Technical Vocational Education &Training Impact Assessment Report

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Secretaria de Estado da Formação Profissional e EmpregoTechnical Vocational Education & TrainingImpact Assessment ReportApril 2008Produced with the support of:STAGESkills Training for Gainful EmploymentOInternationalLabourOrganization

TABLE OF CONTENTSI. EXECUTIVE SUMMARY. 4II. BACKGROUND. 5III. OBJECTIVES . 5IV. METHODOLOGY. 6V. LIMITATIONS OF THE FINDINGS . 6VI. THE QUESTIONNAIRES . 7VII. CONCLUSIONS. 8RESULTS OF TRAINING . 8CONDITION OF TRAINING CENTERS . 9TRAINING COURSES AND TRAINERS . 10PAYMENT FOR TRAINING . 10GENDER CONSIDERATIONS . 11VIII. RECOMMENDATIONS. 12REGULATORY ENVIRONMENT. 12TRAINING CENTERS’ COURSE SELECTION . 12TRAINING CENTER SUPPORT TO TRAINEES . 13EMPLOYMENT CENTERS . 13LINKAGES . 13VOCATIONAL TRAINING BOARDS (VTB). 14GENDER CONSIDERATIONS . 14IX. TRAINING CENTERS. 15LOCATION AND TYPE OF TRAINING CENTERS . 15TRAINING ENVIRONMENT . 16QUALIFICATIONS OF STAFF. 17CURRICULA . 18TRAINEE CRITERIA . 18WORK EXPERIENCE PROGRAMS . 19TRAINING OUTCOMES. 19ATTRITION RATE . 20GENDER SENSITIVITY . 20X. TRAINEES. 22GENERAL . 22TRAINING INSTITUTIONS ATTENDED BY TRAINEES . 22FAMILY STATUS . 23TRAINEE AGE . 23EDUCATIONAL BACKGROUND . 23EMPLOYMENT AT THE TIME OF TRAINING . 24TRAINING COURSES . 24CHOICE OF TRAINING COURSE. 25COST OF TRAINING COURSES . 25TRAINEES OPINION ABOUT THE COURSES . 25PAYMENT FOR COURSES . 25WORK EXPERIENCE PROGRAM . 26ASSISTANCE TO FIND EMPLOYMENT . 26EMPLOYMENT . 26TRAINING CENTERS AND EMPLOYMENT . 27SKILL AREAS AND EMPLOYMENT . 28COURSE DURATION AND EMPLOYMENT AND ATTRITION RATES . 29JOB SEEKING . 29COST OF TRAINING . 292

GENDER ISSUES . 30XI. EMPLOYERS . 30GENERAL . 30COOPERATION WITH TRAINING CENTERS . 31WORK EXPERIENCE . 31EMPLOYMENT . 32GENDER ISSUES . 32ANNEXES:.33-40ANNEX 01: COURSE ENTRY QUALIFICATION . 33ANNEX 02: EDUCATION OF TRAINEES . 34ANNEX 03: ATTRITION . 34ANNEX 03: ATTRITION . 35ANNEX 04: EMPLOYER BASIC DATA . 35ANNEX 04: EMPLOYER BASIC DATA . 36ANNEX 05: TRAINING OUTCOME BASED ON COURSE DURATION AND SKILLS . 36ANNEX 05: TRAINING OUTCOME BASED ON COURSE DURATION AND SKILLS . 37ANNEX 06: COST OF TRAINING COURSES . 393

I. Executive SummaryThe intent of this Technical Vocational Education and Training report is to provide details of theimpact of training provided by the largest vocational training institutions in Timor-Leste.With 21 training centers surveyed, 418 graduates and 20 companies interviewed the reportevaluates the outcome of selected training courses that were conducted by these training centersduring 2006 and 2007.Of the 418 graduates surveyed, the report puts emphasis on reporting on factors that influencedemployability of graduates of the training programs, whether through formal employment, selfemployment or improvement in their present employment. With 55% of the graduatesinterviewed being women, particular efforts have been made to address gender determiningfactors in detail.Employability percentage varies between training centers. But the fact that only 50% of thetrainees who were unemployed at the time of joining the training program obtained formalemployment or self-employment after the training should be seen on the background of thepresent employment situation in Timor-Leste. The relatively low percentage is not necessarily anindication of poor or irrelevant training. Formal jobs are few and the formal job market isgrowing at a slow speed. Therefore most graduates are left to become self-employed. With thebarriers to self employment being very high in terms of acquiring the necessary skills andexperience and - most importantly - find sources of finance the steps to successful selfemployment are steep and with high probability of failure.From the report, it becomes clear that there is a lack of consensus among stakeholders in trainingon what suitable training is. There is no agreement on training curricula and duration of training.There is insufficient understanding of the reasons for poor employability of trainees once theygraduate. Every training institution train to own standards. Consultation with possible employersdo take place, but on infrequent basis.All indications in the report point to the necessity of a nationally regulated vocational trainingsystem. A regulated system can accommodate different ownership and operational structures aswell as individually structure cost coverage training centers may apply. However, trainingprovision needs to become more uniform and more in tune with the present and future nationalskills requirements. Regulations would in the first place deal with a simple training centeraccreditation system and secondly would start a national skills assessment system.To be able to regulate TVET, a firm and detailed national TVET policy needs to be accepted andimplemented. Having this policy in place would secure SEFOPE the policy basis forimplementing its TVET strategy, which includes a regulatory framework.In the near future SEFOPE will have under its management a Labour Force DevelopmentInstitute (INDMO). INDMO shall have as it responsibility and authority to address many of theissues raised in the report. However, regulation through a national body shall not solve all theissues raised in the report. Strong encouragement and support should be given to setting up ofdistrict level “training boards” composed of stakeholder in training. Only by active engagementof all interested parties in training shall real cooperation on district level take place.All indications also points towards intensifying the successful integrated approach to trainingand self-employment initiated by SEFOPE. That is training of youth in relevant and practical4

vocational skills, providing a hands-on entrepreneurship basic training and assisting them withaccess to financial services. With this training and access to funding and with assistance andmentoring of business service providers youth will be provided with possibilities of escaping theunemployment trap.II. BackgroundThe Direcção Nacional de Formação Profissional (DNFP) within the Secretaria de Estado daFormação Profissional e Emprego (SEFOPE) has responsibility to support the development ofgovernment policy and programs for vocational training that assists skill development foremployment through formal or self-employment and income generation and professionaldevelopment for those already employed. The Division provides technical advice to stakeholdersin TVET on the development of legislation and programs; it directs and supervises the activitiesof District Employment Centers and assists in the development, implementation and funding oftraining programs conducted by privately or publicly owned vocational training centers.SEFOPE is also responsible for the promotion of equal opportunities in access to employmentand training. It networks and consults with other Ministries on matters relating to employmentand training and it monitors, evaluates and analyses the performance of training providers andtraining courses for job seekers, making recommendations as required.In October 2007 a comprehensive document was released on Technical Education & VocationalTraining (TVET) in Timor-Leste. Through a review of 39 vocational training providers and 12technical high schools, the document, “Vocational Training in Timor-Leste”1, gives a detailedinsight into most aspects of TVET activities in Timor-Leste whether operated by public orprivate means.As a follow up to this report it was decided to undertake a TVET impact assessment. This impactassessment would use as base the data collection that had taken place during the research for the“Vocational Training in Timor-Leste” and continued with additional data collection focusing ontraining institutions, trainees and employers. In addition, the exercise provided a learningopportunity to relevant SEFOPE officials to hone their skills in field data collection and analysis,which in turn gave them first hand accounts from training centers, employers, and graduates ofissues that would need to be further considered in policy and programme formulation andmonitoring.The impact assessment covered 21 vocational training centers, including 2 vocational highschools, 20 employers, and 418 graduates (186 male and 232 female).III. ObjectivesThe objectives of the TVET impact assessment are:1. To assess the effectiveness of the Vocational Training programs and Training Centres inassisting unemployed, mainly registered with the District Employment Centres of theDivision of the Secretariat of State for Vocational Training and Employment to find work orinitiating their own income-generating activities;1Issued October 2007 by the Secretary of State for Vocational Training & Employment (SEFOPE)5

2. To identify further inputs that may be required for the development of the vocational trainingstrategy of the Secretariat of State for Vocational Training and Employment; and3. To test a standard tracer study instrument and give on-the-job training to SEFOPE officialsin monitoring and evaluation of training courses as provided by various institutions.In addition to the stated objectives, the report focuses strongly on gender aspects in vocationaltraining.IV. MethodologyThe field survey took place during the months of November and December 2007.The survey assessed the impact of training provided by 21 Vocational Training Centres, whichconducted skills training courses during the years 2006 and 2007 to the unemployed registered inthe District Employment Centres (DECs). The locations of the training centers were: Aileu,Baucau, Bobonaro, Covalima, Dili, Lautem and Liquica.The total sample of 21 training centers included training centers, which are supported by theGovernment (3), Church (9), NGOs (7) and private institutions (2). Two of the sampled traininginstitutions were technical high schools. From these 21 training institutions the graduatessampled participated in 21 skill areas.The survey collected information from the supply side (training centers) and demand side(employers), as well as from graduates of the courses, representing an exercise of tracer studieson the effectiveness of the skills training as a factor to promote employability. Consistent withthis approach, the survey methodology was based on the development of three specificquestionnaires for training centers, employers and graduates, in order to capture and crossinformation from the three different perspectives.The graduates who were interviewed were selected from lists of trainees of the sampled trainingcenters. The graduates were all trainees who completed their training during the years 2006 and2007. A total of 418 graduates were interviewed. Training center tracer information on graduateswas from a sample size of 751 graduates.The sample of employers were defined by taking in consideration two factors: a) the need toensure representation of the different main areas of activity of the Timor-Leste economy; and b)employers with consolidated operations, reflecting their understanding of the functioning of theTimor-Leste labor market and, consequently, indicating their capacity to contribute to theidentification of the level of relevance of the assessed training centers in a global nationalperspective. A total of 20 employers from a wide variety of industries were interviewed. 18employers are located in the Dili area, two in Baucau.V. Limitations of the FindingsThe survey included several courses for some training institutions. The courses covered werecourses that had been conducted within two years of the interviews taking place. Not being ableto research over a greater period of time, may at times give a slightly distorted view of traininginstitutions’ performance. One example of slight data inconsistency is the information from6

graduates and from training centers on success in getting employment after completing skilltraining. The graduate data are from direct interviews. The training center information is fromthe training institutions’ tracer records.It is also recognized that the survey period was one of political instability in Timor-Leste thatparticularly affected young men in Dili. This may have affected the traceability of malegraduates, who often had greater mobility than their female counterparts.Comparisons between training institutions ranging from rural skills for villagers to modern,urban-based industrial training centers to vocational high schools do not always yield anobjective and useful result. Also the different ownership structure of the training centers,Government, Church, NGO and private makes a difference in the way training centers arefunded and managed, whether or not trainees get charged for courses, and how course selectionswere made by the training centers and the training centers’ preferences for male and/or femaletrainees. The latter is relevant to courses offered by churched-based organizations which oftencater their training courses to trainees of certain characteristics, e.g., all males, all females,and/or with certain marital status. The survey does not attempt to judge what type of trainingcenter is the better one.While enumerators, most of whom were SEFOPE officials, were trained and supervised, therewere some unavoidable mistakes in the conduct of the interviews mainly arising frominterviewees and interviewers misinterpreting the questions. This has mostly had an effect onnumerical accuracy. As far as conclusions drawn the data collected were deemed sufficientlyaccurate.An important consideration when reading the data is the timing of the TVET ImpactAssessment. During 2006-07 there were significant political and social unrests in Timor-Lesteand while they affected all people, young men in Dili were considerably disrupted bydisplacement and violence.VI. The QuestionnairesTraining Center Questionnaire: The training center questionnaire comprises fundamental detailsto identify and characterize each training centre, including staff, curricula, courses, participantsand graduates. It allows the calculation of the internal success rate (number of graduates out ofparticipants) of the different training courses implemented by the assessed institutions, and theestablishment of associations between those results and other organizational aspects of theTraining Centre like the composition and qualifications of its staff, the curricula used, theduration of the courses, work experience etc.Graduate Questionnaire: The graduate questionnaire assesses the opinion of the former traineeson the training centre, including the aspects related with the training contents (theoretical andpractical components) and the quality of trainers and facilities, and identifies the area of trainingattended as well as the present employment status of the interviewee. It establishes direct linksbetween graduates, training centers and courses, allowing the definition of the external successrate (number of people working in their field of training out of the number of graduates of therespective courses) of those institutions and training programmes.Employer Questionnaire: The employer questionnaire assesses the opinion of the localemployers of the training centers and courses, and the skills acquired/demonstrated by the7

graduates. It allows the identification of the level of recognition of the different training centers,and the relevance of their courses to respond to the needs of the labor market.VII. ConclusionsResults of Training1. Approximately 50% of graduates able to improve their livelihoods after the trainingWhen young women and men undertake training, they expect to gain employment after thetraining or – if they are already working – be able to increase their income and quality of life.The survey of graduates from training courses shows that of the 418 trainees interviewed, 312(female 178 and male 134) indicated that they were jobless at the time of the course. 93 (female50 and male 43) found employment after graduation and 137 (female 73 and male 64) reportedimproved income after completing their courses. Allowing for possible overlap between the twogroups approximately 50% of the graduates found work or experienced income improvement.The training providers reported 40% of traceable graduates gained employment or improvedtheir income. The results of training providers in the districts were significantly better than inDili with 47% employment compared to just 14% employment.There are no indications that people in formal, waged employment attend training courses.Therefore it is assumed that virtually all participating trainees who indicated that they wereemployed before the course were either self-employed or, in rare cases, recently laid off fromformal jobs.If formal employment were available to anyone with the right training background 50% livehoodimprovement would not be a very encouraging result. However, due to the very little formal jobmarket almost all trainees participate in training either to improve their possibilities to embarkself employment or to improve their present self employment situation with additional skills.The SEFOPE support for training and combining training with entrepreneurship developmentand access to financial services was designed to ensure that funding through the ILO/STAGEEmployment and Vocational Training Fund (EVFT) went to training courses which had potentialfor self-employment or improved income outcomes for the trainees. The courses funded throughthe EVTF include the training for blacksmiths in Baucau, fish drying and bead making inAtauro, the livelihood program for young women in Los Palos, the mulberry leaf cultivation andproduction in Baucau district and welding and plumbing courses in Los Palos. With theexception of the plumbing course these programs reported an average of almost 90% ofgraduates with improved income. SEFOPE staff monitors the programs and support providers tolink with self employment training programs. Seen on that background the 50% livelihoodimprovement is a promising development.2. Mismatches between skills supplies from training centers and skills in demands byemployersFrom the survey the conclusion that immediately comes to mind is the apparent lack of closeconnection and understanding between the different stakeholders in the job market. With a fewexceptions training centers do not train in accordance with well-researched labor marketrequirements but are rather offering the standard courses one sees in most TVET institutions and8

for which there, indeed, are some yet-to-be quantified demands in some locations of the country.Training providers also offer courses in skills areas and geographical locations where they havethe physical and human resources to deliver. As a consequence, training courses offered by thetraining providers are driven less by the demands of the labor market than by the trainingcenters’ internal determinants, whatever they may be. The disjuncture between labor marketdemands and skill supplied by the training centers is reflected in the employers’ concerns aboutthe insufficient skills of graduates. From the survey and the sporadic contacts employers havewith training centers it would appear that few employers consider the majority of training centersin Timor-Leste a reliable and constant source of skilled employees.3. Trainees and new labor market entrants unguided in their pursuit for better skills andjob prospectsTrainees sign up for training courses with little knowledge of the prospects for work aftergraduation. Probably, due to lack of communication with the job market, most training centersdo not provide – or are not capable of providing – the required counseling to trainees beforesigning them up for courses. Training centers train, without any assurance of what the jobmarket requires and in some cases without any assistance to trainees with job placement aftergraduation.Overall, trainees received little guidance and assistance in choosing their course. Their choice ismade by hoping that a selected course will help them secure a job and, in some cases, traineesselected a skill area because they like the particular work this skill area deals with. Traineesseem guided by advice from family members and from what courses training centers haveavailable. Trainees are also not aware of how to apply for jobs. Most graduates, unsuccessful intheir job seeking, mention lack of personal or family contacts to employers and lack ofknowledge of how to go about applying for jobs as the main reasons for failing.Trainees are not mentioning the district employment centers as a place where they can go forassistance and counseling.Condition of Training Centers4. Quality assurance framework for training centers urgently neededMost training centers are under-funded and depending on donors and international cooperationfor their existence. However, being well funded is no guarantee for quality. One large traininginstitution has benefited from generous international aid for some time. However, the center isbelow average in almost every respect related to trainee support and job placement.Demand for skills shall change at a fast pace once the society starts its development process. InTimor-Leste it should be foreseen that infrastructure projects and all the activities such majorprojects bring with them shall be initiated in a n

Through a review of 39 vocational training providers and 12 technical high schools, the document, "Vocational Training in Timor-Leste"1, gives a detailed insight into most aspects of TVET activities in Timor-Leste whether operated by public or private means. As a follow up to this report it was decided to undertake a TVET impact assessment.

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