BUILDING QUALITY JOBS AT THE

LOCAL LEVEL – KEY FINDINGS FROM

A COMPARATIVE OECD REVIEW

Department of Labor-OECD Workshop on Workforce Development and Local Job Creation

Washington, 18-19 November, 2014

Presentation by Jonathan Barr, Policy Analyst, OECD

Overview of OECD reviews on local job

creation

• Over 600 local stakeholders consulted across 12 countries

• Used a dashboard methodology to assess contribution of local labour market policy to boosting quality jobs and productivity– Index on a scale of 1-5

representing strengths and weaknesses of programme and policy approach

2

Participating OECD Countries

3

The balance between skills supply and

demand varies at the local level county

The case of Michigan, 2012

What can employment and training

agencies do to boost job creation?

Boosting the supply of skills towards employer demand

Stimulating demand and productivity by better

utilising skills

Supporting inclusion

Quality job creation and

economic growth

Aligning programmes and policies to local economic

development

Local job creation dashboard results: Orienting the

employment and training system towards employer

demand

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

UnitedStates

Australia England(UK)

Canada Korea NorthernIreland

(UK)

Flanders(Belgium)

Israel Sweden Trento(Italy)

Ireland CzechRepublic

France

Local job creation dashboard results:

Targeting sectors and areas of future growth

1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0

California (United States)

Quebec (Canada)

Korea

Australia

Ontario (Canada)

England (UK)

Trento (Italy)

Flanders (Belgium)

Sweden

Michigan (United States)

Ireland

France

Israel

Northern Ireland (UK)

Czech Republic

• Using industry representatives are trainers

• Stimulating networks among employers (particularly for SMEs) and creating employer ownership

• Cluster and sector-based approaches can be used to better connect education and world of work

• Providing second chance opportunities for workers to re-skill in demand occupations

Examples: Employer Ownership Pilots (UK); Regional niche sectors (Quebec, Canada); Second Career Programme (Ontario, Canada); Talent Houses (Belgium); Strategic clusters in Bucheon (Korea)

Lessons from other OECD countries

It is not enough just to invest in skills..

Local Job Creation Dashboard: comparing

OECD countries on boosting skills utilisation

1 1.5 2 2.5 3 3.5 4 4.5 5

Israel

France

Czech Republic

Trento (Italy)

Ireland

Sweden

Northern Ireland (UK)

United States

Korea

England (UK)

Canada

Flanders (Belgium)

Australia

The public sector can:

• provide technical assistance and set an example

• work with supply chains and employer networks to stimulate innovation and help employers ‘raise their game’

• put in place management and leadership training programmes

Examples: Practice labs for innovative work organisation (Flanders, Belgium); Techno parks in Korea; Community colleges (Ontario, Canada); Management programmes (Northern Ireland)

Lessons from OECD countries

Local job creation dashboard results: Degree to

which employment and training programmes are

targeted to at-risk groups

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

Australia Canada Ireland Sweden England(UK)

Flanders(Belgium)

Israel NorthernIreland

(UK)

UnitedStates

France CzechRepublic

Trento(Italy)

Korea

To target Not to target

Targeting focuses in on the specific

characteristics and needs of a certain

group within the wider population

Targeting can result in the association of

a problem that is widespread (such as

poverty, poor living conditions, lack of

work opportunities) with a particular

group, thereby stigmatising that group.

Targeting can make up for concurrent

discrimination taking place elsewhere in

society or for past discrimination.

Targeting runs the rise of inefficiently

screening in those who are not in need

of additional support, while screening

out non-targeted people that might need

help.

Existing services offered by mainstream

employment services are underutilised

by certain groups – targeted

programmes may encourage greater

uptake and improved outcomes.

Targeting one group can lead to

competition between communities and

potentially aggravate unrest if minority

groups are perceived by the wider

community to be treated preferentially.

To target or not?

• Groups that can benefit from targeting include immigrants and youth (particularly NEETs).

• Growing focus on prevention and early interventions – role of mentoring and counselling

• Interventions need to be built on a better understanding of “what works”

Examples: Pathways to Education (Canada); Unga-in (Sweden), neighbourhood renewal strategies (Northern Ireland), local development companies (Ireland)

Lessons from other OECD countries

Local job creation dashboard results: Flexibility in

the employment policy framework

1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0

United States

Flanders (Belgium)

Canada

Czech Republic

Korea

France

Northern Ireland (UK)

England (UK)

Trento (Italy)

Sweden

Israel

Ireland

Australia

Flexibility tends to improve policy integration

and coordination

4.5 4.5

4.0 4.0 4.0

3.5 3.5

3.0 3.0 3.0

2.5 2.5 2.5

4.5

4.0 4.0

3.0

3.5 3.5

3.0

4.5

3.0 3.0 3.0 3.0

3.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

UnitedStates

Flanders(Belgium)

Canada CzechRepublic

Korea France NorthernIreland

(UK)

England(UK)

Trento(Italy)

Sweden Israel Ireland Australia

Degree of Flexibility Degree of policy co-ordination and integration

• Maximise flexibility available by building stronger capacity and local leadership

• Promote partnerships that can develop place-based responses to structural adjustment and local economic development

• Using data to stimulate cooperation and partnership working

• Need to ensure the right level of governance (e.g. corresponding to travel to work areas)

Examples: Workforce Investment Boards (United States); VDAB (Belgium), Entrepreneurship Centre (Quebec, Canada); Workforce Planning Boards (Ontario, Canada); Four Party Associations (Korea)

Getting collaboration right

For more information: OECD reviews on

Local Job Creation

Thank you

Jonathan.barr@oecd.org