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Strengthening skill use and school-to-work transitions

Strengthening skill use and school-to-work transitions . OECD Economic Survey of the Czech Republic 2014. Key messages. Moving up the value added chain requires new set of skills Growth depends on an education system that adjusts to changes in labour market needs

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Strengthening skill use and school-to-work transitions

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  1. Strengthening skill use and school-to-work transitions OECD Economic Survey of the Czech Republic 2014

  2. Key messages • Moving up the value added chain requires new set of skills • Growth depends on an education system that adjusts to changes in labour market needs • There are unemployed skills that could be put to effective use

  3. PART 1 Education

  4. Education / school-to-work transition challenges: • Learning outcomes are declining: • Performance in PISA has deteriorated • The share of low achievers has increased • Students with VET are faced with: • Little demand for their skills • Or with skills that are not suitable • Quality concerns in fast expanding tertiary education: • Higher intake in the public system • The emergence of private institutions

  5. Student performance is strongly influenced by socio-economic status Source: OECD PISA 2012 Database.

  6. Declining Educational Performance • Related to strong selectivity in the education system • Streaming • Early tracking • Low transferability between tracks • Selectivity reinforces students’ socio-economic background • Leaving many students behind • Without raising average performance • Selectivity has negative effects on: • Labour market prospects • Human capital accumulation

  7. Policies: Provide a solid skill foundation by avoiding selectivity in education • Expand early childhood education • Eliminate early tracking • Avoid streaming into special needs schools • Increase transfer possibilities between tracks • Improve teaching quality • Use standardised national tests to introduce school benchmarking

  8. Poor match between fields of study and work branches in VET Source: National Institute for Education.

  9. Challenges in the VETSystem: • Unlinked from the labour market • Limited use of workplace training • Fragmented involvement of social partners • Concerns about quality of general education, particularly in apprenticeships

  10. Policies: Improve the match between VET and the labour market needs • Increase participation of private employers • Introduce a contract between apprentices and their employers • Stimulate workplace training for difficult-to-place students via subsidies to firms • Link school financing to labour market developments • Improve the quality of general education to reduce drop-out rates in apprenticeships

  11. Tertiary Education: Challenges • To reach the OECD average, current high intake needs to be sustained • Increase in student intake rose faster than financial resources • Concerns regarding diverging quality standards in private and public HE institutions • Weak connections with the private sector

  12. High returns on tertiary education Source: OECD Education at a Glance and National Accounts Databases.

  13. Policy: Secure quality in tertiary education • Introduce output based accreditation criteria (focus also on the quality of universities’ output) • Strengthen the links with the private sector and foreign research networks • Increase resources: student fees with grants and income-contingent repayment loans • Support student choices with labour market outcome information

  14. PART 2 Labour Market Issues

  15. Challenge: Make more effective use of existing resources and skills • Youth and low-skilled unemployment • Much higher than the national average • Low Female labour market participation • Gender employment and wage differentials are large • Strong work disincentives for mothers with small children

  16. Policy: Promote youth and activate low-skilled employment • Secure training for unskilled youngsters via subsidies or a youth minimum wage linked to training • Provide sufficiently long work place training to secure strong skills acquisition • Focus ALMP resources on clearly identified target groups and establish performance targets • Improve monitoring of active labour market programmes

  17. Female Labour Market Participation Impact of motherhood on employment Source: Eurostat.

  18. Policy: Support family and working life choices • Provide an adequate supply of affordable and high quality early childcare facilities • Reduce maximum duration of parental leave • Turn part of the parental allowance into vouchers • Condition allowances on fathers’ participation • Increase opening hours of early child care facilities

  19. Thankyou! Děkuji!

  20. Occupation and education are changing

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