TORINO PROCESS 2014 AZERBAIJAN CONTENTS

TORINO PROCESS 2014 AZERBAIJAN CONTENTS Executive summary... 3 Introduction... 4 1. Vision for the national VET system... 2. Effectiveness and efficiency in addressing economic and labour market demand... 13 3. Effectiveness and efficiency in addressing demographic, social and inclusion demand... 14 4. Internal efficiency of the VET system... 15 5. Governance and policy practices in the VET system... 19 Annexes... 21 Acronyms... 22 References... 23

Azerbaijan 02

EXECUTIVE SUMMARY Text Azerbaijan 03

INTRODUCTION The Torino Process is a participatory review of progress in VET policy launched in 2010 by the ETF with the aim of enhancing the capacities of national stakeholders in assessing the progress of reform. The Torino process is carried out every two years. The objective of the Torino Process is to provide a concise, documented analysis of VET reform in each country, including the identification of key policy trends, challenges, constraints, as well as good practice and opportunities, in order to: support countries evidence-based policy-making, with a view to improving the contribution of VET to sustainable development and in particular competitiveness and social cohesion; serve as a basis for the design of the ETF s support strategy to these countries; inform the ETF s recommendations to the European Commission for EU future external assistance to the countries. Since 2010 Azerbaijan has participated in the Torino Process. The first time the report has been written by the European Training Foundation and discussed and validated by national stakeholders. The second 2012 Torino Report was a national update and revision of the 2010 report coordinated by the Ministry of Education that also included a new chapter on Governance that was developed by ETF. This time the Torino Process has been done with a self-assessment modality by the Azerbaijani stakeholders and fully written by the Ministry of Education, with inputs from the Ministry of Labour and Social Protection of Population and the Ministry of Economy and Industry. It not only reports on the progress since 2012, but includes information on many new national and international initiatives to support the reform of vocational education, draws lessons from the evaluation of the State Programme for Vocational Education 2007-2012 and provides elements of an emerging VET strategy for the future that builds on the State Strategy on the Development of Education in the Republic of Azerbaijan, approved by Presidential Decree on 24 October 2013. Azerbaijan 04

1. VISION FOR THE NATIONAL VET SYSTEM 1.1 Introduction to the VET system Vocational and Educational Training (VET) in Azerbaijan is the formal education coming after general education and involves the worlds of industry and work. Following the 9 th year of education, students can choose to proceed by either completing general secondary or by commencing vocational education. The length of study at vocational institutions is about 3 years depending on the program. There are 108 vocational education institutions in Azerbaijan; 104 of them are under the Ministry of Education, and 4 are under the Ministry of Education of Nakhchivan Autonomous Republic. There is also one private primary VET institution. Secondary vocational education, as a part of the system of continuous education operates in two forms: vocational schools and vocational lyceum. Students admitted to vocational schools have the right to follow initial vocational education, whereas those admitted in vocational lyceum possessing a secondary education certificate have the right to receive full secondary education (Certificate of Maturity or Matura) alongside with vocational education. The Certificate of Maturity provides the right of admission to university and it is considered as grounds to receive further education. Academic length is 1, 2 or 3 years in primary vocational schools and short term courses last 3-6 months. Starting from 2014 the State Students Admission Commission of Azerbaijan (an independent body) conducts centralized school leaving examinations for all pupils graduating from secondary general education institutions. Post-secondary vocational education is offered in relevant structures subordinate to universities and independent colleges and is completed as a sub-bachelor specialty degree (comparable to level 5 of the EQF; post-secondary VET or short cycle HE). There are 59 colleges which are direct providers of post-secondary VET. The length of study is about 3 years depending on the program. There are 61,053 students in public and 2,109 students at private institutions. 27,890 (51.5%) students pay fees for education (AZSTAT source). There are also colleges under the responsibility of other ministries. These are Mingachevir Tourism College under the Ministry of Youth and Sport and 10 colleges under The Ministry of Health, located both in Baku and in the Regions. There is also the Baku Business and Cooperation College under the Azerbaijan Cooperative Union and the Art College under the Azerbaijan Painting University. The education programs of these institutions are approved by the Ministry of Education; however, the coordination and supervision of their activities are the responsibility of the ministries and related bodies themselves. A credit system has been implemented in secondary professional education since 2014. New education programs have been developed for 115 qualifications and were approved by the Ministry of Education. However, curricula are developed not using occupational standards, as no regulations are in place concerning their use. Based on lessons learned, it has been decided to establish more education complexes within universities in the future. Colleges are using facilities, equipment, labs and other resource of the universities as well as this creates opportunity benefits for the teachers in training students. This has a high influence on the performance of colleges and the quality of training. These teachers help also in curriculum design, overviews of text-books and other methodological materials. Links between colleges and companies are ad-hoc with a limited number of examples. Such example includes the recently started cooperation with Baku Shipyard Company to prepare workforce for the labour market, especially in shipping industry. The initiative was to provide support for colleges to host interns, to provide modern equipment and create labs at the colleges. The legislation in this sphere has not changed and therefore, the concept still exists in principle. However, respective regulations have not been enforced due to the fact that admission to higher Azerbaijan 05

education institutions is managed by the State Students Admission Commission through centralized examination. Therefore, according to Article 26.2 of the Law on Education and Regulations for Admission to Higher Education Institutions on the basis of Full Secondary Education and to Secondary Specialized Education Institutions, students can enter higher education institutions through exams carried out by the Commission. Regulations for using credits for the sub-bachelor degree in awarding a bachelor degree are being prepared by the Ministry of Education. They are expected to be approved by the time the first graduates of the sub-bachelor degree studying with the credit system will graduate from the colleges. For some specialisations students (used to be able or can) enter college after completion of 9 years of secondary education, in which case the duration of the studies is 4 years; in most cases students can enter post-secondary education after 11 years of education. In order to continue to higher education students must pass the university entrance exam which is organised by the State Student Admission Commission (SSAC), however admission to the college is still organized by SSAC after the results of higher education admission exams have been announced (with the commission already being responsible for the final examination for full secondary education, this national university entrance exam could possibly disappear). Currently, Azerbaijan lacks a qualified workforce with the adequate skills and knowledge to meet the growing demands of the labour market. The number of graduates of vocational schools is significantly below the economic demand. Over recent years only 11% of general schools' graduates have chosen to go to vocational schools; showing the low interest and poor attractiveness of VET. In comparison to most European countries, access to higher education is also relatively low, at around 35% although the number of students has increased by 25% since 2000. As such, around 40% of graduates from secondary education enter the workforce without any workspecific qualifications, enter army service or do not take part in admission exams. Over recent years statistical indicators show low interest and poor attractiveness of VET: 7.7% of graduates from the 9 th grade and 5.8% 11 th grade choose to go to initial vocational schools (13.5% in IVET level). Also, 7% of graduates of the 9 th grade and 6% of graduates from the 11 th grade go to secondary professional education and are admitted to colleges (13% in post-secondary VET level). This is reflected in the World Economic Forum's Competitiveness Index, which shows that low skill levels in Azerbaijan have resulted in a shortage of administrative and managerial skills necessary for a modern market economy (AZSTAT source). Agencies providing services for further occupational training are central executive agencies, local government and private entities. State employment service provides training and career development trainings for unemployed and persons seeking jobs and VET centres opened in Baku, Goychay and Nakhichevan offer trainings for more than 70 professions. Each ministry has an annual budget line allocation for professional cadre development. Generally, these services are provided through centres under the State employment service, Teachers' institute under the Ministry of Education, vocational schools under ministries. (on the job training) can only be afforded by large corporations and firms, such as SOCAR, Azersun, BP and others with significant funds to accommodate such trainings, considering also the need for training to be conducted outside of the country. 1.1.1 Relevant policy initiatives outside the field of education that have an impact on VET reform The government of Azerbaijan in setting the Azerbaijan s future 2020 concept, and other large-scale initiatives has revealed its increasing attention in addressing the needs for a professional workforce and its supply to the economy. Although most of these efforts are not completely of systematic character, there are several particular projects that stem either from participation in international initiatives or are aimed at addressing particular economic needs emerging in a certain period of time. For example, the establishment of new vocational schools in two important touristic regions Ismayilli Azerbaijan 06

and Qabala and the renovation of 19 in these areas were followed by the announcement of tourism as an economic priority of the country in that period. Similar is true for ICT and other fields. There are also recent initiatives to improve the quality of vocational education. Efforts are being made to enhance the quality of training, to involve private sector in partnership with secondary VET institutions, including improving curriculum of occupations and infrastructure. An example is the Modern Azerbaijan Craftsmen Project which has been launched in 2013 covering 5 schools which is also expected to be expanded in the future. Also, the participation of private sector in curriculum design and role in specification of facility standards is not at satisfactory level. The Ministry of Labour is also working on establishing sectoral skills committees to involve the private sector in the design of occupational standards, and to establish the bridge between stakeholders, however, this is only at an initial level. Industry links with post-secondary VET institutions are much weaker than at the secondary level. Curriculum in post-secondary level is closer to higher education than VET. Notwithstanding these facts, the participation level of industry in curriculum design, link with institutions, pilot projects is very more visible in post-secondary VET than in secondary VET. In addition, there are projects which are aimed at enhancing the quality of teaching professionals in cooperation with GIZ, Rogaland Eduction and the Training Center. The proportion of cadres in teaching HR is changing at present as new professionals are recruited after examinations and retrained. The Ministry of Education of the Republic of Azerbaijan is experiencing an immediate need for the professional development of TVET school principals and other leadership staff to implement the key concepts approved within the State Strategy on the Development of Education. The current managerial staff lack vision and leadership potential to drive the change envisioned by the Department of the Technical Vocational Education. Establishing an adequate framework for the change is considered as the primary task. To achieve the change the Ministry of Education has established the Professional Training and Support Center to provide capacity building (training and support) for the current and future leadership of TVET schools. The main aim of the center is to increase leadership (managerial) potential of schools to improve quality of education which will provide adequate training courses for potential school principals and other management staff focusing on the particularities of TVET as well as other capacity building measures on curriculum development, assessment of occupational and educational standards, teacher development, labour market assessment and other key component of TVET. There is also the Rogaland Education and Training Center project which is going to be implemented with the Norwegian government. It is financed by Norway and 2MEuro has been allocated for the project. The project aims to establish a center which is up to international standards and industry demand, which will work on curriculum development, development of competency of managers and design of TOT programs. The table below shows that 55% of teachers and 56% of masters are over 50 years old. Age and education level of teachers and masters Until 29 30-39 40-49 50-59 60-64 65 or more Total 431 591 640 1,312 477 204 3,655 According to education level Azerbaijan 07

Higher education Secondary Professional Completed Sec/education IVET General Secondary Education Uncompleted General Secodary Educatipn Total 2,267 1,016 84 152 9 127 3,655 Age level of masters Until 29 30-39 40-49 50-59 60-64 65 or more Total 118 185 272 547 137 62 1,321 1.2 Vision for the VET system The field of Vocational Education and Training (VET) is a top priority area for the government of Azerbaijan since it is closely related to the socio-economic development of the country. The priority spheres of the non-oil development sectors such as tourism, IT, agriculture, construction require workforce development responding to labour market demands. Many strategic initiatives have been proposed at the state level for strengthening the vocational education system in order to contribute to the development of the economy and its diversification. Some examples for such initiatives are: Order of the President of the Republic of Azerbaijan, Ilham Aliyev on development of "Azerbaijan 2020, vision into the future" Development Concept, Order of the President of Azerbaijan, Ilham Aliyev, dated October 24, 2013, on "State Strategy for the Development of Education in the Republic of Azerbaijan", and Order of the President of the Republic of Azerbaijan, Ilham Aliyev on announcement of 2014 as the "Year of Industry". At the moment large-scale projects are being implemented in the country (i.e., "ShahDeniz-2" and South Caucasus Corridor project, as well as major construction and tourism projects) and there is a huge need to provide skilled workforce for these projects. In connection with the execution of the above-mentioned documents, utilization or taking advantage of experience of developed countries with strong industrial experience and training background is also necessary for effective implementation of such reforms. "Azerbaijan 2020: vision into the future" highlights the importance of the diversification of the economy and the need to develop non-oil GDP, which preceded the State Strategy for Development of Education. Measures are being taken to transfer the existing economy into a more developed and structured one through modernization of the oil-gas sector, the petrochemical industry the expansion of opportunities to use alternative and renewable energy sources, the development of the agrarian sector, the strengthening of food security, expansion and development of trade and types of services and the improvement of foreign trade and investment structure which are all priority spheres. By developing these spheres the target has been to raise the average pace of annual real growth in GDP in the non-oil sector by more than 7 percent. To achieve all of these, development of skills required by the labour market becomes an important issue, calling for vital reforms in the VET sector. The medium term vision for VET system development was formulated in the State Program for Development of Vocational Education in the Republic for Azerbaijan for 2007-2012. A new vision is being developed for 2015-2020. Feedback from principals, stakeholders and others has been collected and information has been analysed in order to cover all the issues and consider suggestions and interests of all the actors participating in the process. The State Strategy for Development of Education in the Republic of Azerbaijan, adopted in 2013, forms a long-term vision of education development, including VET. Also, international projects implemented in the VET are linked to the priority sectors such as: project in cooperation with the Swiss Azerbaijan 08

Government to developing Agriculture in VET, the MAP Project which covers tourism, construction, etc. and other initiatives with the GIZ, Japanese Embassy and BP are projected for upcoming years. Azerabaijan Republic State Strategy for Development of Education adopted by the President s Order of October 24, 2013 focuses on the development of competency-based education, development of a new management mechanism based on state-society and state-business partnership, creation of lifelong learning, up to date modern infrastructure, development of new financing mechanisms which are economically sustainable and meets standards, etc. These cover activities such as: a. Development of competence based training standards and curricula for initial vocational and secondary professional education in line with the needs of society; Creation of the state-business partnership system; Establishing regional universal centres which provide distance education; education and development services for gifted children or children with special needs; adult education; vocational education; and advisory services on education matters; Establishing modern equipped vocational training centres and complexes; etc. The strategy does not specify any particular sector, but only education. b. The strategy considers the VET system as one of the major components ensuring lifelong learning. c. This is specified for education in general, not specifically for VET. The action plan for the before mentioned Strategy has already been submitted to the Cabinet of Ministers for confirmation. Recognition of prior learning and the preparation of a related legal basis for this have also been addressed in the action plan although not highlighted in the strategy itself. Also, the action plan projects completing the work on the AzQF (Azerbaijani Qualification Framework), better research of labour market, coordination of activities with the Ministry of Labour and Social Security, building centralized data systems for the implementation of State Strategy. More regional complexes are planned to be established in cooperation with international partners in future as well as the employment of graduates, the coordination of the process and orientation service of applicants (graduates of the secondary general schools) are included in projected activities. With the Order of the President on the Appointment of a new Education Minister dated April 19, 2013 the administrative staff and organizational structure have changed at the Ministry of Education of the Republic of Azerbaijan. Mikayil Jabbarov replaced Misir Mardanov as Education Minister after 12 years and has started reforms in the whole education system, including VET. Firstly, the Department of Initial Vocational Education and Training has been merged with Secondary Professional Education and Training (Department of Initial Vocational and Secondary Professional Education) which means that now colleges are under VET no longer part of higher education. Cooperation with industry, the role of research and data, the services of the institutions, quality assurance and other issues are the focus of all reforms and now linked together within these 2 units. Also, in the educational complexes that are to be built in future, it is planned to include both levels of VET, for example, such as Korean initiative on VET. Strengthening of role of VET becomes more important now, so creating Vocational Education Development Agency in order to develop VET system and effectively coordinate with other stakeholders. 1.3 Capacity for innovation and change The government has prioritized to sustainably develop teachers and staff in order to meet the standards as well as to implement changes in the system. Training providers collect and report administrative data and issue annual reports, however; there are significant gaps in reporting systems, considering non-state providers do not report and lack of database systems. Information on graduate labour market outcomes for most schools is not reported publicly but remains for internal use. The monitoring of systems is not at an acceptable level but is observed through ad-hoc initiatives. Azerbaijan 09

1.4 Drivers of innovation and change Links do exist between VET schools and some training and research institutions, but these are not widespread. An example is the Institute for Educational Issues which provides support to schools through advice, training, curriculum design etc. They address school s needs also, if they have any issues concerning examinations, methodological aids, design of forms and documents related to the education process organization. However, the role of this institute as a research actor is not that developed. The Ministry of Education has a new approach to making changes in the VET system via pilot projects and by choosing the best working model and applying lessons learned for VET. Thus, it has already started implementation of several large-scale projects. One of the largest is the national level Modern Azerbaijan Craftsmen Project, which is aimed at promoting technical vocational education and to ensuring the quality of workforce development in cooperation with local and international partners. Within this project, a new modern style pilot of vocational education complexes will be established, cooperation between industry and VET institutions will be improved and coverage of the modernized VET will be expanded over the entire country. Developing these projects the Ministry cooperates with local and international partners. Ministry of Education works together with Knauf (Baku Vocational Lyceum #18-construction master), Bosch (Baku Vocational Lyceum #18 - carpenter), Japanese Embassy (Sheki Vocational Lyceum #1), Belarus Government (Baku Vocational Lyceum #14- electric-gas welder), Eldar Studio (Baku Vocational Lyceum #18 Barber- makeup artist). Additional vocational schools (Baku Vocational Lyceum #5, Ganja Vocational Lyceum #1) are added to the list with occupations such as security, tailor and barber. A MAP project has been under implementation since 2013 and at all these schools resource centres have been established which serve as workshops with equipment, materials, as well as methodological aids. Also, within the project, the improvement of teachers and masters has been addressed, Knauf provided the teachers teaching at the courses with German standard certificates as well as supporting opportunities for pupils to participate in international contests to demonstrate their skills where also received certificates. Additionally, Eldar Studio trains and organizes exams for checking teachers knowledge and skills and trains them in with appointment of new teachers to other schools, as well as hosting interns. Eldar Studio offers new module programs, opportunities to organize paid short term courses at vocational lyceums where masters learn skills. 43 graduates out of 45 have been employed (in cooperation with Eldar Studio) and 16 graduates in the other occupations so far within this project. Bosch provided support in curriculum development as well as trained staff certifying their skills and representatives of company were in preparing education programs, methodology aids, guidelines, tests etc. In general, 254 graduates have been benefited from the MAP project so far and the number is going to grow as more resource centres are going to be opened. The Ministry of Education focuses on initiative campaigning for VET within projects, issuing leaflets, and improving online guidance capacity where teachers, parents, students can get a broader exposure to VET and schools are offering programs and assistance in selecting occupations as well as in re-training of adults. Cooperation with the largest employers in the country, like SOCAR, AZERSUN, BAKU Energy Company, has been established to provide industry exposure for students and to develop partnership between industry and vocational school. In April, 2014, an Arrangement between the Government of the Republic of Korea and the Government of the Republic of Azerbaijan concerning a loan from the Economic Development Cooperation Fund for the project of establishing a Vocational Training Centre has been signed. This is one of the largest projects to be implemented by the Ministry of Education which will be jointly realized with the Korea Eximbank with budget of 39.28 mln USD. This project has vital industry, political, and economic benefits as well as the influence on providing the youth with employment and Azerbaijan 10

skills. The goal of the project is to decrease dependence on the oil sector and to develop the non-oil sector as well as to prepare a highly professional workforce in line with labour market requirements. The project includes establishment of new classrooms, library, design of constructions, training professionals in 8 trades. Also, it is expected that education and training programs for administrative specialists and trainers will be improved and consulting service will be delivered. Analysis of the system shows the following challenges. People think this is undignified work and do their best to get higher education even if they do not need it for their career goals. Also, a lack of community trust in quality of VET system, teacher training, outdated education programs cause a loss of interest in VET. There is still a curriculum problem in VET institutions, since the involvement of industry is not at a high level, this is mostly theoretical based, and infrastructure is obsolete. Also one of the challenges is Quality Assurance and work is ongoing to improve the quality of training at the institutions as well as of the management of VET at an institutional level. The Ministry has already started to modernize the infrastructure of 25 schools in Baku and its regions as well, out of which 5 were within the MAP project and 20 within the government program. Many schools specializing in agriculture sphere were distributed with machinery as well as smart boards. As the main donor in the VET sector, the European Union is starting the Education Support Program in Azerbaijan for Annual Action 2014 (a 72 months program) with contribution of 19MEuro. The overall objective of the program is to contribute to the modernization of the education and training system in Azerbaijan, enhancing quality, equality, relevance and access in line with European standards and practices. It will target VET and Higher education (HE) in order to enhance the quality and relevance of the education system, to increase the attractiveness and labour market relevance of all levels of VET as well as to strengthen civic participation, governance and inclusiveness in the education system. Within the program experts in VET, Quality Assurance and HE will assist the Ministry of Education with policy and management advice as well as analysis of the legal framework. Working with Azerbaijan since 1995 in various areas, the ETF is cooperating very closely in VET during the last years. It has supported Azerbaijan in the development of the NQF concept, has conducted 2 rounds of policy analysis for the Torino Process, as well as having provided policy advice, capacity building and assistance in shaping and consolidating the results of EU-funded projects. Together with the Ministry of Labour and Social Protection and representatives of social partners, and business community partners, ETF has been very supportive in the development of sectoral committees. The importance of this project has been to achieve efficient work in the preparation of standards and relevant programs. Initially it was planned to establish skills councils in the tourism and construction areas which meant there would be a big demand on specialists in these areas as large international events will be hosted by Azerbaijan and the country is focused to develop tourism in regions as well to improve life standards in remote areas. Also, they have been looking at skills anticipation in cooperation with ILO and at skills for entrepreneurship with the OECD (The Organisation for Economic Co-operation and Development) and European Commission. A regional dialogue with the countries of the European Neighbourhood and Partnership Instrument has been facilitated with support of ETF in order to discuss common reform challenges. Along with the abovementioned initiatives, ETF has supported the Ministry of Education to conduct an evaluation of the State Programme for VET 2007-2012, which was presented at the end of 2013 also to national stakeholders. Curricula have been developed with the support of World Vision and UNESCO projects as well as tested, TACIS VET reform project in Tourism and Twinning project in Agriculture which were funded by EU were implemented in 2010-2013. These covered northern regions, Ismayilli, Gabala, and Goychay which involved developing a concept for vocational education, establishing workshops as well as creating occupational standards and education programs in 5 specialities based on labour market studies. For the period 2014-2017 the Ministry of Education is planning to work with ETF in the development and implementation of the reform in VET system in line with the new State Strategy for the Azerbaijan 11

Development of Education, signed by the President in 2013. The future development of the VET system will focus mainly on the NQF, adoption of the curriculum, strengthening of cooperation with enterprises, the LLL (lifelong learning) VET system, and modernization of VET facilities and strengthening links between business and VET schools. The Qualifications Framework of Azerbaijan (AzQF) is expected to be adopted in 2014 by the Cabinet of Ministers. The EU is planning targeted support to the implementation of the AzQF as part of its support to education. In order to prepare national stakeholders for the start of the project, the ETF, in close cooperation with the EU delegation and as agreed with the Ministry of Education, is considering a number of initiatives. They are: (1) Raising awareness and building capacities of national stakeholders on the NQF, starting with the staff of the Ministry of Education (2) Review and update the draft implementation plan for the AzQF, (3) Prepare the work on content, i.e. qualifications standards and curricula, in order to populate the AzQF with relevant qualifications. 1.5 Action and assessment of progress since 2010 Text Azerbaijan 12

2. EFFECTIVENESS AND EFFICIENCY IN ADDRESSING ECONOMIC AND LABOUR MARKET DEMAND 2.1 Economic and labour market factors that shape demand for skills Text 2.2 Mechanisms for identifying demand for skills and matching skills supply Text 2.3 Potential of the VET system to influence economic and labour market needs Text 2.4 Action and assessment of progress since 2010 Body Text Azerbaijan 13

3. EFFECTIVENESS AND EFFICIENCY IN ADDRESSING DEMOGRAPHIC, SOCIAL AND INCLUSION DEMAND 3.1 Demographic and social factors that shape demand for VET Text 3.2 Delivering to the individual demands and aspirations of learners: access, participation, progression 3.3 Delivering to socioeconomic and inclusion demand Text. 3.4 Action and assessment of progress since 2010 Body Text. Azerbaijan 14

4. INTERNAL EFFICIENCY OF THE VET SYSTEM 4.1 Quality assurance 4.1.1 Planning Quality assurance of institutions in Azerbaijan is under government control with through supervision of the public training provided by the institutions, with some autonomy. Quality assurance is carried out by assessment of the implementation, stakeholder input and basic targets. Accreditation of VET educational institutions, as well as private ones is provided by the Ministry of Education after checking that several criteria are in line with requirements. The quality of education is also intended to be controlled by the 'regulation on accreditation of educational institutions', approved by the Cabinet of Ministers. The Ministry of Education determines the criteria and requirements for implementation of accreditation and establishes a commission consisting of experts (a separate commission for each educational establishment) to implement the accreditation of education institutions. 4.1.2 Assessment and evaluation Quality assurance of training providers is conducted by the Accreditation Committee within the Ministry of Education and Financial Audits are conducted by the Ministry of Finance. In order to improve quality at schools the newly adopted State Strategy on Development of Education highlights the activities which provide incentives such as, financial support or grant systems for innovative approaches in education. Also, after lagging institutions are identified recommendations by the Ministry of Education are provided and a probation period is defined to achieve improvements in performance. Usually the Ministry of Education coordinates work with institutions on these problems (Institute of Educational Challenges). Lagging institutions are provided with technical support for a period of one year and schools are then revaluated to ensure compliance. If their problems have been adequately resolved they are provided with a license. 4.1.3 Accreditation of VET providers and programmes The Accreditation Council defines the status of the education institution and this is established in accordance with the requirements of state education standards and criteria approved by the Minister of Education. The standards are not periodically reviewed, but the Ministry of Education is currently revising this system and it is likely that stakeholder consultation will be incorporated. Accreditation is required for an entity to perform its duties in the next cycle and it is required for all entities operating in the country (the institution is shut down if two previous attempts to acquire accreditation status have not had a positive result). Opening of programs is based on labour market, opportunities of placement of graduates at companies and the process is confirmed by the Ministry of Education. VET institutions should prove that they have all the facilities to open a new program: curriculum, personnel, infrastructure, needs for the specialty, methodological capacity etc. After the Ministry of Education has reviewed and checked conformity they are allowed to open the program. Closure of programs depends on results of monitoring and number of applicants to a certain specialty. There are few educational institutions currently operating that have not received accreditation and a few of such have been shut down due to various reasons, including deteriorating technical base, incompliance of the courses offered with the curriculum or overall training and education quality. This in turn is one of the few incentives for unaccredited institutions to seek accreditation, as it implies license renewal along with eligibility for public funding. However, enforcement of accreditation is still an issue and needs particular attention to ensure the quality of training provided by separate institutions. It is the opinion of experts that the accrediting body should be autonomous or at least have a board of management representing the majority of non-government stakeholders. Azerbaijan 15

4.1.4 Qualifications Vocational standards are widely used in the preparation of pilot curriculum on primary vocational education by the Ministry of Education within "Improved Occupational Standards" (DIOS) project of World Bank as well as other projects. In this way labour market needs in new educational programs on vocational training are taken into account. The results of training in new curriculum on primary vocational education are based on determined competencies in occupational standards. The number of occupational standards is limited. Within different projects some 230 standards have been developed in various occupations/specialties covering all levels of education. 210 occupational standards have been developed within the DIOS project in cooperation with the World Bank out of which 102 standards concerning IVET where there is still a higher demand for the development of occupational standards than other education levels. Successful completion of draft NQF law and the development of professional standards for 210 occupations is a good practice that can stimulate the systematization of reforms in the whole education system. This may ease the coordination of efforts in providing relevant and quality-based education, as well as create easier pathways and transfers between different levels of education. The development of competency-based testing and certification systems can boost employer trust in the quality of education and serve both as a stimulus for their increasing contribution in the system and to improve student prospects for employment and earnings, thereby correcting the image of VET. 4.2 Policies for VET trainers and directors The Ministry of Education, Department of VET Education is in charge organizing the selection process for heads of secondary level training institutions. Executive committees usually nominate the candidate before they are appointed. Previously, Heads of Secondary Level Public Training Institutions were recruited by local Executive Committees and Department of Education in the regions, in Baku by the Ministry of Education. For the last couple years the Ministry of Education works on a new mechanism for the recruitment of heads via examination of knowledge, leadership, curriculum, and pedagogic issues etc. At present the Ministry of Education is developing new rules for recruiting via testing. There are special criteria for the principal post as they should know methodological as well as industry issues. Principals are required to have at least 5 years of pedagogical experience, leadership skills, academic qualifications and pedagogical awards. Applicants with previous experience in the position of Assistant Principal are given a preference over others and candidates previous academic publications and awards are also taken into account when making the selection decision. Ministry of Education is working on organizing professional development courses for principals within pilot projects with partner organizations such as GIZ. Over several years, the Azerbaijan Teachers Institute has served as a base to train teachers every year in the methodology, curriculum, and planning etc. However, this does not provide up to date skills and capacity for administrators to work in the VET sector as a professional leader recognizing today s needs. Therefore the Ministry of Education is looking to establish alternative institutions, for example, GIZ will support establishing the Training and Support Centre for VET teachers and administrators to provide a sustainable training service as well as to involve international specialists in the project. At present the selection of applicants is under way with Alliance Consult. Also, vice principals and other staff members are provided with the opportunity to apply and take part in the Training and Skills Development for Future VET Leaders program. Azerbaijan 16

4.3 Teaching and learning 4.3.1 Teaching and learning environment There are schools which cooperate with enterprises that provide them support. A good example is the national level Modern Azerbaijani Craftsman Project where schools get resources from companies as well as share their experience. Also, Eldar Studio provides apprentice learning of hairstylists and support in organizing exams for teachers and employment of graduates. Classes in VET school are usually consisting of 20 pupils per group. Attendance, daily performance and doing assignments, passing exams, completing industry internships are factors in the award of excellent grades. The number of hours per subject is allocated annually by the administration of the VET school. 4.3.2 Learning content The learning process is carried out with textbooks from the previous Soviet-period which do not meet modern requirements. The process is conducted according to the outcomes foreseen in the new curriculum. 56 of 216 speciality group curricula are based upon the labour market requirements. So in total, 56 new curricula have been developed: 16 with support of Unesco, EU Tacis, EU Twinning and World Vision and 40 last year by the Ministry of Education through a project involving educated society and the Institute of Educational Issues. Additionally, a new curriculum has been developed based upon professional standards. The remainder were prepared in the Soviet period and do not reflect the requirements of the modern labour market and are based on the Unified Pay Scale handbooks. Preparation of curricula in the form of modular training programs and the implementation of the credit system is very important. This will increase the effectiveness of the relationship between education levels and increasing flexibility (both vertically and horizontally to ensure the transition). There have been initiatives in textbook and methodological aids provision at schools though it is not sufficient and large gaps remain in the system. Though the schools are provided with the textbooks on general subjects, the level and quality of specialty textbooks is not at a satisfactory level. During the last 2 years, 35 textbooks were published. Except from those mentioned, there have not been any textbooks provided to VET schools other than the existing ones from the Soviet period which do not reach the requirements of the labour market. The libraries of VET schools are not updated and many of them are obsolete. Within the frame of the Modern Azerbaijani Skilled Craftsmen Project, cooperation between public and private, as well as international cooperation have resulted in successful pilot projects which have given the opportunity to establish modern resource centres in 4 IVET schools. However, electronic libraries and electronic textbooks are not widely available. 4.3.3 Parental and student involvement Parental involvement in VET is very weak since there are no Parent-Teacher-Student Associations or support. Also, initiatives of the principals are ad-hoc basis. They are contacted in several cases or parents will just visit schools only when there is a concern regarding the education of their child. However, in future more activities are planned in this respect to involve more community members in VET schools management and in the decision making process at schools. Online Support System for Choosing a Trade was created in April 2013 to help the school graduates to evaluate their skills and find appropriate vocational schools to attend. This project is implemented with the EduMedia Azerbaijan Organization. This aims to promote VET and provide consultancy, guidance and information about modern trades. The service is helpful in terms of informing parents, teachers, and graduates about programs and career orientation as well as MAP project beneficiaries. Currently the functions of the platform are being developed. Azerbaijan 17

4.4 Efficiency of use of resources VET financing from the state budget is based mainly on the previous year's budget. There are no institutional review mechanisms in place to revise the funding criteria; therefore there are limited formal initiatives to assess the effectiveness of education funding. Some statistical data is collected from schools by the Ministry of Education, which is both limited in scope and is not used for analysing the budget allocation. State Employment Service requests its next year's budget based on the results of a survey among employers, even though the general funding criteria from the state budget are not revised. However, the government is considering a shift to per student funding in vocational education within the new State Strategy on Development of Education. This new mechanism, which is going to offer skill-based and result-oriented teacher remuneration, is expected to provide performance-based financing for schools and stimulate competition among them. Budget for VET had been increasing with particular focus on its infrastructure/renovation component. Research shows (ETF) that there are more applicants to the renovated schools, as many of VET institutions lacked basic equipment to prepare students for real-life job. Many of infrastructural renovations and curriculum update in such schools are financed by specific private employers which also provide a direct potential job for students, thus an increased interest in those institutions is observed. Budget allocations for IVET mainly occur via state budget to the relevant ministries (Ministry of Education, SES receive annual budget allocations for IVET). There are no specific formal indicators used nation-wide to revise funding for particular schools. There are general budget expenditure categories for school funding that change slightly from year to year. However, depending on the priority economic areas, certain schools may receive more or less financing. For example, some schools which cooperate with businesses with the coordination of the VET department of the Ministry of Education depending on the emerging needs for skills (wall boarding, dry lining, hair-dressing, etc.) are financed with significant business input and some government funding, from the state budget. The Ministry of Education formally decides on cadre preparation in the vocational institutions based upon requests for skill needs prepared annually by employers in order to determine the next year's allocation from the state budget (including the previous year's budget considerations), thus the process at least formally considers emerging work force needs, but the application is limited in practice. 4.5 Action and assessment of progress since 2010 Body Text Azerbaijan 18

5. GOVERNANCE AND POLICY PRACTICES IN THE VET SYSTEM 5.1 Defining vision and strategy for VET MATRIX 1. DISTRIBUTION OF RESPONSIBILITIES Objective setting Implementation Monitoring Who is responsible? Who is accountable? Who is consulted? Who is (only) informed? MATRIX 2. MODE OF ACTION/DECISION MAKING OF THOSE RESPONSIBLE Full autonomy/unilateral After (obligatory) consultation 1 If consultation, with whom? (please list) Objective setting Implementation Monitoring (1) Consultation could be both because of an obligation to involve and for accountability purposes. 5.2 Effectiveness and efficiency in addressing economic and labour market demand Body Text 5.3 Effectiveness and efficiency in addressing social and inclusion demand Body Text 5.4 Internal efficiency and effectiveness of the VET system Body Text. MATRIX 3. DISTRIBUTION OF RESPONSIBILITIES FOR QUALITY STANDARDS Responsible for setting Accountable for Monitoring compliance assessment Quality standards: learning environment Quality standards: learning outcomes Quality standards: teaching and Azerbaijan 19

Standards for provider 1 accreditation (1) This can also refer to individual programmes. MATRIX 4. MODE OF DECISION MAKING WHEN SETTING QUALITY STANDARDS Quality standards: learning environment Quality standards: learning outcomes Quality standards: teaching Standards for provider 1 accreditation Unilateral (1) This can also refer to individual programmes. Obligatory consultation If consultation, with whom MATRIX 5. RESPONSIBILITY FOR CURRICULUM CONTENT AND TEACHING STANDARDS Curriculum content How curriculum is taught Responsible determining for Obligatory consultation If consultation, with whom 5.5 Assessment of progress since 2010 Body Text Azerbaijan 20

ANNEXES Annex 1. Title Body Text. Annex 2. Title Body Text. Azerbaijan 21

ACRONYMS ETF VET European Training Foundation Vocational education and training Azerbaijan 22

REFERENCES ETF (European Training Foundation), The Torino Process 2012, ETF, Turin, 2013. Azerbaijan 23