New attempts in solving the problem of youth unemployment

What is the most important goal of the governmental measure is for young people to gain experience and also to enable them to become more competitive in the labor market. Nowadays, grades that students rightfully gain during their study are losing importance over work experience, which is becoming most valued for employers. When you come to a job interview, in most cases if you don't have a filled CV in your hands, you simply don't stand a chance. Somehow a vicious circle has been created, in which young people cannot get a job unless they have previous work experience, and no employer wants to hire an unexperienced person. This raises a question: How to gain experience without employment for the inexperienced? The vicious circle was closed and the question answered with this measure. It is indisputable that in Croatia there is a problem of disproportion between the predominant professions of the unemployed workforce and the requirements of the labor market. However, it is also clear that the one-year internship is not primarily intended for persons with scarce professions (e.g., pharmacists, physicians), but for those with whose professions labor markets are overcrowded (e.g., economists and lawyers). This gives them a chance to express their capabilities and potential. Ultimately, it is necessary to point out that since the beginning of this measure, 62 % of young people has found a job after finishing their internship.

Compensation does not mean salary

This measure has received much criticism from the very beginnings. The first criticism was directed towards the monthly compensation received for the internship. This amount may not be sufficient to cover basic living expenses, but at a time when the crisis takes more and more jobs from working-age people, this kind of internship certainly has its benefits. First of all, the amount of 1600 HRK (210 EUR) is substantially bigger than the one provided by the state if a person is reported on the labor market. Furthermore, the government has allowed the payment of transport costs in the amount of up to 1000 HRK (130 EUR), which also removes a huge burden from the backs of young people. This measure was not intended to instantly create a selfdependent middle or upper class right after college, its intention was to provide young people with a chance to move themselves from the desperation and hopelessness of waiting on the labor market and to prove to an employer that they are capable and motivated enough to become permanently employed. Therefore the monthly compensation is not and needs not to be a monthly salary, but a stimulation.

The private sector is starting to notice benefits

Still, Minister Minister of Labour and Pension System, Mirando Mrsić is being accused of not achieving what was originally intended: to relieve the public sector and to encourage youth employment in the private sector. However, it is necessary to keep in mind that a measure introduced by the state and thus the public sector can not immediately achieve success in the private one. Private owners are still standing on shaky ground and a certain programme must be proven and viable for them to participate in it. Despite that, today one third of the interns is hired in the private sector. Also, more and more private owners and businessmen believe in the usefulness of this measure and therefore tend to hire young people that have been a part of it.