You can read my first thinking out loud blog on Iceberg model and Employment Issues in Bosnia and Herzegovina here.
As I wrote at the end of that blog, it was supposed to be continued over time, and here are some more insights…
Updated Iceberg model,
right click -> open image in the new tab to see full size image
I will use my old list and just add new things in bold.
EVENTS:
- Poor working conditions in industry: overtime work, irregular salaries, “bossing”, incomplete salaries at the end of the month, poor salaries…
- Employers report that high school graduates don’t have appropriate knowledge
- Employers often don’t register their employees (they usually do it later, when state offers incentives for employment)
- Enterprises can’t find workers
- Unemployed persons show poor interest for employment programs (note: high school graduates show best interest)
- Enterprises mostly need low skilled workers
- Export of B&H industry is growing
- Diplomas can be bought
- Low level of foreign investment
- Salaries in public sector are 2 times higher than in a private sector
- Children (and their parents) don’t want to go to high schools for industrial professions
PATTERNS:
- Workers are leaving B&H, especially young people (large percentage of them is finding jobs abroad with help of Employment Offices)
- High-income families are also leaving (some of the reasons I found in interviews online are general uncertainty and lack of possibilities for professional advancement)
- Both unemployed and employed persons are looking for jobs in a public sector
STRUCTURES:
- Enterprises must offer their products for low price to be competitive (since without Research&Development and final products, they don’t have many possibilities), so they are making saving by paying low salaries
- More employees in the public sector bring more votes
- Partocracy is in power instead of democracy
MENTAL MODEL:
- Ingenuity at the expense of the state
- “If others are doing it so will I”
- “It’s better to do nothing for nothing, then to work for nothing”
- general belief that it’s a shame not to finish a college
To be continued…