Providing Business/Entrepreneurship Skills Trainings with Access to Finance to Returnee Migrant Workers affected by COVID-19


Providing Business/Entrepreneurship Skills Trainings with Access to Finance to Returnee Migrant Workers affected by COVID-19 Within the framework of The FAIRWAY Programme

The ILO seeks an NGO/CSO to execute the terms of reference described below as part of the delivery of FAIRWAY Programme’s 2021 Annual Work Plan (AWP) in Ethiopia.

Terms of Reference

1. Background

The International Labour Organization (ILO) within the framework of the FAIRWAY Programme in Ethiopia supported by the Swiss Agency for Development Cooperation (SDC) seeks to contribute to improve labour migration conditions from Africa to the Arab States. The project is an inter-regional initiative that aims to enhance the capacities of stakeholders to protect the rights of all migrant workers especially women and other vulnerable groups throughout the labour migration cycle. It has specific geographical focus in the labour migration corridor between Africa and the Arab States. FAIRWAY further seeks to enable migrant workers to contribute towards the sustainable development of both countries of origin and destination. Broadly, the project addresses the interlinked structural, behavioural and practical barriers to improve labour migration outcomes through four objectives:

(1) Private sector, employers’ and workers’ organizations engaged for decent work for migrant workers;

(2) Gender-responsive policy frameworks are developed or strengthened for fair recruitment and decent work and regulatory compliance;

(3) Discriminatory attitudes towards women and men migrant workers are diminished; and

(4) Migrant workers have improved access to information and support services throughout the migration cycle.

ILO through the FAIRWAY Programme in 2021/22 aims to facilitate engagement at both policy and practice level and further provide continued support at the national level in the area of policy and practice measures. This is with a view to not just provide safeguards for migrant workers but also enhance capacities of a wide range of stakeholders working to enhance the operational environment of labour migration during and post COVID-19 in Ethiopia.

Particularly as part of the COVID-19 response and to address immediate employment/income generating needs of migrant workers returning to Ethiopia from different destination countries, the programme has also envisaged to provide business/entrepreneurship skills training to the most affected returnees. This initiative is expected to support most vulnerable returnee migrant workers, particularly women, to acquire market-oriented business skills trainings so that they can start their own home-based business or self-employed with skills they obtain from this initiative leading to sustainable reintegration. This is also need to be combined with access to finance (loan) from financial institutions complementing to the grant that will be provided to the trained returnees under this initiative.

2, Objectives: Through the FAIRWAY programme, ILO is planning to engage with range of stakeholders in Ethiopia with the ultimate objective of making labour migration beneficial for migrant workers and the country as a whole. Further, considering the difficult situation created by COVID-19 pandemic and its severe effect on Ethiopian migrant workers, the programme has considered serious needs of migrant workers in the destinations as well as those who are returning back to Ethiopia. In that reference, as part of the Outcome 4, Output 4.2 of the programme, one of the immediate interventions planned is to provide business/entrepreneurship skills trainings to most vulnerable returnee migrant workers, particularly the women. Not only the essential business skills but it also intends to link the trainees with access to finance to start small/home-based business or self-employment for the sustainable reintegration. This initiative intends to collaborate with ILO/BRMM Project in relation to use the SIYB models developed under it and to train the facilitators of the proposed trainings through it. In above contexts, the specific objectives of this assignment will be as follows:
I. Provide market-oriented and self-employment oriented business/entrepreneurship skills training to returnee migrant workers
II. Link the trainees to financial institutions and support in accessing loan for starting their own business/self-employment activities complementing with the grant to be provided by the programme
III. Provide pre and post training support including personal counselling, psychosocial counselling and support in assessing other relevant services by the returnees.

3.Key Activities under the Assignment: In order to fulfil the key objectives and purpose of this assignment the NGO/CSO will be implementing following activities:

Description of Activities
1,Coordinate with MoLSA/BoLSAs to identify most vulnerable returnee migrant workers for the business/entrepreneurship skills trainings
2,Identify needs/interests of (referred/selected) returnees on obtaining trainings (i.e. trades, sectors, activities) and orienting them on areas matching their competencies and market need
3, Provide personal counselling and psychosocial counselling based on the need of returnees
4, Select most competent and well-equipped (physical infrastructure, materials, trainers etc) training providers to deliver the trainings (if the NGO/CSOs is unable to accommodate the targeted number in their own facilities)
5, Enrol the trainers/facilitators (who will be later delivering the training) in the TOT that will be provided through ILO/BRMM Project
6, Enrol the selected returnees in the trades/sectoral trainings (if relevant) they preferred in either own training facility (managed by NGO/CSO) or in other training centres as selected above (mobile training is possible with prior approval
from ILO)
7, Conduct periodic monitoring (minimum two monitoring every batch) of the ongoing training activities (should include separate discussion with trainees and trainers on the quality, status of practical learning opportunity, availability of
adequate tools and materials for practical work based on relevancy)
8, Find appropriate financial institutions (FIs) and have Memorandum of Understandings (MoUs) with them to provide business loan to trainees (this could be a tri-partite MoUs between FIs, partner and ILO to provide grant after they secure loan; ILO/FAIRWAY should be included in negotiation of terms and conditions for such
loan schemes)
9, Ensure all the trainee goes through skills testing and certification processes and obtain final certificate from competent authority (if relevant and essential as per national law/policy, if not then internally by the trainers)
10, Support trainees to develop business plan/proposal and secure loan from the FIs.
Ensure that the trainees receive the grant from ILO as planned after securing loan (a separate mechanism should be agreed with ILO/FAIRWAY for the cases where trainees themselves have capital to invest)
11, Coordinate with other actors (government, I/NGOs, development partners) who are providing reintegration services to migrants and enable trainees to access relevant services provided

12, Conduct follow up of all the trainees after 3 months of the training completion/start of their own business/self-employment to see the status/income. Provide instant guidance/support if they are facing business related problems.
Random follow up after 6 months would be considered valuable contribution from the partner.
13, Prepare and submit periodic reports on progress made in relation to providing trainings (details of trades/sectors), business status, other services accessed etc with relevant case/success stories
14, Showcase this intervention/partnership in relevant forums/meetings/discussions with government and other stakeholders properly referring to ILO and FAIRWAY programme
15, Continuously engage in improving quality and results of/from the trainings and the results (business/self-employment started) and to document the issues requiring policy advocacy

4.Key deliverables of the assignment

Under this assignment, the NGO/CSO will deliver following results: Provide business/entrepreneurship skills trainings to 500 (minimum 50% women but encouraged to have more women) returnee migrant workers (ILO may select more than one partner for delivering the training earliest possible and this target could be divided among
the partners based on their capacity)
● Pre and post training counselling and support to all the trainees
● Need base psychosocial counselling to the vulnerable trainees
● MoUs with financial institutions to provide loan to start business/self-employment
● Support 500 trainees to receive loan from FIs and ensure they do receive grant from ILO/FAIRWAY for the same as stipulated
● 500 trainees start their own business or are self-employed by investing the loan and
grant
● Number of trainees receiving relevant services from other service providers
● Monthly progress reports on enrolment of trainees, trades/sectors, training centres
● Quarterly reports (with consolidated data and analysis of overall progress)
● Case stories/Success stories (minimum 2 stories every months with photographs of
trainees)
● Good quality photos of trainings, trainees, businesses established and other services
provided

5.Conditions for delivering training

The selected partner will manage/facilitate business/entrepreneurship skills training considering following contexts:

● Participants for the training (trainees) will be only returnee migrant workers and should be registered with concerned Bureau of Work and Skills (former BoLSA)/ MoWS

● Efforts should be made to enrol more than 50% women out of total trainees agreed

● Total duration of the trainings should not be more than 20 days (15 days for business/entrepreneurship skills and 5 days financial education) and should be of 6-8 hours a day. (proposing partner may recommend for different structure of the training if it has been proved effective from their past experiences with adequate evidence)

● The training sessions should have 80% of practical and hands-on learning opportunity (engaging the trainees to have more practice to be guided by trainers/facilitators rather than providing more lectures)

● There should be adequate number of training materials to do the practical sessions
● Training should be organized in training centres managed by the institution or the centres managed by partner TVETs and must have adequate physical facilities like classrooms, toilets, open space etc.

● Mobile trainings are permitted in case of organizing such trainings in rural areas.
This is subject to discussion and consent from FAIRWAY Technical Officer.

● One batch can accommodate maximum of 20 participants and maximum 2 batches of trainings will be allowed at any given time considering available physical infrastructure at the training centres.
● Must have 1 lead and 1 assistant trainer to facilitate training for each batch

● The trainings should follow Start and Improve Your Business (SIYB) and Financial Education package adhering to relevant ILOs’ tools and guidelines will be coordinated with ILO/BRMM Project as necessary. (priority will be given to the organizations having experience of delivering trainings following ILO’s SIYB and financial education models/guideline)

● Securing loan for trainees from financial institutions (with provision of equal grant from the programme) is key component of this initiative so the partner should negotiate and have MoUs in place with FIs before starting the trainings.

● Training should be organized by complying appropriate safety measures to minimize risks of COVID-19 in line with Government of Ethiopia’s standards.

6. Geographical focus

The trainings should be provided in Amhara, Oromia and Addis Ababa targeting the returnee migrants living in those regions/areas. For Addis Ababa, the training should not be more than 25% of the total number of trainees agreed.

7. Duration of the assignment

The initial duration for the implementation of this assignment will be until 30 June 2022 from the date of signing of the implementation agreement that may take place beginning of December 2021. Based on the needs and delivery of satisfactory results, the duration could be extended as per need and availability of resource with the mutual understanding between both parties.

8. Payment modalities

In order to deliver the trainings described above in relevant sections, the ILO/FAIRWAY will provide budget/costs in following manner.

  1. Initial advance of 30% of total agreed budget after receiving workplan from the partner
  2. 30% of the total budget after submission of report with evidence of 50% of the trainees enrolled in the trainings.
  3. 30% of the total budget after submission of report with evidence of remaining returnees enrolled in the trainings. It should also come with financial report of the period covered by the reporting period.
  4. Above instalment doesn’t include the cash grant meant for trainees as matching fund against the loan. Arrangement for this purpose shall be made explicit in the implementation agreement.
  5. Final instalment/remaining balance will be paid after the submission of consolidated report on the overall progress made, with detail analysis of trainees, trainings, business/self-employment, case stories etc together with final financial report. The payment instalments will be adjusted in case both parties agree to increase the targets based on the progress made in due course of time and through mutual acceptance.

9. Contribution (in-kind) expected from partner

The activities listed above (Section 4) will not be fully covered by ILO/FAIRWAY resources

due to the resource constraints but are very critical to imbed considering the needs and conditions of returnee migrant workers. So this assignment is seeking collaboration with the potential partner/s (NGO/CSOs), not necessarily financial contribution, but linking with existing interventions that the potential partners may already have with support from other development partners.

ILO/FAIRWAY will be providing direct training costs based on the number of trainees and key essential staff to support this initiative. It may consider providing other some essential costs directly linked with the trainees (i.e. transportation) only if without these trainees will be unable to come to the trainings.

It is expected that the potential partner/s will be managing other services such as providing pre and post training supports like pre-training counselling, need base psychosocial counselling and health support, linkages with other support services etc should be managed from their existing initiatives. The partner/s should explicitly mention how and through the

support of which development partners, the trainees (returnee migrant workers) will be benefiting the additional services not covered by ILO/FAIRWAY resources.

Further, ILO/FAIRWAY have limited human resource and hence will not be able to closely and regularly monitor the quality and progress of the training being provided and the follow up on the establishment/operation of businesses. Therefore, the potential partner/s should have trained and experienced human resource to ensure the quality of trainings being offered either through own training centres or through other. And, assurance is also required that the trainees will be provided with follow up support in case they approach the partner for guidance on sustaining their businesses.

10. Point of Contact and Reporting

Every reporting in this relation, either electronic or hard copies should be sent to The Technical Officer, ILO/FAIRWAY Programme; ILO Country Office for Ethiopia, Djibouti, Somalia, Sudan and South Sudan, Congo Building, UNECA, Addis Ababa.

The Technical Officer and other colleagues from ILO or any external individuals appointed by ILO may monitor the activities under this assignment and do required cross-checks to verify the reports/updates submitted by the partner.

11. Submission of proposal

The deadline for submission of the proposal is 20 November 2021. The technical and financial proposal should be submitted separately with following documents:

Registration of the institution in concerned government institution and it’s up to date

renewal

  • VAT/Tax registration
  • VAT/Tax clearance certificate of last 2 years
  • Audit report of last 2 years
  • Evidence of having required experiences and competencies in line with proposal selection criteria (refer to No. 12)
  • In case of using own training centres, its registration and renewal from competent authority (as per law and relevancy)

Organizational profile

Kindly provide sufficient information/evidence in the proposal specifically on the selection criteria mentioned below (No. 12). Proposal without submitting proof/evidence on the selection criteria shall be considered as very weak.

The proposal could be submitted either electronically (addis_procurement@ilo.org) by

zipping all the files in a single folder (provide your organization name as folder name) and in

subject line mention as “Submission of proposal for providing business/entrepreneurship

skills training for ILO/FAIRWAY”

Or it could be sent in hard copies with separate sealed envelope for technical and financial

proposals to following address with the same subject printed/written on envelop as stated

above:

ILO/FAIRWAY Programme

ILO Country Office for Ethiopia, Djibouti, Somalia, Sudan and South Sudan

Congo Building, UNECA

Addis Ababa

12. Selection Criteria

The selected NGO/CSO Implementing Partner will have a mix of expertise and qualifications in the focus areas related to this ToR. Evaluation of the suitability of the partner to work on this assignment will be made against the following selection criteria:

Evaluation Criteria

A. Technical Proposal

Experience of organizing/managing business/entrepreneurship skills and financial education (years of experience and number of trainees trained + experience of providing such training to returnee migrants)-Maximum Score:10

Experience of delivering/managing trainings following ILOs’ SYIB modules (number of years and number of people trained) and Availability of trained and experienced trainers/facilitators (including on SYIB)- Maximum Score:20

Having own training centres/facilities to deliver the trainings – Maximum Score 10

Profile of training providers and MOU with them for this assignment- Maximum Score 10

Proven evidence of linking the trainees with loan facilities from financial institutions (past experiences)- Maximum Score 10

List of potential financial institutions to collaborate with for loan purpose(MOU is preferred but not desirable)- Maximum Score 15

Capacity to provide in kind contribution as stated in TOR with clear evidence – Maximum Score 15

Organizational practice of conducting regular tracer studies of the trainees

(submit 2 such reports) -Maximum Score 10

Maximum Points 100

Minimum Acceptable Score for the Proposal to be financially reviewed -Maximum Score 60

How to apply

The proposal should be submitted electronically through: ADDIS_PROCUREMENT@ilo.org by zipping all the files in a single folder (provide your organization name as folder name) and in subject line mention as “Submission of proposal for providing business/entrepreneurship skills training for ILO/FAIRWAY”

Detail TOR can be accessed on this link:https://drive.google.com/drive/folders/17s-8t_VdBqGGfZaqKQOPTf_2Aw4XMFuE?usp=sharing