Promoting entrepreneurship to address youth unemployment · Promoting entrepreneurship to address youth unemployment PEP Annual Conference 03-08 June 2016 Dusit Thani, Philippines

Promoting entrepreneurship to address youth unemployment

PEP Annual Conference 03-08 June 2016

Dusit Thani, Philippines

Rationale• Youthhighest unemployment and

underemployment ratesentrepreneurship as an alternative

source of income• Government supportenhance labor market outcomes

for the youth

Key Research Question and Hypothesis• role of government youth education

programs in improving the youth’s likelihood of enjoying higher benefits from employment and entrepreneurial activities

• difference in labor market outcomes between young individuals who availed of government-sponsored youth education programs and those who did not

Methodology

Propensity score matching (PSM)

• Primary data source: 2015 CBMS survey data• Secondary data source: GEM 2014 survey data BLES 2006-2015 statistics PSA-NSCB statistics

Main Research Findings• Youth profile Unemployed (10.5%)

Entrepreneurs

o women account for 67.7% of businesses

male (59%) single (82%)21-22 years old (11.2% and 10.3%, respectively)

high school graduate (65%)

sari-sari stores (35%) service-related activities (26%)vendor (29%) retail sales (6%) rental (3%)

Main Research Findings• Descriptive statistics

disparity in income and asset levels; business performance

male belong to a HH with about 5 members

married reside in urban areaworking but not self-employed

elementary schooling as the highest educational attainment

Main Research Findings• PSM results: Determinants of participation

in government-sponsored programs

• PSM results: Effects of the government-sponsored programshigher total income: more than PhP3,300/yearwages: more than PhP2,700/year

poverty status civil status, specifically those whoare widowed and marriedhousehold size

Policy/Program Recommendations• Promotional strategies to entice the youth▫ Traditional : poster, tarpaulin, leaflet, brochure▫ Social media : Facebook, Twitter, Instagram▫ Municipal or Barangay Townhall meetings

• Trade fair ▫ Trade fair in coordination with the DOLE and DTI

• National certification to earn credits▫ Coordinate with TESDA for

National Certification

Policy/Program Recommendations• Youth entrepreneurial development

▫ leadership potential and entrepreneurial competencies▫ business ethics and social responsibility of

entrepreneurs▫ personal entrepreneurial competencies

• Youth employment▫ summer employment program▫ work appreciation program▫ youth apprenticeship and employment program▫ create a working youth center

Policy/Program Recommendations• Future directions▫ assess the adequacy of the current programs▫ examine related issues (i.e., funding sufficiency,

appropriateness of targeting protocols, etc.)▫ consider offering complementary but critical

programs (i.e., training on business continuity)▫ analyze and compare the impacts of programs

that strengthen individual capabilities versus those that build the capacity of the community as a whole (i.e., community-based enterprises or social entrepreneurship)