What the D in OECD stands for

by Barbara Ischinger
Director for Education

Did you know that the Organisation for Economic Co-operation and Development helped to lay the groundwork for the United Nations’ Millennium Development Goals? Even though Development is part of our name, there are many people who don’t realise just how much of our resources are devoted to developing economies and not only to the development of the OECD’s 34 member countries.

The focus of this year’s International Economic Forum on Africa, held at the OECD’s Paris headquarters in early October, was youth employment, but this issue cannot be separated from another one just as important:  education. The African Economic Outlook 2012 notes that in Egypt, for example, about 1.5 million young people are unemployed at the same time that private-sector firms cannot fill 600 000 vacancies. And in South Africa, there are 3 million young people who are neither in education nor employed and 600 000 unemployed university graduates, yet 800 000 jobs are vacant. At the Forum itself, I heard many participants ask themselves whether they were equipping their students with the skills their economies needed.

This is exactly where the OECD’s expertise in collecting and analysing data can help. Already, many of the countries and economies that participate in the OECD’s Programme for International Student Assessment (PISA) are in the developing world; but we think all countries would benefit from even greater participation by developing countries. By participating in PISA, countries can see whether the skills they are teaching their 15-year-olds are relevant to “real life”. They can also learn from other countries’ experiences how to improve their own education systems, and can benchmark their progress over time. The assessment, itself, benefits by gaining a deeper understanding of student performance in a broader range of countries and cultural contexts.

We have completed a review of Egypt’s system of higher education and have also reviewed the education systems of South Africa, Gabon and Mauritius. These in-depth analyses – conducted in close collaboration with local actors, regional organisations and other international partners – can guide countries in reforming their education policies so that students leave school with the skills needed to participate productively in the economy. We also stand ready to work with our partners – in Africa and elsewhere – to build stronger links between labour markets and education systems. That would help to avoid the situation, seen in so many countries, where universities train students to become civil servants when what the country or region really needs are engineers and health workers – and also people with the mid-level trade, technical and professional skills that can be acquired through well-designed vocational programmes. At the moment, vocational education accounts for only 5% of training among African youth.

As the 2015 target date for achieving the Millennium Development Goals approaches, the international community has begun to consider a framework for goals beyond 2015. For the first set of goals, progress in education is measured by access; I hope that future goals will complement such measures by looking at learning outcomes. Again, this is one of the OECD’s specialties, and we’re keen to offer our work and expertise to an even larger number of countries. I thought you’d want to know.

Links:
OECD Development home page
The OECD and the Millennium Development Goals
OECD Strategy on Development
The OECD Strategy on Development: Giving fresh impetus to a core mission
2012 International Economic Forum on Africa
OECD Skills Strategy
Photo credit: Orphan students in Swaziland / Shutterstock

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Are countries educating to protect against unemployment?

by Dirk Van Damme
Division Head, Innovation and Measuring Progress (IMEP) and Head of Centre for Educational Research and Innovation (CERI)

More people than ever before now reach a level of educational attainment equivalent to upper secondary education. The available evidence is very conclusive: this level of education can be considered a minimum level to ensure a job and a living wage. As the latest issue of the OECD’s Education Indicators in Focus details, the difference in unemployment risks in OECD countries between individuals with and without an upper secondary qualification is significant. In 2010, across OECD countries, 19.1% of 25-34 year-olds without an upper secondary qualification were unemployed, compared with 9.8% of young adults of the same age who had an upper secondary qualification. And without an upper secondary qualification, the risk of poverty is looming: some 27% of people without an upper secondary education earn less than half the median income – around 10 percentage points more than the proportion of people who do have that level of education.

The negative effects of lacking an upper secondary qualification are excacerbated during the crucial phase of transition from education to work. Among NEETs  (not employed nor in education and training) in 2010, there were 8 percentage points more 20-24 year-olds without an upper secondary education than 20-24 year-olds with that level of education. In 2010, in Estonia, France, Ireland, the Slovak Republic and Spain, at least 25% of the 20-24 year‑olds who had not attained an upper secondary education were neither in school nor employed.

So, countries have very good reasons to ensure that as many young people as possible graduate from upper secondary education. Over the past decades almost all OECD countries have seen dramatic increases in educational attainment from one generation to the next. The average difference between the 25-34 and 55‑64 year‑old generations in OECD countries was 20 percentage points, but in Chile, Greece, Ireland, Italy, Korea, Portugal and Spain the difference was 30 percentage points or more.

Most OECD countries – especially European ones – have increased their upper secondary graduation rates over the past ten years. As the graph above indicates, this trend coincided with declining numbers of 20-24 year-olds who were neither in education nor employed. But the start of the economic crisis in 2008 was a turning point: the size of the NEET population started to swell again. The wage gap between people with an upper secondary qualification and individuals with a tertiary level qualification increased. The evidence suggests that the crisis has accelerated job polarisation based on skills levels. People without an upper secondary qualification are highly vulnerable to unemployment, while those who have an upper secondary education are working for less money. In today’s unstable economy, an  upper secondary qualification no longer provides sufficient insurance against unemployment and low income.

For more information
On this topic, visit:
Education Indicators in Focus: www.oecd.org/education/indicators 
On the OECD’s education indicators, visit:
Education at a Glance 2012: OECD Indicators: www.oecd.org/edu/eag2012 
On the OECD’s Indicators of Education Systems (INES) programme, visit:
INES Programme overview brochure
Chart source: Education at a Glance 2012: OECD Indicators, Indicators A1 (www.oecd.org/edu/eag2012).

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Welcome to my world. Won’t you come on in?

by Valérie Lafon
Analyst - Institutional Management in Higher Education

As a young mother, in relation to my children’s age, and being the ripe old age of 40, I am discovering the daily ritual of education.

Education, we believe, will make our children’s dreams real, open the door to knowledge and experiences, help them grow, and ultimately give them the tools to live a happy, well-rounded life with a fulfilling career.

Filled with goodwill, well-informed thanks to working at the OECD and steeped in the notion that higher education will provide my children with the best and most appropriate skills, I found myself, like many other parents, lost in this new environment.

Looking at all of these issues, different worlds having different rules with goals at times at odds with each other and difficult to reconcile. Five separate worlds…

The world of learning

A plethora of various stakeholders are saturating the media and students are fighting to be heard. Perhaps so many different players makes it difficult to figure out who wants what.

• How do these students see their future? What do they expect? What do they want?
• How to bring their aspirations into the debate?

The world of knowledge 

Mass higher education affects all countries and academic systems. Participation, role, impact, and responsability of higher education institutions have taken on greater significance and will continue to do so.

• How can institutions maintain and improve quality despite limited resources?
• Which institutional strategies are more effective to improve students’ learning experience and keep them engaged and motivated?
• How to help students, parents and governments make informed choices based on information that has been certified, verified and accepted internationally?

The world of public goods

Developed economies rely on skilled labour to drive productivity and economic growth as well as to support social cohesion. Besides, the economic benefit of higher education is good for individuals as well as society.

• How can governments, or should governments, steer higher education?
• How to hold on to the public good while faced with the commodification of higher education?
• How to reconcile individual aspirations, the public good and the economic reality?

The world of economics

As skills are a country’s future, each and every government should be thinking about how to manage these skills strategically. Erasing the “bright red dividing line” between education and work will require, among many other things, greater collaboration between education systems and industry.

• How to recreate the link between higher education and the job market?
• What skills does the knowledge economy need most and how to strike the balance between specific skills and generic skills?

Planet Earth

Lastly comes globalisation, the planet, English as the dominant language, the internet, facebook, twitter, McDonalds, the financial crisis and, within the higher education market, we can add rankings and student mobility. To be free to make the right choices, we need to understand the balance of power, and then the landscape becomes even more complex!

Sometimes at night, after the children have gone to bed, I think about the different colours of all these different worlds. How do we bring these worlds together and build bridges rather than remain in silos? The OECD is organising a conference in Paris from 17 to 19 September that will examine the issues around mass higher education. Governments, universities, students and the private sector will discuss the present and the future of higher education

I will be wearing two hats: that of a parent, and that of an OECD analyst. Will you join me?

Follow the Conference live on twitter @OECD_Edu and @OECDLive (#OECDIMHE)

Links:
General Conference 2012: "Attaining and Sustaining Mass Higher Education"
OECD Skills Strategy
Education at a Glance: www.oecd.org/edu/eag2012
Visit our interactive portal on skills: http://skills.oecd.org
Photo credit: World globes / Shutterstock

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Hooked to be connected!

by Lynda Hawe
Communications Officer, Centre for Educational Research and Innovation (CERI), Directorate for Education OECD

Concerned parents are becoming more and more anxious as they watch their bright children getting completely absorbed by and attached to new mobile devices.  Young people’s attachment to digital media and connectivity will shortly reach a level of almost universal saturation. In some OECD countries, more than 95% of 15-year-olds use an internet connected computer daily while at home. How many of us have experienced frustration while trying to get kids to actually listen, as their eyes remain glossily glued to their favourite pet gadget?  So just how worried should we really be? Well, it still remains difficult to clearly identify the risks or rewards of such behaviour, especially in relation to long-term learning and brain functions.  But first, let’s be reassured - it’s not all bad news!

The OECD’s Centre for Educational Research and Innovation (CERI) has just released an inspiring new publication called Connected Minds: Technology and Today's Learners, authored by Francesc Pedró. This book has wisely researched technology in relation to emerging issues for education.  Particularly, given that digital media and connectedness are an essential part of the lives of today’s learners, schools and teachers must now cope with the new responsibilities in relation to these skills.  This explorative book tackles the issue and helps to contribute to filling the knowledge gap.

Frankly, it’s not about the technology, but it’s all about connectedness. Connectedness, which is the capacity to benefit from connectivity for personal, social, work or economic purposes, is having an impact on all areas of human activity. Consequently, devices and gadgets are less important than the ability to be connected and seizing the opportunities that connectedness offers. Education is expected to play an important role in this transformation as it can equip individuals with the required skills for harnessing the opportunities that the knowledge economy and society offers.

In particular, teachers need to be well prepared in terms of the potential pedagogical benefits of new technologies. Challenges for schools and teachers are to better integrate the new digital media and the resulting innovative social practices into the daily experience of schooling.  With the objective to help learners to make the most out of connectedness, while enabling teachers to improve their skills. In addition, teachers should simultaneously pay attention to the different needs of learners and provide increased support to those who come from disadvantaged socio-economic backgrounds.

It is very reassuring to discover that Mobile Learning is emerging as one of the solutions to the challenges faced by education. As described in UNESCO’s Mobile Learning project, it offers unique characteristics in comparison to conventional e-learning: personal, portable, collaborative, interactive, contextual and situated.  As well as the fact that it highlights "just-in-time-learning", since instruction can be delivered anywhere and at anytime.

Nobody can predict what new technologies may bring, or how the teaching and learning experience in education will evolve over the next decade.  So in the meantime, let’s just stay aware of the learning opportunities, while keeping a caring eye on the gadget screens as well as a little clock beside the video-games, see Setting Computer Limits Tips.   Of course, not with the intention to deprive youngsters of all the fun, but just to ensure that the final rewards will fully outweigh any eventual risks.

Links:
OECD work on New Millenium Learners
Activities: Centre for Eduational Research and Innovation (CERI)
Photo Credit: © Eric Audras/Onoky/Corbis

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Older, wiser, better: ageing workforce and fast-track societies

by Julie Harris,
Consultant, Directorate for Education

Simple fact: older workers are leaving the labour force earlier than they did in the 60s and 70s. The retirement age declined steadily across OECD countries from the 1970s to the early 2000s. Over the past decade this drop has levelled off, with some countries experiencing a slight upturn. Despite this, apart from Japan and Korea, it is still significantly lower than in the 1960s and 1970s.

At the same time retirement age has been declining, life expectancy has been increasing. In many OECD countries, workers who retire can expect to live another two decades.

If this situation does not change, there will be twice the number of retirees per worker in OECD countries by 2050. You don't need to be an economist to understand that such an eventuality would pose a serious threat to living standards and tear deeply into the fabric of the social safety net.

So, what to do? How can governments move to remedy this situation? And what can companies do to better take advantage of senior employees' skills?

The OECD Skills Strategy states that both governments and companies should work to discourage early retirement. To keep older workers in the labour market, many countries have eliminated early retirement schemes, increased the official pensionable age and corrected distorted financial incentives to retire early. To tackle demand-side barriers to employing older workers, some countries have tried to balance labour costs with productivity by reducing employers’ social security contributions or providing wage subsidies for older workers. Lifelong learning and targeted training, especially in mid-career, can improve employability in later life as well and discourage early withdrawal from the labour market. A rise in the pensionable age also lengthens the period of time over which employers could recover training costs; hence, an attractive incentive to motivate more employers and older employees to invest in training.

Anne-Sophie Parent, Secretary General of AGE Platform Europe, an NGO that promotes the interests of people over 50 across Europe, is convinced that scrapping the mandatory retirement age is key to increasing the employability of older workers. This fixed age, she explains, is like the expiry date on a pot of yoghurt: the closer it gets, the more you're inclined to think of it as no good.

According to the OECD, employees between 25 and 54 are twice as likely to take part in job training as those over 55, confirming employers’ unwillingness to invest in senior staff. Removing the mandatory age would help make employers see older employees as valuable, she argues, giving them an incentive to invest in their skills through training.

Participation in job-related training over the last month, by age group, 2009
(As a percentage of the employed in the age group)

If doing away with the mandatory age is crucial, governments must also address certain significant workplace problems to help older workers get a foothold in the job market. Rodolphe Delacroix, Senior Consultant at consulting firm Towers Watson, cites the case of Finland, which pushed back the average retirement age three years by tackling work-related stress, strenuousness of work and work-life balance.

Delacroix adds that governments can use social and fiscal incentives to entice companies to hire people over 50 and set up progressive retirement plans that allow older employees to reduce their working hours over a number of years. These could replace early retirement plans, which have been the norm in countries such as France.

Companies, for their part, must make career planning an integral part of their human resources policy early on, he maintains. They need to manage the end of employees' careers well to ensure that knowledge and skills are passed on to younger employees.

Older workers are perfectly positioned to help countries maximise the use of skills, as outlined in the OECD Skills Strategy. They can develop relevant skills of younger workers, supply their skills to the labour market and put them to effective use. Indeed, it is hard to imagine how they can't be a boon to our crisis-ridden economies.

Links:
OECD Employment Outlook
Ageing and Employment Policies
Ageing and Skills: A Review and Analysis of Skill Gain and Skill Loss Over the Lifespan and Over Time
Data visualisation: Labour force participation by gender and age, 2010
Live Longer, Work Longer: Statistics on average effective age of retirement
Learn more about ageing societies on: http://www.skills.oecd.org
Photo credit: Young and old businessman / Shutterstock
Chart source:  Calculations based on the EU-LFS.

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“Creativity” is spelled with a “why”

by Marilyn Achiron
Editor, Directorate for Education

Here’s a science experiment for you: Take a standard-issue van. Equip it with household items – coat hangers, balls of string, maybe even a few potatoes – with which you could demonstrate certain basic scientific principles. Find someone who knows how to drive the van and teach that person some of those basic principles of science (or find someone who knows those basic principles and teach that person how to drive the van…). Send driver and van out into remote, disadvantaged villages. Observe how children react.

While waiting to amass the funds he needed to realise his dream of building a school in the Himalayas to develop creative leaders, Ramji Raghavan performed that little experiment – and discovered a way to ignite creativity. Thirteen years after the first van was sent out into rural India in 1999, the Agastya International Foundation, chaired by Raghavan, now dispatches 62 vans, most focusing on general science, but two specialising in ecology and one in the arts, across nine states in India, runs a Creativity Lab in the state of Andhra Pradesh, and reaches more than a million children – and their parents – each year.

“Creative people tend to be very good observers,” Raghavan noted during a recent visit to the OECD’s Centre for Educational Research and Innovation. “They are aware; they are able to associate different pieces of information, integrate them and apply them. These skills are all predicated on curiosity. But how do you spark curiosity?”

Raghavan, who was a banker in his early career (“when it was still a somewhat honourable profession”), found the answer to his question in hands-on, experiential learning. “People tend to remember things when they are personally engaged,” he says. That’s why the Agastya project also selects students with particular aptitude and interest and has them teach other children. Not only do these young teachers retain more of what they learn – some have even won special awards in national science competitions – but, through teaching, they also begin to develop other positive attitudes and behaviour – including, for example, empathy. “They begin to realise,” says Raghavan, “how difficult it is to teach.”

These unintended outcomes “can be more important than the original goal,” says Raghavan. “These children learn different ways of thinking and looking at the world.” For Raghavan, those different ways of thinking also need to be adopted by traditional teachers and schools. “We need a shift from ‘yes’ to ‘why?’ in school systems,” he says, “from looking to observing; from being passive to exploring; from textbook-bound to hands-on; from fear to confidence.”

Although the school in the Himalayas is still a dream, Raghavan has managed to change the reality for millions of young Indians who live a little closer to sea level. “There are magical moments in all our lives,” he says. “We may have found a way to deliver these kinds of transformational moments on a mass scale.”
Links:
Visit the OECD Centre for Educational Research and Innovation (CERI)
See related blog posts:
The “extra” in extracurricular activities
Skills revolution will come from the grassroots
Photo credit: Mobile Lab / © Stephan Vincent-Lancrin

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Understanding youth, unemployment and skills in Africa

by Denielle Sachs
McKinsey Social Sector Office

For those working on employment issues, one thing is clear: the tense imbalance between the demands of the labor market and the supply of appropriately skilled workers is reaching its breaking point. Last week, the McKinsey Global Institute launched, The world at work: jobs and skills for 3.5 billion people. The report found that by 2020 there could be as many as 40 million too few high-skill workers and up to 95 million too many low-skill workers out in the job market.
Avoiding such massive imbalances will require a radical approach to accelerate education and skills building, and to boost job creation for less-skilled workers. Anything less and we will see a growing shortage of high-skill workers, persistent joblessness for many low- and middle-skill workers, rising income inequality, and distressingly high rates of youth unemployment. The numbers are clear: by 2030, the world will have as many as 1 billion workers without even secondary education, and most of them will be living in India, South Asia and Africa.

A lot of institutions are looking at these issues , including OECD and their recently launched Skills Strategy. As part of our ongoing research on youth unemployment and the skills-jobs mismatch, we asked a few experts what a solution might look like for young people in Africa where the under 25 represent three-fifths of sub-Saharan Africa’s unemployed population, and 72 percent of the youth population lives on less than $2 a day.

First, we have to understand who we mean when we talk about the young and out-of-work in Africa. Fred Swaniker, Founder and CEO of the African Leadership Academy, tells us that, on average, she is an 18-year-old girl, living in a rural area, literate but not attending school. To his mind, entrepreneurship – both the technical skills and the mindset — is the answer. It should be an integral part of every child’s education whether that schooling be formal or informal.

 For the Chief Economist for the World Bank’s Africa Region Shantayanan Devarajan, the answer lies in productivity. “The challenge of youth employment in Africa is not just to create more wage and salary jobs but to increase the productivity, and hence earnings, of the majority of young people.” This can only happen by “first, increasing their basic skills, which they can take with them when they move to new enterprises; and second, creating jobs in the formal sector by improving the economy’s competitiveness, so that this sector can absorb more qualified workers into a productive workforce.”

In South Africa, a very specific socio-political context post-apartheid, Thero Setiloane, CEO of the Business Leadership South Africa, explains that access to education and the quality of that education (“Only 35 percent of the children in third grade are able to pass the literacy and numeracy tests.”) are major stumbling blocks. His preference is for a joint government-business solution. “Business must work with government to adapt the school curriculum… so that young people leave school ready for work. Training programs must be tailored to demand…We also need to build in incentives for businesses to address the social-capital deficit in poor communities.”

Moataz Al Alfi, CEO of the Egypt Kuwait Holding Company could not agree more. Coming from the Middle East where the “paradox of the labour markets”, as he calls it, is perhaps at its worst, he calls for “a solution that requires a strong partnership between business, with its urgent need for skilled workers, and government, which is charged with educating young people.” The region currently has the highest youth unemployment rate in the world, at 25 percent. And, on the heels of the Arab Spring, and in the midst of the lingering economic crisis, it is only expected to rise.  He too returns to the issue of a failing education system that does not prepare young people for the jobs that the market desperately needs to fill.

Links:
Join the debate and register for our online panel event on June 26th at 8am EDT //2pm CEST , featuring experts from the OECD and IFC
See also: OECD Skills Strategy

Visit our interactive portal on skills: http://skills.oecd.org
OECD Development Centre

Photo credit: African youth / Shutterstock

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The role of unions in developing a skilled workforce

by Randi Weingarten
President, American Federation of Teachers

As we slowly recover from the worst economic recession since the 1920s, labour markets around the world remain turbulent. We are facing more social and economic inequality with wages stagnating and many people dropping out of the workforce entirely.

How can the American Federation of Teachers and other trade unions around the world help?

First, unions should be viewed as part of the solution, not as something to overcome. Labour-management collaboration is essential to developing skilled workers and, in turn, to creating better jobs and higher salaries. Workers need to be represented at the bargaining table and—regardless of the trade or profession—unions can be an important partner. That is the key to developing a flexible, smart workforce ready and equipped to be full partners with management.

If our workforce is going to thrive in the 21st century, we need to begin by changing much about our approach to education—from inside the classroom and larger school environment, to how we care for children, to how labour and management work together across the world.

In every country, a flourishing economy requires a strong education foundation as well as the ability to innovate and to communicate. It also requires teachers who are prepared and supported on every level and who are invested in helping students succeed in school and in life.

In Singapore, for example, where I spent time with teachers and students earlier this year, schools are focused on growth and achievement. However, as I observed numerous diverse groups of children deeply engaged in learning, I saw nothing that could be construed as “teaching to the test”—something that educators in the United States continue to contend with. In Singapore and in other countries with high-performing education systems, schools have listened to their teachers and collaborated with them to ensure the best education practices are implemented.

Additionally, the OECD can work with education unions to collaborate on important skills-developing issues, including:

• Global teaching standards—These include guidelines to ensure high-functioning, well-prepared, continuously improving teachers in every classroom. However, teachers cannot do this alone. They should be given the continuous support and respect they deserve –which, in large part, means treating education as a shared responsibility.
• Educational  equality—We can address issues of educational inequality worldwide through expanding and enhancing the successful efforts of countries in which every child receives a good education regardless of economic status. We also need to level the playing field for poor children by ensuring the availability of early childhood education and wrap-around services. We can address these issues before they become significant obstacles to learning.
• Curriculum—Ensuring a well-rounded, robust curriculum that prepares students for the future is essential to advancing workforce preparation. A child’s studies should focus on accessing and sorting information to solve complex problems and develop higher-level thinking skills, as opposed to finding answers to simple questions learned by rote. Businesses can help prepare students through mentoring and internships, while at school we can offer more project-based learning to ensure the mastery of skills sets.
• Models of collaboration—The OECD and unions can disseminate examples of labour and management working together to solve problems. Sharing best practices and successful partnerships can help lead to greater and more effective co-operation.

Education by itself will not address the jobs crisis, nor can education by itself address inequality. But without education, the fight for jobs and fair societies cannot be won. We’re excited to take part in the process.

Links:
Trade Union Advisory Committee to the OECD (TUAC)
American Federation of Teachers
See also: OECD Skills Strategy

Visit our interactive portal on skills: http://skills.oecd.org

More blogs with Randi Weingarten:
‘An obligation to systematise success’
‘Internationalist, not isolationist’
Photo credit: Child hands on top of each other / Shutterstock

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