Showing posts with label OECD Skills Strategy. Show all posts
Showing posts with label OECD Skills Strategy. Show all posts

Wednesday, 1 April 2015

Skills will drive inclusive economic growth in Portugal

by Andreas Schleicher
Director, Directorate for Education and Skills

Skills and human capital are the bedrock upon which Portugal is building a new bridge to growth.

Portugal is recovering from the most serious economic and financial crisis the country has experienced in recent history. The reform agenda over the past few years has been ambitious, comprehensive and challenging.

Awareness is now growing among policy makers, employers and households that Portugal’s future economic and social well-being will depend upon securing equitable and high-quality education and jobs while promoting innovation and entrepreneurship.

Portugal is on the road to recovery

Signs of Portugal’s recovery can be seen across the board. Youth unemployment and long-term joblessness rates are falling, even if levels remain too high. Job creation is picking up, and the majority of new jobs created in 2014 were on permanent contracts, which is a good indication that Portugal’s longstanding labour market dualism has been reduced by recent reforms. Educational attainment levels and learning outcomes are rising steadily, as reflected in Portugal’s PISA scores which now approach the OECD average. Measures have been introduced to stimulate entrepreneurship, and in 2014 Lisbon was selected as one of the European Entrepreneurial Regions (EER), in recognition of its strategies to promote entrepreneurship and spread innovation among small and medium enterprises (SMEs).

Building a shared diagnosis of Portugal’s skills challenges 

We know that in countries where a significant proportion of adults have poor skills, it is difficult to introduce productivity-enhancing technologies and new ways of working. This, in turn, stalls innovation and improvements in living standards.

Yet skills affect more than just earnings and employment. Data from the Survey of Adult Skills (PIAAC) show that in all countries, adults with lower literacy proficiency are far more likely than those with better literacy skills to report poor health, to perceive themselves as objects rather than actors in political processes, and to have less trust in others.

Put simply, a lack of proficiency in foundation skills prevents people from fully participating in society and democracy.

In the course of 2014, we have worked closely with Portugal on a collaborative project to build a more effective skills strategy. Throughout this initial diagnostic phase, we have witnessed strong commitment to improving Portugal’s skills outcomes across central and local governments, employers and trade unions, as well as education and training providers.

Today, the results of this work are published as the OECD Skills Strategy Diagnostic Report: Portugal. The Prime Minister of Portugal, Mr Pedro Passos Coelho, will be officially launching the report in Lisbon together with the OECD Secretary-General, Mr Ángel Gurría. This is a strong signal of the importance afforded to skills policies in Portugal.

Portugal’s 12 skills challenges

The diagnostic report applies the framework of the OECD Skills Strategy to identify 12 skills challenges for Portugal as it seeks to maximise its future skills potential. These skills challenges were distilled from a series of four interactive workshops held in Lisbon and Porto in 2014, which engaged a wide range of stakeholders. The report includes a rich set of evidence from OECD and other sources, and offers concrete examples of how other countries are tackling similar skills challenges.

So what are the main skills challenges facing Portugal today?

With regard to developing relevant skills, the report concludes that Portugal should focus its efforts on:
- Improving equity and quality in education
- Strengthening the responsiveness of VET to labour market demands
- Targeting adult education and lifelong learning towards the low-skilled

When it comes to activating its skills supply, Portugal will need to tackle the challenges of:
- Reducing youth unemployment and NEETs
- Increasing labour market re-entry for the long-term unemployed
- Reducing barriers to employment

Furthermore, Portugal could make more effective use of the skills it has by: 
- Promoting entrepreneurship
- Stimulating innovation and creating high-skilled jobs
- Providing employers with incentives to engage in skills development, especially SMEs

Finally, Portugal could improve the overall governance of the skills system by: 
- Financing a more equitable and efficient skills system
- Adjusting decision-making power to meet local needs
- Building capacity and partnerships for evidence-based skills policy

Moving from diagnosis to action 

Taken individually, these challenges may not be new or surprising to the people of Portugal. Yet by laying them out side by side, the need for a more systemic approach to skills policies emerges clearly.

As the diagnostic report demonstrates, skills policies are not just a matter for one ministry. Tackling skills challenges requires a whole of government approach. Moreover, skills are everybody’s business. Stakeholders and civil society need to play an active role in developing and implementing skills policies that are sustainable over the long term. 

By bringing together stakeholders, ministries and agencies to map out Portugal’s skills challenges, this project has built shared insights and deeper mutual understanding. The next step for Portugal will be to decide which challenges should be tackled as a priority and to develop concrete plans for action. This will mean building on the many reforms already underway and the continued engagement of all skills stakeholders.

Skills and human capital are the bridge to a more inclusive and prosperous future for the people of Portugal. The OECD stands ready to support Portugal as it designs and implements better skills policies for better jobs and better lives.

Photo credit: The 25 de Abril bridge over Tagus river and big Christ monument in Lisbon at sunset, Portugal/ @Shutterstock 

Related blog posts on skills:

Wednesday, 3 April 2013

Skills for the digital economy

by Simone Stelten
Consultant, Skills Beyond Schools Division, Directorate for Education and Skills
Digital economies are powered by skills. People with the high-end skills needed to invent and apply new technologies are in high demand the world over. At the same time, the portfolio of basic skills needed to navigate technology-rich environments and function effectively in our connected societies has expanded.

How severe is the shortage of ICT skills? And what needs to be done to fill the gaps?

Today, 6% of total employment in OECD countries consists of ICT-specialists and ICT-intensive occupations account for more than 20% of all employment. OECD data on Key ICT Indicators shows that countries differ considerably in the share of ICT-intensive employment, ranging from high levels such as 35% in Luxembourg or 28% in the UK to 15% in Portugal and Greece or 11% in Turkey (data for 2010). Growing skills shortages have become a global concern. The Manpower Talent Shortage Survey 2012 puts IT positions at number 5 on the global list of top 10 jobs that employers are having difficulty filling. Only three years ago, IT professionals did not even feature on this list.

Across the OECD the supply of higher education graduates from ICT-related study fields has stagnated or even declined. The share of all STEM (science, technology, engineering and mathematics) graduates declined from 22.7% in 2000 to 20.4% in 2010, indicating a long-term stagnation of the supply from highly demanded science and technology oriented fields. The share of computer science graduates among all graduates has stagnated at around 3% since 2000 (OECD data). Even in the United States, the homeland of computers, the share of computing graduates declined from 4.3% in 2005 to 3.1% in 2010. Similar declines in recent years can be observed in many other countries, including the UK and Germany, pointing towards a risk of ICT skills shortages in many OECD countries.

So what can employers do to fill the skills gap? The study “Building Competitiveness and Business Performance with ICT” from the business school INSEAD shows that firms, which operate in the ICT sector, need to combine the right ICT investments with strong technical talent to be competitively agile. Through the Grand Coalition for Digital Jobs employers have developed EU-wide initiatives, such as an online learning platform for ICT practitioners or open online ICT courses for secondary school teachers. Companies such as SAP set up study-programs, Microsoft will increase the number of apprenticeships and internships by 50% over 3 years, and Hewlett-Packard plans to train 500,000 IT-professionals globally by 2015. Clearly, government policy makers could do more to engage employers in meeting the skills challenges facing high value-added sectors.

What about ‘everyday ICT skills’? Survival in a digital economy now demands higher-level cognitive skills for understanding, interpreting, analysing and communicating complex information. The results of the OECD Survey of Adult Skills (PIAAC), to be published on 8 October 2013, will provide unique comparative data on the basic skills of adults in literacy, numeracy and problem solving in technology-rich environments. How to foster those skills effectively is the subject of another recent OECD report on Connected Minds: Technology and Today's Learners.

Tackling the ICT skills challenge will require new thinking and efforts to reach beyond ministerial silos and build partnerships with businesses, entrepreneurs and teachers. With its ‘whole-of-government’ approach to developing more effective national skills strategies, the OECD Skills Strategy offers a concrete roadmap for the future.

Links:
OECD Skills Strategy
OECD Survey of Adult Skills (PIAAC)
OECD data on Key ICT Indicators
Connected Minds: Technology and Today's Learner
Photo credit: Future technology / Shutterstock

Tuesday, 20 November 2012

Skills on Show

by Joanne Caddy
Senior Analyst, Skills Beyond Schools Division, Directorate for Education
Upon entering the vast hall, I was first struck by the quiet concentration etched on the contestants’ faces amidst the hustle and bustle. Here gathered Britain’s best young professionals – each one determined to prove their skill as tile-layers, electricians, plumbers, make-up artists, web designers, IT technicians, mobile robotics designers and landscape gardeners. Each one going for gold at the UK Skills Show, held annually as part of WorldSkills International  to celebrate skilled young people and recognise the ‘skills stars’ of today and tomorrow.

Earlier that day, in a far smaller room, another group of people had been equally intent in exploring the other side of the skills equation.

In his opening address to the UKCES-OECD international workshop on “Employer Ownership: Strengthening Partnerships to Enhance Skills Investment”, the UK Minister for Skills, Matthew Hancock MP underscored the urgent need to upgrade Britain’s skills against the backdrop of the global race to develop and deploy the talent needed in an innovation-driven economy. In launching the second round of the Employer Ownership of Skills Pilot, he called upon businesses to form partnerships and put forward ambitious and transformative proposals which use public funds to leverage private investment and deliver training more attuned to the needs of both businesses and people. For Minister Hancock this investment of £250 million is worth every penny, because “skills bring a better job for the individual and a job done better for the employer – but also for society.” Having kicked off the workshop, he then headed off to tour the Skills Show himself and try his hand at one of the many “Have a Go” sessions.

Meanwhile, back at the workshop a great line-up of speakers shared their tips on how to build solid skills partnernships in practice. Jaguar Land Rover took about two years to build a network of universities to deliver targeted courses for their staff as part of their Technical Accreditation Scheme – an effort which was described as: “even harder than building great cars”. Credit Suisse now offers 750 apprentices in banking and IT systems, adopting a “just-in-time” learning concept where: “you learn what you need in practice, and then you practice what you learned at your workplace.” In The Netherlands, the newly established Foundation for Cooperation between Vocational Education, Training and the Labour Market (SBB) brings together employers, government and vocational education and training (VET) institutions to jointly develop VET qualifications, work placements and career guidance.

The OECD Skills Strategy provided a useful framework for the lively small group discussions which followed. They delivered concrete priorities for action, such as: changing the funding system to drive behaviour; strong leadership among small and medium-sized enterprises (SMEs) to ensure their skill needs are met; and building a sustainable skills system through strong partnerships between business, government and other stakeholders. As our team leading the OECD Skills Beyond Schools country reviews could confirm, few, if any, of the issues raised during the workshop are unique to the UK, but are to be found in many other OECD countries.

Strengthening national skills systems may take sustained efforts, but much is at stake. Judging by the young contestants at work in that huge hall last week, our future is in very skilled hands indeed.

Links:
OECD Skills Strategy
skills.oecd.org
OECD Survey of Adult Skills (PIAAC)
OECD Skills Beyond Schools
Slideshare presentations on skills
Photo credit: Make-up artist/Shutterstock