Briefing Session on The Fourth Batch of Intensive Employment Assistance Projects

1. The Fourth Batch of IEAPs Briefing Session on The Fourth Batch of Intensive Employment Assistance Projects (IEAPs)(第四輪深入就業援助計劃) 27 June 2006

2. The Fourth Batch of IEAPs Overall Situation of Total CSSA and CSSA Unemployment Cases

3. CSSA caseload by nature (as at April 2006) Total 296974 cases

4. CSSA expenditure compared to total government recurrent expenditure(1996-97 to 2006-07) CSSA Expenditure as a percentage of total government recurrent expenditure CSSA Expenditure Notes : CSSA expenditure is non-cash limited. @ The figures refer to the Revised Estimates. * The figures refer to the Draft Estimates.

5. Profile of unemployed CSSA recipients(as at April 2006)

6. The Fourth Batch of IEAPs The Support for Self-reliance Scheme

7. The Fourth Batch of IEAPs Intensified Support for Self-reliance Measures since 2003 • SWD has implemented various support for self-reliance measures to assist unemployed CSSA recipients to achieve self-sufficiency since 1999. • Intensified SFS measures in 2003 • Enhanced Active Employment Assistance (AEA) Programme • strengthened individualized employment assistance service, such as post-placement support • launched district-based job network • Enhanced Community Work (CW) Programme • arranged AEA participants to perform CW up to a maximum of 3 days or 24 hours a week • Raised the maximum level of disregarded earnings up to $2,500

8. CSSA unemployment cases after the implementation of intensified SFS measures Commencement of Intensified SFS Measures in June 2003 Decrease in the unemployment caseload emerged in Oct 2003 Cumulative decrease of 10 815 cases since Oct 2003

9. The Fourth Batch of IEAPs Effects on the implementation of intensified SFS measures Intensified SFS measures commenced in 6/03 Note Job securing rate = the ratio of No. of participants found paid job (off CSSA or change to ‘Low Earnings’ category ) during past 12 months and No. of participants enrolled/re-enrolled during the same period

10. Unemployment rate in Hong Kong and CSSA unemployment cases before and after the implementation of SFS and intensified SFS measures Number of CSSA unemployment cases Commencement of the Intensified SFS Measures in June 2003 Unemployment rate Commencement of the SFS Scheme in June 1999 Apr 06 40 256 Number of CSSA unemployment cases # 3.7% (10/1995–12/1995) 4.9% (3/2006–5/2006) Unemployment rate in Hong Kong* 8 816 Month/Year Notes: # CSSA unemployment cases refer to the number as at the end of the given month. * The unemployment rate pertaining to the given month is the seasonally adjusted unemployment rate for the 3-month period ending in that month.

11. The Fourth Batch of IEAPs Intensive Employment Assistance Projects (IEAPs)

12. IEAPs -Objective • $200 million secured to launch 105 IEAPs from October 2003 to September 2007 for employable CSSA recipients and other ‘near-CSSA’ unemployed. • The Objective is to provide tailor-made employment assistance services to participants to help them secure gainful employment as early as possible so that they can move towards self-reliance.

13. October 2003 1st Batch 40 Projects October 2004 2nd Batch 30 Projects October 2005 3rd Batch 35 Projects The duration of the first three batches of IEAPs 105 Projects September 2006 September 2007

14. IEAP attainments of 70 projects in the first two implementation years(October 2003 to September 2005) Attainment against pre-set performance standards (%)

15. Achievement (October 2003 to September 2005) *at least 2/3 (i.e. 14) but < 21 CSSA participants to sustain full-time employment 3 or more months

16. Evaluation Study on IEAPs • To evaluate the effectiveness of IEAPs and recommend measures for improving IEAPs, SWD had commissioned a research team from the CUHK to conduct an evaluation study of IEAPs. • The findings of the Study found that IEAP participants and ex-IEAP participants were generally higher in self-reliance and more motivated in job seeking activities. • The extension of IEAPs could continue to assist more needy participants to rejoin the workforce and achieve self-sufficiency.

17. The Fourth Batch of IEAPs

18. The Fourth Batch of IEAPs • The Financial Secretary announced in his Budget Speech 2006/07 that the Government will allocate $60 million to continue the operation of IEAPs for two years from October 2006 to September 2008. • Mode of operation will be similar to the third batch of IEAPs.

19. Target Participants Single parents • CSSA able-bodied unemployed recipients and ‘near-CSSA’ unemployed aged 15 to 59 including: Drug abusers Ex-offenders Marginal youths Street sleepers

20. Job skills training / soft skills training / Job-search skills training Guidance on job search and job matching services Employment counselling / non-employment related counselling Supportive services e.g. mutual support group for participants and their family members Post-placement support Provision of Services Temporary Financial Aid (TFA) to meet employment related expenses and short-term financial hardship for needy participants

21. Performance Measurement • IEAPs are outcome-based to encourage NGOs give their best to assist the needy participants to rejoin the workforce.

22. Performance Measurement Throughout the 2-year implementation period, each project should: assist at least 180 participants (including 126 CSSA recipients) to complete the whole range of activities provide services to no less than 200participants (including at least 140 CSSA recipients)

23. Performance Measurement Each project should in the 2-year implementation period: assist at least80participants (including no less than56 CSSA participants) to take up full-time gainful employment assist at least 42 CSSA participants sustain full-time gainful employment for at least 3 months Full-time gainful employment is defined as: Employment entailing no less than 120 working hours and earnings no less than $1,435 per month

24. Performance Measurement • Some groups of participants may need NGOs to provide more intensive assistance to help them rejoin the workforce. They are: • older in age (i.e. aged 50 or over); or • having been in the AEA Programme for 12 months or more as at the date of being referred to join IEAPs • NGOs successfully assist participants from these groups to find a job, the successful job placement will be double-counted.

25. Distribution of Projects • District-based • A total of 40 projects will be distributed to 12 SWD districts. • To ensure effective service delivery, territory-wide projects will NOT be selected. • The number of projects in each SWD district will be proportional to the number of AEA participants in individual districts.

26. Distribution of Projects -Hong Kong Islands Total no. of projects : 4

27. Distribution of Projects -Kowloon Total no. of projects : 16

28. Distribution of Projects -The New Territories Total no. of projects : 20

29. Administration Fee Administration Fee 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 1,000,000 200,000 Payment Arrangement Administration Fee for each project (on a cost recovery basis) 80% (i.e. $800,000) to be paid by 8 equal instalments of $100,000 each on a quarterly basis 20% (i.e. $200,000) will be held back and only be paid if the pre-set performance standards can be achieved

30. Conditions for releasing the withheld Administration FeeAt the end of the first implementation year, i.e. 30.9.07 Note: The attainments achieved and the amount of administration fee received under this condition will be taken into account for the assessment of the performance attainments made at the end of the entire two-year implementation period.

31. Conditions for releasing the withheld Administration FeeUpon completion of the two-year implementation period, i.e. 30.9.08

32. Conditions for releasing the withheld Administration Fee • The pledged additional output standards and the level of attainment as indicated in the proposal will form an integral part of the Service Agreement.

33. 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 Payment Arrangement Temporary Financial Aid (TFA) for each project TFA8 equal instalments, $30,000 each on a quarterly basis 240,000 No supplementary provision will be considered in addition to the funds approved Virement between Administration Fee and TFA is NOT allowed

34. TFA - Objective • To provide needy participants with timely financial aid to meet their employment-related expenses when seeking or securing a job • For ‘near-CSSA’ unemployed, NGOs may assist them with TFA to solve temporary financial hardship and meet short-term basic needs, in addition to assisting them to find employment (NGOs are also encouraged to provide assistance in kind or explore other sources of assistance)

35. TFA *NGOs should assess applicant’s financial conditions and needs NGOs should make reference to asset limits under the CSSA Scheme in assessing applicant’s eligibility for TFA

36. Submission of Proposals Who are eligible to apply for funding support to run IEAPs? Interested NGOs who are bona fide non-profit making NGOs as approved charitable institution and trust of a public character under s. 88 of the Inland Revenue Ordinance.

37. Submission of Proposals How many proposals can an NGO submit? • no more than FOUR proposals using the standard Application Form obtainable through internet

38. Submission of Proposals The proposal should be: • no more than40 A4 pages(at font size 13) including the standard Application Form, appendices and supplementary information (if applicable) • in 6 hard copies and 1 soft copy (MS Word 6.0 or above version)

39. The Fourth Batch of IEAPs Brain food for drawing up a proposal

40. Brain food for drawing up a proposal agree to SWD’s policy of enforcing a self-reliant philosophy and assisting CSSA recipients move from welfare to work Applicant NGOs should consider Whether they: • are determined to achieve the Objectives of IEAPs and meet the pledged outcome-based performance standards • are prepared to commence the project in October 2006, • e.g. staff in post

41. Brain food for drawing up a proposal Applicant NGOs should consider whether their STAFF: • understand adequately characteristics of unemployed customers • have abilities to assist participants to find paid employment • have practical service strategies to move participants into the job market • are capable of mustering sufficient number of suitable job vacancies for participants

42. Brain food for drawing up a proposal Applicant NGOs should consider whether their STAFF: are able to meet SWD’s requirements e.g. submitting monthly statistical reports / annual audited income and expenditure statement of the project on time render the package of services to meet participants’ needs are able to collaborate with staff of SWD

43. Brain food for drawing up a proposal • Whichdistrict andwhy? Applicant NGOs should consider where to provide services? • Is the venue easily accessible by potential participants? • Is there a suitable venue available for providing services in the district?

44. Brain food for drawing up a proposal Applicant NGOs should consider the BUSINESS PLAN: Are implementation strategies practicable? Is the TFA operation mode effectively designed? • Is the estimated expenditure reasonable? Are there value-added services provided to participants?

45. Projects will NOT be supported Brain food for drawing up a proposal one-off activities such as large scale exhibition, mass briefing session the provision of services is not adequate (e.g. less than services provided by Employment Assistance Teams/SWD)

46. Some good strategies: Meeting with family members and enlist their support to participants’ working Keep constant contacts with participants, e.g. • requiring them to go to the centre frequently (say once a week); • taking them to job fairs; • arranging them with job attachment placements; • conducting post-interview evaluation once the job interview is unsuccessful Brain food for drawing up a proposal

47. Some good strategies: Matching participant to the suitable job: • visit the potential employers and fully understand the job requirements; • collaborate with employers to brief participants right working attitude/how to impress the employers in job interview; • arrange job trial to participants; and • review the workplan of individual participants regularly. Brain food for drawing up a proposal

48. Some good strategies: Others • cooperate with business sector to organise job fairs and promote IEAPs to potential employers; • …….. Strengthen the post-placement support • visit participants’ workplaces to give them support; and • arrange experience sharing with other participants; Brain food for drawing up a proposal

49. Features of unsuccessful applications previous IEAPs • Programme Design • Unrealistic strategic plan / strategies to assist participants to achieve self-sufficiency • Participants confined to specific groups

50. Features of unsuccessful applications in previous IEAPs • Budgeting • Unclear budgeting such as doubtful administrative cost / staff cost • No detailed budget • Project Feasibility • Proposals unlikely to achieve the objective of IEAP • Strategies for running cooperative business seem NOT practical