Matching VET in Georgia with Labour Market Needs

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Matching VET in Georgia with Labour Market Needs

“The Mismatch-Study”German House Tbilisi, 08. July 2010

George Welton (GeoWel Research) &

Peter Wunsch (Private Sector Development Program Georgia)

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GTZ in Georgia

since 1992 Team: 78 8 programmes / 17 Mil. € (2010) 3 topics

Governance/Legal Reforms;

Biodiversity;

Private Sector Development

(with VET)

08. July 2010Presentation "Mismatch-Study"

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Private Sector Development Georgia

Private Sector Development

South Caucasus

C 3C 1 C 2 GeorgiaArmeniaAzer-baijan

Regional

a b c da b c d

a. Economic & Financial Policies b. Export Promotion

c. Food Safety d. Competition Policy

C1: Economic PolicyC2: Labour-Market orientated VET-PolicyC3: LRED

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C2: Labour market orientated VET-Policy

•Policy-Study•Costing-Study•(Budgeting)•Country-Analysis

•Round tables „VET-Financing Dialogue“

Makro

Meso

Mikro

Financing Matching Social dialogue

•Mismatch-Study

•„Sector Dialogue“ Meetings

•IDP-training on the job Gori

•Tourismus-Training Zugdidi

•(Dialogue-Study)•Flanking VET-

Strategy (Sector Comittees)

•Round tables „VET-Policy Dialogue“

•VET-competition „skills@work“

•PPP „construction“


Objectives

Identify mismatch between labour demand and VET sector provision

Look at the labour matching process Recommend ways to improve the

process



Methodology – Labour Mismatch

• VET Centre Provision– Quantitative analysis of national VET training provision– Interviews with VET Directors in Tbilisi, Shida Kartli,

Batumi, and Poti• Labour Market Needs

– Analysis of Primary Geostat data – Detailed review of existing skill needs analysis– Interviews with 96 businesses, 9 business

associations, 6 trade unions in key sectors– Review of recent survey by IOM in Shida Kartli



Methodology - Matching Strategy

Examined law and government policy Interviewed

Government Existing social partners Member of sector Committees VET Centers Possible social partners

Reviewed UK and Estonian VET systems for comparison



Existing Courses 2009/2010



A few are very good...



A few are less good...



Labour Market Needs: Standard Statistics


Integrated Household Survey

Business Survey


The Mismatch



Examination of the Matching Process

Government policy

Sector Committees

VET Centres



Government understands the problemPolicy already highlights key weaknesses:

• Provides no training opportunities for a number of professions

• Lacks a system for studying the labour market on a regular basis

• Has weak (or no) link between educational programmes of VET schools and regional demand

• Has weak social partnership generally



Sector Committees



At the VET Level lots going on:

Praktikums Business Advisory Boards Employment Centers Website Advertising and outreach to schools

But it is sporadic....



6 Areas for Improvement1. Use of data for identifying on-going mismatch

2. Improvements in Sector Committees

3. Assistance to VET Centres

4. Incentives for business involvement

5. Better coordination with international organisations and donors

6. Strengthened linkages between government and intermediary social partners



Area 1: Use of Data• Simplify and standardise collection of information

from VET Centres• Re-organise information to offer clearer macro

insights• Identify sub-sectors of interest to VET

– Get data on changing employment patterns– List companies by region that relate to each

sector/region• Conduct a small skills needs assessment jointly

with Geostat’s annual business survey



Area 2: Sector Committees Re-organise Sector Committees to reflect

categories of skill needs Use list of active businesses to identify likely

members Deepen engagement of intermediary social

partners Ensure minimal administrative and time

requirements on businesses Allocate funds to facilitate broadening of sector

committee responsibilities



Area 3: VET Centres• Help VET Centres identify businesses for praktikum

with a central list sorted and disseminated by region and skill

• Provide standardised and simplified procedure for engagement

• Act as a conduit for collaboration with large firms• Consider developing pilot for apprenticeships to

further involve businesses



Area 4: Incentives for Involvement

Engaging businesses is hard, but could become easier by:

• Offering income-tax breaks• Ensuring minimal demands on time and paperwork• Distinguishing levels of engagement and

understanding who is likely to engage at what level• Demonstrating with finances and government

involvement that VET is a priority• Imparting skills to VET trainees that are in demand

by business



Area 5: International involvement

• Huge amounts of time and money providing training to support development projects – particularly in agriculture

• Sustainability is a problem

But…• VET centers can offer institutional framework and

sustainability



Area 6: Use of intermediaries Strengthen connection of government and

intermediaries• Business associations• Employers associations• Trade unions• Professional associations

This is difficult everywhere but UK case suggests…• Needs to be sectoral• Needs clear pay-off• Needs to be realistic in the goals



3 immediate suggestions

List specific sub-sector information from GeoStat and talk to them about additions to the annual household survey.

Make new sector committees match skill categories. Use same skill categories for collecting information.

One extra member of the VET MoES team should be Manager of Business Relations.



Let´s face the challenge

Didi Madloba


Matching VET in Georgia with Labour Market Needs

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