Scheme finds work for 100,000 young people in the South of Italy

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A decree issued by the Labour Minister on 4 December 1997 launched in-company training for 100,000 young unemployed people in the South of Italy.

One of the main point of the tripartite "Pact for Employment" - signed by the Cgil, Cisl and Uil trade union confederations, the Confindustria employers' confederation and the Government in September 1996 (IT9702201F) - was implemented by a legislative decree issued by the Minister of Labour on 4 December 1997. The Pact provided for the employment of at least 100,000 young unemployed workers from the South of Italy under special development plans promoted by companies and local government.

The new plan, which has an investment of ITL 1,000 billion, provides for the employment of 65,000 young people in private companies, while another 35,000 will be employed in development projects funded by local governments. The Labour Ministry has allocated the available sums of money on the basis of the requests submitted by companies and of the current unemployment rate in the individual provinces of the South.

The "work grants" (Borse di Lavoro) have been allocated to those companies which declared themselves willing to take on the young people and to guarantee them a minimum of 40 hours' training. The companies will make their selection from among those who have been unemployed for at least 30 months and who are between the ages of 21 and 30 years. The young people will participate in company training which will vary in length from 10 to 12 months, with an obligatory attendance of at least 20 hours a week, for which they will receive a monthly payment of ITL 800,000 from the National Institute of Social Insurance (Istituto Nazionale per la Previdenza Sociale, INPS). At the end of the training, those companies which decide to employ the young people will be given a three-year total exemption from social contributions in their regard.

The same conditions in terms of payment and the duration of training are foreseen for those young people who take part in local government projects.

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