Opinion of the Committee of the Regions on 'The role of local and regional authorities in linking education and training establishments to enterprises` (97/C 116/14)

THE COMMITTEE OF THE REGIONS,

having regard to its decision of 18 September 1996, pursuant to the fourth paragraph of Article

198c of the Treaty establishing the European Community, to issue an Opinion on the role of local and regional authorities in linking education and training establishments to enterprises, and to direct Commission 6 'Education and Training` to carry out the preparatory work;

having regard to the draft Opinion (CdR 346/96 rev. 2) adopted by Commission 6 on 6 December 1996 (rapporteur: Ms Helene Lund);

having regard to the COR Opinion on the White Paper on Education and training - teaching and learning towards the learning society ();

whereas the White Paper on Growth, competitiveness and employment (COM (93) 700 final) stressed the need to support measures adapting education and training systems in order to take account of market needs and local conditions, in particular by encouraging enterprises to become involved in education and training systems and to integrate continuing training into their strategic plans;

whereas the Commission in its White Paper on Education and training (COM(95) 590) identified 'bringing schools and the business sector closer together` as one of its target objectives for action to be taken at EU level, complementing and supporting national actions;

whereas the Council, at its meeting on 6 May, stressed that this objective is a central theme of training and social policies in view of the problems of unemployment, especially youth unemployment in the Member States;

whereas the communication of the president of the European Commission on 'Action for employment in Europe: a confidence pact` (CSE(96) 1 final) advocated developing links between schools and firms and the development of apprenticeship schemes as the two main actions to be taken to integrate young people and recognized that local development and employment initiatives, mobilising local actors, as one of the most promising means of combating unemployment,

adopted the following opinion at its 16th plenary session on 15-16 January 1997 (meeting of 16 January).

1. Introduction

1.1. In the White Paper on education and training the Commission highlights 'bringing schools and the business sector closer together` as one of its target objectives for the main line of actions to be taken at EU level, complementing and supporting national actions.

1.2. The COR, in its opinion on the subject, found that cooperation should be developed not only between schools but all education and training establishments and businesses and underlined the key role of local and regional authorities in developing such cooperation in order to promote local development and employment initiatives.

1.3. The present opinion aims to focus on this matter in greater detail. It will examine why links need to be developed between education and training establishments and enterprises and why local and regional authorities have an important role in establishing and developing local and regional networks and partnerships between these two sectors. On the basis of this analysis, it will stress the need to support the development of such networks across the EU and offer examples of good practice in this area.

2. General Comments

2.1. The need to link education and training establishments to enterprises

2.1.1. The values and structures of education and training systems are very often developed in total isolation from the enterprise environment and labour market demands of a locality or region despite the fact that growth, competitiveness and the employment prospects of an area are increasingly dependent on the skills of its current and future workforce. It is nevertheless promising that there are existing examples where the value and culture of business and enterprise have begun to permeate the organization and management of education and training establishments. These are important growth points from which we can learn.

2.1.2. The White Paper on education and training points out that the structure of education and training institutions is too rigid and compartmentalised to educate and train citizens or workers for permanent employment and that their adaptation and improvement has to be strengthened through partnerships: 'no single institution, school or company can claim to develop the skills needed for achieving employability`. The Commission's Confidence Pact for Employment and the conclusions of the European Council in Florence have also stressed the need to profoundly adapt educational and training systems in the EU.

2.1.3. This is particularly relevant within the context of today's rapidly changing information society which increases the demand for lifelong learning available for all, regardless of place of residence or social circumstances and without discrimination, as underlined in previous COR opinions.

2.1.4. Moreover, the need for a skilled workforce is becoming increasingly relevant as enterprises are having to compete within the context of a global economy.

2.1.5. Despite high unemployment there is a shortage of skills in certain sectors and trades. In its Confidence Pact for Employment, the Commission highlighted education and training as keys to the door of employment and that current problems of supply and demand skill mismatch could be resolved by providing a better response to labour market demands, in particular by developing links between schools and firms.

2.1.6. This opinion aims to offer a practical contribution to the debate raised in the Confidence Pact on the role of education and training in promoting employment as well as other related topics such as the issue of encouraging local mobilisation through local employment initiatives and the promotion of partnerships through territorial pacts. It therefore aims to reinforce the COR's commitment to put forward tangible proposals and examples regarding employment promotion measures made in its Resolution on the territorial pacts.

2.1.7. The COR points out, however, that exposing education and training to the world of work not only improves an individual's employability prospects but also their personal and social development and communication skills and thereby their ability to participate in society. The Council of Ministers in commenting on the objective of 'bringing schools and businesses closer together` of the White Paper underlined that this must not be seen simply as mechanically adjusting training courses to cater exclusively for the world of work but as ensuring that every individual has the capacity to adjust to change.

2.1.8. The COR therefore acknowledges the importance of stepping up partnership and dialogue between these two sectors. It recognizes that the two worlds can no longer be kept separate and that the clear distinction between study and work has evaporated.

3. Specific Comments

3.1. The benefits for enterprises

3.1.1. Cooperation with the education and training sector can improve the productivity, competitiveness and performance of enterprises by enabling:

- education and training to be tailored to meet local and regional enterprises' requirements; improving technical qualifications and supply in disciplines relevant to enterprises;

- education and training to be adapted to meet the new requirements of industrial production and new systems and organization of work, in particular in new technologies;

- enterprises to devise and plan their training programmes in a more efficient manner, involving their staff in the process;

- the improvement of initial training of prospective employees in particular through apprenticeship/trainee schemes;

- the improvement of continuing and in-company 'customised` training and the retraining of personnel, enabling employees to adapt to new requirements thereby stimulating motivation and innovation and thus improving the quality of product or service;

- the promotion of training in how to set up a business;

- the promotion of quality standards for training within businesses;

- management training to be supported in particular for SMEs, especially in new technologies and the promotion of sandwich courses for SMEs combining theoretical education with on-the-job experience. These were identified in the COR Opinion on the 3rd Multiannual programme for SMEs () as being of major importance in enhancing competitiveness;

- know-how and research opportunities for enterprises. Education and training establishments have an important role to play as centres of learning for the whole community. Moreover, the dissemination of research results of higher education establishments can be of particular benefit to localities and regions;

- the interchange of ideas between education and business, creating a sense of social responsibility which helps businesses fulfil wider societal aims.

The COR underlines the importance of involving all employees of enterprises in developing these areas of action, in order for maximum results to be achieved.

3.2. The benefits for education and training systems

3.2.1. The need for improvement in quality, innovation and adaptation in the provision of education and training is becoming a prerequisite in view of rapid technological change, this can be achieved through cooperation between the two sectors enabling:

- the involvement of enterprises in curricula development and certification and promoting parity of esteem between vocational and academic education and training;

- the development of mutual recognition of vocational qualifications through the system of credit transfer (ECTS) and of acquired skills/informal vocational training through accreditation;

- the development of a common approach to forecasting skills and qualifications requirements and thus improving the provision of career guidance and understanding of real employment opportunities;

- the development of disciplines and new skill requirements in particular in new sectors of employment with growth potential: the environment, biotechnologies, information technologies and local employment initiatives (tourism, culture, revitalization of urban public areas and local services sector etc.);

- the development of skills adapted to the new requirements of the workplace, in particular technological, multi-disciplinary and transferable skills in education and vocational training systems which are often too specialized;

- the promotion of opportunities through flexible systems for teachers to receive training and further training, adapted to suit the new skill requirements of the labour market;

- teachers to be offered and encouraged to take up placements in firms;

- apprenticeships/trainee schemes providing practical work experience, even short-term, which improves young people's opportunities in the job market. The Commission sees this as one of the most effective forms of cooperation between the two sectors which should be promoted at all levels including higher education. The COR in its Opinion on the White Paper stressed that such schemes should be looked upon as an integrated part or a complement to the education system and should demonstrate a priority for developing transferable skills. The COR adds that it is vital to maintain standards of training within these schemes in order to ensure that they do not become misused as a source of cheap labour;

- opportunities to be provided to develop joint research and development projects with enterprises and utilize company's equipment and materials, thereby subsidising costly training projects;

- sponsoring of education and training establishments activities and events;

3.3. Local and regional authority partnership with the education and training sector

3.3.1. In many Member States local and regional authorities are vested with direct responsibility and powers in the field of education and training. Local and regional authorities are responsible for providing up to date educational and training facilities which take into account the cultural diversity of communities and which are adapted to suit the special needs of certain population groups. In some instances this may involve providing certain groups with alternative types of education and training, and other teaching targets than the traditional system can offer.

3.3.2. As previously pointed out in the COR Opinion on the European year of lifelong learning (), local and regional authorities also have an important function in supporting out-of-school education: educating all age groups, at all levels in every possible sector. In many Member States this is of particular relevance in facilitating the entry and re-entry of women into the labour market.

3.3.3. In Denmark, for instance, 'open` and adult education courses provide a framework encouraging workers to acquire further training without necessarily having to give up their job. In this way adults with a short schooling can follow either education or training courses during their working day or short part-time, evening, weekend or distance learning courses in their free time.

3.3.4. As well as providers of education and training, they function as major public employers and are therefore directly concerned with both supply and demand in this field. In their capacity as employers, local and regional authorities can make a direct impact by ensuring that lifelong learning is translated from theory into practice developing and applying concepts such as 'the learning structure` and 'work fulfilment`. Moreover, they can support the transition from 'time-limited` to 'ongoing` learning by giving their workforce the requisite opportunities and time off.

3.3.5. In some Member States local and regional authorities also have responsibility for maintaining and improving the quality of education and training through monitoring, evaluation and inspection. This aspect of the partnership creates a model of accountability for standards which can be a powerful force for change, development and improvement. These forces can support the aim of bringing schools and business closer together.

3.3.6. In some Member States local and regional authorities demonstrate their commitment to extend opportunity to all sectors of the community particularly on behalf of the most vulnerable and 'at risk` groups. Business, training and education partnerships have a valuable part to play in such initiatives. Relevant and creative forms of education are creating a 'second chance` for people who have become alienated from the systems of formal education.

3.4. Local and regional authority partnership with the business sector

3.4.1. In many Member States local and regional authorities are of major importance in shaping the environment and conditions under which enterprises operate. They have an important function in supporting the economic and industrial development of their territories through the provision of a favourable economic, social environment which can attract, establish and develop enterprises. Moreover, local and regional authorities have a direct influence on the business climate through their competences in areas such as local taxation and charges, infrastructure, spatial planning, environment policy, transport conditions and culture.

3.4.2. The COR points out that the relationship between local and regional authorities and the business sector is changing fast. There has been a clear shift from the previous concept of the former as an 'authority`, whose role was confined to control and regulation, to one that now includes provision of services and partnership. Dialogue, partnership and coordination between public authorities and enterprises are now the order of the day. In particular their competences in the fields of childcare and care for the elderly, as well as social and cultural policy, concurrently create a social and cultural framework for enterprises and their workforce, which must not be underestimated.

3.4.3. Local and regional authorities in many Member States are playing an increasing role in promoting the development of small and medium-sized enterprises (SMEs) a sector creating the most job opportunities, as underlined in the Confidence Pact for Employment. Development and consultancy agencies, start-up and business advice centres and similar institutions, are some of the ways in which local and regional authorities try to support SMEs and boost their growth potential.

3.4.4. Moreover, local and regional authorities contribute to inter-enterprise networking and liaison by promoting joint participation in trade fairs, joint business services, streamlining of administrative formalities and the compilation of data bases on e.g. sub-contractors. They also provide advice and guidance on for example export opportunities, financial problems, EU matters, networking and tendering.

3.5. The coordination role of local and regional authorities

3.5.1. In view of their unique role as providers of education and training and promoters of economic development, local and regional authorities can help bridge the gap between education/training and enterprises. Moreover, through their strategically well-placed position they are able to foster greater partnership and dialogue between all relevant protagonists at local and regional level in these two sectors. They can involve them in efforts to adapt education and training to local and regional labour market and economic development requirements and thereby develop opportunities for growth and employment in their particular locality or region.

3.5.2. Local and regional authorities can also ensure that cooperation between these two sectors benefits the whole locality and region. This can be achieved by using education and training as a means for combating exclusion by promoting training opportunities for disadvantaged groups: unemployed, women, immigrant and ethnic minorities and as a regeneration mechanism by promoting the transfer of technology and skills to problem areas, such as rural areas and inner cities.

3.5.3. Moreover, local and regional authorities are well-placed to help establish genuine partnerships between equals, based on common goals of benefit to both sectors. The COR notes that without an adequate framework setting out the objectives and means of implementation, partnerships may fail to achieve positive results. Local and regional authorities can play a key role in developing and planning partnership framework strategies that produce beneficial results not only for the partners concerned but the whole community.

3.5.4. The Commission in its White Paper on education and training pointed out that the challenge of cooperation between education establishments and enterprises is to accept enterprises as full partners in the training process. It underlines that it is no longer possible to consider the company's role as solely that of recruiter of trained individuals or supplier of extra training and that the enterprise is a major generator of knowledge and new know-how. The COR in its Opinion on the White Paper also stressed the need for enterprises to assume more responsibility for training and retraining and to be enabled to do so.

3.5.5. The development of co-funding strategies in education and training programmes and the issue of providing incentives for firms to invest in education and training needs to be addressed, as most enterprises consider it merely as a cost factor. Partnerships which can help pool resources together thereby avoiding duplication can provide important opportunities in particular for SMEs. Micro-enterprises too should be allowed to participate in such partnerships. In Sweden, a network involving local and regional authorities, education and training establishments and enterprises has set up a knowledge centre enabling the stakeholders to offer training at a lower cost than if they worked separately, by co-using some of the most important resources such as premises, equipment and staff.

3.5.6. Local and regional authorities can also develop and set up networks supporting interactive communication through information technologies between these two sectors not only to disseminate good practice but also to provide an open distance learning tool.

3.5.7. In many cases it is often very difficult to establish the necessary links between the two sectors because inadequate arrangements and structures exist. Local and regional authorities can help develop networks establishing links in this area.

3.5.8. Partnership, dialogue and coordination can operate directly within formal or informal networks and councils. There are many examples of networks and councils where representatives of the public authorities, the education and training sector, the business world, lobby groups and individual establishments and organizations meet and try to coordinate their initiatives. Education and training councils, trade councils and employment committees are only a few examples of such formal networks.

3.5.9. Many regions have 'education and training councils`, on which representatives of the local and regional authorities, the education and training and business sectors discuss and formulate their needs, requirements and expectations regarding the facilities to be provided. In Denmark, for instance, such work has resulted in the setting up of 'locally specific` training courses in some areas (special agricultural, transport, export and technology courses rooted in local and regional dialogue and partnership).

3.5.10. In addition, Denmark has sound experience in organizing 'sandwich courses` involving both training establishments and enterprises. Students, for instance, do their practical training in enterprises while business managers and staff give classes at these establishments on day to day shop-floor life.

3.5.11. In Finland, some training establishments operate a business service scheme whereby students, as part of their training, carry out practical projects commissioned by enterprises. These projects typically include surveys of various kinds, the drawing up of business plans, cash flow analysis and the planning and design of brochures, forms, etc.

3.5.12. In Sweden, a common interest for local, regional and central education authorities is to create good conditions for cooperation with universities, business and industry. Local and regional centres for cooperation, such as regional development centres, technical development centres, etc. coordinated by local and regional authorities, are now emerging in different parts of Sweden. Their common aim is to encourage cooperation between the two sectors and to develop education adapted to market needs.

3.5.13. In the UK, a particularly valuable way of raising the profile of business and education partnership is through the development of 'curriculum award schemes`. This idea, used to some good effect in the UK context, invites schools and businesses to engage in the development of learning materials which focus on business ideas and issues. These examples are played out in close cooperation with members of the business community acting as 'professional consultants` in the classroom and as sources of expert knowledge and skills.

3.5.14. The opportunity to develop 'mentoring` activities between business and education is a particularly powerful model of partnership. It has been employed to good effect in the UK context. This approach implies a scheme of adults drawn from the business world befriending students. The purpose is to raise aspirations and increase self-esteem by providing successful role models.

3.5.15. 'Science parks` are a similar practical example of bringing the two sectors together. Here local and regional authorities, enterprises and the education and training sector combine to provide facilities for research aimed or carried out by enterprises. These facilities are physically attached to education and training establishments so as to ensure cross-fertilization between the two environments.

3.5.16. Recently a large variety of other new forms of interaction between local and regional authorities and the business world have been developed. Many local and regional authorities, in close conjunction with enterprises, frame a business policy encompassing, for instance, strategies for: the development of small and medium-sized enterprises, start-up assistance, promotion of knowhow and skills, public and private sector partnership and the promotion of tourism.

4. Conclusion

4.1. The COR welcomes the opportunities available in the Leonardo programme to develop vocational training both in basic/higher education and at the workplace and to promote local and regional networks bringing together all key operators at local and regional level in the field of training and to promote the transfer of skills and technology through cooperation between universities and enterprises and notes the achievements of the past Comett programme in this area. Moreover, it welcomes the opportunities available for promoting local and regional networks between the two sectors within the Structural Funds, in particular Article 10 of the Structural Funds (Recite, ECOS/Ouverture) and the Interreg, Employment, Adapt and SME Community initiatives. It also welcomes opportunities for supporting cooperation between schools and enterprises through local regional networks within the Comenius chapter (in particular action 1) and the complementary measures of the Socrates programme. These different community instruments and programmes will be considered in greater detail within the context of the seminars on 'local and regional networks linking education and training establishments to enterprises` that the COR plans to organize, together with the European Commission, in 1997.

4.2. The COR is also pleased to note that the promotion of local and regional partnerships has been placed high on the political agenda of the EU in particular within the framework of the Commission's Confidence Pact for Employment, specifically the Territorial Pacts scheme for which the COR is committed to playing a full part in. Moreover, it welcomes the debate that is taking place on the follow-up to the White Paper on Education and Training which has in particular recognized the value of local and regional networks in this field. It is also pleased to note that the Education Council Meeting of 21 November 1996 stressed the importance of reinforcing 'local community development through education` in order to mobilize local communities to maximize their development potential and enhance their cultural and civic life.

4.3. Whilst welcoming the opportunities available for funding to support local and regional partnerships/networks on the one hand and the political commitment to support such cooperation on the other, the COR nevertheless notes that cooperation between these two sectors needs to be stepped up and that in practice many education/training establishments and enterprises continue to function in isolation.

4.4. It therefore stresses the need to mobilize and effectively coordinate all the relevant Community programmes and instruments in this field in order to develop a targeted initiative supporting local and regional networks in the EU linking education and training establishments to enterprises, coordinated by local and regional authorities and for support to be given to disseminating best practice on how to develop these partnerships across the EU.

4.5. The COR points out that closely connected as they are with the area's political, economic and social networks, local and regional authorities can concurrently bring the two worlds together in formal and informal assemblies, and foster dialogue and partnership leading to a coordinated education and training, industrial and employment policy, of benefit to the area, the business sector and the individual citizen.

Brussels, 16 January 1997.

The Chairman of the Committee of the Regions

Pasqual MARAGALL i MIRA

() OJ No C 182, 24. 6. 1996, p. 15.

() OJ No C 34, 3. 2. 1997, p. 34.

() OJ No C 210, 14. 8. 1995, p. 74.