The report looks at top research and skills training programs that are succeeding internationally, and highlight for Canadian policymakers key features driving success.
En français. Canada. Comprendre l’avenir des compétences. Tendances et réponses politiques dans le monde
The report looks at top research and skills training programs that are succeeding internationally, and highlight for Canadian policymakers key features driving success.
Malawi. Analytical report on the consultative monitoring and evaluation framework for involving employers, workers and other stakeholders in TEVET programmes in Malawi
The study revealed that the country lacks a participatory monitoring and evaluation (M&E) framework that allows private-sector and other stakeholders to participate in the M&E of TEVET programmes. Because of this lack of a participatory framework, the country faces a situation where there is a mismatch between the range of TEVET programmes provided by training institutions and the needs of industry.
Canada. Understanding the Interconnectedness of the Future of Work: A Case Study in What’s Wrong with Current Discussions
A look into understanding the future of work and the inadequacy of current debates, with a focus on the two megatrends of the evolution of technology and demography.
En français. Canada. Comprendre l’interdépendance de l’avenir du travail : Une étude de cas sur ce qui ne tourne pas rond dans les discussions actuelles
This paper reports on a study of the progress of vocational education and training (VET) and the need for further profession-oriented training of lecturers in public, technical vocational colleges in South Africa, under the consideration of societal and political conditions.
Progress has been made in recognizing the value of core skills for the world of work, building them into curricula and ensuring some measure of professional development for teachers and trainers.
We wanted to kick start a real debate about the underlying principles and philosophy of English vocational education so that we can move away from instability towards a more settled and focused vision.
Labour markets are currently in a phase of cyclical recovery and undergoing structural transformation due to globalisation, demographic trends, advancing digital technologies and automation and changes in labour market institutions. For Europe at large, persistent skill gaps and mismatches come at economic and social costs.
The analysis focused on two theoretical axes: one biographical and the other interactionist. The first involved personal life courses and professional projects undertaken by the student in the past. The second examined tensions and conflicts between context forces and adjustment strategies adopted by the student. The results revealed five decision-making rationales that characterized the vast majority of the students’ experiences: 1) get out of a socioprofessional and economic slump; 2) know yourself better, personally and socially; 3) value the concrete and the practical; 4) take advantage of supporting conditions; and 5) reconcile proximity and the known.
Europe. Staying in the Loop: Formal Feedback Mechanisms Connecting Vocational Training to the World of Work in Europe
Existing approaches in the economic sociology of labour markets, the varieties of capitalism approach as well as comparative research on welfare states are useful in predicting whether particular VET systems are likely to be predominant. However, they do not provide an alternative in describing differences in VET systems which the concept of formal feedback mechanism does.
The analysis highlights the failings in the UK’s skills system and offers thoughts and recommendations on how we can improve our performance.
The term skill mismatch is very broad and can relate to many forms of labour market friction, including vertical mismatch, skill gaps, skill shortages, field of study (horizontal) mismatch and skill obsolescence. In this paper we provide a clear overview of each concept and discuss the measurement and inter-relatedness of different forms of mismatch.
The UK economy is set to undergo significant change in the coming years. The impact of rapidly advancing technology, an ageing population and exiting the EU will leave our economy looking very different by 2030.
Evidence suggests that productivity would be much higher and unemployment much lower if the supply of and demand for skills were better matched. As a result, skills mismatch between workers (supply) and jobs (demand) commands the ongoing attention of policymakers in many countries. Policies intended to address the persistence of skills mismatch focus on the supply side of the issue by emphasizing worker education and training. However, the role of the demand side, that is, employers’ wage-setting practices, garners comparatively little policy attention.
This report examines the group of young people aged 15–24 that are not engaged in education, employment or training (NEET).
Finland. A journey into the core of the professional skill sets of small business entrepreneurs. A study based on a review of literature and a DACUM analysis, 2007
This study examines the occupational competence and attitudes that small business entrepreneurs consider essential to their work. The empirical data was collected through a Finnish adaptation of the Canadian DACUM (Developing A Curriculum) model which is used to analyse the contents of the requirements of various occupations.
This paper analyzes the correlation between firm size and the investment in job training by employers. Using a large firm level data set across 99 developing countries, we show that a strong and positive correlation in the investment in job training and firm size is a robust statistical finding both within and across countries with very different institutions and levels of development.
This article explores how skill proficiencies are related to household income for Canadians aged 16 to 65. The article also demonstrates how the relationship between skill level and low income changes after controlling for other characteristics known to increase the risk of low income.
En français. Canada. Le lien entre les compétences et le faible revenu
Volume I: investigating causes and extent
Volume II: evaluating policy impact
A skilled and educated workforce can support the competitiveness of enterprises of all sizes. However, smaller firms may face greater challenges in developing human capital. We explore differences between smaller and larger firms in offering skills training and in hiring workers with more formal education.
The authors provide first evidence on whether the direct relationship between educational mismatch and firm productivity varies across working environments. Using detailed Belgian linked employer-employee panel data for 1999-2010, they find the existence of a significant, positive (negative) impact of over- (under-)education on firm productivity. Moreover, their results show that the effect of over-education on productivity is stronger among firms: (i) with a higher share of high-skilled jobs, (ii) belonging to high-tech/knowledge-intensive industries, and (iii) evolving in a more uncertain economic environment. Interaction effects between under-education and working environments are less clear-cut. However, economic uncertainty is systematically found to accentuate the detrimental effect of under-education on productivity.
This technical brief, based on an analysis of the recent School-to-work transition surveys (SWTS) from 28 low- and middle-income countries, hopes to contribute to a better understanding of the NEETS indicator.
Objective: To explore the vocational education and training systems in four countries – the UK, US, India and South Africa – and to understand the economic benefits of investing in skills.
We investigate the labour market determinants and outcomes of adult participation in formal education (lifelong learning) in Australia, a country with high levels of adult education. Employing longitudinal data and fixed effects methods allows identification of effects on outcomes free of ability bias. Different trends in outcomes across groups are also allowed for. The impacts of adult education differ by gender and level of study, with small or zero labour market returns in many cases. Wage rates only increase for males undertaking university studies. For men, vocational education and training (VET) lead to higher job satisfaction and fewer weekly hours. For women, VET is linked to higher levels of satisfaction with employment opportunities and higher employment probabilities.
Argentina and South Africa. Understanding Barriers to Accessing Skills Development and Employment for Youth : Synthesis Report
The studies analysed three main issues: (1) the quality of the productive activities that youngster get, such as jobs, employment, volunteering, and learnerships; (2) policies regarding work preparation and deployment, including the conceptual approaches, guidelines and designs of implementation, their similarities, and contradictions; and (3) youth opportunities in the construction and wine production sectors. Emphasis was placed on knowledge of the relationships between the various actors within society, state, non-state, public and private national and international institutions.
This paper exploits data from the Survey of Adult Skills (PIAAC) to shed light on the link between measured cognitive skills (proficiency), (formal) educational attainment and labour market outcomes. Formal education is found to have a larger impact on inequality, given that returns to education are in general much higher at the top than at the bottom of the distribution. The profile of returns to proficiency, by contrary, is much flatter. This is consistent with the idea that PIAAC measures rather general skills, while at the top end of the distribution the labour market rewards specialised knowledge that is necessarily acquired through tertiary and graduate education. Finally, a decomposition exercise shows that composition effects are able to explain a very limited amount of the observed cross-country differences in wage inequality. This suggests that economic institutions, by shaping the way personal characteristics are rewarded in the labour market, are the main determinants of wage inequality.
The firm’s stock of human capital is an important determinant of its ability to innovate. As such, any increase in this stock through firm-sponsored training might lead to more innovation. We test this hypothesis using detailed data on firms’ human capital investments and innovation performance, the Canadian longitudinal linked employer-employee data from 1999-2006. Our results, with workplace fixed-effects and allowing for time-varying productivity shocks, demonstrate that more training leads to more product and process innovation, with on-the-job training playing a role that is as important as classroom training. We then demonstrate that on-the-job training has a positive impact on firm-level productivity through improved process innovation.
Projections in Europe and the United States suggest job vacancies will soon be concentrated in positions that require vocational training. This has spurred policy discussions about how vocational education can optimally complement or substitute for general education and highlighted the need to understand more precisely how the mix of skills in a workforce impacts economic growth. Macroeconomic growth literature has traditionally incorporated measures for human capital based on the length of time spent in educational institutions. The need to measure the skills acquired through different kinds of education has been appreciated. Specifically, the insights that might be obtained by comparing the macroeconomic growth of countries with different amounts of vocational education has been apparent, but the long-time series of internationally comparable data required has not been readily available. This paper fills this need by presenting consistent data on Vocational Secondary Schooling at five-year intervals from 1950-2010 for 129 countries.
India is at the cusp of becoming an economic powerhouse. For that to happen, however, the country needs to alter its workforce education system by reengineering the Indian vocational education and training (VET) system. India’s VET strategy includes creating basic work-centered common curriculum for the unskilled; developing a more flexible and responsive VET system that effectively educates and trains many more of the semiskilled; and raising the competencies of the skilled worker to international levels by using, for example, public/private partnerships. Regardless of the model for delivery of this training, this article suggests that the Indian workforce education system should adopt a comprehensive organisational strategy that accommodates the balancing of competing missions.
Ghana. Demand and supply of skills in Ghana : how can training programs improve employment and productivity?
This report focuses on one segment of Ghanas skills development system: formal and informal technical and vocational education and training (TVET) at the pre-tertiary level. Although TVET alone does not guarantee productivity gains or job creation, it is generally agreed that a blend of cognitive, non-cognitive, intermediate, and higher technical skills is crucial to enhance the countrys competitiveness and contribute to social inclusion, acceptable employment, and the alleviation of poverty. The public financing approach and general lack of incentives to improve TVET in Ghana help to perpetuate a supply-driven, low-quality skills system that responds very poorly to the needs of the economy, and especially its growth sectors. The national skills strategy should aim to complement, and be complemented by, reforms that are underway in related sectors (for example, private sector development and employment, the informal economy, information and communication technologies, and agriculture). One of the more innovative elements of the ongoing reform has been the establishment of sustainable financing for the skills development fund (SDF). Channeling the majority of TVET resources through a SDF will make it easier for funds to be allocated in line with general national socioeconomic priorities and specific priorities identified by Council for Technical and Vocational Education and Training (COTVET).
Canada. A Typology of Adult Learning: Review of the Social Research and Demonstration Corporation of Canada’s Model
Through a primarily conceptual process the authors arrived at a typology consisting of five classes of learning: foundational; higher education; workplace-related; labour market-related; and personal/social. While initial feedback has been positive, the typology needed to be tested for utility in describing the actual participation patterns and practices of adult learning. This paper assesses the utility of the SRDC’s adult learning typology by addressing three broad questions: 1) How does the typology compare to emerging international adult learning classification schemes (UNESCO, OECD-PIAAC and EUROSTAT)?; 2) To what extent is the typology useful in describing actual participation patterns as captured by the Access and Support to Education and Training Survey?; 3) How well does the typology describe how adult learning activities are organized provincially, using British Columbia as a case study? Based on the examination of the typology conducted in this report, the authors recommend to revise the SRDC’s typology. They further recommend that future surveys collecting information on organized forms of adult learning and education should be designed to collect information on all forms of formal and non-formal learning activities, as well as on informal learning.
In Italy the reforms of the last twenty years shaped a dual labour market with different levels of employment protection for permanent jobs, on one side, and temporary jobs like apprenticeships and fixed-term contracts, on the other side. The main difference between apprentices and other types of temporary workers is that the former should receive firm provided training. The firm incentive in hiring apprentices consists in the possibility to pay lower wages and in a reduction in labour taxes. Using an Italian administrative longitudinal dataset containing information on all the job contracts started between January 2009 and June 2012, we estimate hazard functions towards permanent jobs and contrast the ones of apprentices with those of other types of temporary workers. The hazard function estimates based on a regression discontinuity approach affirm that apprenticeships are sorts of “long entrance halls” towards open-ended contracts, especially within the same firm where the apprenticeship was performed.
This report provides an in-depth analysis of adults’ participation in non-formal job-related education and training in Europe, having particular but not exclusive regard to employed adults. It investigates its variability and in/equality based on key factors at individual level, including socio-demographic background, education, labour market status, jobs and workplace characteristics. The report selects, presents and analyses internationally comparable data from the 2011 adult education survey. Basic descriptive statistics are enriched with findings from multivariate statistical modelling to provide a statistical picture of inequalities in Europe and at country level.
Institutionalized Inequality and Brain Drain: An Empirical Study of the Effects of Women’s Rights on the Gender Gap in High-Skilled Migration
This paper investigates the effects of institutionalized gender inequality, proxied by a women’s rights index, on the female high-skilled migration rates relative to that of male (the female brain drain ratio). By developing a model of migration choice I find non-linear effects of gender inequality on the female brain drain ratio as a result of effects of gender inequality on both costs and benefits of migration. At low levels of women’s rights, increases in the index lead to increases in the female brain drain ratio. This is consistent with, at low levels of women’s rights, prohibitively high costs of migration for females. Once a certain level of protections has been afforded to them, the costs to migration are low enough that many women then decide to leave the oppressive society and migrate where the benefits associated with their human capital are higher. However, as women’s rights continue to strengthen, those benefits to migration then tend to decrease. The effect on female brain drain then turns negative. Using a panel of up to 195 countries I find evidence consistent with this model which is robust to instrumental variable approach. A one-point increase in the above average level of this index is associated with an average of about a 25-percentage point decrease in the female brain drain ratio.
Belgium. Native-Immigrant Gaps in Educational and School-to-Work Transitions in the Second Generation: The Role of Gender and Ethnicity
We study how native-immigrant (second generation) differences in educational trajectories and school-to-work transitions vary by gender. Using longitudinal Belgian data and adjusting for family background and educational sorting, we find that both male and female second generation immigrants, especially Turks and Moroccans, lag natives in finishing secondary education and beginning tertiary education when schooling delay is taken into account, though the female gap is larger. The same is true for residual gaps in the transition to work: native males are 30% more likely than comparable Turkish males to be employed three months after leaving school, while the corresponding female gap is 60%. In addition, we study demographic behaviors (fertility, marriage and cohabitation) related to hypotheses that attribute educational and economic gaps to cultural differences between immigrants and natives.
Sri Lanka. Why aren’t Sri Lankan women translating their educational gains into workforce advantages?
The last two decades have seen a phenomenal rise in girls’ education and a concomitant decline or stagnation in labor market outcomes for women, especially in female labor force participation in central and southeastern Europe, East Asia, Southeast Asia, and South Asia.
This paper focuses on Sri Lanka, a country with a long record of gender equality in education enrollment and high female completion rates, which has also been characterized by low and stagnant female labor force participation. It remains a puzzle why Sri Lanka has been unable to translate its high girls’ education gains into female labor force participation.
The objective of this paper is to inform the design of policies to better manage health labor market forces by documenting what is known about the influence of market forces on the health professional formation process. It aims to address issues from a global perspective, seeking out patterns of difference between low, middle, and high income countries and across regions of the world. It also aims to understand the evolution of the health professions and of health labor markets over the last 30 years, and to cover all types of health professional, although the constraints of the literature engendered a focus on physicians and nurses.
Based on a survey of 400 enterprises, 20 in-depth case studies and interviews with human resource experts in 10 countries, this report analyses the main purposes of competence assessment, the standards and methods applied, the employee groups targeted and the way results are documented and used.
The average impact of training on employment is positive, but close to zero and statistically insignificant, which is much lower than either program officials or applicants expected. Over the first year after training, the paper finds that training had statistically significant effects on the quality of employment and that the positive impacts are stronger when training is offered by private providers. However, longer-term administrative data show that after three years these effects have also dissipated.
The Guidebook’s primary aim is to provide an overview of the main apprenticeship and traineeship programmes (‘what exists’) which have been in operation in each Member State in the period 2007-2012, with a particular focus on their employment outcomes and overall effectiveness.
The proven benefits of schemes which combine work and study and allow young people to acquire a first work experience have led to increased recent policy interest at both national and EU level. As a result, apprenticeships and traineeships have become more prominent in the EU’s employment and youth policies in recent years.
Latin America and the Caribbean. Great Teachers : How to Raise Student Learning in Latin America and the Caribbean
The book sets out the three priority lines of reform needed to produce great teachers in LAC: policies to recruit better teachers; programs to groom teachers and improve their skills once they are in service; and stronger incentives to motivate teachers to perform their best throughout their career. In every area, the book distills the latest evidence from inside and outside the region to provide practical guidance to policymakers in the design of effective programs and sustainable reforms.
Vocational education aims to prepare competent workforce for the needs of continuously changing work life. The challenge of Finnish school-based vocational education has been in creating such learning environments that promote learning professional knowledge demanded by work life. The research covers the role of Finnish vocational teachers’ authentic work placement periods in developing competences from the viewpoint of sociocultural learning. During the work placement period, a teacher furthers his or her competences by working in goal-oriented and planned ways in the work communities of enterprises or in the public sector of their fields. The purpose of the present qualitative case study is to increase the understanding of the role of authentic work placement periods in vocational teachers’ competence. Experiences of teachers representing different subjects were studied during their work placement periods. The results show that work placement period supports the development of teachers’ competences and provides prerequisites for work-based vocational education.
This report synthesizes information from across the case studies to analyze the extent to which these countries programs are meeting the needs of local entrepreneurs. It also introduces findings from global EET research to show how programs in the case-study countries relate to what is known about global practice in EET. From this synthesis, the report presents a set of key findings intended to illuminate how EET programs can be better aligned with local needs and promising EET practices globally.
This book analyzes skills demand and supply in the country and scrutinizes how skills are formed, what factors shape skills demand, and how responsive the system is. Also, this book offers suggestions for improving skills development so that Sri Lanka can meet its economic growth and poverty-reduction goals.
More than 1 million kids who have graduated high school in recent years have begun the pursuit of nothing: they are not working, not looking for work, and not enrolled in any further education. An additional 600,000, though searching for work, remain unemployed.
A respected American labour specialist says governments, educators and employers should work together to boost the number of apprenticeships for young Canadians in a collaborative approach that would yield “significant payoffs.
The study also asserts that apprenticeships aren’t just a route to jobs in the skilled trades, but could represent an option for young Canadians in a variety of fields and should become a common recruitment strategy for a wide range of industries and sectors.
Related report. Canada. Expanding apprenticeship training in Canada: perspectives from international experience
Using longitudinal data for Canada, the probability of participating in employer supported course enrollment for mid career workers and the wage impacts of those adult educational investments are analyzed. Probability of participation in employer supported course enrolment is increasing with age, job tenure and education, and is lower for visible minority workers. Using a parametric difference-in-differences model to minimize the effects of selection into training, we find strong positive effects of employer supported course enrollment on wage changes over time. The estimated effect ranges from 6.8 to 7.7 percent wage growth for men and 7.5 to 9.3 percent wage growth for women. When the linear specification of the outcome equation is relaxed and an empirical common support is implemented through semiparametric difference-in-differences matching methods, the average treatment effect on the treated estimates from the log wage change models were smaller in magnitude than the corresponding parametric estimates but were typically still statistically significant and in the range of 4.2 to 7.6 percent for men and 7.6 to 7.1 percent for women. An analysis of respondents’ health outcomes shows no clear relationship with participation in employer supported course enrollment.