The new youth unemployment projects

THE FIRST project will focus on creating jobs in the transport sector and at small and medium-sized enterprises. It is supposed to create up to 9,000 jobs, at a cost of nearly €50 million.

THE FIRST project will focus on creating jobs in the transport sector and at small and medium-sized enterprises. It is supposed to create up to 9,000 jobs, at a cost of nearly €50 million.

Employers in the transport sector will receive a monthly per-new-employee contribution for nine months, with companies required to maintain jobs for a further 21 months. The maximum amount given to one employer should not exceed €100,000, according to an announcement by the Central Office of Labour, Social Affairs and Family (ÚPSVaR).

The original draft of the project included the repayment of expenses involved in young employees acquiring a driving licence. However this aspect is missing from the current version. The Labour Ministry explained that if it were to pay for training expenses the price of a new position would increase since each company would have to conduct a public procurement process to find a driving school, the Hospodárske Noviny financial daily reported.

Additional jobs for young people lasting a minimum of 18 months will be up for grabs in micro-, small and medium-sized companies with fewer than 250 employees. The government will pay contributions for the first 12 months, and the maximum amount given to one employer should not exceed €200,000, the announcement reads.

The second project will focus on community work for villages and municipalities, which will, among other things, focus on improving the economic, social and cultural conditions of the municipality and involve environmental and cultural heritage protection. It is envisaged that the project will create about 4,700 new jobs for either 12 or 18 months, at a cost of €20 million. The employers will receive contributions for either six or nine months, depending on the length of new employees’ working agreements.

In addition to this, the Labour Ministry plans to reassess the projects after first six months. Based on the results of this monitoring, and how much money is allocated for projects, it will then allow not only young people but also other disadvantaged unemployed people, especially people over 50 years of age, to apply for the same jobs, the announcement reads.

According to the scheme, employers can receive a contribution of between €434 and €522 per month, depending on the sphere of their business. The contributions will be provided from November 2012 until September 2015.

Every employer whose project is chosen by the labour office will have to sign an agreement which will subsequently be published in the Central Register of Contracts, ÚPSVaR spokesperson Peter Zeman told The Slovak Spectator. If the companies violate the terms of agreement, they will have to return the full amount they have received from ÚPSVaR for creating the jobs.

“Moreover, [the labour offices] will monitor the results during the whole term of the realisation of the project as well as after its end to make it possible to evaluate the overall successfulness of this tool,” Zeman added.

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