Brussels, 04/02/2010 (Agence Europe) - Despite progress made in recent years, nearly one third of Europeans of working age do not have the skills required by the labour market. The rise in unemployment and demographic problems has made the problem even more urgent. Europe must therefore take immediate action to fill the skills gap so that citizens have a greater chance of success on tomorrow's labour market. This conclusion was reached in a report by a group of independent experts and presented by the European Commission on Thursday 4 February during a high level conference in Brussels, attended by European Commission officials, MEPs, and a number of experts. “Improving people's skills will help us out of the crisis in the short term and prepare for sustainable economic success in the future”, said Employment Commissioner Vladimir Špidla. “We need to break down the divisions between 'education and training' and 'work' so that people can make sure that their skills are suited to evolving labour market needs throughout their lives”, commented Maroš Šefèoviè, Commissioner for Education, Training, Culture and Youth.
The report, which is entitled “New Skills for New Jobs: Action Now”, highlights the following: - (1) one in three Europeans of working age has few or no formal qualifications, making them 40% less likely to be employed than those with medium level qualifications; (2) the employment rate for those with high skill levels across the EU as a whole is 84%, for medium skill levels 70%, and for low skill levels it stands at 49%; (3) those with low qualifications are also much less likely to upgrade their skills and follow lifelong learning; (4) companies that train their staff are 2.5 times less likely to go out of business compared to those that do not; and (5) education systems that provide adequate skills for all could increase GDP by as much as 10% in the long term.
In order to address the situation of skills deficiency, the report sets out several recommendations. The four main areas of action advocated in the report are: 1) better incentives should be provided for employers and individuals to upgrade skills, and investment in skills must be significant, well thought-out and not just financial; 2) the worlds of education and training must be opened up by making education and training institutions more innovative and responsive to both learners' and employers' needs, and by developing relevant qualifications that focus on concrete learning outcomes; 3) there must be a better mix of skills offered, which is more suited to labour market needs; and 4) better anticipation of future skill needs.
These four areas of action are interlinked and must be tackled simultaneously, the report points out. Also, responsibility does not fall on any one party in particular - all stakeholders must focus on and take part in the strategy together. The problem is an urgent one and strong action must be taken. Nearly one third of citizens aged 25-64 have no formal qualifications and only one quarter have high level qualifications. Furthermore, those who are skilled do not always have the right skills that employers are looking for, thus creating mismatches on the labour market, experts explain.
According to the latest forecasts by CEDEFOP, the European centre for the development of vocational training, some 80 million job opportunities are expected to arise in the next decade. Among these jobs, almost 7 million will be new, requiring a more highly skilled workforce. Although highly skilled people have every chance of being employed for such posts, the labour market will still need people with medium level qualifications, and above all workers that have gained experience through vocational training, CEDEFOP says, concluding: “Europe needs to make sure that its people are acquiring the right skills, that companies are using their employees' capacity to the fullest, and that employees are encouraged to keep learning throughout their working lives”.
The report is one of the main results of the Commission's initiative, “New Skills for New Jobs” launched in December 2008 in order to build stronger bridges between the world of education and the professional world. In spring 2009, the Commission had appointed a group of experts from all over the European Union, so that they might give an independent opinion on the future of the initiative, in the context of the future EU economic reform strategy, EUROPE 2020. The report takes up the conclusions reached by this team of experts. (I.L./transl.jl)