0 hoffmann the experience of the danish govt

The experience of the Danish government in supporting skills development for SMEs and

entrepreneurs and future plans

Anders Hoffmann Ph.D. Deputy Director, Danish Business Authority

Structural Fund programmes 2007-2013

Regional competitiveness and employment Regional competitiveness and employment

ERDF programmeInnovation and

Knowledge

Priority 1

245.1 m EUR

ERDF programmeInnovation and

Knowledge

Priority 1

245.1 m EUR

ESF-programmeMore and Better Jobs

Priority 1:A Qualified Workforce

(Better Jobs)

152.7 m EUR



(Better Jobs)

152.7 m EUR


Priority 2:Expansion of the

Workforce (More Jobs)

92.4 m EUR




92.4 m EUR

Structural Fund programmes 2007-2013

Regional competitiveness and employment Regional competitiveness and employment



(Better Jobs)

152.7 m EUR



(Better Jobs)

152.7 m EUR




92.4 m EUR




92.4 m EUR

ESF programme 2007-2013

ESF programme (2007-2013)

”More and Better Jobs”

Priority 1: A Qualified Workforce (Better Jobs)

Innovation knowledge

sharing and

knowledge building

Utilisation of new

technology

Develop-ment of human resour-

ces

Priority 2: Expansion of the Workforce (More Jobs)

Establish-ment and develop-ment of

new enterprises

Utilisation of new

technology

Develop-ment of human resour-

ces

Status of ESF implementation (31st December 2011)

Amount committed

(Million EUR)

Number of projects

Completed projects

Total 164 174 59

Priority 1: Better jobs 106 101 32Priority 2: More jobs 58 73 27

Dramatic change in macroeconomic situation since programme start in 2007

-6

-4

-2

0

2

4

6

8

-6

-4

-2

0

2

4

6

8

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

% of workforce%

GDP growth Unemployment rate (right axis)

Number of participants per 1,000 inhabitants (15-69 yrs)

Nearly 40,000 participants, 2007-2012

Top 5 municipalities (participants per 1,000 inhabitants)

Bornholm 78

Jammerbugt 52

Morsø 50

Læsø 41

Frederikshavn 32

7 out of 10 participants are employed

Opgørelsesidspunkt 31-12-2010

Employed Unemployed Not in labour force0

10

20

30

40

50

60

70

80

Non-participants Participants

Pct

.

50 percent of the participants only have primary or lower secondary education

Opgørelsestidspunkt 31-12-2011

Primary and lower secondary education

Vocational

Short-cycle higher education

Medium-cycle higher education

Long-cycle higher education

0 10 20 30 40 50 60

Participants Non-participantsPct.

ESF-programme results 2007-2011 (Number of projects: 114)

Number of people who have increased their level of competence in relation to their current job or

new job

Number of people who have come closer to employment/increased their level of competence

0

10000

20000

30000

40000

50000

60000

70000

0

10000

20000

30000

40000

50000

60000

70000

62000

16900

53778

19709

110663960

Target Expected outcome of all activities initiated Result 31-12-2011

Priority 1: Better jobs Priority 2: More Jobs

ESF-programme results 2007-2011 (Number of projects: 60)

Number of enterprises that have developed/implemented new forms of

organisation/processes/products

Number of enterprises that have cooperated and networked to expand the workforce and

strengthen entrepreneurship

0

200

400

600

800

1000

1200

1400

0

200

400

600

800

1000

1200

1400

600

200

1346

473

79 107

Target Expected outcome of all activities initiated Result 31-12-2011

Priority 1: Better jobs Priority 2: More jobs

The main conclusions of this evaluation The completed Social Fund work is expected to reach the planned

purpose. This means that the completed projects have led to an improved competence level of the participants as well as an improvement of the participants’ possibilities of employment.

62 percent of the employed and 53 percent of the unemployed have improved their competences to a large degree as a result of participating in a Social Fund project.

92 percent of the employed participants, who gained new competences, were able to use these new competences in their work. This represents 57 percent of all employed participants.

40 percent of the unemployed participants, who gained new competences, were able to use these to become employed or to get closer to being employed as a direct result of participating in the project. This represents 21 percent of all unemployed participants.

….

More growing firms – 86 mio. kr.

2009h2 2011h1 Difference

Full time emp.

Number of employees in the 35 participants 837 888 51

If participants had growth rates like control group 837 861 24

Effect 27

Pris pr. job

Total cost EU funding 8.372.450 kr.

Number of jobs 27

Average price 310.000 kr.

Soft Business Support to Entrepreneurs in North Jutland

Basic counselling provided by private-sector advisors enhanced the two-year survival rate of new firms by 8%, the three-year survival rate by 6% and the four-year survival rate by 5%.

Basic counselling also enhanced subsequent job creation and sales. Concretely, three years after participation the programme had contributed to 165 new jobs and to an average in-crease in terms of sales of 127,000 DKK. The programme effects on job creation and firm turnover tend to wear off over time.

Extended start-up assistance further enhanced the two-year and three-year survival rates by 7.6%, and the four-year survival rate by 6.4%.

Unlike basic counselling, extended start-up assistance did enhance the growth rate of busi-nesses. Concretely, start-up support led to a 3% higher frequency of new firms which grow (in terms of sales or employees) at least 20%.

Future…

Better jobs through training (higher wages)

Social inclusion (A job)

More job through entrepreneurship (Higher survival and growth)