The importance of mobility programs for The importance of mobility programs for The importance of mobility programs for The importance of mobility programs for Labor Market and Social Policy in Europe Labor Market and Social Policy in Europe Labor Market and Social Policy in Europe Labor Market and Social Policy in Europe

Prof. Dr. Werner Eichhorst

6th International Week, Polytechnic Institute Viana do Castelo

Viana do Castelo, 3rd June, 2019

Presentation Overview1. Erasmus Programmes - Details and Statistics

2. Impact of Erasmus Programmes

A Portuguese student who spent an Erasmus stay in Sweden

is cited: “When I finished my Erasmus programme I felt not

only Portuguese; but a bit Swedish (after spending one of my

22 years in Sweden)… a little bit Italian as well, and

Spanish, German, French and so on ...”

(European Commission, 2007)

How has Erasmus been changing lives?

A European labour market

• Free movement of labour is one of the cornerstones of European integration.

• There is a European, if not global, labour market in some areas, in high-skilled occupations, but also with many elementary occupations.

• Mobility and migration are important channels of response to economiccrises (and unsatisfactory working and living conditions).

• Training and exchange programmes can improve benefits from mobililityand help overcome obstacles.

• Mobility should not be seen as a one-way street, but rather as circular, in particular in the European context, depending on the availability ofattractive jobs.

Evolution of Erasmus to Erasmus+

33

Programme

Countries

Erasmus Programme (EuRopean Community Action Scheme for the

Mobility of University Students)

1987

The Erasmus Programme, together with a number of other independent programmes, was

incorporated into the Socrates Programme established by the European Commission in 1994.

The Socrates programme ended in 1999 and was replaced with the Socrates II programme in

2000, which in turn was replaced by the Lifelong Learning Programme in 2007

The Erasmus Mundus programme is another, parallel programme oriented towards globalizing

European education, open to non-Europeans with Europeans being exceptional cases.

In 2018, the European

Commission adopted its

proposal for the next

Erasmus programme, with a

doubling of the budget to

30 billion euros for the

period 2021-2027.

4000

participating

Institutions

Source: European Commission, 2018

5 Million

student

beneficiaries

Why ERASMUS+?

• Increasing the attractiveness of European higher education

institutions

• Enhancing the international dimension of education and

training, in particular through cooperation between

Programme and Partner-Country institutions in VET fields

• Improve the level of key competences and skills

• Foster quality improvements, innovation excellence and

internationalisation at the level of education and training

institutions

2014-2020: 7

Former EU

Programmes merged

into Erasmus+

Erasmus+ supports opportunities in higher

education, vocational education and training,

school education and adult education through

KA1, KA2 and KA3. (KA- Key Action)

KA1- Mobility of Individuals: Highest Funding!

(Mobility of learners and staff)

• For Higher Education Students

• Staff For VET Learners

• Staff For School Education

• Staff For Adult Education

• Staff For Young People and Youth Workers

• Joint Master Degrees

• Master Student Loan Guarantee

Source: Erasmus Programme Guide, 2019

Erasmus+ Budget 2014-2020

• Erasmus+ was allocated a 40% budget increase for the 2014-2020 financing period- 16.4 Billion Euros.

• 58% Erasmus+ funds available were allocated to the support of learning opportunities abroad for individuals,

within the EU and beyond (KA1)

• 21% was allocated to partnerships between educational institutions, youth organizations, businesses, local and

regional authorities and NGOs (Key Action 2)

• Remaining funds were used to support reforms to modernize education and training and to promote

innovation, entrepreneurship and employability (KA3 - 5%), Jean Monnet (2%) and Sport activities (1%).

Source: European Commission, 2015

Erasmus+

2017

• Budget 62.2 million, 2914 projects in 2017KA101- School Education Staff Mobility

• 3620 VET Projects funded allowing 160000 VET learners to carry out a mobilityperiod

KA102/KA116- VET Learners and Staff Mobility

• 34900 teaching mobilities, 27700 staff training mobilities, 223500 students wentabroad

KA103- Higher Education Mobility

• 41000 individual grants to students and staff over next two years, with staffmobility accounting to 60% of grants awarded.

KA107- Higher Education student and staff mobilitybetween programme & partner countries

• 11.6 million, 505 projects, 6400 adult education staff granted participationKA104- Adult Education Staff Mobility

• 6000 projects, 158,000 participantsKA105- Mobility Projects for young people and youthworkers

• 122 Projects, 22.3 million euros budgetKA135- Strategic European Voluntary Service (EVS)

KEY ACTION 1

Learning Mobility of Individuals

Largest Action in Erasmus+

55% of the Erasmus+ total Budget

Total commitment: 1.39 Billion euros

Source: Erasmus+ Annual Report 2017

Growth in Student Mobility since the start ofErasmus Programme

Source: Erasmus Facts, Figures & Trends, 2013-14

*Erasmus+ Annual Report 2017, Published 2019

By 2018, 7,97,000 people

studied, trained or volunteered

abroad.*

Erasmus+ allowed 160,000 VET

learners to carry out learning in

2017.*

In the field of adult education,

in 2017, more than 6400 staff

particpated in projects.*

2017 budget financed 306

projects, 2700 organisations, at

a total amount of 146.8

million.*

Length of Erasmus+ study mobility abroad

• 55% of Erasmus+ credit mobile studentsstayed abroad for a period of 5 months (1 semester)

• Exchange studies prove to be sociallyselective. Social capital, and the backgroundof a student matter before mobility.

• Financial constraints, high accomodationrents in host countries act as hindrances, with respondents reporting inadequatetravel allowances as a problem.

Source: HousErasmus+ survey 2016

Study Streams of Students and Alumni ofErasmus

• Largest group of students (20%) and graduates (24%) from business and management studies.

Students and Staff Mobility from thetop 20 non-EU nations, 2004-2014

Source: European Commission, 2015

• Erasmus Mundus Joint Programmes,

Partnerships and Promotion projects have

increased in number in the recent years.

• More partner countries and higher

education institutions have joined to

support academic cooperation and

mobility from non-EU countries.

Share of tertiary education students fromabroad by continent, 2016

Source: Eurostat, 2018

https://ec.europa.eu/eurostat/web/products-eurostat-news/-/DDN-20181116-1

• In EU states, distribution tertiary

education students from abroad

reflects a common language or

cultural ties or former colonial

relationships.

• Many students who study

abroad prefer moving to

neighboring European countries,

and so the share of students

from Europe in some of the EU

Member States is often very

high.

• Indeed, for 15 of the Member

States, a majority of students

from abroad in 2016 were from

elsewhere in Europe, with this

share exceeding 90 % in Bulgaria

and Slovakia.

Ratio of tertiary education graduates to tertiaryeducation students from abroad, based on ISCED

level, 2016

• No. of graduates at each

level of tertiary

education is lesser than

no. of students.

• This may indicate either

students dropping out or

not completing their

studies, or moving back

to origin countries after a

temporary Erasmus

exchange and graduating

in their origin countries.

Source: Eurostat, 2018

A study was done to analyze mobility trends in 10 chosen countries: Cyprus, France, Germany, Greece, Iceland, Ireland, Italy, Poland, Portugal and Spain- to study the impact of the economic and financial crisis on student and staff mobility within the European Union’s Erasmus programme between 2008 and 2013

The study showed the following trends:

• Mobility continued to rise annually from 2008/09 to 2012/13 by 6%, despite the crisis.

• Outgoing placement mobility was 16%, with a slow down in 2012-13, potentially as a result of the economic crisis.

• Demand for placements abroad increased much faster compared to demand for studies abroad � more job seeking tendencies noticed.

• The crisis had a more qualitative effect on mobility as it was more often used by students as an opportunity to enhance their employability after graduation. Erasmus was seen as a way out from the economic impact of the crisis.

• The financial crisis dampened growth in mobility participation in many countries, while it actually promoted growth in others.

Impact of Financial Crisis on Erasmus Mobility, 2008-2013 (Orr & Harristo, 2014)

Charts showing types of obstructions faced bystudents abroad

Students already enrolled abroad Students waiting to be enrolled

Source: Eurostudent V

• Financial burden turns out to be the most pertinent difficulty, both for students who have been abroad and those

who plan to go. Erasmus Funds will help alleviate much of these woes.

Impact of European youth mobility on the economy and the labour market

• Mobility of immigrant youth has a ‘favourable’ influence both on economic growth and on employment. (Nandori et al., 2018)

• The effect of youth mobility is positive on both the receiving and sending groups of countries. (Nandori et al., 2018)

• Youth mobility has an effect on employment. It does not displace young domestic workforce but rather reduces unemployment by complementingthem. (Nandori et al., 2018)

• Through experiences in several geographical areas, young people create social capital during their mobility. (Redei, 2005)

• D’Hombres and Nunziata (2016) found that immigrants and locals complement each other rather than push each other out in the labourmarket of the receiving country.

Nándori, E. S., Dabasi-Halász, Z., & Ilyés, C. (2018). “Action and Reaction”–the Impact of European Youth Mobility on the Economy and the Labour Market. Europe, 56, 78.

Redei, M. (2005). A nemzetkozi vandorlas folyamatanak iranyitasa, (‘Controlling the process of international migration’). Statisztikai Szemle 83(7), 662–680.

d ׳Hombres, B., & Nunziata, L. (2016). Wish you were here? Quasiexperimental evidence on the effect of education on self-reported attitude toward immigrants. European Economic Review. 90, 201-224

Impact of European youth mobility on the economy and labour market

• Young people are able to integrate rapidly into the economy, research and development activities are enhanced, the number of enterprises may increase as qualified migrants enhance their creative skills. Technology level increases due to the incoming knowledge and know-how (Redei 2005).

• It is important that skills, competences, knowledge and experience of existing and incoming workforce supplement each other, and do not replace the domestic workforce. If it complements, labour market competition will not increase but productivity will rise, thus causing the increase of wages (Vargas-Silva 2015).

Redei, M. (2005). A nemzetkozi vandorlas folyamatanak iranyitasa, (‘Controlling the process of international migration’). Statisztikai Szemle 83(7), 662–680.

Ruhs, M., & Vargas-Silva, C. (2015). The labour market effects of immigration: Briefing. The Migration Observatory. Retrieved 03.03.2018. from

http://www.migrationobservatory.ox.ac.uk/resources/briefings/thelabour-market-effects-of-immigration/

The Erasmus Impact Study

• Since 2014 the new ERASMUS+ programme integrates existing programmes into one framework that covers education, training, volunteering, and youth sectors’ activities, it has had great impact on employability.

• According to online surveys, 92% of employers are looking for transversal skills, on top of knowledge in their field (91%) and relevant work experience (78%)

• On average, Erasmus students have better employability skills after a stay abroad than 70% of all students.

• 81% of Erasmus students perceive an improvement in their transversal skills when they come back.

• The unemployment rate of Erasmus students five years after graduation is 23% lower.

Source: EU Commision, 2014

http://europa.eu/rapid/press-release_IP-14-1025_en.htm

The Erasmus Impact Study

• More than 85% students train abroad through Erasmus to increase their employability.

• 5 years after graduation, the rate of unemployment among Erasmus students is 23% lower.

• Erasmus trainees are also more entrepreneurial with 1 in every 10 Erasmus graduates starting their own company and more than 3 out of 4 planning to.

• Thus the Erasmus Impact Study confirms EU student exchange scheme boosts employability and job mobility.

Source: EU Commision, 2014

http://europa.eu/rapid/press-release_IP-14-1025_en.htm

Higher Education Impact Study 2019

• 72% Erasmus students reported completing a Erasmus+ mobilityscheme to be beneficial or highly beneficial in finding the first job.

• 40% participants who went on traineeships were offered jobs withtheir trainee companies, 10% started their own organisation and 75% are planning to do so.

• Erasmus+ students in the labour market report to be happier thannon-Erasmus counterparts as they have more clarity in terms of theirvocational preferences.

• 80% of graduates who have spent time abroad agreed that Erasmus+ helped them in identifying their study path.

Source: Erasmus+ Higher Education Impact Study, May 2019

Studying Abroad and the Effect on International Labour Market Mobility: Introduction of Erasmus (Parey & Waldinger, 2011)

• The ERASMUS programme has a strong impact on a student's probability of studying abroad.

• Results from their study suggests that studying abroad has a strong causal effect on labour market mobility later in life.

• The group of students who studied abroad are about 6 percentage points more likely to work abroad later on.

• Those who have studied abroad are somewhat more likely to say that they work abroad because of better employment opportunities in the foreign labour market.

• In the context of the policy change under consideration, ERASMUS is successful in that this student mobility scheme appears to contribute to the development of an integrated European labour market.

DATA USED:

• German University Graduates

• Cohorts 1988 to 2001

• Graduates in each cohort survey twice-

12 months after graduation and 5

years after entering labour market

• Total Respondents: 29,213

Parey, M., & Waldinger, F. (2010). Studying abroad and the effect on international labour market mobility: Evidence from the introduction of ERASMUS. The Economic Journal, 121(551), 194-222.

Further Research on Erasmus Impacts

• Job search periods and number ofcompanies contacted for jobs is relativelysmall for former Erasmus students. Language proficiency and study periodabroad were important criterion forrecruitment. (VALERA Study; Engel, 2010)

• Erasmus succeeds in creating a sense of European identity among students and graduates with 80% of Erasmus students feeling a strong attachment to Europe. (Brandenburg etal., 2016)

Source: https://journals.openedition.org/belgeo/6399?lang=en

Brandenburg, U., Taboadela, O., & Vancea, M. (2016). Mobility matters: The ERASMUS impact study. In Global and Local

Internationalization (pp. 117-120). Brill Sense.

VALERA STUDY:

(6000+ Respondents)

• 90% report to have better abilities in foreign

language proficiency and inter-cultural exchange.

• They also feel better prepared for future

employment and work (63%) and to be somewhat

better (53%) with regards to field specific

knowledge and skills

The VALERA survey shows that Erasmus graduates often report

an international focus of their work tasks and their

employment situation.

Expected effects of Staff MobilityHEI Perspective (in %) Staff Perspective (in %)

• The Erasmus Impact Study shows differences in the institutional and staff perspective with regard to impact of mobility.

Source: Erasmus Impact Study, Sept 2014

Positive impact on participants and institutions in the field of higher education

• 96% of mobile higher education staff has used the opportunity to spread new knowledge within their higher education institution.

• 93% of mobile higher education students say they are more receptive to Europe's multiculturalism after their stay abroad.

• 93% of mobile staff says they have learned new good practices during their mobility.

• 92% of mobile students say they become more able to adapt to and act in new situations.

• 91% of mobile students improve their language skills during their mobility experience.

• 84% of mobile staff that has taken part in staff mobility says the mobility will lead to further internationalisation in their higher education institution.

Source: Erasmus+ Annual Report 2017

Impact of Erasmus+ Higher educationStrategic Partnerships, April 2019

• Erasmus+ mid term evaluation reports suggest that Higher Education Strategic Partnerships have been useful for improving the quality oftraining, innovation and internalisation of higher education systems

• Organisations are pulled together from different spaces and places, and collaboration of experiences and competences improves betterpossibility at addressing broader socio economic challenges.

• Such adaptability and modernisation through strategic partnershipsenable higher education students to be better prepare forunemployment challenges.

Source: Study on the impact of Erasmus+ Higher Education Strategic Partnerships and Knowledge

Alliances at local, national and European levels on key Higher Education policy priorities. April 2019.

Summary Summary Summary Summary ofofofof EU EU EU EU CommissionCommissionCommissionCommission assessmentassessmentassessmentassessment, May 2019, May 2019, May 2019, May 2019

• Students in other European countries as participants of the EU exchange programme Erasmus increase their chances of finding a job after their studies.

• 80% respondents found a job within three months of graduation.

• 7 out of 10 respondents said they had a more accurate idea of where to go professionally after their stay abroad.

• 9 out of 10 Erasmus students also found it easier to work with people from different cultures.

The key findings of the studies are:

a) Erasmus+ helps students find their desired careers and get jobs quicker

b) Erasmus+ boosts European sense of belonging

c) Erasmus+ supports digital transformation and social inclusion

ToToToTo summarizesummarizesummarizesummarize

• ERASMUS is one of the most well-known and most popular programmesthe EU has ever launched.

• Significant long-term positive impact on the Europeanisation of highereducation.

• Evidence for positive socio-cultural and employment effects of havingparticipated in ERASMUS exchange, improving job finding, stimulatingfurther mobility later in life.

• Mobility is major mechanism of adjustment in a joint European labourmarket.

• ERASMUS should not be concentrated on higher education, but involvebroader target groups in practice (apprentices, adult workers) -> economically and politically desirable, but requiring different approach.

• ERASMUS could be a role model for programmes that bring the EU closerto citizens.

Thank You!