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Integration of university graduates on the Romanian labour market situation and perspectives

Integration of university graduates on the Romanian labour market situation and perspectives. GUVERNUL ROMÂNIEI MINISTERUL MUNCII , FAMILIEI , PROTEC Ț IEI SOCIALE ȘI PERSOANELOR VÂRSTNICE. February 22 nd 2013 Ioan - Cristinel Raileanu Expert – Employment Unit

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Integration of university graduates on the Romanian labour market situation and perspectives

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  1. Integration of university graduates on the Romanian labour market situation and perspectives GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE February 22nd2013 Ioan - Cristinel Raileanu Expert – Employment Unit Ministry of Labour, Family, Social Protection and Elderly

  2. Presentation Content GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE • Labour market situation of young persons in project countries. • Short description of Unemployment Benefits System in Romanian and measures to support employment of young persons. • National Plan to Stimulate the Employment of Young Persons (PNSOT) 2013. • Draft Law on internships for university graduates

  3. Youth Unemployment Rate – age group 15-24 years GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE EUROSTAT

  4. Unemployment Rate in 2011 by education level GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE Age group 15-24 Age group 25-29 EUROSTAT

  5. Registered Unemployed at December31st2009 – 2011 by age group GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE As a share from Total Actual Number National Employment Agency

  6. Unemployment Benefits System GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE • Unemployment benefits are paid monthly to registered unemployed persons for 6/9/12 months, depending on the length of contribution, and represents 75% of the Reference Social Indicator (500 lei approx 120 euro), + for those with a contribution period exceeding three years (an amount calculated by applying a percentage rate differentiated by contribution period, to the average gross monthly basic salary for the last 12 months of contribution); • The young graduates unable to find a job after graduation receive unemployment benefits for a period of 6 months, equal to 50% of the Reference Social Indicator - (250 lei approx. 60 euro in 2011).

  7. Measures to support young people integration to the labour market GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE Supporting a first work experience and on-the-job training • The new more flexible legal framework for workplace apprenticeship scheme. • The programme for stimulating the employment of pupils and students during holidays. Access to the labour market: getting a (first) job • Subsidies for employing young graduates • Integration premium granted to registered unemployed graduates. • Personalized social support for young people aged 16 - 25 at risk of social and professional exclusion.

  8. Subsidies to employers who employ graduates GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE • The subsidy is granted for 12 months (18 months for graduates with disabilities), and varies on education level graduated; • 1 * RSI (500 lei, approx. 115 euro)  for primary and secondary level education; • 1,2 * RSI (600 lei, approx. 135 euro)  for high- school and post-secondary education; • 1,5 * RSI (750 lei, approx. 170 euro) for university graduates. • Also, employers are exempt for 12 months from paying the social contributions for unemployment for persons hired on open ended contracts. • The employers are obliged to maintain contractual arrangement with the person employed two years after completion of the period of subsidies.

  9. National Plan to Stimulate the Employment of Young Persons (PNSOT) 2013 GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE • Priorityis to reduce the time spent in unemployment and inactivity and increase chances for finding a quality job. • Goal to support jobless young people and to stimulate and facilitate their insertion into the labor market. • PNSOT 2013 includes a number of measures wich aim to facilitate the implementation of "youth guarantee“ schemes in Romania.

  10. PNSOT 2013 Objective I and main actions GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE Develop employment opportunities for youth in 2013 through the specific measures • Improve incentives for employers to create job opportunities for young persons; • Promote and encourage an entrepreneurial culture among young people in order to create new jobs; • Increase labor market mobility of young people at national and European level; • Facilitate the process of getting a first job.

  11. PNSOT 2013 Objective II and main actions GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE Continuous adaptation of education and training of young people to the labor market demands • Linking education and vocational training both initial and continuous to labor market needs; • Facilitate the transition from school to work; • Promote volunteering as a way of gaining work experience; • Improve partnerships to develop the skills needed in the labor market; • Strengthen the capacity to anticipate and respond to needs identified in the labor market in terms of skills and competencies.

  12. Draft Law on internships for university graduates GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE • Regulates the process of internships for university graduates, to ensure transition from education to employment. • Trainee goes through this internship period, to enhance his knowledge and skills level. The activities performed during the internship must be in line with the specialization obtained in higher education. • Internship period – first 6 months of work, except where special laws provided for a longer period of internship. • Objectives of Internships - gaining work experience; adaptating to job requirements; strengthening training, knowledge and skills level.

  13. Thank You! GUVERNUL ROMÂNIEI MINISTERUL MUNCII, FAMILIEI, PROTECȚIEI SOCIALE ȘI PERSOANELOR VÂRSTNICE For further details: cristianraileanu@mmuncii.ro

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