The Jobs Act has made the labour market more flexible and improved the unemployment benefit system
Unemployment rates are decreasing, but are still high, especially for youth and the long-term unemployed
Too many young in Italy do not work or participate in training or study
Non-participation rates are especially high for women and in southern regions
The share of temporary contracts is high and the transition rate to permanent contracts low
Skills of Italians lag behind those of people in other OECD countries
High share of under-skilling is associated with low skill levels
The share of under-qualified workers is the highest among OECD countries
In the South under-skilling prevails in the North over-skilling
Gaps in the likelihood of being mismatched explained by worker and job characteristics as compared to a well-matched worker
There is a large scope to boost productivity by reducing skill mismatch
Over-skilled or over-qualified workers earn less and have lower job satisfaction
Estimated impact of the Fornero reform on the probability of being well-matched
Spending on active labour market policies is low
Drop-out rates are high with big geographical dispersion
VET in upper-secondary education is well developed in Italy
Labour market outcomes of tertiary graduates are unattractive
The offer of higher technical VET programmes remains concentrated in most industrialised regions and female participation is low
More effort needs to be put in upskilling the labour force
The risk of job loss due to automation is high
Many adults lack computer skills