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Reducing of unemployment rate in Kohtla-Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D. Valeri Korb. IST4Balt WORKSHOP IN ESTONIA 29.06-30.06.2006

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Page 1: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

Reducing of unemployment rate in Kohtla-Järve region with the financial assistance of

European Social Fund

Jelena Dulneva, Ph.D. Aleksandr Dusman,

Ph.D. Valeri Korb.

IST4Balt WORKSHOP IN ESTONIA 29.06-30.06.2006

Page 2: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

Estonian National Development Plan for the Implementation

of the EU Structural Funds 2004 - 2006

• Priority 1: Human Resource Development• Priority 2: Competitiveness of Enterprises• Priority 3: Agriculture, Fisheries and Rural

Development • Priority 4: Infrastructure and Local Development• Priority 5: Technical Assistance

Page 3: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

Priority 1. (ESF)

The Human Resource Development priority is aimed at increasing Estonia’s labour force potential and using it in a more effective way.

It is implemented through the following four measures:

• Measure 1.1: Educational System Supporting the Flexibility and Employability of the Labour Force and Providing Opportunities of Lifelong Learning for All

• Measure 1.2: Human Resource Development Increasing the Competitiveness of Enterprises

• Measure 1.3: Inclusive Labour Market

• Measure 1.4: Enhancing Administrative Capacity.

Page 4: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

ESF support in 2004-2006(in million Euros)

2004 2005 2006 2004-2006

PRIORITY 1 18,53 25,02 32,56 76,1

Measure 1.1 9,79 13,22 17,2 40,01

Measure 1.2 1,85 2,5 3,26 7,61

Measure 1.3 6,43 8,69 11,3 26,43

Measure 1.4 0,45 0,61 0,79 1,86

Page 5: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

ESF measures – 1.3

Measure 1.3: Inclusive Labour Market

Intermediate body: Ministry of Social Affairs

Implementing agency: Labour Market Board.

Page 6: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

ESF measures – 1.3• General objective - a more extensive and efficient

prevention and alleviation of unemployment and, thus, poverty and social exclusion, and enhancing social inclusion.

Final Recipients:• Ministry of Social Affairs and its agencies• Local Municipalities and County Governments;• Non-governmental organisations, foundations and private

enterprises;• Other public and private legal bodies of the field, including

training and research institutions and social partners’ organisations (employers associations and trade unions);

Page 7: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

WHY IS KOHTLA-JÄRVE ?

RU

SS

IA

TALLINN KOHTLA-JÄRVE

NARVA

Page 8: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

Industrial base is an oil-shale

Why is Kohtla-Järve ?

Page 9: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

WHY IS KOHTLA-JÄRVE ?

3337

1120 7661105

4099

0

1000

2000

3000

4000

5000

Kohtla-Järve

Jõhvi Kiviõli Sillamäe Narva

Registered jobless on 01.01.2004

Page 10: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

Population of Kohtla-Järve - 43 446

69%

18%13%

Estonians Russians Other nationalities

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

53348

43446

Page 11: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

• Main applicant: Kohtla-Järve Town Government• Official partner: Estonian Labour Market Board

(TTA) in particular Ida-Viru County office • Indirect partners: • State and private professional training institutions• Employers of Ida-Viru County and Estonia as a

whole

Page 12: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

Financing of the project:• Total budget for the project – 6.5 mln. EEK• Local contribution part of Kohtla-Järve

Town Government – 0.11 mln. EEK• Estonian Labour Market Board - 1.25 mln.

EEK• ESF grant – 5.22 mln. EEK

Page 13: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

The main objectives of the project: • Reducing of unemployment rate in the

region• Improvement of labour potential and

qualification of project’ participants• Personal assistance in placing in a job

Page 14: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

Project activities:

• Adaptation to modern labour market through 96 hours course

• Professional training and retraining up to 640 hours

• Practical work on the enterprises up to 480 hours for 80 students

• * Employment with subsidies for 50 participants

Page 15: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

Participant’s benefits:

• Professional certificate

• Scholarship in amount 600 EEK per month during all period of training and practice

• Reimbursement of transportation costs up to 1200 EEK depending on distance

Page 16: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

Graduate Ceremony

Page 17: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

Pluses of the project:• Knowledge about situation on modern market• Professional training and skills perfection• Positive and friendly atmosphere in training

institutions, new friends • Opportunity to get working experience as a trainee• Placement in job with subsidy give the possibility

to show readiness to develop personal skills and to work in a proper way

Page 18: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

Minuses of the project:• Long-term unemployed with very law interest to

change their life• Law salaries rate for people who have no working

experience• Welfare payments • Short term of placement in job with subsidy (2

months only)• During 3 month practice better to pay minimum

wage instead of scholarship

Page 19: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

Current situation:• 220 students started professional training• 204 of them finished professional training • 54 have practice in the enterprises• 119 placed in a job • 58,3 %

Page 20: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

PROJECT RESULTS ACCORDING PROFESSION

0

10

20

30

40

50

60

Wel

der

Cham

berm

ade

Build

er

Secu

rity

work

er

Hote

lad

min

istra

tor

Com

pute

rgr

aphi

csAd

min

istra

ator

of c

ompu

ter

netw

ork

Com

pute

rte

chic

ian

num

ber o

f stu

dent

PROJECT PARTICIPANTS

PASSED THROUGH THE FULLCOURCE

PLACED IN JOB

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

Page 21: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

“ INTEGRATION of UNEMPLOYED into LABOUR MARKET through STRENGTHENING their COMPETITIVENESS”

Professional training in IT:

1. Computer technician

2. Computer network administrator

3. Computer graphics

4. During adaptation course all participants get up to 36 hours of computer training

Page 22: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

Unemployment rate in Kohtla-Järve

Kohtla-Järve

33372898

2083

0

500

1000

1500

2000

2500

3000

3500

4000

01.01.2004 01.01.2005 01.01.2006

Page 23: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

Active industries are production of building

materials, metalworking industry, textile, light

industry, etc.

Kohtla-Järve

Page 24: Reducing of unemployment rate in Kohtla- Järve region with the financial assistance of European Social Fund Jelena Dulneva, Ph.D. Aleksandr Dusman, Ph.D

Thank you for your attention!

Jelena Dulneva – Kohtla-Jarve Town Government, adviser on international affairs

Tel. +372 3378538, +372 5096378

e-mail address: [email protected]