2017 IOE - Deloitte Report: Youth. Women. Entrepreneurship. Understanding labour market policies across the G20

Youth. Women.

Entrepreneurship.

Understanding labor market

policies across the G20

Proposal title goes here | Section title goes here

Executive Summary 03

Introduction 05

Facts and Figures 06

Methodology 07

Youth 09

Women 13

Entrepreneurship 17

Conclusion 20

Appendix 21

Contributors 23

About 23

Youth. Women. Entrepreneurship. | Executive Summary

• Combining the ndings of Deloitte

research and that of the International

Organisation of Employers (IOE) and

Business at OECD, it appears that at

the national level, some progress is

being made towards implementing

the G20 commitments on youth,

women and entrepreneurship. Many

governments have followed up on the

Melbourne, Ankara and Hangzhou G20

Labor Ministers’ Declarations and have

developed initiatives to implement the

commitments.

• A poignant nding was that of all the

responses outlining what countries

are doing to implement the G20

commitments on employment and

labor issues for women, youth and

entrepreneurs, only a couple reached

100 percent. This of itself tells a story that

more can and must be done. It appears

that most progress has been made

in the areas of entrepreneurship and

vocational education and training, with

programs supporting female workforce

participation not as widespread across

respondent countries.

• In many markets, program development

and implementation happens at both a

national and subnational level, making it

dicult to know exactly what programs

are in place, let alone understanding

their impact. Addressing the inability to

capture all programs and their outputs

is needed to enable the sharing of best

practices across markets.

Youth

• Youth unemployment is being addressed

through structural reforms, promoting

mobility, enabling entrepreneurship while

addressing informality and increasing the

quality and availability of apprenticeships

and traineeships (VOCED). Improving

awareness features across programs, as

VOCED is an unappreciated yet legitimate

and credible pathway for young people to

enter the workface.

Women

• The G20 has an ambitious target of

reducing the workforce gender gap

participation rate 25 percent by 2025.

The majority of countries (72 percent)

have plans to address this, with the

majority having a documented strategy

as well as programs specically targeting

women. Gender targets against programs

were reported in very few cases (13

percent).

• Programs are in place to support women

in the workforce but the responses

suggest a lot more needs to be done:

– Accessibility remains a challenge and

based on the survey ndings, it is likely

to remain so. Aordability of childcare

is one of the biggest barriers to women

entering the workforce. When asked

if aordability is being addressed (e.g.

through caps to percentage of income)

only 27 percent of countries said it was,

while 60 percent said it was not.

– On a positive note, parental leave is

statutory in most markets (80 percent).

Some studies suggest that despite this,

cultural change needs to occur for this

to be impactful. A recent Deloitte U.S.

report showed that many men do not

take this leave or feel uncomfortable

doing so

. Family friendly work

environment is statutory (workplace

exibility policies) in only 60 percent of

respondent countries.

Executive Summary

1. Deloitte Parental leave Survey, 2016. https://www2.deloitte.com/us/en/pages/about-deloitte/articles/press-releases/deloitte-survey-parental-leave.html

Youth. Women. Entrepreneurship. | Executive Summary

– For markets where women are in the

workforce, discriminatory practices are

not allowed in relation to pay and career

progression (80+ percent), having said

that the Deloitte Business at OECD

report, Putting ALL our minds to work

and others, highlights the challenges

facing women to achieve senior

leadership positions within business.

This is not surprising when just over half

of the respondents (53 percent) said

that there were laws supporting female

share of executive positons in the public

and private sector.

– In an eort to support self-employment

and female entrepreneurs, a small

majority of respondent countries (67

percent) have government-led nancial

literacy programs available to both men

and women, with 40 percent having

government-led programs specically

for women. 73 percent reported

having skills development programs

available to women, and tailored labor

market (53 percent) and employment

services (73 percent) for women. These

programs can help women access and

remain in the labor market.

Entrepreneurship

• Under the Chinese presidency – the

G20 agreed on the Entrepreneurship

Action Plan in an eort to combat

unemployment and under-employment,

and to support a more innovative

approach to inclusive economic growth.

Entrepreneurship is an important driver

of innovation, job creation and growth,

and needs to be supported through

initiatives that provide access to nance

and markets, social protection coverage,

and capacity-building for labor law

compliance.

• Entrepreneurship starts with helping

current and future workers understand

entrepreneurship. To this end,

entrepreneurship seems to be included

in curricula, although this varies across

educational sectors. It is most prevalent

in the vocational sector (73 percent)

and is not really seen in primary school

(approximately 10 percent). Further it

does not feature into teacher training.

The latter is an area of potential

improvement.

• The majority of the countries (87 percent)

responded that their government

provides formal programs or initiatives

that target small and medium sized

enterprise (SME) development, initiatives

to oer business development services

to new entrepreneurs, support business

incubators, either directly or through

funding to other businesses to provide

incubators as well as funding to new

entrepreneurs to develop ideas into

products or services. Many have also

taken steps (73 percent) to simplify

business registration processes.

• Despite being a recent commitment,

more than half of the countries (60

percent) said that their government

has taken steps to establish an

entrepreneurship exchange platform as

committed to by G20 China.

Looking ahead

• The ongoing credibility of the

G20 process depends on the G20

governments implementing their jointly

adopted strategies at the national level.

The majority of G20 governments have

put in place documented strategies

and programs in order to meet the G20

commitments on improving both youth

and female employment outcomes

and entrepreneurship. The 2017 IOE-

Business at OECD Monitoring Report (in

Appendix) also attests to some degree of

implementation of G20 commitments at

the national level. This is encouraging.

• However, data and further analysis is

needed to evaluate the impact of these

programs and strategies at the national

level; that is to verify if these policies

achieve the intended objectives of the

G20 commitments. The 2017 IOE-Business

at OECD Monitoring Report demonstrates

that a majority of the G20 employers’

organizations argue that often the

implemented policies do not meet the

intended targets, nor deliver positive

results. This is concerning and requires a

call to action.

• The G20’s commitment on employment

and education calls for coordinated

action between governments, business

and other social partners. The private

sector is critical to job creation. Thus, it

is of crucial importance that businesses

are closely involved in the establishment

and subsequent implementation of

policies to meet the identied G20

commitments and targets. Strengthening

national employment plans by fully

including business, including employers’

federations in their development and

revision can allow for better coordination

and facilitate an increased exchange of

experiences on their implementation at

the national level.

2. Business at OECD Deloitte. Putting All our minds to work: An Assessment 2014. http://Business at OECD.org/wp-content/uploads/2015/02/FINAL-8798482-

Deloitte-BIAC-Gender-reportFF.pdf

Youth. Women. Entrepreneurship. | Introduction

The G20 remains the global governance forum to help

shape policy for sustainable and inclusive economic

growth and development around the world. Its

members are responsible for 85 percent of global gross

domestic product (GDP) and three-quarters of global

exports (goods and services), as well as being home

to approximately two-thirds of the world’s population.

Its role remains critical given the global challenges that

face our world including globalization, socio-economic

inequality, labor force and labor market changes

resulting from technology and innovation, the internet

of everything, rising protectionism and terrorism.

For decades globalization and interconnectedness,

coupled with exponential technological progress and

innovation, have created a wealth of opportunities.

However, many societies still face obstacles to progress,

including persistent unemployment, particularly youth

unemployment, weak or unstable growth, high levels

of informality, poverty and human rights challenges.

Inequality and a lack of opportunity hamper the ability

of people to use their talents and abilities eectively and

eciently in society, to advance, and succeed in life.

The G20 has proactively tried to address global

challenges, declaring hundreds of commitments over

the years. Deloitte has been actively engaged on

employment and social policy aspects of the B20 and

L20, including as knowledge partner to the German

B20 taskforce on employment and education. This was

done in collaboration with the joint representatives

of the global business community; the International

Organization of Employers (IOE) and Business at

OECD, as well as other members of the Taskforce.

The IOE and Business at OECD have monitored the

national follow-up to the 2013 and 2015 G20 Labour

Ministerial Declaration, as well as the implementation

of the 2013 B20-L20 Joint Understanding on Key

Elements of Quality Apprenticeships. The IOE has also

tracked the responsiveness of the G20 to business

recommendations through the ICC Scoreboard,

which evaluates the G20’s recognition of and

subsequent actions in dealing with an issue, followed

by an assessment of the G20’s responsiveness to

corresponding business recommendations. The

G20 Labour Ministers’ meetings in Melbourne

(2014), in Ankara (2015) and more recently in Beijing

(2016) resulted in Labour Ministers making concrete

commitments with regard to employment generally,

youth, education, gender, occupational safety and

health (OSH) and other policies. Moreover, G20

governments updated their National Employment

Plans in spring 2016.

In an eort to increase accountability, Deloitte, IOE and

Business at OECD have undertaken two surveys to

monitor the implementation of these commitments. In

particular, this year’s monitoring focuses specically on

following two targets:

• “Reducing the gap in participation rates between men

and women in G20 countries by 25 percent by 2025,

taking into account national circumstances” and

• “Reduce the share of young people who are most

at risk of being permanently left behind in the labor

market by 15 percent by 2025 in G20 counties,

enhancing youth employment capacity”.

The IOE and Business at OECD member survey ndings

can be found in the appendix to this report.

The focus of this report does not suggest a lack of

importance to other G20 priorities. It reects the

knowledge contribution of Deloitte, Business at OECD

and the IOE to the B20 and G20, on employment

and education policy matters. Further, to provide

additional context to the importance of monitoring

commitment implementation, recent analyses by

the G20 Research Group

showed that the most

frequently made recommendations to China were in

respect to “fostering economic growth and sustainable

development”, with “labor and employment” high on

the realization list. Another report

which analyzes

all of the 213 commitments made at the Hangzhou`s

Summit shows that “labor and employment: gender”

has the second lowest overall score compliance score

(45%) of all the commitment areas.

Introduction

3. Brittaney Warren and Meredith Williams, G20 Research Group. Recommendations Realized: The 2016 G20 Hangzhou Summit, May 5, 2017

http://www.g20.utoronto.ca/analysis/170505-hangzhou-recommendations.html

4. The G20 Research Group at Trinity College at the Munk School of Global Aairs, in the University of Toronto 2016 G20 Hangzhou Summit Interim Compliance

Report. 2017. http://www.g20.utoronto.ca/compliance/2016hangzhou-interim/2016-g20-compliance-interim.pdf

Youth. Women. Entrepreneurship. | Facts and Figures

As reported in the B20 Taskforce

Employment and Education Policy Paper

2017

• In 2015, the global number of

unemployed people reached 197.1 million

– this is 1 million more than in 2014 and

over 27 million higher than pre-crisis

levels.

• The current rate of youth neither in

education, nor in employment or training

(NEET) ranges from 10 percent to well

over 30 percent in G20 countries, and has

been on the rise in several G20 countries

for the past few years.

• The current global female labor force

participation is at 46.6 percent compared

to that of men which is at 76.1 percent.

• Global unemployment is expected to

rise by 2.3 million in 2016, and another

1.1 million in 2017.

Albeit the global

unemployment rate is expected to

remain stable at 5.9 percent in 2019.

• Demographic changes are having an

impact. In the United States, 77 million

Millennials (individuals born between

1980 and 1995) now make up more than

half the workforce. In some countries the

age distribution is highly concentrated in

the age group below 20, as is the case in

India.

• Millennials expect a mobile work

environment and are fueling the new

“freelance economy”, and they will also

spend no longer than 16 months with any

company on average.

• A growing number of baby boomers are

working into their 70s and 80s, which is

mainly driven by nancial necessity and

improved health. Nearly one-third of

American

and a quarter of Australian

baby boomers believe they will have to

work into their 80s.

• Enterprise creation rates remain around

1/5 to 1/3 lower compared to pre-crisis

levels e.g. in the US, Australia, Germany

and Italy but higher in the UK and

France.

However the most recent data

suggests an upward turning point in most

economies.

• A recent survey

that evaluates

the conditions in respect of the

establishment of a business found

that school-level entrepreneurship

education has the lowest value,

and government policies (taxes and

bureaucracy) ranked second last. Post-

school entrepreneurship education and

government entrepreneurship programs

were ranked medium.

Facts and Figures

5. ILO, World Employment and Social Outlook: Trends in 2016 (2016), accessed November 14, 2017, http://www.ilo.ch/wcmsp5/groups/public/---dgreports/---

dcomm/---publ/documents/publication/wcms_443472.pdf.

6. OECD, OECD Employment Outlook 2016 (Paris: 2016), accessed November 14, 2017, http://www.oecdilibrary.org/employment/oecd-employment-outlook-2016/

executive-summary_empl_outlook-2016-4-en.

7. ILO, Women at Work: Trends 2016 (Geneva: 2016), http://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/--publ/documents/publication/wcms_457317.

pdf.

8. ILO, World Employment Social Outlook (Geneva: 2016), http://www.ilo.org/global/research/global-reports/weso/2015/lang--en/index.htm.

9. ILO, World Employment and Social Outlook – Trends 2015 (Geneva: 2015), accessed January 16, 2017, http://embargo.ilo.org/wcmsp5/groups/public/---dgreports/--

-dcomm/---publ/documents/publication/wcms_337069.pdf.

10. According to the CIA World Factbook, 45.7% of India’s population is 24 years old or younger, CIA World Factbook, accessed April 13, 2017, https://www.cia.gov/

library/publications/the-world-factbook/geos/in.html.

11. Deloitte, The 2016 Deloitte Millennial Survey: Winning over the Next Generation of Leaders (Paris: 2016), 5-27, https://www2.deloitte.com/content/dam/Deloitte/

global/Documents/About-Deloitte/gx-millenial-survey-2016-exec-summary.pdf.

12. Blake Ellis, More Americans Delaying Retirement Until Their 80s, CNN Money (2012), accessed April 17, 2017, http://money.cnn.com/2012/10/23/retirement/

delaying-retirement/index.html.

13. Natasha Bita, Baby boomers to work into 80s (News.com.au: 2013), accessed April 17, 2017, http://www.news.com.au/nance/superannuation/baby-boomers-to-

work-into-80s/newsstory/e111eae1b65eb09f81bb9cc8cfce4a.

14. http://www.oecd.org/std/business-stats/entrepreneurship-at-a-glance-22266941.htm

15. http://www.babson.edu/Academics/centers/blank-center/global-research/gem/Documents/GEM%202016-2017%20Global%20Report.pdf Global

Entrepreneurship Monitor 2016/2017

Youth. Women. Entrepreneurship. | Methodology

Deloitte built a questionnaire around

the G20’s commitments (2014-2106)

to youth employment, increasing

female employment, and facilitating

entrepreneurship. The questions probed

respondents on policies and programs

that could demonstrate implementation of

such commitments. The questions ranged

from yes or no, short answers, or listing

the programs. The questionnaire focuses

on the programs, policies, or other actions

the government has taken, is taking, or

planning to take in order to meet those

commitments.

The responses represent a starting

point to understanding and providing

insight on what national programs and

policies are in place. The survey was sent

out to Deloitte representatives in G20

member rms. The responses reect the

market dierentiations and variability in

information.

Fifteen countries are covered by the survey

including: Australia, Brazil, Canada, China,

France, Germany, India, Italy, Japan, Russia,

South Africa, Turkey, United Kingdom,

United States, and the European Union.

Not every country responded to every

question, however, the report provides a

holistic perspective of responses received.

Since the report has been developed

from responses from Deloitte member

rms, it should be noted that alternative

initiatives or opinions exist. Neither this

survey report, nor the report present an

exhaustive list of initiatives or the country’s

perspective. The member rms have

oered their perspective as a contribution

to further analysis and policy discussion

around youth employment, women in the

workforce and entrepreneurship.

Methodology

Youth. Women. Entrepreneurship. | Youth

While it is dicult to map the impact and

success that dierent policies, programs

or initiatives have there are a number of

commonalities and themes that can be

drawn from the answers to the youth

section of our questionnaire. Policy

measures outlined in the G20 Youth

Employment Action Plan include:

• Anticipate, understand and address

structural unemployment and changes

• Promote Labor Mobility and investment

through National Employment Plans

• Increase the quality and availability of

apprenticeship and trainee program

• Addressing Informality, Institutional

Barriers and Mobility through Structural

Reform

Anticipate, understand and address

structural unemployment and changes

To continue to promote job retention and

reemployment of the youth, 10 countries

have knowingly implemented structural

reform policies since 2014, with the

majority including retraining programs in

those reforms and a few including support

to employers to retain or retrain employees

during market downturns. For example,

Italy has the National Job Agency retraining

program while Canada supports retraining

regardless of the business cycle.

Promote Labor Mobility and

investment through National

Employment Plans

To promote their objectives, many

countries have updated their National

Employment Plans (NEPs) to increase the

focus on youth employment. All eleven

countries that responded to the NEPs

survey question indicated that their

country’s National Employment Plan had

specic recommendations on:

• Apprenticeships and traineeships

• Education and training

• Incentives for hiring youth and

encouraging entrepreneurship

Of those eleven countries ten have seen

increased investments, beyond CPI, over

the past 4 years in all the same areas.

Furthermore, to facilitate labor mobility

between occupations and sectors ten of

the countries responded that the country’s

National Employment Plan incorporated:

skills assessments, skills recognition, and

retraining strategies.

Increase the quality and availability of

apprenticeship and trainee program

A large role in meeting the G20’s

commitment on youth employment is

through improving the awareness, quality

and benets of apprenticeship and trainee

programs, in addition to increasing their

supply and demand.

Youth

Raising The Awareness and Highlighting The Benets

Of Apprenticeship

There has been an

increase in the demand

of apprentices and

trainees - January 2014 to

December 2016

Government has lead

initiatives to raise

the awareness of

apprenticeship and

traineeship programmes

There has been an

increase in the supply

of apprenticeships and

traineeships - January

2014 to December 2016

100%

80%

60%

40%

20%

■ Yes ■ No ■ No response

40%

17%

33%

50%

75%

27%

33%

20%

Youth. Women. Entrepreneurship. | Youth

To raise awareness and highlight the

benets of apprenticeships, the large

majority of countries have undertaken

initiatives to raise awareness, including

Canada, France, Japan Russia and many

others.

For example, France launched its rst

dedicated media campaign in 2016 while

India launched e a National Apprenticeship

Training Scheme which is a one year

program to equip youth with practical

knowledge and skills in their desired eld

of work.

Eleven of the fteen countries that

completed the survey included goals

to develop, expand and improve

apprenticeship and traineeship programs

in their National Employment Plans.

Turkey has launched its Vocational

and Technical Training Strategy Paper

and Action Plan

(2014-2018) and

countries such as Germany, Australia and

France are increasing their support for

apprenticeships in both the public and

private sector through funding incentives

and counseling.

Countries have improved in the quality of

apprenticeship programs as well, with 90%

of responding countries indicating they have

regulations ensuring that apprenticeships

and training programs cover:

• Good appropriate work and training

conditions

• Fair Wages

• Labor Contracts

• Labor Rights

• Occupational, Safety and Health

While dicult to measure in magnitude,

it was indicated that many countries have

seen an increase in supply and/or demand

of apprenticeship and traineeships since

January 2014, including France, Italy, India,

Japan, the United States and Germany.

The United States for example has seen a

demand increase of nearly 11 percent while

France has seen an increase of 3.5 percent.

For example, France has exible work

arrangements, such as maternity and

paternity leave and adoption leave,

available to apprentices and trainees, while

the United Kingdom’s laws provide for child

care and family friendly work environment

also to this group of workers.

16. Not included in graph: Australia, China, and European Union

17. http://mhrdnats.gov.in/about-us

18. Australia, Canada, France, Germany, India, Italy, Japan, Russia, South Africa, Turkey, and United Kingdom

19. http://www.iskur.gov.tr/en-us/homepage.aspx

Access To Quality Apprenticeship Programmes and

Flexible Work Opportunities

The government has taken steps over

the past 4 years to improve the quality of

apprenticeships and traineeships

Country laws provide for child care and

family-friendly work environments for

apprentices and trainees

100%

80%

60%

40%

20%

■ Yes ■ No ■ No response

15% 15%

15%

23%

69%

62%

Youth. Women. Entrepreneurship. | Youth

Addressing Informality, Institutional

Barriers and Mobility through

Structural Reform

Stronger labor markets and ensuring

that the appropriation protections are in

place are important to meeting the G20’s

goals to promoting entrepreneurship and

increasing youth employment.

Eleven of the twelve countries that

responded have taken action since 2014

to address informality. For example

Japan oers a tax allowance for startup

investment and a tax reduction for Angel

investor while in Russia the business

registration procedures and taxation

schemes have been simplied.

Furthermore, the majority of G20

countries continue to tackle institutional

barriers to labor mobility. The United

Kingdom continues to prioritize transport

infrastructure to support mobility,

while Canada nalized the Canadian

Free Trade Agreement which seeks to

harmonize apprenticeship and certication

requirements.

By addressing informality, mobility and

other barriers, G20 countries are able to

make the labor market more accessible

and promote more employment options

for youth.

20. No Response: Australia, China and European Union

21. http://www.cbc.ca/news/politics/interprovincial-free-trade-friday-toronto-1.4060197

Addressing Informality

Your government recognises informality as a

problem and has publically stated it is or intends

moving people from the formal to the informal

economy.

Specic policies have been introduced

since 2014 to address informality e.g. tax

reform, social benet reform, regulatory

simplication to start a business.

■ Yes ■ No ■ No response

100%

80%

60%

40%

20%

20% 20%

13%

67%

Facilitating Mobility

Over the last 4 years, rules and regulations

have been introduced to better facilitate

labour mobility within your country.

Steps have been taken over the last 4

years with regards to skills recognition,

assessment and development to better

enable labour mobility within your country.

■ Yes ■ No ■ No response

100%

80%

60%

40%

20%

27%

33%

13%

47%

60%

73%

Youth. Women. Entrepreneurship. | Women

Women constitute approximately 50

percent of the potential workforce. Various

studies, including Deloitte and Business at

OECD report, Putting All our Minds to Work,

show that increasing women’s participation

in the workforce will lead to improved GDP

and productivity increases for business.

Yet women remain underrepresented in

the workforce, and for many this is not by

choice. Where they are in the workforce

they are underrepresented in senior

leadership roles and work in the informal

economy.

The survey data suggests governments

are implementing policies and programs

to reverse these trends, noting that

the impact of such programs was not

assessed as part of this report. While the

variety of programs and initiatives being

implemented are broad, the responses fall

within the following six main categories:

• High level strategy and National

Employment Plans

• Accessibility to the labor market

• Education and Training

• Entrepreneurship

• Antidiscrimination

• Informality

The majority of countries (72 percent)

have plans to address the commitment to

reduce the gender labor market gap 25

percent by 2025, with the majority having

a documented strategy and programs

specically targeting women. Gender

targets against programs were reported in

very few cases (13 percent). This high level

picture when broken down shows areas of

potential improvement.

Education and training

Looking at commitments to support

lifelong access to education and training

that is matched with the needs of business

and communities, 63 percent say that

they have programs that specically target

women or have generic programs but with

women targets. Support for training and

employment is a part of India’s multifaceted

“Women Empowerment Scheme”. Russia

has the State program, “Encouraging

employment of the population” which

implements events for vocational training

and additional vocational training for

women on parental leave until their

children reach the age of 3 years.

Workforce accessibility

Policies that increase workforce

accessibility for women are being

implemented, but there is room for

improvement. Statutory parental leave

policies seem to be the most noted

policy lever in use, followed by statutory

exibility for family matters. Aordable

child care (aordability cap) was the

least- mentioned policy. Given women are

still the primary childcare provider, this

suggests a signicant barrier that needs

further attention. Less than 50 percent

Women

Plans to Reduce Gender Gap Partipation 25X25

Programs targeting women

Documented strategy targeting 25X25

National employment plan contains

gender targets against each element

■ Yes ■ No ■ No response ■ Partial

0% 20% 40% 60% 80% 100%

13 20

Youth. Women. Entrepreneurship. | Women

of the respondents report that there are

Statutory provisions for elderly care. Given

the aging population, this also should be a

future policy consideration.

Entrepreneurship

The G20 also made commitments

to support women to pursue self-

employment and become entrepreneurs,

including through equal property rights,

improved nancial literacy, access to

nancial markets and advisory services. A

majority of respondents (67 percent) have

government led nancial literacy programs

available to both men and women, with 40

percent having government-led specic

programs for women. Turkey’ has its

‘İstanbul Finans Merkezi Yolunda Hedef 20

Bin Kadın’ project led by T.C. Aile ve Sosyal

Politikalar Bakanlığı (Turkey Ministry of

Family and Social Policies). It aims to target

twenty thousand women to participate

in the Istanbul Finance Center. In 2011

İstanbul Büyükşehir Belediyesi (Istanbul

Metropolitan Municipality), Doğuş Group

and Para Durumu launched the project

which has reached 20,000 women in 4

years, and has a potential to reach out 2

million women by 2023.

The European Commission has initiatives

and tools for women entrepreneurs:

WEGgate, the on-line Platform for women

entrepreneurs, the European Community

of Women Business Angels and Women

Entrepreneurs; The European Network

to Promote Women’s Entrepreneurship

(WES), the European Network of Female

Entrepreneurship Ambassadors, and the

European Network of Mentors for Women

Entrepreneurs.

France has a women awareness

program (dedicated website, women

entrepreneurship awareness week);

a convention signed with several

support networks to promote women

entrepreneurship; and nancing through

a dedicated guarantee fund for women

entrepreneurs, and a convention signed

with main French banks to improve their

support.

Widening access

Widening access to services for women

in order to support their employment

prospects and mobility, including tailored

employment services, active labor

market programs and skills development

opportunities was also committed to by

G20 countries. The survey found that 73

percent of countries provide both skills

development and employment services

Widen access to services

Tailored skills development programmes

specically for women

Tailored labour market programmes

specically for women

Tailored employment services specically

for women

■ Yes ■ No ■ No response

0% 20% 40% 60% 80% 100%

Statutory Accessibility Policies

Workplace exibility for elderly care

Family friendly work environment

Paid parental leave

Capped fees for children

■ Yes ■ No ■ No response

0% 20% 40% 60% 80% 100%

47 33 20

60 27 13

80 13 7

27 60 13

Youth. Women. Entrepreneurship. | Women

targeting women, with just over 50

percent doing so for targeted labor market

programs. For example China has women

employment service training provided

by China Employment Training Technical

Instruction Center. France through the

network of CIDFF (information centers on

women and family rights) works closely

with all relevant national agencies on

employment, vocational training, and

entrepreneurship.

Countries are also using social partners

to engage more women in the workforce.

80 percent say that there are government

initiated “social partnerships”, designed

to develop employment opportunities

for women with almost all saying the

government provides funding to support

these initiatives. For example in the US, the

government supports various NGOs.

Promoting non-discriminatory

practices

Governments also recognize that more

needs to be done to promote non-

discriminatory practices at the workplace,

including on pay and career progression.

Various studies show both these issues

as stubborn workplace challenges and

commitments were made to promote

non-discriminatory practices. Most

countries appear to protect women

from pay discrimination (87 percent) and

discrimination on career progression (80

percent), while 53 percent have laws to

improve the female share of executive

positions. These range from voluntary

codes, to comply and explain and quotas.

The informal economy is substantial. In the

UK it is estimated to be over £150 billion

and in Latin America it is estimated that

130 million people are working in the

22. The Guardian, UK shadow economy worth £150bn, 2013 - https://www.theguardian.com/business/2013/jun/04/uk-shadow-economy

23. International Labour Organisation, Mexico: From informal to formal employment, 2014 - http://www.ilo.org/global/about-the-ilo/multimedia/video/video-news-

releases/WCMS_246897/lang--en/index.htm

informal economy

, just to name two.

The informal economy deprives many

women the opportunity to fair working

rights and conditions. When asked if social

protections are extended, especially to

those in poor households (many who

work in the informal economy), including

in regard to work safety, health services,

pensions and income security, only 40

percent said women earning at or below

the medium wage are protected by

statutes covering such social protections

(work safety, pensions, and income

security). Further, only 60 percent of

countries 60 percent indicated some form

of income support, transfer payments and

social security benets available to women

to support their ability to work.

Addressing Workplace Advancement and Discrimination

Statutory measures to improve female share

of executive positions (public & private)

Laws protect women for discrimination

on career progression

Laws protect women from

discrimination on pay

■ Yes ■ No ■ No Response

0% 20% 40% 60% 80% 100%

53 33

Youth. Women. Entrepreneurship. | Entrepreneurship

In 2016 – under the Chinese presidency –

the G20 agreed on the Entrepreneurship

Action Plan

to combat unemployment

and under-employment and to support

a more innovative pattern of inclusive

economic growth. Entrepreneurship is an

important driver of innovation, job creation

and growth and it needs to be supported

by access to nance and markets, social

protection coverage, and capacity-building

for labor law compliance.

Policy measures outlined in the G20

Entrepreneurship Action Plan include:

• Promotion of entrepreneurship

education and training.

• Strengthening of services for

entrepreneurship.

• Help for entrepreneurs address

challenges and sustain business

development.

• Protection of rights and interests of

entrepreneurs and their employees.

Promote entrepreneurship education

and training

Entrepreneurship curricula is available

across markets, but a distinction is evident

across educational sectors. It seems to be

more available within the vocational and

training sector (73 percent) compared with

secondary school (60 percent). Less than

10 percent of respondents said it was part

of the primary school curricula.

Entrepreneurship as a component of

the teacher training curriculum is also

mainly found (47 percent) in the vocational

education and training sector.

In the majority of the countries (73 percent)

government-led incentives are in place to

allow for employers and workers to access

suitable entrepreneurship education. E.g. in

Germany, 14 out of 16 federal states allow

employees to take holidays for educational

purposes (Bildungsurlaub) and they

can chose from a variety of courses and

seminars, including entrepreneurship.

In 53 percent of the countries, there are

formal processes in place to engage social

partners to improve the entrepreneurial

capability of the potential workforce

by oering targeted entrepreneurship

training across all phases of business

life-cycles. Government incentives to

encourage business to oer targeted

entrepreneurship training across all phases

of business life-cycle are implemented

according to 29 percent of respondent

countries.

In the EU, the European Commission

(EC) provides, via its website, advice

and information to entrepreneurs who

are seeking to start their own business,

Entrepreneurship

24. Innovation and Inclusive Growth: Decent Work, Enhanced Employability and Adequate Job Opportunities, 2016 G20 Labour and Employment Ministerial

Meeting Declaration http://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/documents/statement/wcms_499403.pdf

Are there government

incentives to encourage

business to oer targeted

entrepreneurship training

across all phases of business

life-cycle?

Are there government

lead incentives in place to

allow for employers and

workers to access suitable

entrepreneurship education?

Are there formal processes in

place to engage social partners

to improve the entrepreneurial

capability of the potential

workforce by oering targeted

entrepreneurship training across all

phases of business life-cycles?

100%

80%

60%

40%

20%

Government Incentives and Processes

■ Yes ■ No ■ No response

Youth. Women. Entrepreneurship. | Entrepreneurship

successfully transfer a company or

start again after bankruptcy. It provides

information in particular on: start-up

procedures, transfer of businesses,

bankruptcy and second chance.

Additionally there are EC initiatives

and tools for women entrepreneurs as

well as specic available EU funds and

programs e.g. the Business incubator

support program, the European Progress

Micronance Facility and the European

Social Fund (ESF).

Strengthen services for

entrepreneurship

The majority of the countries (87 percent)

responded that their government

provide formal programs or initiatives

that target SME development, initiatives

to oer business development services

to new entrepreneurs, support business

incubators, either directly or funding to

other businesses to provide incubators as

well as funding to new entrepreneurs to

develop ideas into products or services.

The US Economic Development

Administration for example provides

grants for projects that develop business

infrastructure in communities. Likewise,

a number of states fund small business

incubators. In addition, the Small Business

Administration’s Oce of Investment and

Innovation leads programs that provide

high-growth, small businesses with access

to nancial capital and R&D funds to

develop commercially viable innovations,

e.g. the Small Business Investment

Company. Likewise the US Economic

Development Administration’s Oce of

Innovation and Entrepreneurship works to

foster a more innovative economy.

Financial

Institutions

Industrial

Associations

Civil

Organisation

Angel

Investors

Micro

Finance

Venture

Capitalists

100%

80%

60%

40%

20%

Which nancial mechanisms are available to

entrepeneurs in your country?

■ Yes ■ No ■ No response

Entrepeneurship Curriculum Education

VOCED

Entrepeneurship is part of the curriculum in:

Tertiary school

Secondary school

Primary school

■ Yes ■ No ■ No response

0% 20% 40% 60% 80% 100%

60 27 13

73 13 13

40 53 7

7 87 7

0 0

Youth. Women. Entrepreneurship. | Entrepreneurship

More than half of the countries (60 percent)

said that their government has taken

steps to establish an entrepreneurship

exchange platform as committed to by

G20 China and 53 percent responded that

there are formal government-led programs

that support informal entrepreneurs that

contribute to social enterprises.

Help entrepreneurs address challenges

and sustain business development

73 percent of the countries have taken

steps to simplify the business registration

process and simplied regulatory

requirements for SMEs in the last 4 years.

Most of them support both scal measures

(87 percent) as well as nancial support (80

percent).

In France the registration process (no more

need to le incorporation documents

to tax authorities) as well as the tax

returns were simplied, and there are

streamlined requirements regarding the

establishment and communication of

nancial statements. In Germany, the

registration process (Commercial Register)

was simplied, the accounting law was

modernized, and reporting obligations for

statistical purposes for entrepreneurs were

removed.

In India, nancial support is provided

in a variety of ways to help manage

some of the business costs for example:

Credit Guarantee Fund for Startups, Tax

Exemption on Capital Gains, Tax Exemption

to Startups for 3 years, Tax Exemption on

Investments above Fair Market Value.

Protect the rights and interests of

entrepreneurs and their employees

Not even half of the respondent countries

(47 percent) have government-led

programs that support informal SMEs to

formalize. Less than half of the respondent

countries (40 percent) reported that SMEs

are subject to business regulations that

oblige employers to protect employees and

report to government.

France and India have general employee

thresholds of 50 or 10. While in Japan

the threshold is linked to the industry

(e.g. manufacturing > 300, service, and

wholesale > 100, and retail > 50) and in

Turkey there is also a threshold for capital

(capital 40 Million USD, > 250 employees).

67 percent of respondents say they

have appropriate social protection for

entrepreneurs and bring their workers

into the social security systems. Some

examples include: Japan - fairness in

procurement and funding for startups;

Italy - insurance and protection in the case

of illness; and Turkey – provides a second

chance to entrepreneurs that go bankrupt.

Youth. Women. Entrepreneurship. | Conclusion

Conclusion

This report provides a high level overview

of the extent to which many of the G20

countries are implementing commitments

to women, youth and entrepreneurship.

The indications are that there is quite

some way to go in terms of implementing

programs and realizing the G20’s self-set

targets. However, further data and analysis

is needed to evaluate the impact of existing

programs and strategies undertaken at

a national level. The 2017 IOE-Business at

OECD Monitoring Report demonstrates that

a majority of G20 employers’ organizations

argue that often the implemented policies

do not meet the intended targets, nor

deliver positive results. This is concerning

and is a call for action.

The G20’s commitment on employment

and education calls for coordinated action

between governments, business and

other social partners. The private sector

is critical to job creation. Thus, it is of

crucial importance that businesses are

closely involved in the establishment and

subsequent implementation of policies

to meet the identied G20 commitments

and targets. Strengthening national

employment plans by fully including

business, including employers’ federations,

in their development and revision can allow

for better coordination and facilitate an

increased exchange of experiences on their

implementation at the national level.

Youth. Women. Entrepreneurship. | Appendix

Main Outcomes of IOE-BUSINESS AT

OECD Survey on Implementation of

G20 Commitments

As joint representatives of the global

business community, the International

Organization of Employers (IOE) and

Business at OECD have been actively

engaged in the employment and social

policy aspects of the G20/B20 process

since its inception.

Obtaining better implementation of G20

commitments has been a continued

priority for the IOE and Business at OECD.

Together they have monitored the national

follow-up to the 2013 and 2015 G20 Labor

Ministerial Declaration as well as the

implementation of the 2013 B20-L20 Joint

Understanding on Key Elements of Quality

Apprenticeships.

The G20 Labor Ministers’ meetings in

Melbourne (2014), in Ankara (2015) and

more recently in Beijing (2016) resulted

in Labor Ministers making concrete

commitments with regard to employment

generally, youth, education, gender,

OSH and other policies. Moreover, G20

governments up-dated their National

Employment Plans in spring 2016.

To increase accountability, the IOE and

Business at OECD have done a survey of

Employers Organizations in G20 countries

to monitor the implementation of these

commitments as well as the accuracy

of national G20 employment plans. In

particular, this year’s monitoring focuses

specically on two targets on “reducing

the gap in participation rates between

men and women in G20 countries by

25 percent by 2025, taking into account

national circumstances” and “reduce the

share of young people who are most at

risk of being permanently left behind in the

labor market by 15 percent by 2025 in G20

counties, enhancing youth employment

capacity”. This fact sheet summarizes a

number of interim ndings:

A majority of the responses to the

survey acknowledge some degree of

implementation of the G20 commitments

at the national level. The survey responses

indicate that many governments have

shown to have followed up on the

Melbourne, Ankara and Hangzhou G20

Labor Ministers’ Declaration and have

developed initiatives to implement the

commitments at the national level. This is

very encouraging.

However, the picture is far from being

perfect. While there have been attempts

to implement the G20 commitments at

the national level, often the implemented

policies do not seem to meet the intended

targets, especially when it comes to

important areas of the labor market such

as the reduction of non-wage labor costs.

A majority of responses show that labor

costs have instead increased, leading to

worsened labor conditions in many of the

G20 countries. Reduced non-wage labor

costs are a key factor to make employment

aordable. Thus, G20 governments should

be mindful in living up to their commitment

in this regard.

Responses have been mixed when

considering the improvement of public

employment and administration

services. Half of the responses show that

initiatives have been taken to improve the

eectiveness of these services, while the

other half of the responses show that no

initiatives have been taken at all. More push

is needed to encourage the G20 countries

to follow through their commitments in this

area.

On reducing the gender gap in wages and

in participation rates, an overwhelming

majority of G20 countries have recognized

eorts being made. However, half of

the G20 countries indicated that such

eorts have not yielded much positive

results. One reason for the lack of positive

responses has been the time lag between

the implementation of initiatives and the

resulting responses. Initiatives such as

improving access to education for women

and introducing diverse work forms in

the labor market requires time to be set

up, so as to attract more females to enter

the labor market. Indeed, such initiatives

also require individuals to change their

mindsets regarding the role of women in

the workforce. The key message here is to

ensure that eorts are not one-time-only,

but are sustained for a substantial period

of time in order for the policies to take

eect.

Responses have been very positive on

improving the quality of apprenticeships.

A majority of responses revealed that

initiatives to improve the quality of

apprenticeships have been undertaken

with the full engagement of social partners,

while a minority showed that no initiatives

were undertaken at all. The B20/L20’s joint

understanding on key elements of quality

apprenticeships have served as a good

foundation for most of the G20 countries

that have implemented some initiatives

in raising the quality of apprenticeships in

these countries. Notably, the establishment

of GAN National Networks in many of these

countries have been instrumental in this

regard.

On improving youth employment

outcomes, results remain overwhelmingly

positive regarding implementation and

less optimistic regarding the quality of the

Appendix

Youth. Women. Entrepreneurship. | Appendix

implementation. In many G20 countries,

youth bulges present a considerable

challenge. Though eorts are being

taken to oer opportunities such as

apprenticeships and entrepreneurship

to youths, youths are not optimizing

these eorts for a variety of reasons:

apprenticeships being seen as ‘poor’

alternatives to jobs and signicant hurdles

still exist in setting up entrepreneurs

leading to many youths being unable

to sustain their own businesses in the

medium to long run.

An important reason for the lack of positive

results in both female employment and

youth employment outcomes is because

the eorts of G20 governments are not

ambitious enough. Notably, they do not

address the most important challenges

facing G20 labor markets today, that is, the

need for structural reforms. As such, these

eorts are inadequate in nature to make a

true impact on the ground.

When asked about national employers’

federation’s role in National Employment

Plan, results have been mixed. Half of them

noted that they have been consulted in

the development and the revision of these

plans, while the other half have not. As

such, the priorities and framework of these

Plans do not reect the concerns of the

business community, when the national

employers’ federation is not involved at all

in such discussions.

The meaningful involvement of national

employers’ federations in the development

and revision of the National Employment

Plans is key to ensuring that the plans

adequately identify and address the main

employment challenges at the national

level. It is unfortunate that in half of

the G20 countries, national employers’

federations were not at all involved in the

development/revision of these plans.

The vast majority of the respondents

agreed that the National Employment Plans

were not adequately implemented, if it was

implemented at all. In addition, they reect

a degree of incertitude as to whether the

G20 process has resulted in any major

policy changes at the national level. This is

of serious concern. The credibility of the

G20 process depends on governments

being seen to determinedly implement

their commitments at national level. This

nding corresponds with the opinion

of G20 federations that the National

Employment Plans are not ambitious

enough.

In conclusion, there seems to be a

good degree of follow-up of the G20

commitments at the national level.

However, this follow-up remains largely

insucient in addressing the main

employment challenges especially

structural ones. Furthermore, National

Employment Plans seem to be rather

ineective as policymaking tools in many

countries. The G20 Employment Process

needs to make further eorts in order to

truly become an engine for reform at the

national level.

Based on these ndings, the IOE

and Business at OECD call on G20

Governments to:

Give a stronger focus in the G20

Employment Process to measures that

create conducive environments for growth

and job creation. Emphasis should be on

structural reforms that can create enabling

environments for companies to create

jobs and to get people back into work.

Structural reforms should also consider

introducing dynamism and exibility in the

labor market which supports a diversity of

work forms that benets both youth and

women alike.

Strengthen the National Employment

Plans by raising their prole, fully engaging

national employers’ federations in their

development and revision and increase

exchange of experiences on their

implementation at G20 level with full

participation of social partners.

Improve transparency of where countries

stand with regards to the implementation

of the Brisbane growth, the Melbourne

gender and the Ankara youth target, and

to ask the OECD and the ILO to prepare

a report on the implementation of G20

commitments on an annual basis.

Contributors

Yvon Brousseau

Business Analyst, Deloitte Consulting LLP (U.S)

ybrousseau@deloitte.com

Madonna Jarrett

Director Deloitte Belgium and Deloitte Global Public Policy Group

majarrett@deloitte.com

Julia Stiller

Senior Manager, Deloitte Germany

jstiller@deloitte.com

Dr. Thannaletchimy HOUSSET (Letchimy)

Adviser (Asia), International Organization of Employers

housset@ioe-emp.com

With the support of Business at OECD

[email protected]

About

International Organisation of Employers

The International Organisation of Employers (IOE) is the largest network of the private sector in the world, with more than 150 business

and employer organization members. As the global voice of business, the IOE seeks to inuence the environment for doing business,

including by advocating for regulatory frameworks at the international level that favor entrepreneurship, private sector development,

and sustainable job creation. In social and labor policy debate taking place in the International Labour Organisation, across the UN and

multilateral system, and in the G20 and other processes, the IOE is the recognized voice of business.

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