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.




The labour market situation of Lithuanian youth

This chapter provides an overview of youth in the labour market in Lithuania and highlights some of the key challenges faced by policy makers in the country. Lithuanian youth were hit hard by the global economic and financial crisis, with the unemployment rate increasing sharply and peaking to over 35% in 2010. Despite signs of progress, the unemployment rate continues to be higher than it was at the beginning of the crisis. One key concern relates to the continued underrepresentation of the youth in the Lithuanian labour market, manifested by both low employment rates and high inactivity rates. Even when young Lithuanians are in employment, they are frequently in poor quality jobs. Indeed, they often hold low-paid jobs, they face a high risk of unemployment and have lower income protection in case of job loss. Furthermore, the job of a young worker in Lithuania typically offers few possibilities for career development.


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