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The Impact of VET in Schools on Traineeship Completion

The Impact of VET in Schools on Traineeship Completion. Sinan Gemici NCVER. Training Completion. Background: Training completion for young people is a ‘hot topic’ in VET policy R eturns of training are tied to completion Non-completers may be vulnerable to negative labour market outcomes

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The Impact of VET in Schools on Traineeship Completion

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  1. The Impact of VET in Schools on Traineeship Completion Sinan Gemici NCVER

  2. Training Completion • Background:Training completion for young people is a ‘hot topic’ in VET policy • Returns of training are tied to completion • Non-completers may be vulnerable to negative labour market outcomes • Problem:Staggering dropout rates for apprentices and trainees • 43.6% for trade occupations • 45.7% for non-trade occupations • Question:Can VET in Schools help young people to complete?

  3. Quick Facts on VET in Schools Source: NCVER 2011

  4. Purpose & Research Question • Purpose:To examine the effect of school-based traineeships on training completion • Research Question:Do young people who commence a school-based traineeship have highercompletion rates than comparable youth who commence a traineeship after leaving school?

  5. Data • Apprentice & Trainee Destinations Survey (2008 & 2010) • Information on outcomes 9 months after leaving apprenticeship/traineeship • Initial sample: 5,966 trainees • Restrictions: • Only ages 15 to 19 • Exclusion of ‘existing workers’ • Final sample: 1,352 trainees School-based n = 398 (29.4%) Post-school n = 954 (70.6%)

  6. Are Groups Inherently Different?

  7. Creating Equivalent Groups All post-school trainees (n = 954) Compare groups on completion rates All school-based trainees (n = 398) Equivalent post-school trainees (n = 398)

  8. Equivalent Groups

  9. Equivalent Groups Propensity of taking up a school-based traineeship based on relevant background factors BEFORE MATCHING Propensity of taking up a school-based traineeship based on relevant background factors AFTER MATCHING

  10. Results • School-based trainees have a 13% higher completion rate compared to equivalent post-school trainees  effect is statistically significant What about GENDER DIFFERENCES? (Anlezark et al. 2006; Karmel & Liu 2011)

  11. Results by Gender • Males:School-based trainees have a 5% higher completion rate compared to equivalent post-school trainees  effect is not statistically significant • Females:School-based trainees have a 16% higher completion rate compared to equivalent post-school trainees  effect is statistically significant

  12. Outcomes for Female Completers

  13. Outcomes for Female Non-completers

  14. Why Did They Not Complete? • School-based: • Changed career (25%) • Got offered a better job (14%) • Lack of time (10%) • Post-school: • Changed career (29%) • Lost job/was made redundant (15%) • Didn’t like the type of work (11%)

  15. What Does It All Mean? • For young men, the traineeship modedoesn’t seem to matter • For young women, school-based traineeships • lead to higher completion rates (16%) • may be a good option for those who • are not university-bound • are unsure about tertiary study • want to ‘try things out’ • leave the door open for non-completers to undertake further study • may have non-economic benefits in terms of providing higher self-esteem/sense of accomplishment and life experience  further data/research necessary to confirm

  16. What about apprentices? • School-based apprentices have a 12% lower completion rate compared to equivalent post-school trainees. • The estimate is not statistically robust • Effect is sensitive to unobserved background variables • Not enough information available to model the selection decision • Sample sizes of school-based apprentices/trainees are small

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