ETF Country Monograph on Vocational Education and Training and Employment Services in Bulgaria

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(No Transcript)
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ETF Country Monograph on Vocational Education and
Training and Employment Services in Bulgaria
Sofia, 13 October 2003
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ETF experience in the field of VET assessment

• Review of progress in VET reforms requested by DG
  Enlargement in 1998
• Assessment done against the Community objectives
  used as the framework of the second Leonardo da
  Vinci programme
• Yearly update since 1999
• Preparation of the 2002 review against the LLL
  priorities

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DG Employments request in Spring 2000

• ETF participation in the background studies on
  employment and labour market
• Preparation and signature of the JAPs
• In-depth monographs on the VET and PPES systems
  as contribution to the JAPs monitoring

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Main objectives of the monograph exercise

• To follow up the priorities identified in the
  JAPs
• To assist the better targeting of Phare (and
  future ESF) support priorities
• Identification of strengths and weaknesses,
  progress achieved, gaps and trends

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Economic development

• Negative economic growth in much of the 1990s -
  but some recovery since 1998
• GDP per capita (1600 Euro in 2001) is only 25 of
  the EU-15 average - even when purchasing power is
  taken into account
• Employment potential of private sector still
  insufficient
• Total numbers in employment falling (especially
  in mining and industry)
• Processing, construction, trade, tourism and
  communications are less badly affected

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Unemployment

• High levels since late 1990s - both ILO (18.1 in
  2002) and registered rates (17.4)
• Very high youth unemployment (39.3 in 2001)
• Large variations between regions (Sofia 5,
  Targovishte 34 in 2002)
• More than half of unemployed (330 thousand in
  2002) have been out of work for more than one
  year
• 70 of the long-term unemployed have low or no
  qualifications

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Demographic developments

• Population declining since 1989 (8 to 2000) and
  will fall by a further one million or 12 by 2020
• Sharpest fall between 2000 and 2020 will be in
  the age group 15-29 (over 40) which must have
  an impact on the education and training systems
  and, in the longer run, the labour market

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Educational attainment

• Attainment levels of adults (25-64 year olds) are
  quite good
• In 2002,
• 71 have attained at least upper secondary (EU-15
  64 Candidate Countries 77)
• 21 have attained tertiary education
• (EU-15 22 Candidate Countries 14)

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Participation in formal education

• Participation rates for 15-18 year olds have been
  quite low (70) but have risen recently (81 in
  2002/03) following the extension of secondary
  education by one year
• Typically more students in VET (56) than in
  general secondary education (44)
• Post-secondary non-tertiary education plays a
  minor role (less than 2 of all VET students)
• Student numbers in tertiary education increased
  by over 40 in the 1990s but have sinced declined
  to about 230 thousand in 2002/03

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School drop-out

• Drop-out rates from around 3 (primary,
  vocational gymnasia and general secondary) to 8
  (4-year VET schools)
• Highest drop-out rates are amongst pupils of Roma
  origin
• Early school leavers rate (Structural Indicator)
  over 20 - close to EU-15 average (19) but much
  worse than the average for Acceding Candidate
  Countries (8)

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Participation in CVT

• Few adults participate in continuing education or
  training (1.3 of 25-64 year olds in a 4-week
  period in 2002 compared with 8.5 in EU-15 and
  5.0 in ACC-10)
• The situation in companies is not much better
  28 of employees in enterprises providing CVT
  participated in CVT courses in 1999 (or 13 of
  all employees)
• Only about 3 of the unemployed complete CVT
  programmes funded by the Public Employment Service

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Financial resources

• Total expenditure on formal education was
  estimated at 1.5 billion BGL (or about 4.7 of
  GDP in 2002 -up from 3.2 of GDP in 1996 but
  lower than in many EU countries)
• Enterprises spent over 60 million BGL (or about
  1 of labour costs) on CVT in 1999
• Whilst, 2.5 million BGL (out of over 80 million
  BGL for active labour market measures) was spent
  by the PES in 2002 on labour market training

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Initial VET (1)

• Reform began in mid-1990s still on-going
• Optimisation of school network is a priority
• Most VET schools are funded from central budgets
  (2/3 by Ministry of Education)
• No plans to decentralise responsibilities to
  municipalities

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Initial VET (2)

• Teachers salaries
• Average 2800 BGL in 2001
• Substantial increase in 2001 (but still 6 below
  average salary in BG)
• Teacher training
• VET teachers more likely to participate in
  in-service training than general secondary
  teachers
• BUT, no tailor-made VET teacher or trainer
  training system in place

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Initial VET (3)

• Facilities
• Most VET buildings are old and in need of
  refurbishment
• VET equipment is insufficient and often very old
• investment in new equipment is inadequate and
  dependent mainly on international donors
• ICT equipment and Internet connections are
  seriously lagging behind other countries

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Initial VET (4)

• Responsiveness
• Standard and curriculum development to be
  completed by 2010
• Counselling and guidance services of MES and
  MOLSP seem to overlap
• State planning process serves the needs of the
  system
• Integration of vulnerable groups into mainstream
  education is progressing

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Continuing Vocational Training (1)

• Slow progress in developing the CVT sector
• concerns about the quality of training provided
• potential disincentives in system (eg licensing
  procedures for private providers restrictions on
  VET schools generating income for their own use)
• insufficient legal basis for further development
• However, the Employment Promotion Act foresees
  development of an adult learning strategy

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Continuing Vocational Training (2)

• Main providers of CVT are enterprises although
  levels of provision are low compared to most
  other countries (EU and Candidate) 28 of
  enterprises provided some form of CVT in 1999
  (25 in 2000)
• VET schools and universities provide some CVT
• Labour market training is targeted at the
  unemployed and those  at risk 
• Social partners have established some VET centres
• Some NGOs (Chitalishte, Znanie) are also providers

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Public Employment Services (1)

• No specific reform document on the PES but the
  reform context is provided by
• The New Government Strategy for Social Policy
  (2002-05)
• The National Development Plan (2000-06)
• The Employment Promotion Act (2002)
• Developments to some extent ad hoc reflecting a
  gradual transition since 1989 to a market economy

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Public Employment Services (2)

• Current focus is on more active labour market
  measures now decentralised to local Labour
  Offices which no longer administer benefits
• 100 000 unemployed participants in active
  measures in 2002 - an activation rate of 16.5
• New funding arrangements since 2002
• State Budget funds active measures
• New Unemployment Fund for benefits
• Very large budget increase in 2003 for active
  measures (327 million BGL compared with 81
  million BGL in 2002) mainly for  From Social
  Care to Employment 

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Private Employment Services

• Provided for in the Employment Promotion Act
  (2002)
• So far play only a small role in BG. By September
  2002
• 114 providers were licensed to operate on the
  internal market
• 90 providers specialise in recruiting for work
  abroad

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Conclusions (1)

• IVET
• An estimated 2/3 of all curricula are out-dated
  and not relevant to current labour market needs
• There are few reforms in VET teacher training
  (despite WB loan for general education)
• The optimisation of the VET school network is at
  a standstill
• Roma are being integrated into mainstream
  education but there are no specific measures for
  VET
• Participation rates amongst 15-18 year olds are
  low

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Conclusions (2)

• CVT and LM training
• CVT strategy and system are not yet in place
• Access to CVT and LM training still not
  sufficiently well-developed
• While budget for LM training has increased since
  2001 it is still only 1 of total budget for LM
  programmes
• Complex licensing procedures for private
  providers and new financial regulations for
  schools are potential disincentives in the CVT
  market

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Conclusions (3)

• Public Employment Services
• Reform is under way with a substantial shift from
  passive to active measures
• Substantial funding (217 million BGL) has been
  allocated in 2003 to a new subsidised employment
  programme  From Social Care to Employment
• Some training of PES staff in local offices has
  been carried out

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Recommendations (1)

• IVET
• Development of a strategy and timetable for the
  speedier development of new curricula
• Open up reforms in teacher training to VET
  teachers
• Continue the school optimisation process
• Measures for the integration of Roma in VET
• Measures to tackle low participation in secondary
  education
• Further capacity-building and staff training

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Recommendations (2)

• CVT and LM training
• Development of a CVT strategy and system (in the
  framework of the Phare 2003 project)
• Creation of a support framework for CVT/LLL in
  order to increase adult participation in training
• Review legal arrangements
• Further capacity-building and staff training

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Recommendations (3)

• Public Employment Service
• Further capacity building and training of PES
  staff
• Establish regular co-operation mechanisms with
  social partners and enterprises
• Review IT infrastructure for the delivery of
  active labour market measures
• Regular monitoring and evaluation of
  implementation of active LM measures