I-vi.5 Special employment scheme for long-term unemployed young people
3.6.5.I-vi.5 Special employment scheme for long-term unemployed young people (Piano straordinario per l'occupazione di giovani disoccupati di lunga durata)
3.6.5.1. Aim
To integrate into the labour market 40,000 young people, at least 20,000 of them from the Mezzo-giorno, by means of training-cum-work contracts; participants are aged between 18 and 29 and have been unemployed for at least 12 months.
3.6.5.2. Legal basis
Law 113 of 11.4.1986
3.6.5.3. Contents
In the course of the implementation of this special plan, private firms, public commercial enterprises, associations and foundations conducting research or providing companies with technical assistance submitted projects under which workers are recruited on the basis of training-cum-work contracts to the Ministry of Labour.
The projects involved the recruitment of workers aged between 18 and 29 who had been registered in the placement lists for more than 12 months. The projects were obliged to specify the duration and nature of the periods of work and training.
Priority was accorded to projects which offered measures in areas with particularly high levels of youth unemployment, which promoted the recruitment of women in occupations in which women are underrepresented, and the recruitment of highly specialised personnel.
The employer received a grant of 15% of the remuneration paid to the worker on the training-cum-work contract. This grant amounted to 20% for firms operating in the information technology sector. In addition, the Law provided for a monthly bonus to the employer of LIT 100,000 for a period of 12 months for each worker initially recruited under a training-cum-work contract and subsequently employed under a permanent contract. For the Mezzogiorno this bonus amounted to LIT 200,000.
3.6.5.4. Financial resources
A total expenditure of LIT 570 billion was allocated for the 2-year period 1986-87
3.6.5.5. Duration
After 1987 Law 113/86 was repeatedly extended. No extension was granted in 1993, however. At present, projects provided with funding while the law was in force are still being carried out.
3.6.5.6. Effects
In 1993 the special plan benefited 112 firms, which received total funding of around ITL 7,600,000,000.
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