New youth employment schemes

Publicated on: June 14, 2013

The Ministry for National Economy is launching two new employment programmes: the Road to Your Job ("Út a szakmaválasztáshoz") scheme assists young people with social disadvantages in finding a profession, and another programme will help local governments to employ students during the summer vacation period.

Minister of State for Employment Sándor Czomba stressed at a press conference in Budapest that European Union funds of EUR 6bn are available for the Road to Your Job scheme, which is aimed at about 6-8 thousand – mainly Roma – school students.

According to the Minister of State for Social Inclusion at the Ministry of Human Resources Zoltán Kovács, the Road to Your Job scheme will effectively complement ongoing programmes such as the so-called MACIKA scholarships, which support those with multiple social disadvantages in their studies all the way from primary school to university.

As Sándor Czomba explained, the scheme targets marginalised young people of primarily Roma origin by providing scholarships for the final years of primary-level education in order to enable them to join and complete a vocational training course.

Pupils from grades seven and eight may apply for the scholarship in the 2013/2014 school year, the Minister of State said adding that at least half of approved applications shall be from Roma pupils.

The funding received will hinge on grade point average: young people may receive a monthly grant ranging between 10-18 thousand forints above a GPA of 2.51. Pupils may receive the stipend for two years, either in grades seven and eight or in grade eight and the first year of technical college. Young people who also work on the basis of a student contract at enterprises or who learn a profession for which there is high demand may be allotted an extra amount.

Sándor Czomba mentioned as an example, that the grant received for a GPA of 3.6 is HUF 13 000, to which extra amounts of HUF 15 860 and HUF 20 000 may be added for working with a student contract or learning a scarce skill, respectively. As an excellent student, provided all the aforementioned conditions are fulfilled, young people joining the scheme may receive as much as some HUF 64 000.

He added that students will be assisted by mentors and applications may be submitted from convergence regions. Application information details can be obtained at labour institutions and minority local governments.

Speaking about MACIKA scholarships, Zoltán Kovács said that these are allotted to some 17 thousand young people each year, to which figure 6-8 thousand more are expected to be added via the Road to Your Job scheme, and thus government grants will aid a total of 25 thousand young people with multiple social disadvantages.

The Minister of State for Social Inclusion said that HUF 400 million is available this year to fund the Road to Your Job scheme within MACIKA scholarships; this is currently the only scholarship for young people with multiple social disadvantages. On the basis of estimates by the Ministry of Human Resources and declarations by beneficiaries of the schemes, there are currently 5 000 young people of Roma origin among those who receive grants. The MACIKA scholarship programme is also similar to the Road to Your Job scheme in the sense that the former has always been performance-based and linked to a steady grade point average. In the opinion of Zoltán Kovács, the initiative may contribute to fulfilling the commitment about which the Government concluded an agreement with the Hungarian Roma Local Government two years ago, which aims to assist 20 thousand Roma students obtain a technical college qualification until 2015. Sándor Czomba also announced that students will also be helped in finding a summer vacation job via local governments, and to this end 7000-7500 full-time students will be supported by HUF 1.5bn between 1 July and 31 August.

One hundred percent of monthly wage costs up to HUF 100 000 will be subsidised by the National Employment Fund, the Minister of State said, adding that employers can be exempted of paying contributions within the framework of the Job Protection Action Plan for employing young people aged 16-25 years.

(Ministry for National Economy)

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