Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Job retention schemes are keeping millions in work, what happens once they end?

Job retention schemes are keeping millions in work, what happens once they end?

With the pandemic, lockdowns, climate change and the digital transition, employment in Europe has rarely been so precarious. Job retention schemes are keeping millions in work, but what happens once they end?

In this episode of Real Economy we ask what happens when job retention schemes come to an end in Europe? Job retention schemes have kept millions of people in work during the pandemic and lockdowns. As these emergency measures are gradually phased out, how does Europe ensure there are enough jobs and that people have the right skills for the jobs of the future?



The European Union’s goal emerging from the Pandemic is a ‘strong social Europe’. Its Pillar of Social Rights Action Plan sets out three targets to be achieved by 2030.

At least 78% of adults should be in employment and another 60% should participate in training every year. Also, the number of people at risk of poverty or social exclusion should be reduced by at least 15 million.



European Commissioner for Jobs and Social Rights, Nicolas Schmit, says that companies play a key role in training. "It's up to the companies to retrain, to reskill, to upskill a lot of their staff.

He adds that companies must "reskill those with the lowest level of skill because their jobs are also changing. There is now this idea that 90% of all jobs have some kind of digital component. If you are working in construction, for instance, you have to have some competencies in digital, how to manage when you are in the building area."

Euronews journalist, Naomi Lloyd talking to European Commissioner for Jobs and Social Rights, Nicolas Schmit

Schmit underlined that "the Commission wants to support these strategies at the level of the companies, at the level of regions together with public employment services"

The financial aid behind training and transitioning


The European Commission’s EASE (Providing Effective Active Support to Employment) recommends that countries create new jobs by supporting entrepreneurs and training people in new skills to get jobs in growing sectors such as green and digital.

To help finance this, there is money available from the Recovery Fund and the European Social Fund Plus.

"This is part of the withdrawal of the furlough schemes" says Schmit, adding "we need a new kind or very active labour market policy, and that's the sense of EASE. And we need it for these new transitions, which is also the green transition and the digital one.'

The Pin Project


In Italy's Puglia region, two young entrepreneurs with innovative ideas have been given the chance to start a business with the help of the PIN project which is co-financed by the European Social Fund.

State-of-the-art prosthetic hand


Giovanni is a mechanical engineer. He is just about to launch Adam’s Hand, a mobile bionic hand with an integrated AI system. He received 30 000€ and business support to create this high-tech start-up. He tells us that "the PIN project was fundamental" to his business because it allowed him to obtain the initial funds to purchase his first machines. It's what helped him create the first Adam’s Hand prototypes.

BionIT Labs' Adam's Hand


As well as financial and infrastructural support, the PIN project helped him bring back some qualified workers to the south. That, he says, is "a great source of satisfaction" to him and the team.

Nicolas Schmit believes that giving companies the opportunity to take on new employees, like Giovanni did, is also part of EASE's role when furlough schemes eventually come to an end. According to Schmit, it will help people "to take advantage of the transitions, to support them by skilling, but also in a way, by giving hiring subsidies, if needed, to encourage new companies or other companies just to hire people".

For now, Giovanni employs 20 people and has to keep ahead in a very competitive environment. His sights are also set on the international market which means it may grow in the near future and create further employment.

Eco-packaging


A fairer and more accessible labour market is one of the goals of the European Pillar of Social Rights, which also supports the green transition. This transition and the green sector, in general, are full of opportunities for Laura and her business partners. The three freelance architects returned to their Italian region to bring together agriculture and design.

The PIN project helped them create a company that designs ecological and reusable packaging. They were given help with management skills and the latest ways of working. Laura tells us that it's thanks to the PIN project and thanks to the new tools that it has allowed them to develop, they have been able to immediately talk to customers. This has helped them achieve many goals.

Laura and Business partner working on their eco-packaging


Today they have clients all over Italy.

With a total budget of around 17 million euros, the PIN project has funded more than 500 innovative projects like Giovanni’s and Laura's.

Training for a new era


Every year, the European Social Fund supports 10 million people like Giovanni and Laura.

According to economist Andrea Garnero, upskilling is key to this support. He says that "the kind of skills that will be required from workers and companies will change". They will need to rely more on technologies as working from home becomes more common. "Member states have played a key role in accompanying companies and workers in these transitions, and they need training, reskilling opportunities", he adds.

Andrea Garnero


The EU Social Summit


Europe’s commitment to Social Rights are at the forefront right now with the Social Summit being held in Porto in Portugal starting on the 7th of May. The two-day event will bring together EU leaders, institutions and social partners to discuss some of Europe's biggest challenges, like climate change and the digital transition. These two challenges in turn also affect business opportunities, job creations and training.


Nicolas Schmit says that the summit is coming at a time when "people are anxious, people fear that there will be cuts, there will be a big restructuring". According to him, the summit in itself is a message that the crisis will "not be a crisis of cuts in the social services and the social infrastructures". "We need economic development, but at the same time, we also need social dimensions and cohesion in our societies".

As job retention schemes come to an end, the hope is that Europe with its social initiatives and support will step up to the challenge and keep people in work.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Altman Says GPT-5 Already Outpaces Him, Warns AI Could Automate 40% of Work
Russian Research Vessel 'Yantar' Tracked Mapping Europe’s Subsea Cables, Raising Security Alarms
Global Cruise Industry Posts Dramatic Comeback with 34.6 Million Passengers in 2024
U.S. Demands Brussels Scrutinize Digital Rules to Prevent Bias Against American Tech
Private Equity’s Fundraising Surge Triggers Concern of European Market Shake-Out
Tokyo’s Jimbōchō Named World’s Coolest Neighbourhood for 2025
European Officials Fear Trump May Shift Blame for Ukraine War onto EU
The Personality Rights Challenge in India’s AI Era
Italy Considers Freezing Retirement Age at 67 to Avert Scheduled Hike
Italian City to Impose Tax on Visiting Dogs Starting in 2026
Study Finds No Safe Level of Alcohol for Dementia Risk
Trump Says Ukraine Can Fully Restore Borders with NATO Backing
Europe Signals Stronger Support for Taiwan at Major Taipei Defence Show
Germany Weighs Excluding France from Key European Fighter Jet Programme
Cyberattack Disrupts Check-in and Boarding Systems at Major European Airports
Björn Borg Breaks Silence: Memoir Reveals Addiction, Shame and Cancer Battle
When Extremism Hijacks Idealism: How the Baader-Meinhof Gang Emerged and Fell
JWST Data Brings TRAPPIST-1e Closer to Earth-Like Habitability
Trump Orders $100,000 Fee on H-1B Visas and Launches ‘Gold Card’ Immigration Pathway
France’s Looming Budget Crisis and Political Fracture Raise Fears of Becoming Europe’s “Sick Man”
Three Russian MiG-31 Jets Breach Estonian Airspace in ‘Unprecedentedly Brazen’ NATO Incident
European manufacturers against ban on polluting cars: "The industry may collapse"
Turkish car manufacturer Togg Enters German Market with 5-Star Electric Sedan and SUV to Challenge European EV Brands
Christian Brueckner Released from German Prison after Serving Unrelated Sentence
World’s Longest Direct Flight China Eastern to Launch 29-Hour Shanghai–Buenos Aires Direct Flight via Auckland in December
New OpenAI Study Finds Majority of ChatGPT Use Is Personal, Not Professional
The conservative right spreads westward: a huge achievement for 'Alternative for Germany' in local elections
Pope Leo Warns of Societal Crisis Over Mega-CEO Pay, Citing Tesla’s Proposed Trillion-Dollar Package
Poland Green-Lights NATO Deployment in Response to Major Russian Drone Incursion
U.S. and China Agree on Framework to Shift TikTok to American Ownership
Le Pen Tightens the Pressure on Macron as France Edges Toward Political Breakdown
Czech Republic signs €1.34 billion contract for Leopard 2A8 main battle tanks with delivery from 2028
Penske Media Sues Google Over “AI Overviews,” Claiming It Uses Journalism Without Consent and Destroys Traffic
Indian Student Engineers Propose “Project REBIRTH” to Protect Aircraft from Crashes Using AI, Airbags and Smart Materials
One in Three Europeans Now Uses TikTok, According to the Chinese Tech Giant
Could AI Nursing Robots Help Healthcare Staffing Shortages?
NATO Deploys ‘Eastern Sentry’ After Russian Drones Violate Polish Airspace
The New Life of Novak Djokovic
German police raid AfD lawmaker’s offices in inquiry over Chinese payments
Volkswagen launches aggressive strategy to fend off Chinese challenge in Europe’s EV market
France Erupts in Mass ‘Block Everything’ Protests on New PM’s First Day
Poland Shoots Down Russian Drones in Airspace Violation During Ukraine Attack
Apple Introduces Ultra-Thin iPhone Air, Enhanced 17 Series and New Health-Focused Wearables
Macron Appoints Sébastien Lecornu as Prime Minister Amid Budget Crisis and Political Turmoil
Vatican hosts first Catholic LGBTQ pilgrimage
Apple Unveils iPhone 17 Series, iPhone Air, Apple Watch 11 and More at 'Awe Dropping' Event
France joins Eurozone’s ‘periphery’ as turmoil deepens, say investors
France Faces New Political Crisis, again, as Prime Minister Bayrou Pushed Out
Nayib Bukele Points Out Belgian Hypocrisy as Brussels Considers Sending Army into the Streets
France, at an Impasse, Heads Toward Another Government Collapse
×