Financial support will be provided to employers to hire unemployed youth

09.01.2023

FINANCIAL SUPPORT WILL BE PROVIDED TO EMPLOYERS TO HIRE UNEMPLOYED YOUTH

Financial support will be provided to employers who employ unemployed youth up to the age of 29. The funds are provided under the "New opportunities for youth employment" project.

Employers from the real sector, as well as bodies of the executive power according to the Law on Local Self-Government and Local Administration, municipal enterprises under Art. 52 of the Law on Municipal Property, the bodies of the central administration of the executive power and their territorial structures, according to Art. 38 of the Law on Administration, and the latter can apply for vacancies only for internships with an employer for young people with completed higher education.

Support is provided to employers who employ unemployed youth up to the age of 29 through the following three options:

  • conclusion of an employment contract for on-the-job training, for a period of up to 6 months, during which the trainee receives remuneration for the time actually worked. With such an employment contract, the employer undertakes to train the worker or employee in the process of working in a certain profession or specialty. Agreement under Art. 230 of the Labor Code is concluded with young people who do not have a qualification in the profession in which they will be trained during the work process. It is permissible to enter into such a contract with persons who have a qualification, but in another profession or specialty. According to the provisions of the Labor Code, the employer is obliged to provide work for a period of up to 3 years, according to the acquired qualification, to the persons who have successfully completed training under the project (Article 230, paragraph 4 of the Labor Code). The training is supported by mentors, who can be either designated by the employer, its employees/workers, or the natural persons who represent the Employer. The remuneration of the persons included in the training is in the amount of the minimum wage for the country, and for the mentors it is in the amount of 1/2 of the minimum wage (for those appointed to a labor or official relationship).
  • conclusion of an employment contract for an internship, for a period of 6 to 9 months, with the remuneration being in the amount of the minimum insurance income for the relevant main economic activity and qualification group of professions for the relevant year, to which the disclosed internship position applies (Art. 233b of the Labor Code). Internship is the performance of work under the guidance of the employer or of a person designated by him - a mentor, with the aim of acquiring practical skills in an acquired profession or specialty. Such an employment contract can only be concluded with persons who possess a qualification acquired in the secondary or higher education system, for work in a position that corresponds to the qualification acquired by the person. The internship is for a period of 6 to 9 months. In the case of an internship, no costs are incurred for the remuneration of a mentor.
  • conclusion of an employment contract for a period of up to 9 months with a provided mentor for jobs disclosed by the employers in the field of activities carried out by them in positions falling within the scope of single groups of professions from classes 2 to 9 of the National Classification of Professions and Positions - 2011. The remuneration of the employed youth is in the amount of the minimum insurance income for the relevant main economic activity and qualification group of professions for the relevant year. Mentors can be designated by the employer as its employees/employees assigned to a labor or service relationship, and the funds under the project cover their remuneration costs in the amount of 1/2 of the minimum wage.

The project also reimburses expenses for public transport of passengers by buses according to the approved republican, regional or municipal transport schemes or for rail transport of passengers in cases where the unemployed person has accepted the "suitable job" offered by the Employment Agency in the sense of the Law on employment promotion Transport costs cover the value of the supporting documents (tickets – up to 2 means of transport per day in one direction; day passes) corresponding to the days worked for the first month of the internship/on-the-job training/employment.

All procedures and necessary documents for application and inclusion in the project are published on the website of the Employment Agency.

After the approval of the employer and the unemployed persons, an employment contract is concluded between the Employment Agency and the employer. Employers are reimbursed already incurred expenses for wages and insurance contributions for the persons employed under the project, and the possibility to reimburse, in addition to already paid, but only accrued expenses of the persons who worked during the reporting month, is also regulated.

It is also important to know that:

  • Employers can submit requests for job vacancies for young people with registration in Directorates "Labor Office" throughout the country;
  • All currently valid contracts with employers for internship/on-the-job training may, at the discretion of the respective employer, be annexed in accordance with the new project conditions.
  • Employment under all contracts with employers should end no later than 31.07.2023.