1. Evaluation of the Labour Market Activation Fund 2010
Presentation to ESF Evaluation Partnership
Thursday 15 March 2012
Evaluation of the Labour Market Activation Fund 2010

2. The priority groups of unemployed
Low-skilled, particularly those with qualifications below NFQ level 5
Those who previously worked in declining sectors such as construction, manufacturing and retail
Those aged under 35
Those over three months unemployed

3. Labour Market Activation Fund, 2010
Original Budget €20 million Additional € million in August 2010
Total Fund of € million
Target to deliver training and education for 12,000 unemployed people, between June 2010 and end June 2011

4. Objectives of the Activation Fund
to seek and support new and innovative ways to deliver upskilling and re-skilling for the unemployed, in addition to mainstream provision
to use competitive tendering to drive efficiency and to maximise the benefit for public funds
to derive learning for the development and delivery of future activation initiatives

5. The 55 Projects
selected because of potential capacity to deliver achievable, quality outcomes leading to progression to employment or to educational attainment connected with labour market opportunity for participants
covered a broad spectrum of activities and offered qualifications from NFQ levels 3 to 8
projects targeted skills needs in strategically important sectors of the Irish economy – food; sustainable energy; pharmaceutical manufacturing; financial services, digital media; and tourism.

6. Headline Findings of the Evaluation
LMAF 2010 supported a multi-provider model of delivery with programmes designed to facilitate a progression pathway to the labour market
Participant recruitment and completion rates show that the LMAF 2010 was delivered efficiently, effectively and cost-competitively
There is substantial evidence of positive outcomes and impacts
Learning can be drawn from the innovative approaches employed across LMAF projects
The LMAF experience provides the basis for an effective future labour market activation model

7. Attributes of LMAF Programme Activity
Consultants found that, taken together, the LMAF programmes incorporated different stages along the progression pathway to activation, including
Capacity building and support
Core skills development
Facilitating access to further education opportunities
Offering a formal education platform
Building entrepreneurial ability
Industry focused upskilling and reskilling
Direct engagement with employers
Recognised qualifications by accredited providers

8. Findings of Evaluation contd.
LMAF 2010 – a Progression Pathway Model

9. Key metrics 12,629 participants (of whom 80% completed), supported in
55 projects, delivered by
44 organisations, costing
€29.5 million
Per capita cost of participant completion was considered favourable.

10. Outcomes for participants
Of the 10,163 participants completing in the period December 2010 to June 2011, outcomes were known for 5,361:
1,533 (29%) got jobs
732 (14%) became self-employed
2,277 (42%) went on to further courses
819 (15%) remained unemployed .

11. Outcomes for other stakeholders
Employers – flexibility of projects in response to skills needs, and ‘trialling’ of work placements as potential employees
Economy – employment impact generated a gross income effect of between €31.5m and €54.1m
Exchequer - savings of between €12m and €21m on welfare payments.

12. Distribution of Funding – by Type of Provision

13. Cost Comparisons
There were positive findings on value-for-money in LMAF 2010 programmes.

14. Innovation and best practice
Fund was innovative in that it was open to all providers to compete on an equal footing
varying degrees of innovation in programme design, content and delivery were noted; greater innovation in the private sector, less so in the third level sector
Substantial case studies of selected projects illustrate innovation and best practice with the potential for mainstreaming

15. Major success factors
The most successful programmes were those which were collaborative and focused on clear progression outcomes.
Collaboration
involving education and training providers, the VECs, colleges, business organisations (e.g., Chambers of Commerce), community organisations, local authorities, the Department of Social Protection and other relevant organisations (e.g., the CEBs).
Outcomes driven
Participant-centred identification and assessment of need, provision of programmes meeting these needs matching them to specific skills demands and opportunities in particular local contexts or sectors.

16. Principles for a successful model of labour market activation
Verified by DSP, employers & other stakeholders
Must be tailored to local skills needs and unemployment characteristics
Work
Clear idea
of the progression outcome & pathway to work
Flexibility to respond to market needs with short
Core skills building must be followed by employable skills
Public, private C&V providers involved to meet needs
Clear central source of information on opportunities eligibility & benefits
Clear single access point for individuals
Support
Multi-provider
Pathway focus
Flexibility
Funded on competitive basis where evidence of need is clear
Collaborative
Progression
Competitive
Local solution
Ongoing monitoring & support to ensure sustainability
Access
Information
Engagement
Outcomes
Delivery
Establish need
LMAF
Community based support to facilitate engagement
Work placement
Monitoring
turnaround for accredited
provision
experience to improve
employability & engage local employers
Four principles are:
Establish Need
Engage
Deliver
Focus Outcomes

17. Conclusions of Evaluation
There is strong case for continuing the Labour Market Activation Fund model, retaining a competitive approach to selecting and funding projects
A multi-annual approach to funding should be considered to maximise the impact of interventions, and their sustainability
To ensure a comprehensive approach to meeting particular labour market activation needs, consider allocating future funding to dedicated theme-based streams, with a core focus on provision at NFQ levels 3 to 6

18. Conclusions of Evaluation contd.
While retaining a multi-provider, multi-tier activation model, consider if project providers should have to progress through a pre-qualification stage
Prioritise programmes that adhere to the four principles of the successful activation model
Necessity for a cohesive communication strategy for engaging with participants at the outset of labour market interventions

19. Conclusions of Evaluation contd.
require consistent and sustained recording and reporting of participant destinations post-funding and post-project to ensure that the full value of the public investment is assessed
establish shared databases across the relevant agencies to track the progress of participants along the progression pathway
consider piloting an outcomes-based funding model within any future Fund where project providers are rewarded on the basis of meeting specified outcomes

20. Conclusions of Evaluation contd.
Devise an action plan for mainstreaming learning from Activation Fund projects into wider labour market activation policy and interventions.

21. Evaluation of the Labour Market Activation Fund 2010
Presentation to ESF Evaluation Partnership
Thursday 15th March, 2012
Evaluation of the Labour Market Activation Fund 2010
William Mc Intosh Head of ESF Managing Authority, Department of Education & Skills, Room 116, Block 2, Marlborough Street, Dublin,

22. Any Questions?