Innovation in Continuing Training – the Irish Strategy

John McGrath

Research Manager

FAS – Irish Training and Employment Authority

Structure of Presentation

The Institutions in the Labour Market The Irish Education System Identification of Skill Needs VET Qualifications Framework The National Human Resource Strategy Conclusions: Strengths and weaknesses Key challenges

Irish Education System Overview

Post-Graduate - 13,600 awards

Higher Cert (2 yrs) and Ordinary Degree (3 yrs) – 16,000 awards

Honours Bachelor Degree (3-4 yrs) - 25,500 awards

Further Education & Training (1-4 yrs)

(VECs; FÁS; Teagsc; BIM; etc.) - 22,900 awards

Leaving Certificate (2-3 years)- 54,000 awards

Junior Certificate (3 years) - 57,400 awards

Second Level

Further Ed. and Training

Higher Education

Third Level

Key education facts

Second level almost all academic About 82% complete the Leaving Certificate Apprenticeship only covers 26 trades About 45% have only junior certificate Many students take post leaving courses

Institutions in the labour market (4 Key players)

Expert Group on Future Skills Needs Forfas FAS – Skills and Labour Market

Research Unit Economic and Social Research Institute

Expert Group on Future Skill Needs

Established in 1997

To advise Government on skill shortages

Reports to both Ministers of Enterprise Trade and Employment; and Education and Science

Tri-partite structure, employers, unions, Government

Administration Services provided by Forfas

In 2001 established its own in-house research resource

This is Skills and Labour Market Research Unit

www.skillsireland.ie

Forfas: the National Policy and Advisory Board for Enterprise, Trade, Science, Technology and Innovation.

Responsible for the development of economic policy

Co-ordinating the work of the development agencies (IDA Ireland; Enterprise Ireland)

FÁS – the Employment and Training Authority

Manages the Public Employment Services Apprenticeship system Skills Training Foundation-level training Provides non-commercial community- based

training for LTU’s Provides services for industry training Advises on labour market policies Conducts research

Training and Employment Resources

20 Training Centres

62 Employment Services Offices

External Contracted Training Services

2,300 Staff

81 Workshops supported jointly with Communities and

Departments of Education & Science and Justice, Equality & Law

Reform

Call Centre

The Skills and Labour Market Research Unit (SMLRU)

In 2001 Expert Group created its own in-house research team (SLMRU)

Set-up and maintain the National Skills Database

Conduct skill studies of economic sectors

Produce annual reports on skills supply and demand

Identify imbalances in the labour market

Conduct studies of economic sectors

Produce ad-hoc analysis for Government departments and Development Agencies

www.skillsireland.ie

National Skills Database

Electronic storehouse All nationally produced data Skills supply and demand

Structure of employment Immigration data All vacancies (public and private sources) Education enrolment, graduation Job-seeker activity

OccupationNumbers Employed

% Female

Part-time

% >55

% Non-

National

Growth rate

1999-2004

Work permit

sWork visas

DFV

2004

Replacement rate

Shortage indicator

Comment

Chemists 2,000 38% 2% 12% 4% 11% 13 1 3% Skill shortage F

Biological scientists 3,500 42% 5% 6% 0% 10% 4 1 5 3% Skill shortage F

Civil/mining engineers 8,900 9% 1% 7% 7% 7% 10 96 (32) 6 3% Skill shortage S,C,F

Mechanical engineers 3,600 6% 1% 9% 5% 7% 7 3 3% No shortage

Software engineers 8,600 17% 2% 1% 16% 8% 70 213 (61) 7 3% Skill shortage S,C,F

Chemical engineers 1,600 9% 0% 3% 5% 18% 2 3 3% Skill shortage S,C,F

Quality control engineers 2,300 26% 9% 9% 5% -6% 4 11 3% No shortage

Medical practitioners 11,800 36% 7% 13% 23% 12% 260 47 (15) 2 3% Skill shortage S,C,F

Pharmacists 2,500 50% 10% 15% 9% 3% 27 3% No shortage

Veterinarians 1,800 19% 2% 30% 2% 3% 2     3% No shortage  

All occupations 1,865,300 42% 17% 12% 6% 3% 3,552 1,454

Demand and shortage indicators: sample

SLMRU research output to date

Sectoral Studies Logistics industry (2002) Construction professionals (2003) Digital content study (2005) Paper, printing and packaging (2005) Basic Metals, Metal Fabricating and Transport and

Equipment Engineering Sub-sectors (work in progress) Quality of Management Skills in the Construction Industry

(work in progress) Construction (2003) Financial services (2003) Healthcare (2005) Financial services (2005)

Use of SLMRU research

Education provision New degree in logistics (Limerick IT) Third school of architecture (Limerick University) Financial advisors courses (FAS)

Immigration policy

Skills for inclusion in Visa/Authorisation scheme

Skills for inclusion on new green-card/work permit schemes

Career guidance

Information on employment trends

Location decisions for Multi-Nationals

Key Features of Skills Needs Identification Model in Ireland

Integrates the demand-side and supply of the labour market Involves both employers and unions Social partners decide work programme Has on-line access to all relevant and up-

date data Annual review of recommendations Recommendations must be implemented

Economic and Social Research Institute Major Private Research Institute in Ireland

Has developed macro-economic model of Irish economy (Hermes)

Produces regular commentaries on Irish economy

Has major influence with Irish policy makers

Provides sector output forecasts for the SLMRU

Institutional framework

Minister of Enterprise, Trade and Employment Minister of Education and Science

Expert Group on Future Skill Needs FÁS

Skills and Labour MarketResearch Unit

Economic and Social Research

Institute

Forfas, Consultants

The National Qualifications Framework

Key Features of NQF

Single integrated system Designed to facilitate Life-Long Learning Through systems-wide recognition of

qualifications Recognition of prior learning Promoting horizontal and vertical

progression routes Through a system of add-on

qualifications (minor awards and special awards)

Importance of Skills in Overall Enterprise Context

Source: Enterprise Strategy Group

World-class Skills, Education

& Training

• In general, Enterprise expresses satisfaction with the skills within the workforce, however, skill shortages exist in a number of sectors.

• High percentage of labour force with third level qualifications but also high level with lower secondary or below.

• There is poor participation in lifelong learning.

• There are poor levels of adult reading literacy although reading literacy amongst school children is good.

• Immigration has assisted in filling skills gaps, but also created fresh challenges for education and training providers.

Ireland’s skills performance to date

Profile of labour force in 2020 based on noadditional interventions

11%5%

17%

14%

28%

29%

12%

15%

12%

10%

20%28%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2005 2020

Perc

enta

ge

No formal/ primary Lower secondary

Upper secondary Post leaving cert

Third level: Higher certificate / ordinary degree Third level: Honours bachelor degree or above

The answer is NO!

• Ireland will still lag comparator countries in terms of percentage of the labour force with lower secondary education or below

• Supply will not meet demand for skills in 2020. There will be shortages at third and fourth level and an oversupply of lower level skills

• From an economic and societal perspective it is not desirable to have such a large cohort at or below lower secondary level

• Skills have the potential to shape the economy of the future and contribute to productivity and innovation

Will skills profile based on no additional interventions be good enough?

• The Expert Group proposes a vision of Ireland in 2020, possessing a well-educated and highly skilled population which contributes to a competitive, innovation-driven, knowledge-based, participative and inclusive economy.

• Specifically, the Expert Group proposes that, by 2020 48% of the labour force should have qualifications at NFQ

Levels 6 to 10; 45% should have qualifications at levels 4 & 5; the remaining 7% will have qualifications at levels 1 to 3 by

2020; and within this objective, Ireland should aim to build capability at

fourth level and double its PhD output (Level 10) by 2013.

Vision

Vision

28%

7%

40%

45%

32%

48%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Ireland's currentskills profile 2005

Vision proposedby EGFSN for

2020

% l

abo

ur

forc

e

Third & Fourth Level(Levels 6-10)

UpperSecondary/FurtherEducation (Levels 4,5)

Lower Secondary orbelow (Levels 1-3)

Increasing emphasis on Generic Skills Basic or fundamental skills such as literacy, using

numbers, using technology;

People-related skills such as communication, interpersonal, team working, customer-service skills; and

Conceptual skills such as collecting and organising information, problem-solving, planning and organising, learning-to-learn skills, innovation and creativity, systems thinking

Changing Skills

Within Occupations There is likely to be demand for an:• Increasing Breadth of Knowledge• Increased Share of Knowledge Work / Reduced Share of Routine Work• Rising Qualification and Technical Skill Requirements• Importance of Continuing Learning• Significance of Regulation • Skills for Dealing with Others

• Management Level Skills• Sales and Marketing Skills• Language Skills• R&D

Enterprise Skills

Changing Skills

1.45m

From the current labour force of 2m

650,000

New flow of young people from the education system

300,000

Increased participation & Migration

2.4m

Labour force

Labour force in 2020 will be made up of :

Labour force

+

+

Within the current workforce, an additional 500,000 people need to be upskilled through either education or training

Upskilling the workforce

Level 1/2 Level 3 Level 4/5 Level 6/7 Level 8/9/10

J unior Cert Leaving Cert Advanced Cert /

Ordinary Degree

Honours Degree or

Above

Level 1/2 70,000

Level 1/2 9,000

Level 3 250,000

Level 3 1,000

Level 4/5 140,000

Level 4/5 30,000

Level 6/7 4,000

Within the formal education system:• The retention rate to Leaving Certificate should reach

90% by 2020 (current rate 82%)

• In 2020, 94% of the population aged 20-24 should have a second level qualification (current rate 86%)

• The progression rate from second to third level should increase to 72% by 2020 (current rate 55%)

Formal Education

• Immigrants need to be integrated into the education and training system at all levels

• English language supports need to be put in place

• The recognition of international qualifications is key to maximising the contribution of immigrant labour

Migrant Skills

Education and training up to level 5 should be funded by Government for those currently without qualifications at this level.

Education and training from level 6-10 should be funded in a tripartite arrangement between employers, employees and Government.

New models required to incentivise employers and employees to engage in training and education.

Endeavour to move to a system that is more enterprise and employee led, away from a provider driven model.

Guiding Principles

Increase evaluation of education and training initiatives.

Increase awareness of value of education and training.

Increase emphasis on careers guidance and disseminating labour market information.

Increase emphasis on course accreditation and recognition of prior learning.

Co-ordinated approach to implementation is of paramount importance.

Guiding Principles

For more information visit:

www.skillsstrategy.ie