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Project co-financed under the European Integration Fund REALISE Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE) Archanes 701 00 Heraklion Crete Greece Tel. +30 2810 753314, Fax. +30 2810 753310 Email: [email protected] Website: www.anher.gr 12 April 2012

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Project co-financed under the European Integration Fund

REALISE

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RReeggiioonnaall UUnniitt ooff HHeerraakklliioonn

((RReeggiioonn ooff CCRREETTEE –– GGRREEEECCEE))

Archanes 701 00 Heraklion Crete Greece

Tel. +30 2810 753314, Fax. +30 2810 753310 Email: [email protected] Website: www.anher.gr

1122 AApprriill 22001122

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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1. Contents

2 Executive summary 3

3 Introduction 6

4 Research design and methodology 10

5 Analysis and findings 13

5.a. General labour market situation 13

5.a.1. Pertinent economic information 13

5.a.1.1. Primary Sector 14

5.a.1.2. Secondary Sector 15

5.a.1.3. Tertiary Sector 17

5.a.1.4. Major problems and economic crisis 20

5.a.1.5. Strengths & opportunities within the locality 23

5.a.1.6. Financial Sectors with most promising growth prospects

27

5.a.2. Key characteristics of local labour market 28

5.a.2.1 Employment 28

5.a.2.2 Unemployment 31

5.a.3. General over-qualification figures and qualitative observations

36

5.b. Specific to immigrants 39

5.b.1. Profile of immigrants (third-country nationals) 39

5.b.2. Immigrant Over-qualification situation 46

5.b.3. Legal, Policy and Service framework 50

5.b.4. Explanation: Why does immigrant

over-qualification happen? 55

6 Conclusions and recommendations 61

7 References/bibliography 67

8 Annexes 71

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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2. Executive summary

The Local Diagnosis Report has been conducted within the framework of Project “REALISE:

Making the Most of our Human Capital by 2020” (http://realise2020.wordpress.com/) funded

under the European Fund for Integration of third-country nationals (European Integration

Fund INTI). The REALISE Project seeks to contribute towards achieving the EU 2020

objectives of a dynamic and competitive Europe through maximization of human capital,

targeting qualified third-country nationals, particularly women and youths, who are

disproportionately overqualified for their jobs.

Existing studies in EU level shows that the

phenomenon of overqualified immigrants exists

and its dimensions differ from place to place,

depending on factors like local labour market

conditions as well as the history and

characteristics of migration in each country.

Therefore, in the context of REALISE Project

Heraklion Development Agency has conducted a

local diagnostic report on the severity, extend

and multiple-causes concerning overqualified

third country nationals, focusing on the example

of Greece and more specific in Regional Unit of

Heraklion (Region of Crete).

The economic activity in Crete was based mainly on agriculture and livestock farming

(primary sector) until the '70s. Nowadays, tourism in Crete is the most dynamic developing

sector of the local economy, with relevant activities to be located in the majority of coastal

district and less in urban centres, where all the administrative, educational, financing and

figurative services (tertiary sector) of the Island are gathered. Secondary sector concerns

mainly the food industry, closely related with rural products from the area but also the

sectors of structural materials and plastic. All three sectors of local economy are directly

connected and inter-depended.

OVER-QUALIFICATION

The term refers to the mismatch between skills / qualifications of an employee and the level of skill or education necessary for the job that person is doing. An alternative definition focusing more on the disparity between skill level and wages is also used in some of the literature. THIRD COUNTRY NATIONALS Any person who is not a citizen of the European Union within the meaning of Article 20(1) of the Treaty on the Functioning of the European Union and who is not a person enjoying the Union right to freedom of movement, as defined in Article 2(5) of the Schengen Borders Code (European Migration Network). For the purpose of present report the term describes immigrants in Greece, originated for non EU countries, holding a valid residence permit.

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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The rapid increase of migrants in the are during the 1990’s originated from the need of

covering an important lack of labour force in primary economic sector and in other

“downgraded” job areas with low labour supply (for example builders, craftsmen, domestic

workers). In many cases their wages remain very low, without any consolidation and

insurance. Informal occupation has become synonym of economic immigrants, who usually

select the path of unofficial employment in order to ensure a higher income. On the other

hand, the increased bureaucratic procedures make extremely difficult, even impossible, for a

migrant to get legal recognition of his/her formal qualifications. A significant percentage of

immigrants holds higher professional, scientific or artistic qualifications from their country of

origin, which they no longer exercise in Greece. Women seem to be more overqualified than

men.

The most recent official statistics (Eurostat; 2011) for Greece refers to 8.3 percent of non-

nationals in the population in 2009 (954,784 non nationals), which is higher than the average

European rate (6.4%). According to the official records from the Migration Department

(Region of Crete; 2003-2007) there are 29,664 legal migrants living in Crete, about 4.7

percent of the entire migrant population in the country and the largest group is located in

Heraklion (36.4% which refers to 10,795 individuals).

At this stage there are indigenous and extraneous factors that have negative affects for the

local labour market and widely the local economy, exerting “tight” pressure to households

and SMEs. Increasing unemployment is an existing problem also at local level, while at the

same time the number of long term unemployed, that are unable to reintegrate into the labor

market, expands. Youngsters, women and vulnerable groups of people are those most

affected by the current situation. Immigrants are more possible to be affected by economic

crises than locals. In most cases, they will be the first to loose theirs jobs and they present

higher percentages of unemployment.

Due to economic crisis in the country there seems to be an incising number of overqualified

professionals who lose their job and faces difficulties in re-entering into the labour market.

Up to now newcomer with lack of skills and experience had to confront labour isolation and

unemployment. However, the situation inside the local market has been completely reversed,

and at present overqualified persons have become the “weaken link”.

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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On the other hand, the carrying capacity within the area and the contemporary social needs

contribute to the redefinition of local development. The potentials in Regional unit of

Heraklion may be, under conditions, the new driving force of local economy, with promising

perspectives for a way out of economic crisis and job creation.

Due to the above, the objective of the Local diagnosis is not to undertake an academic level

of research, but to follow a pragmatic approach in order to give sufficiently accurate answers

to the main questions: what is the degree of the problem? (Severity) and why are third-

country nationals over-qualified in the locality? (Cause).

The presentation of finding follows the context and general guidance provided within

REALISE project. More specific the report follows three levels of analysis: a) the general

labour market situation, b) the profile of third country nationals, focusing on the issue of over

qualification and c) conclusions and recommendations for further exploitation in both

transnational and local level. Local key Stakeholders Panels (PLS) in Heraklion, which is

created within REALISE Project framework are the key info providers for the undertaking local

diagnosis and they will continue to actively participate in developing pilot local interventions

and long-term strategies to scale-up pilot interventions to policy.

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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3. Introduction

Heraklion Development Agency (GREECE) participates as a partner in the project

“REALISE: Making the Most of our Human Capital by 2020”

(http://realise2020.wordpress.com/) funded under the European Fund for Integration of

third-country nationals (European Integration Fund INTI), in cooperation with other eight

organizations (public institutions and NGOs) from seven European Union member states:

� Kom-pas/ Inburgering Gent – Lead Partner (Belgium)

� ProjectWorks Association, Brussels – Transnational Thematic Coordinator

� Bilbao City Council – Department of Equality, Cooperation and Citizenship (Spain)

� Comune di Cesena – Ufficio progetti integrati comunali, nazionali ed europei (Italy)

� Fundación Sevilla Acoge (Spain)

� Mångkulturellt centrum – The multicultural centre of Botkyrka (Sweden)

� Menedek Association (Hungary)

� Migrants Resource Centre (United Kingdom).

The total budget of REALISE is 713,577 euros and the project duration is eighteen months

(from 1/9/2011 to 1/3/2013).

The REALISE project seeks to contribute towards achieving the EU 2020 objectives of a

dynamic and competitive Europe through maximization of human capital, targeting qualified

third-country nationals who are disproportionately overqualified for their jobs. REALISE

targets qualified third-country nationals (holding professional – occupational post-secondary

qualification, e.g. nurses, teachers, etc – or higher education qualifications), particularly

women and youths (up to age 30 according to the “Youth in Action” definition).

REALISE – Rationale and Contextual Framework1

Europe 2020 is the EU’s strategy for growth and economic revival over the next nine years. The stated objective is for Europe to become a smart, sustainable and inclusive economy, enjoying high levels of employment, productivity and social cohesion. To succeed, Europe must better activate its human capital, increasing levels of skills attainment, innovation and dynamism. However, Europe’s labour market is currently marked by significant mismatches between qualifications workers already have and employment they obtain – particularly immigrants, youth and women.

1 Goldring, I. Thematic Coordinator (2011). REALISE – Rationale and Contextual Framework. In: http://realise2020.wordpress.com/tools--resources/.

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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The EC report ‘Employment in Europe 2008′ finds third-country nationals in Europe disproportionately employed in jobs for which they are overqualified. The economic crisis’ impact is stronger on non-EU nationals, who experienced the sharpest employment rate declines, as indicated by ‘Employment in Europe 2010′ (4.3% of non-nationals versus 2.3%for nationals, 2008/Q2-2010/Q2). The crisis´ effects, the report concludes, may well be enduring, thus requiring particular support for groups most affected: young people, migrants and women. The OECD reports, “A profile of Immigrant Populations in the 21st Century” in 2008 and “Matching Educational Background and Employment: A challenge For Immigrants in Host Countries” in 2007, identified (in EU and OECD areas): � In most countries, immigrants are more likely overqualified for their jobs than persons

born in the country, particularly in Southern Europe (Italy, Greece, Spain) and some Northern European Countries (Denmark, Sweden);

� In all countries, except Ireland and Portugal, immigrants remain overqualified even after 10 years of residence in the country;

� On average 50% of skilled migrants are inactive, unemployed or in jobs for which they are over-qualified;

� Over-qualification is greater among newcomers and migrant women, Greece and Italy having the highest rates of migrant women over-qualification.

Research identified several barriers preventing migrants from accessing jobs matching their qualifications: � Recognition of degrees acquired in country of origin; � Employers have no knowledge about validity of academic or occupational qualifications

acquired in country of origin; � Lack of social networks; � Regulatory aspects; � Discrimination. There’s a need for focusing specifically on the generalised over-qualification of third-country nationals, and for a concrete impact on the problem. Given the structural and long-term nature of the problem, its Europe-wide relevance, the current conjuncture’s concern for economic recovery and expected future demand for skilled labour, it is urgent to find ways to better capitalise on the human resources of skilled third-country nationals, particularly youths and women, and to encourage economic dynamism.

In the context of Project’s second Activity, each partner needs to conduct a local diagnostic

report on the severity and causes of overqualified third country nationals, in relation to their

employment in the host country. As it is mentioned above, existing studies in EU level shows

that the phenomenon under study exists and its dimensions differ from place to place,

depending on factors like local labour market conditions as well as the history and

characteristics of migration in each country.

In accordance with the above, Heraklion Development Agency needs to implement the

corresponding Local Diagnostic Report, focusing on the example of Greece and more specific

in Regional Unit of Heraklion (Region of Crete), providing documented details concerning the

Project’s main areas under discussion: severity, extend and multiple-causes concerning

overqualified immigrants phenomenon.

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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Therefore the main part of the present diagnostic report is focusing on describing and

analysing two main aspects of interest within the locality under study (Regional Unit of

Heraklion in Greece):

a) The general labour market situation, presenting pertinent economic information, key

characteristics of local labour market and general over-qualification figures and qualitative

observations.

b) The profile of third country nationals, focusing on the issue of over qualification, providing

information about: general aspects of migration concerning third-country nationals,

immigrant over-qualification situation, legal - policy and service framework and trying to

explain the reasons for the existence of over-qualified immigrants in the area.

The conclusions that are emerged from the present study will be further exploited in both

transnational and local level. Comparison of individual case studies will provide the overall

portrait regarding the evolution and contemporary causes of the phenomenon under study.

This simultaneously will facilitate local stakeholders group in designing a complete and

realistic intervention, enhancing the integration of overqualified immigrants, by improving the

matching between supply and demand into the local labour market.

Locality under study: Regional Unit of Heraklion

Region of Crete represents to the largest and most populous Greek island, the fifth largest

island of the Mediterranean Sea. It forms a significant part of the economy and cultural

heritage of Greece while retaining its own local cultural traits. Crete is located in the southern

Greece Region of Crete Regional Unit of Heraklion

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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part of the Aegean Sea, covering an area of 8,336 km², which is characterized by its

extensive coastline and mountainous inland. The region is divided into four regional units –

former prefectures – (Chania, Rethymno, Heraklion and Lasithi) and in the frames of National

Strategic Reference Framework (ESPA) 2007-2013 it is included in the territorial unit of Crete

and Aegean Islands. According to the most resent statistics (population census 2011),

permanent residents in Region of Crete reach the number of 621,340 persons, representing

5.8 percent of the total Greek population.

Heraklion is one of the four regional units of Crete and borders on the regional units of

Rethymno to the west and Lasithi to the east. Farmlands are situated in the central and the

northern parts, at the coast and in valleys. The mountains dominate the rest of the regional

unit, notably the south. The wider area presents intense diversity comparing local areas,

taking into consideration the existence of continuously expanding urban centres, the coastal

not urban areas and the isolated localities in the inland.

Heraklion is the most economically developed area in Crete and one of the more productive

regional units in Greece. As a part of the 2011 Kallikratis government reform (Law No.

3852/2010), the regional unit of Heraklion was created out of the former prefecture of

Heraklion. The prefecture had the same territory as the present regional unit. At the same

time, the municipalities were reorganised and reduced from twenty six to eight.

According to the most recent statistics (population census 2011), permanent residents in

Regional unit of Heraklion reach the number of 304,270 persons (150,810 males and 153,460

females), representing 49.0 percent of the total population in the island (density: 115.2

/Κm2). Although the total figure of permanent population in Greece and in other areas of the

country is being reduced during the decade 2001-2011, Heraklion presents a population

increase to 4.8 percent which is higher even from the population increase in Crete (3.4%).

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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4. Research design

and methodology

The present report has been conducted within the framework of Heraklion Development

Agency local support group for REALISE project, using the multiannual experience in

recording and analysing the socio-economic needs and particularities concerning the locality

under study, among with the ability of planning and implementing relevant activities that

leads in substantially and qualitative results.

According to OECD and CREST Université de Paris-I2 there are three different approaches to

the over-qualification problem: “normative” approach, “statistical” approach and “self-

declared” approach. Due to limited statistics within the locality under study, local diagnosis

report mainly uses the third approach, which consists in compiling individuals’ opinions on

whether their jobs match their education, although it is considered as a quite “subjective”

approach.

In this context, Heraklion Development Agency made use of the existing network of

communications and partnerships that is developed with the cooperation of local

multinational groups of third country national, as a result of its ongoing engagement with the

local social issues, emphasising on vulnerable social groups including immigrants. Important

source of information is the official records of vocational counselling for immigrants through

programmes that have been co financed by the European Social Fund in the context of the

2000-2006 Community Support Framework for Greece. These files record personal views and

the progress in local labour market, concerning immigrants who were benefited from these

counselling actions. The difficulties in finding a job that matches their qualifications and

generally in succeeding to recognize their skills and knowledge (formal or informal) in Greece

are basic assumptions.

2 Dumont, J.C. and Monso, O. (2007). “Part II - Matching educational background and employment: a challenge for immigrants in host countries”. In: INTERNATIONAL MIGRATION OUTLOOK - SOPEMI 2007 EDITION: ISBN 978-92-64-03285-9.

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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Also, for the preparation of the present report significant information have been gathered and

recorded. It is important for documentation and objectivity of the present report to conduct a

short theoretical study for each thematic area (local labour market, main areas of economic

activity, migration extend within the locality, overqualified population). In order to do this,

local experts conducted a brief desk-based research which refers to the following:

� search for statistical data and wider studies referring the general themes under study

� search for statistical data and narratives referring to overqualified immigrants within the

host country and to possible existing obstacles

� study of bibliography around planning of an integrated intervention and developing cross-

cultural activities

� locate good practices addressing to the phenomenon of overqualified immigrants (third

country nationals)

� locate good practices for the development and implementation of supporting services

within local labour markets, aiming in matching demand and supply of employment

� search for any relevant information in universities, research institutes, NGOs, chambers of

commerce, or economic, employment departments in local, regional or national level

� study for legal, policy and service framework which is implemented in Greece, concerning

migration, employment and qualifications

� examine EU legislation and strategy concerning overqualified population, employment

and migration

� collection of recent articles, media and internet references relevant with the subject

under study.

Finally, fundamental information are gathered within the context of the creation of Local key

Stakeholders Panels (PLS) for REALISE Project (activity No. 1) in Regional Unit of Heraklion,

under the main project approach, which refers to the organization and implementation of

holistic integrated measures, supported by key stakeholders and decision-makers, ensuring

long-term sustainability. Therefore, REALISE PLS in Heraklion will establish a participatory

work process and an inclusive decision-making mechanism.

Due to networking and establishing REALISE PLS in Heraklion, local experts on behalf of

Heraklion Development Agency organized informative meetings, semi structured interviews

and consultations in order to explore any relevant experience on behalf of involved agencies

and individuals (e.g. Municipality of Heraklion Social Work Office, Council for Immigrants’

Integration in Heraklion, Heraklion Chamber of Commerce and Industry, media

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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representative, Greek Organization of Employment and Work Force – Employment Promotion

Centre Of Heraklion, Decentralized Administration of Crete – Secretariat of foreigners and

migration, third country nationals’ representatives). All previous mentioned stakeholders

contributed substantially to the current study and they seemed to be particularly positive

towards the establishment of a stable structure / network for their information,

communication and exchange of knowledge and experience.

The presentation of finding follows the context and general guidance provided within

REALISE project. It is important for all partners to make use of the specific structure in order

to support the comparative analysis of the available data within the participating countries. In

this way the profits / outputs of transnational cooperation are multiplied and Project’s final

result can be generalized into the basis of a valuable instrument for all interested parties.

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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5. Analysis and findings 5.a. General labour market situation 5.a.1. Pertinent economic information The Regional Unit of Heraklion is the financial development pole of Crete and its economy is

primarily based in agriculture and tourism. Reflection of the financial development of the area

is the development of its capital, the city of Heraklion. The Port of Heraklion is the third

bigger in Greece in vessel traffic and cargo, and its airport is in the fourth place in

passenger’s number and traffic.

For the three main sectors of economy in Heraklion, it is found that, the Gross Added Value

during the year of 2008, the Primary Sector had a 4.3 percent participation rate, the

Secondary Sector (Industry and Construction) had a 13.6 percent while the Tertiary Sector

had the highest rate of 82.1 percent, numbers that are in the same level as the Region of

Crete and Greece at whole.

Over time a significant decline in the Primary Sector’s rates occurred (from 8.3 % in 2000 to

4.3% in 2008), while the others sector’s rates increased (primary sector from 12.5% to

13.6%, tertiary sector from 79.2% in 2000 to 82.1% in 2008).

Primary Sector Secondary Sector Tertiary Sector Gross Added Value per sector (mill.

euro) 2000 2004 2008 2000 2004 2008 2000 2004 2008

Greece 7,933 8,172 6,575 25,224 31,184 37,990 87,224 127,183 165,098

Crete 650 872 626 795 1,197 1,574 5,030 6,677 9,175

Frequency

Heraklion 271 358 256 411 647 804 2,594 3,541 4,862

Greece 6.6 4.9 3.1 20.9 18.7 18.1 72.5 76.4 78.7

Crete 10.0 10.0 5.5 12.3 13.7 13.8 77.7 76.3 80.7

Percent (%

)

Heraklion 8.3 7.9 4.3 12.5 14.2 13.6 79.2 77.9 82.1

Source: National Statistical Service of Greece

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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The decline in the gross added value in the area, as well in the Region of Crete, was a result

of the abandonment of some traditional crops, such as the viniculture, combined with the fall

of the prices of olive oil and some of the vegetables. The areas with the largest decline in

agriculture are those with the largest development in tourism.

Massive tourism trends increase the profits of the area, but also create imbalances. While the

most developed areas, across the northern coast line, continue to develop, the economics of

rural areas of the mainland decline.

5.a.1.1. Primary Sector

The major branches of the primary sector of production of the wider area of Heraklion are

agriculture and animal breeding, while fishery and beekeeping are not so expanded.

The basic characteristics of primary sector at the area, as well as at the region of Crete at

whole, are very small and dispersed farms and crops, very law educational level of the rural

population, reduced competitiveness of products as a result of the increased production and

transportation cost, from the incomplete and dependent infrastructures, productive systems

with low after productive added value. Likewise, crops are most traditional as well as farming

and are also characterized as dispersed with few organized units.

Region of Crete has a 9.5 percent participation in Greece’s added value of the primary sector,

with Heraklion having the most significant percentage of 38.9 percent (regional level). There

is space for improvement for the above findings, by focusing on standardization and

promotion of the most qualified rural products of Crete.

The contribution of the rural sector to the regional unity is of primary importance for the

social cohesion in countryside, and for the employment of the mountainous areas population.

It is also significant for the development in other financial activities, especially in

manufacturing. While the area of the regional unit of Heraklion covers 31.8 percent of Cretan

land, the cultivated area represents 50.0 percent of crops in the island.

Agriculture is the economic base of the wider area of Heraklion, with main advantages soil

and climate, which give the opportunity of producing seasonal products (vegetables and

flowers) and high quality products, both from traditional cultivations, and organic farming.

Several agricultural products of the area (olive oil, cheese, etc.), are recognized by the EU as

Protected Resignation of Origin, Protected Geographic Indication, Special Traditional

Products, etc, while there is a number of other products waiting for standardization.

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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The geomorphology of the region combined with climate and cultivated areas, which are the

most fertile in Greece, promotes crops with high yields. Cultivation of trees is in a high

ranking positions of the sector, while, it is followed by vineyard and vegetable cultivation.

Significant of the rural production is the volume of olive oil’s crops, followed by greenhouses

cultivations. Most of the cultivated areas are in the valley of Messara, of Heraklion, and of

Kastelli, where olives, raisins, cereals, citrus fruits and vegetables are cultivated. In coastal

areas, like the village Arvi, bananas and other tropical fruits are produced. Grapes and wine

are the basic products that Crete exports in the other areas of Greece and in Europe. Also

there’s a production of olives and olive oil, melons, watermelons, avocados, honey, medicinal

and aromatic plants (dittany, thyme, etc). Finally, tree crops are consisted of lemon trees,

orange trees, carob trees and banana trees. Products like wine, raisins, olives and olive oil

are very competitive all over the country and as a result they achieve satisfactory levels of

export.

Worth mentioning is the fact that, despite the lack of population of the mountainous areas,

the working possibilities with alternatives forms of tourism (rural tourism, etc.), is helpful for

rural crops in isolated areas. The continuous development of alternative forms of tourism

gives a new perspective to the agricultural development in Crete.

5.a.1.2. Secondary Sector

Heraklion is the most developed regional unit in Crete concerning secondary sector at Crete,

referring mainly in food industry (57.3% of Gross Value Added in Crete). Most of the

productive activity is located near the city center, mainly in the organized Industrial Area of

Heraklion and secondly in the area of “Finikia” (just outside the city). Secondary sector has

many structural problems, because of the number of the small and family companies,

elements that don’t help its development.

The most important branch of the secondary sector is manufacturing, which is mainly

connected to the processing and packaging of the primary’s sectors products (food-drinks),

as well with the branches of building materials and plastics. In particular most of the

manufacturing companies operate in the following areas:

� Processing and packaging of plant productions, such as packing plants of rural products

(grapes, vegetables, olives, etc), bottling plants (wine, olive oil, beverages, etc.), oil

mills, etc.

Project co-financed under the European Integration Fund

Local Diagnosis Report: The severity and causes of over-qualified third country nationals Regional Unit of Heraklion (Region of CRETE – GREECE)

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� Traditional professions of the area, including specialized stone works like pillars,

fireplaces, etc, creating clay for potteries, etc.

� Processing of animal production, such as cheese factories, plants standardizations of

honey, snails, etc.

� Food production after the first step of processing, such as syrups, bread, traditional

pastas, jams, etc.

The manufacturing plants are mostly of small size, except for the union corporations. The

area of manufacturing of primary’s sectors products has many problems of organization,

quality, planning and standardization, as well as modernization problem of the productive

process. Also, there are a lot of difficulties on organizing trade networks and clusters, and on

promoting local products. The relations between manufacturing and services of networking

with the research centers are in a very low level. However, there is an increase in exports as

we can discover from the period from July 2010 to June 2011 where the increase was 13.5

percent in Crete.

The region unity of Heraklion is also a prefecture of renewable sources of energy, in Europe

and in Mediterranean Sea. Climate changes combined with high levels of heating oil prices,

legislations and financial motives, has driven in an enormous increase of private investments

regarding producing energy by Renewable Resources of Energy (wind and solar panel parks),

while increasing the total capacity of power plants.

The sector of energy and especially renewable sources of energy may become a significant

source of development of economic activities and employment in Crete, and a reason for the

decrease of the need of mineral fuels. The dynamic of this sector remains powerful and there

are great possibilities in the field of hybrid systems. The wider use of renewable sources of

energy technology, contributes to the safety of the energy supplies, the development of new

financial sectors creating new job opportunities. As a consequence of this development is the

creation of new professions and job opportunities regarding development, construction,

production and promotion of the Renewable sources of energy.

The green energy sector can be a growth engine promoting the financial growth, the social

cohesion, the environment protection and the development of the local know-how and

technology.

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5.a.1.3. Tertiary Sector

The most powerful branches of the Cretan economy have grouped together in the tertiary

sector (tourism, trade, banking, health).

Tourism in Crete is the most dynamically developing sector and the demand gave incentives

for important investments in hotel units, resulting in the qualitative and quantitative

upgrading of hotel infrastructures. At the same time it is facing structural problems,

consisting mainly in its seasonal nature and the limited expansion of the tourist movement to

the inland settlements, as tourist infrastructures are mainly gathered in the northern coast

and small centres in the south, while its course is largely influenced by outward,

uncontrollable conditions, contributing to fluctuations in its performance.3

The largest number of hotel beds is found in the region of Crete (21.2% of the total beds in

Greece for 2009). It is noted that for Rent–Rooms and Rent–Apartments units there isn’t

official data recorded, while the units in this area cover 50.0 percent of tourism and beds

that are available. There are about 40,000 enterprises which are mostly family businesses,

without permanent personnel.

Tourist companies of Crete aim in a highly mixed group of people. This conclusion is a result

of a study – research that was composed by the Technical University of Crete4 and

specifically the Department of Production Engineering and was funded by the Regional

Developmental Fund of Crete, the Prefectures of Crete, etc. According to this study, Crete,

as a tourist destination, doesn’t attract a specific type of visitors, although there is a lack of

homogeneity of the tourist profile. We can find tourists of all ages, all financial types,

possibilities and educational level, with different behaviors and demands on accommodation,

food and entertainment. That variety on visitor types is a result of their different nationalities

and on the volume and the characteristics of Crete, which can offer a lot of different choices

than other destinations.

The prolonged economic crisis has a huge affect on the domestic tourism, which may be not

as profitable as the external tourism, however contributes to the increase of overnight staying

and of hotel units and local economy’s income and profits. According to estimates, the

domestic tourism suffered by a 20.0 percent drop.

3 Region of Crete (2012). Economic Facts 2012. In: http://www.crete.gov.gr. 4 Technical University of Crete (2009). Qualitative research for tourism in Crete. Chania: self-published.

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It is a fact that until today the most significant part of tourist market in Crete is owned by

holiday tourism. However, in the last years there’s a research and development of new,

alternative, milder and more energetic types of tourism. This trend is a new reality for the

international tourism needs, which tends to specialize and expand the tourist products and

services.

Trade and Services

The Regional Unit of Heraklion has a strong trade activity. A great number of businesses

operate services and products, including exports in national and international market. Also,

major shipping companies operate in the island contributing to employment and local

economy, creating a trade channel with the rest of Greece, and Mediterranean Sea at whole.

In the year 2005 Heraklion owns the third place of new companies’ registrations. From the

view of the number of registrations per activity, trade has an increase between the years of

2002-2006, followed by the sector of services (including hotels), and the sector of

manufacturing. However, there’s an increase of companies that shut down, showing signs of

a decrease in business activity.

Comparing with the other regional unities of Crete, Heraklion has the highest number of

companies. The 53.0 percent of companies in Crete operate in Heraklion, followed by Chania,

Rethymno and at last Lasithi, while the results are the same according to assets and sales of

businesses.

According to the latest information from the Business Register of the National Statistical

Service of Greece in 2006, a number of 26,685 businesses operate in Heraklion prefecture,

with a total turnover of 5.3bill of euro. The 71.2 percent of those businesses are of the

tertiary sector, 24.2 percent of the secondary sector an only 4.5 percent of the market

involves business of the primary sector.

In a research that was composed by the National Observatory of the Small-Medium

Enterprises in 20075, aiming at the qualitative and quantitative investigation of business

environment of SMEs in national and regional levels, the following conclusions were found,

regarding dynamic and problems of very small, small and medium enterprises in Prefecture

of Heraklion:

5 National Observatory of the Small-Medium Enterprises (2007. Research of defining entrepreneurial profile and indicators concerning the economic activity of SMEs. In: http://pforumgr.eommex.gr/eommex/ (in Greek).

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� The average number of employees per sector of financial activity of the businesses is:

16.5 transportation, logistics, communication / 2.6 hotels and restaurants / 20.0

wholesale – retail trade / 9.1 manufacturing industries / 2.0 education / 4.9 constructions

/ 6.4 real estate. Furthermore, the employment in Crete is enhanced by wholesale and

retail trade.

� According to businesses profit indicators: a) the gross profit margin is 0.47 for very small

enterprises, 0.02 for medium enterprises and -3.86 for small ones, b) the net profit

margin is recorded as 0.21 for very small, 0.02 for small and -0.11 for medium

enterprises, c) the branches with the highest margins gross profit and net profit margins

are hotels / restaurants and constructions, while wholesale and retail trade displays

negative values.

� As a financial and raise capital source regarding the start-ups, 90% declares the use of

equity and only 2.0 percent declares the solutions of a bank loan. During operation of

business, 98.0 percent raise capital from its own resources.

� Reasons for collaboration between the SMEs are usually the access in new markets, the

providing of ancillary services, the reduce of the operating costs and access to technology

and expertise.

� 69.6 percent of SMEs uses modern technologies of informatics and communication, daily,

while a 62.7 percent has a corporative web site. From the other hand, an 80.0 percent

doesn’t use any particular software application (except the accounting departments).

� Crete is one of the Regions with the highest levels of enterprises certified by a quality

management system EN ISO (1 out of 4 in medium enterprises, 1 out of 2 in small

enterprises, and 1 out of 9 in very small enterprises).

� Very few enterprises (11.0%) exports, while the sector of wholesale and retail trade has

the highest levels of imports.

� In all sectors, the main problems for new enterprises are strong competitors in the field,

as well as the inflexibility of laws.

� Honesty / reliability, expertise, insights and public relations are referred as the main

characteristics of a good businessman.

� According to the entrepreneurs, the financial lack, combined with the market power of

costumers, the excessive competition / saturation in specific sectors and the high taxes

are some of the main problems of local markets.

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5.a.1.4. Major problems and economic crisis

At this stage there are indigenous and extraneous factors that affect in negative way local

labor market and widely local economy, exerting, in some cases, “tight” pressure, particularly

on more vulnerable groups of people. The economic crisis and the inevitable consequences

both for the small and medium enterprises (it is the vast majority of local businesses) and for

the households, in urban and rural areas, have created an overall negative atmosphere for

both the local economy and local labor market.

Increasing unemployment is an existing problem also at local level, while at the same time

the number of long term unemployed, that are unable to reintegrate into the labor market,

expands. Young, women, persons with low qualifications and vulnerable groups of people,

are those most affected by the current situation. The continuous cuts to the social care /

solidarity amenities and the austerity measures have now created conditions, for many

households, particularly precarious in terms of ensuring basic social goods. The periodic

expansion of unemployment (seasonal), given the seasonal manpower needs of the leading

economic sectors (tourism and primary sector) is the main specific feature of the prefecture

and the whole island, compared with other areas of the country.

Primary sector in Crete and product management are “at a turning point and it is necessary

to change and transform them in order to create viable businesses and shift from subsidized

agriculture in an agriculture where rural income will derive from production rather than

subsidies"6. Low skills and education, the lack of business organization and cooperation and

partnership mentality (particularly as for the smaller businesses), high production cost, the

limited connection with the secondary and mostly tertiary sector and the lack of

environmentally friendly practices and sustainable management of natural resources, are

currently the key issues.

Secondary sector in the Regional Unit of Heraklion is the most developed at Crete, bringing

together a large number of businesses coming, mainly, from manufacturing, building

materials and plastics. The very small size, the important organizational, administrative and

economic weaknesses, the absence of organized partnerships and networks, the inadequate

link between businesses and academic-research centers and the dependence from the

conventional sources of energy are the major problems encountered by the sector. In

addition, the construction industry is currently in recession, which has negative impact in

6 Vrentzou, Th. (2011). Strategic Plan of the Region of Crete for the development of the Primary sector and the product management. Heraklion, Region of Crete.

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terms of employability, both for experts and for low qualified persons working as builders,

assistants etc.

Tertiary sector, although the most developed sector in the Regional Unit of Heraklion, faces,

in turn, significant problems, attributed both to the broader economic crisis and to a standstill

in old practices (limited flexibility and adaptability). The very small and small businesses of

tourism and trade are in the worst position. The major problems listed include: low business

competiveness, inability to innovate, low skilled workers and entrepreneurs. In tourism

sector, those factors are combined with the broader lack of tourist mentality and awareness,

in terms of sustainable and alternative practices, and also with the lack of strategic

partnerships and an integrated and targeted long-term plan for tourism. In trade, excess

liquidity and consumerism behavior beyond any control during the past years, led the

businesses to easy profits, disregarding business plans. Rapid decline in consumption,

establishment of big multinational companies in Crete and illegal trade, created a highly

uncertain environment for small trade businesses.

Apart from the above mentioned critical issues, arisen as a result of the recent financial

conditions in the state, the local temporal problems should not be ignored.

The declining youth population and the increasing number of elders is a matter of fact with

upward trends for the future.

Intra-regional disparities constitute a major weakness of the region, since the most

developed areas along the coasts have been growing, whereas the rural inland areas have

been increasingly deteriorating. Accessibility from the most remote areas of inland to the

coasts of the prefectures, where economic activity is concentrated, is rather limited,

considering the serious deficiencies in road network.

The major environmental constraints against coastal areas include irrational management of

natural sources and waste (uncontrolled disposal), inadequate waste management

infrastructures, desertification and human (mostly tourist) activities.

Energy deficit is one of the most acute problems faced by the Region of Crete. Energy

demand in the island is not covered by the existing power generation infrastructure, while

during summer period the balance between production and demand for electricity is negative,

due to increased consumption. The total electricity consumption is around 5% of the whole

country, which is predicted to increase.

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Social inequalities, concerning, particularly vulnerable groups, are also evident. Although

Crete and specially the Regional Unit of Heraklion, is among the less risky areas in terms of

poverty7, however lately the number of families and individuals seeking the support of local

bodies and organizations is getting higher. According to the literature8, poverty and social

exclusion seem to split (ad hoc) the population intro three broad categories:

a) Dimensional exclusion (net poverty), that is proportion of people experiencing only the

deprivation of money income.

b) Twofold social exclusion that is poverty and one disadvantage.

c) Multidimensional or extreme type of social exclusion (three or more dimensions of which

one is poverty).

Considering the proportions of people excluded in each individual dimension, at regional level,

it seems to be a high risk in the following factors: residence (14.1%), basic needs and

economic constraints (29.9%), health (13.0%), family and networks (10.6%) and education

(13.9%).

In conclusion, it is noted that the local problems derive both from internal weaknesses and

external threats. Regional unemployment is a real and growing phenomenon, while the most

affected are the vulnerable groups of people, which in most cases experience

multidimensional social exclusion. On the other side, local economy, relying primarily on

tourism and related services, trade and primary sector, grows by means of very small and

small businesses, which seem to face common problems.

According to the above analysis, as noted, there is, in all sectors, a real need to upgrade the

labor skills, in combination with a shift to sustainable and innovative practices and a

networking and partnership development that are going to create added value and promote

local economy.

7 «Despite the fact that an important part of the academic literature supports and documents that the poverty rate is an inadequate indicator, however it remains the most popular statistic. This can be a serious problem in case that the indicator is used to draw conclusions and make suggestions in the field of social policy». Kikilias, H. (2005). «Intensity of Poverty Intensity of Employment and Social Policy Effectiveness: An approach from households perspective». Institute of Social Policy. Proceeding of the conference on: poverty, exclusion and social disparities (Lavrio, 22-23/12/2005). Athens: self edition, p. 54. 8 Balourdos, D. (2005). «Social exclusion in Greece: Methodological reflections and indicators». Institute of Social Policy. Proceeding of the conference on: poverty, exclusion and social disparities (Lavrio, 22-23/12/2005). Athens: self edition, p. 88.

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5.a.1.5. Strengths and opportunities within the locality

According to the analysis included in the formal edition of the Operational Program of Crete

and Aegean Islands9, the common development features of the eligible areas are summarized

in the following:

� Awareness in terms of promotion and use of natural resources.

� Significant concentration of areas with remarkable natural environment in conjunction

with important historic and cultural assets.

� Favorable strategic position of the Spatial Unit of Crete and Aegean Islands in the

socioeconomic area of the Mediterranean basin.

� Major impact of tourist sector on the regional economy and tourist and cultural sources of

international scope.

� Tourist development by enriching tourist product, enhancing new products, allocating

evenly visitors, attracting combined investments and using new technologies.

� Cultural product of high quality, which includes, apart from traditional cultural sources

and museums, modern art and “culture of taste”.

� Multi functional networks of “live” urban centers, with structured hierarchy and specific as

well as emerging growth poles.

� Broad variety and famous local quality products.

� Outstanding education, research and technological institutes.

� Growing population and people attracted from inside and outside the country, open and

flexible labor markets in conjunction with the absence of critical problems in terms of

social cohesion.

� Cretan cuisine and Cretan diet, which have been repeatedly promoted from international

scientific institutions and media. The Cretan products have been increasingly promoted

and demanded in foreign countries due to their recognized high quality and their benefits

on human health. The Cretan diet model is suggested, in the context of Mediterranean

nutrition, as beneficial to health, wellness and longevity.

� Production of products of protected destination of origin (PDO, PGI).

� Growing manufacture, particularly food and beverage industry that is connected mainly

with the processing of agricultural and livestock products (olive oil, dairy products, table

grapes, wine, raisins, olives, traditional cakes and pastries).

� Growing energy sector thanks to the use of alternative energy sources. The Prefecture of

Heraklion has a powerful, and largely unexploited, potential of Renewable Energy

Sources (RES), namely wind and solar energy and biomass.

9 Official version of the Operational Program of Crete and Aegean Islands 2007-2013 (2007GR16UPO002) at http://www.pepkritis.gr, p. 107.

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The rich cultural heritage and the important, but unexploited, local capital, constitute one of

the most powerful competitive advantages of the proposed intervention area. The Regional

Unit of Heraklion has cultural and historical wealth, rarely found in other parts of Greece.

Archeological sites and museums, traditional settlements and monuments, monasteries and

churches, combined with intangible cultural heritage (language, music, arts, customs, folk

oral traditions etc) render Heraklion suitable for soft interventions that promote cultural

identity, economic and social progress and improve quality of life.

Natural, energy and other resources and raw materials of high quality are some of the

region’s features. Rich and often unique flora and fauna, minor but important habitants,

caves, canyons, plateaus, small but of unique ecological value islands and a large number of

protected areas make up the environmental profile of Heraklion, creating perspectives for

development, with respect for people and environment.

The carrying capacity of the proposed intervention area and the contemporary social needs

contribute to the redefinition of local development. The potentials of the intervention area

may be, under conditions, the new driving force of local economy, with promising

perspectives for a way out of economic crisis and job creation. There are plenty opportunities

to this end such as:

� Funding opportunities and financial aid through NSRF 2007-2013;

� Green development policies;

� Policies and incentives for the promotion of Renewable Energy Sources;

� Policies reinforcing social economy;

� Policies enhancing corporate social responsibility;

� Potentials to use innovative and contemporary technologies;

� Use of informal and formal networks for establishing new collaborative structures;

� Growing demand of soft and alternative types of tourism;

� Strengthening interconnections between advanced economic centers and rural areas.

Sustainable and viable growth

A number of important initiatives of the Local Authorities (municipalities and regions), of

other public bodies and private individuals, have been held during recent years in the area of

Heraklion and in Crete, referring to the improvement of local market, and the qualitative turn

into more viable and innovative actions. The meaning of sustainability is a modern challenge

in the field of managing the changes in a local level. It demands the integration of social,

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environmental and financial targets, including the actions of maintaining the balanced

multifactor capital of each area. The following definitions are characteristic:

“By viable growth we mean the growth that respects the environment, is technologically

right, economically possible, socially accepted and satisfies the needs of present generations

without risking the needs of the future generations.”10

“Viable society is the one which can exist for generations and generations, can see far

enough, and can be flexible and wise enough to avoid undermining either the natural or the

social supporting systems.”11

The difficulties within the two basic sectors of financial activity growth in Heraklion (rural

sector and tourism), can be treated with the collaboration of those sectors in the frame of

sustainability, aiming to the economic and social improvement of the area as well as the

improvement of quality of life and the protection of environmental an cultural sources.

Regarding the rural production, it is vital to turn to organic agriculture and farming

(remarkable steps have been made in olive cultivations), production of quality products with

significant added value, modernization of agricultural holdings, and of processing of produced

goods, aiming at the performance improvement and the environmental protection. At the

same time, the inland of the prefecture, could attract visitors by providing alternative or/and

special forms of tourism, by elongating the tourist season, and using, in the best possible

way, its comparative advantages, regarding the natural and cultural environment. As a result

there would be a diversification of the local producing structure and competitiveness of local

economy. Heraklion, with its intense variety and peculiarity of natural and structured

environment, with its rich cultural activity, can develop a number of activities that could

connect the society with environment and culture, promoting the creation of new possibilities

of mild economical growth and employment with the alternative and green professions.

Social Entrepreneurship - Social economy

According to recent legislation (Law No. 4019/2011: Gov. Gazette, vol. 216A), the term of

Social Economy includes “the total of economic, business, productive and social activities that

undertaken by entities or associations whose statutory objective is the pursuit of collective

welfare and service the general social interests”. Other definitions that can be seen at the

bibliography12 for the meaning of social economy, have the same conclusions regarding the

10 UNEP (1996 ). «Environmental Program Of the United Nations».: http://www.unep.org/. 11 Meadows, C., et al. (1972), the Limits of Growth, New York: Universe Books. 12 a) Defourny, J. (2001) "From Third Sector to Social Enterprise": The Emergence of Social Enterprise Borzaga, C. and Defourny, J. (eds). The Emergence of Social Enterprise, London: Routledge. b) National Institute of Labour (2002). Prospects for employment in the social economy. Thessaloniki: Sakkoulas, pp. 33-38. c) Ziomas, D. (2007).

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factor of mutual help and service providing to the local societies, and giving priority to

individuals and employment, than capital and profits.

The experience until today, has promoted the meaning and effectiveness of social economy

in the attempt of vulnerable groups’ (re)integration that are facing the phenomenon of social

exclusion and unemployment. In Greece, but also in the regional unity of Heraklion, social

entrepreneurship isn’t a new phenomenon. However, untill recently, the basic problem of

development was the lack of a suitable and flexible frame for the institutional, administrative

and financial support for initiatives in this area13. The Law No. 4019/2011 attempts to change

those circumstances.

Corporate Social Responsibility

The meaning of Corporate Social Responsibility (CSR) is becoming increasingly important in

daily business practices of Greek SMEs. On the other hand, Greece is still in a primary phase,

regarding the systematic, conscious and inclusive application of CSR14. However, within the

last years a number of significant actions took place for informing and raising awareness of

the general public and the Greek entrepreneurships.

In 2006 University of Athens undertook a research regarding CSR, and the participation of

300 SMEs15. The conclusions by the research have shown that the meaning of CSR is

connected with very large companies and corporations. However, the financial, environmental

and social role of SMEs was significant enough to cover a 90.0 percent of the total business

activity in Greece. Furthermore, the search showed that most of the CSR activities that were

applied by SMEs, exclusively aim their own human resources. In fact, the businesses use CSR

with a connection to marketing, without involving entirely their entrepreneurial activities,

which have an impact on environment and society.

"Approaching the Sector of Social Economy in Greece: Current Situation, Trends and Prospects." In: http://www.socialeconomy.gr. d) European Economic and Social Committee (2007). The Social Economy in the European Union: Summary of a report on the European Economic and Social Committee of the CIRIEC. In: http://www.eesc.europa.eu. 13 Same as before: Ziomas, D. (2007)… 14 a) «Corporate Social Responsibility is a concept whereby companies voluntarily integrate social and environmental concerns in their business operations and in their interaction with their stakeholders." European Commission (2001). Green Paper - Promoting a European framework for corporate social responsibility. COM (2001) 366. b) «Corporate Social Responsibility (CSR) is the Corporate Social Responsibility is called the voluntary commitments of businesses in their practices to support social and environmental actions, beyond what is required by law and are associated with all those directly or indirectly affected by their activities." National Network for the Corporate Social Responsibility (2008) «Guide of CSR for the SMEs»: http://www.csrhellas.gr/. 15 Workshop on New Technologies in Communication, Education and SMEs (2006). Research on CSR in SMEs: Conclusions Report: www.csrhellas.org.

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Modern economic challenges, environment and society have a huge effect in

entrepreneurships and in general public. Very promising were the findings of the fifth

research on the “Corporate Social Responsibility and Responsible consuming” (CSR 2009),

from the Institute of Communication and the Pantion University. More than the half of the

consumers (51.1%) award / or will award businesses that are social sensitive (while in 2003

that percentage was only 10.6%), while 50.9 percent of them have “punished” companies

without social sensitivity, either without buying their products, or by expressing negative

comments for them.

5.a.1.6. Financial Sectors with most promising growth prospects

In the quarterly research of the National Statistic Service on job vacancies for the second

quarter of 2011, the estimation of this number is presented per sector of financial activity.

Those job opportunities will be covered directly or in the near future. The following table

shows the information regarding Greece at whole:

Number of vacancies by sector of economic activity

across the country (2nd quarter 2011) Frequency Percent (%)

Public Administration and defense, statutory social security 13,195 36.1

Wholesale and retail trade, car and motorcycle repair 5,770 15.8

Education 3,005 8.2

Accommodation and food 2,924 8.0

Manufacturing 2,592 7.1

Transportation and logistics 1,402 3.8

Constructions 1,094 3.0

Other activities of services 1,033 2.8

Administrative and Supporting Activities 910 2.5

Sewage and Drainage 839 2.3

Health and Social Care 813 2.2

Arts and Entertainment 785 2.1

Mining and quarrying 735 2.0

Professional, Scientific and Technical Activities 585 1.6

Real Estate 417 1.1

Information and Communication 282 0.8

Financial and Insurance Activities 136 0.4

Electricity, gas, steam and air conditioning. 6 0.0

Total 36,523 100.0 Source: National Statistical Service in Greece. Labour force survey: 2nd quarter of 2011

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From the above we can observe that the tertiary sector (wholesale and retail trade, tourism

and food) still remains at the top of the financial activity of private area, while there is a 25.0

percent demand on job vacancies.

According to most resent elements from ICAP16, the top forty branches of Greek Economy

during 2011 are: drinks and beverage, delicatessen, fast-food restaurants, renewable energy

sources, car spare parts, car dealerships, pastries, chemical raw materials, dairy products,

sanitary appliances, newspaper-magazine publications, car rentals, office furniture, household

furniture, breweries, computer services, health technical products, private security services,

private health services, fish farming, cosmetics, café chains, air conditioning, vehicle oils,

computer software, logistics, hotel businesses, winery, ice-cream factories, real estate, super

markets, stable – mobile telephony, audio – video devices, cheese products, fuels, courier

services, pharmaceutical companies and juice – soft drinks companies.

From the general aspect of the intervention area and the financial branches, we can realize

that most of the growth perspectives are found on the Tertiary Sector (tourism – alternative

forms of tourism). Furthermore, there are positive perspectives from the connection of the

Primary and the Secondary Sector, in processing of agricultural products, and in renewable

energy sources. There is a necessity for turning into alternative forms of Sustainability, into

upgrading human resources skills, and into developing networking and collaborative effort on

promoting the local products.

5.a.2. Key characteristics of local labour market 5.a.2.1 Employment

Human resources and unemployment are two of the most important factors that determine

the dynamic development and the level of prosperity in a region. This part examines the

evolution and current situation of the economically active population (Employed and

Unemployed) and employment in the Region of Crete and Regional Unit of Heraklion,

according to the official statistical data of the 1991 and 2001 censuses17.

Economically active population (employed and unemployed) in Crete followed a rising trend,

according to the table below, showing a reinforcement of workforce.

16 ICAP (2011). Top 40 Branches of Greek Economy in 2011: http://www.icap.gr/. 17 National Statistical Service of Greece (1991 and 2001). In: http://www.statistics.gr.

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Economically Active Population Movement (Region of Crete)

1981 1991 2001

Economically Active Population 193,174 211,185 261,665

(162,179 males and 99,486 females)

EAP (% in total population) 38.5 39.1 43.5

Source: National Statistical Service of Greece, Censuses 1981, 1991, 2001.

Economically Active Population per Municipality

Economically Active Population

EAP (% in total population)

Currently working Non Economically Active Population

Regional Unit of Heraklion

129,001 49.7 115,162 130,748

Municipality of Heraklion

70,512 50.2 63,012 70,033

Municipality of Archanes – Asterousia

8,089 49.4 7,555 8,275

Municipality of Viannos

2,723 45.5 2,426 3,266

Municipality of Gortina

7,795 48.4 7,029 8,318

Municipality of Malevizi

9,678 51.7 8,420 9,026

Municipality of Minoa Pediados

8,892 48.2 8,160 9,546

Municipality of Festos

10,291 47.9 9,382 11,194

Municipality of Hersonissos

10,021 47.5 9,178 11,090

Source: National Statistical Service of Greece, Census 2001.

The following table illustrates the economically active population, according to 2001 census,

by occupational position, sex and age group. Economically active population represents

almost half of the total population in the Region of Crete as wall as in Regional Unit of

Heraklion and its Municipalities.

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Source: National Statistical Service of Greece, Census 2001.

Employment rates in the area are characterized by a large number of entrepreneurs (33.7%

employers and self-employed), of whom the vast majority are men (74.9%). This follows the

general trend in the Region of Crete (33.3% of entrepreneurs) but it is higher in comparison

with the similar percentage in the country (27.1%). Employees in the area reach 56.9 percent

of the Economically Active Population which is lesser than the relevant percentage (62.8%) in

the country.

In the second quarter of 2011 employment rates per sector of economic activity in Region of

Crete reached 21.3 percent for the primary sector, 14.1 percent for the secondary sector and

64.5 percent for the tertiary sector. The economic sectors of agriculture, commerce and

accommodation absorb the majority of work force.

Employment rates % per Sector of economic activity Greece Crete

Agriculture, Forestry and Fisheries 12.3 21.3 Mines And Quarries 0.3 0.1 Manufacturing 10.0 6.0

Electricity, gas, steam and air conditioning supply 0.5 0.4 Water supply, sewage treatment, waste management and remediation

activities 0.7 0.4

Construction 6.3 7.2 Wholesale and retail trade industry, vehicles and motorcycles repairs 18.6 17.2

Transport and storage 4.9 3.8 Accommodation and catering services 7.3 13.2

Information and communication 1.9 0.6 Financial and insurance activities 2.7 1.5

Occupational Position

Sex / Age Group

Total Employers

Self-employed

Employees

Household members supporting family business

New entrants into the labour market

Greece

Both sexes 4,621,848 502,799 749,930 2,900,546 221,418

247,155

Region of Crete

Both sexes 261,665 29,247 52,803 151,094 17,205 11,316

Regional Unit of Heraklion

Both sexes 129,001 14,419 26,511 73,451 8,835 5,785

10-14 180 0 0 7 4 169

15-44 88,055 8,274 12,498 56,495 5,247 5,541

45-74 40,573 6,131 13,854 16,937 3,576 75

75+ 193 14 159 12 8 0

Males 79,324 10,675 20,005 43,408 1,856 3,380

Females 49,677 3,744 6,506 30,043 6,979 2,405

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Employment rates % per Sector of economic activity Greece Crete

Real estate management 0.1 0.1 Professional, scientific and technical activities 5.1 3.7

Administrative and support activities 2.0 1.8 Public administration, defense and social security 8.8 7.5

Education 7.5 7.0 Human health and Social care 5.7 4.4

Arts, entertainment and recreation 1.2 0.5 Other services 2.1 1.9

Households as employers 1.9 1.3 Source: National Statistical Service in Greece. Labour force survey: 2nd quarter of 2011

Employment variations in recent years are characterized by the diminution of employment in

primary sector, the immobility of manufacture and the creation of numerous working

positions in other sectors of the economy, especially in services. Generally, the recent losses

in job positions took place in the productive areas that employed low-qualified and upper

average age workers such as agriculture, transport, traditional manufacturing, construction

etc. This has led to the raise of long-term unemployment rates for unskilled and middle or

older age work force.

5.a.2.2 Unemployment

Unemployment is a phenomenon affecting the unemployed person as well as the wider

society in which it occurs. Basic dimensions of these effects are listed below:

� The individual loses its economic independence and fails to cover basic life needs

(housing, nutrition, participation in social activities).

� Health problems may reveal. It is most often for the person to blame himself and

develop withdrawal behaviors, intense stress, depression or aggressiveness and there is

also negative impact on interpersonal relationships.

� Unemployment reduces opportunities for socialisation and has negative impact on the

process of personal development.

� A family with an unemployed person is also adversely affected in both economical and

emotional level.

� It is not easy for job seekers to find a new occupation which is relevant with their

qualifications and interests and it is most common for them to minimize their demands.

� An important part of human recourses remains untapped, a fact that affects local

economy and social development.

� A significant part of citizens discredits policy and refuses to participate actively in

common.

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� Social marginalization, stigmatizing, social exclusion and xenophobia are increased,

threatening social cohesion.18

Concerning unemployment and its effects, it is clear that unemployed people may face

multiple problems and their complexity is increased when they are combined with other daily

difficulties and limitations due to other characteristics (e.g. disabilities, sex, citizenship,

poverty etc.). In this way a constant circle of social exclusion is created, making even worse

the whole situation.

The unemployment rate in Greece in the third quarter of 2011 was 17.7 percent, compared

to 16.3 percent in the previous quarter and 12.4 percent of the same period in 2010.

Therefore the employment rate decreased by 1.9 percent compared with the previous quarter

and by 7.4 percent compared to the same period of 2010. The number of unemployed

increased by 8.3 percent compared to the previous quarter and in 41.2 percent compared

with the same period of 2010.19

2010 2011 Unemployment Rate (%): Nov 2010 – Nov 2011 11ος 12ος 1ος 2ος 3ος 4ος 5ος 6ος 7ος 8ος 9ος 10ος 11ος

Crete 14.5 14.8 14.6 15.2 14.5 14.4 16.1 10.9 11.0 16.4 13.3 15.7 19.4

Creece 13.9 14.8 15.1 15.9 16.2 15.8 16.6 16.0 16.5 18.4 17.5 18.2 20.9

Source: National Statistical Service in Greece. Labour force survey: 3rd quarter of 2011

In particular, the unemployment rate in the Region of Crete for the third quarter of 2011 has

reached the percentage of 14.6 percent and has increased by 5.8 percent comparing with the

data from the same period in 2010 (9.8%). The increasing tendency of unemployment rate is

causing great concern.

3rd quarter: July – August – September Unemployment rates by region: 3rd quarter 2011-3rd quarter 2010 2010 2011

Region of Crete 9.8 14.6

Greece 12.4 17.7

Source: National Statistical Service in Greece. Labour force survey: 3rd quarter of 2011

18 Heraklion Development Agency S.A. (2007). Guide for counselling and Vocational Guidance Services. Archanes: self publication. 19 National Statistical Service in Greece. Labour Force Survey: 3rd Quarter of 2011. In: http://www.statistics.gr.

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Regional Unit of Heraklion presents a fairly high average annual unemployment rate (13.0%),

as it is shown in the following table.

Annual Unemployment

Rates (%) 2004 2005 2006 2007 2008 2009 2010

Lasithi 6.3 5.5 6.5 5.4 3.8 7.6 8.5 Heraklion 8.2 7.6 7.3 5.1 6.7 8.9 13.0 Rethimno 11.6 7.4 6.8 7.6 10.3 12.9 13.6 Chania 5.3 6.6 6.9 4.2 4.6 7.0 9.3 Creece 10.5 9.9 8.9 8.3 7.6 9.5 12.5 Source: National Statistical Service in Greece. Labour force survey: 4rth quarter of 2010

It should be noted that unemployment in Heraklion and generally in Crete is increased during

some months of the year, mainly because the seasonal occupation in the sectors of tourism

and agriculture. Therefore the number of unemployed is increased usually in October with the

end of the tourist period and reaches the highest rates from November to March each year.

Then it starts to decrease in April and reaches the lowest rates during the period from May to

September. Economic problems in the local market has affected the duration of seasonal

employment, which has been significantly reduced.

According to official statistics of the Greek Organization of Employment and Work Force

(OAED), in January 2011, the number of unemployed jobseekers in Crete reached 34,431

persons (4.6% of total unemployed jobseekers in the country). A number of 10,245 people

remains registered in the official records of the national employment agency for a period of

twelve or more months (long-term unemployed) and 24,186 people are unemployed for a

shorter period of time.

Unemployed (jobseekers) Number of

unemployed jobseekers

(January 2011)

Registered less than 12 months

Registered more than 12

months

Total (frequency)

Total (percentage)

Greece 306,084 455,685 761,769 100.0 Region of Crete 10,245 24,186 34,431 4.5 Source: Greek Organization of Employment and Work Force, January 2012

Regarding subsidised unemployed (number of beneficiaries that received unemployment

benefit in January 2012), they reached 33,166 people in Crete:

� 20,500 common unemployed from seasonal tourism (61.8%);

� 7,668 common unemployed from other working areas (23.1%);

� 4,490 unemployed from other seasonal occupation (agriculture) (13.5%);

� 411 unemployed builders (1.2%);

� 61 unemployed staff from the area of education (0.2%) and

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� 36 other unemployed (0.1%).

Unemployment rate for women is significantly higher than for men. Concerning the total

number of registered unemployed in January 2012, 13,816 are men (percentage of 41.7%)

and 19,350 are women (58.3%).

The highest unemployment rate (74.1%) refers to the age group from thirty to fifty four

years with a number of 24,585 registered unemployed, followed by the age group of less

than thirty years (6,525 people; 19.5%) and the age group of over fifty five years (2,129

people; 6.4%).

The distribution of unemployment, according to the educational level is as followed:

� The highest rates refers to unemployed that have finished compulsory education (up to

middle secondary education - Gymnasium) (15,429 people; 46.5%) or have graduated

senior high school (14,932 people; 45.0%).

� The lowest percentage refers to higher education unemployed (2,778 people; 8.4%),

while illiterate unemployed reaches only a 0.08 percent (27 people).

The vast majority of registered unemployed are Greek citizens (26,178 persons; 72.9%),

followed by other nationalities from the European Union (2,656 persons; 11.7%) and third-

country nationals (2,897 persons; 9.4%).

As it is mentioned above, unemployment rates in Crete are much higher taking into

consideration a number of 16,188 new unemployment applications in the beginning of 2012

from people that have lost their jobs recently. Furthermore, an important number of

jobseekers do not meet the registration requirements of the official unemployment records or

chooses not to register or is not aware of the registration process.

According to the comparing data for the unemployment rates in Crete, between January 2010

and January 2012 (see the below table) it is clear that:

� The number of total registered unemployed in January 2012 has increased by 1,466

persons since December 2011 (percentage change 4.4%), by 5,340 persons since

January 2011 (percentage change 18.6%) and by 8,468 persons since January 2010

(percentage change 32.7%).

� The number of registered long-term unemployed in January 2012 has increased by 687

persons since December 2011 (percentage change 7.2%), by 2,788 persons since

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January 2011 (percentage change 37.4%) and by 5,550 persons since January 2010

(percentage change 118.2%).

� The percentage changes of registered unemployed and long-term unemployed, the last

two years, in Crete are higher than those of the country.

Region of Crete Greece Unemployed and long-term unemployed jobseekers

Total >= 12 months Total >= 12 months

January 2010 25,945 4,695 615,286 161,165

January 2011 29,091 7,457 689,558 247,000

December 2011 32,965 9,558 730,621 291,804

Number of registered

unemployed

January 2012 34,431 10,245 761,769 306,084

Jun, 2010- Jun, 2012

32.7 118.2 23.8 89.9

Jun, 2011- Jun, 2012

18.3 37.4 10.5 23.9

Percentage

change (%)

Dec, 2011- Jun, 2012

4.4 7.2 4.3 4.9

Source: Greek Organization of Employment and Work Force, January 2012

The most recent available data (January 2012) shows a number of 14,263 registered

unemployed people from various vulnerable population groups, in the Regional Unit of

Heraklion, according to the table below:

Vulnerable Population Groups Total % Males % Females %

Former prisoners 17 0.1 5 29.4 12 70.6

People with disabilities 345 2.4 163 47.2 182 52.7

Individuals under the threat of social exclusion

87 0.6 12 13.8 75 86.2

Special cultural groups 52 0.4 24 46.1 28 53.8

Long-term unemployed over 45 years

1,215 8.5 557 45.8 658 54.2

Immigrants 768 5.4 337 43.9 431 56.1

Repatriates / Refugees 14 0.1 9 64.3 5 35.7

Former drug or alcohol addicts 58 0.4 33 56.9 25 43.1

Poor / homeless of individuals under the threat of poverty the threat of social exclusion

11,706 82.1 5,525 47.2 6,181 52.8

HIV positive people 1 0.0 0 0.0 1 100.0

Total 14,263 100.0 6,665 46.7 7,598 53.3

Source: Greek Organization of Employment and Work Force, Unemployment Records in 31/1/2012

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Concerning the group of unemployed immigrants, 43.9 percent are men (337 persons) and

56.1 percent are women (431 persons). The majority of them is married and has graduated

from primary school, while there is a low percent of higher degree holders, referring mostly

to Russian Federation nationals.

5.a.3. General over-qualification figures and qualitative observations The trend that has prevailed inside Greek society is characterized by a tendency toward high

level and life long learning. In order to counterbalance weakness of previous generations,

due to previews financial and political circumstances, Greek families tend to saddle their

youngsters with a range of skills and knowledge, from a very early age, which continues even

after their undergraduate studies. As a result, there seems to be an important number of

unemployed inside the labour market, who are highly educated / trained and hold

multifaceted knowledge. These people cannot be absorbed by the local labour market despite

the fact that they are overqualified.

According to the available statistical data (census 2001), the educative level of permanent

population in Heraklion prefecture presents differentiations in comparison with relative data

from Crete and it is closer to the general educational profile of the country.

Heraklion prefecture Population age <=6 year per sex and educational

level20

Total (Greece)

Total (Region of Crete) Total Males Females

82,631 2,656 1,554 Post graduate diploma holders (doctorate or master's degree) 0.8 0.4 0.6

984 63.3 570 36.7

1,181,605 56,388 28,404 University degree holders 10.8 9.5 10.5

14,833 52.2 13,571 47.8

363,273 15,947 8,142 Received a third - level technical - vocational institution degree 3.3 2.7 3.0

3,472 42.6 4,670 57.4

2,699,457 129,297 60,333 Completed secondary education 24.7 21.8 22.2

30,556 50.6 29,777 49.3

1,159,451 67,941 32,622 Completed the third grade of 6-year

secondary education 10.6 11.4 12.0 17,841 54.7 14,781 45.3

3,139,907 193,404 94,648 Primary education students 28.7 32.5 34.9

49,425 52.2 45,223 47.8

654,322 39,554 19,524 Completed primary education 6.0 6.7 7.2

10,145 52.0 9,379 48.0

20 Percentages in first three columns refer to the distribution of each educational level concerning total population of the presented area. Percentages in two last columns concern the distribution of males and females within each presented educational level.

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Heraklion prefecture Population age <=6 year per sex and educational

level20

Total (Greece)

Total (Region of Crete) Total Males Females

644,699 31,968 17,036 Completed at least one grade of primary

education 5.9 5.4 6.3

6,535 38.4 10,501 61.6

371,453 17,186 9,152 Attended no school at all

3.4 2.9 3.4 2,451 26.8 6,701 73.2

Total 10,296,798 554,341 271,415 136,242 135,173

Source: National Statistical Service of Greece, Census 2001.

Concerning the key data on Education in Europe 201221 "tertiary education graduates

integrate into the job market two times more quickly than people with lower qualifications.

On average, it takes five months for tertiary education graduates to enter the job market, as

opposed to 9.8 months for people with lower attainment levels." In this context, Dutch

university graduates fare quite well. On average, it takes them only three months to find a

job after graduation. Countries that have suffered particularly from the EU debt

crisis show a mixed picture: in Greece (12.2 months), Italy (9.8 months) and Spain (7

months) graduates stay unemployed longer while Portugal (4.7) and Ireland (4.1) perform

better than the EU average.

The labour market of Heraklion is characterized by an oversupply of high specialized workers

who cannot be absorbed by local companies. The main reason for this ascertainment refers

to the fact that an overqualified employee demands a higher salary than a lower-skills

worker, who may possibly provide the same services in a simplest way. Most of the time,

employers are not aware of the multiplied benefits that a high qualified employee may have

for their business and prefer to employ staff with the lowest cost. Apart from this, it is

common for employers to offer lower salary, due to economic crisis, than those desired by

overqualified candidates who deny the job offer. At present, there seems to be a growing

trend for overqualified people, especially youngsters, to seek for better working conditions

abroad and to leave the country in order to establish higher quality of life.

An additional reason for the failure of overqualified candidates in finding a job position that

matches to their qualification status is the lack of corresponding positions within the labour

market of Heraklion. The vast majority of local businesses are small and medium-sized

enterprises, which employ a small number of workers. Therefore their organization and

21 Eurydice and Eurostat (2012). Joint Research: Key data on Education in Europe 2012. In: http://eacea.ec.europa.eu/education/eurydice/.

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operation in conjunction with the extent of their activities are not associated with specialized

professionals that are likely to be addressed to the needs of more specialized and bigger size

companies.

Due to economic crisis in the country there seems to be an incising number of overqualified

professionals who lose their job and faces difficulties in re-entering into the labour market.

Up to now newcomer with lack of skills and experience had to confront labour isolation and

unemployment. However, the situation inside the local market has been completely reversed,

and at present overqualified persons have become the “weaken link”.

It is common for an employer to refuse the incorporation of an overqualified person inside

his/her business due to the fear of its operational organisation’s destabilisation. A highly

qualified employee can develop innovative actions and implement policies within a business

that can be unfamiliar for the entrepreneur with possible consequences in the supervision and

management of his/her business. To avoid such unpleasant situations and despite the

recognition of positive aspects of hiring a high skilled person, the business owner hesitates

and avoid this kind of cooperation.

According to recent research results from Employment Observatory Research-Informatics

(PAEP)22, concerning skills and competencies’ demand inside the Greek labour market, there

is a need of long-term and comprehensive planning of the educational system, including

vocational education and life-long training, within the coordination and cooperation of public

and private sector. Enterprises’ representatives indicate that a closer link between higher

education and enterprises must be established. This will be implemented throughout: a) the

increase of total duration of students’ practice inside real working environments as part of

their studies, b) more direct involvement of enterprises in the educational process, c)

documented record of local market needs concerning specialties and skills, d) empowerment

of technical and practical character within the higher education system in conjunction with

the maintenance of a high theoretical level.

22 Asimakopoulou, S., Skopelitou, T., Charisis, A. (2010). Skills and competencies’ demand inside the Greek labour market – Results from interviewing enterprises’ representatives. Athens: Employment Observatory Research-Informatics (PAEP).

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5.b. Specific to immigrants 5.b.1. Profile of immigrants in your locality (third-country nationals)

The modern history of Greece is closely related with the phenomenon of migration. During

the middle of 20th century, it was known as the origin country of migrants in Germany,

Australia and America. Nowadays, as a result of its economic development, it has turned into

the host country for migrants from almost every part of the world, according to official

statistics. The conversion of Greek society into a multicultural environment during the last

decades brought important changes in all levels of economic, social and cultural life. Greece

has become a strong politic and economic force in the area of Balkan countries and it seems

to be the bridge between Asia, Europe and Africa, concerning its geographical position, as it

is the last part of the Balkan Peninsula, going into the Mediterranean Sea, at south-eastern

Europe.

The most recent official statistics for Greece refers to 8.3 percent of non-nationals in the

population in 2009 (954,784 non nationals)23,24, which is higher than the average European

rate (6.4%).

Migration and Integration (on 1st January 2010)

GREECE EU-27 Average of the three best Member States according to

country ranking

Non-nationals in the population (%) 8.3 6.4 21.4

Employment rate of nationals, women aged 25-54 (%)

62.9

72.9 84.0

Employment rate of nationals, men aged 25-54 (%)

88.1 85.4 92.2

Employment rate of citizens from outside EU-27, women aged 25-54 (%)

55.2 52.7 74.9

Employment rate of citizens from outside EU-27, men aged 25-54 (%)

90.7 72.9 87.5

Education level (tertiary), nationals aged 25-49 (%)

28.0 28.4 41.2

Education level (less than upper secondary), nationals aged 25-49 (%)

27.3 22.3 6.4

Education level (tertiary), citizens from outside EU-27 aged 25-49 (%)

10.0 20.4 48.3

Education level (< up. sec.), citizens from outside EU-27 aged 25-49 (%)

59.0 43.8 12.5

Source: http://epp.eurostat.ec.europa.eu

23 Eurostat (2011). Demography report 2010: Older, more numerous and diverse Europeans. Luxembourg: Publications Office of the European Union. 24

National Statistical Service of Greece (2009). Estimated population by sex, age groups and citizenship (groups of countries) on 1st January 2010. In: http://http://www.statistics.gr/.

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According to the table below the non national citizens of third world countries reaches 6.9

percent of total population in Greece and 82.3 percent of the non nationals estimated

population. Of course the number of foreigners is much higher taking adding illegal migrants,

asylum seekers and trafficking victims.

Estimated population by sex, age groups and citizenship (groups of countries)

(on 1st January 2010) Males Females Total

GREEK CITIZENSHIP 5,076,655 5,273,679 10,350,334

EU COUNTRIES: EU 27 Countries 68,575 94,485 163,060

EFTA COUNTRIES: CH,NO, LI, IS 569 915 1,484

CANDIDATE COUNTRIES: TR, HR, FYROM 2,337 2,469 4,806

CITIZENS OF HDI COUNTRIES: Highly Developed non EU Countries

345,589 244,535 590,124

CITIZENS OF MDI COUNTRIES: Medium Developed non EU Countries

99,258 88,669 187,927

CITIZENS OF LDI COUNTRIES: Less Developed non EU Countries

4,482 2,901 7,383

Total 5,597,465 5,707,653 11,305,118 Source: http://www.statistics.gr

This map illustrates the demographic

indicators for the current 25 EU Member

States in the year 2003. It shows that the

natural population change (births minus

deaths) and net migration were both

positive in 12 of the 25 EU Member States in

2003. For eight of the current members, the

natural population change was zero or

negative, but the total change was towards

growth through positive net migration. Italy,

Germany, Greece, the Czech Republic and

Slovakia belonged to this group. For

Hungary, the strongly negative natural

change kept the total change in red, in spite

POPULATION CHANGE IN THE CURRENT 25 EU COUNTRIES IN 2003

Source: EUROSTAT Chronos database, cited in Chapter 7 of this report. Footnotes: [1] The abbreviation NPC used on the map means Natural Population Change = fertility minus mortality in a given year, per thousand inhabitants. TPC means Total Population Change = NPC plus net migration, per thousand inhabitants. [2] The Greek area of Cyprus only.

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of the clearly positive net migration. For Poland and the three Baltic states, both components

were on the negative side.25

More than half of all migrants (69.2%) have the Albanian citizenship and in much smaller

groups, migrants originate from Bulgaria (6.3%), Romania (3.6%), Ukraine (2.8%), Russian

Federation (2.4%), Pakistan (2.3%), Georgia (1.9%), India (1.4%), Egypt (1.4%), Philippines

(0.9%) and 149 other countries from Europe, Africa, America, Asia and Oceania (7.7%)26.

Albania 69,2%

Romania 3,6%

Others 7,8%

Bulgaria 6,3%

Ukraine 2,8%

Russian Federation 2,4%

Pakistan 2,3%

Georgia 1,9%

Egypt 1,4%

India 1,4%

Phillippines 0,9%

According to the findings of a recent survey in Greece27, immigrants from sub-Saharan

countries of Africa (e.g. Ethiopia, Nigeria), Asian countries and Muslim countries tend to

choose the tactic of segregation, revealing a negative profile concerning their socio-economic

adjustment inside the host societies, even in the cases of long term residence in the country.

Harmonisation is followed by the Albanians, while third country nationals from Balkan

countries are closer to the assimilative approach. Finally, the diffusion/individualism tactic is

more closely related to immigrants from the former USSR and Eastern Europe countries.

25 IOM (2005), World Migration, Costs and Benefits of International Migration. Switzerland: self-publish, p.p. 487. 26 National Statistical Service of Greece (2006). Estimated population by sex, age groups and citizenship (groups of countries). In: http://http://www.statistics.gr/. 27 Paulopoulos, B., Bezevegis, I. (2008). “Strategies for acculturation and adjustment of immigrants”. In: Kavousidou, T., Kontis, A., Lianos, T., Fakiolas, R. (eds.). Migration in Greece: Experiences – Policies – Practices, vol. B. Athens: IMEPO.

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Migrants in Greece mainly come from the major productive age group (20 up to 44) and

usually male newcomer migrants are younger than female. According to gender, during the

last years, there seems to de a growing gap concerning the number of male and female

migrants (percentages 62.2% and 37.8% respectively)28.

Greece is one of EU countries with the most rapid increase of immigrants (1990, percentage

1.4%). After the Schengen Agreement in 1990, Greece seems to be the “bridge” of entry in

Europe and for this reason the real number of newcomers in the country is significantly

higher than the one shown in official records29. Therefore, concerning general aspects of

moving populations, it is important to notice that a serious issue for Greece, as a result of its

geographical position, is the continuous entrance of illegal migrants working in black market

and women trafficking. According to police official records in the year of 2011 the arrested

immigrants for illegal entry and stay in Greece reached the number of 99,368 persons30.

According to the official records from the Migration Department31 (Region of Crete, 2003-

2007) there are 29,664 legal migrants living in Crete, about 4.7 percent of the entire migrant

population in the country. Concerning the distribution of legal foreigners per Regional Unit,

the largest group is located in Heraklion (36.4% which refers to 10,795 individuals), followed

by Chania, Rethimno and Lasithi. The true number of migrants cannot be estimated, while it

is not possible to monitor a migrant after his/her legal residence permit expire. Considering

other statistic features, many gaps have been revealed during the applications’ process and

data entry into the electronic system.

Migrants’ population in Crete is characterized by an intense dissemination in all areas of the

island. Foreigners have been recorded in all Municipalities of Crete with highest percents to

be presented in Municipalities of Heraklion (15.3%), Chania (11.9%), Rethimno (11.1%) and

Ierapetra (6.9%). The majority of migrants in Greece come from the productive age group

(15-64 years old) and also the number of male migrants (16,611 individuals referring to

56.0%) is slight higher in comparison with the figure of women (13,053 individuals referring

to 44.0%).

28 National Statistical Service of Greece (2006). Usually resident population by citizenship and age on 1 January 2006. In: http://http://www.statistics.gr/. 29 Zaimakis, G. (2005). “Aspects of social exclusion and networks of interventions in Heraklion of Crete”. In: Second Pan-Hellenic Conference Records: Modern Needs of Social Care - Structures and Programs in Local Society. Heraklion: Association of Greek Social Workers – Department of Heraklion and KOINOPOLITIA of Crete. 30 Hellenic Police (2011). In: http://www.astynomia.gr. 31 Region of Crete, Department of Urban Situation, Emigrants and Migration (2007). Statistics concerning the migration in Crete region during the years 2003-2007 through the Electronic System eMigrants. Document No. 16009/30.05.2007 (Contact with Matsaridis George in 2007).

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The most significant reason for migrants’ presence in Crete is working for one employer

(71.761 dependent work permits; percentage 68.5%) mainly as unskilled workers (rural

workers and builders) and seasonal workers in tourism industry. Family reunion has been

recorded as the second most important reason (16.7%) and services or work for multiple and

unstable employers mainly as house cleaners, craftsmen and others (5.420 independent work

permits; percentage 5.2%) is the third reason. It is noticed that very few immigrants are

interested in establishing their own business (independent economic activity permit, 0.4%),

as there are many obstacles concerning Greek legislation. In general, the nature of migrants’

occupations usually encourages the uninsured work inside the black market.

The information below derives from statistical data of population census in 2001 (National

Statistical Service of Greece) and illustrates the percentages of working migrants in Crete by

referring their occupational position. It is obvious that the vast majority of migrants are

occupied as employees inside the local labour market. Also it should be noticed that migrant

women are mainly occupied in the areas of residences’ cleanness and elderly or child care.

Employer or Self – employed

7.3% (1,660 people) � Almost 2/3 are men � Majority refers: craftsmen and farmers

Employee 90.4%

Household 2.3%

The status of immigrants’ dissemination in Regional Unit of Heraklion shows that the majority

of non-nationals prefer the settlement in urban centres (Municipality of Heraklion) and areas

with intense economic activities (Municipalities of Hersonissos and Festos – agriculture and

tourism). Also, it is important to highlight that the number of immigrants living or working in

the specific area is dynamic, due to their constant movement within Greece.

Dissemination of legal immigrants per Municipality

Frequency Percent (%)

within Regional Unit of Heraklion

Percent (%) within Region of

Crete

Regional Unit of Heraklion 10,795

5,999 males and 4,796 females

100.0 36.4

Municipality of Heraklion 5,241 48.6 17.7

Municipality of Archanes – Asterousia 574 5.3 1.9

Municipality of Viannos 324 3.0 1.1

Municipality of Gortina 492 4.6 1.7

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Dissemination of legal immigrants per Municipality

Frequency Percent (%)

within Regional Unit of Heraklion

Percent (%) within Region of

Crete

Municipality of Malevizi 629 5.8 2.1

Municipality of Minoa Pediados 505 4.7 1.7

Municipality of Festos 1,027 9.5 3.5

Municipality of Hersonissos 2,003 18.6 6.8 Source: Region of Crete, Department of Urban Situation, Emigrants and Migration (2007)

Statistics concerning citizenship of foreigners in Regional Unit of Heraklion follow the general

data in the island and in the country. Albanians represents the largest group of migrants

(51.0% according to data from year 2003), followed by Bulgarians and Romanians, most of

them living in the area for more than 15 years. However, it is interesting though that during

the last two years (from 2010) a significant number of immigrants, mostly from Albania and

Bulgaria, choose to return to their country of origin.

Number of issued resident permits per nationality during 2003-2007 in Regional Unit of Heraklion

Frequency Percent (%)

Albania 22,089 59.0

Bulgaria 7,270 19.4

Romania 3,050 8.2

Ukraine 1,320 3.5

Serbia - Montenegro 871 2.3

Russian Federation 861 2.3

Syria 764 2.0

Georgia 721 1.9

Egypt 204 0.5

Filipinas 136 0.4

FYROM 126 0.3

Total 37,412 100.0

Source: Region of Crete, Department of Urban Situation, Emigrants and Migration (2007)

The above table illustrates the number of resident permits for economic immigrants in the

area issued from the regional authority. There are also significant numbers of foreigners that

have requested asylum and they remain in the country until the completion of their cases.

These people come mostly from Iraq, Afghanistan, Turkey (Kurds), Pakistan and Nigeria.

According to unofficial police statement, which is the responsible authority for this procedure,

it is estimated that there are about 1,000 asylum seekers in Regional Unit of Heraklion. The

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Directorate of Immigration in Heraklion is among the ten Hellenic Police authorities that have

received the bigger number of requests for asylum in Greece (2.2% for the year 2009).32

Finally, Chinese immigrants in the area are characterised by the establishment of ethnic

family enterprises, mainly in clothes and shoes import and trading. Nevertheless, according to

a recent article Guang Peng refers that “in the beginning of 2010, and while the crisis had

already hit Greece, Chinese businesses had increased profits. This is because the products

were cheap and the Greeks bought them. But while the crisis deepens, Chinese shops lost

their customers”. As a result of this situation, three out of ten Chinese were forced to leave

Greece in 2011.

The majority of third country nationals is early school leavers (drop out before the end of

secondary education; percentage 27.7%) or has only completed the basic education (middle

secondary education; percentage 18.8%). One fifth of immigrants (20.1%) have graduated

senior high school and 4.9 percent holds an upper grade degree (post secondary education,

university and higher technological education). The vast majority of third country national

with higher education skills (1,757 out of 2,059 persons; percentage 85.3%) derives from the

main productive age group 25-49 years and in the same group women have precedence over

men (percentages 63.2 % and 36.8% respectively).

Total Sex Education Level (completed) of third country nationals

in Region of Crete (3rd quarter 2010) Frequency Percent (%) Male Female

Illiterate 616 1.5 528 88

Primary School 11,517 27.7 6,497 5,020

Middle Secondary School (Gymnasium) 7,812 18.8 4,496 3,316

Senior high school (Lyceum) 8,352 20.1 3,649 4,703

Post secondary education 225 0.5 116 109

University 1,424 3.4 541 883

Higher Technological Education 410 1.0 100 310

No reply 11,214 27.0 5,885 5,329

Total 41,570 100.0 21,812 19,758

Source: National Statistical Service in Greece. Labour force survey: 3rd quarter of 2010

Next two tables illustrate the occupational category and position of third country nationals in

Crete according to the national labour force survey for the third quarter of year 2010. The

majority of immigrants, who replied, work as technician, unskilled workers and manual workers.

Also, 44.0 percent of third country nationals work as employees.

32 European Migration Network (2009). Greece: Annual report on the statistics concerning migration and international protection. In: http://emn.intrasoft-intl.com/.

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Total Sex Occupational category of third country nationals

in Region of Crete (3rd quarter 2010) Frequency Percent (%) Male Female

1. Senior managers and administrators 350 0.8 350 0

4. Office employees 291 0.7 100 191

5. Employees in services and sales 3,156 7.6 461 2,695

6. Specialized farmers, stock-farmer, foresters and fishermen

1,409 3.4 1,008 401

7. Specialized technician 7,598 18.3 7,598 0

8. Operators for industrial installations and machineries

307 0.7 307 0

9. Unskilled workers, manual workers and small entrepreneurs 6,990 16.8 2,900 4,090

No reply 21,469 51.6 9,090 12,379

Total 41,570 100.0 21,814 19,756

Source: National Statistical Service in Greece. Labour force survey: 3rd quarter of 2010

Total Sex Occupational position of third country nationals

in Region of Crete (3rd quarter 2010) Frequency Percent (%) Male Female

Self employed with employees 554 1.3 554 0

Self employed without employees 980 2.4 620 360

Assisting family business 296 0.7 102 194

Employee 18,271 44.0 11,448 6,823

No reply 21,469 51.6 9,090 12,379

Total 41,570 100.0 21,814 19,756

Source: National Statistical Service in Greece. Labour force survey: 3rd quarter of 2010

5.b.2. Immigrant Over-qualification situation A recent research33 (2008) for the occupational position of immigrants (first and second

generation) inside the Greek labour market, led to the following findings:

Concerning migrants’ children, the research showed that 90.5 percent (7,532,847

persons) refers to individuals with one parent born in Greece. Individuals with Greek

citizenship that have both parents born abroad are appreciated in 114,739 (1.4%), while

individuals of other citizenship reach 540,345 persons (6.5%). According to the educational

level, the comparison between these three teams shows that other citizenship individuals

33 National Statistical Service of Greece (2009). Press release: Special Research results on the occupational position of immigrants (first and second generation) inside the Greek labour market. In: http://www.statistics.gr. The research was conducted in 2008 and the research sample was 55,733 individuals within ages 15-74 years, from 26.628 different households.

1.

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have lower educational level. Second generation migrants with two immigrant parents

presents higher rate of unemployment and minor rate of employment.

Individuals with Greek nationality

With one parent born in Greece

With both parents born abroad

Individuals with other nationality

No reply

Frequency % Frequency % Frequency % Frequency %

Primary 3,359,405 44.6 51,079 44.5 291,913 54.0 71,376 51.1 Secondary 2,770,451 36.8 42,258 36.8 187,672 34.7 44,622 32.0

Educational level

University 1,402,991 18.6 21,402 18.7 60,760 11.2 23,656 16.9 Employed 4,092,951 54.3 55,121 48.0 367,215 68.0 56,674 40.6 Unemployed 319,317 4.2 9,148 8.0 24,806 4.6 3,872 2.8 Unemployment rate

7.2 14.2 6.3 6.4

Employment status

Inactive 3,120,579 41.4 50,469 44.0 148,323 27.4 79,107 56.6 Total 7,532,847 90.5 114,738 1.4 540,345 6.5 139,653 1.7

The majority of individuals that have been born abroad came to Greece in order to

find a job. This percentage is particularly high for immigrants who originate from EU-

12 countries (new Member States) (60.4%), as well as for men independently their country

of origin (67.3%). The majority (59.8%) of immigrants who originate from EU-15 countries

declare that moved to Greece for personal reasons (marriage with Greek or other reasons).

An important percentage of immigrants intend to stay in Greece permanently (46.6%) or for

more than five years (23.4%).

Immigrants were asked if they consider necessary to improve their Greek language

skills in order to enter the local labour market or to find better job. The majority

(60.1%) gave negative response (they don’t have to improve their Greek language skills).

The percentage of responders that locate a significant link between language skills

improvement and finding a better job position is relatively higher in the age group of 25-29

years (40.3%) and in those who are unemployed (36.8%). Particularly low (16.4%) is the

percentage for those who have been born abroad and hold Greek citizenship.

Recognition of qualifications that have been acquired in the country of origin was

another research question. Immigrants were asked if they have tried to get

recognition for their overseas awards/qualifications. The percentage of individuals that have

tried to pursue a recognition is particularly low (2.9%) and only 1.2 percent managed to

complete this procedure with success.

2.

3.

4.

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EU-15 EU-12 (new

Member States) Other countries (non EU citizens)

Total

Frequency % Frequency % Frequency % Frequency %

Yes, they have tried and they succeeded in recognizing their qualifications

3,205 6.8 1,516 1.7 6,889 1.3 11,609 1.7

Yes, they have tried but they didn’t recognize their qualifications

789 1.7 826 0.9 6,443 1.2 8,059 1.2

No, they didn’t try because they have studied in Greece

12,669 26.8 5,897 6.6 47,827 8.9 66,393 9.9

No, they didn’t try because they don’t need it for the jobs that can be found

3,674 7.8 24,157 26.9 158,747 29.7 186,578 27.8

No, they didn’t try for other reasons

19,240 40.7 43,593 48.6 243,812 45.6 306,644 45.7

No reply 7,735 16.3 13,707 15.3 70,935 13.3 92,377 13.8

Total 47,312 100.0 89,696 100.0 534,653 100.0 671,660 100.0

Finally, immigrants were asked if they have made use of support services34

concerning their vocational rehabilitation in Greece during the first two years of

presence in the hosting country. Only 9.9 percent of immigrants have made use of the

available vocational services in Greece. The percentage is relatively higher concerning

unemployed (12.1%) and university graduates (16.1%).

Individuals that have made use of support services

Individuals that have not made use of

support services No reply

Frequency % Frequency % Frequency %

Employed 22,652 11.1 165,421 80.3 18,012 8.7 Unemployed 1,935 12.1 12,372 77.6 1,642 10.3

Employment status

Inactive 5,810 6.7 67,168 78.1 13,112 15.2 Primary 15,653 9.2 140,380 82.7 13,743 8.1 Secondary 9,495 9.1 82,538 78.1 13,618 12.9

Educational level

University 5,249 16.1 22,043 67.4 5,406 16.5 Total 30,397 9.9 244,961 79.5 32,767 10.6

In Crete the rapid increase of migrants in the 1990’s originated from the need of covering an

important lack of labour force in primary economic sector and in other “downgraded” job

areas with low labour supply (for example builders, craftsmen, domestic workers). In many

cases their wages remain very low, without any consolidation and insurance. Informal

occupation has become synonym of economic immigrants, who usually select the path of

unofficial employment in order to ensure a higher income. On the other hand, the increased

34 Vocational training programmes, Counselling and Vocational Guidance Services, Greek language lessons for Immigrants, Job support services for the connection between unemployed and labour market etc.

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bureaucratic procedures make extremely difficult, even impossible, for a migrant to get legal

recognition of his/her formal qualifications. A significant percentage of immigrants holds

higher professional, scientific or artistic qualifications from their country of origin, which they

no longer exercise in Greece. Women seem to be more overqualified than men.

Generally, in the European south the particularities of Mediterranean economy (familial

enterprises, traditional informal activity and insufficient public control) created conditions for

the growth of current cheap workforce in these societies, which is closely related with the

informal character of modern immigration in southern Europe35. Immigrants’ occupation in

southern Europe is part of economy’s network that equalizes the structural shortcomings of

local labour markets, such as the inadequate labour supply, the lack of flexibility and the

existence of non-competitive sectors of low productivity.36 This also emerges from the

required specialties within maximum annual residence permits for third country nationals

referring to dependent work for a specific employer and job position according to article 14 of

Law No. 3386/2005 in Heraklion prefecture (see part 8. Annexes on present study).

Immigrants are more possible to be affected by economic crises than locals. In most cases,

they will be the first to loose theirs jobs and they present higher percentages of

unemployment. There are many reasons for the above descried situation:

� Immigrants are gathers in economic areas that are more sensitive to circular variances

(constructions, trade industry and tourism).

� They have less secured job positions, concerning basic rights at work, due to temporary

or seasonal or illegal employment.

� They face selective dismissals and discrimination inside the labour market.37

The latest statistic38 in Greece shows that the percentage of unemployment concerning non

nationals (25.5%) is higher than the equivalent percentage of Greek citizens (20.2%). Also,

72.8% of non nationals belong to the economically active population, which is significantly

higher from the equivalent percentage of Greek citizens (51.7%).

35 a) Iosifidis, T. (2001). “Working conditions for tree immigrant groups in Athens”. In: Marbakis, A., Parsanoglou, D., Paulou, M. (επιµέλεια). Immigrants in Greece. Athens: Ellinika Grammata (in Greek). b) Vakalopoulos, K. (2010). Territorial distribution of immigrants inside the urban area and the dipole integration / exclusion: the example of Athens. Athens: Harocopio University, Department of Geography. 36 Baldwin-Edwards, M. (2001). “Southern Europe labour markets and immigration: a structural and functional analysis”. In: The Greek Yearbook, Athens: Panteion University Press. 37 a) Fix, M. et al (eds.) (2009). Migration and the Global Recession. Washington DC: Migration Policy Institute. In: http://www.migrationpolicy.org. b) Same as before: Vakalopoulos, K. (2010)… 38 National Statistical Service in Greece (2012). Labour force survey: 4th quarter of 2011. In: http://www.statistics.gr.

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The majority of immigrants who are excluded from local labour networks continue to work as

manual workers or small retailers. Therefore, they continue pursue socially undervalued jobs

based on overall social consciousness. At the same time there seems to be a serious social

barrier, almost hostile, concerning the recovery of previous work experience, qualifications,

specific professional skills, knowledge etc. Although the above ascertainments were made in

199539, after seventeen years and taking into consideration the current circumstances of

financial crisis, they seem to constitute a contemporary reality.

At present, service sector "low-skilled" jobs increasingly include more demanding non-routine

tasks; yet there is still little financial recognition of the new competencies and skills necessary

for these jobs in the wage structure. This has also an impact on gender inequality, since

women, especially migrant women, disproportionately hold service sector jobs.40

5.b.3. Legal, Policy and Service framework Aiming to develop a realistic long-term migration policy to address the weaknesses already

identified in the operational status of the previous law (Law Νο.1975/1991), Greece in recent

years has adopted a legal framework which is continually shaped since is taking into account

each time new data obtained and the legislative framework adopted by the EU41. The current

legal framework considering entrance, residence and social placement of third country

citizens in Greece, is determined by a number of laws, as followed42,43:

� Law No. 3386/2005 (Gov. Gazette, vol. 212 A) of the Ministry of Interior, Public

Administration and Decentralisation, and its clarifications (Circulars 26, 30, 31, 38)

� Law No. 3448/2006 (Gov. Gazette, vol. 57 A)

� Law No. 3536/2007 (Gov. Gazette, vol. 42 A)

� Law No. 3613/2007 (Gov. Gazette, vol. 263 A )

� Law No. 3649/2008 (Gov. Gazette, vol. 263 A)

� Law No. 3731/2008 (Gov. Gazette, vol. 39 A)

� Law No. 3772/2009 (Gov. Gazette, vol. 112 A)

� Law No. 3801/2009 (Gov. Gazette, vol. 163 A)

39 Kastoridis, D. (1995). Foreign workers in Greece. Athens: Iamos Publications. 40 Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions - New Skills for New Jobs - Anticipating and matching labour market and skills needs {SEC(2008) 3058}, COM/2008/0868 final. 41 European Migration Network (2012). Practical measures for reducing irregular migration. In: http://irregular-migration.net/. 42 General Secretary of Population and Social Cohesion, General Directorate of Immigration Policy and Social Integration (2011). CODING of LEGISLATION - For the entry, residence and social integration of third countries nationals in Greek Territory (amendment of Law No.3386/2005). In: http://www.ypes.gr/. 43 National printing-house. In: http://www.et.gr (in Greek only).

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� Law No. 3838/2010 (Gov. Gazette, vol. 49 A)

� Law No. 3846/2010 (Gov. Gazette, vol. 66 A)

� Law No. 3870/2010 (Gov. Gazette, vol. 158 A)

� Law No. 3875/2010 (Gov. Gazette, vol. 49 A)

� Law No. 3879/2010 (Gov. Gazette, vol. 163 A)

� Law No. 3900/2010 (Gov. Gazette, vol. 213 A)

� Law No. 3907/2011 (Gov. Gazette, vol. 7 A)

� Law No. 3938/2011 (Gov. Gazette, vol. 61 A)

� Law No. 4018/2011 (Gov. Gazette, vol. 215 A).

The size of Greek legislation in force, which determines immigration issues in the country,

constitutes a basic factor of the complexity concerning public administration processes for

immigrants. In general, the most common difficulties for an immigrant in Greece are:

� The complexity of bureaucratic processes in combination with the insufficient access to

information;

� The difficulty in combining the required conditions of different bureaucratic procedures

(e.g. refuted conditions between the maintenance of resident permit and the registration

in the official unemployment records of the Greek Organization of Employment and

Workforce);

� The existence of a quite restrictive legislation framework in relation to the possibility of

establishing an independent economic activity concerning third country nationals, which

is an important barrier especially for high qualified professionals that usually provide

services as freelancers (e.g. doctors, engineers, lawyers etc.);

� The language barriers, the absence of available translation in general public procedures

and the complexity of procedures concerning the achievement of Official Qualification

certifying levels of competence in the Greek language;

� The complexity of requirements: a) for the recognition of qualifications awarded by equal

higher education institutes, universities as well as technological educational institutes

abroad as "equivalent" or as "equivalent and corresponding", according to Law No.

3328/2005 (Gov. Gazette, vol. 80A) and b) for obtaining prior authorisation in order to

exercise specific professions in Greece.

The main axes, followed by Law no. 3386/2005 which establishes immigration policy, are the

following44:

44 Same as before: European Migration Network (2012)…

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� The coordination and monitoring of the migration policy in Greece by an Interministerial

Committee consisting of the Ministries involved with this issue;

� The planning of the entry of migrants on Greek territory, taking into account the data

and needs of social and economic life of the country;

� Ensuring working conditions for foreigners who come to Greece to work under conditions

suitable to a modern state law;

� The introduction of a modern system of social integration of immigrants;

� The establishment of appropriate safeguards for the effective application of the Greek

legal system in order to avoid unauthorized entry and exit of foreigners in Greece.

According to the legislation presented above, there are seven types of resident permits for

third countries nationals, providing to their holders the right of accessing Greek labour

market, as followed:

a) Resident permit for work (depended work or services, executives, short-term movement

for the provision of services, athletes and coaches, members of art groups, artists, members

of foreign archaeological faculties).

b) Resident permit for independent economic activity (independent economic activity and

development of investment activity).

c) Resident permit for special reasons (studies, vocational training, scholars in special

programs, studies in military schools, acquisition of medical speciality, economic independent

individuals, adult children of diplomatic employees, household personnel in diplomatic

missions, foreign press correspondents, known religious services’ administrators, students of

Athoniada School, monks, leaders of organised groups of tourism, researchers).

d) Resident permit for exceptional reasons (humanitarian, public interest, trafficking victims).

e) Resident permit for family reunion.

f) Resident permit with undefined duration.

g) Long -Term Residence Permit.

The above are issued according to the uniform format for residence permits due to

Regulation EC 1030/2002.

At this point, it should be mentioned that there is no special treatment concerning new

comers and the applied measures are mainly focused on administrative procedures for issuing

their residence permits and providing basic information if asked. Once a new comer secures

his/her legal residence, he/she can theoretically make use of Greek public services. It is

common for newcomers to exploit family and friends’ network that have already been settled

in the country, for orientation and guidance, covering the significant gap in public procedures

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for the support of their active inclusion into the Greek society. Also the internet has become a

central source of information concerning immigrants. There are many websites and blogs that

provide the opportunity for anyone who is interested to come closer to his/her country of

origin, to get useful information and to communicate with other immigrants through an

international Forum.

According to existing reports45, Greek government was unprepared to accept the numerous

immigrants that have entered the country during the last decades and hesitated to proceed

to the immediate establishment of all essential legal and administrative changes for their

integration into the Greek society. At the end, Greece was forced to adopt integration

procedures, without an appropriate preparation of public mechanisms and of local

communities towards a multicultural society. The high cost of an integration program, the

preparation of Olympic Games in 2004 and the low national budget delayed considerably the

implementation of National Action Plan for Immigrants’ Social Integration (2000-2005),

concerning special metres for improving immigrants’ access to basic social goods

(employment, education and lifelong training, health and social care, housing).

The Greek multi-annual Programme of European Integration Fund for third country nationals

(2007-2013)46 aims in a better organisation and co-ordination between fragmentary activities

from various ministries and organizations, under four main priorities:

� Priority 1: Implementation of actions designed to put the “Common Basic Principles for

immigrant integration policy in the European Union” (Groningen, 19.11.2004) to practice.

� Priority 2: Development of indicators and evaluation of methodologies to assess progress,

adjust policies and measures and to facilitate co-ordination of comparative learning.

� Priority 3: Policy capacity building, co-ordination and intercultural competence building in

the Member States across the different levels and departments of government.

� Priority 4: Exchange of experience, good practice and information on integration between

the Member States.

The proposed actions of the Greek multi-annual Programme refers to the following sectors of

spotted requirements and needs:

� information, assistance and advisory services 45 a) Galati, P. (2004). “Immigrants’ profile in Greece”. In: Newspaper KATHIMERINI: 21/11/2004 (in Greek). b) Kasimis, C. and Kassimi, C. (2004). “Greece: A history of migration”. In: http://www.migrationinformation.org/. c) Network for the Defence of Civil and Social Rights (1996). The situation of immigrants in Greece and the intensification of racism and xenophobia. Athens: ALFA newspaper. d) Cholezas, I. and Tsakloglou, P. (2008). The Economic Impact of Immigration in Greece: Taking Stock of the Existing Evidence (IZA DP No. 3754). Athens: University of Economics and Business. 46 Directorate General for Migration Policy and Social Integration (2007). Greek multi-annual Programme of European

Integration Fund for third country nationals (2007-2013). In: http://ete.ypes.gr.

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� awareness raising of the host society

� elimination of phenomena related to racism, xenophobia and marginalisation

� provision of educational services

� provision of health and accommodation services

� provision of cultural services

� inclusion of integration in all public policies, as a mainstreaming principle

� incorporation of the gender dimension and

� undertaking action in the countries of origin of third country nationals, in order to

prepare them for their integration into host society by supporting pre-travel measures for

the acquisition of the necessary knowledge and skills, such as vocational training,

information packages, comprehensive civic orientation courses and language tuition in

the country of origin.

It should be mentioned that needs were also identified in other sectors (e.g. helping people

into employment, modernisation of Greek consular services in terms of infrastructure and

human resources in order to restrict illegal immigration, border control, adjustment to the

new situation created by the Schengen area and the increase in immigration flows - both

legal and illegal - the protection and integration of refugees and asylum seekers, etc.), but

they have not been included within the Greek multi-annual Programme either because they

do not fall into the field of the European Integration Fund or they are covered by other Funds

(European Social Fund, European External Borders Fund, Return Fund and European Refugee

Fund).

Greek government also promotes supporting actions for third country nationals within local

societies, taking into consideration and promoting the characteristics of multicultural, open

but also cohesive societies. Councils for Immigrants’ Integration within the context of

extended Municipalities of Kallikratis Programme (Law No. 3852/2010; Gov. Gazette, vol.

87A) constitute a newly established advisory structure for the enhance of public dialogue,

political expression and active participation of third countries nationals to public procedures in

local level. The connection and entanglement of local authorities with the sensitive and

complex issue of immigration is a matter of high priority.

In November 2011 the General Secretariat of Population and Social Cohesion (Ministry of

Internal) presented for public discussion the “National Strategy for Social Integration of Third

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Country Nationals 2012-2015”47. Main goal remains the organization of a common framework

for the co-ordination of European and national integration policies, together with the

promotion of effectiveness, rationality and synergy of relevant actions, involving cost saving

for national social policies. According to the presented text “significant challenge for the

future of national integration policy constitutes the improvement of first and second

generation immigrants’ access to better job placements offering higher salaries or in

advanced specialisation positions, which cover all areas of national economy, via the

recognition of qualifications, professional training, education etc. acquired abroad.”

Finally, it should be mentioned that the National Framework of Qualifications has legally

established within Law No. 3879/2010 (Gov. Gazette, vol. 163Α), in order for Greece to

implement the Recommendation 2008/C 111/01 of the European Parliament and of the

Council of 23 April 2008 and is expected to be fully implemented by the end of year 2012.

The Framework is a useful tool that helps individuals make informed decisions about the

qualifications they want to pursue, by comparing the levels of different qualifications and

identifying different progression routes. The accreditation of qualifications makes sure they

are of a high quality and that they meet the needs of individuals and employers. Main

objective is the connection of Qualifications’ Certification with professional sufficiency as well

as with the recognition of labour - professional experience of a person.

5.b.4. Explanation: Why does immigrant over-qualification happen?

In general, the biggest barrier for overqualified immigrants in Greece is the language. During

the entering of third country nationals in the host country the most common language they

use in order to communicate is English. Or they may speak only their origin language and will

receive support for translation through their family and friends network in the host country.

Greece presents significant differences and particularities concerning its language, especially

in writing by using non Latin alphabet. As in all Mediterranean countries, a significant

percentage of locals can communicate in foreign languages, but all public procedures and

information are provided mainly in Greek. This produces an enormous gap between the

overqualified newcomers and local labour market. The only exception to this assumption

refers to high skilled immigrants who are working mainly in the area of tourism, due to their

foreign language skills (especially Russian and German).

47

General Secretariat for Population and Social Cohesion (2011). National Strategy for Social Integration of Third

Country Nationals 2012-2015. In: http://ete.ypes.gr.

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The gain of Greek language skills by a foreigner in Greece is a long procedure. There are no

permanent organized services in the country in order for the newcomers to be familiarized

with language and culture of host country. Due to the co finance of European Social Fund,

vocational training and language courses are organized, but they only refer to third country

nationals who are holders of valid resident permits and they usually provide a minimum level

of language skills, which are necessary for basic communication. Therefore, the majority of

non nationals need a long period of time in order to learn the Greek language mainly

throughout everyday practice or through their children who attend Greek School classes.

There seems to be only few exceptions of migrants that will pay for Greek language lessons.

At this point, another issue arises. As it has been mentioned above, immigration in Greece

came as a result of the intense need of Greek labour market for cheap, low skilled workers.

Therefore, migrants, who came ten or twenty years ago, were aware of the employment

situation and have chosen to work in Greece, without making an attempt to find a job that

would better match with their typical qualifications.

For those who gradually tried to change their work orientation and reenter Greek labour

market through higher qualification job positions, other obstacles came up. The recognition of

degrees acquired in the country of origin is an extremely complex procedure, even for those

Greeks who have studied abroad. The vast majority of foreigners, especially those originated

from non EU countries, who have tried to correspond or equalize their higher level degrees

with the Greek Educational System, forced to drop out after two or more years of constant

and persist effort. The procedure is much easier concerning high school diploma recognition,

although it had to be even less complex. Furthermore, in order to exercise specific

professions in Greece (e.g. mechanic, lawyer, doctor, nurse, psychologist etc.) prior

authorisation needs to be obtained, which means more obstacles for immigrants.

Third country nationals who managed to overcome all barriers and find a job closer to their

educational background and skills succeed in doing so, because they were very persist and

focused in their goal, or because they graduated from a Greek University and in most causes

because they have stayed long enough in the hosting country in order to be less

distinguished within locals. Particular accent, foreign name, external appearance and face

characteristics can be named as elements capable to lead to exclusion behaviours.

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“Greece is a “results may vary” country: People who experience virtually no problems either

don’t work for a Greek employer or don’t work at all, depending on retirement money,

personal wealth, parents or a working spouse, which is why many who are students,

holidaymakers, retirees and housewives, or were children when they last lived in Greece, are

out of touch with everyday adversity. I was successful and continued the same career I had

in America without connections or being dependent on funding or married to a Greek/EU

citizen, but it was a difficult road and I am a very rare exception. There are thousands who

didn’t make it and left, still here but struggling, or regretting their choice in silence.”

Source: Living in Greece (9/4/2012 update). A practical guide to moving, living, working and travelling in Greece, plus musing and misadventures from an American in Athens.

In: http://livingingreece.gr/2008/02/10/move-to-greece/

Discrimination and prejudice are existing phenomenon in Greek society that according to the

socio-economic situation may target towards a specific ethnic group and may have different

extend and type of expressiveness. For many years, the reproduction of racism and social

exclusion of immigrants passed through their peculiar integration, their occupational status

and relations derived from the above. Immigrants, under the direct pressure of covering their

basic needs and by experiencing multiple discriminations, developed tactics of social survival

that enlarged their exploitation and the inequities towards them.

Complex and time-consuming bureaucratic processes for achieving legal resident permit and

the possibility of accessing in official / declared work actually have the opposite results,

leading towards uninsured work of immigrants. In this way, an indirect discrimination is

created, concerning a specific group of workers, based on their nationality origin. Under these

conditions it is very difficult for an immigrant to be employed in works with higher lever or

special qualifications requirements.

The Labour Institute of Greek General Confederation of Labour sets another important issue,

concerning the employment of second generation immigrants in Greece. As it is mentioned in

the relevant research report48 a big number of first generation immigrants’ children were

born and grew up in Greece, they completed secondary education in the hosting country and

they are studying in Greek Universities. Those persons do not want to “immigrate” in their

parents’ country of origin, which is unfamiliar to them; it is very likely they attempt to occupy

a working position in sectors with limited possibility of labour absorption. The potential

48 Vocational Training Centre and Labour Institute of Greek General Confederation of Labour (2006). Immigrants and integration in the job market in Greece. In: http://www.inegsee.gr.

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occupational discrimination of those individuals may cause certain serious social problems in

the future.

Sokol K. (Child of immigrants that have studied electrician

and he is thinking to return back in Albania)

“I’m six months unemployed. I came in Greece in 1998. It is difficulty for all, first for the

Greeks and then for us the immigrants. My unemployment is not an issue of racism or

because we are foreigners in Greece. From the moment where it is difficult for locals, it is two

times more difficult for immigrant that may not know the language so well, and may have not

finished school”.

Argkita P. (Child of immigrants that have graduated a private

school of marketing and she sees America as a possible

destination where “more opportunities exist”)

“Unemployment affects firstly women. I’m already without work for one and a half years. Still

I eat from dad and mum. As things go, I don’t have hope that one day I will manage to get

back money my parents spent in order to for me to study. From know I don’t want to go in

Albania. Wage there are still very low and people work just to make their living.”

Source: Ago Niko (10/07/2011). “It’s difficult for all, more difficulty for immigrants…”. In: http://www.avgi.gr/ArticleActionshow.action?articleID=627336

The present economic crisis has completely reversed the more positive climate in favour of

immigrants that was gradually established during the past years. Once more, third country

nationals have become the scapegoat, while -concerning the political scene of the country-

far-right parties are dangerously gaining ground. Stigmatization of immigrants through the

media is a current reality, as all relevant news is exclusively part of police reportage.

Therefore a climate of insecurity and disappointment is created, among with the weakness of

communication or the fear of each immigrant to speak freely, especially during his/her first

period of residence in the host country. Existing unofficial networks of immigrants or locals

most of the time recommend practices that are illegal or unfounded. Due to all that, there

seems to be a serious gap of information flow and coordination between public authorities,

local labour market and immigrants that results the matching of labour supply and demand to

be almost impossible. Working possibilities and information access are even more limited in

rural areas of the inland.

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Of course the last described situation can be generalised as a phenomenon that influences

the total population of the country, enlarging the number of overqualified individuals,

especially youngsters. For many years Greece showed a serious lack of professional

orientation and of the planning of educational strategy according to the needs of labour

market. Only recently, Greece has proceeded with the establishment of the National

Framework of Qualifications, which is still under organization. All that have resulted the

weakness of matching the existing qualifications and skill with the needs and special

characteristics of local markets. Moreover, up to now, there was a lack of measurements and

evaluation methods for the certification of qualifications, specifically concerning practical and

unofficial skills that seems to be extremely important for certain types of jobs.

According to the Organization of Economic Co-operation and Development (OECD)49 “labour

market access is not measured solely by the yardstick of the unemployment rate, but is also

assessed in terms of the match between qualifications and jobs. From this viewpoint,

qualified immigrants encounter special difficulties in all OECD countries. This could be

attributable to:

a. unobserved differences in the “value” of degrees or in intrinsic skills;

b. problems with the recognition of degrees acquired in the country of origin;

c. a lack of human and social capital specific to the host country (e.g. proficiency in the

language);

d. the local labour market situation; and

e. various forms of discrimination.”

Also, according to the European Migration Network50 there are several factors that affect the

performance of immigrants within the Greek economy and society. Among these factors,

more important are the following:

a. Lack of knowledge of the Greek language.

b. Ignorance of the labour market networks.

c. Risk of employers by employing immigrants due to their ignorance as regards the

personal and other characteristics of immigrants.

d. The restrictions imposed on the labour market by the regulation of many professions.

49 Dumont, J.C. and Monso, O. (2007). “Part II - Matching educational background and employment: a challenge for immigrants in host countries”. In: INTERNATIONAL MIGRATION OUTLOOK - SOPEMI 2007 EDITION: ISBN 978-92-64-03285-9. 50Lianos, P.T. and associates (2004). The impact of immigration on Greece’s society. Athens: National Contact Point for Greece of the European Migration Network (EMN).

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Extracts from the study: “The impact of immigration on Greece’s society.” National Contact Point for Greece of the European Migration Network (2004). (www.emn.at/immigration/docs/b04.pdf)

…One change that has occurred as a result of immigration is the shift from family labour to

wage-labour, especially for Greek women. Various economic activities previously performed

by labour of family members are now, after the massive immigration, carried out by hired

wage-labour. This substitution has taken place most spectacularly in agriculture where work

was typically performed by family members. This substitution has also taken place in small

enterprises and in domestic and day care work. Therefore, immigration has freed native

labourers from some types of work but it is not clear where this labour has gone after its

substitution by immigrants, that is, whether they did other jobs or simply dropped out of the

labour force….

…This is partly explained by the limitation of immigrants in using effectively the existing

labour market networks…

…Attempts to provide language classes to immigrants are limited. Finally most immigrants

have learned enough Greek to get by, but not enough to allow them to use their full

knowledge of their professions….

…Immigrants, when they first enter Greece and the labour market, and also when they

change location within the country, are individuals about whom the potential employers know

very little. The language they speak is different, the academic and professional degrees they

possess cannot be easily evaluated, the experience they have is not known and cannot be

ascertained, etc. The same is true about the work discipline and other personal

characteristics of the immigrant. Therefore, the hiring of an immigrant involves risk, which in

general cannot be avoided. The risk involved in hiring immigrants results in a lower

probability of employment and in lower wages for the immigrant. On the part of the

employers, this is quite a rational behaviour…

…As in almost all countries (and certainly in European countries) there exists in Greece a very

long list of regulated professions. Regulated professions are those for which special

requirements are necessary before one can exercise them. Typical requirements include a

degree of varying educational level depending on the profession and a subscription to the

professional chamber. The latter requires Greek nationality or European Union nationality and

often an examination and/or a period of apprenticeship….

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6. Conclusions and

recommendations

Crucial Employability Factors

The term “employability” is used to describe the permanent, lifelong updating of necessary

skills in order for an individual to be able to adjust in constantly changing needs of labour

market.51 Therefore, it concerns person’s ability to find and/or maintain a job position inside a

given socio-economic environment and it is directly related to individuals’ knowledge,

attitudes and skills, while adding the criterion of personal satisfaction from work.

Key element to enhance individuals’ employability, especially referring to vulnerable social

groups, is primarily their own empowerment, through which the individual will regain

confidence in itself and will be able to cope with responsibility and positive attitude the labour

market. Main objective is personal awareness rising, strengthening individual’s active attitude

towards the difficulties and other issues as well as the willingness for cooperation. At this

level, general personal skills are: accountability, guardianship, self-supervision, interpersonal

relations, organizational skills, teamwork, insistence - efficiency, initiative – determination,

self-confidence - self-esteem, leadership skills, adaptability and creativity – innovation52.

Crucial factors towards this direction are awareness rising and encouragement of the wider

society, with the aim of developing a supporting attitude or at least a neutral attitude,

liberated from prejudices and fears.

According to the European Commission53, there are eight key competences that all individuals

need for personal fulfillment and development, active citizenship, social inclusion and

employment. The reference framework sets out eight key competences:

1. Communication in the mother tongue;

2. Communication in foreign languages; 51 Stamelos, G. (2010). Knowledge and lifelong learning society: conflicts and deadlocks or moving towards social explosion. In: Papadakis, N. and Spyridakis, M. Labour market, training, lifelong learning and employment: structures, Institutions and policies. Athens: Editions Sideris. I. 52 Research Centre for Equality Issues (2004). Advisory tools for integrated interventions in favour of women, Athens: serf published. 53 European Commission (2000). Key competences for lifelong learning - European Reference Framework. Luxembourg: Office for Official Publications of the European Communities.

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3. Mathematical competence and basic competences in science and technology;

4. Digital competence;

5. Learning to learn;

6. Social and civic competences;

7. Sense of initiative and entrepreneurship;

8. Cultural awareness and expression.

Within the EU strategy54 for employment and lifelong learning, there is a need for the

development of “new skills for new jobs”, which is imperative due to the increasing

unemployment and demographic changes. In this context, individuals’ employability is directly

related to the acquisition of new knowledge and continuous enhancement of their skills,

aiming in complete matching the needs and requirements of the labour market. The report

notes that “…Improving the equity and efficiency of EU education and training systems is

essential to avoid the waste of its human and financial resources, increase employability and

reduce inequalities. While upgrading skills implies immediate costs and must be seen in a

context of financial sustainability, medium and long-term private, fiscal and social returns

should out-weigh initial costs… To confront rising unemployment matching of skills must be

improved… Due to imperfect information and structural rigidities, workers and businesses are

not provided with the right level of skills in the right areas, which damages competitiveness in

particular of smaller enterprises… Reducing gender imbalances in sectors and occupations

could partly address future skills shortages, for example in technical and managerial

occupations… To better face the challenges described, it is crucial to promote more

comprehensive information on the Union’s future skills and job requirements and to facilitate

matching and anticipation.”

A Europe-wide survey among employers in 201055 shows that, when it comes to graduate

recruitment, “soft” skills are just as valued as sector-specific and computer skills. Significant

numbers of employers questioned said that the ability to work well in a team (98%), to adapt

to new situations (97%), communication skills (96%), and knowledge of foreign languages

(67%) were important when recruiting for their companies. Almost 50% of companies with

considerable international business identified knowledge of foreign languages as the most

important skill for the future.

54 Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions - New Skills for New Jobs - Anticipating and matching labour market and skills needs {SEC(2008) 3058}, COM/2008/0868 final. 55 Eurobarometer (2010). Press Release IP/10/1643/ 2-12-2010. Eurobarometer on graduate employability: Employers value teamwork, adaptability, communication and language skills. In: http://europa.eu.

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The demand for people with low qualifications is expected to be significantly reduced in

comparison with middle and high qualification workers. Projections for 2020 shows that

primary sector, industry and construction in Greece are dwindling, in contrast with the

economic areas of distributions-transport, SMEs and services that are expected to be

increased. Greece remains a “low skilled” country and the need to attract highly skilled

workers from third countries is limited. Regarding employment trends in Greece during the

period 2010-2020, the largest demand will refer to technical and other medium scale

professionals, followed by workers in the area of services’ provision, salesmen and

elementary occupations. Positive demand can be expected for the facilities/machines’

operators and assembly workers, professionals and office staff. Conversely decrease is

expected in the areas of skilled workers in agricultural and fishery, industrial labourers and

senior administrators, directors and managers.56,57

“The work and professions attributed to low-skilled jobs still overrepresented by migrants,

mainly those from non EU countries in comparison to the limited figures of those migrants

dealing with highly skilled occupations confirm the following:

1. Lack of targeted policies to attract migrants in registered occupational categories and to

activate or put in use large scale transnational cooperation agreements in this field, thus an

ability to proceed further on from the extent provided in current legislation allowing

foreigners to enter the country legally and under certain criteria.

2. The surge of immigration in Greece is in no case, nor to a limited extent, the result of a

specified and targeted policy to strengthen certain occupations and sectors of economic and

productive activity, with jobs that could be covered by workforce from third countries.

3. The coverage of professional needs by migrants, in their vast majority low-skilled

workforce, confirms the fact that employment needs are dealt within a self regulated

economic activity within the labour market in professional occupations not covered by the

indigenous workforce.

4. The coverage of low-skilled expertise by migrants depicts a preference demonstrated by

employers towards cheap labour in areas of activity not attractive to the indigenous

workforce, an issue that on the one hand does not confirm a competitive relationship with the

indigenous workforce, though on the other hand raises a question over inspecting

(monitoring) and labour safety in certain sectors.

56 CEDEFOP - European Centre for the Development of Vocational Training (2010). Skills supply and demand in Europe: Medium-term forecast up to 2020. Luxembourg: Publications Office of the European Union. 57 KEDROS S.A. (2011). Final Report: “Satisfying labour demand through migration in Greece”, within the framework of the European Migration Network. Athens: Ministry of Interior – Directorate of Immigration Policy.

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5. Policies, enforced and targeted towards high-skilled migrants, are not confirmed from the

current trends and the tabulation analysis of the migrant workforce located within the

country.”

KEDROS S.A. (2011). Final Report: “Satisfying labour demand through migration in Greece”, within the framework of the European Migration Network.

Athens: Ministry of Interior – Directorate of Immigration Policy.

Recommendations for further action

The development of further actions needs to be carefully designed taking into consideration

the intense situation due to economic crises in Greece but also concerning the new trends in

the European strategy for migration, heading towards the selective migration approach,

promoting metres for attracting “highly skilled” third country nationals. Economic migration

that took place in the country and accordantly in the area of Heraklion during the last two

decades is characterized by a very specific orientation, aiming in cheap and low skilled

workforce. Nowadays situation is completely different and in present, more than ever, there

is an intense need of matching labour supply with local market’s demand together with the

close coordination between all interesting parties.

At this point it should be mentioned that especially emphasis should be given on skilled

newcomers, usually under the ages of 30 years and to second generation immigrants,

qualified in specific sectors that are most needed within the local labour market of Heraklion.

Also there is a need to focus on skilled immigrants living in the wider area of Regional Unit of

Heraklion who face twofold social exclusion due to their national origin combined with

another characteristic (e.g. women, people with disabilities). REALISE, as an INTI project and

in accordance with this programme’s stated goals, while concerned with the issue of

underemployment and immigrants in general, is particularly concerned with immigrant

women and youths, who are often disproportionately affected by unemployment and

underemployment58.

Within the locality of Heraklion, the proposed actions for REALISE Project must set targeted

and realistic aims, in order to succeed the desirable results. Starting an ambitious plan from

the beginning, especially referring to legislation reformation, at this point seems to be

ineffective. Therefore short and medium term undertaking actions should try to enhance soft

measures with high added value for the locality of Heraklion, aiming at the same time in

58 Goldring, I. and Guidoum, Y. (2011). GUIDELINES FOR: Creating Panels of Local Key Stakeholders (PLS) & Undertaking Local Diagnoses of Severity and Cause (LD). In: http://realise2020.wordpress.com/tools-resources/.

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stakeholders’ sensitization and mobilisation. The recent creation of Immigrants’ Integration

Councils in each Municipality constitutes a positive aspect for Project’s further development

by creating the conditions for increasing active confrontation of main emigrational issues in

local societies.

Local key Stakeholders Panels (PLS) have a vital role within the planning and implementation

of any actions in favour of overqualified third country nationals in the locality under study. In

the framework of REALISE Project, PLS has specific purpose:

� To better conceive policy and actions, by benefiting from the insight of those affected by

and most concerned with such policies and actions.

� To obtain their support (‘buy in’) for the policies and actions that will be pursued.

� To obtain more support outside of the PLS, by advocating in the community. The idea is

they become “multipliers of the message”, by campaigning for Realise Project in the area

of Heraklion (formally or informally), raising awareness and disseminating.

� To participate in undertaking the local diagnosis of severity and cause of over

qualification, being the key info providers.

� To participate in developing pilot local interventions because these interventions will be

designed by and negotiated with the PLS.

� To participate in developing long-term strategies to scale-up pilot interventions to policy

level because PLS members have the power to influence policy.

The planning of an integrated intervention for access improvement of skilled immigrants and

better matching with local labour market must take under consideration a multiple level

approach, covering the below issues:

� Building systems of cooperation between the involved stakeholders.

� Improving and coordinating existing services for immigrants and employment.

� Developing a local mechanism for recording third country nationals’ skills and knowledge,

especially concerning newcomers, following the examples that are already being

implemented in other EU countries (e.g. “Card of qualifications and skills” in France,

“Competence Cards” in Denmark, EU Match & Map tools – ESCO and EURES). This

actually refers to the creation of a user-friendly database for labour demand monitoring,

where immigrants will enter their formal qualifications but also informal skills and

experience, under the condition of personal data protection. The mechanism will be

implemented as part of the services provided by local agencies (e.g. employment offices

in municipalities, information office of Camper of Commerce and Industry, Decentralized

Administration of Crete - Department of Residence Permits in Heraklion, other local

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organizations that develop action concerning immigration and/or employment) and its

final result refers to gathered information’s matching with the existing labour demand in

local market.

� Improving information and awareness raising of over qualified third country nationals

concerns: a) local employers who must change their perspective for non national

employees and incorporate Corporate Social Responsibility practises within their

businesses, b) public servants, especially those who deals with newcomers, in order for

them to understand and to cooperate for the implementation of proposed actions, c) local

politicians who have an important role in formulating local strategies and the power to

influence national policy, d) general public that it needs to be constantly reminded about

third country nationals’ needs and right towards equal opportunities, non discrimination

and accessibility.

� Finally there is a strong need for increasing supportive services for immigrants’

integration, especially concerning Greek language courses. Municipalities have a decisive

role for the application of lifelong learning in local level and they must include this priority

in their strategies.

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General Secretary of Population and Social Cohesion, General Directorate of Immigration Policy and Social Integration (2011). CODING of LEGISLATION - For the entry, residence and social integration of third countries nationals in Greek Territory (amendment of Law No.3386/2005). In: http://www.ypes.gr/.

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8. Annexes Share of non-nationals in the resident population 2010 (%)

Number of persons having acquired the citizenship of the reporting country 2001-2009 (per 1.000 residents)

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Maximum annual residence permits of third country nationals concerning dependent work for a specific employer and job position

according to article 14 of Law No. 3386/2005 in Heraklion prefecture (Region of Crete, Greece)

Year Common

Ministerial Decision Frequency Required Specialties

2012 5660/190/2012 15

1 farm worker, 3 stock-farm workers, 3 herds masseurs, 1 Indian cuisine chef, 2 counsellors / tour operators for Russian travel packages, 5 fishermen, 2 extra placements for unexpected needs.

2011 2782/132/2011

(Gov. Gazette, vol. 268 Β)

30

11 domestic workers, 4 farm workers, 1 stock-farm worker, 1 counsellor / tour operator for Russian travel packages, 1 marketing employee with experience in Russian tourist market, 9 fishermen, 3 extra placements for unexpected needs.

2010 2306/109/2010

(Gov. Gazette, vol. 98 B)

4

3 domestic workers, 1 mechanic for special vehicles

2009 5899/153/2009

(Gov. Gazette, vol. 236 B)

152

1 executive chef, 30 domestic workers, 20 farm workers, 4 AYUVERDA healers, 1 pump repairer, 30 fishermen, 50 seasonal farm workers, 2 seasonal animators, 14 extra placements for unexpected needs.

2008

6997/146/2008 (Gov. Gazette, vol.

147 Β)

332

50 domestic workers, 4 dredger mechanics, 1 dredger undersea restorer, 3 dredger restorers, 1 dredger special electrician, 50 farm workers, 150 seasonal farm workers, 1 animator, 50 fishermen, 2 stone artificers, 5 Chinese cuisine chefs 4 farm workers, 1 stock-farm worker, 1 counsellor / tour operator for Russian travel packages, 1 marketing employee with experience in Russian tourist market, 9 fishermen, 3 extra placements for unexpected needs.

2007 30183/2007

(Gov. Gazette, vol. 119 Β)

258

20 domestic workers, 4 dredger operators, 4 dredger mechanics, 1 dredger undersea restorer, 3 dredger restorers, 1 dredger special electrician, 10 farm workers, 150 seasonal farm workers, 4 cookers, 6 cook assistants, 1 animator, 50 fishermen, 2 stone artificers, 2 managers for foreign corporations.

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Wage-based over-qualification rate of native- and foreign-born

by level of education in some OECD countries, 2003-2004

Level of education Foreign-born Over-qualification rate foreign-born/native-

born

Total 23.5 1.2

Intermediate (ISCED 3/4) 28.9 1.1 Belgium

High (ISCED 5/6) 18.3 1.7 Total 21.4 1.1

Intermediate (ISCED 3/4) 20.2 1.0 Canada (2003) High (ISCED 5/6) 23.6 1.8 Total 19.8 1.0

Intermediate (ISCED 3/4) 23.0 0.9 France High (ISCED 5/6) 15.0 1.2 Total 10.5 1.2

Intermediate (ISCED 3/4) 5.6 0.9 Germany High (ISCED 5/6) 23.3 1.5 Total 59.3 2.0

Intermediate (ISCED 3/4) 62.7 1.6 Greece High (ISCED 5/6) 51.0 3.6 Total 34.9 1.7

Intermediate (ISCED 3/4) 37.8 1.7 Italy High (ISCED 5/6) 23.8 1.8 Total 16.5 1.8

Intermediate (ISCED 3/4) 15.9 1.2 Portugal High (ISCED 5/6) 17.3 3.9 Total 6.7 1.8

Intermediate (ISCED 3/4) 2.0 0.7 Switzerland High (ISCED 5/6) 14.7 2.3 Total 13.0 1.3

Intermediate (ISCED 3/4) 13.4 1.3 United States High (ISCED 5/6) 12.7 1.4

Source: European countries: European Union Labour Force Survey (data provided by Eurostat); United States: Current

Population Survey March Supplement; Canada: Survey of Labour and Income Dynamics. Stat link:

http://dx.doi.org/10.1787/021832825511. In: Dumont, J.C. and Monso, O. (2007). “Part II - Matching educational background

and employment: a challenge for immigrants in host countries”. In: INTERNATIONAL MIGRATION OUTLOOK - SOPEMI

2007 EDITION: ISBN 978-92-64-03285-9.

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INTERVIEW PLAN Format of the interview: 1. Warm-up – Make the interviewee feel comfortable and provide any necessary background

on the purpose of the interview. 2. Core – Focus questions on the standards for which information is being sought. Follow-up

initial questions as necessary. 3. Exit Summary – Summarize principal findings. Thank the interviewees for his/her time.

Name of person to be interviewed: Time: Contact information: Planned Questions: � Do the economic crises affect immigrants in Greece and to what extend? � The unemployment rate of immigrants is different nowadays, than it was before the

crisis? � How many immigrants lost their job the last 12 months and does this connect with

specific occupations? � What are the main types of jobs immigrants tend to occupy? Are there differences

concerning men and women or the newcomers? � Which are the most significant supporting services for immigrants, especially concerning

their vocational rehabilitation? � To what degree is the immigrants’ population over-qualified? Are there any differences

concerning gender, age, country of origin, language, type of residence permit etc.)? � Identify barriers that prevent qualified immigrants from accessing jobs that matched with

their qualifications.

� For those qualified immigrants who are in jobs that match with their qualifications: - How long did it take them to access a job that matches with their qualifications since their entry in

the host country? - What factors facilitated them access to jobs that match with their qualifications: Is it because they

come from a country where the qualifications are less difficult to be recognized? Is it because they acquired citizenship? Is it because they speak the language of the host country? Etc.

- What strategies did they use/what paths did they follow to get access to these jobs or to overcome barriers and difficulties that prevented them from accessing jobs that match with their qualifications?

- What support services (available in your locality or elsewhere) did they use to get access to a job that matches with their qualifications? Which of these services worked and which did not?

POSSIBLE BARRIERS - Perceived and real difference in value of qualifications obtained in the country of origin. - Employers often have little or no information or knowledge about the validity of academic or occupational qualifications acquired in the country of origin or simply do not receive job applications from qualified immigrants

- Proficiency in the language of the host country - Lack of social networks, knowledge of and information about the labour market in the host country.

- Regulatory aspects (e.g. requirements for work permits, region of settlement, and access to citizenship) can also limit the choice of jobs for new immigrants

- Various forms of discrimination - The local labour market situation in the host country - Others.