czech Republic except for
Prague. To that end OPPA activities are not complementary to interventions of the Rural
Development Programme 2007-2013 and Operational Programme Fisheries 2007-2013.
3.3.9 Information on Complementarity with the Activities of the Seventh
Framework Programme
The Seventh Framework Programme has been divided into four specific programmes
corresponding to the main directions of the EU research and development policy: Cooperation, Ideas, People, and Capacities. These specific programmes, which are of the
international character, should allow for the creation of European poles of excellence.
Activities of the ESF, and therefore also of the OPPA (particularly PA 1 “Support to
development of knowledge-based economy” and PA 3 “Modernisation of initial education”)
have the closest link to the specific programme People. The OPPA focuses particularly on the
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72
activities which are designed for scientists at all stages of their professional growth (“MarieCurie activities”) – from initial education through further education; at the same time they
provide for their career growth. Other activities include establishing connections between
industrial and academic spheres, creating partnership and international links. The
complementarity of the activities of the OPPA and of the Seventh Framework Programme
will ensue from the EU draft directive “Coordinating the Research Framework Programme
and the Structural Funds to Support Research and Development” of April 2007 which
contains recommendations to coordinate activities of the Seventh Framework Programme and
of the Structural Funds.
3.4 Topical, Geographic and Financial Concentration
The activities of particular OPPA priority axes cover priorities stipulated by Regulation (EC)
No. 1081/2006 of the European Parliament and of the Council on the ESF under the Regional
Competitiveness and Employment Objective and they focus particularly on the following:
• Lifelong learning and increased investment in human resources by enterprises,
especially SMEs, and workers;
• Pathways to integration and re-entry into employment for disadvantaged people,
through employability measures, including in the field of the social economy, access
to vocational education and training, and accompanying actions and relevant support,
community and care services that improve employment opportunities;
• The design and introduction of reforms in education and training systems in order to
develop employability, the improvement of the labour market relevance of initial and
vocational education and training and the continual updating of the skills of training
personnel with a view to innovation and a knowledge-based economy;
• Networking activities between universities, research and technological centres and
enterprises.
The contents and financial parameters of individual priority axes ensue from the City of
Prague’s needs identified based on a socio-economic analysis (summarised in the SWOT
analysis – see chapter 2.9), based on links to the relevant strategic documents of the EU,
Czech Republic and the City of Prague (see chapter 3.3), the assessment of experience from
the previous programming period, and the implementation of particular SPD 3 measures (for
details see chapter 2.8) where the area of enhancing the active employment policy in the City
of Prague accounted for the relatively weakest element. In the programming period
2004-2006, the projects concerning employers’ and employees’ adaptability were perceived
as the most efficient (sufficient absorption capacity, achieving set goals), as well as the
projects supporting integration of disadvantaged people in the labour market and those related
to lifelong learning. Therefore, the OPPA no longer focuses on the general employment
policy, but rather on the activities supporting disadvantaged people on the labour market,
measures fighting discrimination and harmonising professional and family lives. The support
of human resources in research and development has a very close link to the area of business
and innovation and will be supported under PA 1 of the OPPA also with regard to the
experience gained during the implementation of SPD 3 projects where there was demand in
Prague for investment projects rather than other projects in the area of research and
development
The largest volume of funds under the OPPA is allocated under PA 1 “Support to
development of knowledge-based economy” (38.2%) and relatively lower volumes of funds
Operational Programme Prague – Adaptability
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73
under the remaining two priority axes: PA 2 “Support to entry onto labour market” and PA 3
“Modernisation of initial education” (both 29.2%).
As regards geographic eligibility, all OPPA activities will be implemented solely in the City
of Prague cohesion region, pursuant to Art. 6 of Council Regulation (EC) No. 1083/2006,
concerning the regions eligible for funding under the Regional Competitiveness and
Employment Objective.
3.5 Horizontal Themes
3.5.1 Sustainable Development
Sustainable development is understood in OPPA, in connection with the Lisbon Strategy and
other relevant strategic documents, as a cross-sectional theme with overlaps into the areas of
economic growth, social cohesion and environmental protection. The main idea is to promote
growth to an extent that satisfies the needs of the current generation, without endangering the
fulfilment of the needs of future generations.
Economic growth and social cohesion are directly and explicitly stated in the OPPA
objectives. The support of entrepreneurship and the adaptability of employers and employees
is linked to the performance of the region’s economy, and social cohesion will be
strengthened as a part of priority axis 2, focused on increasing the accessibility of the labour
market for disadvantaged individuals. Environmental protection will be reflected in all stages
during the programme’s implementation. With regard to the character of interventions that
can be supported by OPPA, this will not concern projects with a significant impact on the
environment due to the construction of infrastructure. As a part of the activities supported by
OPPA, emphasis will be, however, placed on increasing the awareness of the principles of
sustainable development amongst the beneficiaries and the target groups. A theme relevant in
particular for further education is, for example, education on environmental management.
Wherever appropriate, attention will be paid to better education in the management principles
that would reduce the impact of organisations’ activities on the environment and enhance their
socially responsible behaviours in accordance with the Lisbon and Gothenburg Strategies.
3.5.2 Equal Opportunities
Promoting equality between men and women and involving gender perspectives during the
various stages of implementation is a task that has to be met by all implementation elements
and results from Art. 16 of Council Regulation (EC) No. 1083/2006. The emphasis on equal
opportunities in OPPA is also linked to Art. 6 of European Parliament and Council Regulation
(EC) No. 1081/2006.
As a part of all implementation activities one of the OPPA objectives is to strengthen equal
opportunities for all individuals where there is a risk of discrimination, regardless of the cause
for the risk (gender, ethnic origin, race, age, social situation, health condition, religious or
political belief, sexual orientation, etc.).
Trends in employment by gender in Prague have been a little negative for women since 2000.
The high employment of women is falling slightly, although more than 51.2% (2004) of
women aged over 15 are employed (52.8% in 2000). The share of women in the total number
of people employed has fallen from 46.8% (2000) to 45.9% (2004). The share of female
Operational Programme Prague – Adaptability
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74
entrepreneurs is also falling; the share of female employers in Prague has fallen from 25.1%
to 20.4% and their share amongst the self-employed has declined from 34.0% to 28.7%. There
was a slight increase in the use of part-time jobs. Women are a group more at risk of
unemployment than men. There are still more women than men amongst job seekers and their
share in Prague fell from 55.7% in 2000 to 52.5% in 2004. The unemployment rate among
women has fallen from 5.0% to 4.4%. The share of long-term unemployed women (more than
1 year) has increased from 48.5% to 54.1%. The OPPA envisages support of flexible forms of
employment, advice for start-up entrepreneurs and also support focused on persons returning
to the labour market after a longer break, i.e. including parents ending parental leave.
In addition to gender discrimination, the OPPA will support the fight against ageism (age
discrimination), which can be gradually expected to increase in importance, primarily due to
demographic processes. Old people and people of pre-pension age are sometimes categorised
as rigid in their thinking and methods, and old-fashioned in their morality and skills. The
degree of unemployment with regard to the job seeker’s age is stable. Most job seekers are
aged between 50 and 54 (14.7%); and female job seekers account for one third of this
category. The average age of job seekers has increased by 2 years, i.e. to 40 years (also for
women). The greatest increase has been seen in the share of job seekers aged over 55.
The OPPA will help, through the defined areas of intervention, disabled people find
employment (7,100 disabled people were employed in Prague in 2004). There are very few
job vacancies suitable for disabled people. The primary cause is the limited possibilities
disabled people have to work, because of their disabilities, often linked with low or no
qualifications. The negative influences also include changes from a full disabled pension to
a partial disabled pension and a frequent lack of work habits and expertise (often due to
collecting social benefits), employers’ fear of frequent or long-term work incapacity, and also
a lack of interest in the work process by the individual. Disabled job seekers account for
11.8% (2005) of the total number of job seekers, in 2001 they accounted for 12.9%. In
a similar manner the OPPA also contains pro-active measures for enforcing the principle of
equal opportunities for persons at risk of social exclusion.
The principle of equal opportunities will also be complied with at the stage of programming,
management, monitoring and evaluation. Primarily there are equal opportunities in the
interventions included in OPPA priority axis 2, but at the level of the relevant indicators they
will be reflected in the whole programme through project selection.
3.6 International Co-operation and Support to Innovative Activities
International co-operation and innovation are factors that can help harmonious and sustainable
development in the region. Within OPPA international co-operation is perceived in a close
relationship to innovation. Its main benefits can be expected in the dissemination of good
experience, so the elements of international co-operation will be taken into consideration
during the implementation of OPPA.
The greatest use of international co-operation can be expected as a part of priority axis 1, in
particular in support for co-operation between business and science and research facilities, for
example the establishment of research and development centres or the development of spinoff companies, and the development and implementation of further education, e.g. during the
formation of further education centres, support for know-how transfer, etc. priority axis 3 will
also include support for elements of international co-operation, in particular university
Operational Programme Prague – Adaptability
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75
education facilities, e.g. in the form of internships, the dissemination of experience with the
form and content of teaching, etc. Inspiration and the introduction of successful foreign
models of support onto the labour market for the target group of disadvantaged people will be
supported as a part of priority axis 2 of OPPA.
Innovative activities will be supported within the frame of all priority axes of the programme.
Regarding the dynamics of the development of further professional education in the Prague
region the support of innovative activities is to be important mainly during the
implementation of priority axis 1. However, the support of innovation and the dissemination
of new procedures will be applied during the integration of disadvantaged people and
modernisation of initial education, i.e. within the framework of priority axes 2 and 3.
An important parameter that the OPPA intends to influence positively is the formation and
strengthening of networks for the exchange of good experience between the entities active in
the various EU Member States.
3.7 Summary of Ex-ante Evaluation
The preparation of an ex-ante evaluation of OPPA was announced in accordance with Art. 48
of Council Regulation (EC) No. 1083/2006 as an independent assessment of the operational
programme for the Regional Competitiveness and Employment Objective. The evaluation was
performed by DHV ČR, spol. s r.o., which assembled a team of experts and external workers,
including a foreign expert, for this purpose. The evaluation was performed between February
and October 2006, based on a contract concluded with the Ministry of Labour and Social
Affairs.
The ex-ante evaluation was performed as an interactive continuous process between the exante drafter and the OPPA text drafter, where the comments and recommendations were
continuously included into the resulting text of the programme.
The ex-ante evaluation process can be divided into three stages: (1) evaluation of the quality
of contextual analyses, (2) evaluation of internal and external coherence of the programme,
and (3) evaluation of the proposed implementation and monitoring system. As a part of these
stages, the evaluator’s assessments and recommendations were provided to the team preparing
OPPA on an ongoing basis.
The first stage of the ex-ante evaluation took place in February 2006. The evaluator focused
on the evaluation of the socio-economic analysis and the SWOT analysis. The conclusions
stated that all of the decisive areas were covered, but drew attention to the unequal levels of
the analysis in the various theme areas and to the insufficient references to data analyses. In
connection with the recommendations there was a reduction in the number of analytic
comments and a slimming of the analysis, in particular from the viewpoint of its use for the
OPPA.
In March 2006, the ex-ante evaluator was handed the first working draft of OPPA as the
source document for the second stage of the evaluation, focusing on the connection between
the programme and the analytical conclusions and OPPA’s coherence with the priorities of the
Czech Republic’s development policy and the EU strategic documents. Using a coincidence
matrix the ex-ante evaluator identified that the proposed programme did not sufficiently refer
to the analytical conclusions. Some of the proposed intervention areas did not have a
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sufficient analytical basis and at the same time the analysis also documented areas that were
not relevant for the OPPA. In connection with this ongoing evaluation, findings without a
direct link to the ESF were removed from the analysis (e.g. macroeconomic findings) and the
information on several areas of intervention was expanded (e.g. further professional education
for adults). The ex-ante evaluator also paid attention to the structure of the global and specific
objectives. The global objective was redefined based on the ex-ante evaluator’s
recommendations. The original objective oriented explicitly on the labour market was
replaced by a target that is linked to the competitiveness of the region’s economy and the
performance of human resources in Prague.
The preliminary final report on the ex-ante evaluation, which was drafted on 30 May 2006,
has the following to say about the subsequent parts of OPPA:
1) Analysis of the initial state
“The analysis covers all the decisive areas that form the wider context for human resources
development in the Prague region. (…) The analysis is based on statistical data showing
development trends. The analysis of experience from the last programming period presented
as experience from the SPD 3 implementation suitably refers to the organisation’s own
analysis. (…) The analysis reasonably supports the setting of the priority axes in the
programming document.”
2) SWOT analysis
“The problems identified in the SWOT analysis were set out in a relatively clear and
reasonable order, enabling the programme to have an appropriate strategic focus.”
3) Internal programme consistency
“From the viewpoint of the relevance of priorities and groups of activities, the ex-ante
evaluation reviewed the links between the analytical findings of the SWOT analysis and the
priorities and groups of activities. The review indicated that the majority of the SWOT
analysis findings were reflected in the programmes and, therefore, the proposed programme
referred to the analytical conclusions in the relevant manner. (…) The priorities and groups of
activities could be regarded as consistent and synergic. The programme is economically
reasonable and is suitably balanced to support economic growth and competitiveness, social
cohesion and long-term sustainability.”
4) External programme coherence
“In connection with the EU strategic documents, the programme’s coherence with the
Community Strategic Guidelines and the Lisbon Strategy implemented in the Czech Republic
through the National Reform Programme was verified. In connection with the priorities of the
Czech Republic’s development policy, the programme’s coherence was checked against the
National Strategic Reference Framework, the National Programme for Development of
Education in the Czech Republic, the Long-term Plan for Education and Development of the
Educational System of the Czech Republic, the Economic Growth Strategy and the Regional
Development Strategy of the Czech Republic. The review made clear the high degree of
coincidence between the activities proposed in OPPA and the above-mentioned strategic
documents. The programme’s proposed groups of activities are in accordance with the
priorities of the relevant strategic documents. The programme suitably specifies the links
between the OPPA and the relevant operational programmes for 2007-2013.”
5) Expected results and consequences
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“The implementation of OPPA will increase employment in institutions contributing to the
OP implementation, slightly increase employment as a whole, while the long-term
unemployment of specific groups of the population should fall. The quality of employment
will increase and it will better correspond to the demand. A network of organisations and
institutions will come into being to work with people at risk of social exclusion
systematically, and the number of socio-pathological phenomena in the society will fall in
relative terms. The labour market will significantly get closer to the requirements of the
knowledge-based economy. The ex-ante evaluation reviewed the various indicators in terms
of relevancy, efficiency and usefulness/sustainability. The review indicated that the proposed
indicators at the priority axes level are clearly related to the OPPA global and specific
objectives.”
6) Implementation system
“The implementation system clearly defines the powers, responsibilities, management
methods and procedures. There are also proposals of adequate structures for the management,
monitoring and evaluation of the operational programme. The implementation system is
generally straightforward and transparent, the capacities for its implementation are specified
and seem to be clear.”
7) Financial framework
“The financial framework is drafted transparently in the form of tables and respects the
relevant provisions and recommendations of the Commission. (…) Based on experience with
implementing the SPD 3 and the current utilisation of funds, we do not expect any significant
problems with the absorption capacity.”
The full ex-ante evaluation is available at the Managing Authority of OPPA.
3.8 Strategic Environmental Assessment
Directive 2001/42/EC of the European Parliament and of the Council dated 27 June 2001 on
the Assessment of the Effects of Certain Plans and Programmes on the Environment is
transposed into the Czech legal order in Act No. 100/2001 Coll., on Environmental Impact
Assessment (Environmental Impact Assessment Act), as amended.
According to a statement of the Ministry of
Environmental Impact Assessment and IPPC
Operational Programme Prague – Adaptability
assessment, pursuant to S. 10a(1) of Act No.
Assessment, it is not subject to assessment.
Operational Programme Prague – Adaptability
24 September 2007
the Environment of the Czech Republic,
Department, dated 27 March 2006, the
is not subject to a strategic environmental
100/2001 Coll., on Environmental Impact
78
4 PRIORITY AXES
The Operational Programme Prague – Adaptability consists of four priority axes. Three
priority axes are aimed at direct implementation of three specific objectives of the
programme. The fourth – supporting – priority axis deals with technical assistance.
Priority axis 1 – Support to development of knowledge-based economy
Priority axis 2 – Support to entry onto labour market
Priority axis 3 – Modernisation of initial education
Priority axis 4 – Technical assistance
4.1 Priority Axis 1 – Support to Development of Knowledge-based
Economy
Specific objective
Increase professional mobility and adaptability of employees and employers leading to
increase in labour quality and productivity. This specific objective is based on the ESF
priority for the Regional Competitiveness and Employment Objective pursuant to Art. 3(1)(a)
of Council Regulation (EC) No. 1081/2006.
Justification of the focus of the priority axis
The focus of this priority axis on adaptability of employees and employers is based on
analytical findings presented in chapter 2 (Socio-economic Analysis of the Region) and on the
relevant strategic documents of the EU, the Czech Republic and the City of Prague; these
links are documented in chapter 3.3 of the OPPA (Conformity with Strategic Documents).
This specific objective will be implemented by strengthening the adaptability of employees on
the labour market through development of their professional theoretical and practical
knowledge and skills, and by enhancement and development of their qualifications. Further
education in information and communication technologies, sustainable development and
literacy will be also supported. Special attention will be paid to the development and use of
Prague’s innovation potential through improvement in co-operation between research and
development facilities, educational institutions and the business community, e.g. in the form
of know-how transfers and internships. Emphasis will be given to support to
self-employment, establishment of businesses and consultancy in this area.
At the same time, specific services in the areas of professional training and support to
employees, employers and the self-employed will be developed in connection with the
changing labour market requirements. Support will also be given to development and
implementation of lifelong learning systems in businesses and NGOs, including
improvements in access to the labour market for people without experience, people without
qualifications or with low qualifications, and for elderly employees, such as measures focused
on unemployment prevention. In the area of recognizing professional qualifications,
disparities between the European Qualification Framework and Directive 2005/36/EC and
their roles in the qualification recognition process will be taken into consideration.
Coordination with ESF operations in the Convergence Objective
From the territorial point of view, the activities under priority axis 1 of the OPPA will be
complementary to the activities of the OP HRE and OP EC. National system activities in the
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area of further education will be implemented through the multi-objective priority axis
“Lifelong learning system framework” of the OP EC in the whole of the Czech Republic
including Prague. In areas where multi-objective interventions will not be available, the
principle of mirror projects and interventions in the form of mutual transfers of outputs and
best practice from pilot projects will be used as a complement. Coordination of activities will
be ensured through close co-operation of Managing Authorities during selection of the
supported projects and through coordination mechanisms described in detail in chapter 3.3.6.
The delimitation of scopes of the OPPA and the operational programmes under the
Convergence Objective is defined based on territorial eligibility of the specific target group.
The OPPA will therefore support only target groups with a link to the territory defined for
intervention in the Regional Competitiveness and Employment Objective – the City of
Prague. It is not admissible to support target groups without any link to the eligible region.
Support to “Development and implementation of further education” in the area of public
administration modernisation will be implemented within multi-objective priority axes of the
OP Human Resources and Employment; activities performed for this target group will not be
supported under the OPPA.
Table 54 Categories of expenditure – priority axis 1
Code Priority Themes
Lisbon Priority
62
Development of lifelong learning systems and strategies in businesses;
professional training and services for employees to increase their
ü
adaptability to changes; promoting entrepreneurship and innovation
68
Support to self-employment and establishment of businesses
74
Development of the human potential in the area of research and
innovation, particularly through graduate studies and professional
training of researchers, and networking activities between universities,
research centres and businesses
ü
ü
Note: In compliance with Council Regulation (EC) No. 1083/2006
Supported activities
Development and implementation of further education – implementation of educational
programmes and courses, in particular in the areas of information and communication
technologies, communication and management skills, sustainable development, and language
knowledge and skills; support to access of groups with specific requirements to further
education; preparation and innovation of methodologies and tools for further education,
including training and professional preparation of further education providers; increase in the
qualifications of employees and graduates through internships and knowledge transfers;
development, introduction and implementation of further educational systems in businesses
and industries.
Human resources enhancement in research and development – support for building of human
resources capacity in research and development (e.g. when establishing research and
development centres, for the development of spin-off companies, etc.); support to human
resources in small and medium-sized enterprises in the area of research and development;
support to know-how transfers and internships; support to co-operation between businesses
and research and development facilities.
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Support and counselling for the developing business environment – provision of education
and counselling when establishing new companies; support to start-up small and
medium-sized enterprises; support to and education of the self-employed.
Eligible target groups
Employees
People interested in doing business
Employers
Self-employed
Beneficiaries*
Enterprises
Public institutions
NGOs
Professional and special interest associations
Schools
Intervention form
Non-reimbursable individual intervention (grants)
Intervention amount
Maximum intervention amount up to 100% of eligible project expenditure
Funding flexibility
With reference to Art. 34(2) of Council Regulation (EC) No. 1083/2006, the priority axis
allocation will be used to finance the measures that fall within the framework of the ERDF
intervention, up to a maximum of 10% of the priority axis allocation. The funding of
operations falling within the ERDF intervention framework will only be used in cases which
will be directly linked to the operations supported by the OPPA as part of the ESF
intervention and which will be necessary for their successful implementation.
An indicative list of operations to which Art. 34(2) of Council Regulation (EC)
No. 1083/2006 applies: operations falling within the ERDF intervention framework are, in all
cases, from the area of purchase of facilities and equipment and adaptation or modernisation
of real estate in which activities supported from the ESF are implemented:
− Development of further education centres and other organisations providing further
education through their facilities, in particular through information and communication
technologies with the aim of ensuring multimedia learning forms and innovation transfer;
− Support to research and development centres for human resources development, including
small and medium-sized enterprises performing research and development by providing
facilities, equipment and modernisation of the real estate in use.
The Managing Authority will monitor and register use of funding flexibility in a manner
allowing for search and identification (audit trail) of the expenditure items entered.
*
For a detailed explanation of the individual beneficiary categories, see the Definitions of Terms Used.
Operational Programme Prague – Adaptability
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4.2 Priority Axis 2 – Support to Entry onto Labour Market
Specific objective
Improve access of disadvantaged persons to employment and increase their participation in
the labour market. This specific objective is based on the ESF priority for the Regional
Competitiveness and Employment Objective pursuant to Art. 3(1)(c) of Council Regulation
(EC) No. 1081/2006.
Justification of the focus of the priority axis
The focus of this priority axis on improvement in access to employment of disadvantaged
people and increase in their participation in the labour market is based on analytical findings
presented in chapter 2 (Socio-economic Analysis of the Region) and on the relevant strategic
documents of the EU, the Czech Republic and the City of Prague; these links are documented
in chapter 3.3 of the OPPA (Conformity with Strategic Documents).
This specific objective will be accomplished through interventions focusing on integration of
disadvantaged people (people at risk of social exclusion, socially excluded individuals, people
with incomplete education, people with a physical disability, minorities, etc.) into
employment by improving their employability, including the complementary social services.
The intervention will also focus on establishment of specific workplace conditions for
disadvantaged people and on implementation of measures preventing discrimination in the
access to the labour market (promotion of equal opportunities for men and women, groups
from different socio-cultural environments, etc.) through increase in public awareness and
involvement of local initiatives. Emphasis will be given to the introduction of new, more
flexible forms of work organisation which will facilitate entry or return onto the labour
market of people with a physical disability and of parents after parental leave.
Coordination with ESF operations in the Convergence Objective
From the territorial point of view, the activities under priority axis 2 of the OPPA will be
complementary to the activities of the OP HRE. The area of active employment policy, as
a national policy, will be supported under the OP HRE’s multi-objective priority axis “Active
labour market policies” through interventions aiming at improvement in access to
employment and permanent integration of job seekers. The intervention will focus on
prevention of unemployment, in particular long-term unemployment and unemployment of
elderly employees, by modernising and strengthening the labour market institutions,
especially employment services. Emphasis will be also placed on individuals and on selecting
the tools for the best support of their integration into sustainable employment, including
mobility support. This priority axis will include not only the activities developing the
employment policy system as such, but also the activities fulfilling the objectives through
service provision. Since it is a multi-objective priority axis, it will be implemented also in the
City of Prague. In the area of social services development (OP HRE’s priority axis “Social
integration and equal opportunities”) where it is necessary to ensure a uniform national
approach to implementation of the current policies, projects mirroring the national systematic
projects implemented by the MoLSA under the OP HRE will be implemented by the City of
Prague within the OPPA. Moreover, mutual transfers of outputs and best practice from pilot
projects will be used. Coordination of the supported activities will be ensured by close
co-operation between the Managing Authorities when selecting projects to be supported and
by coordination mechanism described in detail in chapter 3.3.6.
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The delimitation of scopes of the OPPA and the operational programmes under the
Convergence Objective is defined based on territorial eligibility of the specific target group.
The OPPA will therefore support only target groups with a link to the territory defined for
support in the Regional Competitiveness and Employment Objective – the City of Prague. It
is not admissible to support target groups without any link to the eligible region. The target
group delimitation of the OP HRE priority axis “Active labour market policies” is based on
the character of the target group: the OP HRE will provide support to job seekers and people
interested in employment, while the eligible target groups under the OPPA are groups of
disadvantaged people.
Table 55 Categories of expenditure – priority axis 2
Code
69
71
Priority Themes
Lisbon Priority
Measures to improve access to employment and increase sustainable
employment and advancement of employed women with the aim to
reduce gender-based segregation on the labour market and to
ü
harmonize work and private life, e.g. to facilitate access to childcare
and care for dependent individuals
Pathways to integration and re-integration into employment of
disadvantaged people on the labour market; combating discrimination
in access to and advancement on the labour market; promoting
ü
acceptance of diversity at the workplace
Note: In compliance with Council Regulation (EC) No. 1083/2006
Supported activities
Integration of disadvantaged people – integration activities aiming at improvement in the
position of disadvantaged people on the labour market, in their return to and retention on the
labour market, including the delivery of the associated social services under Act No. 108/2006
Coll., on Social Services; support to disadvantaged people in job seeking and retention of a
job; development of activities supporting the extension of the working life; provision of
support and counselling for the establishment and start-up of social economy entities.
Development of organisations supporting the integration of disadvantaged people – support to
further education of social services workers; development and innovation of methods of work
with clients within work integration; further education in organisations associated with the
social services transformation, including education enhancing the quality of social services
and best practice sharing.
Support to balance between work life and private life – support to and development of
childcare services with the aim to achieve balance between the work life and private life of
their parents; support to the family-friendly working environment and development of flexible
forms of work organisation (enabling parents taking care of children or a dependent family
member to return to the labour market); specific measures supporting equal opportunities for
men and women on the labour market; support to job description adaptation and expansion of
possible involvement of employees in pre-retirement age.
Development of capacities of small organisations – support to development of activities of the
current small and new organisations involved in social inclusion; the rules for small grants
will be simpler for the supported organisations from the administrative viewpoint, the
provided intervention volumes will be smaller.
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Eligible target groups
Disadvantaged people
Workers in social services
Employers
Beneficiaries*
NGOs
Public institutions
Enterprises
Intervention form
Non-reimbursable individual intervention (grants)
Intervention amount
Maximum intervention amount up to 100% of eligible project expenditure
Funding flexibility
With reference to Art. 34(2) of Council Regulation (EC) No. 1083/2006, the priority axis
allocation will be used to finance the measures that fall within the framework of the ERDF
intervention, up to a maximum of 10% of the priority axis allocation. The funding of
operations falling within the ERDF intervention framework will only be used in the cases
which will be directly linked to the operations supported by the OPPA as part of the ESF
intervention and which will be necessary for their successful implementation.
An indicative list of operations to which Art. 34(2) of Council Regulation (EC)
No. 1083/2006 applies: operations falling within the ERDF intervention framework are, in all
cases, from the area of purchase of facilities and equipment and the adaptation or
modernisation of real estate in which activities supported from the ESF are implemented:
− Support to organisations in the social economy area through investments in equipment and
modernisation of real estate necessary for project implementation;
− Strengthening of the capacity of organisations active in the area of inclusion of
disadvantaged people by provision of facilities, equipment and adaptation of the real estate
used;
− Support to inclusion of disadvantaged people (in particular due to a disability) by
refurbishment of their work environment.
The Managing Authority will monitor and register use of funding flexibility in a manner
allowing for search and identification (audit trail) of the expenditure items entered.
4.3 Priority Axis 3 – Modernisation of Initial Education
Specific objective
Increase the quality of education and vocational training for people to meet the demands of
the labour market. This specific objective is based on the ESF priority for the Regional
Competitiveness and Employment Objective pursuant to Art. 3(1)(d) of Council Regulation
(EC) No. 1081/2006.
*
For a detailed explanation of the individual beneficiary categories, see the Definitions of Terms Used.
Operational Programme Prague – Adaptability
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84
Justification of the focus of the priority axis
The focus of this priority axis on the increase in the quality of education and vocational
training of people is based on analytical findings presented in chapter 2 (Socio-economic
Analysis of the Region) and on the relevant strategic documents of the EU, the Czech
Republic and the City of Prague; these links are documented in chapter 3.3 of the OPPA
(Conformity with Strategic Documents).
This specific objective will be achieved through interventions aiming at an increase in
availability and quality of education on offer so that it meets the requirements of the labour
market and the knowledge-based society. Support will be provided to initial education and to
strengthening of links between the initial and further education.
Interventions in the secondary and higher vocational education will focus on improvement in
the quality and on the development of individual areas in a manner to meet the requirement of
harmonising the educational offer with the labour market’s needs. One of the activities is
support to prevention of early drop-outs from education as part of preventing people with no
or low qualifications from being unemployed. To facilitate the transition of school graduates
to employment, support will be provided to programmes focusing on the development of
transferable competences and the spirit of entrepreneurship (development of business
education in the curricula of secondary and higher vocational schools). The schools will
establish specialised partnerships with both employers and other similarly focused schools in
the Czech Republic and the EU. The co-operation between schools will be vertical in a
manner ensuring that graduates proceed to the next schooling level with the appropriate
profile. Another aim is to increase the interest in technical and natural science subjects in
university education. Schools will be supported in development of counselling services for
their pupils and students regarding their educational careers or choice of profession, and in
their orientation on the labour market.
The quality of managers and teaching staff is a fundamental condition for improving
education in schools. Teaching staff still need to supplement their knowledge and to include
new methods and forms of teaching. Their knowledge of work with information technologies
and their application in teaching, as well as their knowledge of foreign languages, is
unsatisfactory. The interventions in this area are aimed at developing and implementing
educational products that reflect the real demand and needs of teachers in Prague’s schools.
In university education, emphasis will be given primarily to the development of Bachelor’s
study programmes that prepare graduates directly for work, but also to PhD study
programmes and student exchanges with foreign universities, developing capacities for
implementation of international projects and co-operation with research and development
entities. Schools will expand their information and counselling services for students so that
students get a clearer picture of the range of education on offer.
The education offered by schools should be more involved in lifelong learning. In order to
facilitate access to education for all those interested, schools should also develop distance and
combined study forms. To ensure success of their students on the labour market, schools
should also contribute to the diversity and individuality of afternoon courses that help develop
key skills to be used on the labour market.
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85
Another intervention area is support to integration of pupils with special educational needs
into education. Schools will be enabled to prepare and implement plans for the individual
inclusion of children with special educational needs in ordinary classes, and to draft
comprehensive programmes for such pupils and students, including supplementary or
additional education. The integration measures, in particular for children with serious
behavioural problems, can be implemented through special programmes (e.g. through support
to comprehensive-type facilities) which would precede the integration into an ordinary
teaching environment. These measures should help facilitate the transition to a higher
schooling level, equalise the chances to succeed in life and in work and motivate to lifelong
learning. Identification and education of talented pupils and students is a cross-sectional
theme of this priority axis. With regard to the differences in the quality and quantity of their
talents, talented pupils need a combination of various forms of differentiation of preparation
in the course of their schooling.
Coordination with ESF operations in the Convergence Objective
From the territorial point of view, the activities under priority axis 3 of the OPPA will be
complementary to the activities of the OP EC. National system activities in the area of initial
education will be implemented through the multi-objective priority axis “Lifelong learning
system framework” of the OP EC in the whole of the Czech Republic including Prague.
Moreover, mutual transfers of outputs and best practice from pilot projects will be used.
Coordination of activities will be ensured through close co-operation of Managing Authorities
during selection of the supported projects and through coordination mechanisms described in
detail in chapter 3.3.6.
The delimitation of scopes of the OPPA and the operational programmes under the
Convergence Objective is defined based on territorial eligibility of the specific target group.
The OPPA will therefore support exclusively the target groups with a link to the territory
defined for support in the Regional Competitiveness and Employment Objective – the City of
Prague. It is not admissible to support target groups without any link to the eligible region.
The activity “Development of and quality increase in university education curricula” in
Prague will be supported under the OPPA because of the connection with the programming
period 2004-2006 (SPD 3), since all the necessary coordination mechanisms have been set up
and are running well. Universities are established pursuant to Act No. 111/1998 Coll., on
Higher Education, as amended, according to which development of curricula (i.e. an activity
supported under the OPPA) falls within the independent competence of university education
facilities; the role of the MoEYS is rather of a coordination character in this area. The focus of
calls and direct allocation projects in the areas of the curricula reform and support to
university education facilities will be consulted with the MoEYS.
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86
Table 56 Categories of expenditure – priority axis 3
Code Priority Themes
Lisbon Priority
72
Design, introduction and implementation of reforms in the education
and training systems in order to develop employability, improving the
ü
labour market relevance of initial and vocational education and training,
and continuous improvement of skills of teaching staff with respect to
innovation and the knowledge-based economy
73
Measures to increase lifelong participation in education and vocational
training, among other things through measures focusing on reduction in
ü
the number of people with incomplete education and in gender-based
segregation of subjects, and on increase in access to and quality of
initial, vocational and tertiary education and vocational training
74
Developing human potential in the research and innovation area, in
particular through graduate studies and vocational training of
ü
researchers, and networking activities between universities, research
centres and businesses
Note: In compliance with Council Regulation (EC) No. 1083/2006
Supported activities
Improvement in the quality of education at secondary schools and higher vocational schools –
development and innovation of curricula at secondary schools and higher vocational schools
with respect to flexibility and adaptability of graduates on the labour market (e.g.
development of key and transferable competences, development of distance and combined
learning forms); prevention of early drop-outs from education (e.g. help with completion of
studies); support to facilitating the transition from school to work, e.g. by means of vocational
counselling; enhancement of co-operation between schools and businesses, university
education facilities and research and development institutions; support to afternoon
educational programmes at schools for pupils and students, with emphasis on development of
key and transferable competences; popularisation of science with the aim to increase the
attractiveness of scientific careers for the young generation.
Further education of teaching staff – support to further education programmes in the area of
introducing new methods and forms of teaching, management and evaluation of schools’
work, specific features of work with pupils and students with special educational needs and
work with exceptionally gifted pupils and students, prevention of socially pathological
phenomena, etc.; developing knowledge of foreign languages and computer literacy;
improvement in qualifications of teaching staff.
Development of and improvement in university education curricula – development of
especially the Bachelor’s and PhD curricula with respect to achieving the objectives of the
Bologna Declaration; support to distance and combined learning forms; support to
international co-operation; enhancement of co-operation with businesses and research and
development institutions; development of career counselling and information services on the
educational offer for students.
Support to pupils and students with specific educational needs – support to inclusion of
disadvantaged pupils and students (e.g. socially or health disadvantaged, or with a physical
disability) into the educational programmes of ordinary schools; support to motivational
programmes for pupils and students such as prevention of early drop-outs from the
educational system; support to individualisation of education for gifted pupils and students.
Eligible target groups
Pupils
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24 September 2007
87
Students
Teaching staff
Persons who prematurely left the educational system
Beneficiaries*
Schools
Public institutions
NGOs
Intervention form
Non-reimbursable individual intervention (grants)
Intervention amount
Maximum intervention amount up to 100% of eligible project expenditure
Funding flexibility
With reference to Art. 34(2) of Council Regulation (EC) No. 1083/2006, the priority axis
allocation will be used to finance the measures that fall within the framework of the ERDF
intervention, up to a maximum of 10% of the priority axis allocation. The funding of
operations falling within the ERDF intervention framework will only be used in cases which
will be directly linked to the operations supported by the OPPA as part of ESF intervention
and which will be necessary for their successful implementation.
An indicative list of operations to which Art. 34(2) of Council Regulation (EC)
No. 1083/2006 applies: operations falling within the ERDF intervention framework are, in all
cases, from the area of purchase of facilities and equipment and adaptation or modernisation
of real estate in which activities supported from the ESF are implemented:
− Support to inclusion of disadvantaged pupils and students (in particular due to disabilities)
by refurbishment of educational facilities;
− Improvement in and innovation of curricula at secondary schools, higher vocational
schools and universities by providing equipment and adaptations to real estate used for
education, co-operation with research institutions and businesses;
− Support to further education of teaching staff and professional workers in education by
ensuring the provision of, especially, information and communication technologies, with
the aim of to promote multimedia teaching forms and innovation transfer.
The Managing Authority will monitor and register use of funding flexibility in a manner
allowing for search and identification (audit trail) of the expenditure items entered.
4.4 Priority Axis 4 – Technical Assistance
Specific objective
Ensuring an efficient and effective implementation of the OPPA.
In this priority axis, funding will be provided primarily to activities supporting the
management, implementation, control, monitoring, evaluation and publicity of the OPPA.
*
For a detailed explanation of the individual beneficiary categories, see the Definitions of Terms Used
Operational Programme Prague – Adaptability
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88
Justification of the focus of the priority axis
The focus of this priority axis is based on Council Regulation (EC) No. 1083/2006 and on the
experience gained during implementation of the SPD 3 in the programming period
2004-2006.
Table 57 Codes of priority themes – priority axis 4
Code Priority Theme
85
Preparation, implementation, monitoring and inspection
86
Evaluation and surveys; information and communication
Note: In compliance with Commission Regulation (EC) No. 1828/2006
Lisbon Priority
-
Intervention areas
Programme management support – ensuring the preparation, selection, contracting and
monitoring of projects; provision for and enhancement of administrative capacity; project
audits and checks; provision for the activities of the Monitoring Committee; provision for
operation and development of the electronic management and monitoring system; performing
the duties of the Managing Authority.
Additional activities related to programme implementation – implementation of the OPPA’s
communication plan; preparation and performance of evaluations, analyses and monitoring
studies; strengthening of the absorption capacity.
Beneficiary
Managing authority
Intervention form
Non-reimbursable intervention
Intervention amount
Maximum intervention amount up to 100% of eligible project expenditure
4.5 Monitoring Indicators and Quantified Objectives
The system of monitoring indicators is, in accordance with Council Regulation (EC)
No. 1083/2006, a tool for an efficient monitoring of the progress of implementation of the
operational programme. Monitoring indicators are set at the level of the programme and the
individual priority axes. Context indicators were defined in order to monitor any changes in
the environment in which the operational programme is implemented.
4.5.1 Context Indicators
Context indicators are basic characteristics of the socio-economic environment in the City of
Prague. These indicators can by influenced by programme interventions to a varying extent.
The context indicators were set at the level of the programme for the economic, demographic,
educational and employment areas. The initial values of the context indicators are quantified;
another quantification will be carried out at the end of the programming period which will
describe the changes in the socio-economic environment.
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89
Table 58 OPPA context indicators
Code
Indicator / Definition
Unit
01.09.00
GDP per capita
(in PPS, EU-25 = 100%)
Employment rate / share of
the employed people in
population
Economic activity rate /
share of labour force in 15+
population
%
154
–
–
%
Total
59.9
54.4
51.9
CSO
(SLFS)
%
62.0
70.9
54.0
Employment structure by
sector / share of people
employed in a sector in the
total number of employed
people
Share of businessmen /
share of employers and
self-employed people in the
number of employed people
%
Primary
Secondary
Tertiary
0.6
20.1
79.1
0.9
28.4
70.5
0.3
10.1
89.4
CSO
(SLFS
–
annual
averag
e)
CSO
(SLFS)
%
20.4
27.0
12.5
Population structure by age /
share of specific age groups
in total population
%
0-14
15-64
65 and over
%
Primary
Secondary no cert.
Secondary w/ cert.
Higher
12.4
71.9
15.7
13.3
74.0
12.8
11.6
70.0
18.4
12.9
23.7
41.0
22.4
10.4
27.3
35.2
27.0
15.0
20.5
46.1
18.2
%
3.25
2.80
3.81
07.22.00
07.12.00
07.07.01
07.07.05
07.07.07
07.07.10
05.04.01
05.04.02
05.04.03
06.39.10
06.39.20
06.39.25
06.39.30
07.26.00
Population structure by the
highest level of achieved
education / share in 15+
population
Registered unemployment
rate
Source
Initial value (2005)
Total Men Women
CSO
CSO
(SLFS
–
annual
averag
e)
CSO
(SLFS)
CSO
(SLFS
–
annual
averag
e)
MoLSA
(Labour
Office)
4.5.2 Definitions of Indicators
In accordance with the requirements of the Methodological Working Paper of the European
Commission – Indicators for Monitoring and Evaluation, the indicators have been set at four
levels for the OPPA – i.e. there are the input, output, result and impact indicators.
The system of OPPA indicators has been established in compliance with the proportionality
principle with respect to the limited programme budget and technical assistance sources for
monitoring of the programme implementation progress.
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90
Number of supported
projects
Number of
successfully
supported people
Number of supported
projects
Number of
successfully
supported people
Specific objective 2
Improvement in access to employment of
disadvantaged people and increase in their
participation in the labour market
Specific objective 3
Increase the quality of education and
vocational training for people to meet the
demands of the labour market
Operational Programme Prague – Adaptability
24 September 2007
Number of
programme
intervention activities
Number of supported
projects
Number of
successfully
supported people
Specific objective 1
Increase professional mobility and
adaptability of employees and employers
leading to increase in labour quality and
productivity
Specific objective 4
Ensure an efficient and effective
implementation of the OPPA
Output
Objective
Global objective
Increase competitiveness of Prague by
strengthening adaptability and performance
of human resources and improving access to
employment for all
Table 59 Programme indicators system
Programme
Priority Priority axis Priority axis
axis 3
2
1
Priority axis
4
Project applications
success rate
Education quality level
Employment
accessibility level
Employment
satisfaction level
Result
91
Impact
Rate of participation of the employed people in
further education
Long-term unemployment rate of the elderly
Long-term unemployment rate of young people
Use of private co-financing
Input indicators
The input indicators describe the sources for implementation of the activities supported by the
OPPA in financial terms.
Table 60 Definition of the OPPA input indicators
Indicator title
Definition
Priority axis budget
Total amount allocated to the individual priority axes
Output indicators
The output indicators describe the activities implemented within a project using its budget.
They represent the immediate effects of the funds expended. The entity implementing
a project directly influences achievement of the outputs. The data necessary for monitoring of
the output indicators will be gathered using the project monitoring reports.
Table 61 Definition of the OPPA output indicators
Indicator title
Number of
successfully
supported people
Number of supported
projects
Number of
programme
intervention activities
Definition
Number of people for whom the set of the intervention activities implemented
fulfilled the pre-defined objective specified under chapter 4.5.3
The total number of supported projects which were granted financial
intervention under the OPPA based on an application
The total number of trainings, seminars, workshops and conferences
organised with the purpose of supporting the programme
Result indicators
The result indicators document the progress in fulfilment of the programme’s priority axes.
They describe the long-term effects of the implemented project activities. With respect to the
proportionality principle, monitoring of the result indicators is performed periodically twice in
the programming period (being planned for the years 2011 and 2015). The data sources for
monitoring of the result indicators are evaluation studies.
Table 62 Definition of the OPPA results indicators
Indicator title
Employment
satisfaction rate
Employment
accessibility rate
Education quality
level
Project application
success rate
Definition
Share of the employed people (successfully supported project participants)
who, at least six months after intervention termination, consider their position
on the labour market better (career growth, potential to find a better job)
compared to their situation before the project
Share of disadvantaged people (successfully supported project participants)
employed or continuing in their labour market integration activities at least six
months after intervention termination in the total number of supported people
Share of people (successfully supported project participants) employed at a
position appropriate for the type of their education level, or continuing in
education in the same profession at least six months after intervention
termination in the total number of supported people
Share of financially eligible projects in the total number of project applications
submitted
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92
Impact indicators
The impact indicators express the positive effects leading to the achievement of the
programme’s objective. The impacts of programme implementation take effect after a certain
time period with a varying level of causal connection with the programme activities. The
OPPA impact indicators comply with the NSRF strategic objective 2 “Open, flexible and
cohesive society”.
Table 63 Definition of the OPPA impact indicators
Indicator title
Rate of participation
of the employed
people in further
education
Long-term
unemployment rate
of the elderly
Long-term
unemployment rate
of young people
Use of private
co-financing
Definition
Share of people aged 25-64 who have participated in education and vocational
trainings (in the four weeks preceding the survey) in the relevant population
Share of people unemployed for more than 12 months in the total number of
people aged 50+
Share of people unemployed for more than six months in the total number of
people aged 15-24
Share of private financing used within the supported projects (other than public
resources)
4.5.3 Detailed Breakdown of Indicators
For more detailed monitoring of outputs and results, certain indicators will be broken down in
detail in accordance with the Commission Regulation (EC) No. 1828/2006 providing for the
detailed rules for implementing Council Regulation (EC) No. 1083/2006:
Indicator: number of people supported (07.46)
− Detailed breakdown by gender (men, women);
− Detailed breakdown by position on the labour market (employees, self-employed,
long-term unemployed, other unemployed people, inactive people, inactive people in
education or vocational training);
− Detailed breakdown by age (young people aged 15-24, elderly employees aged 55-64);
− Detailed breakdown by disadvantage (minorities, migrants, the disabled, other
disadvantaged groups);
− Detailed breakdown by the achieved education level (primary ISCED 1 and 2, secondary
ISCED 3, additional study ISCED 4, university education ISCED 5 and 6);
− Detailed breakdown into clients and service providers (only within priority axis 2).
Indicator: education quality level
− Detailed breakdown by gender (men, women).
Indicator: employment accessibility rate
− Detailed breakdown by gender (men, women).
Indicator: employment satisfaction rate
− Detailed breakdown by gender (men, women).
Indicator: long-term unemployment rate of the elderly (07.26)
− Detailed breakdown by gender (men, women).
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93
Indicator: rate of participation of the employed people in further education (06.41)
− Detailed breakdown by gender (men, women).
Indicator: long-term unemployment rate of young people (07.30)
− Detailed breakdown by gender (men, women).
4.5.4 Quantification of Objectives
The objectives have been quantified at the programme and the priority axes levels. The
objective quantification is based on a detailed analysis of the progress in implementation of
SPD 3 in 2004-2006. The quantification is influenced by a change in the methodology for the
monitoring indicators in comparison with SPD 3 where the indicator of the number of people
supported is structured differently, i.e. each person supported is included only once, while in
SPD 3 the analogous indicator represents the number of supports provided.
Operational Programme Prague – Adaptability
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94
Priority axis budget
Number of successfully supported people
Inputs
Outputs
Outputs
Results
07.46.00
49.21.00
07.61.00
Priority axis budget
Number of successfully supported people
Inputs
Outputs
Outputs
Results
07.46.00
49.21.00
07.62.00
Operational Programme Prague – Adaptability
24 September 2007
Employment accessibility rate
Number of supported projects
Title
Type
Code
Table 65 Quantified objectives of priority axis 2
Employment satisfaction rate
Number of supported projects
Title
Type
Code
Table 64 Quantified objectives of priority axis 1
%
pcs
EUR
pcs
Unit
%
pcs
EUR
pcs
Unit
95
-
0
Initial value
(2005)
0
-
0
Initial value
(2005)
0
70
170
Target value
(2015)
37,188,301
2,550
75
230
Target value
(2015)
48,729,498
5,100
Monitoring
periodicity
6 months
6 months
Monitoring
periodicity
6 months
6 months
OPPA
project
monitoring
reports
OPPA
6 months
monitoring
system
evaluation Twice in the
studies programming
period
Data source
OPPA
project
monitoring
reports
OPPA
6 months
monitoring
system
evaluation Twice in the
studies programming
period
Data source
Priority axis budget
Number of successfully supported people
Inputs
Outputs
Outputs
Results
07.46.00
49.21.00
07.63.00
Priority axis budget
Number of programme intervention activities
Inputs
Outputs
Results
48.11.00
07.64.00
Operational Programme Prague – Adaptability
24 September 2007
Project applications success rate
Title
Type
Code
Table 67 Quantified objectives of priority axis 4
Education quality level
Number of supported projects
Title
Type
Code
Table 66 Quantified objectives of priority axis 3
%
EUR
pcs
Unit
%
pcs
EUR
pcs
Unit
-
Initial value
(2005)
0
-
0
Initial value
(2005)
0
55
Target value
(2015)
4,405,949
80
80
170
Target value
(2015)
37,188,301
5,100
Monitoring
periodicity
6 months
6 months
OPPA
statistics of the
Managing
Authority
evaluation
studies
Data source
96
Once a year
Monitoring
periodicity
6 months
6 months
OPPA
project
monitoring
reports
OPPA
6 months
monitoring
system
evaluation Twice in the
studies programming
period
Data source
Programme budget
Number of successfully supported people
Education quality level
Rate of participation of the employed people in
further education
Long-term unemployment rate of the elderly
Long-term unemployment rate of young people
Use of private co-financing
Inputs
Outputs
Outputs
Outputs
Results
Results
Results
Impacts
Impacts
Impacts
Impacts
07.46.00
49.21.00
48.11.00
07.61.00
07.62.00
07.63.00
06.41.05
07.30.03
07.30.00
49.41.13
Operational Programme Prague – Adaptability
24 September 2007
Employment accessibility rate
Employment satisfaction
Number of programme intervention activities
Number of supported projects
Title
Type
Code
Table 68 Quantified objectives of the operational programme
EUR
%
%
%
%
%
%
pcs
pcs
EUR
pcs
Unit
12
13
6.7
-
-
-
0
0
Initial value
(2005)
0
1,500,000
10.5
11.5
12.5
80
70
75
80
570
Target value
(2015)
127,512,049
12,750
Monitoring
periodicity
6 months
6 months
Labour office
registry
Labour office
registry
OPPA
monitoring
system
97
Once a year
Once a year
Once a year
OPPA
project
monitoring
reports
OPPA
6 months
monitoring
system
statistics of the
6 months
Managing
Authority
evaluation Twice in the
studies programming
period
evaluation Twice in the
studies programming
period
evaluation Twice in the
studies programming
period
Eurostat, CSO Once a year
Data source
4.6 Information on State Aid
Based on Art. 9 of Council Regulation (EC) No. 1083/2006, the OPPA is prepared and will be
implemented in compliance with the Community activities, policies and priorities, including
the Competition Policy.
The Managing Authority shall ensure that State Aid under the OPPA be provided in
compliance with procedural and factual State Aid rules applicable at the moment of granting
the relevant State Aid.
Pursuant to Art. 87 and 88 of the EC Treaty, no aid will be granted by the OPPA which would
or could interfere with economic competition in the EU by favouring certain businesses or
certain manufacturing sectors within the framework of trading between the Member States.
The total State Aid provided, regardless of whether it is financed from the EU funds in whole
or in part, will not exceed the relevant ceiling for regional aid determined in accordance with
the map valid at the time the aid is granted and approved by the European Commission for the
Czech Republic, where relevant.
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98
5 IMPLEMENTATION STRUCTURE
At all OPPA implementation stages and wherever possible and practical, the principle of wide
involvement of partners, the proportionality principle, the principle of effective management
with respect to costs, and the good governance principle will be respected.
5.1 Management
5.1.1 Managing Authority
Pursuant to Art. 60 of Council Regulation (EC) No. 1083/2006, the Managing Authority is
responsible for the proper and effective management of the programme in compliance with
legislation of the European Union and with national laws.
Pursuant to Act No. 248/2000 Coll., on Support to Regional Development, as amended, the
Managing Authority of the Operational Programme Prague – Adaptability is the City of
Prague, Prague City Hall, EU Funds Department.
Table 69 Managing Authority of the Operational Programme Prague – Adaptability
Name
Registered
office
City of Prague, Prague City Hall, EU Funds Department
Mariánské nám. 2, 110 01 Prague 1, Czech Republic
The Managing Authority of the operational programme, in particular:
a) Gathers reliable financial and statistical data enabling monitoring of intervention
implementation and transfers the data to the National Coordination Authority (NCA),
or to the Commission, as the case may be, usually in electronic form;
b) Drafts the selection and evaluation criteria for project selection and submits them for
approval to the Monitoring Committee;
c) Ensures that the operations for financing are chosen according to the operational
programme criteria and that they comply with the relevant EU and Czech regulations
for the whole duration of implementation;
d) Ensures the recording and storage of accounting records in electronic form for each
operation that is part of the operational programme, as well as the gathering of data on
implementation of steps necessary for financial management, monitoring, verification,
auditing and evaluation;
e) Ensures that beneficiaries and other entities involved in the performance of operations
maintain an independent accounting system or a corresponding accounting code for all
transactions associated with an operation, without prejudice to domestic accounting
regulations;
f) Verifies the delivery of co-financed products and services, the actual expenditures on
operations reported by beneficiaries, and their compliance with the EU and Czech
regulations;
g) Drafts annual and final reports on the intervention implementation and, after approval
by the Monitoring Committee, submits them to the Commission;
h) Ensures transfer of all the necessary information on procedures and verifications
performed in connection with the expenditures to the Paying and Certifying Authority
for the purposes of confirmation;
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i) Ensures compliance of the supported events with the Community policies;
j) Ensures compliance with the information and publicity requirements (pursuant to
Art. 69 of Council Regulation (EC) No. 1083/2006);
k) Sets the management and control systems in compliance with the valid legislation of
the Czech Republic and the EU and is responsible for the effective and correct
functioning of the systems;
l) Prevents, detects and corrects irregularities;
m) Manages the activities of the Monitoring Committee and provides it with documents
enabling it to monitor the quality of the implementation of the operational programme
with respect to its specific objectives;
n) Sets the procedures to ensure that all documents concerning expenditure and audits
necessary to ensure the appropriate verification record are stored in compliance with
the requirements of Art. 90 of Council Regulation (EC) No. 1083/2006;
o) Ensures that the evaluation of the operational programme be implemented in
compliance with the EU regulations (in particular in compliance with Art. 47 of
Council Regulation (EC) No. 1083/2006).
The OPPA Managing Authority is methodologically supported by the National Coordination
Authority (NCA) which issues instructions and recommendations with the aim to effectively
achieve fulfilment of all of the tasks required.
The Managing Authority will ensure that the granted public contracts or licenses relating to
project co-financed under the OPPA comply with the applicable national public procurement
legislation which conforms to Directives 2004/17/EC and 2004/18/EC of the European
Parliament and of the Council, Regulation (EC) No. 1564/2005, and the Treaty principles.
The description of the management and control systems pursuant to Art. 71(1) of Council
Regulation (EC) No. 1083/2006 and to Art. 21, 22 and 23 of Commission Regulation (EC)
No. 1828/2006 will contain identification of an authority within the management structure
which is responsible for decision-making on costs eligibility.
5.1.2 Paying and Certifying Authority
To implement the intervention from the Structural Funds in the Czech Republic, the Ministry
of Finance was authorised to perform the function of the Paying and Certifying Authority
(PCA) for the Structural Funds pursuant to Czech Government Resolution No. 198 of 22
February 2006.
Table 70 Paying and Certifying Authority
Name
Registered office
National Fund Department, Ministry of Finance of the Czech Republic
Letenská 15, 118 10 Prague 1 – Malá Strana, Czech Republic
The PCA, pursuant to Art. 61 of Council Regulation (EC) No. 1083/2006, performs the
following activities in particular:
a) Administration of the funds provided from the SFs and CF on the accounts established
with the Czech National Bank;
b) Drawing up and submission of interim and final payment requests to the Commission
for all programmes based on the statements of expenditure submitted by the Managing
Authorities;
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100
c) Reception of payments from the Commission;
d) Based on a check of the summary requests submitted by the Managing Authorities,
transfer of money from the SFs and CF to the income accounts of administrators of the
various State budget chapters;
e) Posting of accounting transactions for the PCA as part of the Ministry of Finance’s
accounting unit;
f) Maintenance of a system of financial reporting for the PCA’s funds;
g) Certification of expenditure incurred and drawing up of a certificate of expenditure
that is sent to the Commission together with an interim or final payment request;
h) For the purposes of certification, verification of the correct functioning of the
management and control system at all implementation levels;
i) Performance of on-site inspections;
j) Creation and updating of the methodological guidelines for the certification of the SF
and CF expenditure and for the financial flows and checks of SFs and CF;
k) Return of incorrectly reimbursed expenditure, including interest on them, to the
Commission, unless a decision is made in compliance with the EC rules on their
re-allocation within the programme in which the incorrect drawing occurred;
l) Return of the unused funds to the Commission;
m) Based on the estimates drafted by the Managing Authorities, submission of estimates
concerning payment requests (expenditure forecasts) to the Commission for the
current and subsequent year by 30 April, summarily for all Managing Authorities;
n) Acting in compliance with the management control rules;
o) Responding to the Commission’s comments and recommendations;
p) Ensuring the concept and methodology for development of the IS VIOLA for
performance of the PCA’s functions, including data communication with the SF
monitoring system;
q) Assessment of drawing of the SF and CF allocations, and monitoring of compliance
with the n+2 (n+3) rule, respectively.
5.1.3 Audit Authority
The Audit Authority (AA) was established pursuant to Art. 59 of Council Regulation (EC)
No. 1083/2006 of 11 July 2006 laying down general provisions on the European Regional
Development Fund, the European Social Fund and the Cohesion Fund and repealing
Regulation (EC) No. 1260/1999 (hereinafter the “General Regulation”). Czech Government
Resolution No. 198 of 22 February 2006 authorised the Ministry of Finance to perform the
function of the Audit Authority for the SFs. Based on a decision by the Minister of Finance,
the Central Harmonisation Unit for Financial Control of the Ministry of Finance, which is
functionally independent of the Managing Authorities and the PCA, was assigned to perform
the function of the Audit Authority for the SFs.
Table 71 Audit Authority
Name
Registered office
Ministry of Finance, Central Harmonisation Unit for Financial Control
Letenská 15, 118 10 Prague 1 – Malá Strana, Czech Republic
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101
In compliance with the requirements of the relevant EC and Czech legislation, the Audit
Authority in particular:
a) Ensures a preparedness audit of the programmes’ management and control systems;
b) Submits to the Commission a report assessing the setting-up of the programme’s
management and control systems, including an opinion on their compliance with the
relevant provisions of the EC legislation, before the submission of the first interim
payment request and no later than 12 months after the approval of the relevant
programme;
c) Submits to the Commission, within nine months after the approval of the relevant
programme, an audit strategy including the entities that will perform the audits;
d) Ensures the performance of an audit in public administration for the purpose of
verifying the effective functioning of the programmes’ management and control
systems;
e) Annually submits to the Commission an updated audit strategy, a method of selecting
samples for the audits of operations, and indicative audit planning ensuring the
performance of audits of the main entities and even distribution of audits for the whole
programming period;
f) Annually submits to the Commission a consolidated plan for auditing of the funds
provided from the SFs;
g) Performs quarterly checks of the performance of the consolidated audit plan and
informs the PCA about performance of such plan;
h) Ensures that the PCA receives the results of all audits performed or authorised by the
AA, for the purposes of certification;
i) Ensures the performance of an audit in public administration on a suitable sample of
operations for the verification of expenditure reported to the Commission;
j) Ensures the methodological management of other audit entities involved in public
administration audits in all programmes;
k) Supervises the quality of audits in public administration performed by other audit
entities for projects co-financed from the SFs;
l) Contributes to the formation and updating of the methodological guidelines for the
performance of audits in public administration of the programmes’ funds;
m) Annually, from 2008 to 2015, submits to the Commission an annual control report
containing the findings from audits performed during the previous year in compliance
with the programme audit strategy, as well as shortcomings ascertained in the
programmes’ management and control systems. The information on the audits
performed after 1 June 2015 will be included in the final control report which is
a source document for the declaration for closure;
n) Issues annually an opinion for the Commission on whether the operation of the
management and control systems provides a reasonable guarantee that the statements
of expenditure submitted to the Commission are correct and that the related
transactions are lawful and proper;
o) Participates in audit missions of the Commission to verify aspects of the management
and control system that resulted from the annual control report;
p) Submits a declaration for partial closure in which it assesses the legality and regularity
of the relevant expenditure pursuant to Art. 88 of the General Regulation;
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q) Submits to the Commission, no later than by 31 March 2017, a declaration for closure
in which it assesses the validity of the final payment request and the legality and
regularity of the related transactions included in the final statement of expenditure;
r) Co-operates with the Commission on the coordination of audit plans and audit
methods, and exchanges the results of audits performed with it;
s) Ensures that the internationally recognised audit standards be applied during audit
activities;
t) Performs an analysis of the reported irregularities for the purposes of drafting
declarations for closure or partial closure;
u) Annually drafts a report on the results of financial checks of the programmes for the
Czech government.
The AA is responsible for ensuring the above-mentioned activities and, whilst remaining
responsible, it can delegate the selected activities to other audit entities.
Only one level of authorisation to perform the above-mentioned activities is admissible (i.e.
an audit entity cannot authorise another entity to perform the activities), under a public law
contract.
5.1.4 National Coordination Authority
Based on Resolution of the Government of the Czech Republic of 22 February 2006
(Resolution No. 198), the Ministry for Regional Development was assigned as the NSRF
National Coordination Authority (NCA).
The NCA as the central coordinator establishes a unified framework for implementation of
operational programmes by the Managing Authorities. It supervises the Managing Authorities
in order to ensure effectiveness and legality in management of operational programmes. The
NSRF National Coordination Authority shall:
a) Issue guidelines and methodologies in the areas of management, evaluation
performance, collection and electronic data exchange, establishment and activities of
monitoring committees; control and supervise all activities under the scope of
operational programmes’ Managing Authorities;
b) Monitor implementation of the NSRF and operational programmes and propose
system solutions in case of slow programme implementation, objective
implementation-limiting obstacles or violation of obligations arising from regulations;
c) Ensure compatibility of implementation of the NSRF and OPs with national policies
and EU priorities and compliance of interventions with the national and Community
legislations, in particular in the area of competition, public procurement,
environmental protection, disparities reduction, equal opportunities and
non-discrimination principle, and propose suitable tools for their efficient
implementation;
d) Ensure setting up of a framework for the work of the NSRF Monitoring Committee;
e) Draft the expenditure eligibility rules in co-operation with the PCA;
f) Coordinate and draft reports submitted to the Commission;
g) Ensure preparation of other reports, including the NRP, concerning additional funding
from the SFs and the CF for the Lisbon Strategy;
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h) Submit strategic progress reports pursuant to Art. 29 of Council Regulation (EC)
No. 1083/2006;
i) Ensure setting up of the basic criteria for project selection in order to fulfil the four
NSRF strategic objectives;
j) Establish and ensure operation of the integrated monitoring information system, which
will be used by the Managing Authorities of all OPs, the Paying and Certifying
Authority and the Audit Authority; ensure electronic exchange of documents and data;
k) Perform tasks associated with general awareness about and publicity for
implementation of economic and social cohesion policies; ensure planning,
implementation and coordination of general awareness-raising activities and
coordinate activities of Managing Authorities in this area;
l) Prepare a communication strategy at the national level to ensure transparency of and
full awareness about allocation of intervention from the SFs and the CF, with respect
to the Lisbon Strategy objectives;
m) Ensure activity of the evaluation working group whose members are, apart from the
national coordinator, members of the Managing Authorities of operational
programmes;
n) Guarantee the flow of information from the Commission to all Managing Authorities
and back;
o) Create conditions for evaluation of efficiency of control mechanisms;
p) Supervise compliance with the State Aid (and regional aid) rules amended by the
relevant European and national regulations;
q) Create a methodology for the setting up of indicators and monitoring of their
fulfilment;
r) Monitor fulfilment of the additionality rules and provide information to the
Commission allowing for its verification, as specified under Art. 15 of Council
Regulation (EC) No. 1083/2006;
s) Participate in annual meetings of Managing Authorities of operational programmes
and of the Commission, as stipulated under Art. 68 of Council Regulation (EC)
No. 1083/2006;
t) Ensure that the priorities specified under Art. 9(3) of Council Regulation (EC)
No. 1083/2006 be reflected in implementation of the NSRF operational programmes;
monitoring of the progress in their fulfilment.
5.1.5 Coordination Mechanisms of ESF Programmes
In the programming period 2007-2013, financial intervention from the European Social Fund
will be implemented through three operational programmes: OP HRE, OP EC and OPPA, i.e.
the implementation will be ensured by three Managing Authorities – the Ministry of Labour
and Social Affairs, the Ministry of Education, Youth and Sports, and the City of Prague. The
interconnection and synergy of operational programmes co-financed from the ESF both from
the content and time viewpoint will be ensured during their implementation based on cooperation and mutual coordination of activities, especially using the following mechanisms:
a) Monitoring committees of the individual ESF programmes will be, as applicable,
interconnected through representatives of the identical member organisations;
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b) Managing authorities of the remaining two ESF programmes will be also represented
in the individual monitoring committees;
c) For the purpose of identification and solution of joint problems, a coordination group
of the Managing Authorities of ESF programmes will be established;
d) The central part of the MSC2007 monitoring system for the three operational
programmes will be made accessible for viewing to the Managing Authorities to
ensure mutual awareness about the implemented projects;
e) The communication strategies of the individual operational programmes will include
joint themes – e.g. unified visual identity elements (the ESF logo); the joint website of
the ESF in the Czech Republic (www.esfcr.cz) created in the previous programming
period will remain to be administered, etc.;
f) The joint working groups established in the previous programming period, e.g. the
Working Group for the Roma Community Affairs (this group was established as
a joint working group by the monitoring committees of the OP HRE, SPD 3 and CIP
EQUAL) or the Evaluation Working Group, will continue in their activities.
In compliance with Government Resolution No. 159/1998, the MoLSA has been assigned the
coordinator for the ESF. With respect to the competence of the MoLSA, the member of the
ESF Committee on behalf of the Czech Republic will be the Deputy of the Managing
Authority of the OP HRE. The alternate member in the following programming period will be
the Deputy of the Managing Authority of the OP EC.
The ESF coordination mechanisms will be fulfilled by joint preparation for the meetings of
the ESF Committee, coordination of source documentation preparation, provision of
follow-up information on the results and implementation of the tasks arising from the relevant
meetings. The issues directly impacting the ESF affairs in the Czech Republic will be handled
within the coordination group of the Managing Authorities of OP EC, OP HRE and OPPA.
5.2 Monitoring
With respect to the effective management of programme implementation, the Managing
Authority will monitor the progress of implementing the OPPA at the level of individual
projects, priority axes and the programme as a whole, in relation to fulfilment of the global
and specific objectives. The monitoring indicators specified in chapter 4 will be used to
monitor the progress.
To gather the necessary financial and statistical data at the project level, the Managing
Authority will ensure the operation of a computer-based operations monitoring system.
The purpose of the system is to:
− Provide a tool for an effective programme administration;
− Ensure the collection of material and financial data on project implementation;
− Monitor fulfilment of the monitoring indicators at the level of the individual projects and
priority axes of the programme;
− Provide data for the evaluation of the programme (see chapter 5.3);
− Ensure a data exchange with the central monitoring system and the payment systems.
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5.2.1 Annual and Final Reports
The OPPA Managing Authority is responsible for drawing up of the annual and final reports.
The annual reports are sent to the Commission by 30 June of each year of the programme’s
implementation, however, for the first time in 2008. The final report is sent to the
Commission by 31 March 2017. Before sending the annual and final reports to the
Commission, the reports will be discussed and approved by the Monitoring Committee.
The annual and final reports contain the following information in order to provide an
overview of the operational programme’s implementation:
a) Information on the progress achieved when implementing the operational programme
and the priority axes with respect to the specific and verifiable objectives, with
a quantification, wherever possible, of the physical indicators and the implementation,
result and impact indicators for the given priority axis;
b) Information on the financial implementation of the operational programme; for each
priority axis, the report specifies details of expenditure incurred by the beneficiary and
the corresponding State Aid, the total payments received from the Commission, and
quantification of the financial indicators pursuant to Art. 67(2) of Council Regulation
(EC) No. 1083/2006;
c) In the relevant cases, the information on financial implementation in areas receiving
transitional aid is specified separately in the operational programme;
d) Information on financial implementation by intervention areas received by the
Commission pursuant to the procedure laid down in Art. 103(3) of Council Regulation
(EC) No. 1083/2006;
e) The steps taken by the Managing Authority and the Monitoring Committee to ensure
quality and effectiveness of implementation, in particular:
1) Measures for monitoring and evaluation, including data gathering measures;
2) A summary of significant problems in implementation of the operational
programme and all measures adopted, including response to comments made pursuant
to Art. 68 of Council Regulation (EC) No. 1083/2006;
3) Use of technical assistance;
f) Measures adopted to ensure the awareness about and publicity for the operational
programme;
g) Declaration of conformity with the Community law when implementing the
operational programme, or a statement of all problems and measures to resolve them;
h) The achieved state and the financing of major projects and global grants;
i) Information on the rules that govern the granting of preferential financing in areas
with a natural disadvantage;
j) Use of support returned to the Managing Authority or other public authority during the
implementation of the operational programme.
5.2.2 Computer Monitoring System
Based on Council Regulation (EC) No. 1083/2006, requirements of the Commission for the
monitoring of programmes co-financed from the EU funds, requirements of the National
Coordination Authority, requirements of the Paying and Certifying Authority and based on
Resolution of the Government of the Czech Republic No. 198/2006, the Monitoring System
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Central (MSC2007) was prepared as at 1 January 2007. MSC2007 will be used by the
Managing Authority for an effective monitoring of the progress in implementation of the
OPPA projects and as a programme management tool. The system will be also used by the
Paying and Certifying Authority and other entities in the implementation structure.
The monitoring system’s IT solution is based on the solution used in the programming period
2004-2006. Based on the experience gained during the implementation of projects, the system
is modified and new monitoring, management and evaluation tools are incorporated into it.
The monitoring system will provide for monitoring of the following activities:
§ Drawing of funds from the relevant European funds;
§ Drawing of the national co-financing funds;
§ Monitoring, evaluation and controlling activities;
§ Communication with the Commission – the SFC2007 database and other databases;
§ Provision of data for the Commission’s standard monitoring table;
§ Data monitoring at the beneficiary level;
§ Connection to the relevant public administration systems;
§ Fulfilment of the monitoring indicators (fulfilment of the defined objectives).
The monitoring system consists of the following levels. Users at all levels will access the
monitoring system via the Internet. Data will be regularly transmitted among all of the
system’s levels.
Figure 72 Scheme of the system for monitoring of the structural operations in Prague
European
Commission
SFC2007
CEDR
MfRD
MoF
MSC2007
VIOLA
ISPROFIN
City of
Prague
Monit2007
Ginis
Beneficiary
Benefit7+
Source: FEU, Prague City Hall
SFC2007
Joint database of the Structural Funds of the Commission. Based on the Commission’s
requirements, the transmission is based on the MSC2007 interface which is operated by the
NCA.
MSC2007
MSC2007 represents the central level of the monitoring system for the Managing Authorities,
NCA and PCA operated on the equipment of the Ministry for Regional Development.
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Development, operation, maintenance and user support are provided by the Monitoring
System Administration Department of the MfRD. The system allows for the physical and
financial monitoring of programmes and projects at the central level, performance of financial
flows and electronic data exchange with the subordinated levels of the information monitoring
system, with the information systems of the Ministry of Finance (especially with the Viola,
CEDR and ISPROFIN systems) and with the Commission’s database SFC2007.
Monit2007
The Monit2007 level of the information system will be used for the programme management
and project administration. The Managing Authority is responsible for administration of the
relevant part of the Monit7+ monitoring system. The Managing Authority also provides
up-to-date information on the state of the programme and the projects all the way through the
implementation of the programme and the individual projects. The Monit2007 system is
connected to the accounting system of the City of Prague (Ginis).
Benefit7+
The purpose of Benefit7+ is to support the performance of the monitoring system of the
Czech Republic at the beneficiary level. Benefit7+ is a beneficiary’s web account used for
submission of application forms and for all data communication between the Managing
Authority and the beneficiary. The web-based application will be operated at one central point
(in the MfRD’s technical infrastructure) including the transmission of data from the
web-based application and the Monit2007 system.
The uniform monitoring system should start operating on 1 January 2009 (pursuant to
Government Resolution No. 198/2006). This system will be interconnected from the data and
software viewpoints and will replace the current three-tier monitoring system. The uniform
monitoring system will be pilot-tested during the year 2008 and its launch is planned for
1 January 2009. The Managing Authority will be responsible for the provision of data from
the current levels of the SF monitoring system in the relevant structure, form and on the
defined dates (ensuring thus compliance with the Commission’s requirement for transmission
of all the necessary information in a uniform format).
5.2.3 Joint Monitoring Committee
With the aim to ensure synergy and interconnection during implementation and monitoring,
the Joint Monitoring Committee (JMC) will be established for the purposes of the OPPA and
the OPPC. The JMC will be established no later than three months after the approval of the
operational programme based on a proposal by the Managing Authority. The JMC will be
established following consultations with the relevant social and economic partners and whilst
respecting the principle of balanced representation of men and women.
The JMC is set up based on the partnership principle and consists of representatives of the
partner Managing Authorities, representatives of the City of Prague, representatives of other
partners, including social partners, and representatives of the Paying and Certifying Authority.
The number of members of the JMC and its competences are laid down in its Statutes and the
Rules of Procedure. When appointing the members of the individual entities represented, the
principle of equal representation of men and women will be taken into account, where
possible. The members of the JMC are appointed by the Council of the City of Prague based
on proposals made by the individual bodies and social partners. The meetings of the JMC are
attended by a representative of the Commission, as a guest.
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Pursuant to Art. 65 of Council Regulation (EC) No. 1083/2006, the Joint Monitoring
Committee shall, in particular:
a) Consider and approve the criteria for the selection of operations financed from the
operational programmes within four months after the operational programme’s
approval. The selected criteria shall be reviewed according to the programme needs;
b) Regularly review the progress made towards fulfilment of the operational
programme’s specific objectives based on the documents submitted by the Managing
Authority;
c) Verify the results of implementation, in particular the achievement of the objectives
set for each priority axis, and evaluation;
d) Consider and approve the annual and final implementation reports before sending
them to the Commission;
e) Be informed about the annual control report and all potential comments of the
Commission after the report is reviewed;
f) Upon the request by a Member State, be informed about the annual report pursuant to
Art. 67 of Council Regulation (EC) No. 1083/2006;
g) Be able to propose to the Managing Authority any modifications to or reviews of the
operational programme that could facilitate the achievement of the objectives of the
funds specified in Art. 3 of Council Regulation (EC) No. 1083/2006 or improve its
management, including financial management;
h) Consider and approve all proposals to amend the content of the Commission’s
decision on the contribution from the funds.
Table 73 Indicative composition of the Joint Monitoring Committee
Institution
Prague City Council
Prague City Assembly
OPPA Managing Authority
OPPC Managing Authority
Ministry of Labour and Social Affairs
Ministry of Education, Youth and Sports
Ministry for Regional Development – NCA
Ministry of Finance – PCA
Ministry of Finance – AA
Ministry of Transport
Ministry of the Environment
Ministry of Industry and Trade
Czech Statistical Office
Economic Chamber
Professional education institutions
Universities
NGOs
Equal opportunities
Research and development
Employers
Trade unions
Municipal districts of the City of Prague
European Commission (DG Employment, DG Regio)
Number of members
1
4
1
1
1
1
1
1
1
1
1
1
1
1
2
1
2
1
1
1
1
2
2*
Note: * guests
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5.3 Evaluation
The OPPA is evaluated pursuant to the obligations specified in Art. 47 through 49 of Council
Regulation (EC) No. 1083/2006, pursuant to the Commission’s methodological guidelines
and pursuant to the NCA’s guidelines. The Managing Authority will be responsible for
organisation of the whole evaluation process. It will be responsible for drafting of the brief for
the evaluation, for selection of independent external advisors, and for monitoring of the
performance of the evaluation tasks. The results of the individual evaluations will be publicly
accessible in a manner providing for transparency of the programme implementation and the
transfer of the experience gained.
The aim of the evaluation, in connection with Art. 47(1) of Council Regulation (EC)
No. 1083/2006, is to increase the quality and effectiveness of the intervention provided from
the EU funds and its consistency with the objectives of the EU and the Czech Republic; to
improve the strategy and to make the implementation of the operational programme more
effective; to review the specific structural problems in the Czech Republic and sustainable
development in relation to the subject of the OPPA.
Pursuant to Art. 48(2) and (3) of Council Regulation (EC) No. 1083/2006, this includes:
− Ex-ante evaluations;
− Ongoing evaluations, ad-hoc evaluations during the implementing period based on the
monitoring findings (deviations from the objectives, review requirements, etc.);
− A summary evaluation for the strategic reports pursuant to Art. 29(2) of Council
Regulation (EC) No. 1083/2006.
5.3.1 Ex-ante Evaluations
The Managing Authority ensures the performance of ex-ante evaluations as a process parallel
to the drafting of the operational programme. The aim of the ex-ante evaluation is to improve
the quality of programming. The evaluation determines and assesses the medium-term and
long-term needs, objectives to be achieved, the expected results, the quantified objectives, or
cohesion of the strategy proposed for the region, the Community’s added value, the extent to
which the Community’s priorities are respected, the findings from the previous programming
and the quality of the procedures of implementation, monitoring, evaluation and financial
management. A summary of the ex-ante evaluation performed for the OPPA is included in
chapter 3.6.
5.3.2 Ongoing and Ad-hoc Evaluations
Ongoing evaluations will be performed for the purposes of managing the programme and
evaluating the course of implementation. The aim of these evaluations is to assess the
previous development in implementation of the operational programme with respect to its
objectives and its compliance with the Community Strategic Guidelines and the National
Strategic Reference Framework. The evaluation results are discussed by the programme’s
Monitoring Committee. The ongoing evaluation outputs can be used for the preparation of
annual reports on the implementation of the National Reform Programme and also in 2009
and 2012 for the preparation of reports pursuant to Art. 29(2) of Council Regulation (EC)
No. 1083/2006.
Should the results of the operational programme monitoring during its implementation reveal
significant deviations from the objectives set in the programme, the Managing Authority will
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perform an ad-hoc evaluation of the programme with the aim to identify the causes and to
propose a solution for the programme’s further implementation. The results of the ad-hoc
evaluation will be discussed by the programme’s Monitoring Committee and sent for
information to the European Commission.
5.3.3 Ex-post Evaluations
Performance of an ex-post evaluation is under the responsibility of the Commission in cooperation with the Managing Authority which will arrange for the collection of the necessary
data. The ex-post evaluation will include all the operational programmes for the relevant
objective and examine the extent to which resources were used, the practicality and efficiency
of fund programming, the socio-economic impact and the impact on the Community’s
priorities. The ex-post evaluation will be completed by 31 December 2015.
Apart from the above-mentioned activities, parts of the OPPA will be evaluated within
evaluations performed by the NCA (in compliance with the NCA’s Evaluation Plan) and the
Commission. The Managing Authority will provide full co-operation during performance of
these evaluations.
5.3.4 Evaluation Procedures
The OPPA’s evaluation obligations include:
− Drafting, implementation, updating and evaluation of the evaluation schedule (in
connection with the Evaluation Plan for the Czech Republic created by the NCA);
− Provision for ex-ante, ad-hoc, ongoing and strategic evaluations;
− Provision of funds and data for evaluations performed and organised by the NCA, in
particular for strategic reports in 2009 and 2012, for the ex-post evaluation performed
by the Commission, and the ex-ante evaluation in 2014+;
− Active co-operation with the evaluators at the national level (with the NCA’s
Evaluation Unit) and at various levels of the OPPA implementation and at various
levels of implementation of the Structural Funds and the Cohesion Fund in the Czech
Republic;
− Publishing of the evaluation results pursuant to the requirements of Art. 47(3) of
Council Regulation (EC) No. 1083/2006.
5.4 Financial Management
The system of financial flows is described in the “Methodology for Financial Flows and
Controls of the Structural Funds, the Cohesion Fund and the European Fisheries Fund for the
Programming Period 2007-2013”, issued by the Ministry of Finance. The Ministry of Finance
administers the funds provided by the Commission to finance the programmes of the
Structural Funds and the Cohesion Fund.
Funds from the European Social Fund will be sent by the Commission to the Paying and
Certifying Authority’s account. Within the Paying and Certifying Authority, the resources
from the Structural Funds and the Cohesion Fund are managed by the Financial Management
and Payments Methodology Department, which will also perform transfers of money from the
Structural Funds and the Cohesion Fund to the State budget.
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The OPPA financial flows system is ensured through a flow of funds from the State budget.
The monies for the beneficiaries, corresponding to the amounts of funding from the EU funds,
will be provided from the State budget chapter of the Ministry for Regional Development.
This expenditure will then be refunded to the Ministry for Regional Development from the
ESF funds sent by the Commission to the account of the Paying and Certifying Authority. The
Ministry for Regional Development will provide the resources corresponding to the amounts
of funding from the EU funds to the City of Prague which will make them available to the
OPPA beneficiaries based on the submitted requests. The requests will be submitted only in
CZK.
The relationships between the State budget and the budget of the City of Prague are under the
responsibility of the Ministry for Regional Development.
System of the Structural Funds financial flows
Payments to the beneficiaries will be made in the form of ex-post payments (reimbursement
of the already incurred expenditure to the beneficiary), or ex-ante payments (in the form of
advance payments provided for project implementation from Prague’s budget). The decision
on the form of payments to the beneficiaries within the OPPA will be made by the City of
Prague.
1. Based on the incurred expenditure1 the beneficiary issues a request for the
reimbursement of funds from the budget of the City of Prague (corresponding to the
EU contribution and the contribution from the national public resources); such request
is submitted to the Managing Authority for review and approval;
2. The Managing Authority approves the beneficiary’s request and instructs the financial
unit of the City of Prague to make the payment to the beneficiary’s account (the
function of the financial unit is assigned to the Accounting Department of the Prague
City Hall which is responsible for financial issues, while the EU Funds Department
performing the function of the Managing Authority is responsible for the external
relations);
3. The financial unit of the City of Prague makes the payment from Prague’s budget to
the beneficiary’s account;
4. Based on payments made from Prague’s budget, the Managing Authority issues
a summary request for payment of funds from the Structural Funds from the account
of the Paying and Certifying Authority to the relevant State budget chapter;
5. The Paying and Certifying Authority checks the submitted summary request, settles it
(the decisive date for determination of the exchange rate for conversion of funds from
CZK to EUR is the date of settlement by the Paying and Certifying Authority) and
then transfers the money from the Structural Funds to the relevant State budget
chapter;
6. After certification, the Paying and Certifying Authority asks the Commission to
replenish its account;
7. The Commission approves the request and sends the money to the Paying and
Certifying Authority’s account.
1
In case payments to beneficiaries are made ex-ante, the beneficiary submits a declaration of expenditure from
the funds provided by the City of Prague as part of its request for the reimbursement of funds from the State
budget.
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5.5 Financial Control System
The Ministry of Finance as the central administration authority for financial control pursuant
to the relevant provisions of Act No. 2/1969 Coll., on Establishment of Ministries and Other
Central State Administration Bodies of the Czech Republic, as amended, methodologically
manages, coordinates and ensures the performance of financial control within the operational
programme. The current Czech and EC legislation is the starting point for the issuance of
partial methodological guidelines which are consulted with the relevant bodies of the
Commission.
In the control system, the system of control in public administration and management controls
must be clearly separated from the system of internal audits and audits in public
administration.
5.5.1 Controls in Public Administration
The Managing Authority is responsible for the management and implementation of the
operational programme in compliance with the principle of proper financial management, and
therefore makes sure that operations are chosen for financing in compliance with the criteria
for the operational programme and that they are implemented in compliance with the relevant
Community and national legislation throughout their duration. The MA ensures the
performance of controls within the primary system by verifying the delivery of the
co-financed products and services and the actually incurred expenditure for operations
reported by the beneficiaries. The MA ensures the existence of a system for recording and
storing accounting records in an electronic form for each operation, and collection of data for
audits. The MA’s task is also to ensure that the procedures and all documents concerning
expenditure and audits of the operational programme be available to the Commission and the
European Court of Auditors for three years after the closure of the operational programme.
5.5.2 Internal Control System
All authorities participating in implementation of the operational programme will have the
necessary management and control system that will be in compliance with national legislation
and able to timely identify administrative, system or intentional errors, and to create
conditions for preventing generation of errors.
Management controls
Management controls are performed by the responsible managers. They form part of the
internal management of all entities involved in the operational programme’s implementation,
the preparation of operations before their approval, the ongoing monitoring of operations until
their final settlement, and the final settlement, billing and subsequent verification of the
selected operations within the evaluation of results achieved and the correctness of the
financial management.
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With respect to the principles of an efficient and effective management and control system in
the course of implementation of the programme, it will be ensured that:
a) Specific functions are clearly defined for all entities involved in the management
and control of the programme, both within the whole implementation system and
within each entity separately;
b) The principle of separation of payment, management and control functions between
the individual entities involved in programme implementation and within the
entities as such is complied with;
c) There are clear procedures ensuring the correctness and eligibility of the
expenditure reported in the programme;
d) There are reliable accounting systems, monitoring systems and financial reporting
systems;
e) There is a system for submitting reports on the implementation of the programme,
projects and monitoring;
f) Measures are adopted for performing an audit of the performance of the
management and control system;
g) The systems and procedures ensuring source documents for an audit (an audit trail)
are introduced and defined;
h) There are procedures for reporting and monitoring of any irregularities, and for
recovering the amounts paid out in an unjustified manner.
For each level of management and implementation of the programme, an internal control
system manual will be drafted in the form of managed documentation that will contain
a detailed description of working procedures for the activities performed.
Internal audit
The Internal Audit Unit (of the Chief Executive’s Office Department of the Prague City Hall)
is functionally independent and organisationally separated from the OPPA’s management and
executive structures and will be subordinated to the Chief Executive of the Prague City Hall.
The Internal Audit Unit checks the internal control system at regular intervals. Its activities
includes, among other things, checks of the performance of the basic requirements for the
internal control system. An important part of its work is also the delivery of recommendations
for enhancing the quality of the internal control system, for preventing or mitigating risks and
for taking measures to remedy the identified shortcomings, and consultations.
Reports on the internal audits performed regularly at the various levels of implementation will
be submitted to the relevant public administration management body. A uniform approach to
the audit at all levels of implementation and the reporting of audit findings will constitute the
basis for risks management at the Managing Authority level.
5.5.3 Audits in Public Administration
The AA is responsible for performing audits in public administration (secondary and central
system) at all levels of utilisation of funds from the operational programme, pursuant to Act
No. 320/2001 Coll., on Financial Control in Public Administration and on Amendment to
Certain Acts, as amended, and pursuant to the directly applicable legislation of the European
Communities. Within the secondary system, it also checks the efficiency of the financial
management and control system and subsequently tests the correctness of the risk transactions
in compliance with the permissible risk level for the primary system area. Within the central
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system, the AA, based on the residual risk, verifies and assesses the adequacy and efficiency
of operation of the primary and secondary systems and audits a sample of the operations.
5.5.4 Controls by the Supreme Audit Office
The Supreme Audit Office is entitled to perform independent control activities within the
meaning of the relevant provisions of Act No. 166/1993 Coll., on the Supreme Audit Office,
as amended.
5.5.5 Audit Activities Performed by the European Commission’s Bodies
and the European Court of Auditors
The Commission will make sure that management and control systems have been introduced
to the operational programme and work well in compliance with Art. 72(1) of Council
Regulation (EC) No. 1083/2006. This audit is performed by the Commission based on the
annual control reports, the Audit Authority’s opinion on the reports, and based on its own
audits.
With the purpose of protecting the EU’s financial interests, the European Anti-Fraud Office
performs on-site inspections in order to fight against frauds, corruption and any other illegal
activities.
Within its competences, the European Court of Auditors performs independent and separate
controls resulting from its remit.
5.5.6 Irregularities
All bodies participating in the implementation of the operational programme are obliged to
report any suspected irregularities to the MA. The MA investigates the suspicions and refers
those that prove to be justified, based on the control findings, to the relevant bodies in order to
initiate administrative or court proceedings. The reports by the control bodies must be always
considered justified.
At the same time, the MA is responsible for reporting the justified suspicions to entities
involved in the external reporting level. The MA is obliged to provide information about the
irregularities pursuant to the provisions of Section 4 of Commission Regulation (EC)
No. 1828/2006. The MA will send the reports to the European Anti-Fraud Office and to the
Attorney’s General office, and for information also to the AA and the PCA.
5.6 Basic Principles of Project Selection
With respect to the experience gained in the programming period 2004-2006, the size of the
financial allocation for the programme and from the viewpoint of management transparency
and effectiveness, the following implementation system is applied.
The funds are allocated to the projects using the following two distribution mechanisms:
− Direct allocation: The funds for individual comprehensive projects (projects whose nature
globally deals with some of the activities of the programme and whose character requires
Operational Programme Prague – Adaptability
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115
that they be ensured in a uniform manner throughout Prague, i.e. this mostly applies to
projects of a systematic character) will be provided by direct allocation to the pre-defined
beneficiaries; comprehensive projects can be implemented as public contracts announced
by the beneficiary; the funds for technical assistance projects will also be provided by
direct allocation – the Managing Authority will be the beneficiary;
− Grants: Grants will be used to provide funds for implementation of individual grant
projects while the programme only defines a group of potential beneficiaries; the
beneficiaries can implement the grant projects with their own resources, by delivering
services and/or by a combination of the previous two tools.
Programme partnerships will be set up to coordinate the factual focus of the grants and the
comprehensive projects. The following will be represented in the programme partnerships: the
Managing Authority, designated beneficiaries, social and economic players and NGOs.
Figure 74 Simplified OPPA implementation scheme
Managing authority
Capital City of Prague
FEU, ESF Dept.
Direct allocation
Designated
beneficiaries
Capital City of Prague
Calls for proposals
Beneficiaries
Indiv. comprehensive
projects
Individual grant
projects
Direct allocation
Managing authority
Capital City of Prague
FEU
Tech. assist.
projects
5.7 Information and Publicity
The OPPA’s information activities and publicity will be performed pursuant to Art. 69 of
Council Regulation (EC) No. 1083/2006 and with the procedures and principles stipulated in
chapters I through III of the Implementing Regulation (EC) with the aim to ensure
a maximum degree of transparency in drawing of funds for this programme and to inform the
widest possible public. These activities will be financed under the OPPA priority axis 4
“Technical assistance”.
Ensuring the publicity and dissemination of information about the OPPA will take place in
coordination with other programmes drawing of the Structural Funds in the Czech Republic.
Strong co-operation in the area of information and publicity will be established with other
programmes drawing of the European Social Fund. The communication strategy of OPPA,
OP HRE and OP EC will include joint themes (e.g. unified visual identity elements such as
the ESF logo, administration of the joint website of the ESF in the Czech Republic, joint
annual conferences to present the results of the programmes under way). Information and
Operational Programme Prague – Adaptability
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116
publicity activities will also be performed in co-operation with the Commission which will be
regularly informed by the annual OPPA implementation reports about the measures adopted
in this area.
5.7.1 Communication Plan and Experience Exchange
Pursuant to Art. 2 of the Commission Regulation (EC) No. 1828/2006, the Managing
Authority will prepare an OPPA Communication Plan no later than four months after the
approval of the programme. The Communication Plan will be a joint document for the
Operational Programmes Prague – Adaptability and Prague – Competitiveness.
The Communication Plan (CP) will contain information on:
•
The plan’s objectives and target groups;
•
The strategy and focus of the information and publicity activities (these measures will
be taken with respect to the added value of the EU intervention at the national,
regional and local levels);
•
The financial plan of the CP;
•
The entity responsible for implementation of the information and publicity activities;
•
The procedure for evaluation of the information activities and publicity with respect to
the criteria of transparency, awareness of the OPPA and informing about the EU’s role
in the programme.
The Managing Authority will ensure that the CP implementing tools correspond to the
information needs contained in the plan.
The Managing Authority will regularly inform about progress in implementation of the CP.
Annual reports and the final report on implementation of the OPPA will contain examples of
information and publicity measures implemented. The 2010 annual report and the final report
will also contain an evaluation of such activities. The subject and reason for any amendment
to the OPPA’s CP will be explained in detail in the annual report.
The Commission will be informed about the persons (person) whom the Managing Authority
appoints as responsible for the implementation of the OPPA information activities and
publicity. Within the network of such representatives, the Managing Authority will co-operate
with the Commission with the aim of ensuring an exchange of experience with
implementation of the CP and, in particular, an exchange of best practice.
5.7.2 Publicity for Potential Beneficiaries
In compliance with the CP, the Managing Authority will ensure that the information about
opportunities to obtain intervention from the Community funds and the national and regional
funds of the Czech Republic through the OPPA is transmitted to the widest possible public.
OPPA publicity will always contain information about the EU contribution share, the
involvement of the European Social Fund, and will be performed with the aim of ensuring
maximum accessibility of information to all stakeholders.
The Managing Authority shall ensure that potential beneficiaries receive clear and transparent
information, in particular about:
•
The applicable eligibility rules for the OPPA;
Operational Programme Prague – Adaptability
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117
•
•
•
The applicable procedures and the duration of the evaluation of applications from the
programme;
The criteria for the selection and evaluation of the applications;
Contact details of the entities providing information about the programme at the
national, regional or local levels.
The Managing Authority will co-operate with the local and regional public administration
bodies, trade union associations, economic and social partners, NGOs, representatives of the
business sector, EU information centres and the Commission’s representation in the Czech
Republic in information and publicity activities.
5.7.3 Public Awareness
Together with the OPPA beneficiaries, the Managing Authority will inform the public about
the supported operations and the progress in their implementation. Information activities will
be implemented with the help of all suitable communication forms and methods, with respect
to the regional validity of the OPPA and in compliance with the CP. The Managing Authority
will attempt to obtain the widest media coverage possible and, in compliance with Art. 7 of
the Implementing Regulation (EC), it will ensure, among other things:
•
An information campaign about the launch of OPPA implementation;
•
Information about the programme’s interim results once a year;
•
Publication of a list of beneficiaries, including the titles of the operations supported
and the amount of public funding.
Pursuant to Art. 8 of the Implementing Regulation (EC), the beneficiaries will be obliged to
provide information about the intervention obtained from the European Social Fund in a
manner specified in Art. 8 and 9 of the above-mentioned regulation.
The implementation structure authorities, too, will act in compliance with Art. 9 of the
Implementing Regulation (EC) when implementing the information and publicity activities,
i.e. they will use the European flag in the prescribed format and refer to the European Social
Fund using the phrase: “European Union: European Social Fund”.
5.8 Electronic Data Exchange with the European Commission
Electronic data exchange with the Commission’s SFC2007 system is ensured by a transfer
from the MSC2007 database using a technical interface and Internet services within the extent
specified by Council Regulation (EC) No. 1083/2006 and Regulation No. 1198/2006.
A special module was created in the MSC2007 database allowing for data authorisation by
entities responsible for management and coordination of the EU funds programmes. This
module generates and exports the validated data of the Managing Authorities, the Paying and
Certifying Authority and the NCA through the Internet services to the Commission’s
SFC2007 database. The module meets the Commission’s eGovernment requirement.
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118
6 FINANCIAL PLAN
The financial framework is based on the National Strategic Reference Framework, in
compliance with the conclusions of the European Council meeting of 15-17 December 2005
when the total allocation proposed for the Czech Republic for the Regional Competitiveness
and Employment Objective was increased by EUR 200m (Council conclusions
paragraph 46b). Therefore, in 2004 prices, the total amount of EUR 372m was allocated to the
City of Prague region. In current prices (using a fixed deflator by 2% a year pursuant to item
16 of the Interinstitutional Agreement), the total allocation available for the Regional
Competitiveness and Employment Objective is EUR 419.1m. A part of the funds for the
Regional Competitiveness and Employment Objective is allocated to multi-objective
operational programmes of the Convergence Objective. The allocation for the OP Prague –
Adaptability from the EU budget is EUR 108.3m in current prices.
6.1 EU Funds Contribution
Table 75 Financial plan in terms of annual allocations from the individual Structural
Funds (in EUR, current prices)
2007
2008
2009
2010
2011
2012
2013
Total 2007-2013
Structural Funds
(ESF)
1
14,579,111
14,870,693
15,168,107
15,471,469
15,780,898
16,096,517
16 418 447
108,385,242
Cohesion Fund
2
0
0
0
0
0
0
0
0
Total
3=1+2
14,579,111
14,870,693
15,168,107
15,471,469
15,780,898
16,096,517
16,418,447
108,385,242
The NUTS 2 region – the City of Prague – is not a region eligible for specific and transitional
financing from the Structural Funds pursuant to Art. 3(2) of Council Regulation (EC) No.
1083/2006.
Operational Programme Prague – Adaptability
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119
Fund/cofinancing rate
108,385,242
7,309,425
5,578,245
5,578,245
660,892
c
d
0 127,512,049
0 48,729,498
0 37,188,301
0 37,188,301
0 4,405,949
d=a+b
National Total funding
National
private
public funding
funding
19,126,807 19,126,807
7,309,425
5,578,245
5,578,245
660,892
b(=c+d)
a
41,420,073
31,610,056
31,610,056
3,745,057
National
resources
Community
funding
85%
85%
85%
85%
85%
e=a/d
Co-financing
rate
1,500,000
0
0
0
Other
sources
0 1,500,000
EIB
For information
Operational Programme Prague – Adaptability
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120
The national co-financing of the operational programme from public funds is expected to be 7.5% from the Czech State budget and 7.5% from
the budget of the City of Prague.
Notes:
Numbers of the priority axes in this table (unlike in the text of the operational programme) comply with their numbers
in the national information system MSC2007 where the OPPA was assigned the serial number 17; the system automatically generates numbers
to all priority axes.
Total
1 Support
to
development
of
knowledge-based economy
ESF/public
2 Support to entry onto labour market
ESF/public
3 Modernisation of initial education
ESF/public
Technical
assistance
ESF/public
4
Priority
Priority axis title
axis
numbe
r
Indicative breakdown of
national funding
Table 76 Financial plan by resources and priority axes (in EUR, current prices)
6.2 Programme Budget by Priority Axes
6.3 Indicative Breakdown of the Community Contribution by
Category
Table 77 Indicative breakdown of the Community contribution by category (in EUR)
Theme 1
Priority Theme
Code
Amount
62
68
69
71
72
73
74
85
86
Total
Theme 2
Form of financing
Code
Amount
01
26,160,000
7,620,073
4,360,056
27,250,000
18,530,000
8,720,056
12,000,000
2,808,700
936,357
108,385,242
Total
Operational Programme Prague – Adaptability
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Theme 3
Territory
Code
108,385,242
108,385,242
01
Total
Amount
108,385,242
108,385,242
121
7 DEFINITIONS OF TERMS USED
Term
Definition
Addicts and persons at Persons who cannot get by without a certain substance (alcohol, drugs) or
activity (e.g. gamblers) or people who are in an environment that could induce
risk of addiction
such an addiction.
Business entities
Disadvantaged
persons
E-government
Employees
Employers
Ethnic minorities
Initial education
Intervention
A business entity is a person involved in independent gainful activity or a legal
entity established for the purpose of doing business (i.e. a trading company),
including small and medium-sized enterprises. The types of commercial
companies are: general commercial partnership, limited partnership, limited
liability company and joint stock company.
Disadvantaged persons is an aggregate term that includes members of ethnic
minorities, the long-term unemployed, young people under 25, young people
leaving institutional facilities, the low-qualified, victims of criminal activity,
persons without shelter, persons caring for a dependent family member,
persons having completed sentence, addicts and persons at risk of addictions,
persons over 50 and the disabled.
The use of information and communication technology in public administration
in combination with organisational changes and new skills for the purpose of
improving the services provided, developing democratic processes and
strengthening support for public policies.
Employees are persons who are in a labour law or service relationship,
provided they perform work for more than half the set weekly working hours
and their monthly earnings are more than half the minimum wage, or, in the
event they perform activities based on agreements on work done outside an
employment relationship, provided the monthly wage or average monthly
wage is higher than half the minimum wage.
An employer is a legal entity or person involved in independent gainful activity
that employs individuals in labour law relations (or in similar relations – e.g.
work relationships between a co-operative and its members). Employers act
on their own behalf in labour law relationships and have the responsibilities
resulting from such relationships.
Members of ethnic minorities, including the Roma communities and persons
from a different socio-cultural environment.
Initial education pursuant to Act No. 435/2004 Coll., on Employment, as
amended, includes all professional preparation at schools before starting work
experience which is part of the mandatory school curriculum and systemic
preparation for future profession.
Any activity financed from a project budget that benefits the target groups.
Intervention can have the form, for example, of an educational or requalification course, internship, specialist consultations, advice, training,
education, work experience, etc.
Job seekers
In accordance with S. 24 of Act No. 435/2004 Coll., on Employment, as
amended, a job seeker is an individual who personally asks the labour office in
whose administrative area he or she resides to arrange a suitable job and
meets the statutory conditions to be entered into the records of job seekers.
Large enterprises
Large enterprises are enterprises that do not meet the definition of a micro,
small or medium-sized enterprise set out in Commission Regulation (EC)
No. 364/2004 of 25 February 2004.
Long-term unemployed The long-term unemployed are job seekers in accordance with S. 24 et seq. of
Act No. 435/2004 Coll., on Employment, as amended, where long-term
unemployment is defined as unemployment lasting more than 6 months for
persons under 25 and longer than 12 months for persons over 25.
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122
Non-governmental
organisations
NGOs are civic associations under Act No. 83/1990 Coll., on Association of
Citizens, as amended, benevolent societies under Act No. 248/1995 Coll., on
Benevolent Societies, as amended, religious legal entities under Act No.
3/2002 Coll., on Freedom of Religious Belief and Position of Churches and
Religious Societies (Churches and Religious Societies Act), as amended,
foundations and endowment funds under Act No. 227/1997 Coll., on
Foundations and Endowment Funds (the Foundations and Endowment Funds
Act), as amended, and special interest associations of legal entities, provided
such entities are the above-mentioned NGOs.
This concerns, for example, single parents and persons caring in the long-term
for a dependent family member or partner.
Persons caring for a
dependent family
member
Persons having served Persons having served sentence of imprisonment or alternative punishment,
sentence
including persons leaving a facility for serving sentence.
Persons interested in Persons who declare their interest in starting business activities of their own.
doing business
Persons interested in A person interested in employment in accordance with S. 22(1) of Act
No. 435/2004 Coll., on Employment, as amended, is an individual interested in
employment
the arrangement of employment who asks any labour office in the Czech
Republic to include him or her in the records of persons interested in
employment for this purpose.
Persons who have
Persons who have not completed full secondary education.
prematurely left the
educational system
Persons without
shelter
Product
Professional and
special interest
association
Professional workers
in education
Public administration
Pupils
Schools
Small and mediumsized enterprises
Persons without shelter, homeless people and persons residing in asylum
houses.
An aggregate term used for all forms in which support is provided to target
groups, e.g. an educational programme, course, methodology, curriculum,
school educational programme, e-learning product, re-qualification module,
integration procedures, educational aids created and innovated, etc.
Professional organisations related to professional work, consumer
associations, special interest associations (e.g. gardeners’ associations,
fishermen’s associations, etc)., associations of businesses and production cooperatives, etc., the Economic Chamber and the Agrarian Chamber of the
Czech Republic established under Act No. 301/1992 Coll.
Persons employed in schools in the field of management, etc.
Public administration shall be understood to include central state
administration bodies and local authority bodies, including organisations
established by such bodies, the Academy of Sciences of the Czech Republic
established under Act No. 283/1992 Coll., as amended, and public research
institutions under Act No. 341/2005 Coll., on Public Research Institutions, or
other entities established by the law.
Persons accepted for studies at an elementary school.
Elementary, secondary and higher specialised schools, including secondary
vocational schools (in accordance with Act No. 561/2004 Coll., on Pre-school,
Elementary, Secondary, Higher Specialised and Other Education, as
amended) and universities (in accordance with Act No. 111/1998 Coll., on
Higher Education, as amended).
Small and medium-sized enterprises are defined in Commission Regulation
(EC) No. 364/2004 of 25 February 2004. A sole trader is regarded as a micro,
small or medium enterprise if it employs fewer than 250 employees and the
balance sheet assets do not exceed the CZK equivalent of EUR 43m, or its
turnover in the last fiscal year does not exceed the CZK equivalent of
EUR 50m.
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123
Social service
providers
NGOs, organisations established by boroughs, organisations established by
public administration bodies, boroughs providing people in an unfavourable
social situation with support in social inclusion and protection from social
exclusion with the aim of enabling them to get involved in the ordinary life of
society and take advantage of other systems in the usual manner.
Students
Persons studying at a higher specialised school or university.
Teaching staff
The disabled
Persons who perform teaching activities at schools, including academic staff.
The disabled are, in accordance with S. 67 of Act No. 435/2004 Coll., on
Employment, as amended, individuals who are recognised by a social security
authority as being fully disabled (persons with a serious disability), partially
disabled, or health disadvantaged. This concerns persons with physical,
mental and combined disabilities and the mentally ill.
The low qualified
The self-employed
Persons who have completed no more than elementary education.
The self-employed are persons who are involved in an independent gainful
activity where the person involved in the independent gainful activity is an
individual who, for the purposes of pensions insurance in accordance with S. 9
of Act No. 155/1995 Coll., on Pension Insurance, is regarded as a person
involved in an independent gainful activity.
Unemployed people are job seekers in accordance with S. 24 et seq. of Act
No. 435/2004 Coll., on Employment, as amended.
This group includes victims of criminal activity, victims of domestic violence
and commercially abused people, including victims of human trafficking (e.g.
prostitution, exploitation).
The unemployed
Victims of criminal
activity
Workers in social
services
Each individual who works in organisations in social services. This concerns,
in particular, employees, volunteers and students performing specialist work in
facilities.
Young people leaving People who leave an institutional facility and do not have the necessary social
an institutional facility and economic links necessary for their further integration into society and the
labour market.
th
Young people under Persons who have not yet completed their 25 year of life at the moment they
25
start drawing support from the project.
Operational Programme Prague – Adaptability
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124
8 ABBREVIATIONS
AA
Audit Authority
AS CR
Academy of Sciences of the Czech Republic
BIC
Business and Innovation Centre
CF
Cohesion Fund
CP
Communication Plan
CR
Czech Republic
CSE
Complete secondary education
CSG
Community Strategic Guidelines
CSO
CSV
Czech Statistical Office
Complete secondary vocational education
CZK
Czech koruna
EAFRD
European Agriculture Fund for Rural Development
EC
EEA
European Community
European Economic Area
EFF
European Fisheries Fund
ERDF
European Regional Development Fund
ESF
EU
European Social Fund
European Union
EU-15
EU Member States as at 30 April 2004
EUROSTAT
European Statistical Office
FEU
GDP
EU Funds and Foreign Relations Department of the Prague City Hall
Gross domestic product
ICEA
Industry Classification of Economic Activities
ICT
Information and Communication Technology
JMC
LO
Joint Monitoring Committee
Labour office
LSARI
Labour and Social Affairs Research Institute
MA
MC
Managing authority
Monitoring Committee
MfRD
Ministry for Regional Development
MoEYS
Ministry of Education, Youth and Sport
MoF
MoLSA
Ministry of Finance
Ministry of Labour and Social Affairs
MSSF
Monitoring System for Structural Funds
NCA
National Coordination Authority
NDP
NE
National Development Plan
National Economy
NGO
Non-governmental non-profit organisation
NRP
National Reform Programme
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125
NSRF
National Strategic Reference Framework
NUTS
Nomenclature of Territorial Units for Statistics
NUTS 2
Nomenclature of Territorial Units for Statistics, level 2
NUTS 3
OP EC
Nomenclature of Territorial Units for Statistics, level 3
Operational Programme Education for Competitiveness
OP HRE
Operational Programme Human Resources and Employment
OPPA
Operational Programme Prague – Adaptability
OPPC
Operation Programme Prague – Competitiveness
PA
Priority axis
PCA
Paying and Certifying Authority
R&D
Research and development
SF
SF/CF
Structural funds
Structural funds/Cohesion Fund
SLFS
Sample Labour Force Survey
SME
Small and medium-sized enterprises
SPD 3
Single Programming Document for Objective 3 of the NUTS 2 Prague
region
Strengths, Weaknesses, Opportunities and Threats analysis
SWOT
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126
9 LIST OF TABLES, CHARTS AND FIGURES
Figure 1
Figure 2
Inclusion of NUTS 2 regions in the cohesion policy objectives for 2007-2013 .... 6
Division of Prague into boroughs and administrative districts (as at 30 June 2006)
................................................................................................................................ 8
Table 3
Fundamental demographic data of Prague’s population in 2000-2005.................. 9
Table 4
Population development of Prague in 2000-2005 (as at 31 December)................. 9
Table 5
Development of age structure indicators for the population of Prague and the
Czech Republic ................................................................................................................ 10
Table 6
Development of the age structure of the population of Prague and the Czech
Republic (%) .................................................................................................................... 10
Table 7
Projections of population development in Prague................................................ 11
Table 8
Economic performance of Prague in 2001-2005.................................................. 12
Table 9
Development of labour force in Prague and the Czech Republic in thousands of
people .............................................................................................................................. 13
Table 10 Rate of economic activity..................................................................................... 13
Chart 11
Rate of economic activity in Prague by age brackets in 2001-2004 in %............ 13
Table 12 Qualification structure and rate of economic activity by education and gender .. 14
Table 13 Employed people aged 15+ in Prague and the Czech Republic (in thousands of
people) .............................................................................................................................. 14
Table 14 Employment in Prague by sector activities .......................................................... 15
Table 15 Development of sector employment in Prague in 1998-2005 (in %)................... 15
Table 16 Sector employment in Prague, the Czech Republic and the EU in 2004 ............. 15
Table 17 Number of employees in Prague by employment classification (in thousands) .. 16
Table 18 Development of the number of employees in Prague by position at work (in
thousands)......................................................................................................................... 16
Table 19 Employment of foreigners, EU, EEA and Swiss nationals in Prague.................. 17
Table 20 Development of average nominal wages (in %, CR = 100%) ............................. 17
Table 21 Number of part-time employees in Prague (in %) ............................................... 17
Table 22 Development of unemployment in Prague in 1995-2006 (as at 31 December) ... 18
Table 23 Educational structure of job seekers (as at 31 December 2005 in %).................. 18
Chart 24
Share of men and women in groups by the length of unemployment as
at 31 December 2005........................................................................................................ 19
Table 25 Age structure of job seekers (as at 31 December 2005, in %) ............................. 19
Table 26 Number of disabled job seekers (as at 31 December) .......................................... 20
Table 27 Social service providers in Prague ....................................................................... 25
Table 28 Number of NGOs in 2003 .................................................................................... 26
Table 29 Total public expenditure on education (in % of GDP)......................................... 30
Chart 30
Population by the highest education achieved 15+ in 2004 ................................. 31
Chart 31
Trends in education structure of Prague’s population.......................................... 31
Table 32 Education structure of the 15+ population in 2004 .............................................. 32
Table 33 Trends in the number of children, pupils and students at various levels of
education .......................................................................................................................... 32
Table 34 Number of teachers in the individual types of schools in Prague ........................ 32
Table 35 Numbers of students at institutions of university education in Prague in the
school year 2004/2005 ..................................................................................................... 35
Table 36 Number of people in non-formal education in 2003 ............................................ 36
Table 37 Re-qualification in 2001-2006 ............................................................................. 37
Chart 38
Number of registered business entities................................................................. 41
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127
Table 39 Registered operators in Prague by sector as at 31 December............................... 41
Table 40 Registered operators in Prague by legal form as at 31 December........................ 42
Table 41 Registered operators in Prague by size (as at 31 December) ............................... 43
Table 42 Tourism trends in Prague in 1990-2005............................................................... 44
Table 43 Performance of mass accommodation facilities in Prague and the Czech Republic
in 2005.............................................................................................................................. 44
Graph 44 Average evaluation of aspects of the city – trends over time............................... 45
Table 45 Spending on research and development (in CZK million)................................... 45
Table 46 R&D employees as at 31 December (individuals) ............................................... 46
Figure 47 System of OPPA objectives and priority axes ..................................................... 53
Figure 48 Context of the OPPA strategy .............................................................................. 55
Figure 49 Links between OPPA and the Community Strategic Guidelines ......................... 56
Figure 50 Links between OPPA and the National Strategic Reference Framework ............ 57
Table 51 Priority axes of the OP HRE ................................................................................ 69
Table 52 Priority axes of OP EC ......................................................................................... 70
Figure 53 Links between OPPA and operational programmes 2007-2013 ......................... 70
Table 54 Categories of expenditure – priority axis 1 .......................................................... 80
Table 55 Categories of expenditure – priority axis 2 .......................................................... 83
Table 56 Categories of expenditure – priority axis 3 .......................................................... 87
Table 57 Codes of priority themes – priority axis 4............................................................ 89
Table 58 OPPA context indicators ...................................................................................... 90
Table 59 Programme indicators system .............................................................................. 91
Table 60 Definition of the OPPA input indicators .............................................................. 92
Table 61 Definition of the OPPA output indicators ............................................................ 92
Table 62 Definition of the OPPA results indicators............................................................ 92
Table 63 Definition of the OPPA impact indicators ........................................................... 93
Table 64 Quantified objectives of priority axis 1................................................................ 95
Table 65 Quantified objectives of priority axis 2................................................................ 95
Table 66 Quantified objectives of priority axis 3................................................................ 96
Table 67 Quantified objectives of priority axis 4................................................................ 96
Table 68 Quantified objectives of the operational programme ........................................... 97
Table 69 Managing Authority of the Operational Programme Prague – Adaptability ....... 99
Table 70 Paying and Certifying Authority ........................................................................ 100
Table 71 Audit Authority .................................................................................................. 101
Figure 72 Scheme of the system for monitoring of the structural operations in Prague .... 107
Table 73 Indicative composition of the Joint Monitoring Committee .............................. 109
Figure 74 Simplified OPPA implementation scheme......................................................... 116
Table 75 Financial plan in terms of annual allocations from the individual Structural Funds
(in EUR, current prices) ................................................................................................. 119
Table 76 Financial plan by resources and priority axes (in EUR, current prices) ............ 120
Table 77 Indicative breakdown of the Community contribution by category (in EUR)... 121
Operational Programme Prague – Adaptability
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128