Swedish Labour Market Policy for Youth

1. Swedish Labour Market Policy for Youth Hillevi Engström, Minister for Employment Youth Forum April 26, 2013

2. Youth Unemployment Rate, 15–24 years Source: AKU, SCB.

3. Youth Unemployment Rate, 15–24 years Source: Eurostat.

4. Long-term Unemployment Rate, >12 months(% of all unemployed), 15–24 years Source: Eurostat.

5. Recent reforms aim to: ”Make work pay” “Make it easier & less costly to employ” Increase labour supply Increase labour demand Increase matching ”Get the right person at the right place”

6. Recent reforms for youth – labour demand by making it easier to employ • Reduced employer’s social security contribution for youth under 26 years of age • ’New start job’ provides tax relief targeted at long term unemployed youth • Reduction of VAT on restaurants from January 2012 • General temporary employment

7. Recent reforms for youth – matching-process • Youth job guarantee scheme • Individual action plans and coaching • Increase education: • Folk high school initiative • Higher study grant

8. Budget Bill 2013: Youth package – € 950 million during 2013–2016 • Strengthen the link between education and employment • Strengthen vocational education • Increased number of places in regular education • Prevent young people from becoming long term unemployed • Intensified employment service activities prior to entering the job guarantee scheme

9. Budget Bill 2013: Increased opportunities for young people • Strengthening employment services prior to entering the job guarantee • Strengthening of the ‘New Start job’ • Resettlement benefit to long-term unemployed

10. ’Job pact’ • Tripartite discussions => Improve adaptability of the labour market • Social partners – agreements on introductory agreements for young workers • Aim – to expand agreements by employment subsidies