Skills for the Labor Market in the Philippines

Emanuela Di Gropello

Description

The Filipino economy has experienced overall growth over the last 20 years, but the growth of the manufacturing sector has been sluggish, and the country has lost innovation capacity. Regaining momentum will depend on many factors, but skills have a key role to play in supporting the growing service sector, improving the competitiveness of the manufacturing sector, and enhancing the long-term ability of the country to innovate and adapt and assimilate new technologies. 'Skills for the Labor Market in the Philippines' analyzes the functional skills with which workers need to be equipped to be employable and support firms' competitiveness and productivity, and evaluates the role of the education and training system in providing these skills. Based on an innovative survey of employers, this book is the most comprehensive attempt thus far to review the skills that matter for the labor market. The book reveals that a dramatic increase in educational attainment occurred in just under two decades in the Philippines. However, in light of the growing demand for skills, the authors also make it clear that there are indications of emerging skills gaps, suggesting that skills are becoming a constraining factor for economic growth. The authors flesh out several policy implications, which should provide a valuable contribution to improving the country's education and training system. The book is primarily intended for the policy makers and researchers who shape the delivery of education and training in the Philippines and other middle-income countries.

Sujets

• Workforce productivity
• Emigration
• Unemployment
• Éducation
• Training
• Wage
• Curriculum
• Competitiveness
• Industry

Informations

• Publié par: world-bank-publications
• Publié le: 24 septembre 2010
• Nombre de lectures: 26
• EAN13: 9780821384961
• Langue: English
• Poids de l'ouvrage: 4 Mo

Extrait

DIRECTIONS IN DEVELOPMENT
Human Development
Skills for the Labor Market
in the Philippines
Emanuela di Gropello, with Hong Tan and Prateek TandonSkills for the Labor Market in the PhilippinesSkills for the Labor Market
in the Philippines
Emanuela di Gropello
with Hong Tan and Prateek Tandon© 2010 The International Bank for Reconstruction and Development / The World Bank
1818 H Street NW
Washington DC 20433
Telephone: [phone]
Internet: www.worldbank.org
E-mail: [e-mail]
All rights reserved
1 2 3 4 13 12 11 10
This volume is a product of the staff of the International Bank for Reconstruction and
Development / The World Bank. The findings, interpretations, and conclusions expressed in this
volume do not necessarily reflect the views of the Executive Directors of The World Bank or the
governments they represent.
The World Bank does not guarantee the accuracy of the data included in this work.
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Office of the Publisher, The World Bank, 1818 H Street NW, Washington, DC 20433, USA; fax:
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ISBN: 978-0-8213-8489-3
eISBN: 978-0-8213-8496-1
DOI: 10.1596/978-0-8213-8489-3
Library of Congress Cataloging-in-Publication Data has been requested.Contents
Acknowledgments xv
Currency Equivalents xvii
Abbreviations xix
Overview 1
Trends and Drivers of Demand
for Skills 3
Emerging Skills Gaps 10
Weaknesses of Skill Supply and Main
Policy Directions 17
Notes 27
References 28
Introduction 29
Motivation and Context 29
Approach, Methodology, and
Structure 34
Notes 37
Reference 38
vvi Contents
PART I Skills Demand in the Philippines 39
Chapter 1 Skills Trends in the Philippines 41
Trends in Skill Composition, Employment,
and Relative Wages 41
Estimates of Industry and Education Premiums 50
Trends in Returns to Schooling 54
Education Requirements of Employers 59
Workforce Needs: New Hires and Dismissals 60
Net Hires 62
Skill Requirements of New Hires 65
Notes 69
References 70
Chapter 2 Drivers of Demand for Skills 71
Correlates of Industry and Education Premiums 71
Drivers of Demand for Skills in Manufacturing 75
Skills, Export Orientation, and Technology
in the Employer Skill Survey 81
Notes 87
References 89
Chapter 3 Skills Gaps 91
Vacancies and Skills Gaps 91
Toward a Better Understanding of Skills Gaps 108
Notes 130
References 131
PART II Skills Supply in the Philippines 133
Chapter 4 Strengths and Weaknesses of Education
and Training Institutions 137
Chapter 5 In-Depth Analysis of Four Key Pillars
of the Supply of Skills 143
The Higher Education Subsector 144
Technical and Vocational Education 167
Alternative Learning System 183
Trends in In-Service Training 190Contents vii
Notes 204
References 205
Chapter 6 Policy Implications 207
General Policy Implications 207
Specific Policy Recommendations 208
Notes 215
Appendix: Tables 217
References 240
Index 241
Boxes
I.1 Skills Conceptual Framework 34
1.1 The Philippines LFS Data 42
1.2 The Philippines Skills Survey 60
2.1 Overview of 2003 Philippines ICS and
Methodology of Estimation 77
Figures
O.1 GDP Composition by Sector, 1985–2007 2
O.2 Trends in Education Wage Premium and Skilled Workforce 4
O.3 Rates of Return by Economic Sector 5
O.4 Education of Net Hires by Sector and Size, 2008 5
O.5 Education of Net Hires by Export Status, 2008 7
O.6 Occupation of Emigrating Workers before Emigration 8
O.7 Most Important Key Core Skills by Occupation 9
O.8ey Job-Specific Skills and Related
Sources of Skills by Occupation 10
O.9 Difficulty Finding the Right Skills, by Occupation
and Sector 11
O.10 Number of Weeks to Fill Professional Vacancies
in East Asia 12
O.11 Reasons for Skill Shortages, by Sector 12
O.12 Unemployment Rates, by Education Levels,
2006–07 13
O.13 Gaps in Core Skills by Occupation, according to
Percentage of Respondents 14
O.14 Reasons for Skills Shortage by Manufacturing Subsector 16viii Contents
O.15 Time to Fill Vacancies in Manufacturing, by
Size and Exports 17
I.1 Evolution in Output per Capita within Asia 30
I.2 GDP Composition by Sector, 1985–2007 32
I.3 Country Ranking according to the GCI 32
I.4 Trends in Education Premiums, 1988–2006 33
I.5 Unemployment Rates by Education Levels, 2006–07 33
1.1 Secondary Skills Share and Wage Premium 48
1.2 Tertiary Skills Share and W 49
1.3 Education Premiums and Skilled Workforce in
a Sample of East Asian Countries 55
1.4 Rates of Return by Level of Education, All Sectors 57
1.5 Rates of Return to Schooling by Sector, 1988–2006 58
1.6 Education of New Hires and Dismissals, 2008 61
1.7 Education of New Hires and Dismissals by
Sector, 2008 61
1.8 Educational Distribution of Net Hires, 2008 63
1.9 Educational Distribution of Net Hires by Sector
and Size, 2008 64
1.10 Most Important Key Core Skills by Occupation 66
1.11 Key Job-Specific Skills and Related Sources of
Skills by Occupation 67
1.12 Key Core Skills by Sector 68
2.1 Reasons for Rising Skills Requirements by Sector
and Subsector 82
2.2 Changes in Work Organization Leading to
Rising Skills Requirements 83
2.3 Education of New Hires and Dismissals by
Exports – Manufacturing 84
2.4
Exports – Services 84
2.5 Education Distribution of Net Hires by Export
Orientation 85
2.6 Core Skills by Export Orientation 86
3.1 Difficulty Finding the Right Skills, by Sector 95
3.2 Skills Bottlenecks in East Asia 96
3.3, by Firm Size 97
3.4, by Export
Orientation 98
3.5 Skill Constraints and Export Orientation 98