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The Directorate of Labour, which is subject under The Ministry of Welfare, conducts constant labour market initiatives which involve contracts with employers to employ people without employment, including young people. Beside these regular initiatives, the Directorate of Labour, the government issued a cooperative undertaking with the main actors of the labour market with an initiative called “Nám er vinnandi vegur”. No official translation is available but a suitable English translation could be “Education is the road to progress”. According to the Directorate's annual report, the initiative was launched in the spring of 2011 and was established to counter long term unemployment my creating opportunities for those people to commence education and break the vicious cycle of dreariness created by long term unemployment.
In 2010, an initiative was launched to create new summer jobs for students and unemployed people. Funds were granted to state institutions and municipalities to hire around 900 young people in between school semesters, many of whom had previously been unemployed and received benefits.
After the economic crash in 2008, unemployment rate among young people had risen to 16,7% at the end of 2009. In 2010, The Ministry of Welfare issued the project “Ungt folk til athafna” and delegated its undertaking to the Directorate of Labour. No official translation of the project is available, but a suitable English translation might be “Active young people” or “Activating young people”. According to an annual report released by the Directorate of Labour The main goal of this project was to ensure that young people who had lost their jobs would receive some form of initiative to help them to get back into education or the labour market within three months. This was to be done in co-operation with the education system, volunteer organizations and main actors of the labour market.
The project “Nám er vinnandi vegur” or “Education is the road to progress” was funded by the co-operation of the Icelandic government and the main actors in the labour market (http://brunnur.stjr.is/mrn/utgafuskra/utgafa.nsf/xsp/.ibmmodres/domino/OpenAttachment/mrn/utgafuskra/utgafa.nsf/9015822F8494D7F700257AE7004DFCDB/Attachment/nam_v_vegur_2012.pdf). 1,790 million ISK. Was delegated to this project (http://www.althingi.is/altext/144/s/0792.html).
The Icelandic government allocated 250 million ISK. In the effort of creating summer job opportunities for students and unemployed people (https://www.vinnumalastofnun.is/media/1089/arsskyrsla-vefur-2010.pdf).
The Icelandic government furthermore allocated 600 million ISK. For the project “Ungt folk til athafna”, or “Activating Young People” (https://www.vinnumalastofnun.is/media/1089/arsskyrsla-vefur-2010.pdf).
The Directorate of Labour issues an annual report where initiatives undertaken are evaluated and its impact assessed (https://www.vinnumalastofnun.is/media/1391/vmst-arssk-2011-low-res.pdf, https://www.vinnumalastofnun.is/media/1089/arsskyrsla-vefur-2010.pdf). Additionally, the Ministry of Education, Science and Culture conducted an evaluation report on the project “Nám er vinnandi vegur” or “Education is the Road to Progress” (http://brunnur.stjr.is/mrn/utgafuskra/utgafa.nsf/xsp/.ibmmodres/domino/OpenAttachment/mrn/utgafuskra/utgafa.nsf/9015822F8494D7F700257AE7004DFCDB/Attachment/nam_v_vegur_2012.pdf).
There are no public documents indicating the outcome of these evaluations.