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Youth Entrepreneurship Context
and the Vision of Public Employment Service
TURKISH EMPLOYMENT AGENCY (İŞKUR)
Yasemin Özüm BOZKURT
Employment Expert
Stockholm, SWEDEN; 24-25 April 2014
The Overview of Youth Labour Market in Turkey
Entrepreneurship Context in Turkey and an
Alternative SWOT Analysis
Public Employment Services Targeting Youth
What Works Best – Country Experiences
CONTENTS
2
Youth Labour Market
3
Years Population
Labour force
(Thousand
People)
Employment
(Thousand
people)
Unemployed
(Thousand
people)
Labour force
participation
rate (%)
Unemployment
rate (%)
Employment
rate (%)
Not in Labour
force
(Thousand
People)
2000 12.703 5.401 4.696 705 42,5 13,1 37 7.302
2001 12.641 5.323 4.460 862 42,1 16,2 35,3 7.318
2002 12.520 5.116 4.135 980 40,9 19,2 33 7.404
2003 12.379 4.753 3.777 975 38,4 20,5 30,5 7.626
2004 11.840 4.474 3.554 919 37,8 20,6 30 7.366
2005 11.757 4.436 3.554 881 37,7 19,9 30,2 7.321
2006 11.670 4.365 3.533 832 37,4 19,1 30,3 7.305
2007 11.583 4.364 3.493 871 37,7 20 30,2 7.218
2008 11.490 4.381 3.484 897 38,1 20,5 30,3 7.109
2009 11.513 4.454 3.328 1.126 38,7 25,3 28,9 7.059
2010 11.548 4.426 3.465 961 38,3 21,7 30 7.122
2011 11.534 4.529 3.697 832 39,3 18,4 32,1 7.005
2013 11.574 4.422 3.647 775 38,2 17,5 31,5 7.152
2014* 11.563 4.584 3.727 857 39,6 18,7 32,2 6.979
Source: TurkStat
* 2014 January
Youth Unemployment Trends in
EA-EU
4
5
Active Labour Market Programmes are covered vocational training courses,
job and vocational trainings, on the job trainings, public works and
entrepreneurship training programmes.
Public employment services widely carry out entrepreneurship training
programmes as a tool for reducing unemployment. This policy creates both
high level of entrepreneurship skills and sustainable entrepreneurship eco-
system.
İŞKUR allocates 1,8 billion TL for active labour market programmes in
2014.
Entrepreneurship as a Labour
Market Policy
Entrepreneurship Context in
Turkey
6
Efficiency-driven economy to innovation driven economy
High impact enterprises
Public and Private institutions, NGOs to develop
entrepreneurship
An Alternative SWOT Analysis of
Youth Entrepreneurship in Turkey
7
WeaknessesStrenghts
Opportunities Threats
Total early stage entrepreneurs in
Turkey, GEM
8
Source: Global Entrepreneurship Monitor
Proportion of Entrepreneurs by
Age Group
9
Age Group 2010 2011 2012
15-19 0,1 0,1 0,1
20-24 2,7 2,3 2,1
25-29 10,0 9,5 9,2
30-34 16,8 17 16,8
35-39 17,1 17 18,1
40-44 17,2 17 17,7
45-49 13,5 13,2 12,9
50-54 9,4 10,1 9,7
55-59 5,8 6,8 6,3
60-64 3,8 3,5 4
65 + 3,5 3,5 3,2
Source: TurkStat, 2014
GEDI 2013 Country Excerpt for
TURKEY
10
Index
Turkey’s
Score/Rank
The Best
Score
The Worst
Score
Overall GEDI Score 0,32 0,67 0,07
Rank in Global Competitiveness Index 2011-2012 59 1 142
Rank in Economic Freedom Index 2011-2012 87 1 179
Global Entrepreneurship and Development Index rank 45 1 118
Entrepreneurial Attitudes sub-index rank (point): 48/0,35 1/0,73 118/0,04
Entrepreneurial Action sub-index rank (point): 57/0,28 1/0,73 118/0,09
Entrepreneurial Aspirations sub-index rank (point): 35/0,34 1/0,63 118/0,02
Weakest pillar to improve (value): PROCESS INNOVATION
Source: Global Entrepreneurship &Development Index Turkey 2013
GEM Indicators
11
Index 2006 2007 2008 2010 2011 2012
International Orientation early-stage Entrepreneurial Activity 17 17 21 - 9 15
New Product early-stage Entrepreneurial Activity 65 70 87 - 68 60
Growth Expectation early-stage Entrepreneurial Activity: Relative Prevalence 44 61 32 - 44 43
Informal Investors Rate 3 4,7 4,8 - 5,1 9,1
Total early-stage Entrepreneurial Activity for Female Working Age Population 3,5 2,4 2,4 3,7 7,2 6,9
Total early-stage Entrepreneurial Activity for Male Working Age Population 8,5 8,7 9,4 13,5 16,5 17,5
Improvement-Driven Opportunity Entrepreneurial Activity: Relative Prevalence 23 35 41 47 45 55
Necessity-Driven Entrepreneurial Activity: Relative Prevalence 29 36 39 37 32 31
Total early-stage Entrepreneurial Activity (TEA) 6,1 5,6 6 8,6 11,9 12,2
New Business Ownership Rate 4 3,7 3 5,1 6 5,4
Nascent Entrepreneurship Rate 2,2 1,9 3,2 3,7 6,3 7,3
Know Startup Entrepreneur Rate 34 34 31 - 25 34
Entrepreneurial Intention 20,1 19 20,8 19,4 8,5 14,7
Fear of Failure Rate 27 23 34 25 22 30
Perceived Opportunities 34 39 36 36 32 40
Source: Global Entrepreneurship Monitor
12
“Every job seeker and every employer has a job and vocational
counselor”
Public Employment Services
Targeting Youth
Within the Job and Vocational Counseling
services;
• Vocational Information and evaluation of
individual competencies
• Vocational guidance
• Orientation to Entrepreneurship or vocational
training courses
• Job placement
• Support for job orientation
• Counseling services for entrepreneurs
• Vocational information seminars at schools.
Thus,
• Shortening unemployment
period
• Increasing job creation,
employment and productivity
• Sustainable employment and
entrepreneurship ecosystem
are targeted.
The problem of asymmetric information which is one of the most
important problems of labor market will be solved by means of
counseling services.
13
Success in the profession takes place with the selection of the appropriate
professional skills.
İŞKUR vocational orientation tests
İŞKUR The Journal of Support to Vocational Choice
University Contact Points
İŞKUR, EUROGUIDANCE Country Representative
Career Days and Employment Fairs
Activities related to Skills Matching for
Youth
14
Brings together employers, jobseekers and related parties
Modules based on sectors / entrepreneurship
Brings together succesfull entrepreneurs and university students
Entrepreneurship Fairs
15
Information Desks at
Universities
• Carreer Consulting
• Entrepreneurship opportunities
• Informing about probable active
labour market programmes
16
Entrepreneurship Training Programmes
Entrepreneurship training programmes are delivered to help those registered in
the Institution establish and improve their own businesses and enable them to
apply Small and Medium Enterprises Development Organisation (KOSGEB)
New Entrepreneur Support
It is delivered to people who are registered to the Institution, are willing to
benefit from entrepreneurship training programme, undergo evaluation
processes developed by the Institution and are found acceptable for benefiting
from this programme within job and vocational counselling services.
17
Entrepreneurship Training Programmes
Participation Conditions
Conditions are as follows:
• Unemployed and registered to the Institution (except for the retired),
• At least 18 years old,
• Not having benefited from the same module in the Entrepreneurship
programme before.
“Applied Entrepreneurship Training Participation Certificate” is given to
participants. This certificate is a document that can be used to apply
KOSGEB New Entrepreneur Support.
18
Entrepreneurship Training Programmes
Participation Conditions
Each participant attending programmes;
• receives trainee compulsory expense (20 TL), whose amount has been
determined by the Administrative Board of the Institution, for each actual
training day they attend.
• In the course of the programme general health insurance premiums and
insurance of occupational accidents and professional diseases premiums of
participants are paid.
19
Entrepreneurship Training Programmes
Content of Training
In trainings; applied and interactive techniques like sample case, exercise etc.
are used. In workshops, analysis/research studies realized by the participants
are evaluated together with the other examples that the trainer would present.
Success stories of successful entrepreneurs may be included in trainings.
These trainings are composed of four modules;
 1st Module: Examining entrepreneurship qualities, developing business ideas
and exercises on creativity – 8 (eight) hours,
 2nd Module: The concept of business plan and its components (market research,
marketing plan, production plan, management plan, financial plan) - 18
(eighteen) hours,
 3rd Module: Workshops for consolidation of business plan components (market
research, marketing plan, production plan, management plan, financial plan) - 24
(twenty four) hours,
 4th Module: Writing business plan and points to consider during its presentation -
20 (twenty) hours.
20
Entrepreneurship Training Programmes
Some Statistics
-
5,000
10,000
15,000
20,000
25,000
30,000
2009 2010 2011 2012 2013 2014
1 319 906 921 910
61-
4,707
13,605 13,127 13,023
916
19
3,599
10,540
12,348 12,143
781
19
8,306
24,145
25,475 25,166
1,697
Entrepreneurship Training Programmes in İŞKUR
Number of Programme Men Women Total
Source: Turkish Employment Agency – İŞKUR
21
Entrepreneurship Training Programmes
Some Statistics
Age Groups
Men Women Total
2012 2013 2012 2013 2012 2013
15-19 381 310 215 171 596 481
20-24 2.705 2.453 1.652 1.639 4.357 4.092
25-29 3.453 3.426 2.256 2.280 5.709 5.706
30-34 2.818 2.795 2.731 2.548 5.549 5.343
35-39 1.901 1.986 2.448 2.372 4.349 4.358
40-44 1.141 1.133 1.745 1.707 2.886 2.840
45-49 507 560 873 878 1.380 1.438
50-54 160 229 326 405 486 634
55-59 45 85 81 114 126 199
60-64 15 33 15 23 30 56
65+ 1 13 6 6 7 19
Total 13.127 13.023 12.348 12.143 25.475 25.166
Source: Turkish Employment Agency – İŞKUR
The Distribution of Trainees by Ages, 2012-2013
22
Projects Targeting Youth
A) Promoting Youth Employment
EU-TR Joint IPA Project (Sep 2011-Sep 2013)
To reduce youth unemployment by implementing
ALMPs, local action plans, supporting
entrepreneurship and on the job training
Components:
Grant : € 24.133.081 (127 Projects Completed)
Service: € 1.947.680
23
Projects Targeting Youth
B) Growth with Decent Work for All: National Youth Employment
Program and Pilot Implementation in Antalya (South-West Turkey)
United Nations Millenium Development Goals Achievement Fund (Oct
2009-Dec 2012)
Budget: USD 3,980,000
Local Project with National outcomes.
To reduce youth unemployment among vulnerable young members of
migrant families and increase the participation of young women in the
labor force.
A National Youth Employment Action Plan lays the policy, budgetary
and institutional framework for this objective.
24
Projects Targeting Youth
National Youth Employment Action Plan
Objective 1: Development of İŞKUR Capacity on youth
employment
Performing periodic needs analysis of youth
Social Dialog Mechanisms
PVTEB effectiveness
Objective 2 : Strengthening Education-Employment Relation
Easing of transition to Labor Market
Opportunities to gain experience
Objective 3 : Contribution of İŞKUR to Job Creation
Monitoring and Sustaining youth employment
Promoting Entrepreneurship
Developing strong communication channels and supporting
Entrepreneurship via legal ammendments
25
What Works Best
• Small and Medium Enterprises Development Organization’s
facilities and entrepreneur support programmes
• The Union of Chambers and Commodity Exchanges of Turkey
(TOBB) – Youth Entrepreneurship Counsil
• YES Model
• Universities and NGOs
• Global Entrepreneurship Week
• National Entrepreneurship Counsil
• National Entrepreneurship Action Plan
• Developed financing mechanisms
THANKS
TURKISH EMPLOYMENT AGENCY
DIRECTORATE GENERAL
Yasemin Özüm BOZKURT
Employment Expert
ozum.bozkurt@iskur.gov.tr
www.iskur.gov.tr

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Vocational training- Entrepreneurship training- On the job training- Job placement- CounselingOutcomes:- 1,500 young people trained- 1,000 young people employed- Entrepreneurship training for 300 youth- 30 new enterprises established

  • 1. Youth Entrepreneurship Context and the Vision of Public Employment Service TURKISH EMPLOYMENT AGENCY (İŞKUR) Yasemin Özüm BOZKURT Employment Expert Stockholm, SWEDEN; 24-25 April 2014
  • 2. The Overview of Youth Labour Market in Turkey Entrepreneurship Context in Turkey and an Alternative SWOT Analysis Public Employment Services Targeting Youth What Works Best – Country Experiences CONTENTS 2
  • 3. Youth Labour Market 3 Years Population Labour force (Thousand People) Employment (Thousand people) Unemployed (Thousand people) Labour force participation rate (%) Unemployment rate (%) Employment rate (%) Not in Labour force (Thousand People) 2000 12.703 5.401 4.696 705 42,5 13,1 37 7.302 2001 12.641 5.323 4.460 862 42,1 16,2 35,3 7.318 2002 12.520 5.116 4.135 980 40,9 19,2 33 7.404 2003 12.379 4.753 3.777 975 38,4 20,5 30,5 7.626 2004 11.840 4.474 3.554 919 37,8 20,6 30 7.366 2005 11.757 4.436 3.554 881 37,7 19,9 30,2 7.321 2006 11.670 4.365 3.533 832 37,4 19,1 30,3 7.305 2007 11.583 4.364 3.493 871 37,7 20 30,2 7.218 2008 11.490 4.381 3.484 897 38,1 20,5 30,3 7.109 2009 11.513 4.454 3.328 1.126 38,7 25,3 28,9 7.059 2010 11.548 4.426 3.465 961 38,3 21,7 30 7.122 2011 11.534 4.529 3.697 832 39,3 18,4 32,1 7.005 2013 11.574 4.422 3.647 775 38,2 17,5 31,5 7.152 2014* 11.563 4.584 3.727 857 39,6 18,7 32,2 6.979 Source: TurkStat * 2014 January
  • 5. 5 Active Labour Market Programmes are covered vocational training courses, job and vocational trainings, on the job trainings, public works and entrepreneurship training programmes. Public employment services widely carry out entrepreneurship training programmes as a tool for reducing unemployment. This policy creates both high level of entrepreneurship skills and sustainable entrepreneurship eco- system. İŞKUR allocates 1,8 billion TL for active labour market programmes in 2014. Entrepreneurship as a Labour Market Policy
  • 6. Entrepreneurship Context in Turkey 6 Efficiency-driven economy to innovation driven economy High impact enterprises Public and Private institutions, NGOs to develop entrepreneurship
  • 7. An Alternative SWOT Analysis of Youth Entrepreneurship in Turkey 7 WeaknessesStrenghts Opportunities Threats
  • 8. Total early stage entrepreneurs in Turkey, GEM 8 Source: Global Entrepreneurship Monitor
  • 9. Proportion of Entrepreneurs by Age Group 9 Age Group 2010 2011 2012 15-19 0,1 0,1 0,1 20-24 2,7 2,3 2,1 25-29 10,0 9,5 9,2 30-34 16,8 17 16,8 35-39 17,1 17 18,1 40-44 17,2 17 17,7 45-49 13,5 13,2 12,9 50-54 9,4 10,1 9,7 55-59 5,8 6,8 6,3 60-64 3,8 3,5 4 65 + 3,5 3,5 3,2 Source: TurkStat, 2014
  • 10. GEDI 2013 Country Excerpt for TURKEY 10 Index Turkey’s Score/Rank The Best Score The Worst Score Overall GEDI Score 0,32 0,67 0,07 Rank in Global Competitiveness Index 2011-2012 59 1 142 Rank in Economic Freedom Index 2011-2012 87 1 179 Global Entrepreneurship and Development Index rank 45 1 118 Entrepreneurial Attitudes sub-index rank (point): 48/0,35 1/0,73 118/0,04 Entrepreneurial Action sub-index rank (point): 57/0,28 1/0,73 118/0,09 Entrepreneurial Aspirations sub-index rank (point): 35/0,34 1/0,63 118/0,02 Weakest pillar to improve (value): PROCESS INNOVATION Source: Global Entrepreneurship &Development Index Turkey 2013
  • 11. GEM Indicators 11 Index 2006 2007 2008 2010 2011 2012 International Orientation early-stage Entrepreneurial Activity 17 17 21 - 9 15 New Product early-stage Entrepreneurial Activity 65 70 87 - 68 60 Growth Expectation early-stage Entrepreneurial Activity: Relative Prevalence 44 61 32 - 44 43 Informal Investors Rate 3 4,7 4,8 - 5,1 9,1 Total early-stage Entrepreneurial Activity for Female Working Age Population 3,5 2,4 2,4 3,7 7,2 6,9 Total early-stage Entrepreneurial Activity for Male Working Age Population 8,5 8,7 9,4 13,5 16,5 17,5 Improvement-Driven Opportunity Entrepreneurial Activity: Relative Prevalence 23 35 41 47 45 55 Necessity-Driven Entrepreneurial Activity: Relative Prevalence 29 36 39 37 32 31 Total early-stage Entrepreneurial Activity (TEA) 6,1 5,6 6 8,6 11,9 12,2 New Business Ownership Rate 4 3,7 3 5,1 6 5,4 Nascent Entrepreneurship Rate 2,2 1,9 3,2 3,7 6,3 7,3 Know Startup Entrepreneur Rate 34 34 31 - 25 34 Entrepreneurial Intention 20,1 19 20,8 19,4 8,5 14,7 Fear of Failure Rate 27 23 34 25 22 30 Perceived Opportunities 34 39 36 36 32 40 Source: Global Entrepreneurship Monitor
  • 12. 12 “Every job seeker and every employer has a job and vocational counselor” Public Employment Services Targeting Youth Within the Job and Vocational Counseling services; • Vocational Information and evaluation of individual competencies • Vocational guidance • Orientation to Entrepreneurship or vocational training courses • Job placement • Support for job orientation • Counseling services for entrepreneurs • Vocational information seminars at schools. Thus, • Shortening unemployment period • Increasing job creation, employment and productivity • Sustainable employment and entrepreneurship ecosystem are targeted. The problem of asymmetric information which is one of the most important problems of labor market will be solved by means of counseling services.
  • 13. 13 Success in the profession takes place with the selection of the appropriate professional skills. İŞKUR vocational orientation tests İŞKUR The Journal of Support to Vocational Choice University Contact Points İŞKUR, EUROGUIDANCE Country Representative Career Days and Employment Fairs Activities related to Skills Matching for Youth
  • 14. 14 Brings together employers, jobseekers and related parties Modules based on sectors / entrepreneurship Brings together succesfull entrepreneurs and university students Entrepreneurship Fairs
  • 15. 15 Information Desks at Universities • Carreer Consulting • Entrepreneurship opportunities • Informing about probable active labour market programmes
  • 16. 16 Entrepreneurship Training Programmes Entrepreneurship training programmes are delivered to help those registered in the Institution establish and improve their own businesses and enable them to apply Small and Medium Enterprises Development Organisation (KOSGEB) New Entrepreneur Support It is delivered to people who are registered to the Institution, are willing to benefit from entrepreneurship training programme, undergo evaluation processes developed by the Institution and are found acceptable for benefiting from this programme within job and vocational counselling services.
  • 17. 17 Entrepreneurship Training Programmes Participation Conditions Conditions are as follows: • Unemployed and registered to the Institution (except for the retired), • At least 18 years old, • Not having benefited from the same module in the Entrepreneurship programme before. “Applied Entrepreneurship Training Participation Certificate” is given to participants. This certificate is a document that can be used to apply KOSGEB New Entrepreneur Support.
  • 18. 18 Entrepreneurship Training Programmes Participation Conditions Each participant attending programmes; • receives trainee compulsory expense (20 TL), whose amount has been determined by the Administrative Board of the Institution, for each actual training day they attend. • In the course of the programme general health insurance premiums and insurance of occupational accidents and professional diseases premiums of participants are paid.
  • 19. 19 Entrepreneurship Training Programmes Content of Training In trainings; applied and interactive techniques like sample case, exercise etc. are used. In workshops, analysis/research studies realized by the participants are evaluated together with the other examples that the trainer would present. Success stories of successful entrepreneurs may be included in trainings. These trainings are composed of four modules;  1st Module: Examining entrepreneurship qualities, developing business ideas and exercises on creativity – 8 (eight) hours,  2nd Module: The concept of business plan and its components (market research, marketing plan, production plan, management plan, financial plan) - 18 (eighteen) hours,  3rd Module: Workshops for consolidation of business plan components (market research, marketing plan, production plan, management plan, financial plan) - 24 (twenty four) hours,  4th Module: Writing business plan and points to consider during its presentation - 20 (twenty) hours.
  • 20. 20 Entrepreneurship Training Programmes Some Statistics - 5,000 10,000 15,000 20,000 25,000 30,000 2009 2010 2011 2012 2013 2014 1 319 906 921 910 61- 4,707 13,605 13,127 13,023 916 19 3,599 10,540 12,348 12,143 781 19 8,306 24,145 25,475 25,166 1,697 Entrepreneurship Training Programmes in İŞKUR Number of Programme Men Women Total Source: Turkish Employment Agency – İŞKUR
  • 21. 21 Entrepreneurship Training Programmes Some Statistics Age Groups Men Women Total 2012 2013 2012 2013 2012 2013 15-19 381 310 215 171 596 481 20-24 2.705 2.453 1.652 1.639 4.357 4.092 25-29 3.453 3.426 2.256 2.280 5.709 5.706 30-34 2.818 2.795 2.731 2.548 5.549 5.343 35-39 1.901 1.986 2.448 2.372 4.349 4.358 40-44 1.141 1.133 1.745 1.707 2.886 2.840 45-49 507 560 873 878 1.380 1.438 50-54 160 229 326 405 486 634 55-59 45 85 81 114 126 199 60-64 15 33 15 23 30 56 65+ 1 13 6 6 7 19 Total 13.127 13.023 12.348 12.143 25.475 25.166 Source: Turkish Employment Agency – İŞKUR The Distribution of Trainees by Ages, 2012-2013
  • 22. 22 Projects Targeting Youth A) Promoting Youth Employment EU-TR Joint IPA Project (Sep 2011-Sep 2013) To reduce youth unemployment by implementing ALMPs, local action plans, supporting entrepreneurship and on the job training Components: Grant : € 24.133.081 (127 Projects Completed) Service: € 1.947.680
  • 23. 23 Projects Targeting Youth B) Growth with Decent Work for All: National Youth Employment Program and Pilot Implementation in Antalya (South-West Turkey) United Nations Millenium Development Goals Achievement Fund (Oct 2009-Dec 2012) Budget: USD 3,980,000 Local Project with National outcomes. To reduce youth unemployment among vulnerable young members of migrant families and increase the participation of young women in the labor force. A National Youth Employment Action Plan lays the policy, budgetary and institutional framework for this objective.
  • 24. 24 Projects Targeting Youth National Youth Employment Action Plan Objective 1: Development of İŞKUR Capacity on youth employment Performing periodic needs analysis of youth Social Dialog Mechanisms PVTEB effectiveness Objective 2 : Strengthening Education-Employment Relation Easing of transition to Labor Market Opportunities to gain experience Objective 3 : Contribution of İŞKUR to Job Creation Monitoring and Sustaining youth employment Promoting Entrepreneurship Developing strong communication channels and supporting Entrepreneurship via legal ammendments
  • 25. 25 What Works Best • Small and Medium Enterprises Development Organization’s facilities and entrepreneur support programmes • The Union of Chambers and Commodity Exchanges of Turkey (TOBB) – Youth Entrepreneurship Counsil • YES Model • Universities and NGOs • Global Entrepreneurship Week • National Entrepreneurship Counsil • National Entrepreneurship Action Plan • Developed financing mechanisms
  • 26. THANKS TURKISH EMPLOYMENT AGENCY DIRECTORATE GENERAL Yasemin Özüm BOZKURT Employment Expert ozum.bozkurt@iskur.gov.tr www.iskur.gov.tr