March 28, 2024 5 min read
PES: New program for the employment of 10,000 young unemployed people

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A new PES program for the employment of 10,000 young unemployed up to 29 years of age, 100% subsidized by the Organization and with compensation lasting seven months equal to the minimum wage for each month for the beneficiaries was announced by the Minister of Labor and Social Affairs Kostis Hatzidakis.

At the same time, Mr. Hatzidakis announced the strengthening of incentives of the First Signpost programme of the Ministry of Labour, which has been running since the beginning of the year and is aimed at young people aged 18-29 without previous experience. The aim is for the subsidy provided to be at least equivalent to that of the new OAED programme.

The changes to the First Instalment will be retroactive and will lead to a significant strengthening of the incentives for job creation compared to the current framework. This provides for a subsidy of 1,200 euros for six months. It is divided equally between the employee and the employer - for each new position with a full-time employment contract. The specificity of the First Signal arrangements will be announced next week.

The "identity" of the new Programme OAED

The goal of the new program, duration of 7 months and a budget of 65 million euros (co-financed by the NSRF) is to strengthen the access of young people to the labor market. Also by acquiring work experience to avoid the leakage of scientific workforce.

Beneficiaries are 10,000 unemployed young people, aged 18-29 years old, outside education, employment and training, graduates of at least compulsory education, registered in the unemployment registers of the Employment Promotion Centres of the OAED, located in areas under the jurisdiction of Region of Attica (6.500 unemployed) and the Region of Central Macedonia (3.500 unemployed).

The participants are paid by the PES a monthly compensation equal to the legal minimum wage. In addition, a proportion of holiday gifts and leave allowance is paid. The participants in the program, for the time of their participation in it, are subject to the mixed insurance of e-EFKA.

Regarding the procedure, businesses submit applications to the Integrated Information System of the OAED, at: https://www.dypa.gov.gr/ . There they specify the speciality and the qualifications required for the post.

PES confirms that the business meets the conditions. Then the Agency's employment advisers indicate to the company candidates according to the required qualifications of the vacant position.

The company chooses among the candidates and hires the unemployed person.

The Minister of Labor and Social Affairs announced the new initiatives -which underline the great importance given by the government to strengthening the employment of young people- in the context of a meeting with the Governor of the Public Employment Service Spyros Protopsaltis, with beneficiaries of the Agency's programmes and with representatives of the companies that have benefited from the programmes.

Kostis Hatzidakis, Minister of Labour and Social Affairs

"Over the last 2.5 years, the rates of PES programs have tripled. With the "Jobs Again" bill, we seek to give additional momentum to the PES to be more useful to the employed and the unemployed. Today we announce a new program of the Organization for 10,000 new jobs. It concerns young people up to 29 years of age, covers Attica and Central Macedonia - i.e. the two largest Regions of the country - and based on this program there will be support for the recruitment of 10,000 young people, each of whom will receive, for seven months, the amount of the minimum wage.

It is a very important program with a high aid intensity, which covers the needs of both businesses and young people. At the same time, next week we will announce an adjustment of the "First Badge" Program to make it at least as attractive as the program we are announcing. Young people are a priority of the Prime Minister and the Ministry of Labor and Social Affairs."

Spyros Protopsaltis, PES commander

"The new program that will start soon is one of the new co-financed actions announced by PES and is part of the 86,000 subsidized jobs that will be "opened" in 2022. We continue to emphasize active policies, because our job is to help the unemployed find work. The programs we activate do just that. We will continue to take actions and we hope to have a high response from businesses".

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