Lithuania youth unemployment

1. BraveSkillsIstanbul March19-26th
TASKS:
1. Age to enter the labor market
18.6 on average
2. Age for retirement
Lithuania RetirementAge - Women 2004-2018 | Data | Chart | Calendar
Retirement Age Women in Lithuania increased to 62.33 in 2018 from 62 in 2017.
Retirement Age Women in Lithuania averaged 60.49 from 2004 until 2018, reaching
an all time high of 62.33 in 2018 and a record low of 59 in 2005.
Lithuania RetirementAge - Men 2004-2018 | Data | Chart | Calendar
Retirement Age Men in Lithuania increased to 63.67 in 2018 from 63.50 in 2017.
Retirement Age Men in Lithuania averaged 62.81 from 2004 until 2018, reaching an
all time high of 63.67 in 2018 and a record low of 62.50 in 2005.
3. Youth unemployment rate (%, age, gender, duration)

2. 4. % of NEET
Youth Unenploymenet statistics in Lithuania:
Lithuania Youth Unemployment Rate
Youth Unemployment Rate in Lithuania increased to 13.80 percent in January from 13.40 percent in
December of 2017. Youth Unemployment Rate in Lithuania averaged 21.87 percent from 1998 until
2018, reaching an all time high of 36.20 percent in February of 2010 and a record low of 7.60 percent
in June of 2007.
Lithuania Labor Force Participation Rate 1998-2018 | Data | Chart
Labor Force Participation Rate in Lithuania remained unchanged at 60.60 percent in the fourth quarter
of 2017 from 60.60 percent in the third quarter of 2017. Labor Force Participation Rate in Lithuania
averaged 57.83 percent from 1998 until 2017, reaching an all time high of 61.10 percent in the fourth
quarter of 1998 and a record low of 54.70 percent in the fourth quarter of 2006.
330.8
299.6
263.6 266.2 275.9
119.3 111.4 96.2 91 82.5
21 21.5 17.1 14.6 12.3
0
100
200
300
400
2012 2013 2014 2015 2016
Unemployed Youth 15-29 Graduates

3. 5. In which jobs youth work more
Youth (16-29 years old) participation in ALMPM
6,3;
31,3%
11,5;
57,3%
2,3;
11,4%
Vocational training
Sponsorship
employment
Support to Employment
Creation 7,1;
48%
5,5;
37,
2%
2,2;
14,
8%
Efficiency of tools for young people in 2016 (2015)
Integration into thelabor market (%.): Within 6 months After 6 months
• vocationaltraining 92,8 (92,1) x
• Sponsorship employement 92,3 (87,8) 58,1 (53,9)

4. Since September 2014 young unemployed people have been receiving supportfor
creating self employement opportunities. There were198 new workplaces
established in 2016 (123 in 2015), theaveragecost per one place was 12.9 thousand
Eur (EUR 11.4 thousand in 2015). Therange of activities and occupations is very
wide – antyhing fromarchitect, photographer, cosmetologist, nanny, seamstress to
web developer, retail etc.
Young unemployed people can get help in setting up a workplacefor themselves.
The measure is provided by the JGI Implementation Plan and young people can
benefit fromit since2014 when the Employment SupportAct was amended.
In 2015 123 young peopleunder the age of 29 were unemployed.Therange of
activities and occupations is very wide - from the engineer, the veterinarian, the
designer, to the boatman, the cleaner.The subsidy for the creation of these jobs was
1.4 million eur of state budget funds, the averagecost per one place is 11.4
thousand. Eur.
6. Which jobs are more required by the companies
Bottleneck jobs and what skills are we lacking the most
Bottleneckjobsandwhatskillsare we lackingthe mostLithuanianPublicEmploymentService - Lithuanian
Labour Exchange (LLE) data indicates,thatthere are manybottleneckjobvacanciesexceedingthe amount
of jobseekersbyafewtimes.Duringthe periodof elevenmonthsof 2016, the demandforlong-distance
driverswas10 timesbiggerthanthe supply.The mainreasonsforthe lack of staff are emigration,
discrepancybetweenlabourmarketneedsandvocational trainingandretraining,unsatisfactoryworking
conditionsandjobwage.

5. The analysis of critical occupations reveals a qualitative imbalance of supply and
demand showing the occupations where employers face the biggest challenges to find
suitable candidate. This is determined by the lack of suitable candidates, and applicants
not meeting the required skills/experiences. European Commission agency CEDEFOP
has carried out a study of priority mismatch occupations1 and identified occupations
where now and in the near future, employers will meet the greatest difficulties in
recruiting staff.
Critical occupations Employee shortage cause
Programmers, ICT professionals,
finance and math specialists:
Software and application
developers and analysts (ISCO 251);
Database specialists and systems
administrators (ISCO 252);
Information and communicati o ns
technology service managers (ISCO
133); Financial and mathematical
associate professionals (ISCO 331).
The rapidly growing demand led to Lithuania's success in
attracting foreign direct investments tothe financial and ICT
service centres and to creation of start-ups. Higher
education institutions have accepted a larger number of
students in particular study programmes during recent
years, but there is a 4 year gap before they graduate.
Engineers: Engineering professionals
(ISCO 214); Electrotechnology
engineers (ISCO 215).
A demand for engineers is determinedby ongoingindustrial
modernization and development. Although the number of
students in higher education institutions has increased,
engineering programs are struggling to attract the most
talented graduates who seek careers in engineering.
Therefore, business has certain difficulties in recruiting
motivated graduates who not only have good technical,
but also the general (foreignlanguages,managementskills)
competences.
Managers: Sales, marketing &
development managers (ISCO
122); Managing directors and
chief executives (ISCO 112);
Manufacturing, mining,
construction, and distribution
managers (ISCO 132); Retail and
wholesale trade managers (ISCO
142).
Even though the labour market offers a lot of vacancies for
management and similar programme graduates, business
still lacks professional experienced managers. This gap
cannot be filled by a large number of management
graduates, nor by experienced,
but earlier graduated or self-educated workers.
Occupations Education required Foreign languages Experience
Company, institutional and
organization managers
Higher (80 %) English (90 %)
5 years (32 %);
1 year (26 %)
Manufacturing, mining, construction
and distribution managers
Higher (76 %) English (79 %)
2 years (29 %);
3 years (26%)
Sales,marketinganddevelopment
managers
Higher (93%) English (94%)
5 years (35%);
2 years (35%)

6. 7.
Support at local and national level -> employment policy,
internships, school system in relation to internships/extra
curriculum activities…)
https://jaunimogarantijos.lt/en/situation/124
Young people with poor educational background (without primary or with primary and
basic education), who have not acquired any professional qualification, young graduates
without working experience or lacking activity due to thoughtlessly-chosen profession
(surplus profession, lack of a vocation) are under the major threat of unemployment in
Lithuania. Employment opportunities available for young women are slightly smaller than
for the opposite sex of same age group, who can find employment in construction,
industrial sector more easily. Employment opportunities are scarcer in rural areas.
Besides, it has been observed that unemployment duration is determined by the age
group: with the age of young unemployed growing, the duration of unemployment is
extending.
Retail and wholesale trade
managers
Higher (54 %) English (80 %) 2 years (70 %)
Engineering professionals Higher (77 %) English (91 %)
1 year (40 %);
2years (31 %)
Electrical technology engineers Higher (58 %) English (100 %)
1 year (35 %);
2years (29 %)
Software and application
developers andanalysts
Higher (89 %) English (90 %)
5 years (40 %);
2 years (36 %)
Database and network
professionals
Higher (77 %) English (86 %) 1 year (50 %)
Information technology and
comm. services managers
Higher (100 %) English (100 %) -
Junior finance and math
specialists
Higher (65 %) English (100 %) 2 years (56%)
Client informationspecialists Higher (47 %) English (64 %)
1 year (43 %);
2years (40 %)
Heavy truck and bus drivers
Gen. w. prof. q. (34 %);
Primary (24 %)
Russian (58 %)
English (55 %)
1 year (57 %)

7. The most crucial problems hindering youth integration into the Lithuanian labour
market are:
1. Shortage of education, vocational training or working experience;
2. Acquired professional knowledge is inadequate to the labour market needs;
3. Employers are reluctant to pay adequate salary to young people or to employ them in
general;
4. There is a shortage of measures helping to combine professional career or studies
with family obligations;
5. Lack of determination or job seeking skills;
6. Insufficient assistance for transiting from education to labour market;
7. Vocational traning is not popular among youth;
8. A lack of career guidance for youngsters and their parents.
RESULTSof YEI, ESF projects
According to the data of 1 July 2017, the YEI and ESF funded project 'Discover
yourself' involved 20,710 NEETs aged 15–29 (since September 2015), of which 3,477
young jobseekers were prepared for the labour market (had a professional qualification),
13,871 young jobseekers were unprepared for the labour market, 3,362 inactive NEETs
(were not registered with the PES). 13,020 participants accomplished activities. 7,947
participants were employed, returned to education system or gained qualification.
The YEI and ESF funded project 'New Start' since December 2016 involved 6,167
jobseekers aged 16-29, that have previously participated in the project “Discover Yourself”
and were not involved in employment, education etc. Out Of them – 1,782 unique persons
were involved in subsidised employment, 373 – in the support for the acquisition of
working skills, 3.992 persons participated in vocational training. 2,506 participants already

8. successfully completed the activities of the project and 2.406 of them were employed,
returned to education system or gained qualification.
8. Recognition of non formal learning
Skills development& Non formal education
The need for life-long learning as well as overall improvement of employees skills necessary for Lithuanian
labour market has been accepted by the government, social partners and the public at large in Lithuania,
however the levels as well as quality of life-long learning remains at rather low levels.
Over recent years, employment in agriculture has been decreasing in Lithuania (though remains still quite high:
in 2005, 14% of Lithuanian employees were working in agriculture and related activities), while levels of
employment in industry has remained nearly unchanged. Over the same period, employment in the service
sector has been growing at the fastest pace, but mainly on account of employment growth in sectors using
lower skilled labour force (construction, wholesale and retail trade, hotels and restaurants).
As mentioned, the shortage of labour force has been prevalent in Lithuania for a number of recent years, but
this has to do not only with ‘the fact that demand for manual skills is falling, and demand for non-manual skills
is rising’. Even on the contrary, the system of vocational training in Lithuania is characterised as the ‘upside -
down’ pyramid – 80% of current students are studying at universities and colleges providing higher education
and only 20% are studying at vocational schools and professional colleges. Accordingly, employers usually
face a greater shortage of qualified manual workforce than of the non-manual kind.
At this point we should note the fact that Lithuania also falls among the countries where the level of life-long
learning is one of the lowest. Therefore, both primary and continuous vocational training levels and quality
thereof are insufficient in the country.
That’s why the skills development issue more and more often becomes the focus of debates for the
Government, social partners and public at large. In order to improve the existing situation, as mentioned in
Chapter 1, the draft Law on Vocational Training was finalised in 2006 in co-operation with all stakeholders.
The central purpose of this law is to implement vocational training reform with a view to matching qualifications
to labour market needs. This law also provides for many new functions for the social partners. For example,
according to the draft, the social partners shall:
 participate in the formation of the vocational training policy;
 initiate elaboration of new qualification, professional standards, vocational training programmes, share in the
composition of their contents;
 participate in the evaluation of vocational training programmes by their compliance with the economic needs;
 share in the planning of enrolments to state-funded programmes;
 share in vocational guidance performance;
 share in the organisation of practical vocational training, etc.
9. Best practices to transfer

9. 10. Anything else you think can add value to your
research and to our project
Forecast for long-term demand and supply
Therearethreefactorsthatwill shapetheemploymentstructureinLithuania inalong-term perspective.
Technological change. Automation, ICT systems implementation etc. trends will lead to: a) a further
decline in demand for lower-skilled workers; b) increase in demand for higher-skilled workers able
to create, manage and service complex technology needs; c)most valued employees will be the ones
who have the technical knowledge and skills as well as good general competences – researcher,
developer, communication, emotional intelligence, and so on, all of which in the future will not be
delivered by machines yet. The technological modernization of industry will determine the growth
without creating job vacancies:although the industrialaddedvaluein Lithuania is likely tocontinueto
grow, it does not lead to increased demand for employees. Technological modernization will affect
service sectors dominated by routine work –logistics andtransport,tradeetc.,byautomationofroutine
jobs (e.g.drivingthe vehicles).Hence,the need forsuch employees will decrease,whilst increasing the
demand for professionals able to create and manage complex systems.
Demographic change. Ageing Lithuanian and West Europe population will increase the demand for
health care, palliative care and socialwork specialists. It is likely that Lithuania will face the lack of
such workers not because of small number of vocational training, but because of wage differences
between Lithuania and West European countries leading to emigration.
International trade flows and location of Lithuanian economy in the international value-added chains.
Lithuania's economy is small and open,and participation in the international exchange of goods and
services has a significant impact on the economic structure and demands for employees. Under the
optimistic scenario, the global trade volume will not decrease in the future and Lithuanian companies
will continue to successfullyfosteran increasingly high added value in the global supply chains, e.g.
it will produce more and higher value-added products and will be acting not only in manufacturing
but also in creating and developing new products andbrands;high-valueaddedservicecentres willbe
establishedinLithuania.This would lead to the demand for employees with higher competencies and
the increase of wages and it would foster re-emigration and immigration. On the otherhand,there are
more and more signs that showthatthevolume ofthe internationaltrade candecreasein thefuture and
its directions can change. This illustrates the increasing part of West Europe voters opposed to the
free trade, Brexit and emerging disintegration tendencies in the EU. However, if the disintegration
tendencies will occur, it will have a significantly negative impact on Lithuania's economic growth
prospects, unemployment and wages, and will affect the change of economic structure.

10. Unemployment of graduates
Graduates4 account for3.8% of all registered unemployed in LLE in the first half of 2016.
The majority of graduates register in July, right after gaining the qualification. The
number of graduates registered in local offices dropped almost three times over the
last five years. Given the fact that the majority of those who register continue later
with their education or find work quite quickly, it can be concluded that unemployme nt
of graduates is not a systemic problem in Lithuania.