Europe has a new plan to help get the younger generation their first job. The “New Deal for Europe” offers under-25s in Mediterranean countries any job they’d like, just so long as it’s in catering, and in Germany.
The “New Deal” will be funded with 6 billion euros ($7.7 billion) from the European Investment Bank, Germany’s Die Welt reported, and will increase worker mobility in the euro area. The aim is to cut unemployment among young people, which was at 24 percent in the euro area in March, according to Eurostat. The plan would offer language classes, travel costs and a wage supplement to those signing up and making the move north, Italy’s Repubblica said.
One of the first concrete results of the plan was announced today in Madrid, where the German Labor Minister Ursula von der Leyen and Spain’s Fatima Banez signed a bilateral agreement that will offer 5,000 young Spaniards on-the-job training in Germany. With the jobless rate at 57 percent among under-25s in Spain, there will be plenty of applicants.
Germany’s Die Welt reported that the “New Deal” would be announced at the end of the month, so more details are likely to emerge in coming weeks — the Rheinische Post pointed to a Franco-German announcement due on May 28.
In Spain’s case, the plan will add to the already constant trickle of qualified youngsters to Germany: there are more than 43,000 Spaniards working officially in Germany now, according to El Pais.
Still, the traffic isn’t as one-way as the economic headlines might suggest: there are 38,000 Germans working in Spain, El Pais points out. With the “New Deal,” Germany is solving one of its own problems: a lack of qualified young workers that can keep the economy growing as the population ages. The “New Deal for Europe” is the latest twist in the old story of immigration helping push up productivity.