Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...

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Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
Spot on!
Identifying and tracking
skill needs
Fabio Manca
Labour Market Economist, Employment, Labour, and
Social Affairs Directorate, Skills and Employability Division,
OECD
Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
What do we mean by “Skill mismatch”?
Some definitions
 Qualification mismatch:
Over or under-qualification

      A graduate working in a call centre

 Field of study mismatch

      An engineer working as a builder in
                construction
Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
Too many workers are mismatched,
            over or under-qualified

                                             Finland: 28%

                Germany: 37%

                                        Czech Republic: 16%

        Portugal: 41%

                                              Greece: 43%

Source: OECD Skills for Jobs Database
Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
4
  Quiz time!      Points!

Where is qualification mismatch the
  highest across EU countries?

Ireland   Spain     France   Italy
Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
Mismatch is pervasive

                                             80 million workers
                                               in European
                                              countries are
                                              mismatched by
                            Field of Study    qualifications
                              mismatch

                                                 Substantial
                                                 wage penalty
                                             •   - for workers
                                                 mismatched by
                                                 field and
     13 M          10 M           9M
                                                 qualifications

Source: OECD Skills for Jobs Database
Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
2
  Quiz time!        Points!

How much less would you earn per
  year if you were mismatched by
qualifications and field in your job?

10%      16%       24%        30%
Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
Wage penalties can be substantial
           Mismatched by field and over-qualified

                                             Italy
                                       - 4.000 EUR/year                      Germany
                                                                       - 9.800 EUR/year

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        Fr

   0%

  -5%

 -10%

 -15%

 -20%

 -25%

 -30%

 -35%
                                Finland
 -40%                     - 6.500 EUR/year
                                                          Spain
 -45%
                                                    - 5.900 EUR/year
 -50%
Source: Montt (2015)
Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
Mismatches can co-exist with
                 Shortages
                         Manpower talent Shortage Survey -2015
           Japan                                                        Vacancies remain
          Greece
          Mexico
                                                                       unfilled for too long
         Turkey
   New Zealand
       Hungary
       Germany
       Australia                                     1.3 M             Delays in production
    Switzerland
          Poland
         Sweden
         Austria
      OECD (27)
  United States
         Canada                                                         Re-training costs
         Norway
          France
Slovak Republic
             Italy
       Slovenia
                                            >1 M firms
        Belgium                             face skills                 Slow adoption of
         Finland                            shortages                     technologies
Czech Republic
               UK
           Spain
   Netherlands
         Ireland
                     0         20      40       60      80       100
Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
The OECD Skills for Jobs
      database
Spot on! Identifying and tracking skill needs Fabio Manca Labour Market Economist, Employment, Labour, and Social Affairs Directorate, Skills and ...
A more objective measure is
needed

Subjective (opinions) vs Hard-data
How does the S4J data work?
What boils under the hood

  Wages
                 24
                                                    ICT professionals
                 22

  Hours          20
  Worked
                 18                           Shortage
                 16
  Employment
                 14

                                                         Overall economy
                 12

  Unemployment   10

                 8
                      2014   2015   2016   2017          2018

  Talent match
Ranking Occupational Imbalances

1
            Shortage /

2    …      Hard to fill

32

            Surplus/

33          Easy to fill
Moving from Occupations to Skills

   Knowledge requirements                           Skills and Abilities

            Education and Training                           Oral and Written
                                                             comprehension

                                                                        Complex problem
     Psychology     Biology          Physics     Critical Thinking      Solving

Construction Food prod. Transportation     ICT   Dexterity           Strength   Stamina
Ranking of Skills in Shortage

                    France
0.30
0.20
0.10
0.00
-0.10
OECD Skills for Jobs Database

    Occupational Results
2
   Quiz time!      Points!

  How many of the jobs that are in
  high-demand are “high-skilled”
      ones (average OECD)?

9 out    7 out     5 out     3 out
of 10    of 10     of 10     of 10
0%   20%   40%   60%   80%   100%

                                                             Finland
                                                        Netherlands
                                                            Norway
                                                             Iceland
                                                            Sweden
                                                       Luxembourg
                                                          Germany
                                                        Switzerland
                                                            Belgium

                Health-care Executives Teaching
                                                       New Zealand

                                                  High-skill
                                                              France
                                                                Italy
                                                          Denmark

Science
and Eng.
                                                             Estonia
                                                             Ireland
                                                                                                                                     hard-to-fill?

                                                             Austria
                                                                                                                    High-skilled

                                                          Lithuania
                                                               OECD

                ICT prof.
                                                               Spain
                                                               Latvia
                                                           Portugal
                                                      United States
                                                                                                                    Medium-skilled

                                                           Australia
                                                            Canada
                                                    United Kingdom
                                                           Slovenia
                                                             Greece
                                                                                                                    Low-skilled

                                                     Czech Republic
                                                              Poland
                                                    Slovak Republic
Personal Building Metal &

                                                           Hungary
                                                  Medium-skill

                                                                Chile
                                                             Mexico

                                                                    Bulgaria
                                                                    Romania
                           Handicraft
Service & trades machinery & creatives

                                                                   Argentina
                                                                 South Africa
                                                                      Turkey
                                                                       Brazil
                                                                        Peru
                  Agriculture
                                                  Low-skill
                                                                                                                                     Where and what are the jobs that are
What’s happening to skill
       demands?
Shortages

                                               -0.20   -0.10   0.00    0.10   0.20   0.30

                             Written Expression
                                Oral Expression
                           Deductive Reasoning
                            Inductive Reasoning
                            Oral Comprehension
                                Fluency of Ideas
                                     Originality
             Mathematical Reasoning
                             Speech Recognition
                             Category Flexibility
                                Number Facility
                               Speed of Closure
                                                                                                         cognitive skills

                                  Memorization
                             Selective Attention
                                                                                            First year

                                   Visualization
                             Explosive Strength
                                Finger Dexterity
                               Peripheral Vision
Increasing gap in demand
                                                                                            Final year

                             Wrist-Finger Speed
                             Spatial Orientation
                           Response Orientation
                               Depth Perception
                  Gross Body Equilibrium
                                  Reaction Time
                           Arm-Hand Steadiness
                               Control Precision
                                        Stamina
                               Manual Dexterity
                                                                                                         Increasing demand for high-level

                                 Trunk Strength
                                 Static Strength

                                            Surpluses
4
    Quiz time!           Points!

       What is the occupation that
           requires the most
        Critical Thinking skills?

Surgeons   Judges and     Aerospace   Arbitrators,
           Magistrates    Engineers   Mediators,
                                          and
                                      Conciliators
Quiz time!

         What is your score?

                  4 to 8        >4 Points
 8<
Points                           Need to
                  Skill
                 Expert         check our
 Skill                          Skills for
Master                         Jobs portal
                               more often!
OECD Skills for Jobs database

www.oecdskillsforjobsdatabase.org
WorldSkills
Conference 2018
      Amsterdam
        #WSConference
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