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Protesting TVET without Results – Tips, Tricks, and Tools for Linking TVET to Industry to Better Serve Youth and the Economy

Thu, March 14, 11:15am to 12:45pm, Hyatt Regency Miami, Floor: Terrace Level, Hibiscus B

Group Submission Type: Formal Panel Session

Proposal

In 2020, over one fifth (22.4 percent) of global youth were not in education, employment, or training. A number that, notwithstanding SDGs 4 and 8, has actually increased from 21.7 percent in 2015 (O’Higgins/ILO 2019). Moreover, 4 in 10 young people never successfully transition into stable employment (Alam and Diego, 2019). This youth employment crisis is only compounded by continued demographic growth in developing countries, digital disruption caused by automation and artificial intelligence, and climate change among other global disruptions (IREX 2022). As a result, the school to work transition has become a pressing policy concern around the world and governments and donor institutions are increasingly turning to scaling technical and vocational education and training (TVET) as a response.

Developed countries, particularly in Europe, have a longstanding tradition of TVET and high returns to participants (Hoeckel 2007) resulting in TVET being seen as a viable pathway to decent employment. Global evidence on the impact of TVET programs is more mixed. In the 2018 World Development Report, the World Bank noted that “meta-analyses of programs from around the world find that less than a third have positive, significant impacts on employment and earnings.” More recently, JPAL reviewed 28 randomized evaluations and found that most of these programs modestly increased employment rates and just over half saw increased earnings. Some have even argued that given the relatively high cost of TVET, it is unclear that the modest benefits justify the costs (McKenzie 2017).

Examples of strong programs do exist and given the global challenges noted above, there is a need to idea what works in TVET to better serve youth and the broader economy. The 2018 World Development Report highlighted that common elements of successful TVET start with strong links with employers, teachers who have both good pedagogical skills and have up-to-date knowledge of the workplace, and integrate both classroom learning and work-based learning. In 2020, the Millennium Challenge Corporation (MCC) highlighted key lessons learned from its decade of investments in TVET – including focusing on employers as clients of TVET. JPAL noted in its review that “when designing vocational training programs, policy makers should consider incorporating practice work experience, skills certification, financial support, soft-skills training, job placement support, and a focus on sectors with strong demand for labor.” Finally, on the eve of submitting this proposal the World Bank, UNESCO, and the ILO released a new report providing guidance on “Building Better Formal TVET Systems.”

Underpinning all the recent evidence on what works in TVET is the need to meaningfully engage with the private sector. IREX with DAI and Crimson Capital and the Millennium Challenge Corporation with the Millennium Challenge Account - Georgia have used a range of different tools and approaches to better link TVET providers to industry from in depth sector assessments to target training to where skills are needed to introducing and scaling novel models of public-private governance in TVET. This panel will move beyond the theory and meta-analysis to collectively get our hands dirty to see what tools we can use in the field, how they worked, and what their strengths and limitations are. Specific tools and approaches to be covered include:

IREX and DAI will present two tools being used for private sector engagement as part of the $30 million USAID Forsah TVET project in the West Bank and Gaza. This first is a rapid sector prioritization (RSP) through a Competitiveness Appraisal Matrix (CAM) conducted by DAI and, the second is collaborative curriculum identification and development through Training Co-design Teams comprised of TVET, private sector, and youth representatives.

IREX and Crimson Capital will present on the creation and early activities of three Sector Workforce Councils (SWCs) established in agribusiness, information and communication technology, and wood processing as part of the $10 million USAID Private Sector-Led Workforce Development Activity in Kosovo. These SWCs serve as a primary platform for data exchange, stakeholder coordination, and implementation of workforce development solutions. The presentation will emphasize how SWCs can be leveraged to help the private sector articulate and advocate for its skill needs and how Data Swaps and targeted competitive grant programs can be used to operationalize SWCs.

MCC and a former director of the Millennium Challenge Account-Georgia will present two aspects of and lessons learned from the $16 million Industry-Led Skills and Workforce Development project in Georgia. The first is the use of Program Improvement Competitive Grants (PICGs) to provide financial, material, and technical assistance to existing TVET providers who proposed to work directly with employers to improve existing or develop new course programs. The second is a set of activities that promoted private sector-oriented policy reform and the improvement of the perception of TVET among Georgians – including through annual conferences and “TVET weeks.” A summary of findings will also be presented from an independent impact evaluation.

MCC will present on the $100 million Charaka Fund that provided grants to new and expanding centers that were interested in moving toward private sector-driven management. The grants included construction, curriculum, teacher training, and equipment. The centers selected two pathways to PPP governance. The pros and cons of each PPP governance model will be reviewed, the legal hurdles overcome, a description of the career centers that have been established in several of the centers, and anecdotal evidence of the success of each model.

These four programs offer a breadth of on-the-ground experience with how to get TVET to engage with and be responsive to the private sector. Following the presentations, the chair will invite the audience to engage in a participatory discussion of their experience with and the literature regarding these and similar tools. This will permit participants to walk away with a full spectrum of practical tools, examples of their use, lessons from the field, and references and resources to roll up their sleeves and join us in the hard work of TVET reform.

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