A new collaboration between DRC Integration and two Danish municipalities, Viborg and Herning, and the Poul Due Jensen Foundation has set out to develop a new social investment model for labour market inclusion. The ambition is that over time the model can help increase the inclusion into the labour market for persons with non-western background and long time unemployment, a group that does not benefit sufficiently from current offerings.
The municipalities will identify the unemployed persons who will then participate in a tailormade program based on DRC’s Business Training Program combined with the methodology of ‘Individual Placement and Support’ (IPS). Based on this program, a Social Impact Bond (SIB) model will be developed focusing on two tracks: documenting both the social impact of bringing those currently excluded into the labour market and the economic effects, notably through longer term cost savings made possible through the new model, which can support a social investment model.
The project builds on partnerships, with consulting group, COWI, assessing and documenting the value of investing in individually planned programs, legal experts from Kammeradvokaten offering advise on the legal framework that can support the investment model, and the Center for Public Innovation supporting the dissemination of learnings and results from the program.
The project runs from 2020 – 2022. The ambition is that a minimum of 50% of participants will become partially or fully employed through the duration of the project, 2020 – 2022, and that the development of the investment model will lead to several new investable social impact projects with DRC and partners.