Vocational Education and Training

Background

Due to globalization processes and the ever-faster development of technology, the economic focal points of the world market have changed. Global companies have become central players in national economies. It has resulted in a new kind of market competition, in which regional cooperation is necessary in order to succeed. Flexible adaptation has come to the forefront. Smaller states, including most countries in the Danube Region, are especially dependent on global markets and foreign capital, and therefore must make a great deal more effort to establish and maintain well-functioning economic systems.

An up-to-date and effective vocational education and training (VET) system will greatly improve the region’s competitiveness. It will generate an increased inflow of capital into the member states and also improve employment. Multinational companies’ investments in the region will facilitate the growth of domestic SMEs (Small and Medium-sized Enterprises), due to the need for supplier capabilities and related services. This will obviously lead to an improvement in the performance of national economies and higher living standards. This is a self-propelling process.

Vocational Education and Training Systems in the Region’s Member States

The major obstacle to the free flow of labour and therefore the region’s ability to catch up is the lack of consistent vocational education; the schemes applied in the countries vary both in terms of content and quality.

The EU is willing to contribute to the establishment of a consistent VET system in the region. People completing vocational courses in such a consistent system would be able to enter the labour market with equal opportunities and knowledge in any member state in the region, due to the fact that their qualifications would be recognised throughout the region as ones that are based on established standards in terms of content and quality.

The three typical models of VET systems are as follows:

  • Market model – The state plays little or no role in the management of vocational education and training; academic and vocational education are handled separately; people can obtain qualifications after they have reached their school-leaving age and joined the labour market. While the system of academic education is mostly influenced by the state, vocational education and training is largely independent of it, defined solely by market demands. Examples of where this model operates are the UK, USA and Japan. This model is not typical of the countries in the Danube Region.
  • School model – The state plays central role in the operation of the VET system, which is closely connected with academic education. Vocational programmes are developed by the authorities, often based on individual and social expectations instead of practical aspects. Vocational education provided in schools is financed by the state. This model can be seen in France, Italy, Spain, Sweden and the former socialist countries.
  • Dual model – Vocational education responds to the real needs of enterprises, that is, it is mostly influenced by the market, but operates within a framework defined by the state. The content of the vocational courses is in line with the practical requirements. A major part of the VET programmes is provided by private businesses which also cover the related expenses. This model operates in Germany, Austria and Belgium.

Within the region only Germany and Austria have aligned their VET systems. As for the rest of the countries, there are enormous differences between the applied systems. Some of them use the school model, others chose the dual system, while others combine the two. Each model has its own benefits and shortcomings. In some countries they function well, while in others they are of little effect. For instance, Austria and Germany use a modern, effective dual system, while the Czech Republic applies a well-functioning school model. Which is the more effective, the dual or the school model, also depends on the particular sector and group of professions. In this respect the decisive factors are how practice-oriented a particular profession is and what differences there are between employers in terms of the practices applied. For professions where stringent regulations apply to all professionals (e.g. accountants), the school model seems to be more effective, even though apprenticeship may be very useful in these cases as well. With qualifications where special technologies and teamwork play an important role, the dual model is apparently more effective. Of course, good theoretical education is needed in these cases too.

Hungary applies a combination of the school and the dual model. Still, its VET system is the one in the region that most resembles the exemplary dual systems applied in Austria and Germany. It is therefore reasonable to take the reform of Hungary’s vocational education and training system, which the Hungarian Government has mandated the Chamber to carry out, as a PILOT project aiming to align the VET systems in the region.

The Hungarian VET system can be considered up-to-date in many respects

-It includes different levels in line with the ISCED system

-It includes modular vocational programmes

-Both the dual and the pure school model exist

-As it is provided not only in the framework of public education but in adult education as well, it is suited for the 3L (Life-Long Learning) principle

-Some of the qualifications have been revised by the respective chambers to better suit the needs of the labour market.

-The number of new course places, at least in some cases, is established in line with labour market needs

Problems and shortcomings

-The National Register of Qualifications (NRQ) is overly complicated and includes an unnecessary large number of qualifications (over 1,300 professions)

-Imbalance between theory and practice (in favour of the former)

-The use of the dual system is not general (less then 50%), and in many cases it is not exactly dual in practice (some of the companies involved primarily deal with education and training)

-The number of new places at courses is established with labour market needs in mind only in state-run vocational schools, and there are no sanctions for non-compliance

-Training institutions typically cooperate on a regional basis (Regional Integrated Vocational Training Centre), and not on a vocational basis.

-Lengthy and fragmented examination procedure, often low-quality training content, subjective evaluation

-Incomplete and ill-functioning career orientation and advisory system

-High drop-out rate

-The number of students choosing vocational schools is falling

-Although the introduction of the modular NRQ has made it easier to obtain further partial qualifications, it still does not allow students who dropped out of vocational schools to gain any qualification; those who drop out before the apprentice exam cannot obtain partial qualification either

-Most of the qualifications are not recognised abroad

Action Plan

-Establishing a VET cluster with the involvement of chambers, major enterprises, and academic and vocational education institutions in the region

-Examining which model (dual or school) is more effective for specific groups of professions

-Reforming the Hungarian VET system in the framework of a PILOT project

  • Reviewing and streamlining the National Register of Qualifications and aligning it with other systems in the region
  • Revising some of the qualifications in line with the labour market demand
  • Simplifying the examination system, making those competencies already acquired contribute to it
  • Establishing and operating independent examination centres
  • Improving the VET programmes based on the experience obtained
  • Establishing an effective career orientation and follow-up system that also relies on labour market forecasts
  • Sharing experience with other countries in the region

-Adapting the findings of the Hungarian PILOT project to other countries of the region, taking into account the national characteristics and with a view to facilitating the free flow of capital and workforce

-Improving the prestige of skilled work

Expected Results

-Qualified people will find jobs more easily, and new jobs will be created, enhancing the companies’ competitiveness, which ultimately serves the interest of the national economy.

-The structure of the VET system, as well as the number and expertise of new professionals, will be able to adapt to labour market needs more flexibly, and people participating in the training programmes will receive marketable knowledge. As a result, the prestige of manual work and skilled work will significantly increase.

-The project is expected to facilitate the free flow of well-trained professionals with marketable knowledge and skills in the region, which is expected to make enterprises more competitive at the macro-regional level.

-The training institutions will release students with the same level of knowledge, which will facilitate the mobility of enterprises across borders, as it will be understood that the same quality of training is provided in all countries in the region.

-The resulting knowledge and skills base in the macro region will increase the inflow of investment capital.

-Local small and medium-sized enterprises will have greater chances of cooperating with multinational companies as suppliers, thus leading to higher levels of employment.

-The consistently high level of vocational education and training will result in an increase in the number of businesses and trainees taking part in dual training programmes.

Annex: - Vocational education and training systems in the DCCA countries

Vocational education and training systems in the DCCA countries

Austria

  • After completing four years at elementary school, pupils start their studies in a four-year primary school or an eight-year grammar school. After finishing their primary school studies, pupils can choose to go to a secondary vocational school or a one-year preparatory vocational education at a polytechnic that provides training in the following sectors: metal industry, electronics, construction, wood processing, trade administration, services and tourism. The polytechnic is followed by a 2-4-year (in most cases three-year) vocational training course, which, in the framework of a dual system, takes place both at school and the workplace.
  • Apprenticeship is based on a student contract, which, independent of the academic year, can be started at any time. The vocational school providing courses in the given region and profession is obliged to admit students who have a student contract.
  • Students receive a very low salary (the minimum amount is set by law) in the beginning, but the amount grows as they progress in their studies. They also receive social security and are entitled to sickness benefit, and the years spent as an apprentice are counted in the period after which an old-age pension is paid. At the place of work they acquire knowledge and skills based on a centrally developed curriculum that is reviewed, in theory, by the respective chambers.
  • The amount of subsidy provided by the state to training locations is established on the basis of the basic wage for the particular profession: three times the basic wage per student in the first training year; twice the basic wage per student in the second training year, and one month’s basic wage per student in the third year of training.
  • A special subsidy is provided to businesses that undertake training for the first time or re-start training after a three-year pause: these enterprises receive 2,000 EUR for every new student. An amount of 250 EUR is paid for a successful vocational exam, and the enterprise receives the full amount of the wage- and training-related expenses for any catch-up training for low-performing students.

Bulgaria

  • After completing primary school, students from the age of 15 can continue their studies in grammar school. The purpose of grammar schools is to prepare students for higher education studies. At the end of their studies at grammar school, students take a secondary school-leaving exam.
  • Following a successful exam, they can continue their studies at a higher education institution or start a two-year vocational training course, where specific subjects related to a given profession are taught, primarily in the framework of practical training.
  • Secondary vocational school education is also available in Bulgaria. In the last period of the five-year education period these schools focus on practical training, and students can also qualify as technicians.
  • The state finances the education of most students. In addition to the schools financed and operated by state authorities, businesses also operate training locations in certain sectors. The operation of these training centres is regulated and controlled by the ministry.
  • The education system is highly centralised and the Ministry of Education plays a central role in its operation. The ministry takes care of the administration, establishes the national curriculum, and monitors the educational institutions, training programmes and examinations.

Czech Republic

  • The Czech Republic operates an exemplary school model-based VET system. Eighty percent of students in secondary education are involved in the vocational education and training system. The popularity of VET programmes is, on the one hand, due to the fact that students participating in the programmes receive highly marketable qualifications that are widely accepted in the labour market. On the other hand, students who do not want to enter the labour market yet can gain access to tertiary education by completing selected vocational training programmes.

Croatia

  • Croatia started to revise its education system in 2006. The primary aim of the reform is to shift focus from lexical knowledge to competence-based education. The Croatian government is willing to increase the number of university students and teachers dramatically, and is also prepared to cover the related expenses.
  • One of the distinctive features of the country’s education system is that a separate education act (Primary and Secondary Education Act) regulates the system of secondary education. Under the act, education is provided at grammar schools, secondary vocational schools, vocational schools, and specialised schools that focus on practical training. There are several types of grammar schools (some provide general education, while others focus on modern languages, natural sciences or humanities). All grammar schools aim to prepare students for tertiary studies. The wide ranges of secondary vocational schools, which also provide a secondary school-leaving certificate, include institutions focusing on trade and business (four or three years), polytechnics, and schools focusing on manufacturing occupations.
  • Vocational education programmes are 1 to 5 years long and are followed by 1-2 years of practical training. At the end of the course students receive a basic-level vocational certificate.
  • In the course of the educational reform special emphasis has been put on the simplification of the curricula and training modules and aligning them with the actual needs of businesses, taking the local characteristics into consideration. The Vocational Education and Training Agency has been established to this end. Among its objectives are the establishment of regional vocational training locations and the re- and further training of teachers and examiners.
  • Education is highly centralised, with the minister of education being responsible for all major decisions. Secondary school education is being made mandatory in an effort to facilitate students to find jobs more easily after completing their studies.
  • Regarding tertiary education, young people have six large universities to choose from.

Hungary – see above

Germany

  • The German VET system is based on the dual model, i.e. state schools and private businesses are both involved in vocational education.
  • After completing their primary school studies, students either continue their studies in a 3-year full-time vocational education programme, or join the dual vocational education system. There are no formal academic criteria that students are required to meet in order to participate in the dual vocational education system. A distinctive feature of the dual system is that education is provided at two locations in parallel: Students learn theoretical knowledge at a vocational school, while acquiring practical skills at one of the private enterprises involved in the programme. In general, students spend 3-4 days a week at a company and 1- 2 days at school.
  • In terms of the percentage of people participating in vocational education (68%), Germany leads the mid-range of European states, beating countries such as Great Britain or Sweden but lagging behind the Netherlands.
  • About one quarter of business enterprises in Germany provide apprenticeship programmes.
  • The vocational training programmes run by companies are regulated by the state, which means only the provision of a framework, the core element of which is the Vocational Education and Training Act of 1969.

Romania