Relocation support program for highly qualified specialists
About this good practice
The main problem addressed is the availability of labor in Riga, for example, IT specialists with a high salary level. Riga municipality offers a relocation support program as a solution. The target audience of the competition are companies that create innovative, technological solutions with high added value on a daily basis and that want to hire highly qualified foreign specialists to ensure their further operations.
By fulfilling the conditions, one employee can receive 1.500€ of salary co-financing per month. One company can hire no more than 5 employees and the maximum term of co-financing is 3 months. The budget of the program in 2024 is 65.500€. The program makes it easier for employers to find employees and promotes the influx of new knowledge and experience into the city.
The program has been launched recently and there is very positive interest on the part of entrepreneurs, but it should be noted that the main problem is the legislation that determines the rules of foreign employment.
The main beneficiaries are the city of Riga and entrepreneurs. Taking into account that high-class specialists are attracted, local specialists also acquire new knowledge at the same time. The city's population is growing, business development is being promoted.
In addition, it should be noted that such a program can contribute to the improvement of regulation because it is no longer only a problem for entrepreneurs, but also state administration employees face the real situation.
Resources needed
Investment and Tourism agency of Riga manages the programme and one person is in charge of it. The budget is 60.500€ per year to cover the risk of ongoing and future operations. This amount is intended for the support programme, the remuneration of the employee is separate.
Evidence of success
The program is an excellent tool to support entrepreneurs not only from the financial aspect, but also for the long-term development of the company. 5 applications have been received in approximately 9 months. The challenge for the Riga State Investment and Tourism Agency is the regulatory framework in the country, as well as the bureaucratic aspect.
Potential for learning or transfer
This good practice could be transferable for every region/city where there are some challenges with the availability of labour, particularly regarding high salary level specialists. The program can target different types highly qualified foreign specialistsand can therefore be adapted to the specific needs of other territories.The amount of support may also vary in each region, depending on local conditions.
With the help of this program, a city not only promotes the development of a specific sector, but also encourages the influx of new talent in general, thus introducing new knowledge, experience gained abroad and promoting the overall knowledge capacity. This is an excellent instrument that allows the municipality to promote business development and, at the same time, attract highly qualified residents to the city.
The legal framework of the country or region regarding the attraction of foreign workers should be mentioned as a decisive factor.