The contribution of vocational training to employment, job‐related skills and productivity: evidence from Madeira

Abstract

In this paper, we analyse the transition to the labor market of participants in vocational training in Madeira in Portugal. The analysis is in two stages. First, we investigate how the employment status at different dates (1 month, 1 year, and 2 years after the completion of the training program) depends on relevant variables, such as age, gender, education and the content and duration of the training. Second, we use individuals' selfassessment of the effectiveness of the training program along three dimensions: employment, job-related skills and productivity. The respondents score training activities high on every dimension. Moreover, we find that training is more effective among the educated, indicating that vocational training is far from being remedial. We also find that long training programs and training related to tourism are particularly effective.

Explaining differences in job retention between alien and nonalien workers after an in-company training

“…Educated individuals face far better employment prospects after an IVT than noneducated persons, seen as having a lower secondary, upper secondary and higher education increases the employment probability by 4.4%, 13% and 16%, respectively. This finding is consistent with the results of similar analysis, but based on different data, such as Budrı´a and Telhado-Pereira (2008). Being out of the labour market for a certain time negatively influences employment prospects after training, Extending training by a month increases employment probability by 4.3%.…”

Vocational education and training – an engine for economic growth and a vehicle for social inclusion?

“…Later studies have confirmed this assessment. Budría and Telhado‐Pereira, (2009), using a logit model 6 on individual data for Madeira in Portugal, found that vocational training increases the probability of employment, in particular in the long run (2 years after the completion of the training programme). However, they also found that the effect is stronger with higher previous education, and in particular, that the effects are very strong for a person with a tertiary education prior to the training programme.…”

“…In relation to developing countries, bilateral aid agencies, the World Bank and United Nations Educational, Scientific and Cultural Organization (UNESCO) advocate vocational education to reduce poverty, promote economic growth and increase competitiveness (Comyn & Barnaart, 2010). In a European context, it is seen as a major tool in the transformation of the European economy (Bordeaux Communiqué, 2008), and there are numerous examples of presumed effects in countries, regions and specific sectors of the economy (Baum, 2002; Budría and Telhado‐Pereira 2009; Mupimpila & Narayana, 2009; Spielhofer & Sims, 2004). There are two major reasons for this.…”

A Proposed National Model of Vocational Education and Training for Micro and Small Enterprises in Kenya

“…Vocational Education and training (VET) can be broadly interpreted as the development of ways of learning and the acquisition of attitudes that facilitate success at the workplace [44]. The aim of VET is to contribute to equity and access to training, and social responsibility by stimulating competitiveness and entrepreneurship to realise life-long learning concepts [41] VET plays an important role in supplying skills requisite for improved workers' productivity, economic competitiveness, occupational integration, raising income levels and expanding opportunities for employment [11,15]. In addition, formal education and work experience in the formal business sectors enables employers and business owners to improve methods of production, enhance product quality, convey quality information to the users, identify markets, and manage human and other resources, all of which offer students a competitive edge [54].…”