NEETs Phenomenon with Insight onto Smartly Project and Research

Emergence of NEETs phenomenon

NEETs, which stands for "Not in Education, Employment, or Training," were first recognized in the 1980s in the UK as young people who dropped out of school and were not included in unemployment statistics because they were not actively seeking employment. The term has since been adopted by other countries in the EU and is now part of public discussion. NEETs are individuals aged 15-29 or 15-34, depending on the country, who are not in education, employment, or vocational training. The proportion of NEETs in a population varies widely by country, with some countries having less than 10%, while others have more than 15%.[1]

Eurofound identifies five main subgroups within the NEET population, which are:

• Conventionally unemployed, the largest subgroup, further divided into long-term and short-term unemployed;

• The unavailable group which includes young caregivers, young people with family responsibilities, and young people who are sick or disabled;

• The disengaged group which encompasses young people who are not seeking jobs or education, and are not constrained from doing so by other obligations or incapacities, including discouraged workers and those pursuing dangerous and asocial lifestyles;

• The opportunity-seekers group, which includes young people who are actively seeking work or training but waiting for opportunities that align with their skills and status; and finally,

• The voluntary NEETs group, which includes young people who are traveling or constructively engaged in activities such as art, music, and self-directed learning.[2]

The categorization mentioned above reveals that NEETs are not a homogenous group and includes individuals who are unemployed either temporarily or long term due to various reasons. For those who have financial assistance from their parents or are not actively seeking work because of legitimate reasons such as pursuing higher education, unemployment may not pose a significant economic challenge. However, the issue is that being idle can hinder their transition into adulthood.[3]

How can we explain NEETs phenomenon?

The main reasons for the increase in the number of NEETs are related to economic conditions and the labor market. Young people are more susceptible to unemployment and often find themselves in precarious jobs after leaving school. Economic downturns, such as the 2008 crisis, can lead to a significant rise in the number of NEETs, particularly in countries such as Greece where the rate nearly doubled between 2008 and 2013. In addition, a lack of basic skills in reading, writing, and math can also contribute to the likelihood of becoming NEET. Family issues and health problems can also play a role.

In addition to economic factors, there are other factors that can explain differences in NEET rates between countries. Countries with dual education systems, such as Germany, Switzerland, and Austria, have lower NEET rates because many young people acquire the necessary skills through apprenticeships, which helps them transition into the workforce. Moreover, these systems also ensure that young people have a good command of basic skills like literacy and numeracy. For instance, Germany revamped its education system after the "PISA shock" in the early 2000s, when its schools performed poorly. However, education system characteristics are not the only factors at play. The labor market policies of countries can also affect access to employment and NEET rates. Addressing these issues and fighting against poverty, which is more prevalent among young people and has been increasing in France, remains a significant challenge.[4]

What are the challenges of addressing NEETs phenomenon?

Policymakers face various challenges in tackling the complex and diverse issues of NEETs, particularly for migrant women aged 25-29. One of the primary obstacles is the linguistic barrier, which limits the employment opportunities of NEETs. Although those who speak the local language do not face this problem, migrants from other regions may require language training before they can participate fully in the labor market.

Another significant challenge is work-life balance, which is particularly relevant for migrant women who often have caregiver responsibilities. The inflexibility of training and job offers can make it challenging for them to maintain a balance between work and personal life, leading to limited participation in the labor market. Furthermore, cultural and religious customs of minorities rooted in some members of the target group can also make it difficult to combine identity with labor market integration.[5]

The lack of previous social integration is another challenge. The research suggests that achieving labor integration largely depends on previous social integration, which makes it essential to facilitate interactions between people from different strata. Public policies that facilitate social integration can help create a space that is more likely to boost the desire to end being a NEET. A housing policy that prevents the consolidation of ghettos can help to avoid creating spaces where following generations reproduce the same patterns of poverty.[6]

How SMARTLY addresses NEETs phenomenon?

The SMARTLY project aims to address the NEETs phenomenon by developing a profiling tool that focuses on digital and green skills. The project seeks to enhance the employability of young people by providing relevant training programs and exposure to in-demand skills. This will enable them to meet the needs of the green and digital economy, which are becoming increasingly important. The project also aims to equip workers with further skills to combat climate change. SMARTLY is a collaboration between eight European partners and seeks to adapt vocational education and training to meet the current and emerging needs of the labor market. By empowering future decision-makers with the skills of tomorrow, the project hopes to combat the biggest challenges facing our societies.

Article written by Michalina Wacław, Economist at CASE - Center for Social and Economic Research (Poland).

References:

[1] OECD. https://data.oecd.org/youthinac/youth-not-in-employment-education-or-training-neet.htm.

[2] Eurofound  (2012). NEETs  –  young people  not  in  employment,  education  or  train-ing: characteristics, costs and policy responses in Europe. Luxembourg: Publi-cations Office of the European Union.

[3] Chen, Y. W. (2011).  Once a NEET always a NEET? Experiences of employment and unemployment among youth in a job training programme in Taiwan. Inter-national     Journal     of     Social     Welfare, 20(1).     doi:     10.1111/j.1468-2397.2009.00711.x.

[4] Giret J., (2021). Les jeunes en situation de NEET : le rôle des compétences de base.

[5] INE. 2022. Indicadores Demográficos Básicos. Madrid: Instituto Nacional de Estadística, Available online: http://www.ine.es/dynt3/inebase/es/index.htm?padre=2043&capsel=2044.

[6] Pesquera Alonso, C., Iniesta Martínez, A., & Muñoz Sánchez, P. (2022). Barriers That Keep Vulnerable People as NEETs. Social Sciences, 11(6), 253. MDPI AG. Retrieved from http://dx.doi.org/10.3390/socsci11060253.