skill utilization for sustainable economies: the illusion of an ......sources: nall 1998 survey;...

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Skill Utilization for Sustainable Economies: The Illusion of an Optimal Skills Mix Keynote Address to International Conference on The Optimal Skill Mix for a Modern Economy”, Marbach Castle, Lake Constance, Germany, September 12, 2013 D. W. LIVINGSTONE Canada Research Chair in Lifelong Learning and Work and Professor Emeritus Ontario Institute for Studies in Education of the University of Toronto

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Page 1: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Skill Utilization for Sustainable Economies: The Illusion of an

Optimal Skills Mix

Keynote Address to International Conference on “The Optimal Skill Mix for a Modern Economy”,

Marbach Castle, Lake Constance, Germany, September 12, 2013

D. W. LIVINGSTONE

Canada Research Chair in Lifelong Learning and Work and Professor Emeritus

Ontario Institute for Studies in Education of the University of Toronto

Page 2: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Basic Challenges in Assessing Skill Use

• Acceptable definition of skill

• Agreement on appropriate use

• Willful suspension of disbelief

Page 3: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Theoretical Perspective on Skill Use

• Inter-firm competition, conflicts between employers and employees over working conditions, and technological innovation all provoke incessant shifts in the number of enterprises, employees, and types of jobs available.

• Technological innovation and workers’ learning on the job increase efficiency, modifying the overall demand for labour.

• Popular demand for general education and specialized training increases cumulatively as people seek more knowledge, skills, credentials, to live and qualify for jobs.

• Dominant tendency: supply of qualified job seekers exceeds demand for most jobs-- a reserve army of labour. An optimal skill mix is therefore illusory at best under prevailing economic and social conditions.

Page 4: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Introduction …

• Continual development of workers’ knowledge is required for profit maximization...

BUT

• Recognition and reward of this knowledge must be seriously limited in order for capitalist owners to realize profits against each other.

Page 5: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Knowledge Economy

“... one in which the generation and exploitation of knowledge has come to play the predominant part in the creation of wealth. It is not simply about pushing back the frontiers of knowledge; it is also about the most effective use and exploitation of all types of knowledge in all manner of economic activity”

(U.K. Dept. of Trade and Industry, Competitiveness White Paper 1998)

Page 6: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Knowledge Society

“A Knowledge Society is one that creates, shares, and uses knowledge for the prosperity and well-being of its people.”

Yahoo answers, May, 2011.

Page 7: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Introduction

• “knowledge-economy” in which human capital is developed/applied for profitable economic growth and exploitation...

Versus

• “knowledge society” in which popular demand for growing sources of information is increasingly difficult to harness within the existing relations of production.

Page 8: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Basic Contradiction

• development of forces of knowledge production (expressed by the explosive growth of the Internet)

• concentration of ownership of private enterprises (indicated by the concentration of control within global transnational corporations)

Page 9: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

16 36

70 147

248

361

513 587

719

817

1,018 1,093

1,319

1,574

1,802

1,971

2,267

2,405

[VALUE]

0

500

1,000

1,500

2,000

2,500

3,000

1995 1997 1999 2001 2003 2005 2007 2009 2011 2013

Global Internet Users 1995 to 2013 and Global Concentration of Corporate Power 2011

Source: www.internetworldstats.com, 2013 Source: Vitali, S., Glattfelder, J., & Battiston, S. (2011).

The network of global corporate control. PloS one, 6(10).

Superconnected company Very connected company Size of circle represents revenue

Page 10: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

The Global 0.001%

Source: www.internetworldstats.com, 2013

Page 11: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Wealth Concentration in the US Since 1913 Top .01% of Population Income Share

Page 12: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

“There has been class warfare going on for the last 20 years and my class has won.”

Warren Buffet, Chairman and CEO, Berkshire Hathaway

Page 13: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

“The internet, our greatest tool of emancipation, has been transformed into the most dangerous facilitator of totalitarianism we have ever seen– [supranational and dominated by global corporate power].”

Julian Assange

Cypherpunks: Freedom and the Future of the Internet.

New York: OR Books, 2012.

Page 14: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

The Global 0.001%

Source: www.internetworldstats.com, 2013

Page 15: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Outline of Main Presentation

1. CONCEPTUAL DIMENSIONS OF USE OF WORKERS’ LABOUR TIME AND SKILLS

2. EMPLOYMENT CONDITIONS

3. LEARNING CONDITIONS

4. ASSESSING LEARNING-WORK RELATIONS, SKILL USE/ UNDEREMPLOYMENT

5. ALTERNATIVES

Page 16: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

General Forms of Activity and Learning

Forms of Activity

•Paid Employment

•Unpaid Housework

•Community Volunteer Work

•Leisure (sleep, self-care, hobbies)

Forms of Learning

•Formal Schooling

•Further Education

•Informal Education

•Self-directed Learning

Source: Livingstone, 2010.

Page 17: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Changing Nature of Work and Lifelong Learning http://wall.oise.utoronto.ca

• Changing Nature of Work and Lifelong Learning Research Network (www.wallnetwork.ca)

• Research funded by SSHRC under a series of Strategic Research Grants and the Canada Research Chairs Program

• Includes 1998, 2004 and 2010 representative national surveys of randomly selected respondents over 18 on many issues of working conditions and adult learning

• Also includes over 50 related case studies of different industry sectors, at-risk workers, unpaid work and informal learning

Page 18: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Inclusive Work and Learning Profiles

• These national surveys of work and lifelong learning (WALL) in 1998, 2004 and 2010 are the first anywhere to estimate the incidence of both paid and unpaid work in relation to both formal and informal learning. A rich array of workers’ formal and informal learning efforts has been found.

• Several gaps between workers’ knowledge and job requirements are documented from the WALL surveys and related case studies.

Page 19: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Forms of Underemployment

Forms of

Underemployment

Characteristics of Specific Forms of

Underemployment

Time-based Unemployment (actively looking,

discouraged workers)

Involuntary Temporary Employment

(part-time, limited contract)

Knowledge-

based

Credential Gap

Performance Gap

Relevance Gap

Knowledge Gap

Subjective Personal Estimate of Match between

Qualifications and Job Requirements

Page 20: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Section 2 Employment Conditions

Page 21: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

MAIN FINDINGS OF RECENT WORK AND LEARNING SURVEYS IN CANADA

2. EMPLOYMENT CONDITIONS

• DECLINING WORKING CLASS AND WORKING CLASS IDENTITY, GROWING PROFESSIONAL EMPLOYEE CLASS

• PRECARIOUS WORK AND “JOB CHURNING” ARE INCREASING

• COMPUTER USE IS NEARING UNIVERSALITY

• MAJORITY OF LABOUR FORCE NOW REQUIRE POST-SECONDARY CREDENTIAL TO GET JOB

• GENERAL PERCEIVED INCREASES SINCE THE 1980’S IN JOB DESIGN AND ORGANIZATIONAL DECISION-MAKING ROLES AMONG LOWER LEVEL (SERVICE AND INDUSTRIAL) WORKERS. LITTLE CHANGE FOR PROFESSIONAL AND MANAGERIAL EMPLOYEES

Page 22: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Class Structure of the Employed Labour Force Canada, 1982-2010 (%)

Sources: 1982: CCS Survey(N=1,758); 1998: NALL Survey (N=873); 2004:WALL I Survey (N=5,570); 2010: WALL II Survey (N=1,192).

Employment Class 1982 1998 2004 2010

Large employers <1 <1 <1 <1

Small employers 2 3 4 4

Self-employed 13 9 13 12

Managers 4 8 11 12

Supervisors 4 5 6 5

Professional employees 14 18 20 25

Service workers 33 26 22 23

Industrial workers 30 27 23 18

Page 23: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Main Changes in Class Structure Canada, 1982-2010 (%)

Sources: 1982: CCS Survey(N=1,758); 1998: NALL Survey (N=873); 2004:WALL I Survey (N=5,570); 2010: WALL II Survey (N=1,192).

4 14 33 30 8 18 26 27 11 20 22 23 12 25 23 18 0

10

20

30

40

Managers Professional employees Service workers Industrial workers

1982 1998 2004 2010

Page 24: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Participation in Paid and Unpaid Work All Adults, 2010 (%)

[ Sources: WALL, 2010.]

98

79

70

46

64

2

21

30

54

36

0% 20% 40% 60% 80% 100%

Household work

Any volunteer work

Informal volunteer work

Formal volunteer work

Employed labour force

Participants Non-participants

Page 25: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Percentage of Employed Labour Force in Precarious Jobs 2004-2010 (%)

13 13 12 29 16 15 11 33 0

5

10

15

20

25

30

35

Part-time Temporary or seasonal Self-employed Total Precarious

WALL, 2004 WALL, 2010

Sources: WALL 2004 survey (N=5733); WALL 2010 survey (N=1239).

Page 26: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Organizational Changes in Past 5 Years Employed labour force, 2004 -2010

23

30

39

50

56

23

33

39

39

42

0 10 20 30 40 50 60

Reduction in managers/supervisors

Increase in overtime

Part-time or temporary workers

More job rotation/multi-skilling

Reduction in number of employees

2004 (%) 2010 (%)

Sources: WALL 2004 survey (N=5581); WALL 2010 survey (N=1256).

Page 27: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Computer Use in Canada Employed Labour Force, 1989–2010 (% using on job or at home)

Sources: Statistics Canada 1989, 1994, 2000; WALL 2004 survey, WALL 2010 survey.

38

51

77

85

95

0

20

40

60

80

100

1989 1994 2000 2004 2010*

Page 28: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Design Work “All or Most of the Time” All Wage and Salary Earners, 1982-2010 (%)

Sources: Canadian Class Structure Survey, 1982 (N=1,482); WALL 2004 Survey (N=4,249); WALL 2010 Survey (N=967).

43 56 61 0

25

50

75

100

1982 2004 2010

Page 29: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Design Work “All or Most of the Time” by Employee Class Position, 1982-2010 (%)

Sources: Canadian Class Structure Survey, 1982 (N=1,482); WALL 2004 Survey (N=4,249); WALL 2010 Survey (N=967).

85 80 84 32 29 69 71 68 47 48 73 62 71 49 47 0

25

50

75

100

Managers Supervisors Professional employees

Service workers Industrial workers

1982 2004 2010

Page 30: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Self-Reported Managerial or Supervisory Role All Wage and Salary Earners, 1982-2010 (%)

Sources: Canadian Class Structure Survey, 1982 (N=1,482); WALL 2004 Survey (N=4,249); WALL 2010 Survey (N=967).

23 39 50 0

25

50

75

100

1982 2004 2010

Page 31: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Self-Reported Managerial or Supervisory Role by Employee Class, 1982-2010 (%)

Sources: Canadian Class Structure Survey, 1982 (N=1,482); WALL 2004 Survey (N=4,249); WALL 2010 Survey (N=967).

83 88 31 16 9 74 81 35 29 27 79 76 52 40 38 0

25

50

75

100

Managers Supervisors Professional employees

Service workers Industrial workers

1982 2004 2010

Page 32: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Required Educational Entry Credential Employed Labour Force, 1982-2010

Sources: CCS Survey, 1982; WALL 2004 Survey ; WALL 2010 Survey.

39 33 13 15 23 32 24 21 21 28 24 27 0

5

10

15

20

25

30

35

40

45

No diploma High school diploma College certificate University degree

1982 2004 2010

Page 33: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Post-secondary Credential Required for Job Entry All Wage and Salary Earners, 1982-2010

Sources: Canadian Class Structure Survey, 1982 (N=1462); WALL 2004 Survey(N=3887); WALL 2010 Survey (N= 933).

28 45 53 0

25

50

75

1982 2004 2010

Post-Sec Credential Required for Entry to Job

Page 34: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Post-secondary Credential Required by Employee Class 1982-2010 (% Requiring Post-secondary Credential)

Sources: Canadian Class Structure Survey, 1982 (N=1,482); WALL 2004 Survey (N=4,249).; WALL 2010 Survey (N=967).

75 39 87 16 10 67 31 81 35 20 61 44 89 38 25 0

25

50

75

100

Managers Supervisors Professional employees

Service workers Industrial workers

Page 35: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Section 3 Learning Conditions

Page 36: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

3. LEARNING CONDITIONS

• HIGHEST INCIDENCE OF POST-SECONDARY COMPLETION IN WORLD (UNIVERSITY AND COMMUNITY COLLEGE COMBINED).

• FURTHER EDUCATION COURSE PARTICIPATION HAS INCREASED IN CONJUNCTION WITH INCREASING POST-SECONDARY COMPLETION

• VERY EXTENSIVE JOB-RELATED AND GENERAL INFORMAL “ICEBERG” OF LEARNING

• FORMAL SCHOOLING AND FURTHER ADULT EDUCATION COURSE PARTICIPATION ARE QUITE CLOSELY RELATED, BUT INCIDENCE OF INTENTIONAL INFORMAL LEARNING IS NOT SIGNIFICANTLY RELATED TO EITHER

• ADULT AGE GROUPS VARY GREATLY IN FURTHER EDUCATION COURSE PARTICIPATION, VERY LITTLE IN (HIGH) INCIDENCE OF INTENTIONAL INFORMAL LEARNING

• EMPLOYMENT CLASSES VARY GREATLY IN FORMAL SCHOOLING, LESS SO IN FURTHER EDUCATION PARTICIPATION, VERY LITTLE IN INCIDENCE OF INFORMAL LEARNING

MAIN FINDINGS OF RECENT WORK AND LEARNING SURVEYS IN CANADA

Page 37: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Post-secondary Educational Attainment All Wage and Salary Earners, 1982-2010 (% completed)

Sources: Canadian Class Structure Survey, 1982 (N=1462); WALL 2004 Survey(N=3887); WALL 2010 Survey (N= 933).

25 56 64 0

25

50

75

1982 2004 2010

Post-Sec Completed

Page 38: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Post-secondary Educational Attainment by Employee Class 1982-2010 (% completed)

Sources: Canadian Class Structure Survey, 1982 (N=1,482); WALL 2004 Survey (N=4,249).; WALL 2010 Survey (N=967).

41 23 85 16 12 72 56 83 50 34 67 46 91 56 39 0

25

50

75

100

Managers Supervisors Professional employees

Service workers Industrial workers

1982 2004 2010

Page 39: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Post-secondary Educational Attainment and Participation in Further Education, Employed Labour Force, 1982-2010

22 49 56 61 24 49 55 54 0

20

40

60

80

1983 1998 2004 2010

Post-secondary completion Further education

Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey.

Page 40: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Level of Schooling and Participation in Further Education, Employed Labour Force, 1998-2010 (% participating)

Sources: NALL 1998 Survey; WALL 2004 Survey; WALL 2010 Survey.

26 46 63 69 34 51 59 65 38 47 59 65 0

25

50

75

No diploma High school diploma College certificate University degree

1998 2004 2010

Page 41: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Self-reported On-the-Job Training Time Required to Perform Job All Employees, 1982-2010 (%)

Sources: CCS Survey, 1982; WALL 2004 Survey; WALL 2010 Survey.

25 17 15 8 10 13 12 14 15 14 8 7 21 21 15 14 14 7 8 21 21 0

5

10

15

20

25

30

Few days or less

A week to a month

1 to 3 months

3 to 6 months

6 to 12 months

1 to 3 years 3 years or more

1982 2004 2010

Page 42: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Participation Rate in All Types of Informal Learning 1998–2010 (%)

[ Sources: NALL 1998 Survey; WALL 2004 Survey; WALL 2010 Survey. ]

92 91 95

0

20

40

60

80

100

1998 2004 2010

%

Page 43: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Participation Rates in Paid and Unpaid Work and Informal Learning, 2010 (%)

Sources: WALL 2010 Survey.

64

79

98

58

71

80

0

25

50

75

100

Paid work Volunteer work Household work

Participation in this form of work % of all adults

Page 44: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Time of Participation in Different Forms of Informal Learning* 1998-2010 (hours per week)

7 6 4 6 15 5 6 4 5 14 6 4 6 6 15 0

2

4

6

8

10

12

14

16

Job Housework Volunteer work General interest Total

NALL, 1998 WALL, 2004 WALL, 2010

Sources: NALL 1998 Survey; WALL 2004 Survey; WALL 2010 Survey. * Participants only

Page 45: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Topics of Job-Related Informal Learning Employed Labour Force 1998-2010 (% engaged)

42

46

49

62

42

54

58

64

42

43

58

56

55

56

55

62

38

43

52

55

61

63

63

71

0 10 20 30 40 50 60 70 80

Organisational or Managerial Skills

Employment Conditions

New Equipment

Health and Safety

Computers

New Job Tasks

Teamwork, Problem Solving,

New General Knowledge

NALL, 1998 [%] WALL, 2004 [%] WALL, 2010 [%]

Sources: NALL 1998 Survey; WALL 2004 Survey; WALL 2010 Survey.

Page 46: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Age and Participation in Further Education Course and Any Informal Learning Activities, All Respondents, 2010

Source: WALL 2010 Survey (N=1965).

0

20

40

60

80

100

18-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75+

Taken a course in past year Any informal learning

Page 47: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Section 4 Learning-Work Relations

Page 48: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

4. LEARNING-WORK RELATIONS, SKILL USE

• LOWER FORMAL SCHOOLING, HIGHER UNEMPLOYMENT

• FORMAL EDUCATION ATTAINMENTS HAVE BEEN INCREASING FASTER THAN FORMAL JOB ENTRY REQUIREMENTS, HENCE INCREASING UNDEREMPLOYMENT OF CREDENTIALS

• INCREASING UNDEREMPLOYMENT ON SEVERAL FORMS OF UNDEREMPLOYMENT

• INCREASING UNDEREMPLOYMENT ACROSS ALL EMPLOYEE CLASSES. HIGHEST UNDEREMPLOYMENT AMONG SERVICE AND INDUSTRIAL WORKERS

• IN SPITE OF RAPID INCREASE IN COMPUTER USE, WORKERS’ COMPUTER LITERACY STILL EXCEEDS JOB REQUIREMENTS

MAIN FINDINGS OF RECENT WORK AND LEARNING SURVEYS IN CANADA

Page 49: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Forms of Underemployment

Forms of

Underemployment

Characteristics of Specific Forms of

Underemployment

Time-based Unemployment (actively looking,

discouraged workers)

Involuntary Temporary Employment

(part-time, limited contract)

Knowledge-based Credential Gap

Performance Gap

Relevance Gap

Knowledge Gap

Subjective Personal Estimate of Match between

Qualifications and Job Requirements Sources: Livingstone, 2009.

Page 50: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Educational Requirements for Job Entry and Formal Educational Attainments Wage and Salary Earners, 1982-2010 (% Post-secondary Credential)

Sources: Canadian Class Structure Survey, 1982 (N=1462); WALL 2004 Survey(N=3887); WALL 2010 Survey (N= 933).

28 45 53 25 56 64 0

10

20

30

40

50

60

70

1982 2004 2010

Post-Sec Credential Required Post-Sec Credential Completed

Page 51: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Educational Attainment and Official Unemployment Rates 2004-2010* (%)

Sources: WALL 2004 Survey; WALL 2010 Survey.

* % of 25-64 years old adults , non full-time students, actively looking for jobs.

** Insufficient number for reliability.

13 6 5 2 3 8 4 4 4 0

2

4

6

8

10

12

14

No diploma HS diploma College certificate University degree Prof grad degree

Unemployed, 2004 Unemployed, 2010

**

Page 52: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Educational attainment and part-time or seasonal employment Employed Labour Force, 2004-2010 (%)

Sources: WALL 2010 Survey. *Currently employed, 25-64 years old, non full-time students, actively looking.

18 14 10 11 12 35 13 14 9 8 0

10

20

30

40

No diploma HS diploma College certificate Bach degree Prof / grad degree

2004 2010

Page 53: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Official Unemployment Rate Canada, 1970-2013 (% of the Labour Force)

Source: Statistics Canada

Page 54: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Unemployment Rate*, European Union and Canada 4th quarter 2012 (%)

*ILO definition, permanent resident population

Sources: The Swiss Labour Force Survey , 2013

Canada Labour Force Survey, 2013 0 5 10 15 20 25 30

Norway Switzerland

Austria Iceland

Germany Luxembourg Netherlands

Malta Romania Denmark

Finland Czech Republic

United Kingdom Sweden Canada

Belgium Estonia

Slovenia Poland

Hungary France EU-27

Italy Euro zone (EZ17)

Bulgaria Cyprus

Lithuania Latvia

Ireland Slovakia Portugal

Spain Greece

Page 55: Skill Utilization for Sustainable Economies: The Illusion of an ......Sources: NALL 1998 Survey; WALL 2004 Survey; WALL2010 Survey. Level of Schooling and Participation in Further

Country

p/t employed as % of total

employed

% of p/t employed wishing

more hours

p/t wish more as % total

employed

EU27 19.9 21.4 4.3

EA17 21.4 20.4 4.4

Netherlands 49.8 3.3 1.6

Switzerland 35.6 16.9 6.0

Norway 28.1 11.1 3.1

United Kingdom 27.0 24.1 6.5

Germany 26.5 17.1 4.5

Sweden 26.5 19.3 5.1

Denmark 25.7 12.7 3.3

Austria 25.5 13.7 3.5

Belgium 25.0 14.0 3.5

Ireland 23.9 33.6 8.0

Luxembourg 18.9 11.7 2.2

France** 18.0 24.7 4.4

Italy 17.0 15.6 2.6

Canada 15.6 36.5 5.7

Finland 15.1 20.1 3.0

Spain 14.7 54.5 8.0

Malta 13.9 21.3 3.0

Portugal 13.2 42.8 5.6

Turkey 11.9 11.6 1.4

Cyprus 10.5 50.4 5.3

Romania 10.2 25.3 2.6

Slovenia 9.5 20.6 2.0

Lithuania 9.3 30.8 2.9

Poland 7.8 28.5 2.2

Croatia 7.8 26.9 2.1

Greece 7.7 66.0 5.1

Hungary 7.0 31.8 2.2

FYR Macedonia 6.4 33.6 2.2

Czech Republic 5.7 9.6 0.5

Slovakia 4.1 38.0 1.6

Bulgaria 2.4 38.8 0.9

Part-time Work and Involuntary P/T European Union and Canada, 2012 Persons aged 15 to 74 working part-time,

wishing and being available to work more hours

Sources:

European Labour Force Survey 2012;

Canada WALL Survey 2010;

**excluding overseas departments

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Part-time Work European Union and Canada, 2012

Sources: European Labour Force Survey 2012; Canada WALL Survey 2010 **excluding overseas departments

2.4 4.1 5.7 6.4 7 7.7 7.8 7.8 9.3 9.4 9.5 10.2 10.4 10.5 11.9 13.2 13.9 14.7 15.1 15.6 17 18 18.9 23.9 25 25.5 25.7 26.5 26.5 27 28.1 35.6 49.8

19.9 21.4

0 10 20 30 40 50

Bulgaria Slovakia

Czech Republic FYR Macedonia

Hungary Greece Croatia Poland

Lithuania Latvia

Slovenia Romania

Estonia Cyprus Turkey

Portugal Malta Spain

Finland Canada (2010)

Italy France**

Luxembourg Ireland

Belgium Austria

Denmark Sweden

Germany United Kingdom

Norway Switzerland

Netherlands

EU27 EA17

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Involuntary Part-time Work European Union and Canada, 2012 (%)

Sources: European Labour Force Survey 2012; Canada WALL Survey 2010 **excluding overseas departments

0.5 0.9 1.4 1.6 1.6 1.7 2 2.1 2.2 2.2 2.2 2.2 2.6 2.6 2.9 3 3 3.1 3.3 3.5 3.5 4.4 4.5 5 5.1 5.1 5.3 5.6 5.7 6 6.5 8 8

4.3 4.4

0 2 4 6 8 10

Czech Republic Bulgaria

Turkey Slovakia

Netherlands Estonia

Slovenia Croatia

FYR Macedonia Hungary

Poland Luxembourg

Romania Italy

Lithuania Malta

Finland Norway

Denmark Belgium Austria France

Germany Latvia

Greece Sweden Cyprus

Portugal Canada (2010)

Switzerland United Kingdom

Spain Ireland

EU27 EA17

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Estimated Skill Underemployment* European Union and Canada, 2010 (%)

17

21

22

23

24

25

25

26

26

27

27

28

28

28

29

30

30

30

32

32

32

33

34

37

37

38

39

40

40

41

41

42

44

47

51

52

59

60

61

63

63

68

60

53

60

51

62

62

65

64

61

54

52

60

62

56

56

55

53

53

47

55

47

53

48

51

48

51

47

45

39

40

25

19

17

13

13

8

15

22

14

23

12

10

8

8

10

16

18

10

7

12

12

12

13

10

16

7

14

8

12

9

11

7

9

8

10

8

0% 25% 50% 75% 100%

Austria Lithuania

Czech Republic Kosovo Finland

Portugal Denmark

Estonia Poland

Germany Norway

Italy Turkey

Bulgaria Belgium

Luxembourg Slovakia

France FYROM

EU Netherlands

Malta Sweden

Spain Hungary

Ireland Latvia

United Kingdom Slovenia

Croatia Albania

Montenegro Cyprus Greece

CANADA Romania

Overqualified Match Underqualified

*Which of the following alternatives would best describe your skills in your own work? • 1 I need further training to cope well with my duties (underqualified) • 2 My present skills correspond well with my duties (match) • 3 I have the skills to cope with more demanding duties (overqualified) Sources: EWCS, 2010; WALL, 2010

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Summary of Skill-based Underemployment Canada, 1998-2010 (%)

30 29 20 47 34 32 28 52 32 29 29 53 0

10

20

30

40

50

60

Credential Performance Subjective Any Skill-based

1998 2004 2010

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Subjective Match between Qualifications and Job Requirements

Wage and Salary Earners, 1998-2010 (%)

Sources: NALL 1998 Survey (N=747); WALL 2004 Survey (N=4179); WALL 2010 Survey (N=966).

22

27

30

74

67

65

4

6

5

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

1998

2004

2010

Under-employed Match Under-qualified

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Credential Underemployment 1982-2010 (% underemployed)

Sources: Canadian Class Structure Survey, 1982; WALL 2004 Survey; WALL 2010 Survey

25 31 31 0

25

50

75

100

1982 2004 2010

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Credential Underemployment by Employee Class 1982-2010 (% underemployed)

Sources: Canadian Class Structure Survey, 1982; WALL 2004 Survey; WALL 2010 Survey

15 21 17 25 33 29 24 20 39 36 0

10

20

30

40

50

Managers Supervisors Professional employees

Service workers Industrial workers

1982 2010

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Selected Employee Classes and Employment Experience by Credential Underemployment

2010 (% underemployed)

Source: WALL, 2010.

30

43

12

28

0 10 20 30 40 50

10+ years

< 10 years

10+ years

< 10 years

Professional employees

Industrial and service workers

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Sources: WALL 2010 Survey (N=986).

Knowledge Gap Wage and Salary Earners, 2010 (% re job requirements)

63

34

4

0

25

50

75

100

More About the same Less

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51 43

6

0

20

40

60

80

100

Higher Same Lower

Sources: WALL 2010 Survey (N=680).

Computer Skills Match All Wage and Salary Earners, 2010

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57 52 52 49 44 40 46 39 48 46 4 3

9 3

10

0

25

50

75

100

Managers Supervisors Professional employees

Service workers Industrial workers

Higher Same Lower

Sources: WALL 2010 Survey (N=680).

Computer Skills Match by Employee Class Canada, 2010

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Sources: WALL 2004 Survey (N=967); WALL 2010 Survey (N=901).

Computer Skills Match With Requirements of Job by Age Group Employed Labour Force, 2004-2010, (% overqualified)

70 59 54 38 37 75 56 57 42 33 0

25

50

75

100

18–24 25–34 35–44 45–54 55–64

2004 (%) 2010 (%)

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Case Study Findings on Education-Job Match

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These diverse case studies (documented in Livingstone 2009, 2010) allow the following conclusions:

• Most participants were engaged in extensive intentional learning activities, with various degrees of relevance to their jobs. All participants were to greater or lesser degrees engaged in problem-solving during which they continuously acquired and reformulated their cognitive knowledge and abilities, and utilised them to “micro-modify” their jobs.

• However, while many workers exercised some discretion in performing their jobs, they also reported restricted opportunities to use their abilities in the design of their jobs and in organisational decision-making. This limitation applied especially to service workers and industrial workers (as exemplified by clerical and auto workers) as well as to disabled workers.

Case Study Findings on Education-Job Match

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“Just involve the people … This guy might run this machine every day for years. He will come up with ideas that will make his job easier for him and easier for management … Give people some sort of a sense of importance … rather than being treated like cattle.”

(Ethan, a tool setter on an auto assembly line)

(Source: Education and Jobs 2009)

Selected Quote

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5. Alternatives

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Possibilities

5. ALTERNATIVES

• BASIC PRINCIPLES

• SHAREHOLDER CAPITALISM OR STAKEHOLDER CAPITALISM OR ECONOMIC DEMOCRACY MODELS

• JOB DESIGN OPTIONS/EDUCATION AND TRAINING OPTIONS

• POLICY ACTORS AND POLITICAL WILL

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Education Reforms vs. Economic Reforms

• IN LIGHT OF THE EMPLOYED LABOUR FORCES’ HIGH LEVEL OF FORMAL SCHOOLING, FURTHER EDUCATION, EXTENSIVE INFORMAL LEARNING ON THE JOB AND CHRONIC UNDEREMPLOYMENT, ECONOMIC REFORMS, ESPECIALLY ENRICHED JOBS, MAY BE MORE PERTINENT THAN TRAINING REFORMS TO ADDRESS GAPS BETWEEN WORKERS’ KNOWLEGE AND JOB REQUIREMENTS

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Several general normative principles essential for developing feasible organisational alternatives for sustainable productive work compatible with enhancing human abilities:

– productive activities reconciled with the needs to support future generations without compromising the ecosystem;

– the right to a decent job, that is, to make a living through work that permits a full use of human capabilities in dignity and security;

– participatory democracy, that is, decisions should involve all who are engaged in production; and

– equitable opportunities for those from all social backgrounds (economic class of origin, age, gender, race or with a disability) to use their abilities.

Principles for Economic Alternatives

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[ 19 ]

Shareholder Capitalism

Stakeholder Capitalism

Economic Democracy

Ownership People’s

Capitalism Profit

sharing Socialized

Market

Labour Process

Re- engineering

Co-determination

Self-Management

Work Redistribution

Flexible labour force

Reduced Workweek

Full Employment

New Forms of work

Workfare Guaranteed

Income Green work

[ Source: Livingstone, 2004 ]

Macro-Economic Alternatives

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• Stronger employment standards with higher minimum wage and living wage provisions.

• Enable organizing efforts among workers and communities to negotiate decent working conditions, job upgrading and transitions.

Generic Good Jobs Policy Reforms

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Job Design • Paid Work Redistribution

(less 50+ hour jobs, more hours and benefits for <30 hour jobs)

• Real Democratized Technical Design and Social Authority (participatory design, co-determined decision-making)

• Flex-time Scheduling Responsive to Work-Life Balance Issues, (based partly on recognition of unpaid work (housework, community volunteer work) responsibilities, and further redistribution of female and male responsibility for them)

• New Forms of Socially Useful Paid Employment (new sustainable [green, renewable] products, renewed infrastructure, environmental clean-up) Education and Training

• Prior Learning Assessment and Recognition (PLAR) (portfolio development, demonstration, challenge exams, case studies, presentations)

• More Co-ordinated Mentoring by Senior Workers (including those phasing into retirement)

Specific Current Job Design and Training Options

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Class Position and Class Identity Employed Labour Force, 1982-2010 (% working class identity)

Employment Class 1982 1998 2004 2010

Large employers 0 5 5 0

Small employers 12 25 18 8

Self-employed 29 40 34 19

Managers 13 16 18 8

Supervisors 26 16 36 21

Professional employees 13 12 23 7

Service workers 33 29 39 23

Industrial workers 51 31 42 29

Total labour force 32 25 32 17 Sources: 1982: CCS Survey (N=1,482); 2004:WALL I Survey (N=4,249); 2010: WALL II Survey (N=967).

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Declining Working Class Identity in Working Class Positions, Canada 1982-2010 (%)

33 51 29 31 39 42 23 29 0

10

20

30

40

50

60

Service workers Industrial workers

1982 1998 2004 2010

Sources: 1982: CCS Survey (N=1,482); 2004:WALL I Survey (N=4,249); 2010: WALL II Survey (N=967).

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Class Position and Opposition to “Scabs” Employed Labour Force, 1982-2010 (% opposed)

Sources: 1982: CCS Survey (N=1,714); 2004:WALL I Survey (N=2,713); 2010: WALL II Survey (N=1,198).

Employment Class 1982 2004 2010

Large employers 45 19 0

Small employers 24 28 46

Self-employed 41 45 55

Managers 44 48 42

Supervisors 56 59 61

Professional employees 67 58 64

Service workers 65 58 49

Industrial workers 72 62 57

Total labour force 62 54 54

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Industrial Workers’ Opposition to “Scabs” 1982-2010

Sources: 1982: CCS Survey (N=1,714); 2004:WALL I Survey (N=2,713); 2010: WALL II Survey (N=1,198).

72 62 57 0

20

40

60

80

100

1982 2004 2010

Industrial workers

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Class Position by View that Corporations Benefit Owners at the Expense of Workers and Consumers

Canada, 1982-2010 (% agree)

1982 2004 2010

Large Employers N/A* 42 N/A*

Small Employers N/A* 49 N/A*

Self-Employed 68 72 68

Managers 43 60 58

Supervisors 65 67 60

Professionals 66 71 69

Service workers 69 72 64

Industrial workers 76 73 68

Totals 67 69 65 Sources: 1982: CCS Survey(N=1,758); 2004: WALL I Survey (N=5,570); 2010: WALL II Survey (N=1,192). * too few responses for reliable estimates

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• The most sustained period of economic growth in the history of capitalism, with significant gains by working class people in wages and benefits, educational attainments and general living conditions has been followed by further gains in educational attainment coupled with stagnant wages and underemployment.

• A prominent political scientist has observed: “a very effective way of enhancing the sense of injustice of the victimized is to increase their education and little else”.

Morton Deutsch. “A Framework for Thinking about Oppression and Its Change”. Social Justice Research, 19(1), 7–41 (p. 26).

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Factors Related to Subjective Underemployment Employed Labour Force, Canada, 2004

Source: WALL 2004 Survey

Adjusted odds

ratio

Sign.

CLASS POSITION

1 large employer 1 .000

2 small employer 5.682 .001

3 self-employed 5.639 .001

4 manager 2.558 .076

5 supervisor 5.378 .002

6 professional employee 2.797 .050

7 service worker 6.553 .000

8 industrial worker 6.276 .000

ORG. DECISION-

MAKING

1 Self decisions 1 .119

2 Advice-approval 1.033 .740

3 No role 1.171 .052

UNION OR

ASSOCIATION

MEMBERSHIP

5 Non-member 1 .861

1 Union .973 .727

3 Association 1.033 .746

AGE 5 60+ .000

18 -29 2.579 .000

2 30-39 1.549 .021

3 40-49 1.464 .044

4 50-59 1.350 .125

EDUCATIONAL

ATTAINMENT

1 LT High School 1 .000

2 HS diploma 2.035 .000

3 CC complete 2.062 .000

4 Univ complete 3.360 .000

5 Grad prof degree 3.375 .000

IMMIGRANT STATUS

1 Canadian-born 1 .000

2 Established immigrant 1.398 .000

3 Recent immigrant (<5 yrs) 2.139 .000

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Conclusions

• Educational systems should and likely will continue to try to improve the relevance of their programmes in response to growing economic and social demands.

• Professional training and development personnel should make it a high a priority to take steps to ascertain the current formal and informal skill and knowledge profiles of those they provide further formal training and development courses and programs, rather than presuming knowledge deficits.

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Conclusions

• We are living, as we always have, in a “learning society”, a “knowledge society” with increasingly widely informed workers and citizens.

• The notion of a “knowledge-based economy” remains fragmentary as various forms of underemployment of knowledge proliferate while profits and wealth become increasingly concentrated. This condition is likely to persist until the underemployment and sheer waste of talents of so many are recognized and addressed.

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•“We are not dealing with the mysteries of curing cancer.” (Osterman and Shulman Good Jobs America, 2011)

•We have a sufficiently clear diagnosis to proceed with a cure to serious underemployment through improving the quality of jobs—if we have the will.

Conclusions

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• Livingstone, D.W. (Ed.). (2009). Education and Jobs: Exploring the Gaps. Toronto: University of Toronto Press.

• Livingstone, D.W. (Ed.). (2010). Lifelong Learning in Paid and Unpaid Work: Survey and Case Study Findings. London: Routledge.

• Livingstone, D.W., & Raykov, M. (2010). WALL Papers: Resources from the SSHRC Collaborative Research Initiative on the Changing Nature of Work and Lifelong Learning in the New Economy. Toronto: Centre for the Study of Education and Work. (Available at www.wallnetwork.ca.)

• Livingstone, D. W.(2010) Job requirements and workers' learning: formal gaps, informal closure, systemic limits. Journal of Education and Work, 23(3), 207-231.

• Livingstone, D.W., and D. Guile (eds.). (2012). The Knowledge Economy and Lifelong Learning: A Critical Reader. Rotterdam: Sense Publishing.

• Livingstone, D.W. (2013). Skill Underutilization. in J. Buchanan, D. Finegold, K. Mayhew and C. Warhurst (editors). Oxford Handbook of Skills and Training.

References

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Changing Nature of Work and Lifelong Learning http://wall.oise.utoronto.ca

• Changing Nature of Work and Lifelong Learning Research Network (www.wallnetwork.ca)

• Research funded by SSHRC under a series of Strategic Research Grants and the Canada Research Chairs Program

• Includes 1998, 2004 and 2010 representative national surveys of randomly selected respondents over 18 on many issues of working conditions and adult learning

• Also includes over 50 related case studies of different industry sectors, at-risk workers, unpaid work and informal learning

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Contact Information

Dr. D.W. Livingstone

Canada Research Chair in Lifelong Learning and Work

Professor Emeritus, Department of Humanities, Social Science and Social Justice Education

Ontario Institute for Studies in Education of the University of Toronto

252 Bloor St. W. Toronto, Ontario M5S 1V6

Email: [email protected]

Phone/fax: 905 271-2755