Post on 31-Mar-2015
VET research for industry
AVETRA 15th Annual Conference12-13 April 2012
Canberra
Tom Karmel
Six areas or relevant research Value of completing an
apprenticeship/traineeship Role of wages in completion rates of
apprentices/trainees Value of completing a VET qual Match between training and the labour
market Role of VET in innovation VET and workforce development
Six areas or relevant research Value of completing an
apprenticeship/traineeship Role of wages in completion rates of
apprentices/trainees Value of completing a VET qual Match between training and the labour
market Role of VET in innovation VET and workforce development
Difference between expected wage in alternative employment and wage during training
Trades
-15000
-10000
-5000
0
5000
10000
15000
20000
25000
30000
1 101 201 301 401 501 601 701 801 901
Observation
$ (a
nnua
l)
Difference between expected wage in alternative employment and wage during training
Non-trades (male)
-20000
-15000
-10000
-5000
0
5000
10000
15000
20000
25000
30000
1 101 201 301 401 501 601 701 801 901 1001 1101 1201
Observation
$ (a
nnua
l)
Difference between expected wage in alternative employment and wage during training
Non-trades (female)
-20000
-10000
0
10000
20000
30000
40000
1 101 201 301 401 501 601 701 801 901 1001 1101 1201 1301 1401 1501Observation
$ (a
nnua
l)
Wage premium on completion of an apprenticeship or traineeship, excluding part-timers and existing workers
Trades
Mean ($)% above
zero
Engineering, ICT and science technicians 6 329.1 100.0Automotive and engineering 13 724.4 100.0Construction trades workers 16 867.8 100.0Electrotechnology and telecommunications trades workers 23 232.1 100.0Food trades workers 6 228.8 94.5Hairdressers 631.7 73.4All other trade occupations 6 158.7 100.0Total 12 105.0 96.4
Wage premium on completion of an apprenticeship or traineeship, excluding part-timers and existing workers
Non-trades (male)
Mean ($)% above
zero
Non-trades:Managers and professionals 7 937.6 91.7Community and personal service workers -832.7 46.4Clerical and administrative workers 4 911.2 82.9Sales workers -5 088.3 8.6Machinery operators and drivers 1 319.0 54.6Labourers 2 551.9 70.2Total 1 624.1 59.8
Wage premium on completion of an apprenticeship or traineeship, excluding part-timers and existing workers
Non-trades (female)
Mean ($)% above
zero
Managers and professionals 5 363.9 93.3Community and personal service workers 6 428.1 92.7Clerical and administrative workers 6 007.1 95.9Sales workers -4 426.5 6.5Machinery operators and drivers 6 452.7 100.0Labourers -12 667.2 0.0Total 2 403.9 68.2
Six areas or relevant research Value of completing an
apprenticeship/traineeship Role of wages in completion rates of
apprentices/trainees Value of completing a VET qual Match between training and the labour
market Role of VET in innovation VET and workforce development
Summary of regression of probability of completing an apprenticeship or traineeship, trades and non-trades, 2008 and
2010 combinedTrades Non-trades
(male)Non-trades
(female)
Wedge between expected wages in alternative employment and wages during training
Wedge between expected wages on completion and expected wages in alternative employment
Wedge between probability of employment on completion and probability of alternative employment
Difference between surveys (2010 survey = 1; 2008 survey = 0)
Six areas or relevant research Value of completing an
apprenticeship/traineeship Role of wages in completion rates of
apprentices/trainees Value of completing a VET qual Match between training and the labour
market Role of VET in innovation VET and workforce development
Employed after training
ActualPayoff
0
1
2
3
4
t
0 10000 20000 30000 40000 50000
Salary full timeActualPayoff
0.7
0.8
0.9
1.0
1.1
1.2
1.3
1.4
t
0 10000 20000 30000 40000 50000
Further study
ActualPayoff
0
1
2
3
4
5
6
7
8
t
0 10000 20000 30000 40000 50000
Employment status after trainingPopulation
pay-off = 21.7%
Employment status before training:
Unemployed
pay-off = 34%
Employment status before training:
Not in labour force
pay-off = 108.3%
Employment status before training:Employed
pay-off = 2.8%
Further StudyPopulation
pay-off =122.7%
Employment status before training:Employed
pay-off = 99%
Employment status before training
Unemployed
pay-off = 158.1%
Employment status before training
Not in labour force
pay-off = 217.5%
Salary full timePopulation
pay-off = 0.3%
Qualification level:Cert I & II
pay-off = -0.6%
Qualification level:Cert III & IV
pay-off = 1.8%
Qualification level:Diploma & above
pay-off = 6.6%
Six areas or relevant research Value of completing an
apprenticeship/traineeship Role of wages in completion rates of
apprentices/trainees Value of completing a VET qual Match between training and the labour
market Role of VET in innovation VET and workforce development
Matches between intended and destination occupations for graduates who are employed, 2007
Intended occupation of training activity
Match at major group
Match at sub-major
group
% %
Managers 18.8 14.1
Professionals 35.4 21.5
Technicians and trades workers 66.7 60.6
Community and personal service workers 53.3 43.8
Clerical and administrative workers 50.3 23.0
Sales workers 51.6 45.2
Machinery operators and drivers 39.5 26.6
Labourers 33.6 25.5
Total 47.8 36.6
Courses sorted by the proportion of graduates reporting that the training is of little or no relevance to their destination occupation: graduates for whom intended and destination
occupations do not match at the sub-major group level, 2007
Intended occupation of training activity %
Arts and media professionals 63.6
Sports and personal service workers 45.0
ICT professionals 36.7
Road and rail drivers 35.3
Hospitality workers 34.0
Food trades workers 8.3
Automotive and engineering trades workers 7.8
Cleaners and laundry workers 5.4*
Construction trades workers 3.5
Electrotechnology and telecommunications trades workers 3.2*
0 10 20 30 40 50 60 70 80 90 100
13 Specialist Managers
89 Other Labourers
51 Office Managers and Program Administrators
14 Hospitality, Retail and Service Managers
85 Food Preparation Assistants
22 Business, Human Resource and Marketing Professionals
21 Arts and Media Professionals
23 Design, Engineering, Science and Transport Professionals
82 Construction and Mining Labourers
26 ICT Professionals
59 Other Clerical and Administrative Workers
72 Mobile Plant Operators
71 Machine and Stationary Plant Operators
53 General Clerical Workers
74 Storepersons
31 Engineering, ICT and Science Technicians
27 Legal, Social and Welfare Professionals
24 Education Professionals
84 Farm, Forestry and Garden Workers
41 Health and Welfare Support Workers
83 Factory Process Workers
44 Protective Service Workers
12 Farmers and Farm Managers
43 Hospitality Workers
45 Sports and Personal Service Workers
73 Road and Rail Drivers
55 Numerical Clerks
54 Inquiry Clerks and Receptionists
61 Sales Representatives and Agents
62 Sales Assistants and Salespersons
36 Skilled Animal and Horticultural Workers
39 Other Technicians and Trades Workers
32 Automotive and Engineering Trades Workers
42 Carers and Aides
35 Food Trades Workers
33 Construction Trades Workers
34 Electrotechnology and Telecommunications Trades Workers
81 Cleaners and Laundry Workers
(%)
Specif ic Generic
Courses ranked from most specific to most generic, 2007
Six areas or relevant research Value of completing an
apprenticeship/traineeship Role of wages in completion rates of
apprentices/trainees Value of completing a VET qual Match between training and the labour
market Role of VET in innovation VET and workforce development
Six areas or relevant research Value of completing an
apprenticeship/traineeship Role of wages in completion rates of
apprentices/trainees Value of completing a VET qual Match between training and the labour
market Role of VET in innovation VET and workforce development