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Technical and Vocational Education and Training for Accelerated Human Resource Development in South Asia

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Technical and Vocational Education and Training for Accelerated Human Resource Development in South Asia INNOVATIVE STRATEGIES IN Innovative Strategies in Technical and Vocational Education and Training for Accelerated Human Resource Development in South Asia This publication highlights priorities and strategies in meeting current and emerging needs Technical and Vocational for skills development in South Asia. The report is in line with the Asian Development Bank’s effort to support its developing member countries’ priorities toward global competitiveness, Education and Training increased productivity, and inclusive growth. It also identifies key issues, constraints and areas of improvement in making skills training more responsive to emerging labor market needs in South Asia as an important factor in sustaining high economic growth. The report was for Accelerated Human Resource completed in 2012 under the Australian AID-supported Phase 1 of Subproject 11 (Innovative Strategies for Accelerated Human Resource Development) of RETA 6337 (Development Development in South Asia Partnership Program for South Asia). About the Asian Development Bank ADB’s vision is an Asia and Pacific region free of poverty. Its mission is to help its developing member countries reduce poverty and improve the quality of life of their people. Despite the region’s many successes, it remains home to approximately two-thirds of the world’s poor: 1.6 billion people who live on less than $2 a day, with 733 million struggling on less than $1.25 a day. ADB is committed to reducing poverty through inclusive economic growth, environmentally sustainable growth, and regional integration. Based in Manila, ADB is owned by 67 members, including 48 from the region. Its main instruments for helping its developing member countries are policy dialogue, loans, equity investments, guarantees, grants, and technical assistance. Asian Development Bank 6 ADB Avenue, Mandaluyong City 1550 Metro Manila, Philippines www.adb.org INNOVATIVE STRATEGIES IN Technical and Vocational Education and Training for Accelerated Human Resource Development in South Asia January 2014 © 2014 Asian Development Bank All rights reserved. Published in 2014. Printed in the Philippines. ISBN 978-92-9254-419-5 (Print), 978-92-9254-420-1 (PDF) Publication Stock No. RPT136125 Cataloging-in-Publication Data Asian Development Bank. Innovative strategies in technical and vocational education and training for accelerated human resource development in South Asia. Mandaluyong City, Philippines: Asian Development Bank, 2014. 1. Technical education. 2. Vocational education. 3. South Asia. I. Asian Development Bank. Te views expressed in this publication are those of the authors and do not necessarily refect the views and policies of the Asian Development Bank (ADB) or its Board of Governors or the governments they represent. ADB does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use. By making any designation of or reference to a particular territory or geographic area, or by using the term “country” in this document, ADB does not intend to make any judgments as to the legal or other status of any territory or area. ADB encourages printing or copying information exclusively for personal and noncommercial use with proper acknowledgment of ADB. Users are restricted from reselling, redistributing, or creating derivative works for commercial purposes without the express, written consent of ADB. Note: In this publication, “$” refers to US dollars. Unless otherwise stated, boxes, fgures and tables without explicit sources were prepared by the authors. 6 ADB Avenue, Mandaluyong City 1550 Metro Manila, Philippines Tel +63 2 632 4444 Fax +63 2 636 2444 www.adb.org For orders, please contact: Public Information Center Fax +63 2 636 2584 [email protected] Contents Tables, Figures, and Boxes v Foreword vii Preface viii Abbreviations x Executive Summary xii 1. INTRODUCTION AND BACKGROUND 1 Objectives 1 Scope of Work 1 Limitations 2 Analytical Framework 2 Socioeconomic Background 3 Implications for Technical and Vocational Skills 3 Technical and Vocational Education and Training Systems 6 Technical and Vocational Education and Training Policies and Plans 6 2. STRENGTHS AND INNOVATIONS 7 Bangladesh 7 Bhutan 8 Maldives 8 Nepal 9 Sri Lanka 9 3. ECONOMIC RELEVANCE OF SKILLS TRAINING 11 Mismatches 11 Employment Rates 11 Employer Views 13 Lack of Labor Market Information 14 Weak Employer Involvement 14 Rigid Supply Response 16 iii 4. ACCESS AND EQUITY IN SKILLS PROVISION 19 Income Inequality 19 Gender Inequality 20 Geographical Inequities 21 Vertical Mobility 21 5. QUALITY OF TRAINING PROVISION 23 Outputs 23 Inputs 26 Processes 28 6. EFFECTIVENESS OF TECHNICAL AND VOCATIONAL EDUCATION AND TRAINING ORGANIZATIONS AND ADMINISTRATION 30 Bangladesh 30 Bhutan 32 Maldives 32 Nepal 33 Sri Lanka 34 7. RESOURCE GENERATION AND USE: INTERNAL EFFICIENCY AND SUSTAINABILITY 35 Mobilization of Resources 35 Internal Efciency in Use of TVET Resources 36 Summary 37 8. STRATEGIES AND INNOVATIONS 39 Strategies to Raise Relevance and Quality 39 Strategies to Increase Access and Equity 44 Strategies to Reform Technical and Vocational Education and Training Governance and Management 46 Strategies to Mobilize Resources for Skills Development and Use Tem Efciently 48 Regional Cooperation 50 Investments 50 9. CONCLUSIONS 51 REFERENCES 53 APPENDIXES 1 Socioeconomic Background 57 Contents 2 Socioeconomic Indicators 66 3 Description of Technical and Vocational Education and Training Systems in South Asia 68 iv 4 Policies and Plans for Technical and Vocational Education and Training 83 5 Good Practices and Innovations in South Asia 88 6 Innovations from Other Countries 99 7 Investment Priorities for South Asia 106 Tables, Figures, and Boxes Tables 1 Sri Lanka: Principal Outcomes of Tracer Studies of TVET Graduates, 2002 12 2 Public–Private Partnerships: Level and Type of Enterprise Participation in Technical and Vocational Education and Training by Country 17 3 Sri Lanka: Public Technical and Vocational Education and Training Provision by Province, 2009 22 4 Republic of Korea: Alignment of Technical and Vocational Education with Economic Development 43 5 Advantages and Limitations of Levy Systems 49 A1.1 Socioeconomic Indicators 57 A1.2 Global Competitiveness—Selected Asian Countries, 2010 61 A1.3 Competitiveness of Higher Education and Training 62 A1.4 Bangladesh: Approximate Share of Labor Force in the Informal and Formal Sectors, Agriculture and Nonfarm 65 A1.5 Sri Lanka: Approximate Share of Employment by Formal and Informal Sectors, 2009 65 A3.1 Bangladesh: Technical and Vocational Education and Training Institutions and Enrollment by Level and Type, 2011 69 A3.2 Nepal: Technical and Vocational Education and Training Institutions and Enrollment by Level and Type, 2009 69 A3.3 Sri Lanka: Registered Technical and Vocational Education and Training Institutions, 2009 69 A3.4 Sri Lanka: Enrollment in Public Technical and Vocational Education and Training by Agency 70 Figures 1 Analytical Framework 2 2 Republic of Korea: Employment by Sector, 1970–2010 5 3 Republic of Korea: Shift in Workforce Structure Caused by Technological Advances and Industrial Evolution 5 4 Sri Lanka: Beneft-Cost Ratios by Type of Institution, 2009 10 5 Sri Lanka: Female Enrollment as Percentage of Total Enrollment by Program 21 6 Bangladesh: Pass Rates in Final Examinations by Level, 2007 and 2010 23 7 Bangladesh: Diploma Pass Rates by Institutional Ownership and Selected Program, 2010 24 8 Bangladesh: Female and Total Pass Rates at the Diploma Level, 2010 24 9 Bangladesh: Higher Secondary Certifcate (Vocational) Pass Rates by Subject, 2010 25 10 Sri Lanka: Department of Technical Education and Training Pass Rates (First Sitting) 25 11 Composite Summary of Technical and Vocational Education and Training Issues in South Asia 38 12 Key Changes in Technical and Vocational Education and Training in the Republic of Korea 43 A1.1 Gross Domestic Product per Capita, 1990, 2000, and 2010 59 A1.2 Agriculture’s Share in Employment and Output, 1990, 2000, and 2010 59 A1.3 Industry’s Share in Total Employment and Output, 1990, 2000, and 2010 60 A1.4 Services’ Share in Total Employment and Output, 1990, 2000, and 2010 60 v A1.5 Incidence of Formal Enterprise-Based Training by Region 61 A1.6 Stage of Economic Development 63 A1.7 Migrant Workers’ Remittances, 1990–2010 63 A1.8 Migrant Workers’ Remittances as Percentage of GDP, 1990–2010 64 A1.9 Sri Lanka: Foreign Employment as Percentage of the Labor Force and of Employment, 2000–2009 64 A3.1 Enrollment in Secondary Technical and Vocational Education as Percentage of Total Secondary Enrollment, Selected Asian Countries, 2008 70 A3.2 Percentage of Upper Secondary Students Enrolled in Technical and Vocational Education and Training Programs, 2002 71 A3.3 Percentage of Tertiary, Nondegree (ISCED 5B) Students Enrolled in Technical and Vocational Education and Training Programs by GDP per Capita, 2002 72 A3.4 Extent of Enterprise Staf Training, Selected Asian Countries 77 A3.5 Nepal: Technical and Vocational Education and Training Budget as a Share of Education and National Budgets 78 A3.6 Sri Lanka: Public Expenditure on Education and Training 79 A3.7 Sources of Income: Secondary Vocational by Ownership in Bangladesh 79 A3.8 Sources of Income of TVET Institutions in Bangladesh, Private and Public 80 A3.9 Sri Lanka: Revenue from Training Institutions as Percentage of Total Costs, 2007 81 A3.10 Sri Lanka: Public Recurrent Expenditures on Technical and Vocational Education and
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