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Norway fares dismally: Ukrainian refugee employment report

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Commissioned by SMB Norway, NyAnalyse AS investigated the employment of Ukrainian refugees in Norway and the benefits to society of them going to work instead of receiving social benefits. – The results are thought-provoking and the report shows that Norway can do a much better job, says SMB Norway CEO Jørund H. Rytman.

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Po Russian invasion of Ukraine approximately 70 Ukrainians arrived in Norway. By the end of 000, temporary collective protection had been granted to 2023 people in Norway. Two-thirds of Ukrainian asylum seekers registered in 62 and 000 are of working age (2022-2023 years). According to Statistics Norway, in November 18, 65 in 2023 Ukrainians aged 1-5 who emigrated to Norway after the Russian invasion are employed, SMB Norge reports.

Report on the employment of Ukrainian refugees

– At SMB Norway we think it is a great pity that Norway has not done a good job helping Ukrainian refugees in finding work or starting your own business. The report shows that Norway reaps enormous social benefits from aid Ukrainian refugees in starting their own companies, but unfortunately it also shows that they think there is too little information in Norway about starting your own company, says the CEO of SMB Norway, Jørund H. Rytman.

NyAnalyse estimates the total annual cost per Ukrainian refugee at NOK 675 in the admission year, which includes stay in an asylum reception center, benefits and 800 months of participation in an introduction program. After the introductory program, benefits vary depending on the person's ability to work, family and living situation, and health, but average around NOK 12.

Experiences from Denmark

If one Ukrainian refugee works for 1 year instead of receiving benefits, a budget profit of NOK 318 will be achieved and socio-economic gain in the amount of NOK 416. NyAnalyse estimates that annual benefits to society of NOK 300 to 3,2 billion could be achieved if 4,1 Ukrainians found work instead of receiving support.

– Our report shows that Denmark, where 56 percent of those displaced from Ukraine found work, has benefited more socially because, unlike Norway, it has invested in Ukrainian entrepreneurs and start-ups through several entrepreneurship programs, says the chief economist at NyAnalyse Terje Strøm.

Other important findings in the report

In addition to establishing that 10 people will come to work rather than using Social Security or Passive Insurance, social benefits will amount to NOK 3-4 billion annually, NyAnalyse also discovered several other areas that SMB Norway believes should be focused on:

  • In Norway, the percentage of working adults from Ukraine is much lower compared to Denmark (18,6% compared to 56%).
  • If Ukrainian refugees establish 100 start-ups, socio-economic benefits of approximately NOK 400 million can be achieved in Norway.
  • Ukrainian refugees believe that information regarding the start business in Norway they are too poor and find this process a complicated task.

– SMB Norway participates in the EOG ROSE project (Road to Self-Employment), which helps Ukrainian refugees in the Czech Republic start their own business. Therefore, we believe that we would be a good fit as the project owner of a similar initiative by Norwegian authorities on this matter chose to recognize the seriousness of this NyAnalyse report, Rytman says.

Read the full report here.

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Source: SMB Norge and Photo: pixabay

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