copy the linklink copied!Annex A. Country case studies
copy the linklink copied!Austria
Reform context
Institutional context: Adult learning provision in Austria is diverse. It covers public provision, i.e. evening schools, schools offering higher qualifications for skilled workers, universities, universities of applied sciences, as well as commercial and non-profit provision. There is a strong learning culture in companies, according to stakeholders interviewed, and the majority of adult learning takes place there.
Austria is a federal state. Responsibility for adult learning is shared between the federation and nine federal states, with the need to coordinate. Most generally, the Federal Ministry of Education, Science and Research holds the responsibility for promoting adult learning and the award of funds. Legally regulated qualifications also lie in the responsibility of the federal Ministry of Education, Science and Research, non-regulated qualifications are handled in a decentral manner by providers. The Federal Ministry of Labour, Social Affairs, Health and Consumer Protection is in charge for labour-market related qualifications through the Public Employment Service Austria.
In the period under observation, there has been a flurry of initiatives to professionalise, as well as increase transparency and quality in adult education. In 2011, legal foundations were laid for the cooperation and co-funding of adult education by the federation and the federal states. Any reform measures should be seen in this wider context. Many stakeholder interviewed emphasised that not one single measure was responsible for the increase in adult learning participation, the combination of multiple measures in this time.
Economic context: Growth in adult learning participation in Austria is relatively consistent over time and seemingly independent of the economic context. Stakeholders interviewed suggested that adult learning policy in the past 15 years in Austria must be seen as taking place in three distinct economic phases: a pre-crisis period, a crisis period and recovery and stabilisation. Between 2000 and 2008, the Austrian economy grew by an average of 2.3% per year. Growth was relatively stable, apart from a slow-down in 2002/2003, when it dropped to 0.9% due to low domestic demand and geopolitical instabilities. The country feel intro recession in 2009, when the economy contracted by -3.8%. After a period of brief recovery in 2010-2012, economic growth dropped to 0% in 2012. Since then, it has slowly returned to successively increasing growth (all data OECD.stat).
Unemployment and employment rates are seemingly decoupled from these economic developments. The lowest employment rate in the time under observation was observed in 2004, when it sharply dropped to 66.5%. It then rose to 70.8% in 2008 and registered only a small drop during the time of the deepest recession in 2009 to 70.3%. It has since then hovered around the 71% mark, but from 2016 grown again to 73%. Unemployment rates are traditionally low in Austria. In the past 18 years, peaks were recorded in 2005 (5.6%), 2009 (5.3%) and 2016 (6%). Latest data from 2017 sees the unemployment rate at 5.5%.
Austria has seen relatively limited structural change in the past 10 years, according to the PAL dashboard (http://www.oecd.org/employment/skills-and-work/adult-learning/dashboard.htm) (Lilien index). In 2001, 28% of people were employed in manufacturing, which decreased to 22% in 2015. By contrast, the employment share in the service industry increased from 68% to 74%. Employment in agriculture remained stable at 4%, according to data from Statistics Austria.
copy the linklink copied!Estonia
Reform context
Institutional context: In Estonia, the responsibility for adult learning is split between different ministries. The Ministry of Education and Research is responsible for planning adult learning policy (including skill anticipation and assessment), law making and ensuring that adult education policy is purposeful and sustainable (Eurydice[18]). According to the Adult Education Act, the Adult Education Council advises the Ministry on issues of adult learning. It is composed of representatives of ministries, education institutions, social partners and other relevant stakeholders (State Chancellery and Ministry of Justice, 2015[19]).
The Ministry of Social Affairs defines the legal framework for education and training, as well as advice and guidance services to the unemployed and at risk groups. Eesti Töötukassa (the Estonian Unemployment Insurance Fund, EUIF) implements activities. When it comes to workplace training, the Ministry of Economic Affairs and Communications takes responsibility for creating the framework for employee training in companies. Finally, other ministries, such as the Ministry of Rural Affairs and Ministry of Environment, fund education and training initiatives in its area of responsibility.
Providers for adult education include: i) upper secondary schools for adults and departments of non-stationary studies in general education schools: provide basic and general secondary education; ii) VET institutions that are state, local government or company run: provide different levels of VET qualifications; iii) higher education institutions that provide specific and non-specific training for adult learners; iv) a variety of public educational institutions, private provider and local government institutions provide non-formal learning opportunities.
Estonia joined the EU in 2004, the OECD in 2010 and the Eurozone in 2011.
Economic context: Between 2000 and 2007, the Estonian economy grew steadily and strongly by an average of 7.9%. However, the financial crisis in 2008 had a strong impact on the Estonian economy, sending the country intro recession in 2008 and 2009, with a 14.2% GDP decrease in 2009 alone. The economy recovered quickly, returned to growth in 2010, and has since then grown at rates between 7.5% and 2.0% (all data OECD.stat).
In line with this, unemployment and employment rates in Estonia have fluctuated. Starting from a high unemployment rate of 14.5% in 2000, this dropped to a low of 4.6% in 2007, before shooting back up to 16.7% in 2010. Since then, the rate has slowly, but steadily recovered to 5.8% in 2017. Likewise, the employment rate increase from 60.3% in 2000 to 70.1% in 2008, before dropping sharply to 61.3% in 2010. Since 2015, it has exceeded its pre-crisis values and stands at 74.8% in 2018.
In the same period, Estonia underwent a profound change of its industrial structure. Employment shares in the primary sector and secondary sector shrank from 6.7% to 3.3% and 33.0% to 29.7% respectively between 2000 and 2018. Employment in the tertiary sector increased from 60.2% to 67.2%. According to the PAL dashboard (http://www.oecd.org/employment/skills-and-work/adult-learning/dashboard.htm) (Lilien index), Estonia is within the top 10 of countries having experienced the largest transformation of their economic structure between 2005 and 2015 (OECD, 2019[20]). Interviewees highlighted that Estonia underwent an even more radical restructuring prior to this in the 1990s and early 2000s, given that in the early 1990s approximately 20% of Estonians still worked in the primary sector and around 37% in the secondary sector. This implies that there are large shares of the labour force that were trained for a very differently structured economy.
It is notable that the growth rate of adult learning participation has been particularly high in times of economic certainty in Estonia. According to interviewed stakeholders, this is due to the fact that secure employment and a positive economic outlook, allows Estonians to retrain for ‘passion projects’ or to follow long-hedged dreams. Other stakeholders provided an alternative explanation by suggesting that government spending was drastically reduced in recession times, leading to a stagnation in training participation.
copy the linklink copied!Hungary
Reform context
Institutional context: Adult learning in Hungary is typically understood in a two-fold way: adult education (adults in the initial education system) and adult training (can be formal or non-formal). Provision of adult education is entirely public, while adult training is provided by a variety of public, commercial and non-profit organisations. Legal, institutional and financing conditions of the adult education system were developed from 2001 and the following decade was characterised by convergence to EU norms and recommendations. (Farkas, 2013[29])
Over the past 10 years, the government has strongly focused on vocational education. The responsible Ministry for adult education and training activities has been changed four times and the number of people working on the topic have been reduced. However, due to the EU accession vast amounts of ESF funds were available for strengthening lifelong learning. According to interviewees, the availability of these funds is behind the significant increase in participation in adult education. Just between 2013 and 2015 three different ESF funded adult education programmes delivered training each to more than 100 000 individuals (around 2% of the adult population). However the financial sustainability of these large programmes is questionable, while their impact on employability is limited (Századvég and E&Y, 2016[30]).
Economic context: Transition to a market economy, which caused strong structural change solidified during the 2000s. The financial crisis hit the country hard due to its openness and the high share of debt denominated in foreign currencies. GDP contracted by 6.6% in 2009 and unemployment rose to 12%, particularly among youth. The economy rebounded in 2013, GDP as well as inward foreign direct investment steadily increased. This expansion led to labour shortages across all skill-levels, and specially the high skilled, as emigration trends to other EU countries also accelerated over the past decade. The development was also characterised by strong regional inequality.
Since the transition, the country had high levels of inactivity and long-term unemployment. In the disadvantaged regions low growth traps emerged with low skill levels of the population paired with few employment opportunities. The government introduced the Public Work Programme in 2011 to decrease unemployment and inactivity of the population. It provides a monthly allowance for low skilled individuals in exchange for 6-8 hours of work daily mostly for the local municipality. (Farkas, 2014[31])
copy the linklink copied!Italy
Reform context
Institutional context: The central government in Italy has exclusive legislative authority on the general organisation of the education system including staff, quality assurance, minimum standards and general dispositions. There is, however, no national framework law on adult learning. Public policies are defined and implemented by various ministries, in particular the Ministry of Education, University and Research (MIUR) for the provision of basic skills and education to adults, and the Ministry of Labour and Social Affairs for all other forms of training. Regions have authority over the supply of adult and vocational training courses through accredited agencies, but have to operate in coordination with the two ministries above. A National Observatory on Adult Learning (Osservatorio Nazionale sulla Formazione Continua) was established by the Labour Ministry in 2003 to enhance cooperation among stakeholders including regional institutions, but the Observatory’s mandate was not renewed after the first three years.
Significant changes to the governance of training programs were introduced in 2016, with the ratification of the labour market reform law “Jobs Act”. The Law created a new National Agency for Active Labour Market Policies (ANPAL), designed to provide incentives for the unemployed to retrain and upskill in order to meet the needs of the labour market. The Agency was supposed to centralise the delivery of active labour market policies, but the reform was rejected by a national referendum in December 2016. The competence over active labour market policies remains therefore shared between ANPAL and the Region. As the reform took place outside the period of main interest for this study, it was not made the object of special analysis.
Economic context: Labour productivity growth has been decreasing since the beginning of the ‘90s and has turned negative as of 2004, mainly driven by negative growth in total factor productivity (OECD, 2017[44]). Profound regional disparities persist, with Italy displaying the highest regional dispersion in productivity among all considered OECD countries in 2018 (OECD, 2019[45]).
The proportion of 15-29 year-olds who was not in employment, education or training reached its lowest point in 2008 (20%), but always exceeded the OECD average between 2000-2015. Since the Great Recession, the same rate increased again reaching 27% in 2015, against an OECD average of 15% (OECD, 2018[46]). The unemployment rate improved considerably until 2007, but has since picked up again and attested itself to 11% in more recent years. 59% of the unemployed in 2015 were long-term, contrary to 43% in France or 15% in the United States (OECD, 2019[47]). Lastly, the population is steadily aging: the proportion of individuals of age 65 and more increased from 17% in 2000 to 24% in 2015 (OECD, 2019[45]).
Public expenditure on educational institutions in Italy declined by 14% between 2008 and 2013, contrary to a less than 2% reduction in expenditure for other public services (OECD, 2017[48]). 7.9% of public spending financed education in 2014, the lowest in the EU27 plus UK (average at 10.2%). 18% of Italian 18-24 year-olds drop out of school before completing upper-secondary school, against an EU average of 13%.
Information on consolidated public national expenditure on adult learning policies is not available, but information on selected measures can be found in the registers of the different central and regional administrations involved. The lack of consolidated information reflects the fragmentation of responsibilities across institutions, and the variety of public support instruments available.
While the participation rate of 25-64 year-olds to lifelong learning activities increased significantly in the last 15 years, regional disparities between the performing Regions of the North and the less performing ones of the South remain and have increased over time. In 2016, among those who participated to training, 16% (out of 33.3% overall) were low qualified adults (ISCED levels 0-2), compared to 4.8% in 2007.
OECD (2018[49]) highlighted how Italy is enduring a “low-skill equilibrium”, where a large proportion of tertiary students graduates in fields of study which are in low demand by the market, while a high rate of job vacancies goes unmet because there are no suitable candidates on the market. Italy ranks at the top of the OECD distribution for its levels of skill- and qualification mismatch (Quintini, 2011[50]).
copy the linklink copied!The Netherlands
Reform context
Institutional context: In the Netherlands, non-formal education/training provision is private; only formal or initial education is publicly funded. This means that in the context of adult learning, the Dutch government has limited power to influence non-formal education and training provision. Within formal education and training, it should be noted that the Netherlands has a strong vocational education and training (VET) system with high graduation rates and relatively good labour market outcomes (OECD, 2016[57]). Particularly the dual VET track attracts some older workers who want to upskill, retrain, or receive a certificate for their acquired knowledge and skills.
Over the past decade, the responsibility of adult learning has moved between the Ministry of Economic Affairs, the Ministry of Social Affairs and Employment, and the Ministry Education. Between 2005 and 2010, a temporary ‘Project Directorate Learning and Work’ was created – a collaboration between the Ministry of Education and the Ministry of Social Affairs and Employment.
The Netherlands has a highly developed model of consensus-based decision-making, characterised by tripartite co-operations between employers’ organisations, trade unions and the government. Trade unions and employers’ organisations are united in the Labour Foundation (Stichting van de Arbeid), which has monthly meetings (as well as ad-hoc phone calls and drop-bys) with the Ministry of Social Affairs and Employment, in which the Labour Foundation can execute their advisory role in policymaking.
Several national experts place the observed increase in training participation in the Netherlands in the context of the increase of the legal retirement age. In 2010, the social partners reached a pension agreement about increasing the legal retirement age, which they followed-up in 2011 with a policy agenda (Beleidsagenda 2020) on how to keep the older population healthy, motivated and employable until they reach their (increased) retirement age. The agenda includes several social partner agreements as well as suggestions for accompanying government policy that are related to education/training participation of current and future older workers (Stichting van de Arbeid, 2011[58]). National experts argue that the increased legal retirement age, as well as the debate that led to it, increased the awareness among trade unions, employers, the government and the population that everybody needs to re- and upskill throughout their working lives in order to remain employable until retirement. The selected reforms are directly or indirectly linked to the policy agenda.
Economic context: The Netherlands has a thriving economic climate, with a GDP that is typically higher than on average in the European Union, the OECD or in its neighbouring countries Germany and Belgium, and unemployment rates are relatively low. Although the Netherlands was slightly less severely hit by the financial crisis than on average in the EU, it took longer to recover from it. Between 2010-2013, economic growth smaller than the EU and OECD-averages, and unemployment rates increased more rapidly than in neighbouring countries (from 2.8% in 2008 to 7.4% in 2014). However, from 2014 onwards, Dutch economic growth increased again and unemployment rates decreased compared to other countries, with a GDP growth of 2% in 2018 (above the EU and OECD-averages) and 3.9% unemployment (The World Bank Group, 2019[59]) (The World Bank Group, 2019[60]) (The World Bank Group, 2019[61]).
The Dutch workforce is characterised by a large share of people in non-standard work, especially part-timers (OECD, 2018[62]). Moreover, the prevalence of part-time work is increasing (Statistics Netherlands, 2019[63]). Between 2013-2017 (the policy window of the selected reforms), 500 000 to 700 000 people were unemployed (Statistics Netherlands, 2019[64]). Since mid-2014, most unemployed or long-term unemployed people are 45 years or older. Although this must in part be due to the ageing of the population, it may to some extent also because older workers find it harder to re-enter employment. Between 2013-2017, a total of 370 040 individuals aged 50+ entered unemployment benefits (Dutch Government, n.d.[65]).
copy the linklink copied!Singapore
Reform context
Institutional context: Having been ruled by the People’s Action Party (PAP) since 1959, Singapore has a very stable political climate. Singapore’s current adult learning policies appear to originate in the early 2000s, when the government introduced a national qualifications framework that guides public training provision (Workforce Skills Qualifications (WSQ)). Based on the outcomes from several councils that set out economic policy strategy (Sekmokas, 2019[73]), the CET Masterplan of 2008 was updated in 2013/14, with plans how to build a career-resilient workforce (Continuing Education and Training 2020 Masterplan (CET 2020)). In order to put the CET 2020 masterplan into action a council was created (SkillsFuture Council, currently known as the Future Economy Council), with members representing the government, industry, trade unions, employer associations and individual employers, educational and training institutions and research institutions. Late 2014, this council played an important role in the launch of the SkillsFuture movement.
Today, there is a vast amount of SkillsFuture initiatives, recommended by the Committee on the Future Economy, implemented by the relevant agencies and Ministries, and overseen by the SkillsFuture Council (see, e.g. (Lin and Low, 2017[74]) (Sekmokas, 2019[73]). Courses that can (partially) be subsidised through SkillsFuture initiatives range from courses at public initial education and training institutions (e.g. upper-secondary vocational schools or universities), to state accredited courses at public adult training providers (CET centres), as well as other state accredited courses from private or public education and training providers (e.g. SkillsFuture Series).
Economic context: Singapore’s economy is developing at an impressive rate. Whereas its GDP was well below the EU- and OECD-average until the mid-1990s, nowadays (particularly since around 2011), its per capita GDP is now outperforming many countries across the EU and OECD. Moreover, the country appears to be less severely hit by the financial crisis and recuperating from it faster than other countries. In addition, unemployment rates are relatively low (around 3.5-4% between 2010 and 2018) (The World Bank Group, 2019[75]; 2019[76]; 2019[77])
In the 1980’s/’90s, Singapore attracted (often low-skilled) immigrant workers to be able to keep up with the fast-growing economy. Nowadays, around 30% of the total population and 40% of Singapore workers is not a Singaporean resident (i.e. not a citizen and no permanent residency), and around 10% of the population is a permanent resident (Statistics Singapore, 2019[78]).
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