Handbook on Local Labour Market Information (March 2007)

This handbook describes a methodology for a systematic surveillance of the demand for skills, qualifications and competences on the provincial labour market. The objective is first of all to provide the users with a short description of a model and a methodology for assessing the demand for qualifications on the labour market and evaluating training needs. Secondly, as there is no single recipe regarding forecasting, it can serve as a source of inspiration that must be further adapted to specific needs and circumstances.

The handbook focuses on the practical tools and guidelines for launching and carrying out an enterprise-based survey of qualification demands and training needs assessment, rather than on a theoretical approach. The survey aims at providing up-dated labour market information as a basis for the development of all education and training institutions and IŞKUR.

However, the survey is not exclusively based on the findings and recommendations made by employers, but also includes other stakeholders and social partners. The aim is to verify and specify the trends on the labour market regarding the demands for qualifications. Therefore the handbook includes a set of guidelines for stakeholder involvement in labour market surveys.

Consequently, the handbook describes procedures for a full cycle of activities from launching to the final reporting on the expectations regarding the future demand for qualified labour on a periodical basis.

The target group is first and foremost staff members of education and training providers and the IŞKUR offices, which are working frequently with labour market monitoring, analysis and development of human resources.

It is important to stress that the qualitative results can only anticipate the likely development in the demand. The methodology is not intended to be a scientific approach capable of forecasting exact qualification needs. It is a practical tool identifying likely development trends in the patterns of demand in a foreseeable future based on a relatively big sample of enterprises in a provincial context.

Labour Market and Skill Needs Survey 2005 (November 2006)

An Enterprise Survey for 31 Provinces of Turkey

This report presents the findings of a survey held on the basis of face-to-face-interviews with 5651 companies (i.e. private sector enterprises and public organisations) in 31 provinces of Turkey. The provinces included are 30 provinces covered by the SVET project and additionally Çorum. Only companies with more than nine employees are covered by the survey. The survey is a joint effort of the SVET project and IŞKUR. Its aim is to provide labour market information relevant for the Ministry of National Education and IŞKUR and a wider circle of stakeholders involved in the SVET project, especially social partner organisations, and their regional institutions, associations and members.

The survey stresses the following subjects: developments in employment, problems in finding staff for vacancies, the perception of the economic situation, the capacity utilisation rate by companies, skill problems of staff, employee training and assessment of VET graduates, apprentices and interns. These subjects are reported upon in the various chapters of the report.
Although the survey is based on a sample the data have been raised to the population level in order to present results that reflect the company structure in the various regions and provinces.
This report only presents results for all 31 provinces in which the survey has been held, differentiated according to the six regions covered by the SVET project. More detailed data per province are annexed as tables to this report. IŞKUR has taken the responsibility to further analyse and report on these provincial data.

The report has detailed annexes in the form of regional, provincial and other tables which allow the reader to identify specific information for certain sectors, provinces, occupations, etc. These annexes will be available on CD-ROM.

This report has been drafted by the Labour market Team of the SVET project, in close cooperation with IŞKUR Head office staff in Ankara. Many managers and experts of IŞKUR and the MoNE have been involved in the preparation and organisation of the survey. We especially thank the regional staff of VET institutions and IŞKUR regional offices for their participation in the field work.

Turkey’s Labour Market (November 2006)

In June 2005 the labour market team of the SVET-project produced an interim report on the Turkish labour market. This report presented information on the Turkish labour market, i.e. its population, labour force, employment, unemployment and underemployment. You now read the introduction of an upgraded labour market report. In this upgraded labour market  report you can find all information from the interim report and more: the information in the interim report was mostly on national level, whereas this report holds more detailed information. Key factors like labour force, employment and unemployment will be presented by province and if information is available, by sector. Additionally, the report holds information on the occupations that were selected by the SVET-project. The local and sectoral information is essential for educational policy purposes in general, and the aims of the SVET project in particular. Great diversity in local labour market structures and developments is to be expected, given the huge regional differences in economical structure.

This report does not deal with the effects of labour laws or social security system on the labour market. A recently published World Bank study holds an analysis of this subject (World Bank, 2005). The interested reader may find the World Bank report a welcome addition to this SVET-report. This report is basically a statistical report that tries to present systematically the trends for major labour market variables. A more profound analysis, for instance in terms of levels of labour market mobility or creation and destruction of jobs, would be necessary to understand underlying factors of these trends. For such an analysis data can only be generated through a more profound analysis of the most important surveys held by the Turkish Statistical Institute (TÜIK) and others. In the framework of this research such an analysis could not be made.

Most data sources used in this report, stem from the statistics and surveys of the Turkish Statistical Institute (TÜIK), in particular the Household Labour Force Surveys (HLFS) and the 2000 Census of the Population. Other statistics stem from Işkur, the Ministry of Education and ÖSYM. Data were collected and prepared by the local expert Yusuf Yardımcı. The compilation of the report was guided by the Labour Market Working Group, in which experts of the Ministry of National Education and the social partners are represented.

The provincial data in this report have been derived from the TÜIK Censuses in 1990 and 2000. Unfortunately, several provincial government reorganisations have taken place in this period, and as a result eight new provinces have been created . It is important to take this into account when interpreting figures of the provinces from which the new provinces have been created as well as figures about the new provinces themselves.
The structure of the report is as follows: In chapter 2 some general figures on Turkey’s economy at national and regional level are presented. Subsequently, chapter 3 deals with population figures at provincial level and will also include information on the population’s level of education, occupation, age and gender. The next chapter includes a brief introduction to the current Turkish educational system and will try to identify developments in the educational choices of the young population. Chapter 5 holds information on the labour force, as far as possible at regional level, and chapter 6 deals with employment at regional level, but also by economic activity and occupation. The seventh chapter deals with the discrepancies between supply and demand, and presents information on unemployment, vacancies and underemployment. Conclusions are presented in the eighth chapter, which contains recommendations for improvement of data collection and design of labour market statistics as well.

Achievements (Reporting Period: 01 April 2006 – 30 June 2006)

Labour Market Analyses

Desk research on the labour market

The report titled “Turkey’s labour market” with  chapters on regional-economic development, demographics, educational level of the population, labour force participation, employment, labour market discrepancies and flows of students through the educational system was formally accepted by the Labour Market Working Group LMWG, in English and Turkish language, and will be published on the SVET website in both languages. The report is concluded with recommendations for improvement of labour market statistics for the purpose of VET policy making.

Design and pilot Labour Market Needs and Skill Needs Survey

The survey on Labour Market and Skill Needs is jointly designed with Işkur. Analysis and draft reporting (in both English and Turkish language) were completed during this quarter. Comments were received from ETF in June. They will be processed later after the LMWG will have discussed the draft. The report covers 31 provinces of Turkey, but specific data are provided for the six SVET regions.

The World Bank has shown interest in the report itself and in the use of the underlying database with individual enterprise records. Preliminary discussions on transfer of the database to the World Bank local office have been held.

For 31 provinces data files (SPSS output files) have been prepared for Iskur. Iskur has taken responsibility for making 31 provincial reports on the basis of these output files (in Turkish language). These should give input for local labour market policies. In principle the same subjects will be covered in the provincial reports as in the national report.

Iskur plans to repeat  the Labour Market and Skill Needs Survey regularly and widen it to other provinces. It is unclear whether Iskur will use the same questionnaire or modify it for its own purposes. It is strongly recommended that the beneficiary will follow up with Iskur on the cooperation on these enterprise surveys. Especially the part on identification of skill problems, assessment of VET graduates and description of  employee training activities by companies is of high interest for the design of VET and LLL policies.

Attention is also drawn to the fact that this survey does not describe the employment, human resource policies and views of the smallest companies and organisations (with less than 10 employees). Given the high share in employment of these companies (more than 50%) there is a need to organise (a more simplified) survey among these companies or to identify their occupational demands and training needs through other methods. This may be a subject for consultation with Iskur as well.

Work Plan for the next reporting period (Reporting Period: 01 April 2006 – 30 June 2006)

Labour market and skill needs survey

After discussion in the LMWG the draft report will be completed and published on the SVET website.

Iskur will be technically supported for the interpretation of the provincial tables on the survey that have been prepared by the LMT. The provincial tables will be published on the SVET website as well, later to be followed by the provincial reports under preparation by Iskur.

If requested the LMT will also give advice to Iskur for repetition of the survey during September and October 2006. 

Report on comparison of  labour market indicators for Turkey and the EU

The LMT will prepare a report  to show the structural differences in the labour market between Turkey and the EU. A development perspective will be taken into consideration as well: to what extent are the EU countries moving towards the goals of the Lisbon declaration of 2000 and how is Turkey performing in this perspective? The question was raised in the monthly management meeting of April 2006. For the meeting in June some preliminary figures have been submitted, but they were not discussed in this meeting.  Apart from labour market information attention will be paid to the benchmarking of educational and LLL objectives as well. 

Regional seminars on the use of a handbook for local labour market analysis

In September a start will be made with the drafting of a handbook for local labour market analysis for the needs of VET institutions and the provincial MoNE directorates. An expert team (EU and Turkish expert) will start with the drafting of a handbook by adapting already existing handbooks for other countries to the Turkish situation through an identification mission to Ankara. Selection of candidates for expert positions has started in June.  After approval by the LMT six intensive regional training seminars will be run by the experts. The target group to be trained is still under discussion. The following are envisaged: of pilot institutions Programme Development Coordinators, management responsible for contacts with enterprises and social partners, and VET sector director of MoNE. A decision has to be taken whether and to what extent the Iskur regional offices and representatives of  social partners at the regional level will be invited. The handbook is to be upgraded and completed on the basis of the experience gained through the seminars. The handbook should be organised and drafted in a way that it can be used for labour market analysis at local level after the project has been completed.