Publication:
Skills and Jobs: Lessons Learned and Options for Collaboration

Loading...
Thumbnail Image
Published
2015-05
ISSN
Date
2015-06-25
Editor(s)
Abstract
The accumulation of human capital through the acquisition of knowledge and skills is recognized as central for economic development. More-educated workers not only have better employment opportunities, they earn more and have more stable and rewarding jobs. They are also more adaptable and mobile. Workers who acquire more skills make other workers and capital more productive and, within the firm, they facilitate the adaptation, adoption, and ultimately invention of new technologies. This is crucial for economic diversification, productivity growth, and ultimately raising the living standards of living of the population. The structure of the note is as follows. First, it examines the different types of market failures, and subsequently reviews the role that governments have played in training systems around the world. Finally it offers a set of proposals for reforming and improving these systems to improve labor market outcomes.
Link to Data Set
Citation
Lord, Nick; Sanchez Puerta, Maria Laura; Perinet, Mathilde; Robalino, David A.; Strokova, Victoria. 2015. Skills and Jobs: Lessons Learned and Options for Collaboration. © World Bank. http://hdl.handle.net/10986/22068 License: CC BY 3.0 IGO.
Digital Object Identifier
Associated URLs
Associated content
Report Series
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections

Related items

Showing items related by metadata.

  • Publication
    The Right Skills for the Job? Rethinking Training Policies for Workers
    (Washington, DC: World Bank, 2012) Behrman, Jere; Almeida, Rita; Robalino, David; Almeida, Rita; Behrman, Jere; Robalino, David
    This book addresses the question of how to build and upgrade job relevant skills. Specifically, the authors focus on three types of training programs relevant for individuals who are leaving formal general schooling or are already in the labor market: pre-employment technical and vocational education and training (TVET); on-the-job training (OJT); and training-related active labor market programs (ALMPs). ALMPs are usually of shorter duration and target individuals who are seeking a second chance and who do not have access to TVET or OJT; these are often low-skilled unemployed or informal workers. Contrary to training-related ALMPs, pre-employment TVET is usually offered within the formal schooling track and tends to be administered by the ministries of education. The book discusses the main justifications for these programs and how they relate to market failures that can lead to underinvestment in training and misalignment between supply and demand for skills. Unfortunately, governments are also prone to failure and many of the programs that countries have adopted today are part of the problem and not the solution. This book proposes options to improve the design and implementation of current skills development systems. Clearly, the authors cannot cover all issues in detail. Training methods among TVET, OJT, and ALMP programs are quite different, ranging from classroom instruction, laboratory research, TVET workshops, and apprenticeship arrangements and internships in firms. All have different challenges and specificities. The report highlights the most important design features of the different programs and points to the main knowledge gaps and areas for future research and analysis. The book is organized into five chapters. Following this overview, chapter two introduces the policy framework that guides the analysis in the book. This framework describes the main market and government failures that require attention and identifies potential interventions to address them. Chapter's three to five then discuss the main challenges facing, respectively, TVET, OJT, and training-related ALMP programs and outlines recommendations to address them. The rest of this overview summarizes the main messages from each of the chapters and in the last section outlines the main knowledge gaps and proposes an agenda for future research and policy analysis.
  • Publication
    The Nuts and Bolts of Designing and Implementing Training Programs in Developing Countries
    (World Bank, Washington, DC, 2013-06) McArdle, Thomas P.; Honorati, Maddalena
    Training programs mainly address market failures related to lack of skills (technical, cognitive, non-cognitive). This paper conducts a comprehensive review of training programs effectiveness in developing countries. Based on relevant international experiences, the paper highlights key design features associated with program success as well as implementation challenges and discusses their policy implication. Success of training programs is deeply related with the content of the skills provided and how well they serve the local labor demand (demand-driven design) and with the presence of a sound governance structure for training providers and beneficiaries. In particular, the effectiveness of training programs for youth tends to be higher when a 'comprehensive' approach is taken by combining different types of training with complementary support services. The ultimate goal is to inform new program design and improve the performance of current training programs.
  • Publication
    Skills Gaps and the Path to Successful Skills Development
    (World Bank, Washington, DC, 2015-07) World Bank Group
    Relevant skills for the job market—the ability to do well a job that is also in demand—are becoming an important bottleneck to private sector growth in many countries in the former Eastern Europe and Central Asia (ECA) region. Economic reforms together with structural and technological change are bringing about new business opportunities and with them demand for new skills. A new take on skills development is needed to help increase productivity, job creation, and wages. The different stakeholders—policy makers that coordinate the strategy around skills and education, workers, the jobless, students and their families who make decisions to invest in training, and firms—need to coordinate around the skills agenda.
  • Publication
    Matching Aspirations : Skills for Implementing Cambodia's Growth Strategy
    (World Bank, Phnom Penh, 2012-03) World Bank
    Over the past decade, Cambodia improved the skills of its workforce at a slower rate than other countries in East Asia. And, although Cambodia's firms do not perceive skills as their main business constraint, skills shortages may negatively affect the process of both industrial and agricultural upgrading and economic diversification. Employers point to a structural imbalance in skills supply, including a relative shortage of vocational training graduates compared to university graduates. This report provides valuable insight for Cambodia to develop the skills necessary to match the country's development aspiration. At the same time, it outlines specific actions to create opportunities for access to information in the skills market, to expand household-oriented interventions, to improve school retention, and to strengthen second-chance options - including technical and vocational education and training. This report further proposes how to expand financing for early childhood development effectively, to strengthen institutions, and to promote incentives toward better results among skills providers, including higher education institutions. The analysis in this report represents an important collaborative contribution to Cambodia's growth strategy and human development agenda.
  • Publication
    Developing Skills for Economic Transformation and Social Harmony in China : A Study of Yunnan Province
    (Washington, DC: World Bank, 2013-10-25) Chen, Shuang; Liang, Xiaoyan
    It starts with a demand-side analysis in chapter two, examining historical trends in demand for skills, revealing the types of skills in demand, and projecting future demand for skills driven by economic growth and policy development. Chapter two also highlights the emerging skills shortages and mismatches in Yunnan. The rest of the report focuses on the access, quality, and relevance of Yunnan's education and training system and how effective it is in supplying the skills in demand. An overview of Yunnan's formal and non-formal education and training system is presented in chapter three. Chapter four focuses on the formal Technical and Vocational Education and Training (TVET) system, examining its governance, industry participation, curriculum reforms, quality assurance, and finances. Analysis of the formal education and training system focuses mainly on secondary and tertiary TVET. Chapters five and six address two major training programs outside the formal education system: non-formal training for rural workers and work-based training for urban workers, both of strategic importance. Finally, chapter seven draws on lessons from the Shanghai Program for International Student Assessment, or PISA to demonstrate the role of schools in developing the cognitive skills of 15-year-olds. The report concludes with a summary of findings and a set of policy recommendations for meeting the skills challenges and improving the education and training system.

Users also downloaded

Showing related downloaded files

  • Publication
    Direct and Indirect Impacts of Transport Mobility on Access to Jobs: Evidence from South Africa
    (Washington, DC: World Bank, 2025-11-12) Iimi, Atsushi
    Access to jobs is essential for economic growth. In Africa, unemployment rates are notably high. This paper reexamines the relationship between transport mobility and labor market outcomes, with a particular focus on the direct and indirect effects of transport connectivity. As predicted by theory, wages are influenced by the level of commuting deterrence. Generally, higher earnings are associated with longer commute times and/or higher commuting costs. Local accessibility is also important, especially for individuals with time constraints. Both direct and indirect impacts are found to be significant in South Africa, where job accessibility has been challenging since the end of apartheid. For the direct impact, the wage elasticity associated with commuting costs is significant. Returns on commute are particularly high for women. Local accessibility to socioeconomic facilities, such as shops and health services, is also found to have a significant impact, consistent with the concept of mobility of care. To enhance employment, therefore, it is crucial to connect people not only to job locations but also to various socioeconomic points of interest, such as markets and hospitals, in an integrated manner. This integration will enable individuals to spend more time working and commuting longer distances.
  • Publication
    Digital Africa
    (Washington, DC: World Bank, 2023-03-13) Begazo, Tania; Dutz, Mark Andrew; Blimpo, Moussa
    All African countries need better and more jobs for their growing populations. "Digital Africa: Technological Transformation for Jobs" shows that broader use of productivity-enhancing, digital technologies by enterprises and households is imperative to generate such jobs, including for lower-skilled people. At the same time, it can support not only countries’ short-term objective of postpandemic economic recovery but also their vision of economic transformation with more inclusive growth. These outcomes are not automatic, however. Mobile internet availability has increased throughout the continent in recent years, but Africa’s uptake gap is the highest in the world. Areas with at least 3G mobile internet service now cover 84 percent of Africa’s population, but only 22 percent uses such services. And the average African business lags in the use of smartphones and computers as well as more sophisticated digital technologies that catalyze further productivity gains. Two issues explain the usage gap: affordability of these new technologies and willingness to use them. For the 40 percent of Africans below the extreme poverty line, mobile data plans alone would cost one-third of their incomes—in addition to the price of access devices, apps, and electricity. Data plans for small- and medium-size businesses are also more expensive than in other regions. Moreover, shortcomings in the quality of internet services—and in the supply of attractive, skills-appropriate apps that promote entrepreneurship and raise earnings—dampen people’s willingness to use them. For those countries already using these technologies, the development payoffs are significant. New empirical studies for this report add to the rapidly growing evidence that mobile internet availability directly raises enterprise productivity, increases jobs, and reduces poverty throughout Africa. To realize these and other benefits more widely, Africa’s countries must implement complementary and mutually reinforcing policies to strengthen both consumers’ ability to pay and willingness to use digital technologies. These interventions must prioritize productive use to generate large numbers of inclusive jobs in a region poised to benefit from a massive, youthful workforce—one projected to become the world’s largest by the end of this century.
  • Publication
    Kyrgyz Republic Country Climate and Development Report
    (Washington, DC: World Bank, 2025-11-03) World Bank Group
    This Country Climate and Development Report (CCDR) on the Kyrgyz Republic aims to support the country’s development goals amid a changing climate. The CCDR considers two policy scenarios up to 2050: the business-as-usual (BAU) and high-growth scenarios. As it quantifies the likely impacts of climate change on the Kyrgyz economy between now and 2050, the report highlights key government actions to best prepare for and adapt to climate impacts (referred to as “with adaptation” measures), with a particular focus on the time horizon up to 2030. The CCDR also outlines a path to net zero emissions by 2050 (referred to as “with mitigation” measures, “decarbonization,” or, simply, “net zero 2050”), highlighting associated development co-benefits.
  • Publication
    Taxes, Spending, and Equity: International Patterns and Lessons for Developing Countries
    (Washington, DC: World Bank, 2025-11-17) Wai-Poi, Matthew; Sosa, Mariano; Bachas, Pierre
    Taxes and public spending underpin the basic administration of government and finance the human capital and infrastructure investments needed for economic growth. They can also have a significant and immediate impact on poverty and inequality. The question of how public finance can support longer-term growth objectives while promoting equity has become even more important in recent years, given the high fiscal deficits and debt levels most countries emerged with in the aftermath of the COVID-19 pandemic. These included the increasing cost of debt and the need to restart environmentally sustainable growth while helping households address the learning losses and other social scars caused by the pandemic. This paper examines the global evidence on which households pay which taxes and who benefits from what spending, and critically, the net effect on different households across the income distribution. The aim is to identify the patterns and lessons that emerge for designing progressive fiscal policies. A global dataset of 96 countries is assembled, spanning all regions of the world and all national income levels, grounded in the Commitment to Equity (CEQ) approach to fiscal incidence.
  • Publication
    Investment Framework for Nutrition 2024
    (Washington, DC: World Bank, 2024-09-23) Shekar, Meera; Shibata Okamura, Kyoko; Vilar-Compte, Mireya; Dell’Aira, Chiara
    In 2017, the Investment Framework for Nutrition set the stage for transformative nutrition investments, culminating in strong donor and country commitments at the 2021 Tokyo Nutrition for Growth (N4G) Summit. Now—with only six years left until the Sustainable Development Goals (SDGs) end date of 2030—the world is facing polycrises, including food and nutrition insecurity; climate shocks; fiscal constraints; and rising rates of overweight, obesity, and noncommunicable diseases in low- and middle-income countries. Despite a 44 percent decline in child stunting between 1990 and 2022, global progress is insufficient, as increasing anemia rates among women of reproductive age as well as stagnating rates of child stunting, wasting, low birthweight, and rising obesity among children and adults persist. Nutrition is a marker of human capital, and both obesity and undernutrition are key contributors to the Human Capital Index. As we approach the 2025 Paris N4G, investing to address global nutrition challenges has become more critical than ever. Investment Framework for Nutrition 2024 broadens the focus of the 2017 Investment Framework for Nutrition to include low birthweight and obesity, and it adds policy considerations, operational guidance for country-level implementation, and gender and climate change perspectives. Financially, an additional $13 billion is needed annually to scale up a discrete set of evidence-based nutrition interventions to 90 percent coverage ($13 per pregnant woman and $17 per child under age five per annum), with the largest needs in South Asia (34 percent of total global needs) and Sub-Saharan Africa (26 percent of total needs). These investments need to be complemented with a strategically designed package of policies to influence consumer preferences by modifying the social and commercial determinants of health and dietary behaviors. The economic benefits of scaling up nutrition investments far outweigh the costs and offer substantial returns on investment. Innovative financing mechanisms—including responsible private sector engagement and climate funds, together with measures to enhance the efficiency of the existing financing—are vital to bridge the funding gap. A global effort is essential now to renew financial commitments, explore new funding avenues, and drive nutrition-positive investments—with the ultimate goal of enhancing health, human capital, economic growth, and sustainability.