Annexes to COM(2010)477 - Youth on the Move An initiative to unleash the potential of young people to achieve smart, sustainable and inclusive growth in the EU

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dossier COM(2010)477 - Youth on the Move An initiative to unleash the potential of young people to achieve smart, sustainable and inclusive growth ...
document COM(2010)477 EN
date September 15, 2010
agreements with employers who are offered special support for recruitment of youth at risk.

5.3. Provide adequate social safety nets for young people

Active inclusion of young people, with particular focus on the most vulnerable groups, requires a combination of adequate income support, inclusive labour markets and access to quality services[36]. Many unemployed young people, especially if they have never worked, have no access to unemployment benefits or other income support. To address this problem, access to social benefits, where appropriate, should be ensured, and where necessary, expanded to provide income security, while, at the same time, effective and efficient activation measures and conditionality should ensure that benefits are only awarded if the young person is engaged in active job search or in further education or training. This is of key importance to avoid benefit traps. Modernisation of social security systems should address the precarious situation of young people.

A growing number of young people are being moved onto (permanent) disability benefits . While some may not be able to work fully, even with suitably adapted workplaces, others could find a way back to the labour market through well designed activation policies.

5.4. Support young entrepreneurs and self-employment

A life-time job with the same employer is certainly not going to be the norm: most workers will change companies several times, and most current and future jobs are in SMEs and micro-enterprises. In addition, self-employment is an important driver of entrepreneurship and can thus significantly contribute to job creation, especially in the services sector.

Self-employment offers a valuable opportunity for young people to make use of their skills and shape their own job. It is also an option to be considered seriously by those helping young people to plan their career paths. The interest and potential of young people to become entrepreneurs needs to be strongly encouraged by fostering entrepreneurial mindsets and attitudes in education and training. This should be supported by the public and private sectors. To this end, young people need more opportunities to have entrepreneurial experiences, to receive support and guidance on business plans, access to start-up capital and coaching within the starting period . Here also, Public Employment Services have an important role, in informing and advising young jobseekers about entrepreneurship and self-employment opportunities.

Key new actions:

The Commission will:

- In order to address public spending constraints, work with Member States to identify the most effective support measures , including job placement, training programmes, recruitment subsidies and wage arrangements, security measures and benefits combined with activation and propose adequate follow-up actions.

- Establish a systematic monitoring of the situation of young people not in employment, education or training (NEETs) on the basis of EU-wide comparable data, as a support to policy development and mutual learning in this field.

- Establish, with the support of the PROGRESS programme, a new Mutual Learning Programme for European Public Employment Services (2010), to help them reach out to young people and extend specialised services for them. This programme will identify core elements of good practices in Public Employment Services and support their transferability.

- Strengthen bilateral and regional policy dialogue on youth employment with the EU's strategic partners and the European Neighbourhood, and within international fora, particularly the ILO, OECD and G20.

- Encourage the greater use of support to potential young entrepreneurs via the new European Progress Micro-finance Facility [37]. The Facility increases the accessibility and availability of microfinance for those wanting to set up or further develop a business, but having difficulties in accessing the conventional credit market. In many Member States young micro-entrepreneurs who seek funding under the Micro-finance Facility will also benefit from guidance and coaching with the support of the ESF.

In the framework of Europe 2020 and the European Employment Strategy, Member States should focus on:

- Ensuring that all young people are in a job, further education or activation measures within four months of leaving school and providing this as a “Youth Guarantee” . To this end, Member States are asked to identify and overcome the legal and administrative obstacles that might block access to these measures for young people who are inactive other than for reasons of education. This will often require extending the support of PES, using instruments adapted to the needs of young people.

- Offering a good balance between rights to benefits and targeted activation measures based upon mutual obligation, in order to avoid young people, especially the most vulnerable, falling outside any social protection system.

- In segmented labour markets, introducing an open-ended "single contract" with a sufficiently long probation period and a gradual increase of protection rights, access to training, life-long learning and career guidance for all employees. Introducing minimum incomes specifically for young people and positively differentiated non-wage costs to make permanent contracts for youngsters more attractive and tackle labour market segmentation, in line with common flexicurity principles.

6. EXPLOITING THE FULL POTENTIAL OF EU FUNDING PROGRAMMES

Several existing programmes already support the Youth on the Move objectives. For education and training, the Lifelong Learning programme (including Erasmus, Leonardo da Vinci, Comenius and Grundtvig), Youth in Action, Erasmus Mundus, Tempus and Marie Curie Actions address specific target groups. Their objectives should be strengthened, rationalised and better used to support the Youth on the Move objectives.

Teachers, trainers, researchers and youth workers can act as mobility multipliers at different levels: persuading young people to participate in a mobility experience, preparing the participants, staying in contact with the host institution, organisation or enterprise. In the next generation of mobility programmes, the Commission will propose a greater focus on increasing mobility of multipliers, such as teachers and trainers, to act as advocates for mobility.

The Commission will examine the possibility to step up the promotion of entrepreneurship mobility for young people, in particular by increasing Erasmus work placement mobility, promoting entrepreneurship education in all levels of the education system and in the EIT, enhancing business participation in Marie Curie actions and by supporting the " Erasmus for young entrepreneurs " initiative.

These programmes alone, however, will not be able to cater for all demands. Hence, there is a need to link up funding from many sources and have wider engagement of public authorities, civil society, business and others in support of the Youth on the Move objectives, to achieve the critical mass required.

The European Social Fund (ESF) provides considerable help to young people. It is the main EU financial instrument to support youth employment, entrepreneurship and the learning mobility of young workers, to prevent school drop-out and raise skill levels. A third of the 10 million ESF beneficiaries supported each year are young people, and about 60% of the entire ESF budget of 75 billion euros for 2007-2013 plus national co-financing benefits young people. The ESF also significantly supports the reforms of Member States' education and training systems and participation in life long learning, contributing 20.7 billion euros.

Yet the potential of the ESF must be maximised , given the drastic deterioration in the situation of young people since the design of ESF programmes. To this end, the Commission will carry out a stock-taking of current ESF measures and then work with Member States to identify the key target measures and policy actions which should urgently receive ESF support. This will be done through the ESF reporting and the Europe 2020 multilateral surveillance. Awareness-raising must also be stepped up, so young people can make the most of the opportunities offered by the ESF.

The Commission will examine, together with the Member States and the regions, how to better support youth employment, educational opportunities and higher education infrastructure through other structural and cohesion funds, in particular the European Regional Development Fund. In addition, PROGRESS and the new European Micro-finance Facility will be exploited further, as should national and regional funding.

The Commission is also examining whether to create at EU level, in cooperation with the European Investment Bank, a student lending facility as a complement to Member State schemes. The availability of study loans for young people could be increased and contribute to more cross-border mobility in education, including the option for students to undertake an entire study programme abroad. Complementarity with the existing EU programmes on education and training should be ensured. A study is currently being carried out, with results expected in 2011.

The Commission has announced that it will propose measures, in its recently adopted Communication "A Digital Agenda for Europe"[38], for 'light and fast' access to EU research funds in ICT, making them more attractive to SMEs and young researchers.

A coordinated review of existing education and training programmes will be undertaken with a view to developing an integrated approach under the post-2013 Financial Framework underpinning the Youth on the Move strategy. The aim is to support wider learning and mobility opportunities for all young people in Europe, as well as supporting the modernisation of education and training systems and the development of the youth sector , in particular through transnational and international cooperation projects and networks. This would include the creation of education partnerships, capacity building actions, international policy dialogue and the promotion of Europe as an attractive study and research destination.

The Commission will launch a public consultation in September 2010, to allow all interested parties to express their views on the future education and learning programmes. It will present proposals in 2011.

In the next programming period, ESF support should be linked even more closely to the policy priorities of the Integrated Guidelines and the EU and national employment and education targets of Europe 2020.

Key new actions:

- Given the growing importance of the issue, the Commission and the Member States will examine ESF interventions and make a proposal to increase awareness of and maximise the potential of the ESF to support young people.

- Member States should ensure that ESF swiftly supports young people and the achievement of Europe 2020 targets. The Commission will identify good practices for the efficient use of money to enhance youth employment opportunities and inspire their application more widely in the Member States' programmes.

- Undertake a review of all relevant EU programmes fostering learning mobility and education, including via an open consultation of stakeholders, to be launched in September 2010, and make proposals in 2011 for the new Financial Framework.

- Examine the feasibility for the creation of an EU-level student loan facility , in cooperation with the EIB Group and other financial institutions, to reinforce transnational student mobility and improve young people's access to higher education, complementing Member State schemes. Results of a feasibility study are expected in 2011.

7. MONITORING AND REPORTING ARRANGEMENTS

The Commission and the Member States should cooperate on the follow-up to the Youth on the Move initiative in the context of the follow-up to the Europe 2020 Strategy, the existing arrangements for the Strategic Framework for European cooperation in Education and Training ('ET 2020'), the European Employment Strategy and the EU Youth strategy[39]. The new Integrated Guidelines , especially the employment guidelines, are the framework for coordinated policy actions, most of which are the responsibility of Member States. The Commission will support Member States in the design and implementation of actions through funding and the open methods of coordination, notably through reinforced mutual learning and peer reviews with national governments, regional and local policy makers and other stakeholders and practitioners, as well as through regular monitoring of, and co-operation on, ESF programmes.

The actions announced in this Communication will be reviewed and updated over time , within the 2020 horizon.

8. INFORMATION CAMPAIGN

The Commission will launch an information campaign in 2010 to support the Youth on the Move initiative for the next decade. The campaign will include a specific Youth Employment awareness-raising and mobilisation action in 2011, directed at young citizens and labour market stakeholders in the Member States, to focus national and EU efforts on reversing youth unemployment trends and to encourage young people to take up opportunities. The campaign will actively involve national and regional authorities, the business sector, in particular SMEs, and other key stakeholders.

9. CONCLUSION

The Europe 2020 flagship initiative Youth on the Move puts young people at the centre of the EU's agenda to create an economy based on knowledge, research and innovation, high levels of education and skills in line with labour market needs, adaptability and creativity, inclusive labour markets and active participation in society. All these represent key components of Europe's future prosperity. Urgent action is needed from Member States and where relevant from candidate countries, at both national and regional levels, as well as the EU level, to address the challenges faced by young people outlined in this Communication and ensure that education and training systems, as well as labour market structures, are equipped for economic recovery and beyond. Given the global nature of these challenges for the EU, dialogue, exchanges and cooperation with the EU's external partners should be promoted. This initiative counts on the support of other European institutions and on the active participation of all stakeholders to make it a success.

[1] Eurostat, 2009, 15-30 year olds.

[2] Eurostat, June 2010, < 25 y.

[3] CEDEFOP projections.

[4] eSkills Monitor study, European Commission, 2009.

[5] Eurostat, 2008, 30-34 year olds.

[6] MORE study, European Commission, 2010.

[7] Eurostat, 2009.

[8] OECD, PISA, 2006.

[9] Linking to existing PLOTEUS portal on learning opportunities. The Commission has also published on the 'Your Europe' portal, an 'education and youth' section containing information on rights and opportunities for students and young people in Europe.

[10] The Commission will in 2010 establish a thematic working group of policy-makers and experts from the Member States to examine the causes of low performance of school students in maths (including numeracy) and science.

[11] Recommendation of the European Parliament and of the Council of 18 December 2006 (OJ L 394, 30.12.2006).

[12] European Skills, Competencies and Occupations taxonomy (ESCO).

[13] COM(2010) 296.

[14] See own initiative European Parliament report by Ms E Turunen "Promoting youth access to the labour market, strengthening trainee, internship and apprenticeship status", June 2010.

[15] Report from the Working Group on Mobility for Apprentices, February 2010 (European Commission).

[16] Volunteering, participation, activities within youth organisations and youth work provide opportunities for learning outside formal structures. They can help reinforce other activities of Youth on the Move and engage young people otherwise at risk of being bypassed. The European Year of Volunteering 2011 will provide fresh impetus to develop these activities further.

[17] COM(2005) 15.

[18] COM(2006) 208.

[19] Recommendation of the European Parliament and of the Council of 15 February 2006 on further European cooperation in quality assurance in higher education (2006/143/EC) (OJ L 64, 4.3.2006).

[20] Council Conclusions on the internationalisation of higher education of 11 May 2010.

[21] See COM(2009) 329 for references to studies and research.

[22] They include the following: higher education (Erasmus, Erasmus Mundus, Marie Curie) for students, doctoral candidates and staff; higher education and research (Marie Curie, mobility within Networks of Excellence and Technology Platforms); from higher education to business (placements within Erasmus and Marie Curie); vocational education and apprentices (Leonardo); second level education (Comenius) adult learning and senior volunteering (Grundtvig); the cultural sphere (Culture Programme); youth exchanges and volunteering (Youth in Action); volunteering (European Voluntary Service within the Youth in Action Programme); the civil society (Europe for Citizens Programme) and the preparatory action "Erasmus for Young Entrepreneurs".

[23] http://ec.europa.eu/commission_2010-2014/president/about/political/index_en.htm

[24] COM(2009) 329.

[25] See Commission Staff Working Paper SEC(2010) 1047 for an analysis of the responses received.

[26] http://www.ond.vlaanderen.be/hogeronderwijs/bologna/conference/documents/Leuven_Louvain-la-Neuve_Communiqué_April_2009.pdf

[27] In particular, the European Qualifications Framework for Lifelong Learning (EQF), the Europass, the Diploma Supplement, the European Credit Transfer and Accumulation System (ECTS, for higher education), the European Credit System for Vocational Education and Training (ECVET) and Youthpass.

[28] Announced in the Digital Agenda - COM(2010) 245; "e-Skills for the 21st Century" COM(2007) 496.

[29] "A new strategy for the single market", report by M. Monti, 9 May 2010, p. 57.

[30] "Geographical and labour market mobility", Special Eurobarometer 337, June 2010.

[31] Special Eurobarometer 337, June 2010.

[32] Sources: Youth Employment Study (2008) providing an inventory of main policies in place for all EU-27 Member States. The Employment Committee report on youth employment (2010) gives an overview of recent measures enacted in Member States.

[33] OECD series of thematic reviews on Youth Employment in selected OECD countries (2008-2010)

[34] The Commission will soon present an analysis (through a staff working paper) of the application of Council Directive 94/33/EC of 22 June 1994 on the protection of young people at work.

[35] See Directive 1999/70/EC.

[36] Commission Recommendation on the active inclusion of people excluded from the labour market of 03.10.2008 (OJ L 307, 18.11.2008), endorsed by the Council on 17 December 2008 and by the European Parliament in its Resolution of 6 May 2009.

[37] www.ec.europa.eu/epmf

[38] COM(2010) 245.

[39] COM(2009) 200.