Austrian Programs Christoph Badelt Austrian Embassy, Washington, DC - - PowerPoint PPT Presentation

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Current Public Work Force Systems Austrian Programs Christoph Badelt Austrian Embassy, Washington, DC 13th November 2018 OVERVIEW I. LOCATING THE TOPIC II.ACTIVE LABOR MARKET POLICY IN AUSTRIA 1 Long Run Development of Unemployment

SLIDE 1

Christoph Badelt

Current Public Work Force Systems – Austrian Programs

Austrian Embassy, Washington, DC 13th November 2018

SLIDE 2

OVERVIEW

I. LOCATING THE TOPIC

II.ACTIVE LABOR MARKET POLICY IN AUSTRIA

SLIDE 3

Long Run Development

f Unemployment

Data for 2018 and 2019 based on the WIFO forecast from september 2018. S: Labour Market Service, Main Association of Austrian Social Security, Statistics Austria, WIFO computations.

0,0 2,0 4,0 6,0 8,0 10,0 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Rate resp. changes from the previous year in % Unemployment rate (national definition) Economic growth (real) Employees (active) Unemployment rate (international definition)

SLIDE 4

Unemployment within EU Countries

S: AMECO (May 2018); WIFO.

2,9 3,8 4 4,2 4,4 4,4 4,9 4,9 4,9 5,5 5,6 5,7 5,8 6,2 6,6 6,7 6,7 7,1 7,1 8,1 8,6 8,7 9 9,4 11,1 11,111,2 17,2 21,5

5 10 15 20 25 Czech Republic Germany Malta Hungary United Kingdom United States Netherlands Poland Romania Austria Luxembourg Denmark Estonia Bulgaria Slovenia Ireland Sweden Belgium Lithuania Slovakia Finland Latvia Portugal France Croatia Cyprus Italy Spain Greece

Harmonised unemplyment rate in %, 2017 EU28 = 7,6%

SLIDE 5

Long Term Unemployed Persons (National Definitions)

5 10 15 20 25 30 35 40 45 50 100 150 200 250 300 350 400 450 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 In % In 1.000 Unemployed persons* (left axis) Long term unemployed persons* (left axis) Long term unemployed persons in % of all unemployed persons* (right axis)

Unemployment* Long term unemployment*

Persons Persons In % of total unemployment

2008 262.762 53.427 20,3 2017 412.074 153.199 37,2

*) Including persons in training

S: Austrian Labour Market Service, WIFO-computations. Long term unemployment: Unemployed persons and persons in training who are without a job for more than a year (without taking into account recesses shorter than 62 days). Nat

SLIDE 6

Unemployment and Qualification (National Definition)

S: Austrian Labour Market Service, Main Association of Austrian Social Security, Statistics Austria, WIFO computations.

5 10 15 20 25 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 In % of the labour force for different levels of education Total Primary education Vocational education Lower secondary education Upper secondary education Tertiary education

SLIDE 7

OVERVIEW

I. LOCATING THE TOPIC

II.ACTIVE LABOR MARKET POLICY IN AUSTRIA

SLIDE 8

Structure of Labor Market Policy Spending in Austria

2010 2011 2012 2013 2014 2015 2016 2017 In Mio. €

Active LMP 1)

1.324 1.177 1.175 1.269 1.346 1.309 1.452 1.535

PES

1.079 975 971 1.039 1.124 1.112 1.236 1.327

Activating LMP for skills training

757 661 703 827 906 833 830 842

Activating LMP: part-time allowance

255 228 207 204 214 269 352 440

Passive LMP2)

3.529 3.436 3.434 3.778 4.214 4.710 4.745 4.608

Expenditure total3)

6.338 6.007 6.080 6.677 7.392 7.873 8.193 8.310

Total of active and activating LMP as % of total expenses

37% 34% 34% 34% 33% 31% 32% 34%

S: Basisinformationsbericht: Arbeitsmarktpolitik - Institutionen, Verfahren, Maßnahmen (2016/2017) PES annual reports 2009-2016; BMASGK, Division VI/A/6; 1) Incl. compulsory education/training, Training Guarantee, etc., IEF-BMASK apprenticeship training bonus (Insolvency Contingency Fund); 2) Unemployment benefits, unemployment assistance, etc.; including bridge benefits, excluding activating UI funds.; 3) incl. administration costs.

SLIDE 9

Expenditures for Workforce Programs in International Comparison

76 72 64 61 58 56 48 47 43 43 40 39 34 30 29 28 25 23 15 15 14 10 8 6 4 4 3 2

10 20 30 40 50 60 70 80 AUT DEU HRV CYP LVA FIN PRT IRL AUT EST ITA*) EU28 BGR LTU LUX BEL ESP DNK ROM SWE NLD GRC MLT SVN SVK CZE POL HUN

Expenditures for training in %

f all LMP measures, 2016

S: Eurostat, Labour Market Policy Database. *) Data for Italy from 2015; EU28: unweighted average without UK (no data available).

SLIDE 10

PES: Structure of Funded Cases, LMP Funding, 2017

Total number of funded cases Skills Training in % Employment Measures in % Support Measures in % 2011 955.725 82 7 11 2014 1.081.476 76 9 15 2017 1.076.803 71 8 21

S: Austrian Labour Market Service; Federal Ministry of Labour, Social Affairs, Health and Consumer Protection.

Employment Measures

92.580 (9%)

Skills Training

760.978 (71%)

Support Measures

223.245(21%)

SLIDE 11

PES: Structure of Expenditures, LMP Funding Budget, 2017

Total expenditures – LMP policy funding budget in Mio. € Skills Training in % Employment Measures in % Support Measures in % 2011 974,7 68 23 9 2014 1.124,2 62 28 10 2017 1.326,6 55 35 10

S: Austrian Labour Market Service; Federal Ministry of Labour, Social Affairs, Health and Consumer Protection. Expenditures including social security contributions.

Skills Training

730,6 Mio. € (55%)

Employment Measures

460,6 Mio. € (35%)

Support Measures

135,4 Mio. € (10%)

SLIDE 12

Important Examples of Workforce Programs

 Support of individuals during the job search

process (Placement Service by PES)

 Job training by institutions – (subsidies to training

establishments, subsidized training participants)

 Occupational orientation  Job search  Skills training

 Subsidies to individuals for training in private

institutions

 Subsidies to employers for training  Subsidies to apprenticeships

SLIDE 13

Role of Social Partners and of „Provinces“ (Bundesländer) 1

 Key targets of LMP are defined on the federal level,

but there is room for decisions both in the 9 province offices of PES and in the 99 regional

ffices of PES

 Role of Provinces

 PES organisations on the regional level – cooperation

with Regional Governments

 In some cases, direct workforce initiatives of

Provinces

SLIDE 14

Role of Social Partners and of „Provinces“ (Bundesländer) 2

 Social Partners

 Members of Administrative Board of Public

Employment Service (PES) (AMS) – thus influencing policy formulation

 Also active role of social partners on the provincial

level, both in decision making and in implementation of LMP (e.g. joint projects between social partners and regional PES offices)

 Important providers of training programs, thus

partners of PES in implementation of workforce programs

SLIDE 15

Current Public Work Force Systems – Austrian Programs

OVERVIEW

II.ACTIVE LABOR MARKET POLICY IN AUSTRIA

Long Run Development

Unemployment within EU Countries

Unemployment and Qualification (National Definition)

OVERVIEW

II.ACTIVE LABOR MARKET POLICY IN AUSTRIA

Structure of Labor Market Policy Spending in Austria

Expenditures for Workforce Programs in International Comparison

PES: Structure of Funded Cases, LMP Funding, 2017

PES: Structure of Expenditures, LMP Funding Budget, 2017

Important Examples of Workforce Programs

process (Placement Service by PES)

establishments, subsidized training participants)

institutions

Role of Social Partners and of „Provinces“ (Bundesländer) 1

but there is room for decisions both in the 9 province offices of PES and in the 99 regional

Role of Social Partners and of „Provinces“ (Bundesländer) 2

Thank you for your attention!