Nexus between Labor and Education

1. Nexus between Labor and Education

2. Nexus between Labor and Education • Whyisit so important? • Poverty and inequality in the region are perpetuatedthroughlowqualityeducation and lowqualityjobs. Inter-generationalpovertycycle can be brokenwithqualityeducation and positive school-to-worktransition. • Youth are facingverydifficultchallenges: High unemploymentrate, over-representation in the informal economy (precariousjobs) and highlevels of inactivity. • The level and quality of education impact directly on all those variables. Most vulnerable youth (who have less quality education) are worse off in the labor market. • Skills gap – Productive sector isnotfinding the skillsitneeds. • Changes in the world of work (and the future of work) -propelledbytechnologicalchange / 4th industrial revolution and new forms of economicinteraction- , demandadjustments in education (stronger socio-emotional and technicalskills, STEM). • Clashesbetweenprofessional training (typicallypart of labor sector) and formal education are notallowingstudents to transitionfromone to the other, curtailingtheiropportunities to find and securegoodjobs.

3. Coordination between Labor and Education Current challenges in labor market, marked by rapid technological change, the 4th industrial revolution, combined with inequality, skills gap and difficult situation of youth stresses the urgent need to coordinate inter-sectoral policies. The OAS, through its direct relationship with Ministries of Education and Labor, can greatly contribute towards that end.

4. Coordination between Labor and Education • A moment of opportunity at the OAS • At the highest hemispheric level, the Ministers of Labor and Education of the Americas have emphasized their commitment to collaborate EDUCATION MINISTERIAL (CIE) LABOR MINISTERIAL (IACML) • Work Plan 2017-2019 • Create an inter-sectoral group to develop initiatives in the following areas of collaboration: • Youth Employment and School-to Work Transition; • Technical Vocational Educational Training (TVET); • Modernizing Curricula and Training Systems; and • Identification of Future Trends and Skills • Plan of Action of Bridgetown • Further dialogue and cooperationbetween labor and educationministries to: • Ensuregreatercoordinationbetweeneducation, labor and employmentpolicies, and • Improve labor insertion of youth and other vulnerable groups • ActionsonTVET, labor marketinformationsystems, employmentservices.

5. Coordination between Labor and Education • Step toward cementing the regional political commitment through technical actions: “Inter-sectoral Workshop on Youth Employment: Coordination between Education and Labor.” (Brasilia, Dec.2016) • First Meeting at level of the Americas that brought together Ministries of Education and Labor, and other stakeholders. • Lessons learned and policy recommendations identified – Solid foundation for concrete actions

6. Coordination between Labor and Education • SOME LESSONS LEARNED AND POLICY RECOMMENDATIONS: • Incorporate aspects of the world of work and life skills in education and training • Reinforce labor market information systems to detect current and future occupational needs – Useful for education system, training providers and students deciding on career paths. • Improvecareercounseling and information in education and training systems • Deepen the relationship between technical education and training systems, and the private sector • Strengthen tripartite dialogue (employers, workers and government) in the development and execution of policies and programs.

7. Coordination between Labor and Education • SOME RELEVANT INITIATIVES • BRAZIL – Apprenticeship Law, allows youth enrolled in the vocational, science and technological education network to gain practical experience in medium and large enterprises. • PANAMA – Vocational and EmploymentOrientationProgram (POVE) developedjointlybybothMinistries to motivateyouth to studycareersmost in demand (emphasisonTVET). • JAMAICA - HEART Trust seeks to reintegrateyouththroughapprenticeships. • MEXICO – Employment Portal that inputs into training supply and providescomprehensiveinformationon the labor market. • CHILE – Inter-sectoral labor training program +CAPAZ, providesquality training linked to productive sector.

8. Regional Forum: Towards Concrete Solutions for Addressing Youth Employment in the Caribbean

9. Regional Forum: Towards Concrete Solutions for Addressing Youth Employment in the Caribbean The Future of Work • The Future of Work is being influenced by several key factors (Demographic Changes, New Technologies, Changes in Productivity and Production, New Business Models and New Forms of Contracting). • The focus for these changes should be on nurturing human talent at all levels of the education system and in the workplace as well. • Caribbean is facing some of the same issues in terms of skills mismatch, and youth employability, where young workers with good basic, technical and problem-solving skills are in short supply.

10. Regional Forum: Towards Concrete Solutions for Addressing Youth Employment in the Caribbean Creating the Workforce of the Future: Connecting Education to Employment • Youth comprise 25% of the population in the Caribbean, and the “window of opportunity” to increase economic growth by including young people in social economic and political processes is being lost. Youth in the region are not being provided with good opportunities for employment, and gender gaps, while narrowing, remain. • Programs to address unemployment for youth, who are one of the most vulnerable groups in society, work best when they combine training based on market demand, work experience and intermediation.

11. Regional Forum: Towards Concrete Solutions for Addressing Youth Employment in the Caribbean Session 2 – (cont.) • Improvement in skills training can be achieved by: Strengthening education systems and promoting lifelong skills-enhancing programs; Combining classroom teaching with practical on-the-job training; Conducting a mapping of skills of prospective workers, as well as those demanded by businesses to develop better national skills-enhancing strategies; Developing skills programs that are more responsive to the needs of the marketplace. • Governments have a key role to play in closing the skills gap. They do not need to spend more money, but to spend smarter, by prioritizing cost-effective policies, and taking a skills policy approach to reform education and training programs.

12. Regional Forum: Towards Concrete Solutions for Addressing Youth Employment in the Caribbean Successful Youth Employment Initiatives from the Region • The YUTE program in Jamaica is a US$7 million private sector initiative launched in Jamaica in 2010, in response to high levels of youth crime. • The MásCapaz (More Capable) youth program in the largest training program to date in Chile and focuses on women, the disabled and at risk young people.

13. Regional Forum: Towards Concrete Solutions for Addressing Youth Employment in the Caribbean • The Portal de Empleo initiative in Mexico is a National Employment Service platform that provides free information about employment, training and advice on the labor market. It also helps employers fill their vacancies. • The ILO has several tools to prepare youth for the job market: Formal apprenticeship systems; Work-based learning programs; Internships; and Data collection on the school-to-work transition. • Youth can be made “work ready” in a cost-effective way by improving on existing public skills training systems.

14. Regional Forum: Towards Concrete Solutions for Addressing Youth Employment in the Caribbean Recommendations: • Drawing on the Portal de Empleo model, establish a regional portal, beginning with a pilot to send skills where they are needed. • Internship programs should be launched with small businesses and not just with large firms. • Parents must be engaged in the skills training effort for youth. • Create and strengthen a multi-sectoral partnership for skills development • Implement a strategy of mainstreaming youth development in all sectors – tourism, agriculture, services, etc.

15. Regional Forum: Towards Concrete Solutions for Addressing Youth Employment in the Caribbean Recommendations cont’d • A paradigm shift is needed to inculcate the spirit of entrepreneurship in youth and in Caribbean society, in general. • Youth must be involved in advocacy efforts for “work readiness” programs, and they must actively participate in any proposals developed. • Gender issues are key, gender mainstreaming and using disaggregated data are important when skills development initiatives are being designed. • There must be harmonization of CDQ qualifications for different skills.

16. Regional Forum: Towards Concrete Solutions for Addressing Youth Employment in the Caribbean Next Steps: • A “Coalition of the Willing” created with the OAS, ILO, CDB and other interested parties to promote and mobilize efforts towards youth employment solutions. • The Coalition will work on two proposals agreed on by participants: (1) customizing Jamaica’s Apprenticeship program for other countries in the region and (2) the Virtual Policy Network being launched by the ILO in mid-December. The platform will also be enhanced to include the private sector, as well as gender aspects, with gender disaggregated data. • A follow-up meeting in April 2018, to assess progress.

17. Thank you! • Our work continues!