NEET Rates Research Articles

Youth Guarantee: Looking for Explanations

Aiming to tackle the high levels of youth unemployment and rates of Not Employed, in Education, or Training (NEET), the European Union launched the flagship policy Youth Guarantee in 2013. In this article we evaluate this policy in order to reveal the lessons it can teach us and possible ways for its improvement to achieve a sustainable active labor market policy. We use the data collected through the Indicator Framework for Monitoring the Youth Guarantee to analyze the policy impact, limited to some of the countries with the highest NEET rates: those of the Mediterranean European Economic Area (Cyprus, Greece, Italy, and Spain). We used the data to create regression models for the evaluation of policy measures, spread, and achievements. In our findings we reveal the importance of time in the policy implementation, the differences and commonalities between the countries, and hidden problems in the data collection that lead to biases and misleading results. We conclude that it is too soon to judge the usefulness of the policy and recommend an improvement in the data collection process.

The association of economic and cultural capital with the NEET rate: differential geographical and temporal patterns

Using data from 103 Italian provinces, we investigated the relationship between local/regional development, and NEET. We constructed an indicator of cultural capital and another of economic capital and we studied their relation with the NEET rate. Covariance Structure Analysis with Generalized Least Squares estimation was employed, considering a three time-points retrospective model. Results indicate a consistent protective effect of the economic capital on the NEET rate, both in the short run (2 years) and in the medium run (10 years). However, this effect has been obtained in the Central provinces (at 2 and 10 years) and Southern provinces (at 10 years), but not in the Northern provinces. A mediation analysis indicated that, historically, the cultural capital may partly mediate the effect of the economic capital. We did not detect a significant direct effect of the cultural capital on the NEET rate, which is strongly mediated by the action of the economic capital. Together, these results denote that the economic capital is a strong predictor of NEET, but not in very competitive economic areas.

Is the distribution of NEETs and early leavers from education and training converging across the regions of the European Union?

ABSTRACT Literature on education and training highlights two factors that impinge on the distribution of early leaving (ELET) and exclusion from employment and training (NEET) across EU regions. One of these factors lies in the institutions that regulate the transition from education and training to employment at the national level. Over time, these institutions have constituted a Universalistic regime in Scandinavia, an Employment-Centred regime in Central Europe, a Liberal Regime in the UK and Ireland, a Sub-Protective regime in Southern Western Europe and an array of Post-Socialist regimes. The other factor lies at the local and regional levels of governance. In some regions, diverse stakeholders are capable to encourage early school leavers to undertake education and training again, and have constructed complex schemes of vocational education and training that embrace apprenticeships, secondary and tertiary education. By exploring the regional distribution of ELET and NEET rates between 2003 and 2015, our findings report mixed trends of convergence. While in Universalistic and Employment-Centred regimes we find out convergence insofar as the more vulnerable regions catch up, in Liberal, Sub- Protective and Post- Socialist regimes catch-up effects are weak and not significant, and top performing regions deviate from the rest.

THE MACROECONOMIC DETERMINANTS OF NEET: A PANEL DATA ANALYSIS FOR FRAGILE FIVE COUNTRIES AND RUSSIA

This study aims to investigate the impact of macroeconomic indicators on Not in Education, Employment, or Training (NEET) population in Brazil, India, Indonesia, South Africa, and Turkey accepted as Fragile Five countries and Russia 2005-2018 period by using the panel data analysis method. Gross Domestic Product Per Capita (GDP), Inflation Rate (Consumer prices, INF), Adjusted savings for education expenditure (% of Gross National Income, S), Foreign Direct Investment (FDI), HDI index data were used for explaining the NEET for selected countries. The relationship between variables was analyzed using the Panel Data Methods via Fixed-Effects Model. Therefore, according to the findings of Driscoll and Kraay Estimator- One-Way Fixed Effects Model, "HDI, GDP, FDI and S" variables have a statistically significant effect on NEET as the dependent variable. According to findings, while a 1% increase in HDI and FDI respectively give rise an increase of 2.14% and 0.03% on NEET, a 1% increase in GDP, and S resulted in a decrease of 0.77% and 0.38% on NEET. The findings of the correlation matrix of residuals revealed that the correlation between countries was highest between India and Brazil and the lowest between Russia and Indonesia. According to preliminary results requirement for human development indicators and attraction to FDI should be directed to rural areas for reducing the NEET rates in FFC.

Требования рынка труда к человеческому капиталу молодежи

Цель: статья посвящена определению и изучению требований рынка труда к человеческому капиталу молодежи. Обсуждение: российский молодежный рынок характеризуется рядом негативных тенденций, среди которых сокращение рабочих мест по причине активной информатизации бизнес-процессов, рост показателей безработицы, низкий интерес молодежи к работе в реальных секторах экономики, предпочтение молодежи удаленной работы, распространение феномена людей, которые не хотят ни работать, ни учиться, и многие другие. В этой связи наиболее актуальными вопросами как в теории, так и на практике, имеющими не только общегосударственную, но и глобальную значимость, выступают: изучение проблем современного молодежного рынка труда, занятости молодежи, ее эффективного и быстрого трудоустройства. Результаты: в статье использована методика поэтапного исследования требований рынка труда. На первом этапе были определены мотивы найма молодых специалистов, основные преимущества и недостатки молодежной рабочей силы. На втором этапе анализировались причины отказа в трудоустройстве молодых специалистов. Третий этап предполагал выделение групп характеристик человеческого капитала молодежи, коррелирующих с эффективным трудоустройством. Результаты исследования могут быть использованы при разработке государственных программ молодежной политики, вузовских программ трудоустройства выпускников вузов.

The Relationship Between Lengthy Job Recruitment Process and NEET: A Study on Bangladesh Public Service Commission Respect to Selected Year’s BCS Exams

The NEETs indicator has become very popular in recent years and is increasingly used by individual researchers, governments, international organizations, and so on. It refers to the percentage of youth those who are not in employment, education, or training. In Bangladesh, the NEET percentage is higher than the other Asia-Pacific countries. This paper has addressed the relationship between the Lengthy Job Recruitment Process and NEET rate in Bangladesh's respect to BCS Exam Taken by the Bangladesh Public Service Commission. The study has applied a descriptive research design with a quantitative approach to determine the extent of each factor in the analysis. Data was collected from secondary sources like- ILOSTAT, News-portal, and BPSC annual reports for the years of 2010, 13, 16, and 17. Data were analyzed by using descriptive analysis (means and standard deviation, correlation analysis (Pearson Correlation), and simple linear regression analysis. The study found that lengthy job recruitment processing time has significant effects (P-value 0.068 at 0.10 significant levels) on NEET rate in Bangladesh with respect to selected year’s BCS exams taken by the Bangladesh Public Service Commission. The coefficient of determination (Adjusted R2=0.869) showed that 86.90% of the success recorded in the NEET rate changes in Bangladesh accounted for lengthy job recruitment processing time taken by the Bangladesh Public Service Commission with respect to selected year’s BCS exams.

Economic growth and mental well-being in Italian regions

Measuring economic growth is not only an arithmetic problem, it also involvesan economic vision and a philosophy for the choice of indicators (i.e.Gross Domestic Product). Today it seems more relevant to measure not onlythe economic well-being as it is, using Gross Domestic Product, but also thepeople's well-being, considering other dimensions such as health and happiness.Over the years, national accounts and Gross Domestic Product havenever changed their nature, instead combining social and economic indicatorscan oer important indications for well-being research. As pointed outby the World Health Organization, health is well-being, but it is not alwayscoincident with a high level of Gross Domestic Product. In particular, asregards the mental health condition it has become an important aspect inmeasuring people's well-being. Mental health has been considered an importantsignal of the society's discomfort due to economic growth that, generally,is argued to be caused by the disamenities of the industrial lifestyle. Thisstudy involves an empirical investigation using a panel econometric model inItalian regions, considering antidepressant expenditures per capita (an expressionof society's unhappiness) as dependent variable and, as covariates,the old age index, the poverty rate, the employment rate, the Neet rate, andthe percentage of public expenditure in services.

An Analysis of NEETs Situation in UE-28 Countries and the Example of Netherlands

The aim of the article is to compare a NEET rate in EU-28 countries based on the most recent Eurostat statistical studies, and to solve a research problem concerning the situation of youth on the job market through answering a research question how did the NEETs situation change in the period under question which is 2008–2018. An increase of the negative trend of high unemployment among young people is constant, therefore it seems justified for the analysis to cover the period of ten years, which assumingly allows for the more complex assessment of the investigated issue. The analysis is supplemented by the case study of Netherlands which has the lowest NEET rate and as such stands as the example for the other European countries to follow.

College Educated Yet Disconnected: Exploring Disconnection From Education and Employment in OECD Countries, With a Comparative Focus on the U.S.

In this study, we investigated factors predictive of disconnection, or not being in education, employment, or training (NEET), among young adults with at least a 2‐year college degree. We also explored the extent to which disconnection influences civic participation and well‐being among NEETs with and without college degrees. The authors used 2012 and 2015 Organisation for Economic Co‐operation and Development (OECD) data from the Survey of Adult Skills in the Program for the International Assessment of Adult Competencies (PIAAC) for 29 countries, including the United States, along with US 2012 data from the Education Longitudinal Study of 2002 (ELS:2002), collected by the National Center for Education Statistics (NCES). Results highlight that college‐educated individuals whose parents have low levels of educational attainment actually have a higher likelihood of becoming NEET relative to college‐educated individuals whose parents are more highly educated. Study findings also emphasize the influence of economic and geographic differences (country‐level for OECD and county‐level for United States) on NEET rates, in addition to the extent to which mothers have a higher likelihood and fathers have a lower likelihood of being NEET relative to their childless peers and the influence of country‐level family leave policies on the odds of being NEET across the OECD. College field of study also emerges as an important influence on disconnection across the 29 OECD countries in the study, but not in the United States separately. Finally, comparing results for college‐educated NEETs and NEETs without degrees, we found that higher education appears to reduce the likelihood of community disengagement and reports of poor health among NEETs across the OECD countries. However, this is not the case within the United States where NEETs are less likely to be engaged in their communities and more likely to describe themselves as in poor health regardless of their educational attainment.

Spatial variations and clustering in the rates of youth unemployment and NEET: A comparative analysis of Italy, Spain, and the UK

AbstractWe investigate the “determinants” of spatial variations in youth unemployment and NEET rates, and the presence of spatial clusters, for Italy, Spain and the UK. We aggregate Labour Force Survey data for the period 1993–2018 to a “regional” level. We find that youths are sensitive to aggregate labor market conditions and a discouraged worker effect. In the UK and Spain, temporary jobs are more likely to be preferred to part‐time jobs, whereas in Italy the opposite occurs. There is evidence of spatial clustering of youth unemployment and NEET rates. We discuss the implications for place‐based regional and labor market policies.

Going Behind the High Rates of NEETs in Italy and Spain: The Role of Early School Leavers

This paper aims to analyse the determinants of the dynamics of those not in employment, education, or training (NEET) during 2007–2017, focusing primarily on the role played by early school leavers (ESLs). The analysis covers Italy and Spain, because they show the highest levels of NEETs and ESLs in the EU, respectively. The dynamics and causes of NEET status in these two countries are revealed to be similar only in appearance. After the analysis of the theoretical framework for the relationship between NEETs and ESLs, we investigate the NEET composition in terms of inactive and unemployed individuals, and empirically study the relationship between ESLs and NEETs both in terms of the interdependence and dependence of NEETs and ESLs. Furthermore, we study the contemporaneous relationship between NEET and ESL rates in Italy and Spain in terms of correlation. Finally, to understand how ESL status can lead to NEET status, we investigate the dynamic relationship between NEET and ESL rates based on simple regression models of NEET rates on lagged rates of ESLs, as well as on a time-varying correlation model. Results reveal, among other things, that Italy shows a greater ESL influence on NEET rates, especially for men. The main conclusion concerns the need to invest more in education and to adopt measures able to keep more young people in education for a prolonged period. Therefore, particularly in Italy, policymakers should pay more attention to the education system, including aspects linked to the labour market.

Being NEET in Europe Before and After the Economic Crisis: An Analysis of the Micro and Macro Determinants

In this paper, we analyse the main determinants of the propensity to NEET status in a selection of European countries. The NEET rate is the share of young people, aged between 19 and 30 years, not in Employment, Education or Training. In treating the 19–24 and 25–30 cohorts separately, our hypothesis is that for the younger cohort NEET status is mainly influenced by the school-to-work transition while for the older cohort this status is primarily due to labour market functioning and institutional factors. We apply different specifications of multilevel models with binary outcomes accounting for both personal and macro-economic factors which afford advantages over simple logit models. Estimates refer to 2007 and 2016 in order to verify how the economic crisis changed NEET status. The results confirm our hypothesis, highlighting the crucial role on the NEET propensity of the school-to-work transition in the first approach to the labour market, but also the strong influence of long-term unemployment, confirming the structural nature of the NEET phenomenon especially in countries where NEET levels remain high even during times of economic recovery.

Correlation between Individual Ability and NEET Probability: An Analysis of the College Graduates

국제적으로 볼 때 한국은 청년 니트(NEET) 비율이 다른 OECD 국가들에 비해 높은 수준이며, 특히 대학 이상의 학력을 가진 고학력 계층에서 니트 비율이 심각하게 높은 상황이다. 본 논문에서는 왜 이처럼 대학 이상 고학력 청년층에서 니트 비율이 높은지 그 원인을 파악하기 위해 한국고용정보원에서 조사하는 ‘대졸자직업이동경로조사’ 자료를 분석하였다. 우선 어떤 특성을 가진 청년일수록 니트가 될 확률이 높아지는지 결정요인에 대해 분석한 결과, 가정환경이 여유로운지 여부는 니트 확률에 유의한 영향을 미치지 않는 것으로 나타났다. 반면 개인의 능력과 니트 확률 간에는 뚜렷한 마이너스 상관성이 확인되었다. 다음으로 대학을 졸업한 후 1년 6개월이 지난 1차조사 시점과 이로부터 2년 후인 3년 6개월이 지난 2차조사 시점 간 청년층의 경제활동상태의 변화 양상을 추적한 결과, 이 기간 동안 니트 비율은 거의 유사한 것으로 나타났다. 또한 1차조사에서 니트 상태에 있던 그룹과 2차조사에서 새롭게 니트 상태로 변화한 그룹 간에는 능력과 관련된 대부분의 변수들이 유의한 차별성을 보이지 않았다. 졸업 후 초기에 취업해 있더라도 능력이 낮은 사람을 중심으로 다시 니트로 변화하는 경향성이 존재함을 보여준다. 단순히 이들을 취업으로 유도한다고 해서 니트 문제가 해결되기는 어렵다는 사실을 본 논문의 분석 결과는 시사해준다.Internationally, Korea has a higher NEET rate than other OECD countries, especially in the highly educated youth with college or higher education level. In this paper, I analyze the GOMS(Graduates Occupational Mobility Survey) data collected by Korea Employment Information Service to find out why NEET rate is high in Korean college graduates. The result of analysis on the determinants of the NEET probability shows that the variables related to family backgrounds have no significant effects on the probability of becoming a NEET. On the other hand, there is a clear negative correlation between individual ability and NEET probability. Next, I analyze the changes in the economic status of college graduates between the first survey (one year and six months after college graduation) and the second survey (three years and six months after college graduation). The NEET ratios in both surveys are nearly similar. In addition, most of the variables related to individual abilities do not show any significant difference between the NEET group in the first survey and the new NEET group in the second survey. This shows that there is a tendency to become a NEET again, especially for college graduates with low ability, even if they are employed early after graduation. The results of this study suggest that NEET problems can not be solved simply by inducing them to work .immediately after graduation.

Determinants of youth not in education, employment or training: Evidence from Sri Lanka

AbstractThe presence of a large proportion of youth neither in education, employment, or training (NEET) signals problems in a country’s education and labor market systems, and has wide‐ranging negative consequences, extending beyond the individual to the economy and society. Using Sri Lankan Labour Force Survey data for the year 2016 and binomial and multinomial logistic regression models, in this paper we provide the first estimates of NEET‐related risk factors in Sri Lanka. Key risk factors of becoming NEET include being female, being of ethnic and religious minorities, belonging to the older 20 to 24 age group, having very low or very high levels of education, being illiterate in English, belonging to a low‐income household or one headed by a male, having young children, and living in more remote areas. Our findings hold several important policy implications for reducing the NEET rate in Sri Lanka and engaging more youth in education and in the labor force.

Understanding the Critical Aspects of South Asian Labor Market: Implications and Policy Responses

Objectives: This paper attempts to explore the critical insights into the labor markets of South Asian countries taking ILO’s Key Indicators of the Labor Market (KILM) as an example for illustrations. In addition, the paper puts its lens on addressing adequate policies and program responses at country level, especially for Bangladesh. Methodology: This is basically a policy-focused study focusing on an extensive analysis of existing relevant documents and literature. The paper has therefore adopted three steps methodological approach: collecting, scrutinizing and analyzing. The required data were collected from secondary sources including strategic papers, technical notes, conference proceedings, statistical reports, research articles, relevant books and e-materials of reputed international organizations such as ILO and World Bank. Findings: A critical review of the existing facts and documents has revealed that despite geo-political and ethnical differences, South Asian labor economies are characterized with homogonous labor market characteristics including low labor force participation rate, gender gap in employment and wages, notable labor dependency ratio, working poor, sluggish wage growth, low labor productivity, excessive working hours, high NEET rate, and a state of labor underutilization. In addition, countries differ in terms of policy issues, implementation levels, data availability and compliance to ILO’s decent work agenda to a large extent. Recommendations: An integrated labor policy incorporating the lessons and experiences of developed countries, opinions of stakeholders and labor specialists, balanced and diversified development programs, compliance to ILO’s decent work agenda, and collaborative works with national and international labor organizations are supposed to contribute to better functioning of labor markets. Implications: Although this region of the world is blessed with abundant labor force, a critical analysis has revealed several implications at both national and regional level. The current scenario of lower labor force participation rate and higher time-related underemployment indicate the absence of policies for the fullest utilization of this golden human resource. In addition, slow or negative wage growth and poor wages badly affect the living standards of workers. Despite the consecutive growth in industry and service sector, still the employment in this region is predominantly agricultural which in turn is largely responsible for informal employment. Value/Originality: This study is one of very few labor market studies focusing on the critical aspects of South Asian labor markets. The paper is therefore expected to add value to the existing field of regional labor market research. Academics, researchers, policymakers and stakeholders are largely be benefited from this study.

Better Late than Never? How Late Completion Affects the Early Careers of Dropouts

Across the OECD countries, dropouts from upper secondary schooling fare worse in the labor market, with higher NEET rates more spells of unemployment and lower earnings. Among the dropouts, there are however significant shares who complete at a later age. In this paper, we thus ask the question: Does it pay for young adults who do not complete upper secondary schooling by the age of 21, to do so at some point during the subsequent 7 years, that is, before turning 28? In all four Nordic countries under scrutiny, we find that late completion lowers the probability of being outside employment, education or training (NEET) at age 28. Moreover, the exact age of completion does not seem to matter. Our estimates are robust to the inclusion of extensive controls for socioeconomic background and early schooling paths, and similar to the ones produced by event history analysis with individual fixed effects. This indicates that late completion of upper secondary schooling plays an important role for the labor market inclusion of young dropouts.

NEET as an Outcome for Care Leavers in South Africa: The Case of Girls and Boys Town

A well-documented outcome for emerging adults in determining their “success” is whether they are Not in Employment, Education, or Training (NEET) or engaged in Education, Employment, and Training (EET). Being NEET can create psychological, emotional, financial, and health challenges and is a significant risk factor in youth making successful transitions into adulthood. This article describes and compares the NEET and EET status of care leavers from Girls and Boys Town after 1 and 2 years and in relation to other outcomes. The results suggest that while care leavers’ NEET rates are high, they are not significantly higher than those of the South African general population as seen elsewhere in the world. Furthermore, being NEET is associated with more negative care leaving outcomes than being EET; however, this article also highlights the vulnerability of those who are EET. Relationships with family and support networks play a critical role in helping and supporting these youth.

The NEET concept in comparative youth research: the Nordic countries and South Africa

ABSTRACTThe NEET concept has become widely used internationally since its emergence in the UK almost two decades ago. This article reviews the adoption of the concept in two extreme contexts in terms of NEET rates, youth opportunities and youth welfare: the Nordic countries and South Africa. The article discusses the situations of NEET young people in the two contexts, and how the concept is used in the wealthy and relatively homogenous Nordic welfare states and in relatively poorer and racially divided South Africa. While the concept has been problematised in different ways in Nordic youth research, it has been more readily accepted by South African researchers. We argue that, in both contexts, the NEET concept can be taken as an invitation to look beyond individual life situations and biographies, and to focus on how structural forces such as the political economy shape young people’s lives. The NEET concept provides a way of discussing changing opportunity structures and how global social forces such as globalisation and neoliberalisation shape young people’s lives in different contexts. The NEET concept is useful in comparative youth research.

Between a frightening Present and a disjoined Future. Recession and social vulnerability in the case of Greek Neets: Socio-demographics, facets of the Crisis’ Impact and the revival of the intergenerational transmission of poverty.

The paper initially approaches definitional issues and proceeds in a brief overview of the state of play concerning NEETs (young people not in education, employment or training) in the EU, emphasizing the relation between youth unemployment and NEET rates. Then, based on some of the key findings of a recent quantitative research (carried out within the framework of the EEA Grants/ GR07-3757 Project), the paper maps Greek NEETs’ main characteristics today and presents findings related to the impact of the crisis in both Young people in total and NEETs’ life course, employability, public trust, civics and survival strategies. The research leading to several of the results presented in the present paper has received funding from the EEA/Norwegian Financial Mechanism 2009-2014, under the Project Contract n° EEA Grants/ GR07- 3757 (‘Neets2). The Project was carried out by the Centre for Educational Policy Development of the General Federation of Greek Workers (KANEP/GSEE) (Project Coordinator Partner), the Centre for Political Research & Documentation of the Department of Political Science at the University of Crete (KEPET/ UoC) and the Centre for Human Rights of the Department of Political Science at the University of Crete (KEADIK/UoC) (Project Partner 1). It was carried out from 15/12/2015 to 14/12/2016.

Small differences matter: how regional distinctions in educational and labour market policy account for heterogeneity in NEET rates

Labour market and education policy makers and researchers are increasingly focusing on the NEET indicator as a supplement to the youth unemployment rate. Analyses of factors influencing NEET have concentrated primarily on individual characteristics such as gender and migration background on one hand, and on macro-level factors of nations such as economic growth and minimum wage regulations on the other. However, nations are not homogenous, especially when a country is divided into several federal states, as is the case with Austria. This article aims to analyse regional differences within Austria. In order to explain the differences, we define a multilevel model that contains four contextual factors: the importance of upper secondary education; the importance of dual education; vacant jobs; and expenditures for active labour market policy. Because the institutional level addresses different age groups, the analysis was split into two age groups: 15–19 and 20–24 years. The results have shown that, besides the social structure of the population, contextual factors like the upper secondary education, the dual education, vacant jobs, and expenditures for active labour market policy are also relevant for explaining regional differences in the NEET rates. But one main insight was that the impact of the contextual factors varies between different social groups.