Ireland VET in Europe Country report 2013
Title: Ireland VET in Europe Country Report 2013 Author: ReferNet Ireland - SOLAS This country report is part of a series of reports on vocational education and training produced by each EU Member State plus Norway and Iceland by members of ReferNet, a network established by Cedefop (European Centre for the Development of Vocational Training). The opinions expressed in this report are not necessarily those of Cedefop. Please note that ReferNet reports are based on a common structure and are available at: http://www.cedefop.europa.eu/en/information-services/vet-ineurope-country-reports.aspx The preparation of this report has been co-financed by the European Union Page 2 of 50
Table of contents Table of contents... 3 List of tables, figures and boxes... 4 CHAPTER 1. External factors influencing VET... 5 1.1. Structure and Dynamics of the Irish Population... 5 1.2. Structure and development of the Irish labour force... 7 1.3. Structure and performance of the Irish economy... 10 1.3.1. Structure... 10 1.3.2. Performance of the Irish Economy: Longitudinal trends in GDP and GNP... 12 1.4. Regulation of the labour market... 13 1.4.1. Labour market: supply versus demand... 13 1.4.2. Findings for 2012... 14 1.5. Welfare and employment policies relating to VET... 15 1.6. Value of VET to the labour market... 16 1.6.1. Labour market performance by educational attainment... 16 1.6.2. Educational attainment & income levels... 19 1.6.3. Specific case of economic returns to VET... 19 CHAPTER 2. Providing VET in a lifelong learning perspective... 21 2.1. Chart of the national education and training system... 21 2.2. Government-regulated VET provision... 23 2.2.1. VET access/entry requirements and progression opportunities... 26 2.2.2. VET provision... 26 2.2.3. VET governance and funding... 28 2.2.4. VET providers... 30 2.2.5. Teachers and trainers... 30 2.2.6. Challenges, opportunities... 31 2.3. Other forms of training... 32 CHAPTER 3. Shaping VET qualifications... 33 3.1. Methods used to anticipate labour market needs... 33 3.2. Design process and qualification designers... 35 CHAPTER 4. Promoting participation in VET... 39 4.1. Incentives to promote participation in vocational education and training... 39 4.1.1. Incentives to learners... 39 4.1.2. Incentives for employers... 40 Page 3 of 50
4.1.3. Incentives for VET providers... 40 4.2. Guidance and counselling structures... 41 List of abbreviations... 43 Sources, references and websites... 45 ANNEX 1. Statistical data... 47 List of tables, figures and boxes Figures Figure 1. Quarterly trends in total employment 2008 to 2013... 8 Figure 2. Quarterly trends in unemployment Q1, 2007 to Q2, 2013... 8 Figure 3. Irish population by Age and Economic Status, Quarter 4, 2012... 10 Figure 4. Gross Value Added at Factor Cost by Sector of Origin: 2012... 11 Figure 5. Annual Growth in Real GDP and Real GNP: 2000 2012... 13 Figure 6. Unemployment and employment rates (%) by educational attainment (15-64 years)... 18 Figure 7. Trends in educational attainment of the labour force and the 2020 targets set out in the National Skills Strategy... 18 Figure 8. Diagram of the national education and training system... 22 Tables Table 1. Estimated Population ( 000s) classified by Sex and Age Group, April 2013... 5 Table 2. Main changes in the Irish population since the recent Census in April 2011... 6 Table 3. Trends in Labour Force in past three years compared with pre-recession 2007 data... 7 Table 4. Gross Domestic Product by Sector of Origin and Gross National Product at Constant Market Prices ( m)... 11 Table 5. Irish employment support schemes by expenditure... 15 Table 6. FETAC awards 2012 by broad provider type... 26 Table 7. Vocational Education and Training Provision, 2012... 27 Table 8. Population Change in 2012 ( 000s)... 47 Table 9. Eurostat Labour Force Surveys Unemployed persons in 2012: number, unemployment rate, share of long-term unemployment by gender, and youth unemployment rate and ratio... 48 Table 10. 2012 Employment rate by highest level of education across EU 28 countries for adults aged group 25-64... 49 Table 11. 2012 Unemployment rate (among persons aged 25-64 years) by level of educational attainment... 50 Page 4 of 50
CHAPTER 1. External factors influencing VET The Republic of Ireland comprises twenty-six of the thirty-two counties of the island of Ireland. The remaining six counties make up Northern Ireland which is part of the United Kingdom. The total area of the Republic of Ireland is 84,421 sq km. The major centre of population is Dublin (city and county) and the other major cities are Cork, Galway and Limerick. Ireland is a parliamentary democracy which consists of a House of Representatives (Dáil Eireann) and a Senate (Seanad). Following the 2011 general election the Fine Gael Party, supported by the Labour Party, formed the current Irish Government. Laws passed by the Parliament must conform to the Irish Constitution and the President must sign legislation for it to become law. The president serves as head of state in a ceremonial role and is elected for a 7- year term. 1.1. Structure and Dynamics of the Irish Population Table 1 shows the estimated Irish population classified by sex and age group in April 2013. All percentage figures refer to the total population. Table 1. Estimated Population ( 000s) classified by Sex and Age Group, April 2013 Age Total Males Females 000s % 000s % 000s % 0 4 365.7 8.0% 186.3 4.1% 179.4 3.9% 5 9 333.1 7.3% 169.9 3.7% 163.2 3.6% 10 14 308.9 6.7% 157.7 3.4% 151.1 3.3% 15-19 274.5 6.0% 141.3 3.1% 133.2 2.9% 20 24 258.8 5.6% 131.9 2.9% 126.9 2.8% 25 29 320.0 7.0% 154.1 3.4% 165.9 3.6% 30 34 387.5 8.4% 187.1 4.1% 200.4 4.4% 35 39 363.8 7.9% 180.4 3.9% 183.4 4.0% 40 44 342.8 7.5% 171.6 3.7% 171.1 3.7% 45 49 312.1 6.8% 155.5 3.4% 156.6 3.4% 50 54 283.1 6.2% 140.6 3.1% 142.5 3.1% 55 59 251.1 5.5% 124.8 2.7% 126.3 2.7% 60 64 223.6 4.9% 111.3 2.4% 112.3 2.4% 65 69 189.4 4.1% 94.6 2.1% 94.9 2.1% 70 74 138.2 3.0% 67.2 1.5% 71 1.5% 75 79 105.8 2.3% 48.8 1.1% 57 1.2% 80 84 72.6 1.6% 30.6 0.7% 42 0.9% Page 5 of 50
Age Total Males Females 000s % 000s % 000s % 85+ 62.1 1.4% 20.1 0.4% 41.9 0.9% Total 4,593.10 2,273.80 2,319.30 Source: Central Statistics Office (CSO) statistical release, 29 August 2013, Population and Migration Estimates, April 2013, Table 6 Estimated Population classified by Sex, Age Group, April 2013 The Table 1 indicates that 22% of the population are less than 15 years old, while 12.5% are aged 65 years or older. This gives a total dependency ratio of 34.5/65.5 = 53% and an old age dependency ratio of 12.5/65.5 = 19%. The Irish old age dependency ratio has been projected by Eurostat to rise sharply over the coming decades and reach 40% by 2050 (see Cedefop 2011 VET Report for Ireland, p.7). Table 2 presents the principal dynamics in the Irish population over the last three years. Table 2. Main changes in the Irish population since the recent Census in April 2011 Year Ending April 2011 (%) April 2012(%) April 2013(%) Immigration 53.3 52.7 55.9 Emigration 80.6 87.1 89.0 Net Migration -27.4-34.4-33.1 Of which Irish nationals -22.4-25.9-35.2 Natural Increase 47.5 44.9 40.8 Population Change 20.1 10.5 7.7 Population 4 574 900 4 585 400 4 593 100 Source: Central Statistics Office, Population & Migration Estimates (various years) Emigration from Ireland in the twelve months periods to April 2012 and April 2013 is estimated to have increased from 80,600 to 87,100 and 89,000, while the number of immigrants is estimated to have fallen marginally to 52,700 from 53,300, then risen to 55,900 in the year ending April 2013. These combined changes resulted in an increase in the net outward migration from 27,400 in the year to April 2011 to 34,400 and 33,100 in the succeeding years. For the year to April 2012 the number of births was 74,000 while the number of deaths was 29,200, resulting in natural growth of 44,900, a fall of 2,600 on the previous year s figure of 47,500. The year to April 2013 saw 70,500 births and 29,700 deaths, resulting in a further fall in natural population growth to 40,800. The combined effect of natural increase and negative net migration resulted in overall small increases in the population of 10,500 and 7,700 for the two years. Of the 87,100 people who emigrated in the year to April 2012, Irish nationals were the largest group accounting for 46,500 or 53 per cent. Net outward migration for Irish nationals increased to 26,000 in the year to April 2012, from 22,400 in the previous year. The figure for non-irish nationals also increased from Page 6 of 50
5,000 to 8,400 over the same period. Of the 89,000 people who emigrated in the year to April 2013, Irish nationals were again the largest group accounting for 50,900 or 57.2%. Net outward migration among Irish nationals is estimated to have increased significantly, rising from 25,900 to 35,200, while that of non-irish nationals is estimated to have changed from net outward (-8,400) to net inward (2,100). Emigration is now at its highest point since modern records began in 1987. The figure of 89,000 people who left the country between April 2012 and April 2013 is more than double the amount who left in 2006. The latest figures from the Central Statistics Office (CSO) show that the vast majority of emigrants are young. Two-fifths are 24 and under, while another twofifths come from the 25 44 age bracket. About 177,000 people between 15 24 have now emigrated since the start of the financial crisis in 2007. International Comparison of Population Dynamics for year 2012: table 8 in Annex 1 presents Eurostat data for the 2012 population changes in the EU28 and in other European countries. It shows that Ireland recorded the highest natural population increase (+9.5%) in 2012, well ahead of Cyprus (+5.2%), Luxembourg (+4.0%), France and the United Kingdom (both +3.8%). 1.2. Structure and development of the Irish labour force The CSO Quarterly National Household Surveys provide the data for developments in the Irish labour force. Table 3 includes information on unemployment trends, the other component of the labour force. Table 3. Trends in Labour Force in past three years compared with prerecession 2007 data Q4 2007 Q4 2011 Q4 2012 Q3 2013 Employment 2 156 000 1 848 000 1 849 000 1 899 300 Unemployment 105 000 314 000 295 000 282 900 Labour force(*) 2 261 000 2 162 000 2 144 000 2 182 100 Unemployment rate 4.6% 14.5% 13.7% 13.0% NB: (*) The labour force bottomed out at 2,137,000 in Q1 2013. Source: CSO Quarterly National Household Surveys (QNHS). Between 2000 and 2007 the unemployment rate (on ILO basis) averaged 4.4% per annum. With the onset of the recession, the level and rate of unemployment increased substantially, peaking at over 15% in Q1 2012 before finally reversing. Page 7 of 50
Figure 1 presents the quarterly trend of the primary indicator, total employment, indicating the sharp decline caused by the global financial crisis from Q1 2008. Sustained employment growth only re-commenced in Q1 2013 and the employment rate increased by 1.4 percentage points to 60.2% over the year to Q2 2013. Figure 2 graphs the unemployment trend, markedly higher for men than women. Figure 1. Quarterly trends in total employment 2008 to 2013 Source: CSO Quarterly National Household Surveys Figure 2. Quarterly trends in unemployment Q1, 2007 to Q2, 2013 Source: ESRI Quarterly Economic Commentary, Autumn 2013. Page 8 of 50
The National Skills Bulletin 2013 produced by the FÁS Skills and Labour Market Research Unit (SLMRU) devised the Figure 3 schematic to present an analysis of the Irish labour force at the end of the fourth quarter of 2012 (Q4, 2012). When compared to quarter 4, 2011, the working age population (aged 15-64 years) decreased by 17,000 to just over 3 million, while the number of those aged under 15 years and those aged 65 and above increased by 14,000 and 18,500 respectively. Almost 1.8 million persons of working age were in employment in quarter 4, 2012, while over 1.2 million were not. Those in employment comprised 1.371m full-time employees and 0.428m part-time employees. Those not in employment comprised 293,900 unemployed and 943,200 economically inactive. The labour force in 2012 averaged 2.15 million, a decrease of 12,000 (-0.6%) compared with 2011. International comparison of unemployment: Table 9 in Annex 1 give Eurostat unemployment data for 2012, allowing comparison of performances across the EU27 members. It shows the Irish youth unemployment rate was 30%, among the highest in the EU27 though not at the levels experienced in Greece and Spain. Page 9 of 50
Figure 3. Irish population by Age and Economic Status, Quarter 4, 2012 Population 4,597,300 Children (<15) 1,000,800 Working age population (15-64) 3,036,700 65 and older 559,800 In employment full time (ILO*) 1,371,300 In employment part time (ILO) 428,200 Not in employment (ILO) 1,237,100 In employment (ILO) 49,300 Not in employment (ILO) 510,500 Unemployed 293,900 (ILO) Inactive 943,200 Student 348,400 Home duties 299,400 Seeking full time employment 252,300 (ILO) Seeking part time employment 30,500 (ILO) Seeking employment as self-employed 11,100 (ILO) Ill health/disability 103,000 Other 125,100 Retired 67,300 Source: EGFSN National Skills Bulletin 2013, p19. 1.3. Structure and performance of the Irish economy 1.3.1. Structure Figure 4 presents the main economic sectors on the output side of the national accounts. Services form the largest component of Irish output: in 2012 they accounted for 69 per cent of gross value added at factor cost. Industry (including construction) and agriculture represented 28 per cent and 2 per cent of gross value added respectively. Page 10 of 50
Figure 4. Gross Value Added at Factor Cost by Sector of Origin: 2012 Table 4 indicates that Other Services was the only one of the five main sectors to show positive growth in 2012. The year on year change was 2.7 per cent for this sector. Among the remaining sectors, all of which declined during this period, the Agriculture, forestry and fishing sector fell by 12.6 per cent while Industry (including building) decreased by 0.8 per cent. The Distribution, transport, software and communication sector contracted by 0.6 per cent while Public administration and defence shrank by 6.3 per cent in 2012 compared to 2011. Table 4. Gross Domestic Product by Sector of Origin and Gross National Product at Constant Market Prices ( m) Period 2008 2009 2010 2011 2012 Agriculture, forestry and fishing 4 288 4 037 3 993 3 935 3 439 Industry 44 629 39 871 40 064 41 005 40 676 Of which: Building and construction 5 429 3 946 2 903 2 470 2 270 Distribution, transport, software and communications 35 097 35 247 35 419 35 582 35 356 Public administration and defence 7 650 7 291 6 914 6 498 6 086 Other services (including rent) 65 458 63 826 61 801 61 676 63 321 GDP at constant factor 151 904 145 026 143 787 147 552 148 045 Taxes less subsidies 20 036 15 832 15 360 15 048 14 811 GDP at constant market prices 171 829 160 858 159 148 162 600 162 855 Net factor income from rest of worlds -26 165-28 889-26 410-31 938-29 871 Page 11 of 50
Period 2008 2009 2010 2011 2012 GNP at constant market prices 145 317 132 051 132 750 130 662 130 662 Source: CSO Quarterly National Accounts Q12013, 27 June 2013. The strongest Industry sectors comprise pharmaceutical products, computer and electronic products, and food. In 2009 these accounted for 34.5 per cent, 17.2 per cent and 16.5 per cent of total gross industrial output. Apart from food, these sectors are dominated by foreign-owned multi-national companies. Exports (up 5.85% in 2012) were the main driver of GDP growth, with 91.688bn in Goods and 90.295bn in Service exports. Computer Services is the principal net earning sector (exports accounted for 40% of the total value of Irish services exports in 2012). Other Business Services is also a strong export sector but here imports are even stronger than exports. 1.3.2. Performance of the Irish Economy: Longitudinal trends in GDP and GNP Between 2000 and 2007, the annual average growth in real GDP and real GNP was 5.7 per cent and 5.0 per cent, respectively (see Figure 1.5Figure 5). However, with the onset of the global financial crisis, the resulting collapse of the construction and banking sectors meant that the Irish economy entered a very deep recession in 2008. The year 2009 marked the low point in negative percentage change for both measures; in 2010 GNP scrambled into positive territory (0.3%) but it was 2011 before GDP managed to regain positive growth (1.4%) Page 12 of 50
Figure 5. Annual Growth in Real GDP and Real GNP: 2000 2012 1.4. Regulation of the labour market 1.4.1. Labour market: supply versus demand The Expert Group on Future Skills Needs (EGFSN) was established by the Irish Government in 1997 to advise on aspects of education and training related to the future skills requirements of the enterprise sector of the Irish economy. The SOLAS Skills and Labour Market Research Unit (SLMRU) provides a research facility for the EGFSN. The Unit established a National Skills Database in 2003 to collate all available information about the supply and demand of skills in Ireland and provide a platform for the timely analysis and forecasting of the labour market at occupational level. This includes all the data relevant to the study of skills demand and supply which are collected by SOLAS and other public bodies in Ireland including the Central Statistics Office. SLMRU together with the EGFSN highlight current skills shortages through the annual National Skills Bulletin (first published 2005), identify difficult to fill occupational vacancies through the biannual Recruitment Agency Survey (first published 2008), and provide a detailed picture of output from across the education and training system through the annual Monitoring Ireland s Skills Supply publication (first published 2006). Page 13 of 50
In addition, SLMRU publishes an annual Vacancy Overview (first published 2011) whose findings draw on a number of data sources held in the National Skills Database to provide an overview and analysis of the demand for labour as measured by trends in newly advertised job vacancies through both public and private sources including Department of Social Protection/FÁS Jobs Ireland and IrishJobs.ie. The number of new work permits, work visas and work authorisations issued by the Department of Jobs, Enterprise and Innovation (DJEI) is used to assess the demand that cannot be met from domestic or EU sources. The CSO Quarterly National Household Survey (QNHS) is also used to determine the change in share of non-irish nationals in the labour force this can be used as a proxy for the demand that has been sourced from non-domestic sources. 1.4.2. Findings for 2012 The SLMRU 2012 Vacancy Overview shows that, despite the challenging economic climate, vacancies continue to arise in all occupational groups. Examples of occupations experiencing skills shortages include electrical, electronic, design and production engineers, computer analysts and programmers, and a wide range of healthcare professionals including medical practitioners, nurses and radiographers. Examples of occupations experiencing labour shortages include financial clerks and credit controllers as well as occupations in the horticulture sector. Foreign languages, particularly European languages, continued to be in demand for a number of roles (primarily sales and customer service positions). The number of Department of Social Protection/FÁS Jobs Ireland advertised vacancies in 2012 remained relatively unchanged compared with 2011, and vacancies were most prevalent in sales, personal services and elementary occupations, while for IrishJobs.ie (the private employment agency) vacancies occurred most frequently for IT professionals, sales and administrative roles. A third level qualification was a prerequisite for many advertised jobs, particularly for professional positions. The data suggests that the demand is mostly limited to experienced candidates. The Difficult to Fill Vacancies included: ICT professionals (e.g. software and web development, IT business analysts and systems designers); engineering experts (e.g. production/process, quality control, industry regulatory compliance specialists, research and design, electrical), scientists (e.g. chemists, biological analysts); finance specialists (analysts (financial, risk and recovery), regulatory affairs specialists); Page 14 of 50
healthcare professionals (e.g. doctors, radiographers, senior specialist nurses, geriatric nurses, speech and language therapists); sales (e.g. multilingual and customer care roles). 1.5. Welfare and employment policies relating to VET Ireland has been innovative in the provision of labour market schemes (Employment Support Schemes) designed to assist people who are long-term unemployed and people who are disadvantaged to move back into open employment. Table 5. Irish employment support schemes by expenditure Programme Expenditure m 2007 2010 2011 2012 Out-turn Out-turn Estimate Estimate Community Employment Programme 357.5 368.3 356.7 315.2 Rural Social Scheme 47.8 46.0 46.1 45.7 Tús Community Work Placement Scheme 0.0 0.0 30.0 84.0 Job Initiative 40.0 30.2 28.5 27.2 Back to Work Allowance 71.0 87.9 91.5 137.9 National Internship Scheme JobBridge 0.0 0.0 20.0 65.8 Back to Education Allowance 64.1 179.8 198.8 183.0 Other programmes reviewed (est.) 10.0 16.0 17.3 15.0 Total above 590.4 728.2 788.9 873.81 Source: Department of Social Protection (2012), A Review of Department of Social Protection Employment Support Schemes Many of these Employment Support Schemes (ESSs) fulfil a dual role, combining employment and/or training interventions for the individual with key social services to disadvantaged communities. These dual schemes have been criticised by Irish and international evaluators for a lack of emphasis on activation and progression of participants, and the government was urged to review its strategy on active labour market programmes (ALMPs). A reconfiguration of ministerial responsibilities was introduced by the new Irish Government in 2010 to bolster activation policy and facilitate the delivery of a more targeted, effective and streamlined response to the needs of the unemployed. This sought to integrate under one department (the Department of Social Protection) the traditional income support services and the employment support services previously administered by other departments. Pathways to Work was published in February 2012 as a comprehensive Government statement on activation strategy. It set out targets including: 75,000 of long-term unemployed people would move into employment by end 2015; Page 15 of 50
the average time spent on the live register would be reduced from 21 months to less than 12 months by the end of 2015; the DSP would reset the relationship with employers, with more and better contact to ensure they have access to and are offered the right candidates to fill full-time vacancies. In terms of ensuring the involvement of the Department of Education and Skills (DES), SOLAS and Education Training Boards in implementing Pathways to Work, an Inter-Departmental Programme Board was established involving stakeholders across the wider public service. Following Pathways to Work, DSP clients will now be asked to complete a profile questionnaire when they register with the DSP so that their case worker can assess the probability of exit (PEX) from unemployment during the subsequent 12 months and put the right supports in place. Intreo, a new DSP service, is being rolled out during the course of 2012 and 2013 to provide a single point of contact for all employment and income supports and offer practical, tailored employment services and supports for both job seekers and employers. 1.6. Value of VET to the labour market 1.6.1. Labour market performance by educational attainment Employment rates vary considerably according to levels of educational attainment: Eurostat statistics for 2012 show that the employment rate across the EU-28 for adults aged 25-64 who had completed a tertiary education was 83.5%, 72.9% for persons with an upper secondary or post-secondary non-tertiary education, and only 52.8% for those who had attained a primary or lower secondary education (see Table 10 in Annex 1). The largest falls in employment rates since the beginning of the financial crisis (comparing 2008 with 2012) were witnessed for persons with a primary or lower secondary education. Likewise, educational qualifications were seen to be a good insurance against unemployment as the chances of being out of work in almost every EU Member State in 2012 as the average unemployment rate in the EU-28 for those having attained a tertiary education qualification (5.6 %) was considerably lower than the corresponding rate (16.7%) for those who had obtained at most a lower secondary education (see Table 11 in Annex 1). These findings on variations in labour market performance by educational attainment are echoed in OECD s Education at a Glance (EAG) reports. During the recent economic crisis, unemployment rates climbed steeply in most OECD countries and have remained high ever since. People without an Page 16 of 50
upper secondary or post-secondary non-tertiary education were hit hardest: between 2008 and 2011 the unemployment rate among them increased by almost 4 percentage points, from 8.8% to 12.6%. [OECD Education at a Glance 2013, p.74] The EAG also observed that unemployment rates among younger adults are higher than those among older adults, and that, while this trend holds true at all levels of educational attainment, the gaps are particularly wide among those who have not attained an upper secondary education. CSO s QNHS series published an Educational Attainment Thematic Report in 2011, and the same time sharp labour market variations were confirmed for the Irish experience. This report showed that the gap between unemployment rates for adults aged 25-64 years with the highest and lowest levels of education had increased from 10 percentage points in Q2 2009 (6% of those with a third level qualification and 16% of those with at most primary level education were unemployed) to 17 percentage points in Q2 2011 (7% of those with a third level qualification and 24% of those with at most primary level education were unemployed). Higher levels of education in all three age groups (25-34, 35-44 and 45-64) in Q2 2011 resulted in lower unemployment rates. The largest difference was evident in the 25-34 age group where those with at most primary education were almost seven times more likely to be unemployed (55%) than those with a third level qualification (8%). More recent, although less detailed, data shows that these patterns were also visible in 2012: in general, the higher the educational attainment, the higher the employment rate and the lower the unemployment rate. In Q4 2012, almost 27% of those with primary level qualifications were unemployed; this compares to 15% for with higher secondary education and 6% for those with at least an honours bachelor degree. Figure 6 summarises the employment and unemployment rates, broken down by education attainment level in quarter 4 2012. It should be noted here that most VET in Ireland takes place at Post Leaving Cert level (ISCED 4), and thus the employment and unemployment rates at this level of education are of particular relevance. Page 17 of 50
Figure 6. Unemployment and employment rates (%) by educational attainment (15-64 years) 100 80 60 58 64 75 81 40 20 27 26 24 37 15 19 9 6 0 Primary or below (ISCED 0-1) Lower secondary (ISCED 2) Higher secondary (ISCED 3) Post leaving certificate (ISCED 4) 3rd level non-honours degree (ISCED 5b) 3rd level hons degree or above (ISCED 5a-6) Unemployement (%) Employment (%) Source: CSO QNHS Supplementary Tables. The Irish National Skills Strategy (NSS) was launched in 2007 to upgrade the national skills level. The EGFSN National Skills Bulletin 2013 reported on progress. Figure 7 shows the trend in educational attainment of the labour force and the 2020 targets set out in the NSS. In Q4 2012, the share of third level graduates was 43%, an increase of 1.6 percentage points over Q4 2011, and just 4.4 percentage points below the 2020 target. The share of those with at most lower secondary qualifications was 17%, which was a percentage point lower than Q4 2011, but still almost ten percentage points higher than the 2020 target. Figure 7. Trends in educational attainment of the labour force and the 2020 targets set out in the National Skills Strategy 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 33% 34% 36% 38% 39% 41% 42% 43% 48% 40% 40% 40% 40% 40% 39% 40% 40% 45% 27% 26% 25% 23% 20% 19% 18% 17% 7% Q4 2005Q4 2006Q4 2007Q4 2008Q4 2009Q4 2010Q4 2011Q4 2012. 2020 Lower secondary or less Higher secondary/fet Third level Page 18 of 50
Source: SLMRU (FÁS) analysis of CSO Data. 1.6.2. Educational attainment & income levels The OECD Education at a Glance 2013 report noted that educational attainment not only affects employability but also has an impact on income from employment. On average, the relative earnings of tertiary-educated adults is over 1.5 times that of adults with upper secondary education, while individuals without an upper secondary education earn 25% less, on average, than their peers who have attained that level of education. The crisis has widened this wage gap: the average difference between earnings from employment between low-educated and highly educated individuals was 75 percentage points across OECD countries in 2008, increasing to 90 percentage points in 2011. The NERI Quarterly Economic Observer December 2013 provided pertinent Irish comparative earnings data for 2010 showing that the average hourly pay of Professionals & Associated Professionals across all NACE economic sectors was over twice that of production and manual workers. 1.6.3. Specific case of economic returns to VET The OECD Education at a Glance 2012 noted that VET is generally geared towards giving students relevant labour-market skills for a particular occupation or industry. [ ] [Cedefop s] research has shown that VET can yield good economic returns on public investment, and countries with strong VET systems, like Germany, have been relatively successful in tackling youth unemployment. (p. 124) The report found that, on average across OECD countries, 31% of the population has attained vocational upper secondary education. The average employment rate of these individuals is 75.5% which is 4.8 percentage points higher than those with general upper secondary education. Education at a Glance 2013 provided more detailed data on programme orientation (general versus vocational) in secondary and tertiary education. Countries with relatively high numbers of 25 34 year-old graduates from vocationally oriented programmes succeeded in reducing the risk of unemployment among young people with upper secondary education as their highest level of attainment. Conversely, countries such as Greece, Ireland and Spain, where less than 25% of young adults graduate from vocational upper secondary education, saw increases in unemployment rates of 12 percentage points or more among 25 34 year-olds with only secondary education. The OECD report noted that countries had developed policies to improve and expand VET programmes at the upper secondary and post-secondary nontertiary levels. Between 2005 and 2011, the number of students graduating from Page 19 of 50
upper secondary vocational programmes increased by an average of 4.3 percentage points across OECD countries. In several countries, notably Austria, Belgium, Finland, Ireland, Portugal and Spain, this increase exceeded 10 percentage points. The 2011 CEDEFOP report, The economic benefits of VET for individuals, showed that investment in VET could be as effective for individuals as investment in general education. The report also observed that, while there is a wide consensus and range of empirical evidence highlighting the importance of investment in general education for economic growth and social inclusion, little is yet known of the ability of vocational education and training (VET) to achieve comparable results. Despite this lack of empirical evidence, the tendency is to consider investment in general and academic education superior to investment in VET. The 2013 CEDEFOP report, Benefits of vocational education and training in Europe for people, organisations and countries, summarised Cedefop s work on VET s benefits since 2008 and demonstrated how VET produces many benefits at different levels. It focuses on VET, where possible separating VET from general education, to identify its specific benefits. Besides economic benefits of VET, such as wages for individuals, improved productivity for organisations and more economic growth for countries, the analysis also examined VET s noneconomic benefits, such as greater job satisfaction for individuals, lower absenteeism for organisations and less crime in societies. Page 20 of 50
CHAPTER 2. Providing VET in a lifelong learning perspective 2.1. Chart of the national education and training system The diagram below shows the education and training system in Ireland and depicts the duration of each level and the qualifications available for those levels. It also shows the progression pathways available to learners and the VET options for young people and adults. The different levels within the system have been colour coded to assist identification. The lowest level within the Irish system is Primary Level (shown in orange) followed by Second Level (Junior cycle [yellow] and Senior cycle [green]). The diagram shows the further education and training sector (red) and the higher education sector (blue). As the following sections of this Chapter will show, there is a strong focus within the Irish education system on access to higher education, and this is reflected in the number of pathways from the secondary and further education and training sectors to the tertiary sector. Research undertaken by the UK City and Guilds organisation in 2013 found that young people in Ireland typically viewed vocational education as less challenging and less prestigious than academic education. It is important to note that as a result of the recent unemployment crisis, there is a considerable focus on providing up-skilling programmes to unemployed people seeking to re-enter the labour market. Much of this training is provided by further and higher education institutions and by private sector companies. Additionally, during the crisis, people within the labour market are availing of the education and training system to enhance their existing vocational skills or to develop new vocational skills. Page 21 of 50
Figure 8. Diagram of the national education and training system Source: SLMRU (FAS/SOLAS). Page 22 of 50
Policy documents and research reports make frequent references to the secondary, higher and further education sectors in Ireland but only a small number mention the VET sector as a distinct entity. This may be attributable to the fact that VET in Ireland is provided by organisations that are involved in other forms of education provision and that there are only a small number of providers exclusively focused on vocational education and training provision. As an example, the network of Institutes of Technology belong to the higher education sector and are primarily involved in the provision of undergraduate and postgraduate programmes. However, they are a key component in the delivery of apprenticeship training programmes and they also involved in the provision of short vocational education courses. The network of Vocational Education Committees (VECs) which were originally established to provide vocational education are also involved in the delivery of secondary and further education programmes. In July 2013, 16 Education and Training Boards (ETBs) were statutorily established and were constituted from the former VECs and FAS training centres; in practice, the final transfer of FAS training centres is to take place in 2014. 2.2. Government-regulated VET provision Schooling is compulsory in Ireland from age 6 to 16. Children can enter primary level education from age 4 6 and transfer at age 12 13 to secondary level education. Within the second level system there are two cycles: (a) the Junior Cycle takes approximately 3 years and leads to the Junior Certificate examination which students usually take at the age of 15 or 16; (b) the Senior Cycle takes 2 years and leads to the Leaving Certificate examination which students usually take at the age of 17 or 18. There are three types of Leaving Certificate programme: the Leaving Certificate (Established) is studied over two years and aims to provide learners with a broad, balanced education while also offering some potential for specialisation towards a particular career option. The Leaving Certificate is taken in almost all schools and students are required to study at least five subjects, one of which must be Irish. In general, students take six or more subjects for examination; the Leaving Certificate Vocational Programme (LCVP) is designed to enhance the vocational dimension of the Leaving Certificate. This two year programme combines the academic strengths of the Leaving Certificate with a dynamic focus on self-directed learning, enterprise, work and the community. The defining features of the LCVP are that Page 23 of 50
learners take some of their Leaving Certificate subjects from a specified set of vocational subjects, they study a recognised course in a modern European language and take two additional courses, known as Link Modules, in the areas of Preparation for the World of Work and Enterprise Education. The Leaving Certificate Applied (LCA) is a discrete programme designed for those learners whose aptitudes, learning interests and ways of learning are not fully catered for by the other two Leaving Certificate programmes and for those learners who are at risk of early school leaving. Participants in the LCA engage in work and study of an active, practical and task-centred nature as it prepares participants for transition from the world of the school/centre to that of adult and working life. The LCA is a two-year programme made up of a range of courses that are structured round three elements: Vocational Preparation, Vocational Education and General Education. Students who achieve the first two types of Leaving Certificate are eligible to access third level education. Secondary schools may offer an optional year, Transition Year, which occurs between Junior and Senior Cycles. Transition Year aims to provide students with an opportunity to receive a wide range of educational inputs, soft skills and work experience. On completion of second level education, students can opt for third level education in either a university or Institute of Technology. Alternatively, they can opt for an education or training programme provided by the further education and training (FET) sector which is defined as not being part of the third level sector. The Irish education and training system is characterised by late vocational choice. A limited amount of VET takes place through the Senior Cycle within the second level system and in particular, the LCVP, and out-of-school programmes for early school leavers. Research published by the UK-based City and Guilds organisation of young people in Ireland found that those surveyed had a poor perception of vocational education and considered vocation training to be a low status option and a route for the less able (City and Guilds, 2013). The research indicated that there was an apparent lack of awareness among young people of what constituted vocational education and the opportunities it could bring. The perceived low status of vocational education among young people (and their parents) has to be set in the context of a consistent and successful emphasis in Ireland on the importance, to individual employment careers and to the national economy, of third level education. As an illustration, in 2011, the Page 24 of 50
proportion of 25-34 year olds in Ireland with a tertiary education was among the EU s highest (matched only by the UK and Luxembourg). The corollary of this is that the secondary education system focuses at an early age on preparing young people for entry to third level and is less successful in preparing people for alternative routes through FET to employment. Only one-fifth of students completing second level education advance directly to a form of vocational education or training that is outside the third level sector: in 2010, 19.8 per cent did a Post Leaving Certificate (PLC) course and 1.4 per cent did FÁS training (Department of Education and Science, 2013). Another key group within the VET/FET sector are unemployed people seeking to return to the labour market. In 2012, the Government published Pathways to Work (Government of Ireland, 2012a), a new strategy to increase the employability of jobseekers. A key principle underpinning the new strategy is to change the social protection system from one of passive income support to a focus on actively enabling unemployed people to get back to employment, training or education as soon as possible. A National Employment and Entitlements Service, Intreo, has been established under the auspices of the Department of Social Protection to engage and assist unemployed people with a view to facilitating their return to the labour market. Additionally, the strategy noted that training and further education options were being reviewed to ensure that the employment opportunities for VET programme participants were maximised. Forfás (Forfás, 2013), the policy advisory board for Enterprise, Trade, Science, Technology and Innovation, undertook an analysis of qualifications awarded in 2011 by the Further Education and Training Awards Council (FETAC) ( 1 ) which indicated that the network of Vocational Education Committees (VECs) accounted for 44% of total FETAC awards (see Table 6 below). FETAC awards certification of courses for Levels 1 6 on the National Qualifications Framework. ( 1 ) Now subsumed into Quality and Qualifications Ireland (QQI): see Section 2.2.3 below. Page 25 of 50
Table 6. FETAC awards 2012 by broad provider type Provider % VECs 44 Private providers 24 FÁS 21 Community/voluntary 5 Disability sector 2 Teagasc 1 Other 3 Total 100 Source: SOLAS. Private providers accounted for just over 24% of total FETAC awards while FÁS accounted for 21%. 2.2.1. VET access/entry requirements and progression opportunities Typically, the earliest age at which a young person can start a VET programme is 15 having first completed their Junior Certificate. They can gain entry to the LCVP or the LCA within the senior cycle at second level, both of which have a vocational education component. In theory, a young person can join an apprenticeship programme at age 15 having completed their Junior Certificate but the majority start at age 17/18 when they have completed their Leaving Certificate examination. Post Leaving Certificate (PLC) courses as their name implies are an important VET option for young people who have completed their Leaving Certificate examinations and who do not wish to attend third level college. The OECD (OECD, 2010) has pointed out that while workplace training was a substantial part of the curriculum in programmes such as apprenticeships and traineeships, a considerable part of the VET provided by the VECs included only a limited amount of work experience. The majority of PLC course have a duration of twelve months but learners typically spend less than three weeks on work placement. 2.2.2. VET provision Up until recently, Government-provided VET was primarily the responsibility of: (a) the network of 33 Vocational Education Committees (VECs) which focused on vocational education; (b) FÁS which concentrated on vocational training (FÁS contracted some of its training provision to private sector providers). The educational and training functions of both the VECs and the FÁS Training Centres division have as of 2013 been combined in the newly established network of 16 Education and Training Boards (ETBs). Page 26 of 50
Other providers of Government-funded VET include secondary, community and comprehensive schools; local vocational education and training centres, Further Education Colleges; Institutes of Technology, universities and dedicated sectoral training centres. The following table provides details of Government-provided VET provision in 2012. Table 7 summarises for each of the main VET courses, the target group, the objectives at course completion for participants, the number of participants enrolled and the level of State expenditure. Table 7. Vocational Education and Training Provision, 2012 Programme Target group Objectives Participants Post Leaving Certificate (PLC) Courses Vocational Training Opportunities Scheme (VTOS) Youthreach Apprenticeships Traineeship Students completing secondary education and adult returners (including the unemployed) The adult unemployed (over 21), particularly the low skilled, longterm unemployed and disadvantaged Early school leavers up to age 20 Aged 16 and over with completed Junior Certificate, and other career entrants, who find employment with a FÁS approved employer Aged 16 and over with completed Junior Certificate, and other career entrants, who find employment with a FÁS approved employer VECs General education, vocational training and work experience leading to stable, full-time employment. Major awards (Levels 5-6) Full-time education/training leading to major awards and then employment or progression (Levels 3-5) Opportunity outside of main school system to acquire major awards leading to further study/training or employment (Levels 3-4) FÁS Advanced (National Craft) Certificate, Level 6, leading to employment in 1 of 26 designated trades Advanced (National Craft) Certificate, Level 6, leading to employment in 1 of 26 designated trades State spending Gross Total m State spending Net Total m ( per capita) 35 609 170.0 170/0 (4 775) 5 637 80.0 34.3 (6 084) 3 700 70.0 50.7 (13 703) 9 000 87.8 51.4 (6 929) 5 000 34.4 12.1 (2 420) Page 27 of 50
Programme Target group Objectives Participants Specific Skills Training Unemployed primarily Training and certification (Levels 4-5 dominant, also 6) for identified job opportunities (Blended combines SST classroom and online learning) 16 300 (1 600) State spending Gross Total m State spending Net Total m ( per capita) 66.1 25.6 (1 570) Source: National Economic and Social Council, 2013. The OECD review (2010) was critical of the Irish apprenticeship system as being limited to a narrow set of occupations (26 designated trades) and as being too focused on the construction sector. It also noted that the system had been adversely affected by the economic crisis as employers reduced their employee intake. Following the OECD review and a commitment in the Irish Government Action Plan for Jobs, the Department of Education and Skills (DES) initiated an overhaul of the apprenticeship system in 2013 by establishing a review group tasked with cataloguing the broad spectrum of vocational training provided for apprentice formation and other work-based education/training systems and making recommendations for reform. The National Competitiveness Council (NCC) in a submission to the Government on the Action Plan for 2014 noted that apprenticeship in Ireland only started at post-secondary level while in other EU Member States apprenticeships are provided at upper secondary level. It noted that a Forfás review of training provision revealed that while the Irish apprenticeship system was valuable it was lengthy, costly and cyclical. 2.2.3. VET governance and funding The Department of Education and Skills (DES) is responsible for the general education and training system at all levels in Ireland. Other government departments (e.g. the Departments of Agriculture, Food and the Marine and Transport, Tourism and Sport) have responsibility for sectoral training. In January 2012, the training division of FÁS, the National Training and Employment Authority, was transferred from the Department of Jobs, Enterprise and Innovation to DES. This development was welcomed by many stakeholders on the grounds that it integrated responsibility for vocational education and training under the same minister and paved the way for greater integration of responsibilities and services at local and regional levels. The Government has enacted legislation to establish SOLAS, a new policyadvisory, policy-implementation, funding and monitoring body for the further Page 28 of 50
education and training sector. Formally established in October 2013, this new organisation has taken over the training responsibilities from FÁS (the former national training and employment authority) which has been disbanded (its other functions had been transferred to the Department of Social Protection). SOLAS is not itself responsible for the delivery of further education and training programmes its focus is on providing strategic oversight and funding to the providers of further education and training programmes. In particular, SOLAS will have responsibility for funding, developing and monitoring the VET provided by the new network of Education and Training Boards (ETBs) which was formerly provided by the VEC sector, by FÁS training centres and by sub-contractors engaged by FÁS. Significant changes have also taken place within the qualifications and quality assurance infrastructure. The Government enacted the Qualifications and Quality Assurance (Education and Training) Act (2012) to establish Quality and Qualifications Ireland (QQI). This new organisation replaced four bodies that had awarding and quality assurance responsibilities the Further Education and Training Awards Council, the Higher Education and Training Awards Council, the National Qualifications Authority and the Irish Universities Quality Board. QQI assumed all the functions of the four legacy bodies and is tasked with carrying out a comprehensive range of quality assurance functions across education and training. QQI is responsible for the external quality assurance of further and higher education and training (including English language provision) and validates programmes and makes awards for certain providers in these sectors. As specified in the Education Act 1998, the Department of Education and Skills consults on a regular basis with key stakeholders within the VET sector. Formal structures such as national committees and boards are in place to facilitate stakeholder input, including representatives of education and training managers, teachers/trainers and parents, non-governmental organisations, employers and trade unions. Additionally, the Department consults with relevant statutory and advisory bodies such as the National Council for Curriculum Development, the Expert Group on Future Skills Needs, SOLAS and QQI. The Department undertook extensive consultation in relation to the redevelopment of the further education and training sector and during the period 2012 2013 also sought feed-back from interested stakeholders in relation to its review of the national apprenticeship system. The legislation establishing SOLAS specifies that it should consult with the Departments of Education and Skills, Social Protection and Jobs, Employment and Innovation and with employers to determine the types of programmes that it should fund. Page 29 of 50
2.2.4. VET providers As of 2013, a new national delivery structure for the provision of further education and training has been established. A network of 16 Education and Training Boards (ETBs) has been formed by the amalgamation and rationalisation of 33 Vocational Education Committees (VECs) which had been responsible for the provision of further education and training provision at a county level. The ETBs also incorporate the former training division of FÁS. The CEDEFOP Spotlight on VET Ireland publication (CEDEFOP, 2013b) pointed out that the existence of so many different deliverers of further education and training such as FÁS and the network of 33 VECs had created duplication and confusion. The group responsible for overseeing the establishment of SOLAS observed that further education and training have developed as a twintrack system in Ireland so courses and programmes have grown organically and in an uncoordinated fashion over the past few decades. The NESC report on VET in Ireland (NESC, 2013) noted that, traditionally, there had been significant differences within the VET system on how the two main providers, FÁS and the network of VECs, had operated. The VECs were organised around the academic year and structured much of their provision by semesters or terms. They also placed the challenge of skills acquisition in the broader context of educational formation and relied largely on leadership at individual college and school level to develop links with employers. The NESC report said that FÁS, on the other hand, provided courses on a year-round basis using short modular skills acquisition programmes as well as longer courses. It noted that FÁS has endeavoured to address specific employers' and workers' demands. Other statutory VET providers include Bord Iascaigh Mhara (seafood industry training), Fáilte Ireland (tourism) and Teagasc (agricultural training). Enterprise Ireland, the national SME development agency, funds the provision of management and enterprise-related skills development programmes; all of these programmes are delivered by external training providers. The network of 35 County and City Enterprise Boards soon to be replaced by Local Economic Offices fund the provision of training programmes to microenterprises. Other State agencies which fund training provision include IDA Ireland (responsible for foreign direct investment), Shannon Development (the regional development organisation for the mid-west region) and Údarás na Gaeltachta (the development authority for Gaelic speaking areas). 2.2.5. Teachers and trainers The OECD study of VET in Ireland highlighted as a deficiency the fact that many of teachers/trainer looking after VET students, in particular those in companies, Page 30 of 50
lacked pedagogical training. The OECD recommended that, as a first measure, all VET teachers, trainers and instructors should have some pedagogical training, and, as a longer-term goal, supervisors of VET students (e.g. apprentices, trainees) in companies should also be offered pedagogical training. The OECD study observed that FÁS had paid attention to the pedagogical development of its instructors, with the aim of ensuring that they held at least a Foundation diploma in Education and Training (or higher levels, e.g. certificate or diploma). But holding a pedagogical qualification was not compulsory for existing instructors (and there were limited incentives for them to acquire one). Thus, while new instructors were required to hold a Certificate in Training or equivalent, more than one third of FÁS instructors did not have a recognised pedagogical qualification. VET teachers in the former VECs i.e. the education half of the Irish VET system, were required by the Teaching Council, which regulates the teaching profession in Ireland, to complete a Postgraduate Diploma in Education or equivalent. In November 2009, the Teaching Council published the Teaching Council (Registration) Regulations, 2009 which set out the Council s requirements for persons wishing to become registered teachers in Ireland. Among the objectives of the regulations is the achievement of consistent standards in the qualifications required to be registered as a teacher, irrespective of whether the teacher will teach in the primary, post-primary, or further education sectors. Included in Regulation Five (Further Education) of those regulations is the requirement, with effect from 1 April 2013, for applicants for registration to have attained, inter alia, a Council-approved further education teacher education qualification. 2.2.6. Challenges, opportunities A recent report on the Irish further education and training system by the National Economic and Social Council for the Department of Education and Skills noted that the quality of data collection is inconsistent in the FET system. In particular, it stated that data collection in the former Vocational Education Committee (VEC) area was very weak. The report pointed out that the effective evaluation of many FET programmes was undermined by poor input, output and outcome reporting at the level of individual learners. It found that the monitoring of outputs and outcomes of FET programmes needed to be improved as also did labour market intelligence. With the establishment of SOLAS in late 2013, it is expected that many of the issues associated with the weak FET data infrastructure will be addressed. In February 2014, SOLAS initiated the Programme and Learner Support System (PLSS) project, which aims to establish a comprehensive database on publically Page 31 of 50
funded FET programmes, courses and learner characteristics, including course outcomes (e.g. transition to labour market, where relevant). Although initiated, these data systems are still in development, and data issues relevant to the FET system remain for the moment. 2.3. Other forms of training As a general policy, the Government takes the view that the provision of continuing vocational education and training to people at work is primarily the responsibility of employers. Employers are the main source of funds for training for the employed, through their direct funding of in-company training and their financial contributions to the National Training Fund (NTF). The NTF is mainly resourced by a levy on employers of 0.7% of reckonable earnings of employees in certain employment classes and it is collected through the PAYE/PRSI system. Responsibility for the NTF transferred from the Department of Jobs, Enterprise and Innovation to the Department of Education and Skills in 2010. NTF expenditure in 2010 was 395m, while the allocation for 2011 was 362m. Some 314m of the 2011 allocation, or close to 87%, was in respect of training provided by FÁS; other bodies which received NTF funding included Enterprise Ireland, IDA Ireland and Shannon Development. The fund provides for expenditure on training for those seeking employment, training for persons in employment, literacy and numeracy, training for those in the community and voluntary sector and also provides funding for the identification of existing and future skills needs for the economy. There are a wide variety of non-governmental providers of vocational education and training. Some of this VET provision is Government-funded; as an example, the training division of FÁS utilised private and not-for-profit organisations to deliver publicly-funded vocational training programmes. There are also examples of VET provision with mixed public and private sector funding. Skillnets, founded in 1999, and funded from the National Training Fund (NTF) through the Department of Education and Skills, supports enterprises to address their current and future skills needs. Groups of companies in the same region/sector with similar training needs are funded to form training networks that deliver subsidised training to the businesses. Page 32 of 50
CHAPTER 3. Shaping VET qualifications 3.1. Methods used to anticipate labour market needs The Department of Education and Skills, along with two agencies under its aegis, SOLAS and the Education and Training Boards, has overall responsibility for the development of vocational education and training skills. The Expert Group on Future Skills Needs (EGFSN) provides advice to the Department of Education and Skills and the Department of Jobs, Enterprise and Innovation on current and future skills needs of the economy and on other labour market issues that impact on Ireland s enterprise and employment growth. It has a central role in ensuring that labour market needs for skilled workers are anticipated and met and provides guidance in areas of future skills needs and conversion programmes. The Expert Group is assisted by the Skills and Labour Market Research Unit (SLMRU) in SOLAS previously the Unit was situated in FÁS which undertakes research with the aim of assisting policy formulation in the areas of employment, education/training and immigration and of informing career guidance advisors, students and other individuals making career and educational choices. The SLMRU produces two annual reports on behalf of the EGFSN: the National Skills Bulletin is an annual report on skills and occupational trends in Ireland. The bulletin draws on data on employment, vacancies, job announcements and immigration and other qualitative information held in the National Skills Database (NSD) to identify imbalances in the Irish labour market at occupational level; the Monitoring Ireland s Skills Supply: Trends in Education/Training Outputs examines the outputs from the Irish education and training system. This report provides data from a variety of sources on education and training outputs in all sectors of the formal education system in Ireland (primary, post-primary, further education and training, and higher education) across the ten levels of the National Framework of Qualifications (NFQ). Originally developed in 2003 by the SLMRU, the NSD collates all available information about the supply and demand of skills in Ireland. It provides a platform for the timely analysis and forecasting of the labour market at occupational level. The data held in the NSD is classified using the Standard Occupational Classification System (SOC 2010). The National Skills Database Page 33 of 50
was further extended in 2010 to include an occupational employment forecasting model. In addition, SLMRU publishes Vacancy Overview on an annual basis which provides an overview and analysis of the demand for labour as measured by trends in newly advertised job vacancies through both public and private sources. EGFSN/SLMRU also produce occasional sectoral skills studies on key areas such as bio-pharma and green industries. The Unit in conjunction with the Economic Social Research Institute (ESRI) produce a series of Occupational Employment Forecasts every three years. These provide forecasts for 43 different occupational groups over a 5 10 year periods. The studies serve to provide guidance to policy makers and career advisors. They are also used in the development of National Skills Strategy to address medium-term occupational employment trends. Forfás, the policy advisory board for enterprise, trade, science, technology and innovation, also provides research and secretariat support services to the Expert Group. In 2012, Forfás published guidelines for the network of VECs In aligning further education provision with the skill needs of enterprises (these guidelines were updated in 2013). The guidelines were based on research commissioned by the Department of Education and Skills and aim to assist VECs now integrated into the network of ETBs in responding to current and future skills needs in the economy. SOLAS, the new further education and training authority, in which the SLMRU is located, has an important role to play in improving the match between supply and demand of labour market-related skills. The over-arching objective of SOLAS is to strengthen the FET sector and within this remit, it has the following strategic objectives: leading and co-ordinating the change management process of integrating FET institutions and programmes; co-ordinating and managing the funding and performance of FET programmes; leading the modernisation of FET programmes to ensure that they are focussed on the lifelong needs of learners, especially jobseekers, and are flexible and relevant to the needs of the labour market. As part of its mission to achieve these objectives, SOLAS will work closely with a wide range of stakeholders including learners, employers, Education & Training Boards, Government departments, state bodies, Quality and Qualifications Ireland, the Higher Education Authority, Institutes of Technology and representative organisations. Page 34 of 50
Within the higher education sector, the Higher Education Authority (HEA) plays a key role in advising the Department of Education and Skills on policies and objectives to be set for the sector. The HEA is the statutory planning and policy development body for higher education and research and is the funding authority for the universities, institutes of technology and a number of other designated institutions. The establishment of the National Training Fund (NFT) in 2000, gave the social partners and in particular employers, a policy and consultation forum regarding the allocation of funding for skills training for the employed. Employers and trade unions have representatives on the board of SOLAS and are represented on the EGFSN to assist in the identification of specific skill and qualification needs; additionally, employers and trade unions also have representatives on QQI. The CEDEFOP Spotlight on VET: Ireland report (CEDEFOP, 2013) stated that recent reforms of the Irish VET sector have focused on improving relevance of VET training by aligning provision with labour market needs. 3.2. Design process and qualification designers The curriculum for primary and post-primary schools is determined by the Minister for Education and Skills who is advised by the National Council for Curriculum and Assessment (NCCA). The curriculum sets out what is to be taught and how learning in a particular subject area is to be assessed. Established as a statutory body in 2001, the remit of the NCCA is to advise the Minister for Education and Skills on curriculum and assessment from early childhood to the end of second level; engage with learners, teachers, practitioners, parents and others to support innovation in schools and other educational settings; and undertake, use and share research as a basis for advice and debate on education. The Council of the NCCA comprises representatives of teachers, school managers, parents, business and trade unions and other educational interests including the State Examination Commission (SEC). The SEC is under the aegis of the Department of Education and Skills and is responsible for the development, assessment, accreditation and certification of all qualifications taken in second levels schools. The Commission is responsible for the Junior Certificate and Leaving Certificate examinations, the terminal examinations for the Junior and Senior Cycles respectively within the second level system. Page 35 of 50
In 2012, the Government established a new organisation, Quality and Qualifications Ireland (QQI), which replaced the Further Education and Training Awards Council, the Higher Education and Training Awards Council and the National Qualifications Authority of Ireland and incorporated the functions of the Irish Universities Quality Board. QQI is responsible for the external quality assurance of further and higher education and training (including English language provision) and validates programmes and makes awards for certain providers in these sectors. QQI is also responsible for the maintenance, development and review of the National Framework of Qualifications (NFQ). The NFQ, launched in 2003, is a system of ten levels used to describe the Irish qualifications system. Each level is based on nationally agreed standards of knowledge, skill and competence and reflects what an individual is expected to know, understand and be able to do following successful completion of a programme of learning. Almost all awards made through the Government-funded sector, and many in the private sector, have been placed on the NFQ. The structure of the NFQ is based on award levels and types. There are ten award levels, which indicate the standard of learning (ranging from the most basic to doctoral awards). There are four award types major award, minor award, special purpose award and supplemental award which serve as an indicator of the purpose, volume and progression opportunities associated with a particular award. In 2009, the NFQ was referenced to the eight-level European Qualifications Framework (EQF), and consequently any award placed on the NFQ has a corresponding place on the EQF. The NFQ was formally aligned with the Framework for Qualifications of the European Higher Education Area (the 'Bologna' Framework) in 2006. Within the further education sector, QQI is responsible for validating awards for NFQ Levels 1 6 made by the network of Education and Training Boards. Additionally, other awarding bodies such as City and Guilds also make awards to learners in Ireland that have been aligned with the NFQ at award level. The universities, Dublin Institute of Technology and the Institutes of Technology with delegated authority from QQI make awards to learners in the higher education sector. Other Government-funded colleges generally grant awards that are validated by Quality and Qualifications Ireland. Private colleges may grant awards that are validated by QQI or external bodies such as foreign universities. Quality and Qualifications Ireland is implementing a new national awards system in the further education and training (FET) sector. Originally developed by FETAC, one of QQI s predecessor organisations, the FET national award system Page 36 of 50
provides awards at NFQ levels 1 6. The new system, known as the Common Awards System (CAS), is part of a national commitment to a higher quality experience for learners when they enrol on a course or programme. Learners will require 8 minor or component awards to achieve a major award under CAS, 2 more than were required under the former system. Under CAS, all QQI awards will have a common structure and common characteristics and features such as title, level, volume, profile, assessment and grading. Since December 2013, all registered FET providers offering validated programmes leading to QQI awards only use awards that are part of CAS. The accompanying Credit Accumulation and Transfer System (CATS) provides new opportunities for FET learners to make all their achievements count more easily across the growing range of transfer and progression opportunities. As CAS is compatible with ECVET, the European Initiative promoting mobility for learners, learners can use the credits they have gained as a common currency. SOLAS has a quality remit in relation to the FET sector. Its functions include the development of new and existing further education and training programmes including the establishment of systems designed to monitor the quality of the education and training being delivered and ensuring that those programmes serve their purpose. As part of SOLAS s monitoring role, it will be concerned with measuring the outcomes of training provision a key concern of the Bruges Communiqué that VET curricula should be outcome-oriented and more responsive to labour market needs. Traditionally in Ireland, formal qualifications have had, and continue to have, a high status. Mobility within the education and training system has typically depended on holding formal education and training qualifications, and formal qualifications continue to be a pre-requisite for access to the majority of courses in higher education; only in limited circumstances are non-formal and informal education accepted for higher education entry. Nonetheless, in 1999, Ireland s Qualifications (Education and Training) Act made provision for learners to seek awards directly from FETAC (now part of QQI) or HETAC (now part of QQI) without having participated in specific, formal programmes, thereby introducing in law recognition for prior learning (RPL). In June 2005, the National Qualifications Authority Ireland (NQAI), now part of QQI, adopted and published National Principles and Operational Guidelines for the Recognition of Prior Learning (see NQAI 2007). The guidelines were developed with the assistance of an Advisory Group drawn from diverse sectors of education and training and address issues of quality, assessment, Page 37 of 50
documentation and procedures for the review of policy and practice. They aim to encourage the development and expansion of processes for RPL so that providers and awarding bodies may: communicate their commitment to the recognition of prior learning; bring coherence and consistency to the recognition of prior learning; remove difficulties that may confront an applicant wishing to transfer within and between the different education and training sectors. In the further education and training sector (where most VET in Ireland takes place), providers are responsible for the facilitation of learners through RPL for access to programmes, exemptions from or credit for programme to requirement and access to formal awards. In third level education, RPL tends to focus on prior certificated learning, rather than non-formal and informal learning. The recognition of non-formal and informal learning, usually known as the accreditation of prior experiential learning, tends to vary from one institution to another, or to be confined to determine access for particularly particular learner groups (e.g. mature students) and specific fields of learning (e.g. nursing). The OECD Education Policy Outlook: Ireland report noted that Ireland has a comprehensive national qualifications framework that includes vocational and general qualifications, which can help remove dead ends as students progress through their education. It said that in 2011, the probability of graduating from pre-vocational or vocational programmes was 69%, well above the OECD average of 47%. Page 38 of 50
CHAPTER 4. Promoting participation in VET 4.1. Incentives to promote participation in vocational education and training 4.1.1. Incentives to learners There are a number of programmes which are designed to promote participation in VET in Ireland, particularly for mature students or students from a disadvantaged background. Many of the vocational education and training programmes provided by the VECs (now subsumed into the ETBs) such as Post Leaving Certificate courses of more than one-year duration are free of charge to students. It is important to point out that the majority of primary and secondary education provided in Ireland is free and that students attending undergraduate courses at third level institutions do not have to pay tuition fees (they may have to pay registration fees) as these are paid by the Government. Other VET provision incorporates the subsidisation of the cost of participation for participants. Funding for apprenticeship training is sourced from the employer-levied, National Training Fund (NTF), together with Exchequer funding. The NTF funds most of the costs of apprenticeship training undertaken in FÁS, whereas the government funds most of the costs of the apprentices training undertaken in the education system, i.e. in the Institutes of Technology. Under the Irish apprentice system, the apprentices are employees of companies under an apprenticeship contract. During the on-the-job phase of the apprenticeship training, employers contribute to their support through the payment of an agreed industrial apprentice wage rate, which is a percentage of the full (adult) craft worker wage which may vary depending on the occupation and employer. During off-the-job training, all apprentices are paid an allowance by FÁS and, where appropriate, a contribution towards travel or accommodation costs. During the periods of off-the-job training and education, the state, through FÁS, pays an allowance equivalent to costs for participants attending Traineeships programmes, designed to enable the unemployed access the labour market. The Back to Education Initiative (BTEI) provides part-time courses for over 16s, and is aimed principally at those who have not completed Leaving Certificate (or equivalent) qualification. BTEI gives individuals the opportunity to combine a return to learning with family, work and other responsibilities. The Page 39 of 50
initiative is available to any individual who has left full-time education although priority is given to those with less than upper second level education. A number of programmes are available for unemployed people, single parents or people with a disability to access full or part-time VET provision. These include: Education, Training and Development Option; Back to Education Allowance (BTEA); Part-Time Education Option (PTEO); Vocational Training and Opportunities Scheme (VTOS). Under the Irish tax code, learners may be able to charge VET tuition fees against their income tax liability. The tax relief covers third level tuition fees paid by an individual to an approved college in respect of an approved course. Tax relief is also available for fees paid by an individual for certain training courses in foreign languages and information technology. 4.1.2. Incentives for employers Due to the heavy male bias in the designated apprenticeships, FÁS provides a bursary for employers in the public and private sectors to recruit female apprenticeships. The bursary provides a total grant of 2,667 to each employer for each female apprentice recruited. The grant is a contribution towards wage and other apprentice costs over the first 28 weeks of phases 1 and 3 (the on-thejob phases) of the apprenticeship. The bursary is provided by FÁS as part of its action programme for women, Women in Focus, which seeks to provide opportunities for women to broaden their career options into new and nontraditional areas of work. A number of industry/sectoral representative organisations such as IBEC (Irish Business and Employers Confederation) and the Small Firms Association (IBEC s SME affiliate), ISME (the Irish Small and Medium-sized Enterprises association), and the Irish Construction Industry Federation (CIF), provide either financial or other incentives to promote training practices among their membership. They also contribute to enterprise-based continuing vocational training activities through their participation in the industry-led Skillnets Training Networks Programme. 4.1.3. Incentives for VET providers As a significant share of VET provision in Ireland is through the public funded sector, incentives for providers are constrained by funding available from Government. Nonetheless, in late 2012, a new programme, Momentum, which is part of the Government s Pathways to Work Strategy, was designed to provide short training courses, primarily in VET, leading to employment opportunities for Page 40 of 50
the long term unemployed and unemployed young people aged less than 25 years. Training is provided in specific sectors where SOLAS research has identified skills shortages. One of the features of training offered to the unemployed under the Momentum programme is that VET provider is financially incentivised to achieve high employment related outcomes for participants on courses. This is the first time that such an incentivised contract of this nature has been offered to individual providers by the public sector in Ireland. Contracts may be offered to a wide range of VET providers, both public and private. 4.2. Guidance and counselling structures Guidance and counselling services in relation to vocational education and training opportunities are provided at different levels within the Irish education system. The Education Act (1998) states that second levels schools shall use their available resources to ensure that students have access to appropriate guidance to assist them in their educational and career choices. Guidelines prepared by the Department of Education and Skills specify that a guidance programme be part of a school plan and identifies the central role of the guidance counsellor as well as the important contribution of different members of staff to the role of guidance. Within the higher education sector, all of the universities and most of the Institutes of Technology offer a careers service to students. The main provision is targeted at final year students and recent graduates though some career services have started to provide careers education in the curriculum of undergraduate courses. The Careers Advisory/Appointments Office provides information on educational and employment opportunities to students and graduates. Students can meet with a Careers Adviser for educational and career guidance. Guidance in the FET sector is aimed at students and adults aged over 18, attending programmes on Levels 1 6 of the National Framework of Qualifications. Individual FET colleges under the aegis of the Education and Training Boards provide guidance supports focusing on educational, personal, social and career opportunities. Guidance for mature/second chance students returning to the education and training sector is available from the Adult Educational Guidance Service (AEGS) within the ETB network which provides personal, educational and vocational guidance which supports learners to make informed decisions about course choice and certification if required, progression plans and recognition of prior learning. Page 41 of 50
Students at second level education and above can access a range of online career guidance portals such as Qualifax (www.qualifax.ie) and Career Directions (www.careerdirections.ie). The National Centre for Guidance in Education (NCGE) is an agency under the aegis of the Department of Education and Skills tasked with policy on guidance counselling. The aims of NCGE are to: promote the implementation of best practice in guidance and counselling in schools, centres for education, and adult education settings in accordance with the requirements of the Education Act 1998; advise on high quality and relevant initial guidance counselling education and training and provide continuing professional development (CPD) for guidance practitioners; promote the implementation of best practice in guidance and counselling in both formal and non-formal settings in accordance with national priorities; advise on policy and strategies for the promotion of a continuum of guidance in the context of lifelong learning (NCGE is responsible for the Adult Educational Guidance Initiative). NCGE contributes to European developments through the exchange of information on guidance provision and practice with other guidance and employment services, through the Euroguidance Centre in Ireland (hosted by NCGE) and in other EU Member States. Page 42 of 50
List of abbreviations AEGS BTEI CAS CSO CTCs DES DJEI DSP EGFSN ETB FET FETAC FIT FÁS HEA HETAC IBEC ICTU ILO JA JB LEO LCA LCVP LR LTI LTU NALA NCCA NCGE NEET NESC NFQ NQAI NSD NSS NTF Adult Educational Guidance Service Back to Education Initiative Common Awards System Central Statistics Office Community Training Centres Department of Education and Skills Department of Jobs, Enterprise and Innovation Department of Social Protection Expert Group on Future Skills Needs Education and Training Board Further education and training Further Education and Training Awards Council Fastrack to Information Technology National Training and Employment Authority [Foras Áiseanna Saothair] Higher Education Authority Higher Education and Training Awards Council Employers representative organisation (Irish Business and Employers Confederation) Irish Congress of Trade Unions International Labour Organization JobSeeker s Allowance JobSeeker s Benefit Local Enterprise Offices Leaving Certificate Applied Leaving Certificate Vocational Programme Live Register Local Training Initiatives Long Term Unemployed National Adult Literacy Agency National Council for Curriculum and Assessment National Centre for Guidance in Education Not in employment, education or training National Economic and Social Council National Framework of Qualifications National Qualifications Authority of Ireland National Skills Database National Skills Strategy National Training Fund Page 43 of 50
OECD PLCs PTEO QNHS QQI SEC SLMRU SOLAS SST STP VECs VTOS Organisation for Economic Co-operation and Development Post Leaving Certificate courses Part-Time Education Option Quarterly National Household Survey Quality and Qualifications Ireland State Examination Commission Skills and Labour Market Research Unit Further Education and Training Authority [An tseirbhís Oideachais Leanúnaigh agus Scileanna] Specific Skills Training Specialist Training Providers Vocational Education Committees Vocational Training Opportunities Scheme Page 44 of 50
Sources, references and websites Cedefop (2011). VET in Europe: country report Ireland. http://libserver.cedefop.europa.eu/vetelib/2011/2011_cr_ie.pdf Cedefop (2013). Spotlight on VET: Ireland. http://www.cedefop.europa.eu/en/files/8044_en.pdf Central Statistics Office - CSO (2013). Statistical Yearbook of Ireland 2013. http://www.cso.ie/en/releasesandpublications/statisticalyearbookofireland/sta tisticalyearbookofireland2013edition/ City and Guilds (2013). Young people and vocational choices in Ireland. http://www.skillsdevelopment.org/pdf/young-people-and-vocational-choicesin-ireland.pdf Department of Education and Skills (2012). An Action Plan for SOLAS (An Seirbhísí Oideachais Leanúnaigh Agus Scileanna) The new Further Education and Training (FET) Authority. http://www.education.ie/en/publications/policy-reports/an-action-plan-for- SOLAS.pdf Department of Education and Skills (2013). Apprenticeship review: background issues paper. http://www.education.ie/en/publications/policy- Reports/Apprenticeship-Review-%E2%80%93-Background-Issues- Paper.pdf Forfás (2013). Guidelines for VECs in aligning further education provision with the skills needs of enterprise, 2013 Update. https://www.education.ie/en/schools-colleges/services/further-educationand-training/back-to-education-initiative-btei-/2013-guidelines-for-vecson-meeting-the-skills-needs-of-enterprise.pdf Government of Ireland (2013a). Education and Training Boards Act 2013. http://www.irishstatutebook.ie/2013/en/act/pub/0011/ Government of Ireland (2013b). Further Education and Training Act 2013. http://www.irishstatutebook.ie/2013/en/act/pub/0025/ Government of Ireland (2012a). Pathways to work: Government Policy Statement on Labour Market Activation http://www.welfare.ie/en/downloads/pathwaystowork.pdf Government of Ireland (2012b). Qualifications and Quality Assurance (Education and Training) Act. http://www.irishstatutebook.ie/2012/en/act/pub/0028/index.html National Competitiveness Council NCC (2013). NCC Submission to the Action Plan for Jobs 2014. http://www.forfas.ie/publication/search.jsp?ft=/publications/2013/title,11400, en.php Page 45 of 50
National Economic and Social Council NESC. (2013) A Strategic Review of Further Education and Training and the Unemployed: a review undertaken by J. Sweeney for the Department of Education and Skills. http://www.nesc.ie/assets/files/sec_non_nesc_papers/a%20strategic%20r eview%20of%20fet%20and%20unemployed_oct13.pdf National Qualifications Authority of Ireland (2009). Ireland: Country Education Profile http://www.qualificationsrecognition.ie/documents/irishcepoctober2009fina l.pdf National Qualifications Authority of Ireland (2007). Country Background Report on the Recognition of Non-formal and Informal Learning. http://www.nqai.ie/publication_aug2007.html OECD (2013). Local Job Creation: How Employment and Training Agencies Can Help. OECD Local Economic and Employment Development. OECD (2013), Education Policy Outlook: Ireland. http://www.oecd.org/edu/educationpolicyoutlookhighlightsireland.htm Teaching Council (2011). Further Education: General and Programme Requirements for the Accreditation of Teacher Education Qualifications. http://www.teachingcouncil.ie/_fileupload/teacher%20education/finalfeg eneralandprogrammerequirements.pdf Page 46 of 50
ANNEX 1. Statistical data Table 8. Population Change in 2012 ( 000s) Source: Eurostat s News Release 173/2013, issued 20 November 2013. http://epp.eurostat.ec.europa.eu/cache/ity_public/3-20112013-ap/en/3-20112013-ap-en.pdf Page 47 of 50
Table 9. Eurostat Labour Force Surveys Unemployed persons in 2012: number, unemployment rate, share of long-term unemployment by gender, and youth unemployment rate and ratio Source: Eurostat. Page 48 of 50