COMMISSION STAFF WORKING DOCUMENT Vocational education and training for better skills, growth and jobs Accompanying the document Communication from the Commission Rethinking Education: Investing in skills for better socio-economic outcomes
Date: 2012-11-20
Institutions: European Commission
Subjects: continuing vocational training, economic growth, educational reform, job creation, teaching curriculum, teaching quality

EUROPEAN 
COMMISSION 

Strasbourg, 20.11.2012  
SWD(2012) 375 final 

COMMISSION STAFF WORKING DOCUMENT 

Vocational education and training for better skills, growth and jobs 

Accompanying the document 

Communication from the Commission 

Rethinking Education: Investing in skills for better socio-economic outcomes 

{COM(2012) 669 final} 
{SWD(2012) 371 final} 
{SWD(2012) 372 final} 
{SWD(2012) 373 final} 
{SWD(2012) 374 final} 
{SWD(2012) 376 final} 
{SWD(2012) 377 final} 

EN 

   EN 

 
 
 
 
  
 
TABLE OF CONTENT 

Executive summary ................................................................................................................ 1 

1.  Vocational education and training as an engine of innovation and growth .................... 5 

2.  Financial incentives for continuing vocational education and training......................... 10 

2.1.  Evidence on the effectiveness of incentives and funding mechanisms for CVET .... 12 

2.2.  Financial incentives for individuals to stimulate participation in CVET .................. 13 

2.3.  Financial incentives for employers to stimulate supply of CVET............................. 19 

3.  State of play of VET systems in the EU in view of developing excellence.................. 23 

3.1.  VET attractiveness in the EU countries..................................................................... 24 

3.2.  State of play of work-based learning and cooperation between VET institutions and 

enterprises............................................................................................................................. 26 

3.3.  Development of partnerships for creativity and innovation and effective use of 

innovative technology in VET.............................................................................................. 32 

4.  Excellence in VET: key points and lessons from practice ............................................ 37 

4.1.  Successful VET strategies require a strategic approach to excellence ...................... 40 

4.2.  Designing excellence in VET systems: lessons from practice .................................. 40 

4.3.  Delivering VET excellence: connecting VET providers and engaging enterprises .. 48 

Annex - VET at levels higher than upper secondary programmes....................................... 54 

 
 
 
 
 
 
 
 
 
 
 
Executive summary 

The  “Rethinking  Education”  Communication  supports  the  Member  States  by  identifying  a  range  of 
issues  relevant  for  improving  the  efficiency  of  education  and  training  systems.  This  Staff  Working 
Document  highlights  the  evidence  base  for  the  policy  proposals  outlined  in  the  “Rethinking 
Education” Communication on vocational education and training (VET) and vocational skills.  

The Bruges Communiqué of December 20101, which defines the European VET strategy up to 2020, 
calls for an active policy to enhance the potential of VET to support smart and sustainable growth, and 
to turn VET across the EU into a highly attractive learning choice.  

This  document  responds  to  this  demand,  helping  Member  States  and  other  stakeholders  put  into 
practice  the  reforms  needed  to  exploit  the  potential  of  VET  for  growth.  Its  findings  are  based  on 
analyses, coordinated by the Commission in cooperation with Member States, of best policy practice 
across the EU and beyond, and on comparative data and current research. 

It summarises key results of exploratory work by the Commission involving experts representing key 
VET stakeholders2. It highlights the unexploited potential of VET to support economic development, 
notably by better integrating VET in economic growth strategies at local, regional and national levels. 
Furthermore  it  identifies  for  policy  makers  concrete  steps  which  can  facilitate  this  kind  of 
development. It also attributes specific attention to issues of sustainable development, which will be 
one of the key drivers of change to be reflected in VET policies and practices.  

The  performance  and  outcomes  of  Vocational  education  and  training  systems  vary  significantly 
between Member States… 

Recent Cedefop data shows that, at the medium level, European VET graduates are more successful 
than  candidates  from  general  education  in  finding  employment  (see  Figure  1).  This  applies  in 
particular to graduates from VET programmes with strong workplace orientation. The same data also 
shows  that  VET  candidates  are  better  paid  than  candidates  from  general  education,  even  if  this 
decreases  over  time3.  However,  enrolments4,  attractiveness  and  quality  of  VET  vary  significantly 
across countries as further analysed in chapter 3. 

(2010). 

European  Commission 

The  Bruges  Communiqué.  Available 

1 
http://ec.europa.eu/education/lifelong-learning-policy/doc/vocational/bruges_en.pdf  
2 This part is based on a report prepared for the European Commission, Directorate General for Education and 
Training, by ICF GHK and Danish Technological Institute  
3  Cedefop,  2012,  From  education  to  working  life.  The  labour  market  outcomes  of  vocational  education  and 
training. See: http://www.cedefop.europa.eu/EN/publications/20448.aspx  
4 Today 50% of young people in Europe at upper secondary level are enrolled in vocational training. The rate in 
individual  countries  varies  between  13  %  in  Cyprus  and  77%  in  Austria.  For  more  VET  statistics  see 
http://www.cedefop.europa.eu/EN/statistics-and-indicators/input-indicators.aspx  

Internet: 

from 

1 

 
 
 
 
 
 
 
 
                                                            
Figure 1 – Employment rates for medium level graduates aged 20-34 and no longer in education by 
orientation (% of corresponding population), 2009 

Source: Cedefop' s calculations based on Eurostat, EU LFS 2009 AHM  

Notes:  Medium  level  graduates  refers  to  individuals  whose  highest  level  of  education  corresponds  to  a 
qualification at ISCED level 3 or 4 (excluding 3c short qualification) 

…but the EU and the Member States have adopted a  European strategy for the modernisation of 
vocational education and training  

Work  on  modernising  VET  does  not  start  from  scratch.  The  development  of  vocational  training  has 
been  a  subject  of  enhanced  political  cooperation  at  European  level  during  the  past  decade.  In 
December 2010, the Member States, the European level social partners and the Commission adopted 
together  the  Bruges  Communiqué,  which  defines  an  ambitious  agenda  for  modernising  vocational 
education  and  training  systems  in  Europe,  so  that  VET  directly  contributes  to  the  objectives  of  the 
Europe 2020 strategy5. It identifies key challenges and proposes actions both at national and European 
levels so as to advance towards a seamless European training area: 

•  Attractive and inclusive VET - with highly qualified teachers and trainers, innovative learning 
methods,  high-quality  infrastructure  and  facilities,  a  high  labour  market  relevance,  and 
pathways to further education and training; 

•  High  quality initial  VET  (IVET)  which  enables  learners  to  acquire  specific  vocational  skills 
combined  with  key  competences  and  which  learners,  parents  and  society  at  large  recognise 
(again)as  an  appealing  option,  of  the  same  value  as  general  education.  IVET  should  equip 
learners with both key competences and specific vocational skills; 

•  Work-based learning is included in all initial VET courses, ensuring that young people have 
the  knowledge,  skills  and  competences  they  need  for  a  successful  first  step  into  the  labour 
market.  Companies  are  engaged  as  training  providers,  together  with  VET  schools  or  other 
education/training institutes; 

•  Easily accessible and career-oriented continuing VET for all employees, irrespective of their 
educational  background,  employers,  independent  entrepreneurs  and  unemployed  people, 
which facilitates both competence development and career changes; 

5 European Commission (2010c) 

2 

 
 
 
 
 
                                                            
• 

Improve  permeability  between  the  different  education  and  training  subsystems  (school 
education, VET, higher education, adult education) and cater for the validation of non-formal 
and informal learning, including competences acquired in the work place; 

•  A European education and training area, with transparent qualifications systems which enable 
the  transfer  and  accumulation  of  learning  outcomes,  as  well  as  the  recognition  of 
qualifications and competences, and which facilitate transnational mobility; 

•  Substantially  increased  opportunities  for  transnational  mobility  of  VET  students  and  VET 

professionals; 

•  Easily  accessible  and  high-quality  lifelong  information,  guidance  and  counselling  services, 
which form a coherent network and which enable European citizens to take sound decisions 
and to manage their learning and professional careers beyond traditional gender profiles.  

The EU strategy for VET must be implemented as a core element of the Union's growth agenda  

Targeted  investment  and  reforms  in  vocational  education  and  training  are  necessary  to  boost 
innovation and competiveness. Member States should engage in reforms promoting excellence in VET 
and  better  connecting  VET  to  local  and  regional  economic  strategies,  in  particular  in  the  context  of 
research  and  innovation  strategies  for  smart  specialisation  linked  to  cohesion  policy  support.  New 
types  of  strategic  partnerships  between  VET  providers,  companies,  other  economic  actors,  social 
partners and authorities are crucial in this respect.  

Efforts towards VET excellence described in this document aim at both: 

-  Establishing  VET  excellence  as  a  common  goal  and  reference  point  for  all  VET  systems  in 

Europe; 

-  Bridging  the  gap  between  EU  countries  as  regards  the  performance,  quality  and  impact  of 

VET, and its outcomes in term of more and better skills. 

Furthermore, VET systems are more closely linked to labour markets than other sectors of education 
and  training  systems.  Yet  the  potential  of  work-based  learning,  and  in  particular  apprenticeships,  to 
tackle youth employment also remains to be fully exploited in many countries. While unemployment 
is caused by many factors, part of the solution can be found in high quality vocational education and 
training  (VET)  systems  in  which  a  strong  element  of  work-based  learning  facilitates  young  people's 
transition to work. This is confirmed by the recent Cedefop study on labour market outcomes of VET. 
Countries  with  strong  and  attractive  VET  systems,  and  notably  those  with  well-established 
apprenticeship systems, tend overall to perform better in terms of youth employment. 

The  political  commitment  to  promote  apprenticeships  is  there.  The  European  Council  in  its  January 
2012  informal  meeting  called  on  Member  States  to  substantially  increase  the  number  of 
apprenticeships  and  traineeships.  Member  States  and  social  partners  committed  themselves  in  the 
Bruges Communiqué to the objective of including work-based learning in all initial VET courses. The 
challenge remaining in many countries is to identify, adapt and adopt the best measures to put these 
commitments into practice. 

3 

 
 
 
 
 
 
 
 
The Commission's proposals to exploit the potential of work-based learning are further developed in 
the forthcoming Commission Communication on Youth Employment.   

Effective strategies for improving VET need to be realistic in their ambitions and tailored to each 
country's situation … 

Realistic reform strategies have to reflect the different starting points of Member States, their national 
traditions  and  economic  realities.  Well-developed  VET  systems  may  face  the  challenge  of  ensuring 
that  VET  is  not  a  dead-end  and,  therefore,  have  to  work  on  pathways  that  link  VET  and  higher 
education.  

On  the  other  hand,  more  rudimental  VET  systems  will  have  to  invest  of  time,  work  and  money  to 
achieve the objective of VET excellence: for them a "big bang" is not an option at hand; they may first 
have to set up the necessary infrastructure and facilities, ensure the availability of qualified teachers, 
accomplish  a  suitable  legal  framework,  build  up  institutions  and  forge  a  good  cooperation  and 
partnership with business and social partners. A realistic strategy will sequence the necessary reforms 
and set out a reasonable timeline. To establish VET as a means to achieve recognised and promising 
careers - in the absence of long-standing traditions and a tried-and-tested framework - takes time.  

…  and  the  potential  of  work-based  learning  to  deliver  skills  for  employment  deserves  special 
attention 

The  value  of  work-based  learning  –  and  notably  of  apprenticeships  or  "dual  training"  systems  -  in 
facilitating  youth  employment  and  increasing  economic  competitiveness  is  clearly  recognised. 
Countries  with  strong  and  attractive  VET  systems,  and  notably  those  with  well-established 
apprenticeship systems, tend to perform better in terms of youth employment.  

Despite this, the supply of apprenticeship and traineeship places in the EU remains under-developed. 
The  picture  varies  greatly  by  country.  Efforts  are  needed  to  invest  in  expanding  the  offer  of 
apprenticeships and traineeships in countries where opportunities for this type of learning remain very 
limited.  

The political commitment is there. The country specific recommendations adopted in July 2012 related 
to workforce skills and competences and VET clearly highlight the need for reforms to better connect 
VET and labour markets, strengthen the relevance of VET and support a better transition from VET to 
work.   

Countries  can  tackle  this  challenge  in  different  ways,  by  investing  in  work-based  learning  which  is 
tailored to their situation. Alternance schemes or apprenticeships are typically known in Austria and 
Germany as the "dual system". These are based on the integration of companies as training providers 
together with VET schools or other education/training institutes. In these programmes, learners spend 
a significant time on training in companies. In parallel, in "alternating" periods, they acquire general 
and  occupation-related  knowledge  and  key  competences  in  VET  schools  or  other  education/training 
institutes.  This  model  typically  shows  strong  results  in  terms  of  successful  transitions  to  the  labour 
market.  Another  model  is  school-based  VET  which  includes  on  the  job  training  periods  in 
companies,  typically  covering  internships,  work  placements  or  traineeships  that  are  incorporated  in 
VET programmes leading to formal qualifications. Finally, work-based learning can be integrated in a 
school-based  programme,  through  on-site  labs,  workshops,  kitchens,  restaurants,  junior  or  practice 

4 

 
 
 
 
 
firms, simulations or real business/industry project assignments which aim to create a "real life" work 
environment. 

Given the diversity of experiences and models, the potential for mutual learning is clearly high. Some 
Member States are already engaged in peer learning activities, and the Commission is ready to support 
further  collaboration  of  this  type  to  fully  exploit  the  potential  of  work-based  learning  to  support 
employability. 

Effective VET strategies require continued investments and fair burden sharing 

Bringing reform efforts to fruition also requires substantial investments, which will certainly be seen 
as difficult to fund in times of tight public finance. Delaying the modernisation and improvement of 
VET means to relinquish the growth and innovation potential that is inherent in better VET systems.  

The lower the development level of a county's VET system, the bigger the overall funding needs will 
be. Interventions of EU structural funds can help to meet these funding needs. At national level, the 
strategy  to  improve  VET  should  be  reflected  in  a country's  budgetary  policy, as  part  of  smart  fiscal 
consolidation. 

In the area of continuing vocational education and training, the situation is even more complex: it is 
difficult  to  strike  the  balance  between  the  interests  and  motivation  of  employees  and  employers 
respectively,  as  it  is  necessary  to  share  the  potential  benefits  and  the  financial  burden  of  training 
measures in a way that creates positive incentives for both sides.  

There structural under-investment in the skills of adult workers. The stagnating share of adults taking 
part  in  lifelong  learning  activities  attests  of  it.  And  this  insight  is  a  cause  of  concern  in  view  of  the 
global, knowledge-based economy that is propelling constant technological change. It might only be 
possible to overcome this stalemate by agreeing, in a broader framework, on the conditions for taking 
part in and for shouldering the financial burden of CVET activities. 

1.  Vocational education and training as an engine of innovation and growth  

The  boundaries  of  vocational  education  and  training  are  shifting:  an  unexploited  potential  to 
support growth 

The potential of vocational training to support or even drive competitiveness, innovation and growth 
policies  has  largely  been  neglected  in  education  and  training  policies,  in  particular  when  compared 
with the role attributed to the higher education sector. This neglect is harmful as it underestimates the 
crucial importance of high volume and high quality VET for retaining and developing the economy. 
Countries  like  Austria,  Denmark,  Germany  and  the  Netherlands  exemplify  the  importance  of 
combined  strategies  where  VET  and  higher  education  are  seen  as  complementary  and  where  one 
cannot be developed without the support of the other. 

5 

 
 
 
 
 
 
 
 
 
 
Traditionally  conceived  as  preparing  people  for  technical,  manual  or  crafts  occupations,  the 
boundaries of VET have been shifting for quite some time: vocational qualifications are spreading to 
higher levels of education and training. This reflects the need for vocational skills and competences at 
increasingly  advanced  levels,  but  is  also  reflecting  the  need  to  combine  academic  and  professional 
preparation.6 Young people participating in initial vocational training (IVET) need to develop relevant 
technical skills but also to learn to cope with change, complexity and the need for continuous skills 
development.  However  given  demographic  tendencies,  it  is  also  crucial  that  adults  in  working  life 
constantly update, upgrade and or reorient their skills and competences. Continuing vocational training 
(CVET)  is  gaining  strategic  importance  through  equipping  older  workers  with  skills  necessary  for 
changing jobs as well as for entrepreneurship. 

The  challenge  of  better  exploiting  the potential  of  VET  for  growth  is  not  unique  to  Europe.  All  our 
major  international  competitors  are  currently  addressing  the  same  issues.  For  this  reason,  the 
document draws not only upon the experience of the Member States, but refers also to internationally 
recognised good examples. 

Developed and imagined economies: investment in VET to support growth and productivity 

-In 2012 the US president Barack Obama committed 8 billion dollars for a period of three years to 
boost  partnerships  between  community  colleges  and  regional  employers  with  the  aim  of  training  2 
million  workers  for  careers  in  high-growth  industries  such  as  advanced  manufacturing  and  health 
care.7 

-Australia  emphasises  the  role  VET  in  driving  economic  growth  and  social  inclusion.  The  current 
National  Skills  and  Workforce  Development  Agreement  aims  for  a  VET  system  which  delivers  a 
productive and highly skilled workforce and sets the target of doubling the number of people who hold 
higher level (VET) qualifications.8 

-China’s  national  medium  and  long  term  talent  development  plan  2010-2020  sets  out  an  ambitious 
programme for VET which is seen as  a major channel to boost economic growth9. Support shall be 
made available for the development of excellent VET schools and colleges10. 

6 Cedefop (2011). Vocational Education and Training at Higher Qualification Levels. Luxembourg: Publications 
Office (Research Paper 15). Available from Internet: http://www.cedefop.europa.eu/EN/Files/5515_en.pdf 
7 http://www.americanprogress.org/issues/2012/02/community_colleges_budget.html 
8 Council of Australian Governments (2008). National Agreement for Skills and Workforce Development. 
Available from Internet: 
http://www.federalfinancialrelations.gov.au/content/national_agreements/skills_workforce/skills_agreement_ne
w.pdf 
9 Source: English translation of the Outline of China’s National Plan for Medium and Long-term Education 
Reform and Development (2010-2020), 
https://www.aei.gov.au/news/newsarchive/2010/documents/china_education_reform_pdf.pdf 

10 Assistance shall be available to turn some secondary vocational schools into model schools for vocational 
education reform, or into schools that excel in particular fields. Support shall be provided to the construction of 
exemplary vocational colleges. Source: English translation of the Outline of China’s National Plan for Medium 
and Long-term Education Reform and Development (2010-2020) 

6 

 
 
 
 
 
                                                            
EU  industry  has  radically  changed  over  the  last  10-15  years.  There  has  been  a  massive  increase  in 
manufacturing  labour  productivity  by some  46%  between  1995  and  2007,  compared  with  economy-
wide productivity growth of less than 20% over the same period. This performance has been achieved 
through  process  and  product  innovation,  outsourcing  of  non-core  manufacturing  business  activities 
(e.g.  logistics,  facility  management,  ICT)  and  the  increasing  use  of  a  better  qualified  workforce. 
However, the rate of productivity growth in the last fifteen years in Europe lags behind that in the US. 
This is in particular visible when examining not just labour productivity (GDP per hours worked) but 
also  multifactor  productivity  (level  of  output  compared  to  all  inputs  –  labour  as  well  as  capital)11, 
which is a better indicator of the use of technology and innovation in production. 

An effective VET system can facilitate innovation and economic restructuring … 

Skills  are  a  key  driver  for  growth,  employment  and  competitiveness:  they  lay  the  foundation  for 
productivity  and  innovation.  Investment  in  training  is  also  an  investment  in  innovation,  since  much 
technical change results from incremental innovatons by skills workers and engineers on the factory 
floor.12 

Traditionally innovation is seen as a result of R&D activities carried out by highly qualified staff and 
thus a domain of higher education rather than VET. However, there are at least three reasons why high 
quality vocational education and training is relevant to supporting innovation: 

• 

technological and process innovations can be absorbed by businesses provided that employees at 
all levels of the production chain have the required skills; 

•  given that the majority of European companies (including small enterprises) are involved in global 
value chains, constant innovation and efficiency are a must to ensure competitiveness in a global 
context. That has implications for skills and work organisation practices.  

• 

Innovation  cannot  be  limited  to  high  tech  industries  –  it  also  takes  place  in  low-tech  industries 
which account for a large share of employment in Europe. Firms in low-tech industries innovate in 
an incremental way by further developing their products, taking these products to new markets or 
improving production and delivery processes. In doing so they build on the practical knowledge 
within  the  firm  which  arises  from  ‘learning  by  doing’  or  ‘learning  by  using  and  interacting13 
which is not a prerogative of a specific category of employees.  

Vocational education and training can play a key role in the processes of economic restructuring. The 
analysis  of  case  studies  in  specific  clusters  (medical  technologies;  textiles;  advanced  engineering; 

11 Van Ark, B.; O’Mahony, M. and Timmer, M. (2008). The Productivity Gap between Europe and the United 
States: Trends and Causes in Journal of Economic Perspectives—Volume 22, Number 1—Winter 2008—Pages 
25–44. Available from Internet: http://www.indexmeasures.ca/dc2008/papers/vanark_productivity.pdf 
12 COM(2012) 582: A stronger European Industry for Growth and Economic Recovery. 
13 Hirsch-Kreinsen, H.; Jacobson, D. (eds.) (2008). Innovation in Low-Tech Firms and Industries, Edward Elgar, 
Cheltenham, UK; Northampton, MA, USA. 

7 

 
 
 
 
 
 
 
                                                            
finance; and renewable energy) made by Cedefop14 showed that strategic investments in skills – which 
pay  due  account  to  the  role  of  VET  –  have  to  potential  to  create  dynamic  skills  eco-systems  which 
support economic development and innovation: 

• 

the supply of highly skilled labour (including through VET) is a critically important factor in the 
growth and competiveness of regional and/or industrial clusters;  

•  Firms,  governments  and  workers  undertake  considerable  efforts  to  supply  the  skills  needed  for 
high quality production, the efficiency of operations, and for innovation meaning that both public 
agencies and private firms are engaged in the supply of knowledge which firms within the cluster 
require for the networks to flourish; 

• 

• 

• 

training investments are pivotal for restructuring. Human capital investments are not restricted to 
supporting  the  expansion  of  growth  industries.  In  declining  industries,  such  as  textiles  or 
shipbuilding,  available  skills  are  adapted  and  transformed  into  new  occupations  to  establish  the 
knowledge base for more productive activities. Training, therefore, is the key investment for the 
reallocation of labour into the growth industries; 

the  high  degree  of  innovation  observed  in  all  the  case  studies  would  not  have  been  achievable 
without  the  long-term  accumulation  of  professional  knowledge  in  local  labour  markets;  and 
training systems play a pivotal role in organising this knowledge transfer over time; 

there  is  a  high  degree  of  cooperation  among  companies  within  clusters,  which  aids  sharing  of 
knowledge for the benefit, in the first instance, of the production process; 

•  production  structures  are  heavily  influenced  by  the  provision  of  skills  in  local  labour  markets. 
Skill  provision  allows  for  the  development  of  high-value  production  allied  to  relatively  good 
working  conditions  and  points  to  the  key  role  of  human  capital  investment  which  is  at  the  very 
beginning of economic restructuring and development. 

… promote smart growth… 

Some  regions  in  the  world  have  adopted  diversified  development  strategies  to  encourage  economic 
growth by including education and training providers. In the United States, knowledge is perceived as 
the  key  asset  in  economic  development:  for  instance,  in  some  States  the  community  college  system 
offers targeted workforce development measures, including non-credit courses which can be quickly 
developed and tailored to the needs of companies.15 The aim is to stimulate job creation and growth by 
making  the  commitment  to  provide  companies  with  a  skilled  local  workforce  from  day  one.  As  a 
result, local economic development resources are prioritised for these companies. 

VET and smart growth in practice: Sweden, The Netherlands 

In Sweden the Centres for Advanced VET as well as the Centre of Vocational Excellence can be seen 
as attempts to situate VET as a central player in smart growth. Both in Sweden and the Netherlands, 

14  Cedefop  (2012a),  Sectoral  perspectives  on  the  benefits  of  vocational  education  and  training.  See: 
http://www.cedefop.europa.eu/EN/publications/19891.aspx  

15 Shaffer, D.; Wright, D. (2010). A new paradigm for economic development. The Nelson Rockefeller Institute. 
Available from Internet: http://www.rockinst.org/pdf/education/2010-03-18-A_New_Paradigm.pdf 

8 

 
 
 
 
 
 
                                                            
 
partnerships  not  only  rely  on  indirect  representation  through  employer  or  social  partner 
organisations, but are based on direct involvement with enterprises. Central to the partnerships are 
opportunities  to  develop  innovative  teaching  and  learning  processes  based  on  work  based  learning 
models,  where  students  get  genuine  opportunities  to  learn  through  and  from  tackling  complex  and 
authentic challenges. 

In  the  Netherlands,  VET  excellence  centres  typically  comprise  both  vertical  and  horizontal 
cooperation  with  other  VET  institutions,  universities,  and  research  and  business  organisations  and 
businesses, mirroring the characteristics of the regional innovation system.  

In Karlstad, Sweden, the ‘Paper Province’ develops cooperation between pulp and paper technology 
businesses in Värmland, northern Dalsland and the county of Örebro in central Sweden. Around 200 
companies with approximately 12.000 employees are active in the sector. Karlstad Technology Centre 
plays  an  important  role  in  ensuring  a  qualified  workforce  for  the  industry.  The  Technology  Centre 
offers tailored work force development programmes as well as a two year vocational programme. It is 
developed in close cooperation with industry. Students undertake a placement scheme, which aims to 
train the students in using theory to solve complex practice based problems and as the foundation for 
building skills conducive to practice based innovation. 

Excellence centred network to boost skills supply – North Carolina (USA) 

The  state  of  North  Carolina  in  US  has  been  internationally  recognised  for  its  proactive  use  of 
community colleges as strategic partners in economic development. These colleges provide both post-
secondary  vocational  qualifications  as  well  as  tailor  made  continuing  training  to  companies.  In  the 
early 2000s North Carolina identified bio-technology as one of the sectors with the biggest potential 
for  growth  and  jobs.  An  analysis  showed  that  2/3  of  possible  new  jobs  would  require  specific 
qualifications below bachelor level. To seize the opportunity the state launched a specific initiative to 
strengthen the supply capacity of the community college system. Seven centres of bio excellence were 
created in the state, linked to the network of 58 community colleges. This approach has dramatically 
increased  the  capacity  –  both  quantitatively  and  qualitatively  -  of  the  community  college  and  has 
directly benefited the development of the bio-technology industry in North Carolina. The employment 
in  the  sector  grew  from  34  500  jobs  in  2003  to  58  000  in  the  year  2009,  including  a  substantial 
amount  of  jobs  for  people  with  medium  level  qualifications  below  bachelor’s  degree.16In  Europe, 
Northern Ireland has drawn lessons directly from the experience of North Carolina and applied them 
within the "Assured Skills" programme.17 

…and support the transition towards the green economy 

The transformation brought about by greening economies will accelerate structural changes between 
sectors  and  the  process  of  restructuring  within  many  sectors,  calling  for  measures  to  enable  the 
adaptation of workers in existing and emerging economic activities as well as retraining of displaced 
workers from shrinking sectors.  

16 http://www.delni.gov.uk/es/north-carolina-bioscience  
17http://www.delni.gov.uk/index/successthroughskills/skills-and-training-programmes-2/assured-skills-
programme.htm  

9 

 
 
 
 
 
 
                                                            
Sectoral and occupational changes brought about by greening economies call for a greater degree of 
policy  coherence  and  a  better  understanding  of  the  interactions  between  education,  VET,  labour 
market and low carbon and energy efficiency policies. Yet, a review of national practices reveals that 
the  coordination  between  green  policies  and  skill  policies  ranges  from  comprehensive  and  well-
targeted  to  fragmented,  ad  hoc  or  virtually  non-existent18.  In  Denmark,  Germany  and  France  for 
instance,  there  are  well-established  institutional  frameworks  for  reflecting  changes  in  skills  needs  in 
education  and  training  responses.  These  frameworks  combine  quantitative  forecasting,  qualitative 
needs  assessments  and  formal  and  informal  dialogue  with  education  and  training  providers.  For 
example, the approaches adopted in France and Germany in this respect tend to be ‘integrated’ ones - 
adjusting or refining vocational training curricula, rather than creating specialised green occupations.  

Examples of VET initiatives based around new and emerging sectors of economic activity have been 
observed in Austria. Here, national and local governments have launched a joint initiative, called the 
Environmental Technology Masterplan (Masterplan Umwelttechnologie, MUT). This brings together 
policymakers,  business  and  relevant  research  institutions  to  improve  the  competitiveness  of  the 
industry. A key component of this plan is the consideration of innovative and needs-related vocational 
training in the green technology sector.19  

Germany:  initiative to adapt IVET and CVET to the requirements of the green economy   

The Federal Government of Germany is currently acting upon the transition to the green economy by 
promoting  sustainability  and  environmental  protection  as  a  transversal,  overarching  goal  of  VET. 
Rather than creating new, specific green occupations, many occupations and training curricula have 
been  adjusted  and  refined  to  take  account  of  the  skills  needs  of  increasingly  green  aspects  of 
mainstream  industry  and  business,  as  well  as  eco-industries.  The  skills  response  has  followed  an 
integrated  approach,  rather  than  focusing  on  specialised  occupations,  to  guarantee  flexible  use  of 
skilled workers and better job opportunities. 

The approach favoured so far for the VET systems is “topping-up” competences to enhance the skills 
already possessed by the workforce, to collectively meet the demands of existing jobs requiring green 
skills  or  jobs  that  need  retraining.  This  topping-up  is  most  likely  to  be  characterised  by  additional 
training  to  familiarise  workers  with  new  concepts  and  practices  that  will  enable  them  to  operate  in 
low-carbon industries. Relevant developments in Germany’s initial training include the creation of 82 
occupations and the modernisation of 219 occupations; only a small number of dual apprenticeship 
training schemes have been established related to green occupations.  

Source: Thiele, P. (2011). 

2.  Financial incentives for continuing vocational education and training  

The importance of continuing vocational education and training (CVET) is rising hand in hand with 
ageing population and changes in technology and work processes. An efficient and effective system of 
CVET is contributing to VET excellence by making sure that people continually acquire and update 
the skills needed by the labour market. 

In order for CVET to be efficient and effective, the whole CVET system needs to be built taking into 
consideration the objectives that are to be reached. For example, as the participation in CVET of older 

and 

ILO 

(2010),  Skills 

18  Cedefop 
for  green 
http://www.cedefop.europa.eu/EN/publications/16439.aspx 
19 Eurofound (2009). Greening the European economy: Responses and initiatives by Member States and social 
partners. 
Internet: 
EF/09/72/EN. 
2009, 
http://www.eurofound.europa.eu/eiro/studies/tn0908019s/tn0908019s.htm  

report.  See: 

-  European 

Available 

synthesis 

Dublin, 

from 

jobs 

10 

 
 
 
 
 
                                                            
 
and  less  qualified  persons  is  often  lower,  this  could  be  a  main  priority  for  support  measures.  Much 
CVET  takes  place  in  companies,  but  this  training  is  targeted  mainly  at  those  who  are  already  in 
employment, who have high qualifications levels and who are relatively young. In order for CVET to 
reach  also  other  target  groups,  it  is  important  that  also  other  stakeholders,  such  as  Social  Partners, 
participate in the design and financing of CVET. 

One of the objectives expressed through the Bruges Communiqué is to increase participation in CVET 
through  an  appropriate  framework  of  incentives,  rights  and  obligations  should  support  the  company 
investment in CVET. All the elements linked with the design, delivery and financing of CVET should 
support one another, not act in isolation. However, it seems that knowledge on financing mechanisms 
for CVET is relatively scarce. This is why this question merits a closer look. 

A well-functioning support system for CVET is extremely important if participation is to be increased. 
At the moment, most European countries are still far from reaching the EU target of 15 % participation 
in  adult  learning  (see  Commission  Staff  Working  Document  "Rethinking  Education:  Country 
analysis").  

Both for individuals and for companies, costs of training is the main obstacle for training20.  Member 
States have implemented a variety of approaches, and while impacts on returns are mixed or unclear21, 
recent analyses  may help improving these and increasing their impact on targeted groups. However, 
this is an area which requires rigorous research at national level. 

In  order  to  increase  the  participation  in  CVET,  much  is  going  on  in  Member  States.  In  addition  to 
measures  in  place  already  at  the  time  of  the  adoption  of  the  Bruges  Communiqué,  countries  are 
introducing measures or strategies that aim at increasing the participation.  

The results of the latest Continuing Vocational Training Survey show a slight increase in both training 
in enterprises and a slightly more marked increase in employee participation in training as compared to 
2005. Today around two third of European enterprises train their personnel. 22 However, the situation 
varies greatly between countries, in particular for the level of the investments that companies make in 
training their personnel.  

In  order  to  further  increase  training  demand  and  supply,  public  support  is  necessary.  This  chapter 
discusses the main mechanisms that are used to (co-)finance CVET. 

20 For individuals, Adult Education Survey, cited in Dohmen and Timmermann (2010) Financing Adult learning at 
times  of  crisis,  and  for  companies,  Eurostat,  Continuing  Vocational  Training  Survey  4,  reference  year  2010, 
preliminary results. 

OECD (2004), Co-financing lifelong learning: towards a systemic approach, Paris: OECD Publishing. 

21 Oosterbeek, EENEE report on adult learning 
22 Eurostat. Continuing Vocational Training Survey 4, reference year 2010, preliminary results. 

11 

 
 
 
 
 
 
 
 
                                                            
2.1. Evidence on the effectiveness of incentives and funding mechanisms for CVET 

Several  financing  and  regulatory  mechanisms,  such  as  levy-based  schemes  (training  funds),  tax 
incentives, vouchers/individual learning accounts, (low-cots) loans, training leave and payback clauses 
have been set up to stimulate the demand for continuing learning, which can be distinguished between 
those  targeting  individuals  and  those  directed  to  enterprises.  Most  of  these  mechanisms  are  at  least 
partly  financed  by  governments;  most  of  them  also  require  a  contribution  from  employer  or 
employees.  This  chapter  which  concentrates  rather  on  the  co-financing  instruments  which  require 
sharing of responsibilities. 

The various financing mechanisms are known to have advantages, such as stimulating participation in 
learning (as shown by the evaluation of tax incentives in the Netherlands), increase private investment 
(e.g. training funds) and they can strengthen social dialogue (e.g. sectoral training funds in Italy), to 
mention but a few. However, despite these advantages, none of the financing mechanisms is free of 
potential  drawbacks,  which  should  be  taken  into  account  in  design  and  implementation.  The  latter 
mainly  include  deadweight  losses  and  heavy  administrative  burden.  Comprehensive  evaluations  of 
financing mechanisms to support the demand for learning are still scarce in Europe.23 

Almost  all  the  financial  mechanisms  targeted  towards  individuals  and  employers  to  support  the 
demand for lifelong learning can engender deadweight losses. The magnitude of these losses may vary 
among financial mechanisms. For instance, high potential deadweight losses are often associated with 
tax incentives24 and are apparent in case of skilled individuals. Also, levy-based funding schemes are 
often criticised for their high ‘deadweight’. This is particularly relevant among large enterprises that 
would  have  spent  more  than  legal  minimum  anyway.  Deadweight  effects  can  be  limited  through 
targeting the incentive to groups traditionally underrepresented in training. However, this may lead to 
increased administrative burdens for both suppliers and employers25. 

A  last  drawback  relates  to  administrative  complexity  and  burden  engendered  by  these  financial 
mechanisms.  Administrative  complexity  is  apparent  in  the  French  train-or-pay  scheme  due  to  the 
complexity  of  the  transfer  of  funds  to  various  education  and  training  stakeholders  and  to  multiple 
training  initiatives.  Such  complexity  tends  to  reduce  the  effectiveness  of  the  scheme  in  France.26 
Administrative  requirements  to  benefit  from  these  financial  mechanisms  can  be  too  heavy,  and  thus 
act as a disincentive for employers and individuals. However the level of administrative burden differs 

23 CEDEFOP (2009), Using tax incentives to promote education and training, Luxembourg: Office for Official 
Publications  of  the  European  Communities;  CEDEFOP  (2009),  Sharing  the  costs  of  vocational  education  and 
training: An analysis of schemes in the newer Member States, Luxembourg: Office for Official Publications of 
the European Communities. 
24 Ibid. 
25  CEDEFOP  (2008),  Sectoral  training  funds  in  Europe;  Luxembourg:  Office  for  Official  Publications  of  the 
European Communities. 
26 Pierre Cahuc and André Zylberberg (2007), Les dérives de la formation professionelle, Formation Emploi, No 
98. 

12 

 
 
 
 
 
 
                                                            
among the various financing mechanisms; tax-based schemes for individuals and enterprises are often 
associated with a low level of administrative burden, contrary to subsidy-based schemas.27 

2.2. Financial incentives for individuals to stimulate participation in CVET 

Across Member States, financial support to individual learners can take the form of: 

a)  Individual learning accounts, vouchers and training allowances; 

b)  Training loans; 

c)  Tax-based schemes. 

a) Individual learning accounts, vouchers and training allowances; 

These three financing instruments are the most widely used instruments in Europe.28 

The main characteristics of a funding system based on vouchers or learning accounts are29: 

–  Rather than allocating public funding to education and training providers the purchase 

power of individuals is stimulated; 

–  The  demand  from  the  side  of  individuals  should  affect  the  supply  in  terms  of  type  of 

offer as well as its costs; 

–  Such  system  requires  a  comprehensive  information  system  to:  1)  enable  information 
flow between supply and demand side, 2) control the utilisation of loans and vouchers, 
3) ensure the quality of education training supplied meets the required standards. 

– 

In terms of socio-economic characteristics of participants: women tend to benefit more, 
utilisation increases with education levels; evidence on the extent to which the funding 
is  effectively  used  by  those  who  would  not  have  been  able  to  benefit  from  training 
otherwise  is  mixed,  and  a  significant  proportion  of  those  who  benefit  would  have 
funded the training even in the absence of the vouchers or account system (i.e. there is 
considerable deadweight funding); older people are underrepresented. 

–  There is a need to monitor the quality of training provided (e.g. through accreditation) 

which creates other types of costs compared to direct subsidies to providers.  

27 CEDEFOP (2009), Using tax incentives to promote education and training, Luxembourg: Office for Official 
Publications  of  the  European  Communities;  CEDEFOP  (2009),  Sharing  the  costs  of  vocational  education  and 
training: An analysis of schemes in the newer Member States, Luxembourg: Office for Official Publications of 
the European Communities. 
28 Dohmen B3-forthcoming 
29 Dohmen and Timmermann (2010) Financing Adult learning at times of crisis 

13 

 
 
 
 
 
 
 
 
 
 
                                                            
Individual  learning  accounts  have  gained  increasing  attention  of  policy  makers  over  recent 
years, especially in the Netherlands, the United Kingdom, Austria, Ireland, Italy, and Malta. 
However,  their  success  has  been  sometimes  questioned.  For  instance,  the  United  Kingdom 
suspended  its  "Individual  Account  for  Learning"  programme  in  2001,  only  a  year  after  its 
creation.  The  programme  foresaw  a  complement  of  150  GBP  from  public  resources  to  an 
individual's  deposit  of  25  GBP.  The  individual  was  to  use  this  amount  to  finance  training 
provided by registered providers. The government expected that one million accounts would 
be  opened  in  two  years  with  the  cost  of  15  million.  However,  in  one  year,  more  than  2,5 
million learning accounts were opened, and the programme was suspended due to numerous 
fraud cases that occurred due to lack of sufficient control mechanisms.30 

Other  European  countries  such  as  Sweden  or  the  Netherlands  also  decided  not  to  proceed 
further  with  the  initial  individual  learning  accounts  they  set  up.31  In  a  comprehensive 
international review of individual learning accounts, Cedefop found that the participation of 
certain at-risk groups of individuals – namely workers with low incomes, the low skilled of 
employees  working  in  SMEs  –  is  extremely  low  unless  these  mechanisms  target  such 
groups.32  A  summary  of  evidence  on  saving  accounts  indicates  that  this  type  of  funding  is 
likely to only have a marginal role to play as sums saved are in general low and the people 
most at need are unlikely to be able to put money aside33. According to several studies there 
seems  to  be  rather  large  deadweight  loss34  (more  than  50%)  in  using  learning  accounts. 
However, those individuals who would not have taken part in learning had they not used the 
learning account, seem to have these characteristics: being risk-averse and using the funds for 
training of rather general nature.35   

Vouchers and training allowances can be used to cover the cost of tuition fees and the indirect training 
costs such as the transportation costs, the accommodation expenses, the costs of study materials, and 
the forgone earnings. Training allowances covering tuition fees are nevertheless sometimes subjected 
to refund if the learner does not complete successfully the learning programme. 

However, an analysis shows that considerable deadweight can be associated with this instrument.36  

Training vouchers in Germany 

30 Yves Urieta (2011), 40 ans de formation professionnelle: bilan et perspectives. 
31  UKES  (2010),  Personal  learning  accounts:  building  on  lessons  learnt,  London:  UK  Commission  for 
Employment and Skills. 
32  CEDEFOP  (2009),  Individual  learning  accounts,  Luxembourg:  Office  for  Official  Publications  of  the 
European Communities. 
33 Dohmen and Timmermann (2010) Financing Adult learning at times of crisis 
34 An increase in the demand of lifelong learning from individuals and employers having benefited from public 
support that can be judged to have occurred anyway, in the absence of any assistance, is termed a deadweight 
loss. 
35  Falch  and  Oosterbeek  for  EENEE  (2011)  Financing  Lifelong  Learning:  Funding  Mechanisms    in  education 
and training 
36 Hessel Oosterbeek for EENEE (2012) More on the financing of lifelong learning. 

14 

 
 
 
 
 
 
                                                            
The  Federal  Employment  Agency  (Bundesagentur  für  Arbeit  –  BA)  is  the  labour  market's  biggest 
service provider. As a public body with self-governance it acts independently within the framework of 
applicable law. 

The  training  voucher  contains  among  other  things  information  on  the  education  aim,  the  duration 
required until reaching this education aim, the regional scope and the validity of no more than three 
months  in  which  the  training  voucher  must  be  redeemed.  On  the  conditions  defined  on  the  training 
voucher,  the  person  interested  in  education  can  redeem  the  training  voucher  at  an  institution 
approved for supported further education of his/her  choice. But also the measure must be approved 
for supported further education.The participation must be necessary for the professional integration of 
unemployed persons, to avert concretely threatening unemployment or because the necessity of further 
education is approved due to lack of training qualification. 

The participant can redeem the training voucher within its validity period for the participation in an 
approved  measure  with  an  education  aim  corresponding  to  the  training  voucher.  As  proof  of  the 
admission  of  a  further  education  measure,  the  respective  institution  can  present  certification  of  an 
expert authority. Information on approved measures can be obtained from the data base for training 
and further education KURSNET. The approval must be valid at the time of entry in further training. 
The  education  institution  selected  by  the  participant  confirms  on  the  training  voucher  (copy  for  the 
institution)  the  admission  to  the  approved  measure  and  presents  the  training  voucher  to  the  issuing 
Employment Agency before the beginning of the measure. 

Source:  http://www.arbeitsagentur.de/nn_431528/EN/zentraler-Content/Leistungen/Bildungsgutschein-EN-
55440.html 

A refund of tuition fees for enrolment in formal adult education programmes in Austria 

In Austria, the province of Upper Austria has introduced a system named Bildungskonto. Under this 
scheme,  the  administrative  office  of  the  government  of  Upper  Austria  refunds  50  %  of  individual 
course  fees  to  people  participating  in  further  education,  up  to  a  maximum  amount  of  EUR  830 
(‘general’ Bildungskonto).People over 40 years of age and unskilled persons may have up to 80 % of 
their  course  fees  refunded.  The  ‘special’  Bildungskonto  allows  participants  to  submit  a  request  for 
financial support amounting to 50 % of their personal costs up to a maximum of EUR 1,660 if they 
produce a certificate confirming successful completion. Preparatory courses for officially recognised 
exams (e.g. Berufsreifeprüfung, apprenticeship certification exams, foremen’s exams, etc.) are among 
the most frequently subsidised educational activities. Different schemes to refund tuition fees also exist 
in all other provinces of Austria. 

Source:  extracted  from  Education,  Audiovisual  and  Culture  Executive  Agency  (2011),  Adults  in  formal 
education: policies and practices, Luxembourg: Office for Official Publications of the European Communities 

Training vouchers in Belgium 

In Belgium, in the Flemish Community and in the Brussels-Capital Region, employees may purchase 
up to EUR 250 worth of training vouchers per calendar year. They can use these vouchers to pay for 
training  programmes  organised  by  education  and  training  providers  which  are  recognised  by  the 

15 

 
 
 
 
 
 
public service for labour and employment (VDAB), such as centres for adult education (CVOs). The 
employee only needs to pay half of the cost of the training vouchers. 

Source:  extracted  from  Education,  Audiovisual  and  Culture  Executive  Agency  (2011),  Adults  in  formal 
education: policies and practices, Luxembourg: Office for Official Publications of the European Communities 

b) Training loans 

Some countries allow learners to benefit from training loans that are guaranteed by public authorities. 
In  the  EU,  19  countries  have  loan  schemes,  but  most  of  them  are  aimed  at  higher  education.37 
However, this could benefit adult learners as it might facilitate adult access to higher education. These 
bank loans must be repaid by learners at the end of the learning period. In the case of loans38: 

– 

– 

– 

– 

The  principle  is  to  provide  individuals  with  insufficient  liquidity/purchase  power 
with the possibility to fund education and training; 

Public loans intervene in the absence of lack of private bank loans which do not exist 
because the investment is considered insecure; 

Given  that  loans  are  to  be  repaid  they  are  more  likely  to  be  employed  for 
professionally relevant learning; 

This mechanism could be a good complement to fund education and training that is 
costly  or  to  intervene  in  times  of  economic  downturn  when  employers  have  less 
funds to support training. 

Evidence of their effectiveness is not broadly available, but in the UK the evaluation of the 
Career  Development  Loans  shows  that  those  who  benefit  most  are  males  and  people  with 
relatively low incomes, though being in general qualified or highly qualified39. In the United 
Kingdom, there exists one loan scheme expressly targeted at disadvantaged groups.40 

Evaluation of UK PCDL (Professional and career development loan) 

The  evaluation  report  available  for  the  UK  PCDL  was  commissioned  by  the  Learning  and 
Skills Council (LSC; then the managing institution of the scheme) and produced in January 
2008  (LSC,  2008).  Surveys  of  learners,  learning  providers,  and  other  stakeholders  were 
carried  out  covering  the  period  of  learning  2001-06.  The  impact  of  the  PCDL  scheme  was 
evaluated  positively:  more  than  80%  of  learners  agreed  that  the  loan  helped  them  develop 
new skills and had a positive impact on their qualifications, income, employment prospects or 
future  training.  The  deadweight  effect  was  estimated  to  be  low  (with  half  of  respondents 

37  FiBS  –  Forschungsinstitut  für  Bildungs-  und  Sozialökonomie  and  DIE  –  Deutsches  Instutut  für 
Erwachsenenbildung,  a  forthcoming  study  commissioned  by  the  European  Commission,  DG  Education  and 
Culture. 
38 Dohmen and Timmermann (2010) Financing Adult learning at times of crisis 
39  Learning  and  Skills  Council  (2008)  Evaluation  of  the  Career  Development  Loans  Scheme  CDL  Learner 
Survey 
40  The  Kent  Community  loan  Scheme.  See  Cedefop  (unpublished),  The  role  of  loans  in  financing  vocational 
education and training in Europe, final report (by PPMI; November 2010). 

16 

 
 
 
 
 
 
 
                                                            
saying they would not have been able to take the course without the loan and only 13% saying 
they would have definitely taken the course), but it was also reported that most borrowers had 
decided to learn before they explored the PCDL as a funding option. However, the learning 
providers  indicated  that  the  loan  scheme  was  very  important  in  giving  an  opportunity  for 
those  without  sufficient  financial  resources  to  take  the  learning.  This  was  confirmed  by  the 
survey findings that, for nearly 90% of the learners, PCDL were the only source of financial 
assistance for which they were eligible. The scheme was also reported to have created over 
GBP 90 million (EUR 104.49 million) of additional wage revenue. In terms of equity, it was 
noted  that  people  living  in  London  and  South  East  England  (the  most  economically 
prosperous  areas  in  the  UK)  were  significantly  overrepresented  among  the  scheme  users. 
This raises significant concerns about the ability of people from less economically developed 
regions, as well as people with lower income in general, to access the loan. However, it was 
reported that 60% of loan takers earned GPB 15 000 (EUR 17 415) per year or less, so most 
of the borrowers were low-income. Access to loans did not differ significantly between ethnic 
groups.  The  sustainability  of  the  scheme  was  also  evaluated  positively,  considering  the  low 
cost to the public purse. 

Source: CEDEFOP (2012) Loans for vocational education and training in Europe; Luxembourg: Office for 
Official Publications of the European Communities.  

Cedefop’s  review  of  education  and  training  loans  in  33  European  countries  (with  focus  on 
those schemes where government plays some role41) revealed that they are widely available 
for higher education. There are fewer loans available for continuing VET. The review allowed 
identifying  some  core  ‘good  practice’  principles  for  designing  and  implementing  loan 
schemes42 

•  Extended eligibility (including part-time learners) 

•  Flexible repayments with built-in income safeguard 

•  Operated by a specialised institution with expertise, know-how 

•  Level of State subsidy aligned with loan scheme 

• 

Involvement  of  financial  institutions  and  tax  authorities  in  administering  the  loans 
(e.g. repayment collection) 

•  Synergies with other financing instruments and other public policies 

•  Use  of  non-financial  measures  (monitoring  and  evaluation;  communication  and 

guidance strategies)  

c) Tax-based schemes 

41 CEDEFOP (forthcoming), Training leave in Europe: Regulations and practice in Europe. 
42 CEDEFOP (2012)  Loans for vocational education and training in Europe; Luxembourg: Office for Official 
Publications of the European Communities. 

17 

 
 
 
 
 
 
                                                            
Half of the European countries43 have set up various tax-based schemes to encourage individuals or 
certain  groups  of  individuals  to  participate  in  learning  activities,  although  in  many  countries  tax 
policies are still disconnected from education and training policy. 

Tax-based schemes for individuals mainly consist of tax allowances, tax credits, and tax exemptions. 
Tax incentives for individuals are often more restrictive than those for employers. They often require 
individuals  to  undertake  learning  in  the  tradition  formal  education  and  training  system,  generally  at 
secondary  or  higher  education  level.  In  addition,  not  all  individuals  undertaken  such  learning  can 
benefit  from  these  taxes  in  several  countries  where  they  are  available.  Finally,  the  type  of  costs 
supported by tax incentives can be restricted to course fees only.44 According to Cedefop studies, tax 
credits for individuals are effective, whereas tax allowances (both for individuals and for legal entities) 
are in many cases regarded as ineffective45. Tax incentives to individuals are more interesting to those 
with  high  incomes  than  to  those  with  low  incomes  which  results  in  lower  net  costs  for  those  with 
higher incomes46. Overall, it seems that tax reductions for direct training expenditure are an effective 
means  to  stimulate  participation  in  education  and  training  and  up-skilling  of  people  in  employment. 
Based on calculations that build on empirical evidence it seems that at a marginal tax rate of 0.4, every 
euro invested by the government in the form of tax deduction, leads from 0.75 to 1.5 euro of private 
expenditure on training47.  

Time is an important resource for training – about 70 % of those not engaged in adult learning mention 
time  as  a  constraint  (AES  2007),  either  because  of  family  responsibilities  (particularly    female)  or 
work schedule (particularly male). This is why an important source of support to individuals is time 
in  place  some  form  of 
for  training  or  paid  (or  unpaid) 
educational/training  leave.  Training  leaves  can  be  funded  either  publicly  or  by  employer.  SMEs 
experience probably the highest difficulties in using training leave. 

leave.  Most  countries  have 

The  paid  training  leave  addresses  two  main  constraints  that  prevent  adults  from  participation  in 
education  and  training:  time  and  financial  constraints.  Cedefop  review  of  educational/training  leave 
implementation in 33 European countries48 shows that SMEs seem to face two major difficulties: lack 
of information and considerable difficulties in organising training leave, due to administrative burden 
and human resources constraints.   

The review showed that the impact of the crisis on implementation of training leave was two-fold. On 
the  one  hand,  in  some  countries  the  funding  available  to  training  leave  diminished  as  State  and 
employers  could  not  retain  the  previous  level  of  investment.  On  the  other  hand,  some  countries 
adopted the instrument and increased funding to keep people employed and raise their skills.  

43  FiBS  –  Forschungsinstitut  für  Bildungs-  und  Sozialökonomie  and  DIE  –  Deutsches  Instutut  für 
Erwachsenenbildung,  a  forthcoming  study  commissioned  by  the  European  Commission,  DG  Education  and 
Culture. 
44 CEDEFOP (2009), Using tax incentives to promote education and training, Luxembourg: Office for Official 
Publications of the European Communities. 
45  CEDEFOP  (2009)    Sharing  the  costs  of  vocational  education  and  training:  An  analysis  of  schemes  in  the 
newer EU Member States. 
46 Dohmen and Timmermann (2010) Financing Adult learning at times of crisis 
47 Falch and Oosterbeeck for ENEE (2011) Financing Lifelong Learning: Funding Mechanisms  in education and 
training 
48 CEDEFOP (forthcoming), Training leave in Europe: Regulations and practice in Europe. 

18 

 
 
 
 
 
                                                            
Training leave in Austria  

During the crisis the regional governments provided additional funding through Bildungskarenz-Plus, 
which  allowed  overcoming  reluctance  of  employers  to  send  employees  for  training  leave  and 
preventing redundancies in companies. There was a sharp increase in take-up of training leave from 
2008  onwards  –  up  to  10.000,  i.e.  0.3%  employees  (traditionally,  on  average  there  were  1.000 
participants, i.e. 0.03% of employees). The training leave became more inclusive in terms of sectors, 
regions and qualifications covered.  The take up of training leave for education and training at ISCED 
2-3 increased sixfold and in seasonal qualifications increased sevenfold. Men, manufacturing sector 
employees and the regions hit hardest by the crisis started to use training leave more.   

Source: Cedefop (forthcoming) Training leave in Europe: Regulations and practice 

The review of training leave across Europe showed that targeted, group-specific training leave is the 
most successful type of training leave in terms of overall performance. Unpaid training leave does not 
provide equal access for disadvantaged employees as they do not have the resources to cover foregone 
income as well as other costs of training leave. High-skilled employees in large companies will always 
benefit  more  in  using  untargeted  and  (or)  unpaid  training  leave.  Therefore  the  key  objective  is  to 
promote (via paid training leave) access of disadvantaged employees.49 

Alternative  solutions  to  subsidised  training  leave  are  learning  time  accounts.  Documentation  of  the 
effectiveness of these funding forms is limited but they seem to be rather underused50.  

2.3. Financial incentives for employers to stimulate supply of CVET 

Funding mechanisms for employers can be divided in two main categories: 

•  Compulsory arrangements with levy-exemption schemes 

•  Non-compulsory arrangements with subsidies and tax incentives 

a) Compulsory arrangements – levy-exemption schemes 

Many  European  countries  have  set  up  compulsory  arrangements  to  ensure  a  minimum  financial 
commitment of employers in learning. Levy schemes, based on a contribution of a given percentage of 
firms’ payrolls (fixed by governments or collective agreements) set up predetermined minimum levels 
of funding in training to be committed to by employers.  

49 CEDEFOP (forthcoming), Training leave in Europe: Regulations and practice in Europe. 
50 Dohmen and Timmermann (2010) Financing Adult learning at times of crisis 

19 

 
 
 
 
 
 
 
 
 
 
 
 
                                                            
These  schemes  can  be  sectoral,  regional  or  national.  Especially  the  sectoral  schemes  address  the 
poaching problem. In general they reach their aim of increasing the incidence of training in companies, 
and thus they also contribute to raising the productivity, competitiveness and incomes of enterprises 
and individuals by providing them with needed skills51. However, it has also been noted that for those 
companies that would train in any case, these schemes may reduce training to the minimum required. 

These arrangements mainly consist of levy-grant schemes. The French model is significantly different 
from  the  others.  French  enterprises  are  subject  to  a  ‘levy-exemption  (also  called  train-or-pay) 
mechanism52. Firms can then reduce their levy obligations and even be exempted of such obligations 
by financing training to their employees. Unspent funds are then transferred to special funds. 

The train-or-pay scheme in France 

All  enterprises  in  France  have  to  contribute  to  the  financing  of  continuing  vocational  training.  The 
financial  contribution  is  based  on  a  percentage  of  enterprises’  gross  payrolls.  This  percentage 
nevertheless varies according to the size of enterprises. From the continuing vocational training tax of 
0.55%, the employer with less than 10 employees should allocate: 

•  0.15% to special (multi-) sectoral actions defined by social partners and to the national 
initiative,  called  droit  inviduel  à  la  formation,  granting  the  right  for  each  employee  to 
participate in continuing vocational up to 20 hours per year 

•  0.40% to training under the employer training plan. 

From the continuing vocational training tax of 1.05%, the employer with 10 to 19 employees should 
allocate: 

•  0.15% to special (multi-) sectoral actions defined by social partners 

•  0.90% to training under the employer training plan. 

From  the  continuing  vocational  training  tax  of  1.55%,  the  employer  with  more  than  20  employees 
should allocate: 

•  0.20%  to  specific  national  initiatives  on  training  leave  (congé  individuel  de  formation, 

congé de bilan de competences, congé validation des acquis de l’expérience) 

•  0.50% to special (multi-) sectoral actions defined by social partners 

•  0.90 % to training under the employer training plan. 

If  the  employer  does  not  invest  the  required  percentage  of  the  tax  to  training  under  the  enterprise’ 
training plan, the unspent funds are then allocated to special national funds. 

51 Johanson, R. (2009). A Review of National Training Funds. Washington: World Bank  2009. 
52  CEDEFOP  (2008)  Sectoral  training  funds  in  Europe;  Luxembourg:  Office  for  Official  Publications  of  the 
European Communities. 

20 

 
 
 
 
 
 
 
 
                                                            
 
Source: http://www.dfc.ccip.fr/ 

b) Non-compulsory arrangements – subsidies, tax incentives and payback clauses 

Through  non-compulsory  arrangements,  employers  can  receive  financial  incentives  to  invest  in 
learning, mainly subsidies and tax incentives. The eligibility requirements to beneficiate and use these 
financial mechanisms are often targeted at certain groups (e.g. SMEs or groups of workers), certified 
learning programmes, accredited training providers, direct training costs, and firm and sector specific 
learning content. 

Subsidies  to  employers  are  used  by  governments  to  share  the  direct  costs  of  training  and  also  a 
substantial share of the indirect costs (e.g. foregone income) of internal or external training borne by 
employers. These subsidies are frequently granted to firms on a selective basis, often to firms in the 
framework of active labour market policies in order to provide learning to at-risk workers so that they 
are not excluded from the labour market. Subsidies are also often used by governments to support the 
training  of  workers  in  SMEs  who  are  often  less  likely  to  receive  the  most  formalised  forms  of 
continuing vocational training than their counterparts in larger firms.53  

In many European countries, governments provide tax incentives for employers to give them the right 
incentives  to  invest  in  training,  including  initial  vocational  training.54  These  taxes  for  employers 
consist  of  tax  allowances,  tax  credits,  and  tax  exemptions.  Most  of  them  are  however  tax  credits. 
Government  intervention  to  support  investment  by  enterprises  can  take  the  form  of  training  loans, 
especially for SMEs.   

Payback  clauses  are  another  form  of  encouraging  employers'  investment  in  training.  They  are 
essentially a legal instrument that encourages companies to bear the costs of training by allowing them 
to  retain  employees  for  a  certain  time  after  training  in  compensation  for  its  provision.  In  fact, 
employees are free to move to another company but, if they terminate the contract within contractual 
retention period, they may be requested to reimburse (a share of) the costs of training55.   

Payback clauses and associated with them contractual retention period should not be seen, however, 
only as a safeguard for employers (preventing from poaching, fluctuations of trained staff) but also as 
a  safeguard  for  employers  (who  may  feel  more  secure  about  continuity  of  employment  after 

53 European Commission (2007), Employment in Europe 2007, Luxembourg: Office for Official Publications of 
the European Communities. 
54 CEDEFOP (2009), Using tax incentives to promote education and training, Luxembourg: Office for Official 
Publications of the European Communities. 
55 CEDEFOP (2012), Payback clauses in Europe: supporting company investment in training; Office for Official 
Publications of the European Communities. 

21 

 
 
 
 
 
 
 
 
 
 
 
                                                            
training)56.  Although  payback  clauses  can  be  found  in  most  European  countries  (regulated  through 
national law, collective agreement (at (inter-)sectoral level between social partners) or agreements at 
company  level  (between  employer  and  individual,  or  management  and  trade  union  representatives), 
little data is available on their implementation in employment/training contracts or enforcement.57 

Agreement for information, communication and technology sector in Netherlands 

In this sector, companies are requested to design a concept for easier access to qualification 
programmes.  This  agreement  states  how  employers  shall  contribute  financially  to  the 
development  of  employee’s  skills  and  acquisition  of  qualifications  depending  on  the  kind  of 
training. The following differentiations are made: 

training for current functions or tasks that need to be fulfilled on short notice within the 

• 
company;  

• 

training for future tasks within the company. 

In  both  cases,  expenses  are  to  be  borne  by  the  employer  and  training  should  take  place  as 
much  as  possible  during  working  hours.  In  the  case  of  training  for  maintaining  and 
increasing employability that has no direct connection to the current employee’s function or a 
task s/he will fulfil in the near future, but which can be regarded as reasonable for a possible 
future task, the following differences are to be made. The employer shall grant full financial 
support  for  tuition  and  enrolment  fees,  exams  and  administration  costs,  and  50%  for  the 
expenses  for  learning  materials  such  as  books  for  training  that  leads  to  a  diploma  or 
certificate within the period of time agreed prior to training. The qualification units shall take 
place as much as possible during working hours.  
Reimbursement of training costs 

The employer has the right to reclaim reimbursement of costs in case of training interruption 
by  the  employee  without  specific justification  and  due  to  termination  of  employment  shortly 
after completion of training. The employee can be requested to reimburse 100% of the costs 
within  the  first  year  and  50%  during  the  second  year  after  completion  of  training.  These 
standards are also valid if the employee is dismissed for reasonable causes. 

Source:  Cedefop,  Payback  clauses  in  Europe:  supporting  company  investment  in  training;  Office  for  Official 
Publications of the European Communities 

56 CEDEFOP (2012), Payback clauses in Europe: supporting company investment in training; Office for Official 
Publications of the European Communities. 
57 CEDEFOP (2012), Payback clauses in Europe: supporting company investment in training; Office for Official 
Publications of the European Communities. 

22 

 
 
 
 
 
 
                                                            
The experience of an appliance manufacturing company in Sweden  

A  large  Swedish  appliance  manufacturer  with  around  2 500  employees  promotes  career 
development by providing training. For higher and postgraduate education programmes 
the company reaches agreements on payback clauses only with employees with permanent 
employment contracts. The clause includes fees and payments for training courses as well 
as  travel  and  subsistence  costs.  The  retention  period  and  the  reimbursement  conditions 
are specified case-by-case according to the amount of training expenses, but the following 
example is typical: 

–  contracts on the obligation to reimburse the cost of paid training; 

–  the  employee  (name)  has  been  offered  and  has  accepted  the  invitation  to  attend  the 

training course called XXXX on Trade; 

–  the cost of training amounts to SEK (amount); 

–  the training is conducted during the period up to (date); 

–  the employee (name) agrees to reimburse part of the training cost upon the employee's 

voluntary termination of employment as follows: 

      •  100% of course fee has to be reimbursed prior to the completion of training; 

      •  100% of course fee within six months after the completion of training; 

      •  75% of course fee within one year after training; 

      •  50% of course fee within two years after training;  

      •  25% of course fee within three years after training. 

In the event that a newly hired employee has to reimburse the cost of training provided by 
former  employers,  the  company  assumes  the  reimbursement  obligation  if  the  new 
employee  has  left  his  or  her  former  employer  explicitly  to  join  the  company  for 
professional reasons. Currently, only around 10 contracts contain agreements on payback 
clauses  in  this  company.  As  the  share  of  employees  who  undertake  training  and 
subsequently  resign  within  the  retention  period  is  equal  to  zero,  there  have  been  no 
reimbursement requests in the last year and so far the company has never brought legal 
proceedings to obtain reimbursement from employees unwilling to reimburse.  

Source:  Cedefop: Payback clauses in Europe: supporting company investment in training; Office for Official 

Publications of the European Communities 

3.  State of play of VET systems in the EU in view of developing excellence 

This section provides an overview of progress Member States have done in key areas (so called "short 
term deliverables") defined in the Bruges Communiqué closely related to VET excellence: 

•  VET attractiveness;  
•  Work-based learning and cooperation between VET institutions and enterprises; 
•  Partnerships  for  creativity  and  innovation  as  well  as  effective  use  of  innovative 

technology in VET. 

23 

 
 
 
 
 
 
 
 
The information in this chapter is Cedefop's analysis of EU Member States’ progress in addressing the 
short-term  deliverables  of  the  Bruges  Communiqué58,  designed  notably to  serve  the  purpose  of 
following-up  the  Bruges  Communiqué.  Country  specific  information  may  be  subject  to  change,  as 
validation by Member States was still on-going at the time of writing.   

3.1. VET attractiveness in the EU countries 

VET  attractiveness  is  a  multidimensional  concept  which  depends  on  unique  characteristics  of 
countries  system.  One  element  which  captures  VET  attractiveness  is  the  share  of  VET  students  in 
upper secondary education (see Figure 2 below).  

Figure 2 – Students enrolled in vocational upper secondary education, 2010, as a % of all students 
enrolled in upper secondary education (ISCED level 3) 

Source: Cedefop, based on data from Eurostat, UOE data collection on education systems 

Date of extraction: 05/10/2012 

- 

Students in pre-vocational programmes are included both in the numerator and the denominator of the 
indicator 

-  Additional country notes available on Eurostat website  

Within the Bruges Communiqué, countries have agreed to support VET attractiveness by demonstrating 
the value and benefits of VET through campaigns and skills competitions. The following table gives an 
overview of possible policy measures in this area countries had in place in 2010 and progress they have 
made since then. 

58  Cedefop  (2012,  forthcoming):  Trends  in  VET  policy  in  Europe  2010-2012.  Progress  towards  the  Bruges 
Communiqué.  The  information  is  subject  to  validation  by  Member  States'  Directors  General  for  Vocational 
Training to be made following their meeting on  22-23 October 2012, i.e. November 2012 

24 

 
 
 
 
 
 
 
                                                            
Table 1 – Campaigns and skills competitions to promote VET attractiveness - trends 

Education and 
career fairs with a 
focus on VET

Skills 
competition(s)

Campaigns to 
attract young 
people to VET

Campaigns to 
make adults aware 
of the benefits of 
VET

Campaigns 
encouraging 
enterprises to 
provide or invest 
in VET

0

4

0 13 13 3

(cid:132) (cid:132) ▲ ▲ X (cid:132) (cid:132) ▲ ▲ X (cid:132) (cid:132) ▲ ▲ X (cid:132) (cid:132) ▲ ▲ X (cid:132) (cid:132) ▲ ▲ X
17 9
6
(cid:132)
(cid:132)
(cid:132)

1 12 4
(cid:132)
(cid:132)
(cid:132)

3 14 9
(cid:132)

7
(cid:132)
(cid:132)
(cid:132)

(cid:132)
(cid:132)
(cid:132)

X

0

1

2

2

8

9

5

4

4

EU

(Total by status)

Belgium - Flanders

Belgium - German Com.

Belgium - Wallonia

Bulgaria

Czech Republic

Denmark

Germany

Estonia

Spain

France

Italy

Cyprus

Latvia

Lithuania

Luxembourg

Hungary

Malta

Netherlands

Austria

Poland

Portugal

Romania

Slovenia

Slovakia

Finland

Sweden

UK - England

UK - Northern Ireland

UK - Scotland

UK - Wales

(cid:132)
(cid:132)
(cid:132)
(cid:132)

(cid:132)
(cid:132)

(cid:132)
(cid:132)
(cid:132)
(cid:132)

(cid:132)
(cid:132)
(cid:132)
(cid:132)

(cid:132)
(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)
(cid:132)

(cid:132)

▲
▲

▲
▲

▲

▲

▲

(cid:132)

(cid:132)
(cid:132)

(cid:132)

(cid:132)
(cid:132)

(cid:132)
(cid:132)
(cid:132)
(cid:132)

(cid:132)

(cid:132)
(cid:132)
(cid:132)

(cid:132)
(cid:132)
(cid:132)
(cid:132)
(cid:132)

(cid:132)
(cid:132)
(cid:132)
(cid:132)

(cid:132)
(cid:132)
(cid:132)

X

▲

▲

▲
▲

▲

▲

▲

▲
▲
▲

▲

(cid:132)
(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)
(cid:132)
(cid:132)

(cid:132)

X

(cid:132)

(cid:132)
(cid:132)

▲

▲

▲
▲

▲

▲

(cid:132)
(cid:132)

(cid:132)

(cid:132)

▲

▲

X

(cid:132)
(cid:132)
(cid:132)

(cid:132)
(cid:132)
(cid:132)
(cid:132)

(cid:132)

▲

▲

▲

▲

▲

▲

▲

(cid:132)

(cid:132)
(cid:132)

(cid:132)
(cid:132)

(cid:132)
(cid:132)
(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

▲

▲
▲

(cid:132)

X

X
X

X

X
X

▲

▲

▲

▲

Note: no data for Greece and Ireland

(cid:132) In place by 2010 and not changed
(cid:132) In place by 2010 and changed since    

▲  Put in place since 2010          
▲ preparing for implementation

X  no a cti on reported

Source: Based on Cedefop (2012, forthcoming): Trends in VET policy in Europe 2010-2012. Progress towards the 
Bruges Communiqué. Please note that the results have not yet been validated by all Member States. It should also 
be kept in mind that the selection of policy options is not comprehensive; indications should be seen also in the 
national context of all actions taken in a general strategy to achieve the objectives of the Bruges Communiqué. 

Improving  the  attractiveness  of  VET  has  been  a  European  policy  objective  since  the 
beginning of the Copenhagen process in 2002; and countries have devoted a lot of attention to 
the  issue,  also  before  2010.  Education  and  career  fairs  with  a  VET  focus  take  place  in  all 

25 

 
 
 
 
 
countries and skills competitions are held in almost all of them. Campaigns to attract young 
people to VET have been subject to some adjustments since 2010 in the majority of countries 
while 9 countries have introduced them. Two main trends are visible. A number of countries 
are expanding or improving the use of the internet to promote VET (BE fl, BE fr, DE, EE, FR, 
PL, SI) and several countries are increasingly promoting VET opportunities to young people 
that meet current or future labour needs or shortages (DE, LT, NL, SK). 

Making trades a hands-on experience 

Trade villages help young people discover technical and craft occupations. Young people (18-25) still 
in  training  present  their  skills  using  practical  experiments.  The  villages  are  a  highly  appreciated 
initiative:  2  500  pupils,  parents,  workers  and  job  seekers  attended  the  villages  and  appreciate  the 
hands-on experience with a range of jobs. 

Source: ReferNet Belgium for Cedefop (2012, forthcoming) 

Campaigns to make adults aware of the benefits of VET were in place in 2010 in about half of 
the countries. 8 had them in place by 2010, 7 have adjusted them since and 9 have introduced 
them since 2010.  

Campaigns to encourage enterprises to provide or invest in VET were in place in about half of 
the countries, 4 countries have introduced them since 2010 and 5 countries are preparing to 
implement  campaigns.  These  campaigns  sometimes 
for 
apprenticeship  places  or  encourage  enterprises  to  cooperate  more  with  VET  (LU,  PL)  to 
support  VET  teachers'  and  trainers'  competence  development.  Only  6  countries  do  not  (yet) 
have campaigns to encourage enterprises to become involved in VET. 

financial  support 

include 

3.2. State of play of work-based learning and cooperation between VET institutions 

and enterprises 

Work-based  learning  is  becoming  a  more  popular  feature  of  VET  systems.  Based  on  available  data 
from 17 EU countries, the proportion of work-based learning in VET  is more than 20%  in 9 countries 
(see the Figure 3 below). 

26 

 
 
 
 
 
 
 
 
 
Figure 3 – Proportion of VET students enrolled in combined work- and school-based VET, 2010, as 
% of all students in upper secondary VET (ISCED level 3) 

Source: Cedefop, based on data from Eurostat, UOE data collection on education systems 

Date of extraction: 03/07/2012 

- 

In the UOE data collection, a VET programme is classified as "combined work- and school-based "if 
25% or more of the curriculum is presented outside the school environment. Programmes where the 
work based component accounts for 90% or more of the curriculum are excluded from the UOE data 
collection. 

-  Data only available for a sub-set of countries. Based on the UOE metadata, the category "Combined 
work- and school-based VET" is not applicable to the educational systems of Bulgaria, Greece, Italy 
and Portual; figures on the category "Combined work- and school-based VET" are very low in Slovenia 
and Estonia (less than 1%); they are not available in Malta, Romania and the UK. Cyprus reported real 
zero values. Additional information on the magnitude of the category "Combined work and school 
based VET" has been retrieved elsewhere for the following countries: Sweden (OECD, EAG 2012): 
negligible; Lithuania (Eurostat, EU-LFS AHM 2009): important 
Students in pre-vocational programmes are considered in both the numerator and the denominator of the 
indicator. 

- 

-  Additional information on UOE methodology is available at Eurostat website 

In  the  Bruges  Communiqué,  countries  have  committed  themselves  to  maximising  work-based 
learning.    Table  2  indicates  a  range  of  possible  policies  and  measures  in  the  area  of  work-based 
learning countries had in place in 2010 and developments in these areas since then. 

27 

 
 
 
 
 
Table 2 – Work-based learning ‒ developments and trends in selected policy areas 

EU

(total by 
status)

.

m
o
C
n
a
m
r
e
G

-

i

a
n
o

l
l

a
W

-

s
r
e
d
n
a
F

l

-

i

m
u
g
e
B

l

i

m
u
g
e
B

l

i

m
u
g
e
B

l

a

i
r
a
g
u
B

l

X

X

(cid:132)

(cid:132)

(cid:132)

▲

▲

(cid:132) (cid:132)

(cid:132) (cid:132)

▲ ▲

(cid:132) 12
(cid:132) 13 (cid:132) (cid:132) (cid:132)
▲ 2
▲ 3
X 0
(cid:132) 10 (cid:132) (cid:132)
(cid:132) 13
▲ 0
▲ 7
X 0
(cid:132) 16
(cid:132) 8
▲ 2
▲ 3
X 1
(cid:132) 7
(cid:132) 6
▲ 7
▲ 8
X 2
(cid:132) 9
(cid:132) 11 (cid:132) (cid:132) (cid:132)
▲ 3
▲ 4
X X
X 3
(cid:132) 17 (cid:132) (cid:132) (cid:132) (cid:132) (cid:132)
(cid:132) 5
▲ 0
▲ 5
X 3
(cid:132) 12 (cid:132) (cid:132) (cid:132)
(cid:132) 4
▲ 4
▲ 4
X 6
(cid:132) 13
(cid:132) 2
▲ 5
▲ 3
X 7

X X

▲

(cid:132)

(cid:132)

(cid:132)

(cid:132)

c
i
l

b
u
p
e
R
h
c
e
z
C

k
y
n
r
a
a
m
m
n
r
e
e
G
D
(cid:132) (cid:132) (cid:132)

i

a
n
o
t
s
E

(cid:132)

i

n
a
p
S

e
c
n
a
r
F

y
l
a
t
I

s
u
r
p
y
C

(cid:132) (cid:132) (cid:132)

▲

(cid:132)

(cid:132)

s
d
n
a

l
r
e
a
h
t
l
t
a
e
M
N
(cid:132) (cid:132)

g
r
u
o
b
m
e
x
u
L

(cid:132)

y
r
a
g
n
u
H

(cid:132)

d
n
a
o
P

l

(cid:132)

a

i
r
t
s
u
A

(cid:132)

l

a
g
u
t
r
o
P

i

a
n
a
m
o
R

(cid:132) (cid:132)

a

i
v
t
a
L

(cid:132)

i

a
n
a
u
h
t
i
L

▲

i

a
n
e
v
o
S

l

a
i
k
a
v
o
S

l

d
n
a
n
F

i

l

(cid:132)

(cid:132)

▲

d
n
a
e
r
I

l

n
r
e
h
t
r
o
N

d
n
a
l
t
o
c
S

-
-
K
K
U
U
(cid:132) (cid:132)

l

d
n
a
g
n
E
-
K
U

n
e
d
e
w
S

(cid:132) (cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132) (cid:132)

(cid:132) (cid:132)

(cid:132)

(cid:132) (cid:132) (cid:132) (cid:132) (cid:132)

(cid:132)

(cid:132)

(cid:132) (cid:132) (cid:132)

▲

▲ ▲

▲

▲

(cid:132) (cid:132) (cid:132)

(cid:132) (cid:132) (cid:132)

(cid:132)

(cid:132) (cid:132) (cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132) (cid:132)

(cid:132)

▲

▲

▲

▲

▲

(cid:132)

(cid:132)

(cid:132) (cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

l

s
e
a
W

-
K
U

▲

▲

(cid:132)

▲

▲ ▲

▲

▲

▲

(cid:132)

▲

▲

(cid:132) (cid:132)

(cid:132)

(cid:132) (cid:132)

▲

(cid:132)

(cid:132) (cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

▲

▲

▲ ▲

(cid:132)

(cid:132)

(cid:132)

▲

▲

▲

▲

(cid:132) (cid:132) (cid:132) (cid:132)

(cid:132) (cid:132) (cid:132)

X

X

(cid:132)

▲

(cid:132)

▲ ▲

(cid:132)

(cid:132)

(cid:132) (cid:132)

(cid:132) (cid:132) (cid:132)

(cid:132)

▲

▲

▲

▲

X

X

(cid:132) (cid:132)

(cid:132) (cid:132) (cid:132)

(cid:132)

▲

(cid:132) (cid:132)

X

▲

(cid:132)

X X

(cid:132)

(cid:132)

▲

X
(cid:132)

▲ ▲

▲

▲

(cid:132)

(cid:132)

(cid:132)

X
(cid:132) (cid:132) (cid:132) (cid:132)

X X
(cid:132) (cid:132) (cid:132) (cid:132)

(cid:132)

▲

X

▲

▲

▲

▲

▲

X

X

X

X

▲

▲ ▲

Apprenticeship or 
similar programmes

Guidelines providing 
for work based 
learning in VET

Work-based learning 
elements in school 
based IVET 
programmes

Strategy to foster VET-
Enterprises 
cooperation to ensure 
quality and relevance

Incentives for 
enterprises to provide 
training or 
employment

Learning methods in 
VET including 
simulated or real 
business experience

Campaigns 
encouraging 
enterprises to provide 
or invest in VET

Services that assist in 
finding training 
places for VET 
learners in 
enterprises

Note: no data for Greece and Ireland

(cid:132) In pl ace by 2010 a nd not cha nged (cid:132) In pl ace by 2010 and cha nged s i nce

▲Put i n pla ce s i nce 2010     

▲Prepa ri ng for i mpl ementa tion X  No a cti on reported

Source: Based on Cedefop (2012, forthcoming): Trends in VET policy in Europe 2010-2012. Progress towards the 
Bruges Communiqué. Please note that the results have not yet been validated by all Member States. It should also 
be kept in mind that the selection of policy options is not comprehensive; indications should be seen also in the 
national context of all actions taken in a general strategy to achieve the objectives of the Bruges Communiqué. 

One of the most important aspects of work-based learning is its quality and relevance to labour market 
needs based on cooperation between VET providers and enterprises. In this area, a significant progress 
has been made:  7 countries have developed and put in place a strategy to foster cooperation between 
VET  and  enterprises  and  another  8  countries  are  preparing  to  implement  such  a  strategy.  Some 

28 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
examples  of  measures  that  were  put  in  place  are  new  adult  education  training  centres  involving 
employers (DK), a national plan for quality assurance in VET involving social partners (IT), and the 
qualification-employment  programme  focused  on  upgrading  staff  during  periods  of  work  time 
reduction in cooperation with employers (PT). Some countries are preparing a stronger involvement of 
enterprises  in  VET  in  curricula  and  planning  (EE,  LT,  PL);  the  UK  national  occupational  standards 
strategy requires consultation with employers on skill needs to ensure relevance of CVET. 

Incentives  for  enterprises  to  provide  training  or  employment  are  a  common  feature  in  many  VET 
systems.  But  more  importantly  the  incentives  provided  to  enterprises  are  not  static,  but  evolve 
dynamically:  12  countries  made  changes  or  adjustments  to  measures  that  were  already  in  place  by 
2010. Such adjustments concern employment subsidies to enterprises to train or employ unemployed 
(BE,  LT,  PT)  and  new  or  increased  bonuses  for  companies  that  train  (DK,  DE).  Austria  started  to 
subsidise wage for apprentices abroad and Norway increased its special grant scheme for apprentices 
with special needs and high risk of drop out. Four countries are preparing or introduced new measures 
to provide financial support to enterprises for apprenticeship places (BG, SI, IS, SK). 

More training places needed in Denmark 

To  make  sure  that  by  2015,  95%  of  youth  will  complete  at  least  secondary  education,  the  Danish 
government is promoting new training places, which have been in short supply. In 2011, 9 000 extra 
training  places  were  created  and  bonuses  to  enterprises  who  create  them  were  increased.  The 
government  created  2  200  places  in  the  public  sector  and  1  500  places  in  colleges.  Creating  new 
training places does not only help young people to successfully complete school. It also helps to make 
IVET  more  attractive.  Many  young  people  considering  IVET  don’t  choose  it  as  they  fear  not  being 
able to find a suitable training place. 

Source: ReferNet Denmark for Cedefop(2012, forthcoming) 

Learning  methods  in  VET  that  include  simulated  or  real  business  experience  were  in  place  in  23 
countries by 2010. In 5 countries, business experience is currently being introduced in VET learning 
methods. Countries integrate business experience in VET in diverse ways. In Denmark, a foundation 
for entrepreneurship develops learning methods, while Estonia introduced entrepreneurship camps in 
some  VET  schools,  where  students  put  together  a  business  plan  in  12  hours.  Poland  introduced 
innovative entrepreneurship tools that include virtual business games.     

Services that assist in finding training places for VET learners in enterprises existed in 22 countries by 
2012  and  3  further  countries  are  developing  such  services.  These  countries  strengthen  the 
responsibility of VET schools in supporting students in finding training places (EE, RO) or see a role 
for  industry  chambers  in  providing  this  service  (LT).  Only  six  countries  did  not  report  on  services 
helping VET learners find enterprise training places by 2010 and undertook no action since. 

29 

 
 
 
 
 
 
 
Table 3 below shows in other possible ways in which VET cooperates with business, notably to ensure 
teacher development is up-to-date.  

Table 3 – Cooperation between VET institutions and enterprises to ensure teacher development is 
up-to-date 

Tra i ni ng VET 
tea chers /tra i ners  
to hel p l ea rners  
a cqui re 
entrepreneurs hi p 
s ki l l s

Guidelines for VET 
teacher 
development 
including 
enterprise 
traineeships

Services that 
assist VET 
institutions in 
finding partners in 
the business world

Guidelines 
encouraging staff 
exchange between 
enterprises and 
VET providers

Services that 
assist in finding 
training places for 
VET teachers in 
enterprises

EU

(Total by status)

(cid:132) (cid:132) ▲ ▲ X (cid:132) (cid:132) ▲ ▲ X (cid:132) (cid:132) ▲ ▲ X (cid:132) (cid:132) ▲ ▲ X (cid:132) (cid:132) ▲ ▲ X
14 1
1 20
3
(cid:132)
Belgium - Flanders
Belgium - German Com. (cid:132)
(cid:132)
Belgium - Wallonia

5 16 7
X
X
X

7 10 1
(cid:132)

(cid:132)
X (cid:132)
(cid:132)

7 10 12 2

2 11 6

1
(cid:132)

4

4

2

2

1

1

Bulgaria

Czech Republic

Denmark

Germany

Estonia

Spain

France

Italy

Cyprus

Latvia

Lithuania

Luxembourg

Hungary

Malta

Netherlands

Austria

Poland

Portugal

Romania

Slovenia

Slovakia

Finland

Sweden

UK - England

UK - Northern Ireland

UK - Scotland

UK - Wales

(cid:132)
(cid:132)

(cid:132)
(cid:132)

(cid:132)

(cid:132)
(cid:132)
(cid:132)
(cid:132)

(cid:132)

(cid:132)

(cid:132)
(cid:132)

▲

▲

X (cid:132)
X
X

▲
▲

X

▲
▲

▲

▲

(cid:132)

(cid:132)
(cid:132)

(cid:132)

(cid:132)

X
X (cid:132)
X

(cid:132)

(cid:132)

▲

▲

▲
▲
▲

▲
▲

▲

▲

(cid:132)
(cid:132)

X

(cid:132)

X
X
X (cid:132)
(cid:132)
(cid:132)

(cid:132)

X
X

X

X

(cid:132)
X (cid:132)

X

X

X

X
X

(cid:132)

▲

▲

X
X

X
X

▲

▲
▲

(cid:132)

(cid:132)

▲

(cid:132)

(cid:132)

▲

(cid:132)

X
X (cid:132)

(cid:132)
(cid:132)

X

X
X

X

▲

X (cid:132)

(cid:132)

▲

▲

▲

(cid:132)
(cid:132)
X (cid:132)

▲

▲

X

X
X
X (cid:132)

X (cid:132)
X
X

(cid:132)

X
X
X
X
X
X
X

X
X
X

X
X

X
X
X
X
X

X

X
X

Note: no data for Greece and Ireland

(cid:132) In place by 2010 and not changed
(cid:132) In place by 2010 and changed since    

▲  Put in place since 2010          
▲ preparing for implementation

X  no a cti on reported

Source: Based on Cedefop (2012, forthcoming): Trends in VET policy in Europe 2010-2012. Progress towards the 
Bruges Communiqué. Please note that the results have not yet been validated by all Member States. It should also 

30 

 
 
 
 
 
be kept in mind that the selection of policy options is not comprehensive; indications should be seen also in the 
national context of all actions taken in a general strategy to achieve the objectives of the Bruges Communiqué. 

By  2010,  16  countries  where  training  their  VET  teachers  and/or  trainers  to  help  learners  acquire 
entrepreneurship  skills,  which  may  involve  VET-business  cooperation,  4  countries  started  doing  so 
since 2010 and another 5 countries are preparing to implement such training.  

Local councils in Sweden bridging school and the world of work 

To  make  upper  secondary  VET  more  relevant,  local  programme  councils  were  established  in  2011. 
These councils contribute to cooperation between VET and the world of work, assist VET providers in 
arranging training places and participate in organising and assessing diploma projects. Schools can 
deviate from national programmes after consultation with the local programme council. Students are 
not forgotten. The councils consult with students to get their point of view. 

Source: ReferNet Sweden for Cedefop (2012, forthcoming) 

Business taking the lead in developing a VET programme in Slovakia 

A Slovak gas supplier and the chamber of trades jointly analysed skill needs in the gas industry and 
the challenges that VET schools face in providing the right skills. This led to the development of a new 
VET  programme  and  study  facilities  (equipment,  learning  materials,  teaching  aids)  at  three  VET 
schools. Partnerships between schools and business strengthened VET delivery, secured the quality of 
training and helped to create jobs for graduates.  

Source: ReferNet Slovakia for Cedefop (2012, forthcoming) 

Countries  that  introduce  training  to  help  teachers  transmit  entrepreneurship  skills  are  taking  several 
types of actions. Germany’s entrepreneurial spirit initiative encourages teachers through professional 
development  and  a  dedicated  webportal.  Portugal  created  a  training  benchmark  for  entrepreneurship 
and  business  creation  (four  short  term  training  units),  which  helps  to  prepare  teachers.  Slovakia 
introduced several accredited teacher training programmes. 

By 2012, 14 countries had guidelines for VET teacher professional development in place that includes 
traineeships in enterprises. Another 8 countries are planning to implement such guidelines. Dedicated 
services  that  assist  VET  institutions  in  finding  partners  in  the  business  world  currently  exist  in  15 
countries, and progress in this area appears slow. 12 countries did not report on having taken action to 
establish such services since 2010. Staff exchange  between enterprises  and VET providers are not a 
prominent  feature  of  VET-business  cooperation,  but  there  is  significant  progress:  6  countries  are 

31 

 
 
 
 
 
 
 
 
 
preparing  to  implement  guidelines  to  this  effect.  In  2012,  services  that  help  VET  teachers  to  find 
traineeships for professional development in enterprises are only present in 8 countries and progress in 
this area is very limited: in 2012, such services do not exist in 22 countries. 

3.3. Development of partnerships for creativity and innovation and effective use of 

innovative technology in VET 

Creativity  and  innovation  in  VET  are  important  as  they  drive  new  ideas  in  business  and  industry, 
support  competitiveness  through  the  development  of  new  technologies,  processes,  and  services  and 
ultimately  impact  on  growth  and  prosperity.  Figure  4  combines  two  core  dimensions  that  give  an 
indication  of  innovation  climate:  enterprises  with  training  to  support  technological  innovation  (as  a 
share  of  all  enterprises)  and  the  share  of  innovative  SMEs  that  cooperate  with  others.  Cooperation 
could be among SMEs but also between SMEs and other institutions (which include VET). 

Figure  4  -  Share  (%)  of  enterprises  with  training  to  support  technological  development  (2008, 
horizontal axis) and share (%) of innovative SMEs cooperating with others (2008, vertical axis) 

32 

 
 
 
 
 
 
 
Source:   Cedefop  –  based  on  data  from  Eurostat  and  Regional  Innovation  Scoreboard.  Notes:  Data  is  not 
available for all EU countries; EU average includes EU countries except DK, IE and UK for the share 
of enterprises with training to support technological development; EU average includes EU countries 
except EL for the share of innovative SMEs cooperating with others. 

On average, in the EU, almost 1 in 5 enterprises train their staff to support innovation while 11.2% of 
innovative  SMEs  cooperate  with  others.  Countries  with  an  above  average  share  of  innovative 
enterprises  investing  in  training  tend  to  also  have  relatively  many  SMEs  that  cooperate  with  others. 
The conditions for innovation and creativity appear to be less favourable in 10 countries (RO, LV, BG, 
ES, MT, SK, PL, HU, LT and IT). 

Table  4  gives  an  overview  of  developments  and  trends  in  possible  policies  and  measures  to  support 
creativity and innovation. . 

33 

 
 
 
 
 
Table 4 – Partnerships for creativity and innovation – developments and trends in selected policy 
areas 

EU

(total by 
status)

.

m
o
C
n
a
m
r
e
G

s
r
e
d
n
a
F

l

-

-

i

a
n
o

l
l

a
W

-

i

m
u
g
e
B

l

i

m
u
g
e
B

l

i

m
u
g
e
B

l

▲

X

X

(cid:132)

(cid:132)

(cid:132) 13
(cid:132) 13 (cid:132) (cid:132) (cid:132)
▲ 3
▲ 0
X 1
(cid:132) 11
(cid:132) 9
▲ 3
▲ 1
X 6
(cid:132) 9
(cid:132) 5
▲ 2
▲ 6
X 8
(cid:132) 6
(cid:132) 5
▲ 2
▲ 8 ▲
X 9
(cid:132) 3
(cid:132) 3
▲ 5 ▲
▲ 11
X 8
(cid:132) 6
(cid:132) 5
▲ 1
▲ 7
X 11
(cid:132) 6
(cid:132) 4
▲ 2
▲ 6
X 12
(cid:132) 8
(cid:132) 6
▲ 3
▲ 2
X 11
(cid:132) 6
(cid:132) 2
▲ 3
▲ 6
X 13

X X

X X

(cid:132)

X

▲

▲

▲

Skills competition(s)

Creativity and 
innovation 
competitions open to 
VET learners and 
institutions

Creativity and 
innovation as an 
underlying principle 
in VET

Innovation or 
creativity clusters 
involving VET 
providers

Innovation strategy 
including VET

Guidelines 
encouraging 
partnerships for 
creativity and 
innovation in VET

Cooperation to 
develop learning 
methods in VET 
fostering creativity 
and innovation

Knowledge exchange 
platforms for 
creativity and 
innovation involving 
VET

Incentives for 
creativity and 
innovation 
partnerships 
including VET 
providers

c
i
l

b
u
p
e
R
h
c
e
z
C

(cid:132)

a

i
r
a
g
u
B

l

(cid:132)

k
r
a
m
n
e
D

y
n
a
m
r
e
G

i

a
n
o
t
s
E

e
c
n
a
r
F

i

n
a
p
S

s
u
r
p
y
C

y
l
a
t
I

(cid:132) (cid:132) (cid:132)

(cid:132) (cid:132)

▲

▲

▲

g
r
u
o
b
m
e
x
u
L

i

a
n
a
u
h
t
i
L

y
r
a
g
n
u
H

(cid:132) (cid:132)

a

i
v
t
a
L

(cid:132)

s
d
n
a

l
r
e
h
t
e
N

a

d
n
a
o
P

l

i
a
r
t
t
s
l
a
u
M
A
(cid:132) (cid:132) (cid:132) (cid:132) (cid:132)

l

a
g
u
t
r
o
P

d
n
a
e
r
I

l

l

l

n
r
e
h
t
r
o
N

s
e
a
W

d
n
a
l
t
o
c
S
-
K
U

d
n
a
g
n
E
-
-
K
K
U
U
(cid:132) (cid:132) (cid:132) (cid:132)

-
K
U

n
e
d
e
w
S

i

a
n
e
v
o
S

l

a

i
k
a
v
o
S

l

d
n
a
n
F

i

l

(cid:132) (cid:132) (cid:132) (cid:132)

i

a
n
a
m
o
R

X

(cid:132) (cid:132) (cid:132) (cid:132) (cid:132) (cid:132) (cid:132)

(cid:132) (cid:132) (cid:132)

(cid:132) (cid:132) (cid:132) (cid:132)

(cid:132) (cid:132) (cid:132)

(cid:132)

(cid:132) (cid:132)

▲

▲

▲

X

X

▲

▲

(cid:132)

(cid:132) (cid:132)

(cid:132)

▲ ▲

▲

(cid:132)

(cid:132)

(cid:132)

(cid:132)

▲ ▲

▲ ▲ ▲

X

X X X

▲

X X

(cid:132)

(cid:132)

(cid:132)

(cid:132)

X
(cid:132)

(cid:132)

(cid:132)

(cid:132)

X

X

(cid:132)

▲

▲

X X X

(cid:132)

(cid:132)

(cid:132)

X X
(cid:132)

(cid:132)

(cid:132)

X

(cid:132)

▲

▲

▲

▲

X X

X X
(cid:132)

(cid:132)

(cid:132) (cid:132)

▲ ▲

▲ ▲ ▲ ▲

▲ ▲

▲

▲

X

(cid:132)

(cid:132)

X X

X
(cid:132) (cid:132) (cid:132)

X X X

X
(cid:132)

(cid:132) (cid:132)

(cid:132)

▲

▲ ▲

▲

(cid:132)

X
(cid:132)

(cid:132) (cid:132)

(cid:132)

▲

▲

X X X

X X X X

(cid:132)

(cid:132)

▲ ▲

(cid:132)

(cid:132)

▲

X
(cid:132) (cid:132)

X

X X

(cid:132)

(cid:132)

X

(cid:132)

(cid:132)

X X

▲

X

▲

(cid:132)

X X X
(cid:132)

(cid:132) (cid:132) (cid:132)

▲

▲

(cid:132)

▲

X

X X
(cid:132)

(cid:132)

(cid:132)

X X

X X

(cid:132)

▲

▲

▲

▲

▲ ▲

▲

(cid:132)

(cid:132)

▲

▲

X

▲

▲ ▲

(cid:132)

(cid:132)

(cid:132)

X

▲

▲

(cid:132)

(cid:132)

▲

(cid:132)

▲ ▲

▲

(cid:132)

X

X X X X

X X

X

X X

X X X X

Note: no data for Greece and Ireland

(cid:132) In pla ce by 2010 a nd not cha nged (cid:132) In pl a ce by 2010 a nd cha nged s ince

▲Put i n pla ce s i nce 2010     

▲Prepa ri ng for impl ementa ti on X  No a ction reported

Source: Based on Cedefop (2012, forthcoming): Trends in VET policy in Europe 2010-2012. Progress towards the 
Bruges Communiqué. Please note that the results have not yet been validated by all Member States. It should also 
be kept in mind that the selection of policy options is not comprehensive; indications should be seen also in the 
national context of all actions taken in a general strategy to achieve the objectives of the Bruges Communiqué. 

34 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Next  to  skills  competitions,  creativity  and  innovation  competitions  open  to  VET  learners  and 
institutions are common in many countries. 21 countries had such competitions in 2010 and another 3 
countries developed and held creativity and innovation competitions since then. 9 countries adapted, 
changed or stepped up their innovation competitions between 2010 and 2012. Belgium introduced  a 
new  contest  for  innovation  and  sustainable  development,  the  Czech  Republic  started  a  new 
competition on innovative teaching and the design of digital material for teachers, and in Latvia, a new 
education  innovation  project  competition  started.  Lithuania  introduced  competitions  among  training 
companies and Slovenia held a creativity and innovation week. 

In  15  countries,  creativity  and  innovation  was  already  an  underlying  principle  in  VET  by  2010  and 
another 9 countries took steps since then to better integrate innovation and creativity in VET. Belgium 
(FR) launched a creativity programme in 2010 that advocates adapting education and training policies 
to  support  creativity  and  innovation.  In  France,  there  is  a  partnership  to  create  mini  enterprises. 
Slovakia created new VET centres to support innovation and creativity and adopted new strategies on 
the knowledge economy and science and technology in 2011. Sweden’s strategy for entrepreneurship 
in education and training aims to turn ideas into action by starting new businesses.  

There has been considerable progress in terms of including VET in innovation strategies since 2010. 
By 2010, only 7 countries had innovation strategies that included VET. Since then, 5 countries have 
put in place such a strategy while 11 countries are preparing for this. Innovation or creativity clusters 
that  include  VET  and  guidelines  encouraging  partnerships  and  cooperation  to  develop  learning 
methods  in  VET  that  foster  creativity  and  innovation  are  also  becoming  more  common,  but  most 
countries that took action here since 2010 are still in the preparation stage. The strategic development 
plan  in  Belgium  (Wallonia)  foresees  the  development  of  enterprise  networks,  Estonia  prepares  to 
establish centers of competence in 2014 to drive entrepreneurship at regional level, and technical and 
professional networks are promoted in Italy.  

Knowledge exchange platforms for creativity and innovation are present in 17 countries in 2012, but 
another 13 countries did not report on such platforms. Slow progress in some countries could be due to 
missing  incentives:  Half  of  the  countries  did  not  report  on  incentives  for  creativity  and  innovation 
partnerships including VET providers. Examples of incentives promoting partnerships are  financing 
VET  schools  to  become  involved  in  competence  centres  (EE),  making  funding  for  higher  VET 
dependent on cooperation and partnerships with enterprises and social partners (SE) and national and 
ESF  funding  for  developing  modern  training  material  where  priority  is  given  to  projects  involving 
partnerships (LT). 

Using innovative technology in VET stimulates creativity and innovation, but also fosters the labour 
market  relevance  and  quality  of  VET.  Table  5  provides  an  overview  of  developments  and  trends  in 
this area. 

35 

 
 
 
 
 
 
Table 5 – Effective and innovative use of technology in VET – developments and trends in selected 
policy areas 

EU

(total by 
status)

.

m
o
C
n
a
m
r
e
G

-

i

a
n
o

l
l

a
W

-

s
r
e
d
n
a
F

l

-

i

m
u
g
e
B

l

i

m
u
g
e
B

l

i

m
u
g
e
B

l

X

X

(cid:132)

(cid:132)

(cid:132) 12
(cid:132) 4
▲ 0
▲ 9
X 5
(cid:132) 6
(cid:132) 13 (cid:132)
▲ 1
▲ 4
X 6
(cid:132) 9
(cid:132) 6
▲ 1
▲ 6
X 8
(cid:132) 11 (cid:132) (cid:132) (cid:132)
(cid:132) 3
▲ 0
▲ 5
X 11
(cid:132) 4
(cid:132) 5
▲ 1
▲ 5
X 15
(cid:132) 7
(cid:132) 0
▲ 1
▲ 5
X 17

X
(cid:132) (cid:132) (cid:132)

(cid:132)

(cid:132)

VET 
teachers/trainers 
trained to use 
modern technology 
and learning 
methods

Strategy to ensure 
state-of-the-art 
technology in VET

Cooperation with 
business/industry to 
ensure relevance of 
technology used in 
VET

Networks/joint 
ventures between 
VET and/or 
enterprises for the 
use of technology

Incentives for VET 
provider networks to 
ensure cost-effective 
use of technology

Incentives for public-
private partnerships 
for state-of-the-art 
technology in VET

a

i
r
a
g
u
B

l

▲

c
i
l

b
u
p
e
R
h
c
e
z
C

(cid:132)

y
n
a
m
r
e
G

i

a
n
o
t
s
E

k
r
a
m
n
e
D
(cid:132)

e
c
n
a
r
F

i

n
a
p
S

(cid:132) (cid:132)

s
u
r
p
y
C

a

i
v
t
a
L

y
l
a
t
I

i

a
n
a
u
h
t
i
L

▲ ▲ ▲

X

▲

(cid:132)

X
(cid:132)

(cid:132)

s
d
n
a

a

l
r
i
e
a
r
h
t
t
s
l
t
a
u
e
M
N
A
(cid:132) (cid:132) (cid:132)

l

a
g
u
t
r
o
P

i

a
n
a
m
o
R

d
n
a
o
P

l

i

a
n
e
v
o
S

l

a
i
k
a
v
o
S

l

d
n
a
n
F

i

l

(cid:132)

d
n
a
e
r
I

l

l

l

n
r
e
h
t
r
o
N

d
n
a
l
t
o
c
S

s
e
a
W

d
n
a
g
n
E
-
-
K
K
U
U
(cid:132) (cid:132) (cid:132) (cid:132)

-
K
U

-
K
U

n
e
d
e
w
S

▲

▲ ▲

▲

X X

(cid:132)

(cid:132) (cid:132)

y
r
a
g
n
u
H

(cid:132)

g
r
u
o
b
m
e
x
u
L

(cid:132)

(cid:132)

(cid:132) (cid:132) (cid:132)

(cid:132)

(cid:132)

(cid:132) (cid:132)

(cid:132) (cid:132)

(cid:132) (cid:132)

(cid:132) (cid:132) (cid:132) (cid:132)

X X
(cid:132)

(cid:132)

▲

▲

(cid:132) (cid:132)

▲

▲

X

(cid:132)

▲

X

(cid:132) (cid:132)

X
(cid:132) (cid:132) (cid:132)

(cid:132)

▲

▲

▲

X

X X
(cid:132)

(cid:132)

▲

▲ ▲

X

(cid:132) (cid:132) (cid:132) (cid:132)

(cid:132)

(cid:132)

(cid:132)

(cid:132)

▲

(cid:132)

X X

X X

▲

▲

▲ ▲

▲

X X X

X X

X X

X X X X

(cid:132)

▲

(cid:132) (cid:132) (cid:132)

(cid:132) (cid:132) (cid:132)

▲

▲ ▲

▲

▲

X X X X

X X

X

X X X X X X

X

(cid:132) (cid:132)

(cid:132) (cid:132)

X X X X X

X X X

X X

X X X X

X

X

X

▲

▲ ▲

▲

▲

▲

Note: no data for Greece and Ireland

(cid:132) In pl a ce by 2010 a nd not cha nged (cid:132) In pl a ce by 2010 a nd cha nged s i nce 

▲Put i n pl a ce s i nce 2010     

▲Prepa ri ng for i mpl ementa ti on X  No a cti on reported

Source: Based on Cedefop (2012, forthcoming): Trends in VET policy in Europe 2010-2012. Progress towards the 
Bruges Communiqué. Please note that the results have not yet been validated by all Member States. It should also 
be kept in mind that the selection of policy options is not comprehensive; indications should be seen also in the 
national context of all actions taken in a general strategy to achieve the objectives of the Bruges Communiqué. 

By  2010,  20  countries  already  had  a  strategy  in  place  to  ensure  that  VET  uses  state-of  the  art 
technology. Another 5 countries have acted since 2010 to put in place such a strategy. More than half 
of  the  countries  with  a  strategy  in  2010  have  made  adjustments  since.  Examples  of  adjustments 
include setting up regional technology centres in Belgium (Flanders), regulations that identify crucial 
areas of technology for SME which are a point of reference for higher VET (IT), changes in funding 
for upgrading VET school equipment (HU), an improved framework for practical training agreements 
for students in companies (RO) and increased funding for technology in VET (UKEN).  

36 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
State of the art not only in technology, but also in ensuring access to all in Belgium Flanders 

The 72 hours initiative helps young people in VET schools gain access to state of the art equipment in 
the training facilities of the employment service. As unemployed also use these facilities, planning is a 
core concern. Special attention is especially needed to avoid unemployed trainees being pushed away 
by VET students. 

Source: ReferNet Belgium for Cedefop (2012, forthcoming) 

By 2012, VET is cooperating with business and industry to ensure relevant technology in 17 countries, 
while  another  7  countries  are  taking  action  to  promote  such  cooperation.  In  15  countries  VET-
enterprise  cooperation  takes  the  form  of  networks  or  joint-ventures.  Incentives  for  VET  provider 
networks and public-private partnerships are not yet commonly available in most countries, but some 
progress is visible, as some countries have started to prepare to implement such incentives since 2010. 
Estonia’s  development  plan  for  the  VET  system  aims  to  increase  the  efficiency  of  cooperation 
between VET, local government and the third sector to ensure better use of resources. Latvia issued 
guidelines 
that 
methodologically  support  VET  schools.  Higher  VET  in  Sweden  requires  close  cooperation  and 
partnerships with enterprises and social partners in order to be funded. 

its  VET  network  by  establishing  VET  competence  centres 

to  optimise 

It  is  of  course  crucial  that  VET  teachers  and  trainers  are  trained  to  use  modern  technology  learning 
methods and 16 countries reported on training to support VET teachers and trainers in place by 2010. 
Another  11  countries  are  preparing  to  offer  such  training  to  their  VET  staff.  Initiatives  include 
retraining  pedagogic  specialists  to  help  teachers  use  state  of  the  art  technology  (BG),  a  national 
training  on  active  learning  methods  for  VET  teachers  (EE),  the  implementation  of  a  policy  to  help 
trainers  use  ICT  skills  in  education  and  keep  up  with  technological  developments  (CY),  teachers 
working in inter-company training centres to keep up to date (SI), and opportunities for VET teachers 
to take part in workplace internships (SE). 

4.  Excellence in VET: key points and lessons from practice 

European VET must aim at world excellence, both as regards what it aims for (the standards) and as 
regards  its  actual  performance.  Some  of  the  best  VET  systems  in  the  world  are  European  and  these 
must be used as reference for future developments. Cooperation on VET excellence means: 

- 

- 

a  systematic  European  cooperation  on  VET  standards  to  make  sure  that  expected 
outcomes are explicitly stated and continuously improved with reference to the changing 
requirements of society and economy; 
a systematic European cooperation on how to most efficiently translate expected outcomes 
into high quality teaching and learning for initial and continuing VET; 

37 

 
 
 
 
 
 
 
- 

a  systematic  European  cooperation  on  measuring  and  comparing  the  performance  of 
national VET systems and individual learners, providing feedback on strengths as well as 
weaknesses  of countries, sectors, providers and groups of learners.    

A European strategy on VET excellence could, by combining the above elements, 

- 
- 

reduce the difference between EU countries as regards the quality and impact of VET; 
firmly establish world excellence as the common and operational reference point for all 
VET systems in Europe. 

VET excellence at a Glance  

While it is important to state a general vision as regards VET, it can only be realised through a multi-
level  approach.  The  figure  below  presents  the  core  features  of  VET  excellence  that  will  be  further 
developed in the following sections. Although these core dimensions can be grouped depending on the 
level at which excellence is measured, all of them are interrelated and must work in synergy. 

System level 

evidence-based policies which improve effectiveness and efficiency of system, 
cooperation and co-investment, including the EU level sectorial initiatives 
VET integrated in the overall education and training system 

- 
- 
- 
-  Quality assurance frameworks together with incentives for VET excellence 
- 
Firm level  

targeting continuing skills development, mobility and permeability between VET and HE 

- 
- 
- 

use of integrative work organisation 
effective skills utilisation 
responsibility for initial VET, provision of apprenticeships and lifelong learning 

Institutional / provider level 

- 

- 

strategic  linkages  and  networking  with  the  broader  economic  community  at 
regional, national and international level 
quality  of  learning  support  –  teachers  and  trainers  who  combine  high  quality 
professional  skills,  pedagogic  competences  with  understanding  of  markets/value 
chains/work  processes  and  are  networkers,  able  to  keep  up  with  changes  and 
involve learners in networks 
organisational  excellence  –  leadership  and  career/competence  development  of 
Individual / learner level  
teaching staff 

- 

-  development of accomplished professionals  

For systems, a key element is the use of evidence based approaches and policy learning as a means to 
improve  system  performance  (OECD/CERI  2010).59  Policy  alignment  between  education,  training, 
labour  market  and  economic  and  innovation  policies  is  another  critical  condition.  Partnerships  with 
stakeholders promote constant systemic innovation. VET is not an isolated subsector, but an integral 
part  of  the  overall  education  and  training  system.  Excellence  at  system  level  means  that  VET 
profiles/qualifications are designed in a close cooperation between social partners, relevant sectors and 
the  education  and  training  system  to  ensure  highest  possible  relevance  and  competitiveness.  The 

59  OECD/  CERI  (2010).  Working  Out  Change:  Systemic  Innovation  in  Vocational  Education  and  Training. 
OECD, Paris. 

38 

 
 
 
 
 
 
  
 
 
 
 
 
 
 
 
 
 
                                                            
 
 
revision and renewal of VET standards/qualifications must be continuous and need increasingly to be 
embedded in and supported by European cooperation, for example through the sectoral  mechanisms 
currently being set up. This process must be supported by quality assurance mechanisms at all levels. 
Excellence  must  however  also  be  combined  with  flexible  systems,  enabling  mobility,  permeability 
between VET and higher education (HE) as well as increased opportunities for individuals to return to 
learning, including drop outs or low achievers.60.  

For  companies,  VET  excellence  is  rooted  in  integrative  work  organisation  and  involves  multiple 
measures that support the development of the workforce within a lifelong learning context. It builds on 
effective  skills  utilisation  that  promotes  the  active  engagement  and  autonomy  of  the  individual.  It 
implies  that  firms  take  part  of  the  responsibility  to  educate  and  train  the  workforce  of  tomorrow. 
Companies are key actors in the provision of initial VET (by helping to define curricula, hosting and 
training  trainees  and  apprentices,  participating  in  exam  boards)  as  well  as  in  the  field  of  continuous 
VET.  Strong  partnerships  with  education  and  training  providers  regarding  issues  such  as  innovative 
approaches to work based learning for young people as well as the existing workforce, training needs 
assessment and career guidance, are essential.61 

For  VET  providers  and  institutions,  a  crucial  element  is  a  coherent  strategy  that  can  be 
communicated to stakeholders, and whose starting point is the socio-economic profile of the 
region.  Another  critical  factor  for  success  is  to  encourage  providers  to  more  systematically 
cooperate with  other  schools, businesses and institutions in their region. A third factor is to 
actively  and  when  possible  link  to  partners  outside  the  region,  at  national  and  international 
level.  This  can  provide  a  source  for  inspiration  and  ideas,  as  well  as  a  reference  point  for 
improving  the  quality  of  the  education  and  training  delivered  locally.  Finally,  institutional 
leadership,  which  shows  strategic  direction  and  support  collaborative  environment  for  all 
staff, with career development opportunities is also a pivotal condition. 

For learners, the aim is to train accomplished professionals who have the competence to master fully 
and autonomously the tasks of their profession. They are capable of facing problems and coming up 
with  solutions  even  in  challenging  situations  and  innovative  or  fast  changing  (work)  contexts.  They 
have  the  capacity  and  the  right  attitudes  to  work  in  a  company  and  have  a  broader  vision  of  their 
profession.  They  are  capable  of  tackling  and  solving  complex  tasks  with  other  professionals  from  a 
different  background,  focusing  on  process  and  product  improvements  and  value  creation.  First  and 
foremost they can cope with change and complexity as they possess the skills and competences critical 
to  lifelong  learning  which  enable  people  to  have  more  and  better  jobs  as  well  as  create  their  own 
businesses. 

60  Leney,  T.  et  al.  (2004)  Achieving  the  Lisbon  goal:  The  contribution  of  VET.  Final  report  to  the  European. 
Commission. European Commission 
61 For a thorough discussion on skills utilisation see Skills Australia (2011). Skills utilisation literature review. 
Available 
http://www.skillsaustralia.gov.au/better-use-of-skills/skills-utilisation-
list/documents/skillsutilisationliteraturereview.pdf 

Internet: 

from 

39 

 
 
 
 
 
 
                                                            
 
 
4.1. Successful VET strategies require a strategic approach to excellence 

Some  EU  countries,  VET  providers,  companies  and  other  stakeholders  have  developed  innovative 
practises aiming at systematically achieving VET excellence. The lessons from these can be used to 
mainstream and trigger larger system-level change, including at European level. Evidence shows that 
excellence in VET requires an approach based on several policy elements: 

•  VET at all levels (not only higher education) is incorporated in national, regional 
and local economic strategies which connect skills supply and demand, based on 
systematic skills monitoring and anticipation; 

•  Sufficient institutional autonomy and capacity, so that VET providers can develop 
a  strategic  approach  linked  to  local  and  regional  economy  and  react  to    skills 
challenges; 

•  VET providers cooperate closely with companies, authorities, technology centres 
and  educational  institutions,  ranging  from  local  partnerships  to  international 
networks; 

•  VET  systems  provide  routes  for  progression  and  reward  and  mainstream 

excellence; 

•  Companies' engagement  in  CVET  – including skills development and utilisation 
at the workplace - is encouraged through incentives and supporting structures; 

•  VET  teachers  and  trainers  have  opportunities  and  incentives  for  continuous 

professional development in active cooperation with companies; 

•  European  cooperation  on  VET  standards,  particularly  on  a  sector  basis,  ensures 
that expected outcomes of VET are set and continuously improved in line with the 
changing requirements of society and the economy – also at global level. 

Putting  these  elements  into  practice  will  directly  contribute  to  the  Europe  2020  strategy,  by  helping 
Member States exploit the unused potential of VET and implement the necessary reforms. At local and 
regional level, these elements connect VET to Smart Specialisation Strategies, by which regions focus 
their strategies on sectors where they can be most successful in developing sustainable growth.62 

4.2. Designing excellence in VET systems: lessons from practice 

The design of an appropriate environment for VET excellence requires several areas of intervention at 
system level; this chapter provides best practice examples: 

62COM(2010)  553 
http://ec.europa.eu/regional_policy/sources/docoffic/official/communic/smart_growth/comm2010_553_en.pdf   

final.  Regional  Policy 

in  Europe  2020 

smart  growth 

contributing 

to 

40 

 
 
 
 
 
 
 
                                                            
 
a)  Make VET an integral part of comprehensive economic development strategies 
b)  Ensure that VET includes high level of qualifications and interacts better with other parts of 

the education and training system 

c)  Create conditions for the flexibility and institutional autonomy of VET providers 
d)  Include VET in comprehensive labour market intelligence and governance 
e)  Provide incentives for and mainstream VET excellence  
f)  Maximise the leverage of EU instruments  
g)  Increase opportunities for mobility in VET  

a) Make VET an integral part of comprehensive economic development strategies 

Policy  makers  need  to  integrate  the  VET  offer  into  comprehensive  skills  and  knowledge-based 
economic  development  strategies,  particularly  at  regional  and  local  level.    This  is  related  mainly  to 
strategies to attract investments, to clusters, innovation, smart specialisation strategies and sustainable 
growth strategies.  

As  shown  below  by  the  examples  of  Australia,  there  is  a  need  to  create  policy  frameworks  which 
consider a continuous rebalancing of both skills supply and skills demand.  

Comprehensive approaches to skills supply and demand dynamics: Australia 

The  Australian  Skills  Ecosystem  initiative  is  a  reaction  to  growing  evidence  of  significant  skills 
wastage at the same time as employers report skills shortages. The initiative  aims to align VET with 
economic development and innovation measures and critically examines both supply side (responsive 
education and training including training offer, skills profiles, recruitment practices) and demand side 
(the  way  that  skills  can  be  optimally  used,  taking  into  account  such  factors  as  work  processes, 
leadership style, technology deployment and competitiveness strategies).  The main conclusion is that 
expanding  and  improving  the  supply  of  qualified  people  is  only  a  partial  solution.  Improvements  in 
productivity,  innovation  and  growth  are  possible  only  if  policies  align  the  supply  of  a  qualified 
workforce with better use of skills in a workplace.  

Key points for Member States: 

•  All  stakeholders  ensure  better  consistency  in  policy  making  across  different  policy  areas, 
institutional cooperation which goes beyond traditional boundaries and commitment mechanisms. 
•  Policy  frameworks  consider  both  supply  and  demand  side  factors.  Supply  side  factors  can  be 
addressed successfully through comprehensive lifelong learning policies. To address underlying 
demand  side  factors  it  is  necessary  to  develop  business  cases,  which  demonstrate  that 
competitiveness strategies that utilise advanced human resource practices pay off in the medium 

41 

 
 
 
 
 
 
 
 
 
 
term. Such business cases may for instance demonstrate that a better skills utilisation can enable 
firms to move up the value chain or provide tailored services on top of a particular product.  
•  Employers and sector bodies are stimulated to be proactively engaged in policy making processes 
by  providing  analysis  and  advice  on  the  development  of  the  future  workforce  to  meet  the 
requirements of smart and sustainable growth.  

b)  Ensure  that  VET  includes  high  level  of  qualifications  and  interacts  better  with  other  parts  of  the 
education and training system 

One key aspect of promoting excellence in vocational education and training is to break down barriers 
to  general  and  notably  higher  education.  Notably,  providing  genuinely  open  pathways,  permeability 
between  VET  and  HE,  as  well  as  development  of  post-secondary  or  higher  VET  at  EQF  level  5  or 
higher63 has received increasing attention in the Member States. Various approaches are being used, 
including top-up programmes, recognition of prior learning, or schemes combining VET qualifications 
with general qualifications (for a more  detailed discussion and examples see Staff Working Document  
"Partnerships and flexible pathways for lifelong skills development". 

c) Create conditions for the flexibility and autonomy of VET providers 

The ambition of attaining VET excellence requires that providers are proactive players in the regional, 
local and sectoral economic context. For a VET provider it means developing the internal capacity to 
deliver  training  and  respond  to  rapid  change.  Flexibility  and  a  necessary  degree  of  VET  provider 
autonomy emerge as preconditions for coherent strategies tailored to different national, regional, local 
and sectoral circumstances. 

As the example of centres of VET excellence in the Netherlands show, VET institutions and systems 
require financial flexibility to work with the private sector and other education and training providers. 
It  highlights  the  need  to  ensure  commitment  from  enterprises  through  a  combination  of  private  and 
public investments.  

Centres of VET excellence in the Netherlands 

In the Netherlands, VET excellence was introduced as a strategic priority parallel to similar initiatives 
in higher education, through a new programme in 2009 to help develop so-called centres of vocational 
innovation (CIVs). A CIV is a regional cooperation between vocational schools, businesses, research 
organisations, and public authorities focusing on one of the economic top sectors in the Netherlands, 

European  Commission 

63 
http://ec.europa.eu/education/lifelong-learning-policy/doc/vocational/bruges_en.pdf  

The  Bruges  Communiqué.  Available 

(2010). 

from 

Internet: 

42 

 
 
 
 
 
 
 
 
 
                                                            
 
such as chemicals or water. The programme is co-financed (50% for five years) by the Ministries of 
Economic  Affairs,  Agriculture  and  Innovation,  and  Education,  Culture  and  Science.  Vocational 
institutions, corporations and businesses, and SMEs invest together in the CIV, both financially and in 
kind.  All  partners  share  in  management  and  decision  making  activities.  In  2011,  four  CIVs  have 
become operational, one of them in the automotive field. 

Essential characteristics are: 

-  The  CIV  operates  on  demand.  This  implies  that  the  schools  involved  adapt  their  education 
programmes to the qualitative and quantitative needs of regional businesses. 

-  The  regional  labour  market  demand  is  the  focal  point  of  a  CIV.  The  focus  is  on  recruiting  and 
training top talents based on the sector based innovation needs of employers. 

- The CIV cooperates closely with education institutions at all levels (secondary, post-secondary and 
tertiary vocational schools as well as universities), to optimise the use of facilities and to reinforce the 
dissemination of cutting-edge practices). 

Source: Feijen, V. (2011) Dutch MBO Raad, internal work paper, not published. 

Key points for Member States: 

•  Policy frameworks provide VET institutions with the autonomy and flexibility to be an active 
partner in the local, regional and sectoral economic context and are able to cooperate with the 
private sector;  

•  VET  providers  are  supported  to  endorse  change  and  innovation  and  to  disseminate  cutting-

edge practices.  

d) Include VET in comprehensive labour market intelligence and governance  

From a system point of view, it is crucial to ensure monitoring of structural changes and trends to be 
able  to  identify  priority  sectors,  as  well  as  to  promote  employer-led  initiatives  which  identify  future 
skills needs. These have to be translated, in cooperation with employers' associations, trade unions and 
VET  providers,  into  training  content.  In  this  context,  European  Sector  Skills  Councils  and  Sector 
Skills Alliances represent operational tools to put these efforts into practice on a sectoral basis.  

The practice from the United Kingdom below demonstrates how an effective and dynamic interaction 
between employers and VET providers can function, particularly in view of structural changes. 

43 

 
 
 
 
 
 
 
 
 
 
Future Skills Unit of ConstructionSkills - UK 

ConstructionSkills,  the  UK  Sector  Skills  Council  and  Industry  Training  Board  for  the  construction 
industry, established a Future Skills Unit with a specific remit of collecting intelligence to undertake 
skills  forecasting  in  the  sector,  focusing  on  renewables,  zero  carbon,  low  carbon  and  technological 
change.  The  unit  was  a  catalyst  for  change.  It  served  to  facilitate  change  through  high-level 
partnerships  with  government  departments,  agencies  and  other  built  environment  Sector  Skills 
Councils,  which  collect  labour  market  intelligence  to  inform  policy  and  assist  the  construction 
industry in responding to changing demands. 

The ConstructionSkills Network (CSN) provides a unique method of establishing the future skills and 
training requirements of the UK construction industry and provides a consensus view of the current 
and  future  skills  training  needs.  The  CSN  provides  national  and  regional  sector  intelligence  based 
upon  robust  data  and  analysis  of  capacity,  productivity  and  skills.  The  labour  market  intelligence 
model developed has also been used to test scenarios to assist with future planning. 

Labour  market  information  systems  also  serve  to  provide  long-term  signals  to  inform  learners, 
guidance counsellors and public employment services to make/advise on qualified training decisions.  

Key points for Member States: 

•  Employers  and  employees  are  supported  in  a  dynamic  interaction  with  VET  providers, 

providing information on future trends and understanding of value chain dynamics;  

•  VET providers are supported in building the capacity and the flexibility to react to the needs 

• 

expressed. The critical factor is functioning links between them and businesses;  
"Brokerage" services are put in place to enable communication and formulation of messages 
between businesses and VET;  

•  System  level,  technology  and  structural  changes  are  monitored  and  transmitted  to  curricula 

development in initial VET. 

e) Provide incentives for VET providers and mainstream VET excellence  

VET excellence has not yet been visible in the EU. The lack of mechanisms to promote, communicate 
and reward excellence may impede extra efforts of VET providers and their staff as well as hinder a 
mainstreaming  of  VET  excellence.  For  instance,  qualifications  systems  are  in  general  based  on 
minimum requirements rather than rewarding exceptional performance. 

As  shown  in  the  examples  from  Finland,  the  Netherlands  and  France,  quality  assurance 
mechanisms which are being currently put in place (based on European Quality Assurance Framework 
in VET64) need to be complemented by a mix of incentives to VET providers (financial, performance 
based funding and awards) to stimulate and reward excellence as well as promote mainstreaming and 

64 Recommendation of the European Parliament and of the Council of 18 June 2009 on the establishment of a 
European Quality Assurance Reference Framework for Vocational Education and Training  

44 

 
 
 
 
 
 
 
                                                            
scaling up into the whole VET system. In a broader context, benefits of high quality of VET systems 
should be communicated to a wide public (see the examples of Germany and Euro/WorldSkills).  

Finland has implemented since 2002 a performance based financing scheme which encourages VET 
institutions to achieve results in relation to employability of students, reducing drop outs and higher 
staff performance.65  

In the Netherlands every year a prize is awarded to an institution that promotes innovative models in 
vocational education. The winning institution receives a grant of 2.5 million euro. In France the label 
‘lycée  des  metiers’  is  awarded  to  VET  schools  which  demonstrate  excellence  regarding  certain 
indicators such as local and regional partnerships, students’ study and career guidance, openness to 
different groups or learners and a varied yet coherent offer of training opportunities66. 

Euroskills  and  WorldSkills67  are  international  skills  competition  which  provide  a  means  for  
exchange and comparison of European and world-class competency standards in the industrial trades 
and service sectors. They support the recognition of the highest achievements in traditional trade and 
craft skills along with the newer technology multi-skilled vocations.  

In 2011, the German Federal Ministry for Education and Research has started an image campaign 
‘Berufliche Bildung – Praktisch unschlagbar’ (VET – practically invincible) directed towards parents, 
young people, employers, and employees. It presents the VET route as highly attractive, offering good 
career prospects for everybody, including young people with a migration background. The campaign 
is supported by industry organisations68.  

Key points for Member States: 

• 

Incentives  are  put  in  place  to  mainstream  best  practices  in  the  form  of  financial  support 
(performance based funding) awards and labels; 

•  Benefits  of  high  quality  VET  are  identified  and  communicated  to  a  wide  public  (skills 
competitions, campaigns) and champions are recognised to stimulate further improvements in 
the system. 

f) Maximise the leverage of EU instruments 

65http://www.ammatillinenkoulutus.com/upload/images/muut_kuvat/pdf/alakoht/English/Vocational_education_
%20and_training_in_Finland.pdf  
66 http://eduscol.education.fr/cid47596/le-label-lycee-des-metiers.html  
67 http://www.worldskills.org/index.php?option=com_content&task=view&id=1178&Itemid=817  
68 http://www.praktisch-unschlagbar.de/  

45 

 
 
 
 
 
  
 
 
 
                                                            
Within  the  European  cooperation  process  in  the  field  of  VET,  an  ambitious  agenda  has  been 
formulated  in  the  Bruges  Communiqué,  including  efforts  which  support  development  towards  VET 
excellence. Member States, economic players and VET providers need to closely collaborate on issues 
such  as  innovation,  labour  market  relevance,  work-based  learning  schemes,  quality  assurance,  and 
competence profiles of VET teachers and trainers.  

A European initiative: The European quality assurance reference framework for VET (EQAVET) 

The Recommendation on the establishment of a European quality assurance reference framework for 
VET  adopted  in  June  200969  by  the  Council  and  the  European  Parliament,  the  so-called  EQAVET 
Recommendation,  proposes  guidelines  along  the  lines  presented  above.  It  notably  provides  a  list  of 
indicators    for  reaching  an  evidence  based  approach  including  indicators  measuring  investment  in 
teachers and trainers (indicator 2) and on mechanisms to identify training needs in the labour market 
(indicator 9). 

The  work  undertaken  within  the  EQAVET  network  of  Member  States  representatives  has  identified 
building  blocks  both  at  system  and  provider  level  in  order  to  help  both  levels  to  develop  a  quality 
approach  towards  excellence.  The  EQAVET  network  has  finally  gathered  all  these  elements  in  an 
online  tool  designed  to  support  national  implementation  processes  and  actions  aligned  to  the 
European  quality  assurance 
training  (EQAVET 
framework).The tool is accessible via internet on the EQAVET network website at www.eqavet.eu and 
is free.  

for  vocational  education  and 

framework 

A survey undertaken in 2012 among the Member States shows that all Member States have prepared / 
plan  to  prepare  a  national  approach  for  developing  a  quality  culture  for  VET  in  line  with  the 
framework.  The  survey  also  shows  that  all  European  VET  systems  except  2  have  national  quality 
standards for VET or similar settings.   

The European Commission has launched a number of sector-related initiatives, including Sector Skills 
Councils  and  Sector  Skills  Alliances.  These  can  be  used  to  develop  VET  standards  and  ensure  that 
expected outcomes of VET are set and continuously improved in line with the changing requirements 
of  society  and  economy.  Further  potential  clearly  exists  for  mutual  learning  based  on  the  top-
performing VET systems. 

EU-level Sector Skills Alliances 

The  Commission's  proposal  for  a  future  programme  "Erasmus  for  All"  foresees  a  new  category  of 
transnational partnerships called Sector Skills Alliances (SSA) to promote cooperation between three 
categories of partners: the world of education and training (VET providers); sector-specific expertise 
(including social partners, sectoral federations, Chambers etc.); and bodies involved in education and 
training  systems  (public  or  private  bodies  or  authorities).Drawing  on  evidence  of  skills  needs  and 
trends, SSA will work to design and deliver joint curricula and methods which provide learners with 
the  skills  required  by  the  labour  market.  The  overall  goal  is  systemic  impact  on  training  in  the 
economic sectors concerned in order to increase their competitiveness. 

69 OJ C155,  8.7.2009, p. 1. 

46 

 
 
 
 
                                                            
One of the sectors which are facing a specific skills challenge is healthcare. Demographic changes will 
have  significant  consequences  on  the  way  healthcare  is  delivered.  Increasing  numbers  of  elderly 
people  with  multiple  chronic  conditions  will  require  new  knowledge  in  treatments,  care  models  and 
use of technologies. New medical appliances and diagnostic techniques requires technical know-how 
in addition clinical knowledge. The Lifelong Learning Programme, with its Leonardo da Vinci strand, 
plays an important role in developing and transferring innovation in training (see below). 

Leonardo da Vinci project tackling the skills challenge in the healthcare sector. 

Funded  under  the  EU's  Leonardo  da  Vinci  programme,    the  project  "On-line  Performance  Support 
Environment for Minimally Invasive Orthopaedic Surgery"  aims to meet the training requirements of 
medical staff which have arisen due to developments in biomedical engineering and information and 
communications  technology.  In  particular,  new  developments  in  applications  ranging  from  image 
processing  to  robotics  lead  to  new  approaches  to  diagnosis  (imageprocessing  and  analysis)  and 
minimally invasive surgery (arthroscopy). 

Source: http://www.adam-europe.eu/adam/project/view.htm?prj=5590 

Key points for European Commission, Member States, social partners and VET providers: 

•  All  key  stakeholders  are  implementing  the  VET  modernisation  agenda,  including  efforts 
towards excellence and quality assurance, in order to become a world benchmark in VET; 
•  All  stakeholders  are  actively  engaged  in  initiatives,  including  those  at  European  level,  to 

develop high performance VET standards. 

g)  Increase opportunities for mobility in VET  

Mobility  of  VET  students  and  staff  can  an  important  vehicle  to  promote  excellence  in  European 
context. 

The  Leonardo  da  Vinci  is  the  European  mobility  programme  dedicated  to  VET.  By  promoting 
cooperation  between  organisations  of  different  countries  it  aims  to  exchange  best  practices  and  to 
improve the participants’ employability and acquisition of new skills. Since it was created in 1995, the 
programme has enabled 860 000 people to have an international learning mobility experience. The EU 
has set a target that the Leonardo da Vinci programme should increase work and training placements 
in enterprises to 80 000 a year by 2013.  

Furthermore,  by  2020,  an  EU  average  of  at  least  6  %  of  18-34  year  olds  with  an  initial  vocational 
education  and  training  qualification  should  have  had  an  initial  VET-related  study  or  training  period 

47 

 
 
 
 
 
 
 
 
 
(including  work  placements)  abroad  lasting  a  minimum  of  two  weeks,  or  less  if  documented  by 
Europass (Council conclusions on Learning mobility)70. 

Key points for European Commission, Member States, social partners and VET providers71: 

•  All stakeholders encourage a greater number of I-VET students and VET professionals 

to participate in transnational mobility; 

•  Local  and 

regional  authorities,  as  well  as  VET  providers,  develop  an 
internationalisation  culture  and  internationalisation  strategies,  including  cross-border 
mobility; 

•  All stakeholders address legal and administrative obstacles related to the transnational 

mobility of apprentices and trainees; 

•  Professional  chambers,  business  organisations  and  other  relevant  organisations  are 
encouraged  to  support  the  host  and  sending  enterprises  in  providing  appropriate 
conditions for apprentices and trainees in transnational mobility; 

•  Authorities ensure the provision of language learning and intercultural competences in 

VET curricula; 

•  All stakeholders make optimal use of other EU tools (e.g. EQF, EQAVET, Europass) 

for enhancing the mutual recognition of qualifications and competences. 

4.3. Delivering VET excellence: connecting VET providers and engaging enterprises 

Four main areas of action need to be taken forward by VET providers and companies to deliver VET 
excellence: 

a)  VET providers as active partners and networkers 
b)  VET providers' ability to respond to the skills challenge 
c)  Professional development of VET teachers  
d)  Engaging companies in continuing training  

a) VET providers as active partners and networkers 

Exploiting  the  potential  of  VET  is  not  just  a  matter  of  matching  VET  supply  to  a  given  demand.  It 
requires a dynamic and fluid interaction between VET and other players within the regional innovation 
system  and  the  local  industry  base.  It  requires  a  deep  understanding  of  the  factors  which  drive 
competitiveness,  stimulate  innovation  and  improve  productivity  inside  companies.  This  can  be 
achieved only if VET providers are involved in networks and partnership with concrete firms. This is 
one of the essential elements of VET excellence which can contribute to smart and sustainable growth.  

70 http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/en/educ/126380.pdf 
71 Based on European Commission (2010). The Bruges Communiqué. Available from Internet: 
http://ec.europa.eu/education/lifelong-learning-policy/doc/vocational/bruges_en.pdf 

48 

 
 
 
 
 
 
 
 
                                                            
The  example  from  the  Netherlands  shows  how  VET  providers  can  be  part  of  networks  in  their 
economic context and engaged in vertical (E&T providers) and horizontal partnerships (economic and 
political players). More generally, these partnerships can take various forms; work-based learning, co-
location,  technology  diffusion,  virtual  demonstration  centres  and  cross-disciplinary  and  multi-level 
partnerships.  They  include  partners  such  as  chambers  and  local  development  agencies  to  address 
SMEs' challenges in advanced human resource practices. These partnerships should be increasingly of 
an international nature. 

Alfa  College  in  the  Netherlands  has  set  up  regional  strategic  alliances  with  industry  and  regional 
policy makers. Beyond student and teacher placements, cooperation with industry focuses on product 
and process innovation, and on how to translate these into competences that students can acquire. The 
college works closely with industry on the curriculum to determine what kind of competences will be 
needed  in  the  region  in  the  coming  years.    The  college  has  also  established  cooperation  with  other 
VET providers (across disciplines), in the framework of clusters that include SMEs, employers, VET 
providers. There is for instance one cluster on tourism and one cluster on care.  

VET  institutions  can  play  a  major  role  in  technology  diffusion,  in  particular  for  SMEs,  making  the 
case for instance regarding the benefits of green technologies for business. Schools that have decided 
to focus their core competences on the latest technologies may also be perceived as attractive partners 
by  technological  suppliers  within  a  given  field.  This  may  offer  opportunities  for  investment  by 
technology suppliers in joint initiatives to establish Centres of Excellence.  

The  networking  aspect  concerns  not  only  cooperation  between  VET  training  centres  and  businesses 
but also the development of cross-disciplinary and multi-level partnerships with other education and 
training providers as demonstrated by the example from France. 

"Compagnons du devoir" in France run projects through which learners from VET and Universities 
learn  from  each  other.  The  institution  has  partnerships  with  higher  education  institutions  (Grandes 
écoles)  and  universities  and  this  cooperation  is  seen  as  a  very  innovative  aspect  of  the  education 
approach. In 2011, the competition “Innover ensemble” (let’s innovate together) 72 gathered teams of 
six young people in the leather goods trade. Each team had two young people from a design school, 
two  young  people  from  a  management/business  pathway  in  the  French  Fashion  Institute  and  two 
future  bag  makers  from  "compagnons  du  devoir".  They  had  six  months  to  create  a  new  product 
together.  

Teachers,  trainers  and  students  from  one  professional  field  should  cooperate  with  those  from  other 
fields (and from other levels of education if relevant) through for example common project work. In 
practice,  professionals  with  VET  qualifications  work  with  professionals  with  other  VET  or  higher 
education  qualifications.  In  order  for  them  to  work  effectively  they  need  an  understanding  of  each 

72 http://www.defi-innover-ensemble.com/  

49 

 
 
 
 
 
 
 
                                                            
other's professions and their constraints. This can be gained already in initial training by encouraging 
cross-sectoral and cross-institutional projects.  

Key points for VET providers: 

•  VET  providers  are  active  in  networks,  both  "vertically"  with  partners  such  as  economic 
development agencies, chambers, associations, technology centres, business support services and 
"horizontally" with other E&T providers;  

•  VET providers play an active part in technology diffusion.  

b) VET providers' ability to respond to the skills challenge 

VET  providers  need  to  deliver  the  core  competences  required  in  the  economic  context,  while  also 
promoting  flexibility  and  adaptability  of  learners  in  terms  of  learning  environments,  application  of 
knowledge,  and  multi-disciplinary  teams.  VET  providers  should  be  able  to  adapt  to  the  skills  needs 
expressed  by  employers.  A  specific  programme  from  Wales,  which  provides  an  example  of  how  to 
strengthen the capacity of training providers to react to the needs of labour market, is described below. 

Delivering  Low  Carbon  Skills  in  Wales  is  an  ESF  and  Welsh  government  funded  programme  to 
enhance the evidence base for low carbon skills and support the development of skills and capacity in 
the further education sector in Wales.  A key component of this programme was the delivery of a set of 
pilot training courses aimed at developing the capacity of the training providers to deliver low carbon 
training for the built environment workforce, up-skill the built environment workforce in Wales, and 
test employer demand for up-skilling their workforce with low carbon skills.  The programmes offered 
flexible qualifications able to provide a balance of technical and generic competences by adopting a 
modular approach with optional modules or additional units to broaden understanding of sustainable 
principles  and  operations,  and  sales  and  customer  service.  A  suite  of  ‘Train  the  Trainer’  courses 
which  aimed  to  build  the  capacity  of  training  providers to  deliver  courses  in  low  carbon  built 
environment was also established early on.   

Companies,  as  providers  of  work-based  VET,  should  focus  on  the  combination  of  specialised  skills 
with process skills, cross-functional skills, social skills, self-management skills and problem-solving in 
order to support innovation.  

They should increasingly provide forms of higher VET to respond to the need for advanced vocational 
skills  (see  Annex  1  for  country  specific  developments  in  the  area  of  higher  VET).  In  terms  of 
supporting  sustainable  growth,  VET  providers  need  to  deliver  a  mix  of  generic  and  technical  skills 
("hybrid skills"), shape "green attitudes" of VET learners and increase the offer of CVET to enable a 
topping-up of green skills. 

50 

 
 
 
 
 
 
 
 
 
Key points for VET providers and enterprises: 

•  VET  institutions  deliver  the  core  competences  required  in  the  local  economic  context,  while 
promoting flexibility and adaptability of learners, in terms of learning environments, application 
of knowledge, and multi-disciplinary teams;  

•  Work-based  learning  is  explicitly  recognised  as  a  learning  environment  for  employee-driven 

innovation;  

•  Enterprises  actively  engage  with  VET  providers  to  test  new  training  approaches  that  strike  a 

balance between job-specific and transversal skills/competences;   

•  VET  institutions  provide  VET  at  higher  than  upper  secondary  level  in  the  context  of  regional 

economic development as well as work-based learning in higher education. 

c) Professional development of VET teachers  

Teacher  qualifications  and  competences  remain  a  major  issue  to  achieve  VET  excellence.  As 
illustrated by the example from Austria, prior work experience and connection with the industry are 
key  elements  which  improve  the  quality  of  teaching  in  VET.  In-company  traineeships  in  innovative 
SMEs (example from the Netherlands) can be an effective way of keeping teachers’ competences up-
to-date with technological development.   

One of the features of Universities of applied sciences in Austria is that the teaching is delivered by 
teaching  staff  that  combines  a  background  in  VET  with  experience  in  research.  Furthermore  all 
teaching  staff  has  to  have  prior  work  experience  and  a  connection  with  the  industry.  Teaching  also 
includes external interventions from businesses. 

In  the  Alfa  College  in  the  Netherlands,  teachers  have  to  undertake  in-company  traineeships  for  a 
minimum of 40 hours per year. These take place in innovative SMEs, in the workplaces where their 
learners  are,  and  which  are  connected  to  the  VET  institute.  Such  work  experience  allows  teaching 
staff to provide a “lifelong” learning perspective to their students.  These traineeships are also very 
important to see how teachers are able to connect to other colleagues, and the extent to which they are 
able  to  apply  their  knowledge  to  another  context.  During  the  traineeships,  teachers  are  put  into  a 
variety of contexts, taking them out of their ‘comfort zone’ into positions that they may be less familiar 
with in order to give them a new perspective on the professional field in which they teach. The college 
has the possibility to financially reward teachers’ commitment and motivation and also to offer them 
career progression opportunities. 

VET  institutions  aiming  for  excellence  need  to  rethink  teaching  and  learning  practices  to  actively 
promote  skills  development  which  is  conducive  to  innovation.  Innovation  goes  hand-in-hand  with 
practice and thus cannot be limited to the teaching of innovation as a subject. It is just as important to 
learn innovatively as to learn about innovation. Rewarding excellence should be a system feature to 
motivate those teachers and trainers who go beyond the minimum standards and implement innovative 
teaching and training methods.  

51 

 
 
 
 
 
 
 
One  of  the  solutions  to  improve  the  technological  capacity  of  the  schools  and  teachers  can  be  to 
establish centres of excellence such as the CIVs in the Netherlands (see the box above). In this way 
several institutions can share the costs of investment in technical facilities; a joint location with firms 
also  offers  opportunities  to  access  advanced  technologies  for  training  purposes.  As  shown  by  the 
practice  from  Spain,  the  Basque  region,  another  solution  may  be  to  make  use  of  ICT  based 
simulations,  which  are  increasingly  available  for  training  purposes  in  for  example  automotive, 
manufacturing  and  health  professions.  Simulators  have  also  drastically  brought  down  costs  and 
improved  the  effectiveness  of  training  in  the  different  modes  of  transport.  Schools  may  also  partner 
with firms in innovative ways to update the technological capabilities of the teaching workforce.  

TKNIKA (Centre for Innovation and Vocational Teachers Training) in the Basque region has run a 
project with hybrid cars in which a group of teachers have been working for two years half time in 
their  respective  schools  and  half  time  in  companies  to  understand  the  complex  technological  base 
underlying  hybrid  cars.  This  is  the  basis  for  teaching  students  about  the  design  of  hybrid  cars,  for 
example through the use of ICT based simulations. To be able to do so, the teachers had to acquire a 
deep understanding of the design process and technology. 

Key points for VET providers: 

•  VET institutions organise regular company training for VET teachers (teachers' traineeships);  
•  Teachers  have  a  broader  understanding  of  economic  development,  technological  changes  and 

innovation;   

•  VET institutions have the means to reward excellence of VET teachers and motivate those who 
go beyond the minimum standards and implement innovative teaching and training methods.  

d) Engaging companies in continuing training  

Companies'  active engagement in partnerships with  VET providers is important for the relevance of 
initial VET.  For continuing VET their role is even more central.  

The  rapid  progress  of  technology  requires  that  the  skills  of  the  existing  workforce  are  constantly 
updated.  73  Therefore  companies  which  invest  in  and  actively  encourage  learning  of  their  personnel 
can  generate  important  returns74,  including  through  lower  job  absenteeism,  lower  turnover  of 
personnel, greater productivity and innovation capacity and the ability to offer products and services of 
higher value. Furthermore, learning and innovation support one another.75  

73 Cedefop briefing note: Preventing skill obsolescence. Rapid labour market changes leave too many workers at 
risk of losing their skills. Forthcoming. 
74  "Renditen  betrieblicher  Weiterbildung 
http://wien.arbeiterkammer.at/bilder/d93/StudieWeiterbildung.pdf   
75  See  e.g.  Cedefop’s  study  on  Adult  learning  in  the  Workplace:  Skill  development  to  promote  innovation  in 
enterprises 

in  Österreich",  Arbeitskammer  Österreich  available  at:  

52 

 
 
 
 
 
 
 
 
                                                            
Structured learning at the work place is today far from being the rule in European companies, but good 
examples do exist. Sector and enterprise-led partnerships, such as Skillnets from Ireland (see the Staff 
Working Document  "Partnership and flexible pathways for lifelong learning" ) or the skills training 
cluster from Austria, for example, have helped SMEs share knowledge on challenges and to develop 
training that can benefit all companies involved. Experience has also shown that the majority of adult 
learners prefer learning in the context of their daily work, and that traditional education provision for 
adults with low basic skills is unattractive, with a  high risk of drop out. Therefore, it might be both 
strategically  useful  and  efficient  for  companies  to  facilitate  –  when  applicable  in  partnerships  with 
VET providers -   the acquisition of basic skills and transversal competences in the work place.  

The Qualifizierungsverbund approach (skills training cluster) in Austria has been set up to support 
independent enterprises to jointly develop (at least 3 in each cluster) tailored skills training schemes 
for their staff and coordinate its implementation.  

The  commitment  from  firms  to  train  is  essentially  driven  by  the  commitment  to  obtain  and  sustain 
relatively  high  value-added  positions  in  the  market.76  A  further  driver  is  the  need  to  create  a  stable 
working environment to retain people within a particular firm or network of firms. If there is a high 
degree  of  labour  turnover,  coupled  with  skill  shortages,  the  nature  of  the  social  contract  within  the 
network  tends  to  break  down:  employers  seek  to  retain  their  own  staff  and  prevent  them,  as  far  as 
possible, from leaving to join other companies. This will negatively affect cooperative working among 
companies. Therefore companies need to develop human resource policies, alongside the continuing 
supply of training, to retain people, if not within a particular firm, then at least within the network of 
firms. 

Although raising skill levels is crucial for innovation and technological progress, it is also essential for 
those  skills  to  be  effectively  used  by  good  management  and  human  resource  practices  within  ‘high 
performance’ workplaces. The benefits of workplace training tend to accrue when integrated within an 
overall  bundle  of  innovative  human  resource  practices  adopted  by  firms77.  Several  financing 
mechanisms  have  been  set  up  to  stimulate  the  demand  for  continuing  learning  (see  chapter  3  for  a 
detailed analysis). 

Key elements for Member States and enterprises: 

•  An  efficient  combination  of  incentives,  rights  and  obligations  for  all  stakeholders  strengthens 
employers'  engagement  in  continuing  VET  and  boosts  participation  of  individuals,  particularly 
from vulnerable groups 

•  Enterprises, particularly SMEs, engage in joint innovative training schemes, overcoming barriers 

in investing in continuing VET 

76  Cedefop  (2012a),  Sectoral  perspectives  on  the  benefits  of  vocational  education  and  training.  See: 
http://www.cedefop.europa.eu/EN/publications/19891.aspx 
77  Cedefop  (2011b),  The  impact  of  vocational  education  and  training  on  company  performance  - 
http://www.cedefop.europa.eu/EN/publications/19219.aspx;  Cedefop  (2012b),  Skill  mismatch  -  The  role  of  the 
enterprise - http://www.cedefop.europa.eu/EN/publications/19658.aspx 

53 

 
 
 
 
 
 
                                                            
Annex - VET at levels higher than upper secondary programmes78 
AT  Qualifications  acquired  in  5-year  school-based  VET  programmes  that  provide  access  to  higher 
education and labour market entitlements, have since long been considered equivalent to first diploma 
level in the context of the recognition directive.  
The Fachhochschul-programmes that were established in the 90ies intended as short –cycle tertiary-
level non-university programmes (ISCED5B) have been converted to universities of applied science 
and ICSED 5A programmes awarding bachelor’s and also master’ s degrees. 

BE 
NL 

BE 
FR 

At  a  post-secondary  level,  higher  education  institutions  provide  qualifications  associated  with 
Technological Specialisation Courses (CETs), leading to a Technological Specialisation Diploma. By 
their nature and objectives, these qualifications are also short cycle programmes, with the main goal 
of  preparing  students  for  employment,  but  also  providing  preparation  for,  and  access  to,  the  first 
cycle.  

Tertiary  education  encompasses  university  education,  non-university  higher  education  organised  in 
the Hautes Écoles, and artistic higher education organised in the Art Schools (Ecoles supérieures des 
arts  ;  Higher  Institutes  of  Architecture  (Instituts  supérieurs  d’architecture)  were  integrated  into 
universities by the Decree of 30 April 2009. 
Tertiary education studies may be either short (three or four years) or long- (four years at least). Both 
types are offered in the Hautes Écoles and Art Schools, whereas the Universities offer only long-type 
studies. 

CY  Establishment  and  operation  of  a  New  Modern  Apprenticeship,  for  2014.  It  will  embrace  young 
people between 14 and 25 at three apprenticeship levels (preparatory, core and post-secondary). 
Establishment of Vocational Schools of Lifelong Learning.  
The  non-university  tertiary  institutions  train  professionals,  such  as  technical  and  engineering  staff, 
nurses, forestry workers, police officers, as well as managers, etc., in order to cater for the needs of 
local industry.  
Short  cycle  higher  education  (SCHE)  is  organized  by  the  State,  by  private  providers  or  by 
professional  organisations.  It  can  also  be  provided  by  the  State.  It  is  provided  within  vocational  / 
professional colleges or within further education colleges. It is subsidized by the State. SCHE can last 
between one and three years and is a combination of practice and theory. 

CZ 

In Czech Republic a double track system exist which was created by upgrading professional schools 
or  by  merging  specialised  institutions  into  multi-faculty  colleges.  Private  colleges  also  emerged. 
Providers of tertiary programmes outside the universities offer programmes mainly at EQF levels 5 – 
6.  

DE  Germany  has  introduced  a  double  track  system  (separation  between  traditional  academic  higher 

education and technical/professional higher education). 
The  tertiary  sector  includes,  first  and  foremost,  the  391  state-maintained  and  state-recognised 
different types of institutions of higher education such as Universitäten (universities) and equivalent 
institutions  of  higher  education  (Technische  Hochschulen/Technische  Universitäten,  Pädagogische 
Hochschulen,  theological  colleges  et  al),  Colleges  of  art  and  music  and  Fachhochschulen  (incl. 
Verwaltungsfachhochschulen).    
Berufsakademien  (professional  academies)  form  part  of  the  tertiary  sector  and  combine  academic 
training  at  a  Studienakademie  (study  institution)  with  practical  professional  training  in  a  training 
establishment, thus constituting a duales System (dual system). The companies bear the costs of on-
the-job training and pay the students a wage, which is also received during the theoretical part of the 
training at the study institution. 
The Berufsakademieen or “duale Hochschulen” (Dual universities) are also considered as institutions 
of higher  education.  They  are  recognized  by  the  state.  The  study  lasts  3  years,  whereby  theory  and 
practice constantly alternate. 

DK  Denmark  has  in  place  a  double  track  system  (separation  between  traditional  academic  higher 

education and technical/professional higher education)  
There are ten professional academies (e.g. nursery, engineering, etc.) and vocational colleges that are 

78 For more information:  CEDEFOP's county descriptions on VET systems;  study on level 5 qualifications in 
Europe  by  EURASHE:  http://files.eurashe.eu/wp-content/uploads/2011/11/SCHE-in-Europe-long-version-with-
cover140311.pdf?918048 

54 

 
 
                                                            
in charge of post-secondary VET.  
Short cycle higher education is organized at national level in Denmark. It is provided and subsidized 
by the state but organized in vocational / professional colleges or in further education colleges. 
SCHE leads to a short professional education not necessarily linked to previous studies. 

EE 

Professional HE may be provided by: 
• applied HE institution (rakenduskõrgkool); 
• university college (ülikooli kolledž); 
•  VET  institution  (kutseõppeasutus)  that  offers  post-secondary  (non  tertiary)  vocational  education 
curricula. 

ES  Advanced  vocational  training  (ISCED  5B)  is  offered  in  centros  de  referencia  nacional  (national 
reference  schools)  or  in  centros  integrados  de  formación  profesional  (integrated  vocational  training 
schools).  
Short cycle higher education (SCHE) is provided by the state (the regional autonomias) , by private 
education providers and / or by the authorities in collaboration with any of the above. It is subsidized 
by the state or by the regional authorities (autonomias). SCHE is a short professional education not 
necessarily linked to previous studies (e.g. nursing). In order to study advanced vocational training, it 
is necessary to hold the Bachiller certificate. Candidates may also be required to have taken certain 
specific  subjects  in  the  Bachillerato  related  to  the  vocational  studies  they  wish  to  pursue.  It  has  a 
variable length, though it usually takes two years.  

FI 

FR 

Finland has in place a double track system with HEIs offering a traditional academic education and 
Polytechnic institutes offering a more practical education.  
The  qualifications  within  VET  in  Finland  range  from  vocational  upper  secondary  qualifications 
(ISCED  3)  to  further  and  specialist  vocational  qualifications  (ISCED  4).  Professionally  oriented 
education is available at higher education level (Polytechnic degree - Master level). There is no short 
cycle higher education in Finland.  

France  has  a  segmented  tertiary  education  system  which  combines  universities,  grandes  ecoles,  but 
also  other  forms  of  vocational  provision  (see  below).  The  French  system  offers  various  short  cycle 
higher professional education (SCHE) which are clearly vocation in nature – these are: 
- DUT: diplôme universitaire de technologie (technological university degree). 
- BTS : brevet de technicien supérieur (higher technician’s diploma), 
- BTSA : Brevet de technicien supérieur agricole 
- DEUST : Diplôme d'études universitaires scientifiques et techniques 
- DMA : Diplôme des métiers d'art. 
- TP : NIVEAU III Titre Professionnel. 

EL  Higher education in Greece consists of two tracks: the University sector (Universities, Polytechnics, 
Fine  Arts  Schools,  the  Open  University)  and  the  Technological  sector  (Technological  Education 
Institutions (TEI) and the School of Pedagogic and Technological Education). 
There  are  also  State  Non-university  Tertiary  Institutes  offering  vocationally  oriented  courses  of 
shorter duration (2 to 3 years) which operate under the authority of other Ministries. 

HU 

IE 

Post-secondary  VET  has  expanded  since  1998.  The  goal  of  launching  advanced  level  VET  was 
twofold:  strengthen  link  between  higher  education  and  the  economy;  increase  the number  of  young 
people with higher education qualifications. 
Recent  changes  concern  the  introduction  of  new,  competence  based,  modular  Higher  Level 
Vocational  Training  (HLVT  or  Short  cycle  higher  education-  SCHE)  programmes.  This  form  of 
SCHE education and training is spreading fast in comparison with other European countries, led by 
the  demand  of  industry.  Through  the  modular  system  different  programmes  have  to  be  linked  and 
credit points have to be accepted. 

Ireland  has  double  track  system  (separation  between  traditional  academic  higher  education  and 
technical/professional higher education).  
SCHE  is  an  integral  part  of  educational  provision  in  Ireland  (outside  the  universities)  and,  as  a 
consequence, SCHE courses are provided in various areas of studies but the bulk of provision is in the 
area  of  applied  humanities,  business,  science,  engineering  and  technology.  Most  Short  cycle  higher 
education  programmes  (SCHE)  are  organized  within  the  institutes  of  technology  and  independent 
registered providers.   

IC 

Post-secondary education and training is still fairly limited, but growing.  
In some of the higher education institutions a diploma or certificate is awarded after one or two years’ 

55 

 
 
IT 

study  in  various  subjects,  such  as  pedagogy,  gerontology,  business  and  languages.  The  diploma 
courses  are  short,  practically  /  professionally  oriented  and  theory-based.  It  is  not  common  for  these 
courses to be combined with placement (in industry). 
Iceland also has post-secondary education at level 5 of the NQF or of the EQF. This is organized by 
some  comprehensive  schools,  which  next  to  other  courses  organize  post-secondary  non-tertiary 
programmes, such as programmes to educate master craftsmen.  

Higher technical education institutes (ITS) and higher technical education and training (IFTS) offer 
post-secondary vocational education.  
ITS  are  specific  types  of  foundations  composed  by  public  institutions  and  private  stakeholders 
(enterprises, etc.) and have to be seen as specialised technological schools of excellence training high 
level technicians and stimulating technological transfer to industries. IFTS aims at a quick insertion of 
students into the labour market and at an upgrading of skills for those who are already employed. 
Although higher  technical  education  is  considered  to  be  post-secondary  non-  tertiary  education,  the 
Italian  Ministry  regards  some  of  the  qualifications  issued  by  these  institutions  as  equivalent  to  the 
French BTS which is clearly situated in higher education at level 5 of the EQF for LLL. In addition, 
credits earned can partly be used for courses at university or non-university higher education. 
In  the  Veneto  region,  development  of  applied  Ph.D.  in  a  higher  apprenticeship  scheme  is  currently 
being experimented.  

LT 

Specific colleges deliver higher level VET education (ISCED 5B) of 3-4 years duration (leading to a 
professional bachelor degree or vocational qualification). 
There  is  no  Short  cycle  higher  education  (SCHE)  in  Lithuania  yet  but  there  is  post-secondary 
education  having  no  formal  links  with  higher  education.  Lithuania  does  have  the  intention  of 
organizing SCHE in the future.  

LU  Higher VET education consists of:  

- Advanced technician’s diploma (of 120 ECTS) in a private or public institute of higher education 
(BTS). The objective of the BTS is to prepare for a profession, the BTS mentioning the professional 
area concerned. 
- Master craftsmanship degree.  
The objective of the University of Luxembourg is to increase, in the future, the range of vocational 
training  programmes  ensuring  that  these  vocational  training  programmes  include  a  significant 
proportion of workplace learning. 

LV 

There are various professional higher study programmes: the first level professional higher education 
or  college  education  (i.e.  non  university  type)  (ISCED  4)  and  the  second  level  professional  higher 
education or university education (ISCED 5).  
Short Cycle higher education (SCHE) is provided by the state and private education providers. It is 
subsidized by the state or by other organisations. It is provided within the universities, within colleges 
and  within  vocational  /  professional  colleges.  SCHE  is  a  short  professional  education  not  linked  to 
previous studies. 

MT  National  Action  Plan  for  2008-2010  intended  to  develop  professional  degrees  at  level  6, 

implementing Work based learning courses.  
Short  cycle  higher  education  (SCHE)  in  Malta  is  provided  by  the  state  or  by  private  education 
providers. It is organized in universities and in vocational / professional colleges. It is subsidized by 
the state or by industry or jointly by both of them. The duration of full-time SCHE is two years and 
students earn between 90 and 120 ECTS credits. SCHE is mainly a preparation for degree studies and 
is organized mainly on a full-time basis but part-time is also possible. 

NL 

The  Netherlands  has  a  two  track  system  (separation  between  traditional  academic  higher  education 
and technical/professional higher education). 
Since 2006, various higher professional education bachelor programmes (of at least 120 ECTS) have 
been  created.  New  Associate  degree  programmes  that  will  be  run  by  the  universities  of  applied 
sciences in collaboration with upper secondary VET are being developed.  
The legislation states that Short cycle higher education is a formal degree (Associate degree) within 
the professional Bachelor degree, that it has at least 120 ECTS. SCHE is clearly situated at level 5 of 
the EQF. Level 5 belongs to the system of higher education and level 4 is part of secondary vocational 
education. 

NO  Norway has double track system in higher education (separation between traditional academic higher 

education and technical/professional higher education).   

56 

 
 
Short cycle higher education (SCHE) takes two years (within the BA) and is part of the universities or 
the university colleges. 
There  are  some  integrated  five  to  five  and  half  year  master  degrees  and  some  professional  study 
programmes that last 6 years. In addition, there are some master programmes of less than two years 
duration and some 4-year bachelor’s degrees.  
Tertiary education also includes vocational colleges (ISCED 4) and practical courses of training with 
duration of half a year to two years as alternatives to higher education.  

PL 

PT 

In Poland has a double track system of higher education. This was created by upgrading professional 
schools  or  by  merging  specialised  institutions  into  multi-faculty  colleges.  Private  colleges  also 
emerged. Providers of tertiary programmes outside the universities offer programmes mainly at EQF 
levels 5 – 6.   
Post-secondary schools are not considered to be higher education. Post-secondary schools enable their 
students  to  acquire  vocational  qualifications  at  the  level  of  secondary,  technical  or  vocational, 
education. Training in such schools takes no longer than 2.5 years and it depends on the occupation as 
specified in the Classification of Occupations.  

Portugal has a double track system of higher education: Polytechnic education which concentrates on 
professionally driven vocational and advanced technical training vs. Traditional university education. 
Polytechnic  institutions  provide  technological  specialisation  courses  (CET),  which  are  technical, 
practical and vocational in nature. Measures are in place to increase the attractiveness for Polytechnic 
education. 

RO  There is no Short cycle higher education (SCHE) in Romania but there is post-secondary education 
which has no formal links with Higher Education. Currently post-secondary education corresponds to 
level 5 EQF, but is not yet decided if some of post-secondary education programs are at higher levels 
than level 5 EQF. Furthermore the country doesn’t have the intention to organize SCHE in the near 
future. 

SE  Higher  Vocational  education  programmes  (Yrkeshögskoleutbildning)  provide  vocational  education 
and training at the post-secondary level outside higher education institutions and are designed to meet 
the actual needs of the labour market. Therefore, students are given permission for a limited time and 
then they have to apply in competition with others if they want to continue.  
HVE  programmes  normally  consist  of  two  years  of  full-time  study,  but  there  are  also  shorter  and 
longer programmes.  
Courses  must  be  organised  by  state  universities  or  colleges,  Municipalities  or  county  councils,  and 
individual natural or legal persons. The education provider may organise courses in partnership with 
others. 

SK 

SI 

UK 

Slovakia is adapting its legislation to the introduction of a new kind of higher professional study. In 
this  kind  of  study  the  secondary  technical  schools  will  provide  higher  professional  education.  The 
term Short-type courses is used in Slovakia for bachelor’s studies and lead to the bakalár (Bachelor) 
qualification.  This  diploma  allows  students  either  to  continue  the  master  study  level  or  to  enter  the 
labour market.  
ISCED 5B programmes are currently strongly linked to secondary ISCED 3A programmes and can be 
seen as an expansion of secondary studies.  

Short cycle higher education is organised by the State or by private providers (approximately 50% by 
each). SCHE is provided at higher vocational colleges (višje strokovne šole) and sometimes also at 
professional colleges (visoke strokovne šole) as self standing institutions. Occasionally courses offer 
off-campus in the work place. SCHE is organised in many fields of study. 

Foundation  degrees  are  vocationally  oriented  Higher  Education  courses  below  the  level  of  a 
Bachelor’s  degree,  requiring  the  equivalent  of  two  years’  full  time  study.  They  are  designed  in 
conjunction with employers and intended to provide individuals with the knowledge, understanding 
and skills relevant to their employment. 
Foundation Degrees are awarded by institutions with Degree Awarding Powers, but can be taught or 
delivered  by  private  providers,  industry,  professional  bodies,  public  colleges  or  any  other 
organisation. The awarding body is responsible for quality assurance of the qualification.    
There is the intention to foster the development of Foundation Degrees (introduced in 2001). 

57