Complementarities between labour market institutions and their causal impact on youth labour market outcomes

Career guidance and counselling, career education and lifelong development of skills for employability are key for success in learning activities, effective career transitions, livelihood planning, entrepreneurship and in increasing labour market participation. They are instrumental in promoting skills utilization, recognition (RPL), as well as in improving enterprise human resource management.

Career development activities encompass a wide variety of support activities including career information and advice, counselling, work exposure (e.g. job shadowing, work experience periods), assessment, coaching, mentoring, professional networking, advocacy, basic and employability skills training (curricular and non-curricular) and entrepreneurship training. It is often an area which is fragmented across different ministries (e.g. education, TVET, employment, youth) requiring an effort to achieve the necessary coordination to provide adequate support to individuals during learning, employment and unemployment/inactivity periods.
 

Skills and employment policies should be viewed together.  The full value of one policy set is realized when it supports the objectives of the other.  For investments in education and training to yield maximum benefit to workers, enterprises, and economies, countries’ capacities for coordination is critical in three areas: connecting basic education to technical training and then to market entry; ensuring continuous communication between employers and training providers so that training meets the needs and aspirations of workers and enterprises, and integrating skills development policies with industrial, investment, trade, technology, environmental, rural and local development policies.

Globally, nearly 68 million young women and men are looking for and available for work,  and an estimated 123 million young people are working but living in poverty. The number who are not in employment, education or training (NEET) stands at 267 million, a majority of whom are young women. Significantly, young people are three times as likely as adults (25 years and older) to be unemployed.

Skills development is a primary means of enabling young people to make a smooth transition to work. A comprehensive approach is required to integrate young women and men in the labour market, including relevant and quality skills training, labour market information, career guidance and employment services, recognition of prior learning, incorporating entrepreneurship with training and effective skills forecasting. Improved basic education and core work skills are particularly important to enable youth to engage in lifelong learning as well as transition to the labour market.