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Investing in Youth: Lithuania

image of Investing in Youth: Lithuania

The present report on Lithuania is the fourth of a new series on "Investing in Youth" which builds on the expertise of the OECD on youth employment, social support and skills. This series covers both OECD countries and countries in the process of accession to the OECD, as well as some emerging economies. The report provides a detailed diagnosis of the youth labour market and VET system in Lithuania from an international comparative perspective, and offers tailored recommendations to help improve school-to-work transitions. It also provides an opportunity for Lithuania to learn from the innovative measures that other countries have taken to strengthen the skills of youth and their employment outcomes, notably through the implementation of a Youth Guarantee.

 

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Improving the employability of Lithuanian youth through welfare policies and activation programmes

This chapter discusses the role of labour market and social policies in supporting the employability of youth in Lithuania. In particular, the chapter reviews the unemployment and social assistance benefits available to provide adequate income support to youth; the public employment services to assist youth (re-)enter the labour market; the vocational education and training (VET) systems to help young people obtain the skills needed in the labour market. The chapter finds that although generosity of unemployment and social assistance benefits is relatively low and should not distort work incentives, more efforts are needed in providing youth with tailored support in finding employment. Public employment services lack the capacity to provide personalised support. Furthermore, there is room for more generous and effective spending on active labour market policies (ALMPs) and continuing the efforts to modernise the Lithuanian VET system.

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