Vocational Education and Training (VET) Background Report for Israel. OECD Project: Skills Beyond School

Transcription

1 Ministry of Industry Trade and Labor Manpower Training & Development Bureau State of Israel Vocational Education and Training (VET) Background Report for Israel OECD Project: Skills Beyond School Submitted by The Manpower Training and Development Bureau, The Ministry of Industry, Trade and Labour The report was prepared by Judith King and Yonatan Eyal from the Myers-JDC- Brookdale Institute at the request of the Ministry of Industry, Trade and Labour February

2 Contents Glossary Introduction Scope: Programs Scope: Institutional Arrangements Institutional Arrangements of the Vocational Track Practical Engineering and Technician Training Track Statistical Overview Vocational Courses Funded by the Bureau of Training The voucher program Vocational Courses Run by the Business Sector Practical engineering and technician training Drop out and completion rates Labour Market Outcomes Mix of Provisions The Governmental Sector The Business Sector Workplace Training On the Job Training in Industry (OJT) A Class in the Workplace Internship Access Routes, Second Chance Opportunities and Equity Admission Requirements Integrating Disadvantaged Groups Moving between Levels of Education Funding and Incentives Vocational Courses Training Track Practical Engineering and Technician Training Governmental Funding of the Post-secondary Vocational Tracks as Opposed to Academic Programs Social Partners

3 9.1 Employers Workers' Organizations: The New Federation of Labour (Histadrut) JDC - Tevet Academia IDF Teaching Professional Requirements for Teachers Teacher Training Teaching Aids Quality Assurance Shortage of Teachers Career guidance Sources of Information about the Courses Screening and testing prior to Start of Studies Quality assurance Requirement for Supervision Supervision by the Accrediting Authority Internal Supervision by the Educational Institutions Policy Development and Initiatives Strengths and Challenges of the VET System in Israel References (Hebrew) Appendix

4 List of tables Table 1: Institutional arrangements Table 2: Number of graduates in the various training institutional arrangements, Table 3: Total graduates of courses funded by the Bureau and their distribution by Gender, Education and Age, (%) Table 4: The rates of immigrants and non-jews among graduates of courses funded by the Bureau, Table 5: Graduates by main vocation, Bureau-funded courses (%) Table 6: The total number of participants in the voucher program, by year Table 7: The characteristics of the participants in the voucher program (%), Table 8: Total graduates of courses run by the business sector and their distribution by gender, education and age, (%) Table 9: The rates of immigrants and non-jews among graduates of courses run by the business sector, (%) Table 10: Graduates by main vocations, courses run by the business sector (%) Table 11: Students in practical engineering and technician track (first and second year combined) by main fields, Table12: Characteristics of graduates, practical engineering MAHAT, Table 13: Main reason for dropping out and non-starting of vocational training funded by the Bureau (%), Table 14: Main reason for dropout among practical engineering and technician students, 2007 (%) Table 15: The employment status at the time of interview of graduates of full time studies in government-sponsored programs (% of total graduates) Table 16: Rates of employment in vocation of training in various points of time, by vocation of training (%) Table 17: Average monthly wage (NIS) of graduates employed in vocation of training compared with those employed in a different vocation, by vocation of training, 10 yrs later (average) Table 18: Rates of employment in the field of training among practical engineering graduates and technicians in various points of time, by field of training (%) Table 19: Average monthly wage (NIS) of graduates employed in the field of training compared with those employed in a different field, by field of practical engineering training, 10 years later Table 20: Employment by eligibility for diploma, Practical Engineers (%) Table 21: Wages (NIS) by eligibility for diploma, Practical Engineering (NIS)

5 Table 22: Governmental funding and the tuition fees by the vocational training track, NIS,

6 Glossary Histadrut: The New Federation of Labour (Israeli Federation of Trade Unions) IDF: Israel Defense Forces (Israeli Army) IES: Israeli (Public) Employment Service MAHAT: Hebrew acronym for State Institute for Training in Technology and Science MOITAL: Ministry of Industry, Trade and Labour OJT: On the Job Training VET: Vocational Education and Training TEVET: A joint endeavor of the government and JDC Israel whose goal is to promote employment and advancement of disadvantaged populations. Tevet focuses on developing new strategies on an experimental basis that are later adopted by the government. 5

7 1. Introduction Vocational Education and Training is a tool for achieving both macro and micro goals. On the macro level, it seeks to improve the compatibility between the labour and the supply needs of the economy; on the micro level, it seeks to facilitate the integration of individuals into employment and to promote mobility in the labour market. Because of rapid and ongoing technological changes in modern economies, there is an increasing demand for educated and skilled workers. Even in traditional industries, such as the metal industry, development and production processes increasingly take place in technically demanding, science-based environments. In contrast, the number of unskilled jobs in the labour market in these economies is diminishing because most are being transferred to countries with low wages for unskilled labour. For example, in Israel in 2010, 5.5 unskilled job seekers competed for every job offer while among academic and skilled workers in industry and construction the ratio was only 1.8 and 1.5, respectively. This indicates a surplus of supply of unskilled labour, which will either not find jobs or only find low-paying jobs in the service sector, such as cleaning, food, security, and manpower services (Brand, in Natanzon et al (eds.) 2011). Even educated and skilled workers, who face less daunting job competition, must update their skills on a regular basis to maintain a level of job security. In Israel, despite the expansion in enrolment in higher education and in the number and variety of institutions that award academic degrees, over half of the young population does not pursue higher education. According to Ministry of Education data, eligibility for a matriculation certificate in the years 2004/5 2009/10 among the entire age 17 cohort varied between 44.4% and 48.3%. Eligibility for a matriculation certificate that meets the requirements of the higher education system was lower 38.5% %. For those not eligible or not interested in academic studies, many of whom often come from disadvantaged backgrounds, post-secondary vocational education and training continues to be of great importance for success in the labour market. In Israeli context, an advanced vocational education and training (VET) system serves two major goals: (a) Providing a skilled workforce that will enable Israel to compete in 6

8 international markets; (b) Increase employment among defined groups with low participation rates in the labour market, such as Arab-Israelis, especially women, and Ultra-orthodox Jews, especially men, through enabling them to acquire skilled jobs, and thereby promote their full integration in society in general and reducing poverty. This report provides a description of the adult vocational education and training (VET) system in Israel, not including academic education. The sources of information for this report include: in-depth interviews based on open-ended structured questionnaires with some 40 officials at various levels of the VET system; government reports and other policy and regulatory documents; follow-up studies conducted by the Research and Economics Administration in the Ministry of Industry, Trade and Labour (MOITAL); and special analyses of data collected by the of Manpower Training and Development Bureau according to our requests. The information is presented in accordance with the outline provided by the OECD. 7

9 2. Scope: Programs This report focuses on the governmental VET system for adults (aged 18+) in Israel which is primarily regulated by the Manpower Training and Development Bureau in the Ministry of Industry, Trade and Labour (hereafter referred to as "the Bureau of Training", "the Bureau"). While a large portion of the training courses are operated by the Bureau of Training itself, other ministries also independently operate courses in vocations that are related to their fields, often in coordination with the Bureau. In addition to governmental courses, private training courses are operated by the business sector, some of them regulated by the Bureau and others not. We have no data or systematic information about the non-regulated activity of the business sector. This report addresses forms of training that award a vocational non-academic diploma. It does not encompass university- and college-based vocational education and training that award academic degrees, such as teaching, nursing, or physiotherapy training. Throughout the report, we distinguish between two main tracks of adult training: a) Vocational courses. These range between 3-11 months and award vocational diplomas leading to occupational careers as skilled workers. b) Practical engineering and technician training. Practical engineering studies range between 2 years in full time studies and 3 years in a combination of evening classes and full-time studies ("mixed track"). They award a post-secondary diploma leading to careers as non-academic professional workers. Technician studies range between one year in full-time studies and 2 years in a combination of evening classes and full-time studies. They award a post-secondary diploma as well. Fields of study: Vocational courses track The VET system covers a broad array of manual and non-manual vocations. The vocations of training in the Vocational courses track include the following vocations: Electricity and Electronics Metal/Machines/Machinery IT, Computers Child Care, Elderly care Giver 8

10 Administration Hosting Construction and environmental professions Vehicles/Cars Beauty Professions Printing, Photography and Production Fashion and Textile Wood (furniture design and production technologies) Life saving and Marine Professions Drawing/Drafting Para-medical Professions (e.g. dental assistant) Others (e.g. business entrepreneurship, gardening, gold/silver crafting) Job readiness training Courses generally also include a module of job readiness, empowerment, job search skills and soft skills. This module receives special emphasis in courses targeting women with no employment history, such as Arab women. Fields of study: Practical engineering and technician track Mechanical Engineering Industrial and Management Engineering Civil Engineering Architecture Interior Design Electric Engineering Electronic Engineering Chemistry Engineering Agricultural Engineering Software Engineering Instrumentation and Control Engineering Environment Engineering Print Technologies Plastic and Polymers Engineering Refrigeration and Air Conditioning Engineering Biotechnology Engineering Multimedia Engineering Industrial Design Landscaping Architecture Sound Engineering Visual Communication Media Design Medical Engineering (Medical Instrumentation Design) Water Technology Engineering 9

11 Business entrepreneurship training Another department in MOITAL, the Agency for Small and Medium Size Businesses, operates business entrepreneurship training courses. This is done through some 25 local centers dispersed across the country. Training extends for 60 hours over 4 months and combines class learning with e-learning. It does not include individual couching. This is an open access program heavily subsidized by the agency, with students paying NIS for tuition. The agency and the Bureau are currently developing a joint package program which will offer both vocational training and business entrepreneurship training. 10

12 3. Scope: Institutional Arrangements 3.1 Institutional Arrangements of the Vocational Track There are four main institutional arrangements for providing vocational training. The first three are initiated by the government and the last one is initiated by the business sector. a. Courses financed by the Bureau of Training: Some of these courses are provided by governmental training centers while others are provided by the business sector. b. The voucher program: The courses are financed by the government and the students and provided by the business sector. c. Training that takes place only or chiefly at the workplace (discussed in detail in chapter 6): The courses are funded by the government and the employers and provided by the employers, sometimes in collaboration with the business sector. d. Courses provided by the business sector, and fully paid for by students. The four arrangements have some common components and are inter-connected. For example, courses financed by the Bureau can take place in five governmental training centers as well as in training institutions in the business sector, in which case the trainee who is referred by the Bureau does not pay for tuition. Courses Provided by or Financed by the Bureau of Training Target population The Bureau of Training primarily operates courses for job seekers who report to the Israeli Employment Service (IES) and are referred to vocational training. About half of the trainees receive income benefits from the National Insurance Institute. The rest are unemployed job seekers and persons with low-skilled, unsteady jobs who wish to upgrade their skills. 11

13 Special emphasis is currently given to groups known for their low rates of participation in the labour market and who require special study arrangements, such as ultra-orthodox men, Arab-Israeli women and people with disabilities. Governmental training centers The Bureau directly operates five training centers that serve different geographic areas: Jerusalem, Ashkelon, Holon, Carmiel, Tamra (in the Arab sector). The Israeli Government stipulated that the centers should focus upon training that requires heavy equipment (such as CNC machines in the vocations of metal and wood) and on vocations in which foreign workers are employed so as to replace them with Israeli workers (such as construction and metal works). The centers must submit an annual program for approval by the Bureau, but are exempt from using a tender process for each course. They employ their own home staff. The centers also operate courses for special groups in cooperation with external public organizations, such as the army and Tevet. The Center in Jerusalem operates special evening classes for ultra-orthodox men, and the Center in Tamra offers classes for Arab-Israeli men and women. Courses in the business sector funded by the Bureau of Training The Bureau "purchases" courses from the business sector using a tender process. The courses are operated according to a formal curriculum produced or approved by the Bureau s curriculum department. The Bureau also specifies the admission criteria, the theoretical and practical subjects to be studied, the tests, and diploma eligibility. The institution that wins the tender is subject to supervision by the Bureau. The Bureau has a right to update the curriculum as well as the admission criteria, testing requirements, and diploma eligibility. All training costs are fully covered by the Bureau on the basis of an hourly fee. The agreement signed between the Bureau and the provider is valid for four years and applies to all courses in a given subject area applied for by the provider. The courses are 'day courses' and are held five days a week and for at least 35 hours a week. Courses run on average for 6 months, though they can be as short as 3 months or as long as 11 months. Courses typically do not extend beyond 12 months because government-supplied vocational training has historically been linked to unemployment and income support benefits. According to the income support law, recipients may 12

14 receive their benefit during the training period and be exempt from reporting to the IES for up to 12 months. The Bureau informs the IES about the opening of a training course and the IES refers job seekers who meet the admission criteria to the provider of the course. If the desired number of students is not reached, the operator may admit other candidates who are not registered at the IES. The Bureau has a right to request that the training institution provide a preparatory course, often for special populations, to teach basic technological material required for the course that the students may lack (for details see chapter 7). The Voucher Program This is a relatively new program that started as a pilot project in The voucher is a written official commitment by the government to reimburse the trainee for the tuition fees. The vouchers are distributed only in vocational courses not funded by the Training Bureau. Under this program, training is supplied by the business sector, conditional upon approval of the curriculum by any of the following: the Training Bureau, the Higher Education Council, the Adult Education Bureau in the Ministry of Education and certain other governmental ministries e.g. Tourism and Health. The course can be full-time or part-time with durations of up to 12 months. The Bureau allocates funds for the operation of the Voucher Program to the IES, as well as the Ministry of Absorption of Immigrants. The IES targets unemployed job seekers who report to the Service. The Ministry of Absorption uses these funds for returning Israeli citizens. It is planned that in 2012 the Bureau will start operating the voucher program directly. Trainees are responsible to choose an appropriate training program, although this is done with the help and supervision of employment advisers of the IES and, if necessary, also through an assessment of an occupational psychologist. As courses are largely held in the evening, trainees are encouraged to work during the day, so that they can pay their share of tuition. A survey conducted by the Research and Economics Administration found that 13

15 56% of the students were working during their study period, 58% of them in the vocation of training. 58% of the students participated in evening classes while the rest took day classes (26%) or a combination of evening and day classes on Fridays (16%) 1 (Porat (3)). Trainees are reimbursed 80% (90% if trainee receives income support benefit) of the tuition fees up to 7,000 NIS 2 in three payments: following registration, after course completion, and after three months of work in the acquired vocation, conditional upon submission of three pay slips signed by the employer. Training in the Workplace The Bureau of Training cooperates with employers in operating training programs that involve training in the workplace. There are three main tracks: On the Job Training in industry (OJT) A class in the workplace Internship These programs are discussed in detail in Chapter 6. Courses Provided by the Business Sector and Paid for by the Students Institutions in the business sector offer evening courses to the general public, targeting especially working people who wish to upgrade their skills. The institutions have the option in certain courses to be recognized by MOITAL and issue an official professional diploma for their graduates. To receive the recognition of MOITAL, the institutions agree to teach according to the Bureau s requirements, submit their graduates to its tests, and be supervised by the Bureau. The Bureau does not pay for the training, and tuition is fully paid for by the students or subsidized by their employers. 1 Most of the employees do not work on Friday. 2 The average exchange rate of NIS in 2011 was 3.6 to the dollar and 5.0 to the Euro. 14

16 Courses offered by the business sector under this arrangement are no different from the courses in the same vocation offered and funded by the Bureau of Training, except that sometimes they are shorter in order to meet students' requirements. Table 1: Institutional arrangements Courses financed by the Bureau of Training Who is responsible? Who delivers the training? Government institutions in the business sector or governmental training centers The voucher program. IES and certain ministries institutions in the business sector Who pays? Government Trainees and government Training on the workplace Government and employers Employers, sometimes in cooperation with institutions in the business sector Government and employers Courses run by the business sector institutions in the business sector institutions in the business sector Trainees and employers Who chooses the training institution? Who regulates? Government Trainees Employers Trainees Government Government Government Part of the courses are supervised by government Vocational Training Provided by Certain Ministries Certain ministries also operate training courses independently, on a smaller scale in vocations related to their activities. Following are three examples. The Ministry of Tourism The Ministry of Tourism operates courses for training tour guides in 15 training institutions with an enrollment of 800-1,000 trainees annually. Admission criterion is a matriculation certificate, or 12 years of schooling without matriculation certificate for a candidate over age 30, and trainees pay 24,000 NIS out of their pocket. The training period is 18 months, consisting of 600 classroom hours and 80 touring days. At the end of 15

17 the course, students take a license test from the Ministry of Tourism. The license is valid for two years and in order to renew it one must take an in-house training. The training department in the Ministry of Tourism prepares the syllabus of the course, sets the criteria for hiring teachers, and supervises the course. It is in touch with the Bureau of Training with regard to other courses in the tourism industry operated by the Bureau, such as hotel management and reception desk clerk. The Ministry of Immigrant Absorption The Ministry of Immigrant Absorption finances short vocational training, such as drivers and cooks, in neighborhood centers serving Ethiopian immigrants. The Ministry s main activity, however, focuses on retraining immigrants with academic degrees, mainly from the former Soviet Union, who have been in Israel up to 10 years. In the past, Russian doctors were retrained as x-ray technicians. Nowadays, doctors and other academics are retrained as nurses, in response to the on-going shortage of nurses. This is done in cooperation with the Ministry of Health, with the Ministry of Absorption paying for living and travel expenses of the students. The ministry receives a special budget from the Ministry of Finance to implement the voucher program for new immigrants. As mentioned above, vouchers funded by the Bureau are also allocated by the ministry to returning Israelis. In contrast to the manner of implementation by the IES, reimbursement by the Ministry of Immigrant Absorption is not conditional on employment in the acquired or any other profession. The Ministry of Health The Ministry of Health is involved in a range of external vocational courses in the health field in two ways: a. Implementation of courses: including defining the admission criteria, the curriculum, implementation of the program, providing Ministry-approved certification. This model applies, for example, in training programs for dieticians and local authority sanitation workers. 16

18 b. Supervision of courses not directly implemented by the ministry and certification: these include, for example, courses in drinking water sampling and swimming pool operation. The selection of the training institutions is made according to criteria established by the Ministry and they are supervised by the district health supervisors. Where there are no such regulations, the courses are implemented by colleges without Ministry supervision. The decision whether to open courses is based on needs of the relevant departments at the Ministry of Health (environmental health, food and beverage services), of other ministries (such as the Ministry of Environmental Protection), or demand from people working in the field. The participants themselves or their employers pay for the courses. 3.2 Practical Engineering and Technician Training Track There are two separate training systems for technicians and practical engineers in Israel, one operated by MOITAL and the other by the Ministry of Education. MAHAT Technician and practical engineering training operates under MAHAT (Hebrew acronym for State Institute for Training in Technology and Science), which is part of the Bureau. As already mentioned, there are two main tracks of training: a full day track and a mixed track. About two thirds of the students attend the full time track while one third attend the mixed track (Porat (2)). The training occurs in 73 technical colleges across the country, 24 of which target ultraorthodox men and women (sometimes these are only 2-3 classes in a Teacher s Seminary for ultra-orthodox women) and 4 in Arab towns (Arab-Israelis, of course, study also in colleges located in Jewish localities). Training takes place at the colleges only; although the possibility of internship exists, it is rarely used because of the difficulty in finding employers willing to take interns. To receive a diploma, a student must pass 4 governmental final exams and complete a final project. 17

19 In general, enrollment in technician training is shrinking. In recent years they comprised about 5-10% of the students in this track. Most of the technician classes are operated in cooperation with specific employers. Students prefer to train as practical engineers, as the difference between the two tracks is not that great: Practical engineering training requires 2,200 hours, compared to 1,600 hours in technician training; admission requirements are similar, except that in technician training the requirement for matriculation certificate stops at age 30 instead of 35. The students in technician training are usually experienced industrial workers who wish to advance. Ministry of Education The Ministry of Education operates a separate training program in practical engineering for youth immediately out of high school. The colleges admit students who graduated from technological tracks in high school. This program differs from the MAHAT program in that the students are all 18 years old and quite homogeneous and a relatively high number among them are being trained to be technicians (about 30% of the graduates). This program is implemented in cooperation with the IDF: Army representatives serve on the committee that makes the decisions about the curriculum (together with experts from the ministry, academia, and industry); students are allowed to postpone their military service for two years and, following their graduation, integrate into the technological systems of the army; even before their draft, they can complete their project in the unit where they will later serve. 18

20 Table 2: Number of graduates in the various training institutional arrangements, 2011 Institutional arrangement Number of students Training centers and courses funded by the Bureau 4,850* Voucher program IES The Ministry of Immigrant Absorption Practical engineering and Technician Mahat Ministry of Education 1,450** 2,900** 9,400*** 3,500 Training institutions in the business sector not funded by 32,050* the Bureau * Refers to ** Refers to the number of number of participants. *** Refers to the number of students that started their studies in the track. 4. Statistical Overview This chapter describes training activity from three main aspects: - The number of trainees and their characteristics. - Dropout and completion rates. - Labour Market Outcomes with regard to employment and wage. The data are presented according to institutional arrangement and track. 4.1 Vocational Courses Funded by the Bureau of Training Tables 3-5 and Chart 1 below present the number of graduates and their characteristics for the years In order to describe the changes in the population distribution, the average of the first three years ( ) will be compared to the average of the last three years ( ). In general, the comparison will refer to changes in the percentage of the specified population. Average total number of trainees in each period and specified population, are cited in parentheses in the text. 19

21 Table 3: Total graduates of courses funded by the Bureau and their distribution by Gender, Education and Age, (%) Gender Education* Age Total graduates (N) Basic educati on** (N) Less than 10 years Year Women years years , ,231 1, ,351 2, ,030 1, , , , , , , ,873*** Average 13, Source: Special analysis of administrative data of the Bureau of Training. * In some years, education data are missing for a substantive part of the graduates, up to 31% in ** The basic education courses targeted unemployed persons and were funded by the Bureau of Training. The Ministry of Education funded courses targeting other groups which are not included in the database of the Bureau of Training. *** In addition, 1,220 job seekers participated in the IES voucher program, funded by the Bureau of Training. We have no full data yet on the participants' rate of graduation. 20

22 Table 4: The rates of immigrants and non-jews among graduates of courses funded by the Bureau, Year Immigrants* Non-Jews** (%) (%) Average Source: Special analysis of administrative data of the Bureau of Training. *Immigrants: Immigrated to Israel 3 years before the beginning of training, or 6 years for Ethiopian immigrants. ** Non-Jews: Arabs, Druze, Circassians and Bedouins Chart 1: Characteristics of graduates of courses funded by the Bureau, average of vs. average of % 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Women 10 < Immigrants Non Jews Education Age Avg Avg The Total number of graduates declined from an average of 24,600 in to an average of 5,600 in (a decline of more than 77%) (see Table 3). The most significant decline occurred in 2004, due to several policy changes: 21

23 - New regulations which revoked of extending eligibility period while in training and reduced unemployment benefits. - Changes in government policy including budget cuts and designating disadvantaged groups as the main target population of vocational training. - New bureaucratic procedures that were introduced required a reform and led to a reduction in the number of training programs. (For more information about the policy changes, see Chapter 13). The figures include participants in basic education courses funded by the Bureau of Training only. They do not include participants in basic education courses funded by the Ministry of education. The numbers reached a peak in 2002 at 2,120 participants and then declined to 120 in The courses were discontinued in At no time did the rate of participants exceed 9% among the graduates of Bureau funded training courses, presented in Table 3. The age and gender composition remained stable. Around 50% of the graduates are women. Over 75% of the graduates are relatively young less than 40 years old. In general, the education level of the graduates declined. The percentage with less than 10 years of education rose from an average of 4.4 % in (1,030) to an average of 7.0 % in (290), whereas the percentage of graduates with more than 12 years of education declined from an average of 25.9 % (5,990) to an average of 13.4% (550). However, due to the significant decline in the total number of graduates, the number of graduates with less than 10 years actually declined. The percentage of immigrants declined from an average of 7.9% (1,940) to 1.7% (100) (see table 4). In contrast, the percentage of the non-jews rose from an average of 11.4% (2,802) to an average of 25.5% (1,430).However, due to the significant reduction in the number of trainees, the total number of non-jews actually declined. 22

24 Table 5: Graduates by main vocation, Bureau-funded courses (%) Vocation Child Care Giver Electricity and Electronics Hotel Hosting Administration Metal/Machines/ Machinery Construction and environmental professions Beauty Professions IT, Computers Printing, Photography and Production Miscellaneous (e.g. business entrepreneurship gardening) Vehicles/Cars Fashion and Textile Preparatory courses Total of the enlisted vocations (%) Total (N) 23,209 24,231 26,351 20,030 11, Source: Special analysis of administrative data of the Bureau of Training The most popular fields are child care giver (14.5% of the students in 2010) electricity and electronics (12.2%), hosting (12.0%) and administration (11.7%) (see Table 5). 23

25 The percentage of students graduating in administration and IT computers decreased between 2000 and 2010 while the percentage of students graduating in child care, electricity and electronics, hosting and beauty professions increased. The percentage of students graduating from preparatory courses rose between 2000 and 2003 to 18.4% and then decreased sharply to 3.3% in The voucher program The IES voucher program Tables 6 and 7 present the total number of the participants in the voucher program per year and their characteristics. Table 6: The total number of participants in the voucher program, by year Year N Source: administrative data of the IES Table 7: The characteristics of the participants in the voucher program, 2009 % of participants ( N=703) Women 57 Age Less than Education- Highest certificate Primary school 1.6 High school/matriculation 49.9 Post-secondary non-academic 12.7 Academic 35.8 Population Immigrants* 30.0 Non-Jews** 5.0 Source: a survey conducted by the Research and Economics Administration (Porat (3)) *Immigrants: Immigrated to Israel since **Non-Jews: Arabs, Druze, Circassians and Bedouins The number of participants in the voucher program of the IES increased in the last 5 years from 560 to 1,460 per year. 24

26 The participants in the voucher program are older than the participants in the courses funded by the Bureau (about 50% vs. 22%, respectively, are older than 40) and more educated (49% vs. 13%, respectively, have thirteen or more years of schooling). (see table 7 and table 3). The rate of non-jews among them is lower ( 5% vs. 25%) and the rate of immigrants is higher (30% vs. 2%) (see Table 7 and Table 4). About a third of the participants attended courses in the field of computers and technology and other third attended courses in administration. The rest of the participants attended courses in other vocations (e.g. Hosting and Beauty Professions) (Porat (3)). The Ministry of Immigrant Absorption voucher program In 2011, 2,900 vouchers were distributed by the Ministry of Immigrant Absorption. 25

27 4.3 Vocational Courses Run by the Business Sector Tables 8-10 and Chart 2 below present the number of graduates and their characteristics for the years As in section 4.1, we compare the average of the first three years ( ) with the average of the last three years ( ). Table 8: Total graduates of courses run by the business sector and their distribution by gender, education and age, (%) Gender Education* Age Year Graduat es (N) Women Less than 10 years years 13+ years , , , , , , , , , , , Average 29, *Source: Special analysis of administrative data of the Bureau of Training. * In some years, education data are missing for a substantive part of the graduates, up to 57% in

28 Table 9: The rates of immigrants and non-jews among graduates of courses run by the business sector, (%) Immigrants* Non- Jews** Year Average Source: Special analysis of administrative data of the Bureau of Training. *Immigrants: Immigrated to Israel 3 years before the beginning of training, or 6 years for Ethiopian immigrants. **Non-Jews: Arabs, Druze, Circassians and Bedouins Chart 2: Characteristics of graduates of courses run by the business sector, average of vs. average of % 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Women 10 < Immigrants Non Jews Education Age Avg Avg The Total number of graduates increased from an average of 26,200 in to an average of 34,900 in (an increase of 33%) (see Table 8). 27

29 The percentage of women increased from an average of 38.0% in to an average of 54.0% in The average age of graduates decreased. The percentage of graduates years old increased from 32.9% in to 40.5% in , while the average percentage of graduates aged 40+ decreased from 30.5% in to 18.0% in The graduates' level of education remained stable. Most of the graduates - 85% on average had years of schooling, about 4% had less than 10 years of schooling and 11% had 13 or more years of schooling. The percentage of immigrants is stable and low around 1% (see table 9). In contrast, the percentage of the non-jews rose from an average of 17.6% (4,590) in to an average of 24.0% (8,380) in

30 Table 10: Graduates by main vocations, courses run by the business sector (%) Vocation Administration Transportation Beauty Professions Child Care Giver Electricity and Electronics Printing, Photography and Production Vehicles/Cars IT, Computers Life saving and Marine Professions Construction and environmental professions Hosting Total of the enlisted vocations(%) Total (N) 26,857 25,705 26,105 27,902 28,348 26,357 29,107 34,451 36,992 35,691 32,043 Source: Special analysis of administrative data of the Bureau of Training The most popular fields are Administration (37.3% of the students in 2010), Transportation (22.1%), and Beauty Professions (11.9%) (see Table 10). The percentage of students graduating in transportation and life-saving and marine professions decreased between 2000 and 2010 while the percentage of students graduating in beauty professions, child care giver, electricity and electronics, printing, photography and production, IT, computers, construction and environmental professions and hosting increased. 29

31 4.4 Practical engineering and technician training MAHAT Table 11: Students in practical engineering and technician track (first and second year combined) by main fields, N % of students Industrial and Management Engineering Mechanical Engineering Architecture Interior Design Software Engineering Civil Engineering Electric Engineering Electronic Engineering Visual Communication Medical engineering Multimedia Engineering Chemistry Engineering Preparatory course Total of fields enlisted in the table 18,733 18,968 20,216 19,888 19, Total 20,665 20,971 22,520 22,128 21, Source: Special analysis of administrative data of MAHAT The total number of students increased by only 1,200 between 2007 and The most popular fields are industrial and management engineering (15.0% of the students in 2011) mechanical engineering (13.9%), architecture interior design (11.8%), software engineering (11.0%) and civil engineering (10.6%) (see table 11). 30

32 The percentage of students attending industrial and management engineering decreased from 25.2% in 2007 to 15.0% in In contrast, the percentage of students attending civil engineering increased from 5.4% in 2007 to 10.6% in Table12: Characteristics of graduates, practical engineering MAHAT, 2008 % of participants (N=1,950) Women 31.3 Age Less than Education-highest certificate Full Matriculation 74.5 Partial Matriculation 19.0 No Matriculation 6.5 Population Immigrants* 16.0 Non-Jews** 16.5 Source: a survey conducted by the Research and Economics Administration (Porat (2)) *Immigrants: Immigrated to Israel since ** Non-Jews: Arabs, Druze, Circassians and Bedouins The graduates are young % are under 30. Women comprise 31.3% of the graduates and Non-Jews 16.5%. Ministry of Education Every year, some 1,000 technicians and 2,500 practical engineers graduate from these colleges. 31

33 4.5 Drop out and completion rates Definitions Surveys conducted by the Research and Economics Administration in MOITAL relate to five possibilities in regard to completion and incompletion of studies: 1. Non-starters: those who registered for courses but never began training. 2. Dropouts: those who started training but did not complete their studies. 3. Certified: those who completed their studies and were eligible for a diploma. 4. Non-certified: those who completed their studies but did not receive a diploma or professional certificate because they did not fulfill all the requirements. 5. Graduates: those students who completed their studies, regardless whether they received a diploma/professional certificate or not. Vocational Courses Funded by the Bureau of Training Non-starters and dropouts Of those who registered for vocational courses funded by the Bureau in 2007, 8% became 'non-starters' and 16% became 'dropouts.' The rest, 74%, completed their studies. Most dropouts left within the first trimester of the program. Ninety percent of the dropouts and 82% of the non-starters left voluntarily, often for personal reasons, such as sickness or family problems and financial constraints (see Table 13). 32

34 Table 13: Main reason for dropping out and non-starting of vocational training funded by the Bureau (%), 2007 Dropouts (N= 200) Non-starters (N= 100) Voluntary reasons- total Personal(e.g. sickness or family problems) Financial constraints Dissatisfaction with the field of training/ changed their minds and wanted to learn another vocation Found a job Distance of home from training institution 7 14 Difficulties with learning material 7 -- Dissatisfaction with teaching level 6 -- Involuntary reasons - total Expelled from the course (missed classes, did not 10 fulfill course requirements) Not accepted, course was not opened, personal reasons and others Source: a survey conducted by the Research and Economics Administration (Porat (5)) Most of the dropouts as well as the non-starters did so voluntarily (90% and 82%, respectively). The three main reasons for dropping out among trainees are personal (25%), financial constraints (20%) and dissatisfaction with the field of training (15%). The main reasons for not starting training are personal (29%) and finding a job (15%). However, a certain (unknown) percent did not start because the course was not opened. Men were more likely to drop out than women (19.3% vs. 12.7%), Israeli-Arabs more than Jews (23.7% vs. 14.2%), Ultra-Orthodox Jews more than other Jews (24.3% vs. 14.3%) and trainees lacking a matriculation certificate more than those with full matriculation certificate (27.6% vs. 13.0%) (Porat (5). In other words, less educated persons with greater family financial obligations were more likely to drop out. Dropouts did not significantly differ from those who completed their studies in the three years before registration for training, with one exception: a higher proportion of dropouts received income support (28.4% vs. 18.1%) and a lower proportion received unemployment benefit (16.7% vs. 27.6%) (Porat (5). These findings suggest that dropouts are a somewhat weaker group. 33

35 Certified graduates According to administrative data of the Bureau, the percentage of graduates eligible for official professional diploma rose gradually from 37% in 2000 to 68% in Vocational Courses Run by the Business Sector Certified graduates According to administrative data of the Bureau, 76% of the graduates were eligible for official professional diplomas. Practical Engineering Colleges - MAHAT 3 Non-starters and dropouts The average dropout rate of practical engineering students in Mahat is 21%. In disadvantaged populations, such as the Bedouin in the south of Israel, the rate is almost double - 40%. Table 14: Main reason for dropout among practical engineering and technician students, 2007 (%) Reasons for dropping out Total (N=910) (2007) Bedouin (N= 75) 2010 Personal(e.g. sickness or family problems) Dissatisfaction with the field of training 23 8 Difficulties with learning material Found a job/difficulties in combining studies and work 14 0 Financial constraints Dissatisfaction with teaching level 9 6 Sources: surveys conducted by the Research and Economics Administration (Porat (6)) and)fefferman 2011 ) As with students in vocational courses, the main reason for dropping out among practical engineering students is personal (25%) (see Table 14). Unlike the other group, however, the second most frequent reason is dissatisfaction with the field of 3 The data refer to practical engineering students only. No data are available for technicians. 34

36 training (23%). Financial constraints are less pronounced, perhaps because students in the mixed track are employed and earn an income. Bedouin students who dropped out of the college appear to have more financial constraints and more difficulty coping with the learning material than other dropouts, despite the fact that they meet the admission requirements, receive a two-month preparatory course, study in separate classes, and receive special financial support (see Chapter 8). Graduation As noted earlier, to be eligible for a diploma, a student is required to pass four final exams and complete a personal project. There is an incentive for students to complete the project on time: a student must pay 1,400 NIS for an adviser in the beginning of his second year of training but receives the entire sum back if he completes his project by March after the end of the training program. He may still fulfill his requirements within 7-10 years after finishing his studies and receive the diploma. Data from a 2008 follow-up study (Porat (2)) show that 39% of 1,950 practical engineering graduates who completed their studies within the prior 18 months, were eligible for a diploma. Women were eligible for diploma at slightly higher rates than men (44% vs. 37%). Students under age 40 were eligible at higher rates than older students (40% vs. 30%) Jewish students were eligible at higher rates than Arab-Israelis (42% vs. 21%). Differences were also found across fields of study, with eligibility rates ranging from 53% among electronic engineering graduates to 13% among civil engineering graduates. No significant differences were found between students in the full-time and mixed study tracks or between students with prior work experience in the field of study and those without. Practical Engineering Colleges - the Ministry of Education In practical engineering colleges supervised by the Ministry of Education, the estimated dropout rate after training has begun is less than 1%, and 80-to-85% receive a diploma 35

37 upon graduation. Almost all of those who fail to get a diploma complete the academic requirements later and eventually receive a diploma. 4.6 Labour Market Outcomes Indicators of Labour Market Outcomes The data on labour market outcomes of VET graduates presented in this section are derived from a series of follow-up studies conducted over ten years by the Research Administration in MOITAL. The data relate to the employment situation of the graduates after completion of training. Given the absence of a control group, they cannot be interpreted as measuring the success of the training program. The following indicators of labour market outcomes are presented here: 1. Employment rate of graduates at the time of the interview. 2. Employment rate of graduates in the vocation of training at the time of the interview. 3. Employment in vocation of training at some point after training completion. 4. Monthly wage of graduates. Vocational Courses Funded by the Bureau of Training This section presents findings of labour market outcomes of graduates of full- time studies in government-sponsored programs. The data derive from follow-up studies of two cohorts: 1. 1,700 graduates who were interviewed in 1997 and in 1999, half a year and two years, respectively, after completion of training; 2. 4,000 graduates who were interviewed in 2004 and 2008, 5.5 years and 10 years on average after completion of training. The first two rows in Table 15 relate to cohort 1 and the last two rows to cohort 2. 36

38 Table 15: The employment status at the time of interview of graduates of full time studies in government-sponsored programs (% of total graduates) Employed Unemployed (total) - job seekers yrs after completion yrs after completion yrs (average) after completion Employed in vocation of training Employed in another vocation Not in the labour force yrs (average) after completion Sources: a survey conducted by the Research and Economics Administration (MOITAL (1)) Rate of employment The rate of employment among training graduates increases steadily: 66% were employed half a year after study completion, 70% after two years, 74% after 5.5 years (average) and 82% after ten years (average) (see Table 15). The rate of unemployment decreases from 23.1% half a year after the completion of training to 5.7% 10 years (average) after. By comparison, Israel s unemployment rate during these years rose from 7.5% in 1997 to 10.7% in 2003 and then decreased to 6.1% in Rate of employment in the vocation of training The rate of employment in the vocation of training is the highest six months after course completion 39.8% (see table 15). It then decreases in the next five years to 29.2% and rises again after ten years to a level of 33%. As can be seen in table 16, there are substantial differences in the percentage of placement in the vocation of training between different vocations. The rate of employment in the vocation of training, after ten years (average), is higher for men (37%) and immigrants after 1990 (39%) and lower in the Arab sector (21%). 37

39 75.2% of the graduates worked in the vocation of training at some point after course completion (see table 16). This figure is based upon interviews conducted at several points of time between six months and ten years after course completion. Leaving the vocation of training More than 30% of the trainees stopped working in the vocation of training at some point during 10 years (average) after the course ended. Two-thirds of graduates who stopped working in the vocation of training did so voluntarily for a variety of personal and financial reasons (e.g. low salary, inappropriate work conditions). The other third, which left involuntarily, were largely dismissed because of layoffs or workplace closures (MOITAL (4)). Income from work After ten years (average), graduates who worked in the vocation of training earned an income that was on average 16.1% higher than the income of those who left their vocation or never worked in it (6,492 NIS vs. 5,591 NIS) (see Table 17) 4. Differences by vocations All training vocations, except hotel & guest hosting, show an increase in rates of graduate employment in the vocation of training over time. This trend is most pronounced in computers (10.7 percentage point increase) and in metal/automobiles (6.8 percentage point) (see Table 16). Graduates who work in the vocation they learnt generally earn more than their peers who work in a different vocation. This is most pronounced in computers (58.9% difference) (see Table 17). 4 Note: The average monthly wage per employee job was 8,414 NIS in

40 Table 16: Rates of employment in vocation of training in various points of time, by vocation of training (%) Selected training vocations Employed in vocation of training 5 yrs later Employed in vocation of training 10 yrs later Employed in vocation of training at some point after training Childcare Electricity & electronics Computers Metal/automobiles Administration Hotel & guest hosting Average Sources: surveys conducted by the Research and Economics Administration (MOITAL (1)) and (MOITAL (4) ) Table 17: Average monthly wage (NIS) of graduates employed in vocation of training compared with those employed in a different vocation, by vocation of training, 10 yrs later (average) Selected training vocations Average monthly wage of graduates employed in vocation of training Average monthly wage of graduates employed in a different vocation Difference in % Childcare 3,455 3, Electricity & electronics 6,907 6, Computers 12,327 7, Metal/automobiles 6,945 7, Administration 6,018 5, Hotel & guest hosting 6,559 5, Average 6,492 5, Source: a survey conducted by the Research and Economics Administration (MOITAL(1)) The Voucher program The Research Administration in MOITAL, as part of a follow-up study on graduates of the Voucher Program, published the following data on 532 graduates at 6 month after training completion. The survey was conducted in 2010 (Porat (3)). Employment status: 51.4% were working in the vocation of training, 23.1% were working in a different vocation, 21.2% were unemployed and looking for a job and 4.3% were not in the labour force. 39

41 Employment in the vocation of training: The rate of employment in the vocation of training is higher for graduates with more than 12 years of schooling (59.1%) and for those aged (55.8%). Receiving income support benefit: Graduates receiving income support benefit were working in the vocation they studied at a lower rate than other participants 30.8% vs. 54%. Income: The average income of the graduates was 6,637 NIS. The income of graduates who were working in the vocation of training was 36% higher than the income of those who were employed in a different vocation (7,341 NIS vs. 5,375 NIS per month). Practical Engineering Training - MAHAT Graduates The findings presented in this section derive from follow-up studies of two different cohorts: 1. 1,950 practical engineering graduates who were interviewed in 2008, years after graduation) Porat (2)). 2. 2,230 practical engineering and technician graduates who were interviewed in 2004 and 2008 five and ten years (average) after graduation (MOITAL (3)(. Rate of employment and employment in the field of study: years after training completion (Porat (2), not in a table): The survey conducted between one and 1.5 years after training completion, found that, 44.7% were employed in the field of training, 36.0% were employed in another field, 11% were unemployed and seeking employment and 8.3% were not in the labour force. Graduates in the mixed track were employed in the field of training more than graduates in the track of full time studies 55% vs. 40%. The employment rate in the field of training was higher among men than women (49.0% vs. 33.5%) and higher among Jews than Arabs (46.6% vs. 28.3%) years (average) after training completion: 40

42 86.6% and 93% of the graduates were working (either in the field of training or in a different field) 5 and 10 years (average) respectively after training completion. 69.7% of the graduates worked in the field of training at some point after study completion (see Table 18). This figure derives from interviews conducted ten years after graduation, and is based on the respondents ability to recall their employment history. Among graduates of vocational courses, the parallel rate ten years (average) after course completion was considerably lower than the rate reported for all four points of measurement (58% vs. 75%). Hence, lower rate may represent an underestimation due to memory problems. Table 18: Rates of employment in the field of training among practical engineering graduates and technicians in various points of time, by field of training (%) Selected training fields Employed in field of training 5 yrs later (average) Employed in field of training 10 yrs later (average) Employed in field of training at some point after training Industrial & management eng. Software eng Electronic eng Electric eng Civil eng Chemistry eng Mechanical eng Average Source: a survey conducted by the Research and Economics Administration (MOITAL (3)). 41

43 Table 19: Average monthly wage (NIS) of graduates employed in the field of training compared with those employed in a different field, by field of practical engineering training, 10 years later Selected training fields Average monthly wage of graduates employed in the field of training Average monthly wage of graduates employed in a different field Difference in % Industrial & 9,491 8, management eng. Software eng. 13,980 9, Electronic eng. 9,360 8, Electric eng. 9,192 7, Average 9,830 7, Source: a survey conducted by the Research and Economics Administration (MOITAL (3)). Leaving the field of training Ten years (average) after graduation, 16.1% of the graduates who worked in the field of training at some point were no longer working in it. 49% of the graduates who stopped working in the field of training left voluntarily mainly because they were not satisfied with their wage and/or working conditions, or because they found a better job (26.8%). Others left because of personal reasons, the attitude of the supervisor or because they found the job unsuitable (22.2%). 51% of the graduates who stopped working in their field of training left the profession involuntarily. Most were dismissed due to cut-downs, their workplace closed down or because their contract came to an end (39.1%). Others left because they were found to be unsuitable for the job or due to personal reasons (11.9%). Income Ten years (average) after the end of training the monthly average wage of graduates employed in the field of training was 9,830 NIS, about 1,950 NIS higher than the wage of graduates employed in another field (see table 19). Men employed in the field of training earned years after training completion, one-third more than women (7,570 NIS vs. 5,710 NIS). 42

44 Differences in employment and wages by eligibility for diploma years after training completion The employment rate is the same for practical engineers with and without a diploma. However, the employment rate in the field of training is higher among graduates with a diploma by 8 percentage points (see Table 20). The wages of graduates with a diploma are higher both when they work in the field of training and in another field (see Table 21). Table 20: Employment by eligibility for diploma, Practical Engineers (%) Eligible for diploma Employed in the field of training 49.6 Employed in another field 31.5 Total employed 81.1 Not eligible for diploma Source: a survey conducted by the Research and Economics Administration (Porat (2)). Table 21: Wages (NIS) by eligibility for diploma, Practical Engineering (NIS) Eligible for diploma Employed in the field of training 7,275 Employed In another field 6,455 Wage (Average) 6,970 Not eligible for diploma 6,865 5,740 6,330 Difference (%) Source: a survey conducted by the Research and Economics Administration (Porat (2)). 43

45 5. Mix of Provisions 5.1 The Governmental Sector Decisions about the supply of vocational training options in the governmental training authorities, namely the Bureau of Training and MAHAT, are made both at headquarter level and at the regional/local level. Each level bases its decisions on somewhat different information. The inputs are: 1. National objectives, Government decisions and legislation: The Bureau s and MAHAT S senior management base their decisions upon national objectives set t by the Director-General of the Ministry of Industry, Trade and Labour for the coming year, such as developing alternative energy sources, green construction, advancing the Arab sector and the country s periphery, and replacing foreign workers with Israeli workers. Decisions are also made following legislation initiatives (for instance, licensing a new profession of mass events manager) and decisions of other ministries (for example, the decision of the Ministry of Infrastructure to replace the use of metal gas pipes with plastic pipes, which requires a different technique of welding and appropriately trained new professionals). 2. Information supplied by the IES: This information relates to employers manpower needs, based on job offers received by the Service as well as observations of the directors of its local offices, and on the characteristics and training preferences of job-seekers. 3. Data from studies: The follow-up studies of training graduates, conducted by the Research and Economics Administration, provide information about rates of graduates who found employment in the vocation of training, their wages and other work conditions, as well as the characteristics and reasons of those who are not employed in the vocation they studied or not employed at all. Two on-going employers' surveys supply data of current and near future manpower needs: The Employers Survey, conducted every three months by the Research and Economic Administration, and The Job Vacancy Survey conducted 44

46 by the Central Bureau of Statistics (CBS) at the same frequency. Both surveys are similar in scope, content, and methodology. Employers are asked how many workers they recruited for different jobs, how many left, and what their work force needs are. In addition, the employers' surveys, conducted by the Research and Economic Administration ask the interviewees to assess the expected trend in the number of employees in the firm in the future. Some of our interviewees expressed reservations about relying on employers reported manpower needs, since few plan for the long and even the medium run. Some high-level officials in the field pointed out that receiving the findings was delayed to the point of them losing some of its relevance. Contact with industry: The staff of the curriculum department in the Training Bureau is in touch with employers to identify areas that are developing and examine their suitability to potential trainees. MAHAT consults regularly with manufacturers. They can propose new training directions and submit them to a committee of experts from academia and industry for examination of their rationale and feasibility. Sometimes colleges of practical engineering on their own initiative recognize the need for a new line of training. They can develop the curriculum and submit it to the committee for approval. Colleges also try to respond to needs of local industry and operate a course according to their request. For example, Teva, Israel's largest pharmaceutical company, approached the college in Beer Sheba to train university graduates as chemical practical engineers and paid for tuition. Intel, as well, had a course 'tailor made' for it. Training requests by industry often focus on adding specialization to a more general course, which may comprise hours out of 2,175 total hours in the course An example is Elbit Systems Electrooptics (El-Op) which requested a specialization in electro-optics (main field: Mechanical Engineering). The training took place on site and El-Op also assisted in preparing the syllabus. 4. Updates through international contacts: Supervisors and staff of the curriculum department in the Bureau make efforts to update themselves in new technologies and derive ideas from international conferences and professional tours abroad. 45

47 They also follow the activities of training schools in the business sector to learn about trends and demands. 5. Demand by potential students: Practical engineering colleges are also attentive to requests to open new courses by the population in the vicinity of the college. 6. Administrative considerations: Training institutions must go through a long process of tender when applying to teach a specified vocation. One of the Bureau s considerations in opening a new course is whether a prospective training institution that would be able to provide the training has a contract that is still valid. If it is not, it can take a very long time to go through the tender procedure. Senior officials stated their hands were tied by government regulations. 5.2 The Business Sector Business training institutions report that in their activities with the general public (as opposed to the courses budgeted by the Bureau, where everything is determined by the Bureau) they are in close and on-going touch with employers, particularly manpower companies. Some of them employ teachers who are also affiliated with companies and who can point out new subjects and technologies introduced in their companies. In addition, they attend professional conferences are also very attentive to requests by applicants. 46

48 6. Workplace Training 6.1 On the Job Training in Industry (OJT) The organization employs the new recruit/trainee in a full-time position as a regular employee on its payroll and is obligated to pay him at least minimum wage as defined by law. A senior worker is assigned as a mentor to instruct and guide the new recruit. The Bureau reimburses the employer for the cost of the mentor and the training of the new recruit(s). The employer, in his turn, must continue employing the new recruit after the end of training. The total employment period of the trainee (including training) is at least 12 months. The Ministry also subsidizes the wage of the new recruit by 2,000 NIS per month for a period up to 6 months. There is a final exam that is administered by the employer. OJT participants do not receive professional diplomas but they do receive confirmation of their participation in training in the workplace. 6.2 A Class in the Workplace The Bureau of Training invites employers to offer training courses that will meet their manpower/workforce needs. The practical training takes place in the workplace while the theoretical part of the curriculum is taught either in the workplace or in a training institution. The proposed vocation, the curriculum, and the place of training must be approved by the Bureau, but the employer has flexibility in designing the course as long as it includes core subjects. The employer must recruit the candidates for training but their suitability is assessed by a screening committee consisting of representatives of the Bureau, the IES, and the trainer. The employer must commit to hire a certain number of the graduated and to find a job in the vocation of training for at least 65% of the graduates, either by hiring them himself or finding them a job with other employers. 47

49 6.3 Internship Internship is practical training which follows theoretical studies in a formal course. Despite wide agreement with regard to their importance in providing students with opportunities to work in the "real world," internships are rare and are implemented in only a few courses. Examples include: Autotronics: a three-month internship in which the trainee receives a salary. After the internship, the trainee takes the practical exam. Furniture design: A one-month internship. Childcare: one day a week, after six weeks of studies. Medical secretaries: one week of internship in a hospital. MAHAT offers the possibility of internship combined with a small-scale final project, but it is rarely used because of difficulties in obtaining employers' cooperation. Both OJT and a class in the workplace constitute only a small portion of the training activity of the Bureau. Some of the interviewees suggested the following reasons: a) Employers are reluctant to commit themselves to the requirement of hiring a high percentage of graduates. b) Employers complain that the bureaucratic procedure of submitting the curriculum for approval by the Bureau is complex and cumbersome and includes requirements that they consider irrelevant, and therefore they avoid it. c) Employers are reluctant to invest in new recruits because they suspect that the good ones will leave after a short while, giving them little return on their investment in the training. 48

50 7. Access Routes, Second Chance Opportunities and Equity 7.1 Admission Requirements Vocational Courses Admission requirements to most vocational courses run by the government are years of schooling, depending on the course; for example, administration courses require 12 years, wood 11 years, construction 10 years. A few courses such as plumbing and certain construction vocations require less than 10 years of schooling. Admission to courses such as computers, bio-technology, water technology and alternative energy is contingent upon having an academic degree. As a rule, there are no entrance exams, except for the following cases: a) Computer courses b) If an applicant does not have the required certificate of education (due to loss or damage), entrance exams are used to assess his suitability to the course. c) Applicants above age 32 may not be required to present a high school diploma but have to take tests. d) In certain courses, specific formal knowledge or skills are tested, for example, English, math and logic in computer courses; math and English in technological courses; math, English, reading comprehension and writing in administration courses; drawing and sketching in computerized graphics; creativity test in gold and silver crafting. e) Exams also serve to assess the level of candidates who will have to take a preparatory course. All applicants must appear before an admission committee comprising a professional supervisor or a representative of the relevant bureau district, a representative of the training institution, and a representative of the IES. The committee mainly checks the applicant's seriousness and commitment to studying. It has discretion to accept a certain percentage of applicants who do not meet all the requirements, and even take into consideration work experience as a substitute for educational criteria. 49

51 The admission requirements in the business sector in which students pay for courses are the same as in courses run for the government by institutions in the business sector. The difference is that in the former, the final decision is made by the institution, whereas in the latter it is made by an external committee, as mentioned above. Practical Engineering and Technician Training - MAHAT The admission requirements are 12 years of schooling and having passed matriculation exams in math, Hebrew and English at the minimum level. In other words, a full matriculation certificate, which requires passing at least six subjects, is not required. Hence, requirements are considerably lower than those for admission to university. Applicants at the age of 35+ (30+ for Technicians) are only required to have 12 years of schooling. In certain vocations (e.g. Architecture), the applicant has to pass specific exams. If an applicant lacks only one matriculation exam, he is allowed to start his studies, but must complete the missing exam during the first year. In some colleges, admission depends upon the score an applicant gets in a screening test administered by an external screening institute. 7.2 Integrating Disadvantaged Groups There are a number of groups that have special barriers in the labour market, whether educational, cultural, physical or family barriers, and require special training arrangements: Arab Israelis, especially women; ultra-orthodox Jews, especially men; new immigrants from Ethiopia; single mothers and people with disabilities. The unit for special populations in the pedagogical department of the Bureau is responsible for adaptation of curricula and teaching methods. Usually no concessions are made in the admission process itself; however, a range of assistance is offered to participants from disadvantaged populations. 50

52 Preparatory Courses In vocational training courses funded by the government, applicants who do not meet the admission requirements can take a preparatory course. These courses range between 1.5 and five months and are organized according to the designated field of study or type of population. They include several types: a) Basic education: Courses that raise the applicant's level of education to the level required in the desired course. b) Specific skills: Courses provided by the training institutions that teach the skills required by a particular course. c) Technological preparatory courses: Courses that provide basic technological knowledge and skills. d) Employment preparatory courses: Courses that teach basic skills as well as soft skills. and job search skills and provide individual counseling; these courses target persons who have been out of the labour market for a long time. In the past there used to be courses for less educated applicants, chiefly immigrants from Ethiopia who had less than ten years of schooling, to bring them to the level of 10 years of schooling, but they have been discontinued for the most part. The preparatory courses do not automatically guarantee admission to the course; they just enable the applicant to apply. Practical engineering training colleges, also, offer technological preparatory courses for applicants with 12 or 11 years of schooling. The duration of the preparatory courses is eight months, at the end of which the students must take national as well as internal exams in Hebrew, English and math. Passing the tests is considered as equivalent to meeting the admission criteria. Training institutions in the business sector do not offer such courses in their nongovernmentally funded courses. Language of Tuition A few courses implemented by the Bureau are taught in Arabic in Nazereth, Sachnin college and East Jerusalem. It should be noted though that the preference is that Arabs will study in Hebrew to make their transition to the Israeli labour market easier. 51

53 People with Disabilities Students with diagnosed learning disabilities receive extra time in exams. More efforts have been made with regard to people with disabilities following the Law for Equality of People with Disabilities which was passed in Although separate courses for people with disabilities exist (such as courses for hard of hearing, for visually impaired), the challenge is to include them in courses for the general population. The process recommended by the Bureau consists of several stages: a) assessment of the barriers to see whether the person could benefit from a preparatory course; b) adaptation of the course, for example, adding hours, smaller classes; c) assistance in studying for tests; d) facilities which are accessible to persons with disabilities. By law, all training institutions must be physically accessible by Soldiers from Deprived Background Male and female soldiers from deprived background may join a program sponsored by the IDF, the Ministry of Defense and MOITAL and study a vocation, which will ease their transition to civil life after their discharge from the army. 7.3 Moving between Levels of Education There are possibilities for transferring between vocational courses and practical engineering and technician training as well as between practical engineering training and academia but they are not so easy to realize. Graduating in the practical engineering track gives 30 out of 160 credits needed to earn an academic degree in engineering. Graduates of vocational training in vocations such as electricity and machinery get credits in practical engineering colleges which, in principle, should enable them to save 30% - 40% of the time needed to earn a practical engineering diploma. The problem is that these credits are divided among various subjects in a way that does not exempt the student from entire courses. In order to make the most out of the credits it is preferable for the students to attend special programs, tailored to students with the 52

54 relevant credits. Unfortunately, there are almost no such classes targeted at students with credits. Still, there are a few exceptions: An agreement of the ORT network with Bar Ilan University allows each year 400 students of Ort Practical Engineers Colleges to continue their studies for one year to acquire an academic degree in economics and logistics students of Ort Braude practical engineering college in Karmiel continue their studies each year for years and acquire a degree in engineering at the Ort Braude academic college. A follow-up study of practical engineering graduates found that within ten years after graduation, 56% continued to study some 10% studied engineering at university, 15% studied for a bachelor's degree in a different field, 4% did graduate studies and 27% went on to other vocational studies (MOITAL (3)). 53

55 8. Funding and Incentives 8.1 Vocational Courses Training Track Sources of Funding Courses that are fully funded by the government: Regardless of whether they are run directly by the Bureau or outsourced to the business sector, courses are budgeted by the Bureau cost per hour, which varies according to vocation. The average sum is 8,000 NIS per student and it varies from 3,000 NIS in administration courses to 16,000 NIS in computer courses. The payment is directly transferred to the training institutions. Students do not pay for tuition, except in courses in hotel professions, where the participants pay about 3,500 NIS. In all courses students pay for the final exams (265 NIS) and for books and tools (150 1,000 NIS, varying by course). The voucher program: In the voucher program, students pay out of pocket and are then reimbursed up to 80% (90% for income support recipients) of tuition expenses, up to a ceiling of 7,000 NIS. Reimbursement comes in three equal installments: upon registration, upon course completion, and after three months employment in the vocation of training, conditional upon submitting pay slips for three months. Under the program implemented by the Ministry of Immigrant Absorption, the reimbursement amount is the same but it is paid in two installments and is not conditional upon any employment. Training in the workplace - OJT: The Bureau pays the employer a monthly sum of 1,000 NIS for a mentor who trains 1 new recruit, 2,000 NIS for training 2 new recruits and 3,000 NIS for a mentor who trains 3-10 recruits, for up to six months period. The Bureau also subsidizes the new worker's monthly wage by 2,000 NIS for the same length of time. 54

56 Training in the workplace a class in the workplace: Employers that fulfill the commitment to place a defined percentage of graduates in the vocation of training are fully reimbursed for the cost of training by the Bureau. Courses in the business sector not funded by the government: In these courses tuition fees vary greatly and can reach over 20,000 NIS per course. Students pay out of their own pocket with occasional subsidy from employers. Assistance in Paying Tuition Fees Grant for discharged soldiers: Students who served in the army or in some form of national service are eligible, upon their discharge, for a grant of 13,000 28,000 NIS, to be used for studying or setting up a business. Students are eligible up to five years after discharge. Subsidy by employers: Students in courses that are not funded by the Bureau are sometimes partially or fully reimbursed by their employers. Incentives Incentives for the trainer Bonus for training institutions for placement of graduates in the vocation of training: To encourage the involvement of training institutions in placement under the fully funded arrangement, the Bureau pays a bonus of 1,000 NIS for each graduate of administration and IT-computers placed in the vocation of training. Bonus for the employer for placement in the vocation of training - a class in the workplace: Employers that fulfill their commitments to place graduates in the vocation of training receive a bonus of 1,000 NIS for each additional placement. Incentives for trainees Income support and unemployment benefits recipients: Income support recipients who participate in a fully funded governmental training program continue to receive benefits during the training period. Unemployment benefit 55

57 recipients who participate in a fully funded governmental training program receive only 70% of their regular benefit, as long as their eligibility period has not expired. Nevertheless, in high-priority vocations, unemployment benefit recipients receive their full benefit. To encourage less-educated persons to learn a vocation, recipients with fewer than 12 years of schooling are eligible for unemployment benefits for 138 days even if their original period of eligibility was shorter. Income support and unemployment benefit recipients who participate in the voucher program continue to receive full benefits during their eligibility period. Living expenses and retention bonus in high priority professions: Students who train in vocations defined by the government as high priority professions and who do not receive benefits from the National Insurance Institute are eligible for 6,000 NIS living expenses during the training period. Students who attended a course in one of the high priority professions and worked in the vocation of training for at least one year are also eligible for a retention bonus of 11,000 NIS, with part of the bonus paid after 3 months of work. The total amount of the living expenses and retention bonus is capped at 14,000 NIS. Each year, about 300 students receive living expenses and about 200 students receive retention bonuses. Transportation expenses: Reimbursement for transportation expenses depends on the distance of the training site from the student's place of living. The maximum reimbursement is 32 NIS per day for students who travel more than 41 km from their place of living to the training site. Incentives for employers The Manufacturers' Association established a foundation that encourages employers in the metal and electric industries to send their employees for training in vocations such as quality control, welding, and storeroom management. Training is done in the business sector and the foundation finances at least 25% of the cost of training with the employer paying the rest. Special attention is given to small firms. The foundation subsidizes 800 trainees yearly. 56

58 8.2 Practical Engineering and Technician Training Sources of Funding MAHAT colleges are budgeted by the government at 8,500 NIS per student yearly. Tuition fees paid by the student are the same. There is no governmental funding for the technicians track and usually the government's share is paid by the employer. In the engineering and technician colleges of the Ministry of Education the budget per student is 10,000-12,000 NIS yearly with tuition fees of 6,370 NIS. Assistance in Paying Tuition Fees Grant for discharged soldiers: MAHAT students are eligible for the grant for discharged soldiers (see above). Stipends of the Ministry of Defense for discharged soldiers: The Ministry of Defense provides stipends at 90% of the tuition fees for students in the preparatory course and the first year of studies. Students in certain courses, such as chemical engineering, mechanical engineering, and electronics are also eligible for a stipend in their second year of studies. Subsidy by employers: in fact, one of the follow-up studies reports that only 4% of the students were fully reimbursed by their employers (Porat(4)). Ultra-orthodox Jewish men and the Bedouins: There are special programs, targeted towards the Ultra-orthodox Jewish men and the Bedouins. Participants of these programs do not pay tuition fees. Bedouins also receive a governmental stipend of 1,000 NIS per month. Foundations: Some colleges provide stipends from independent foundations run by them. Sponsored courses: Some employer-sponsored courses provide the tuition as well. Sometimes, companies such as Intel provide stipends to promising students in practical engineering colleges. 57

59 Ministry of Education grants: Engineering colleges run by the Ministry of Education provide assistance grants of 1,000-3,000 NIS to students from disadvantaged backgrounds. 8.3 Governmental Funding of the Post-secondary Vocational Tracks as Opposed to Academic Programs Table 22 presents the funding and the tuition fees in government funded vocational training, practical engineering and technicians and academic engineers. It should be noted that the governmental funding for the academic engineers presented here is only the part of the budget designated to teaching and does not include funding for research. Table 22: Governmental funding and the tuition fees by the vocational training track, NIS, 2011 Average Governmental funding Tuition Funding unit per student fees Track Vocational courses funded by the Bureau of Training Practical engineering and technicians - MAHAT Total Per student 8, ,000 Per student/year 8,500 8,500 17,000 Per Academic engineers 27,500 9,850 37,350 student/year Note: The total sum of funding for practical engineering and technician colleges of the Ministry of Education is similar to the total sum of funding for MAHAT. Sources: Bureau of Training: Vice-director for Planning and Organization, the Bureau of Training MHAT: Director Academic engineers: Head of Economic Planning, the Committee for Planning and Budgeting 58

60 9. Social Partners The governmental agencies that provide vocational training are in contact with individual employers and employers' organizations, the Federation of Labour (Histadrut), universities and colleges and the IDF. In addition, there is a special partnership between the government and JDC-Tevet. 9.1 Employers Contact with employers focuses on several aspects: Ascertaining market needs and identifying the occupations for which there will be a demand in the future in order to open training programs for them. Collaboration in devising suitable curricula that meet the needs of the employers. Involvement in teaching and training in the workplace including OJT, classroom in the workplace and internship. In general, the overall involvement of employers involvement in the funding, curriculum development and training in the workplace is considered to belimited. 9.2 Workers' Organizations: The New Federation of Labour (Histadrut) The Histadrut's involvement in vocational training occurs through the professional associations which represent workers in a certain profession (such as engineers or social workers) or branch (such as wood or metal industry). One of the most active organizations in the area of vocational training is the Association of Practical Engineers which operates two types of training programs: 1. A practical engineering and technician college within the organizational framework of MAHAT; 2. Seven training programs in various areas in the country for workers who wish to upgrade their skills. The Association established a foundation to fund training. The employers, on a voluntary basis, pay 0.5% of the worker's monthly wage to the foundation. 59

61 9.3 JDC - Tevet Cooperation between the Bureau and JDC-Tevet occurs largely at the senior management level: The director of the Bureau is a member of the board of directors of JDC-Tevet and the vice-director is the chairperson of one of the professional committees of JDC-Tevet. There is mutual sharing of knowledge and experience, and consultation between the two organizations. At the field level, cooperation is especially extensive promoting employment among the Jewish ultra-orthodox community. JDC-Tevet has responsibility for reaching out to the target population, providing soft skills and job search skills, and building relations with potential employers, and the Bureau provides training and preparatory courses. A considerable percentage of the courses are in practical engineering. JDC-Tevet is currently focusing on developing programs to promote the upgrading of employment for a wide range of disadvantaged groups. In that framework, special attention is given to referring participants to vocational training courses, whether through the voucher program or through other channels. 9.4 Academia Academia is involved in determining the curricula for MAHAT. In addition, it has an important role in accreditation and allowing practical engineers to pursue academic degrees. 9.5 IDF The IDF is involved in vocational training in three areas: It has a representation on the committee that decides on the courses as well as curricula at the practical engineering and technician training frameworks run by the Ministry of Education. In addition, graduates of these frameworks are drafted to serve in their field of training and allowed to conduct their final project in the units in which they will serve. 60

62 The IDF drafts young women to study practical engineering and later serve in the army in their professional capacity. The IDF also pays their tuition fees. Soldiers, mainly from disadvantaged backgrounds, are sent to vocational training courses. 61

63 10. Teaching 10.1 Professional Requirements for Teachers All vocational training institutions supervised by the Bureau are required to employ teachers with the appropriate professional training and teaching experience in the subject they are teaching. Teachers of practical engineers are required to have academic certification. A considerable percentage of the teachers in the system have jobs in their trade or profession in industry or consultancy and, for them, teaching is an extra, parttime, job. The fact that their main job is in the field ensures that they keep their knowledge and experience up to date. With regard to the experience and pedagogic training of the teachers, a distinction must be made between the frameworks under the Bureau and those under the Ministry of Education. In the courses funded by the Bureau and at MAHAT there are no requirements for pedagogical training and experience in the technological subjects, but there are for the theoretical ones. In contrast, at Ministry of Education colleges for practical engineers and technicians, the teachers are required to have pedagogical training and experience, including a teaching diploma or pedagogical courses according to the requirements, plus a year's internship. Furthermore, these colleges are budgeted according to the institution profile, which is based, inter alia, on the education and experience of the teaching staff. Thus, the teaching institutes are incentivized to recruit high quality staff Teacher Training Pedagogical Training There is no organization in Israel that systematically and comprehensively trains professionals to teach the subjects taught in vocational training. There is a local initiative at ORT Braude College in Karmiel, which has a teacher-training track for engineers, with an annual enrolment of students. 62

64 In-Service Training The Bureau has a unit for in-service training for teachers. The unit organizes teachers' training days about once a year which focus upon updates of the curriculum and acquaintance with new teaching aids. In neither the Bureau nor MAHAT is in-service training for teachers compulsory. At the Ministry of Education colleges for practical engineers and technicians, the in-service training is organized by the Ministry and it is mandatory for the teachers to participate Teaching Aids The Training Bureau has a special unit that works on developing suitable teaching aids for in-service training participants. The unit produces courseware, textbooks and manuals in partnership with the relevant professionals and professional organizations. For example, a recent book on the subject of early childhood nutrition was produced in collaboration with the Ministry of Health and a physician specializing in paediatric nutrition Quality Assurance Quality assurance in teaching is discussed in Chapter 12. In general, supervision of the quality of teaching is done by the appropriate accrediting authority (the Bureau of Training, MAHAT or the Ministry of Education) and the training institutions themselves, with the help of, inter alia, feedback from the students Shortage of Teachers Some of the respondents reported difficulty recruiting teachers, particularly in the fields where there is a high demand for professionals/skilled workers in the job market and the salaries offered by employers in the business sector are higher than the wages offered in training frameworks (electricians, for example). The current shortage stems, inter alia, 63

65 from the fact that immigrants with professional know-how who arrived in Israel from the former Soviet Union in the 1990s and found employment as teachers are reaching retirement age and it is difficult to replace them. The respondents remarked that in order to solve this problem, they are offering higher salaries to teachers or that, sometimes, they compromise on quality (regarding professional seniority, for example). 64

66 11. Career guidance Vocational counselling and assessment prior to vocational studies are conducted mainly by the training institutes and the IES. Very little is done by professional screening and testing agencies. Information about the subjects of the courses can be found on the Internet and at vocational libraries, such as at the Unit for Discharged Soldiers Sources of Information about the Courses MAHAT and the Bureau of Training have websites with comprehensive information about the subjects they offer, including a description of the fields of training, conditions of admission, curriculum, examinations required and the diploma granted. Additional information is available on the Internet on the institutions' own websites. Candidates for courses funded by the Bureau receive an information sheet at the IES with details about the training to which they are being referred. Information is also available at vocational libraries. Such a library is open to discharged soldiers, for example, at four guidance bureaux of the Unit for Discharged Soldiers. In addition, the MAHAT colleges have open days for candidates when they can visit the college, meet staff members and receive information about the options available to them. Applicants can also meet with staff members and receive information Screening and testing prior to Start of Studies The Bureau and MAHAT do not test the candidates for their suitability for subjects. A number of practical engineering and technical colleges, at their own initiative, use a test developed 15 years ago with TIL International. The test examines the candidates' suitability for the studies, with regard to their skills and their personalities. Each examinee is given a general suitability score for practical engineering and a separate score of suitability for certain fields. There is no standardized use of the test. Some of the colleges do not use it at all; some offer it to the candidates as a tool; some require them to 65

67 take the test for special programs only, and others use it as a screening test and require all candidates to be tested. The IES performs some level of testing for the candidates it refers for vocational training funded by Bureau and the voucher program. The officials in question are employment counsellors, since they have experience in the area of job placement, but they do not have professional training in occupational psychology. In the past, the IES had a vocational testing service centre, staffed by occupational psychologists, but it was closed for operational reasons. The IES is currently in negotiations with agencies that could provide testing services in the future. The employment counsellors, at the IES also provide guidance to participants in the voucher program when the applicant is directly involved in the process of selecting an occupation and training institution, including an examination of the job market and his vocational expectations. Discharged soldiers can contact the Unit for Discharged Soldiers for financial assistance for vocational testing, regardless of the scholastic track. In a follow-up study of graduates and participants of the voucher program (Porat (3)) it was found that 20% were tested for suitability of their skills to the profession they wished to study; 19% received counseling from an occupational psychologist and 17% received some guidance from an employment counselor in IES. Altogether, 41% received some kind of counseling in choosing a suitable field of studies and a suitable training institution. 66

68 12. Quality assurance As described in Chapter 3, the bureau "purchases" courses in the business sector from training institutions through a tender procedure. Quality and cost of the services offered are the two main criteria in choosing the training institution in the tender. Quality control of training programs includes external supervision by the accrediting authorities and internal auditing by the training institutions themselves. The authorities have professional supervisors who conduct an audit of the training institution in accordance with clear directives and criteria. In contrast, the training institutions have autonomy developing and conducting their internal supervision Requirement for Supervision Supervision is obligatory for two types of training: 1. Courses funded by the Bureau 2. Courses that grant a license to practice a profession, for example, in construction or electrical work Supervision is not required for other courses provided by the business sector. However, in many cases, private training institutes ask the Bureau to supervise them, for two main reasons: 1. Supervision by the Bureau enables the institutions to grant their graduates official diplomas endorsed by the Bureau certifying that they have met the course requirements and passed national vocational exams; It should be stressed that in order to get the Bureau s recognition, the training institution must follow the Bureau s admission requirements, teach according to the Bureau s curriculum and submit their graduates to its tests. 2. If they are supervised by the Bureau, the institution can give students a grade on the basis of coursework which is taken into consideration in the final exam of the Bureau. This is important for training institutions in the business sector as an incentive for potential students, who need to take classification exams (e.g., chefs). 67

69 All colleges of practical engineering and technicians are subject to supervision by MAHAT or the Ministry of Education Supervision by the Accrediting Authority Vocational Courses The supervision unit at the Bureau of Training employs a staff of 45 inspectors. The inspection focuses on several aspects of the operation of the training institutions. Infrastructure: Suitability of the building Equipment required for the training, including teaching amenities and infrastructure and safety devices Professional performance: Profiles of the teachers Adherence to the curriculum Quality of the teaching from the vocational point of view Quality of the teaching from the pedagogical point of view Financial soundness is examined by an external accountant. The supervision reports are sent to the regional officer in charge of training, who has the authority to order the closure of an institution that does not meet the requirements. The supervision consists of a visit to the institution by supervisors and includes a review of the lesson records and observation in class. Practical Engineering and Technician Training MAHAT Each year MAHAT conducts an approval process in which every college must apply for permission to open training courses in the following year. The approval is granted per field of training and number of classes. The approval process is based on guidelines 68

70 which contain all the requirements from the college including the needed facilities, needed teaching aids and the qualifications of the teaching staff. Each college commits itself to follow the guidelines. MAHAT has a supervision and information dissemination department with a staff of ten supervisors, nine for practical engineering, one for technician training and three more supervisors are in charge of the technological preparatory courses. In addition, there is a person in charge of updating the website of MAHAT and another person in charge of contact with the public. The supervisors' major focus is on the professional aspects of training and they act as professional advisors to MAHAT and to the practical engineering colleges. The supervisors are involved in the following tasks: updating of curricula, setting standards for laboratories in the colleges, approving tests, advising on professional literature. On their visits to the colleges the supervisors often also advise on issues related to job placement in practical engineering. The administrative aspects (e.g. infrastructure, financial soundness) are examined periodically according to detailed guidelines. Practical Engineering and Technician Training Ministry of Education Pedagogical supervision in practical engineering training under the Ministry of Education is conducted by the same team that supervises secondary schools and it also takes account of the curricula. Physical infrastructure is supervised when the training institution is granted a license to operate. The license is renewed every 2-3 years Internal Supervision by the Educational Institutions The educational institutions have an internal supervision procedure, which includes supervision of the quality of the teachers and observation of the lessons themselves by the person responsible. The focus is mainly on young teachers. 69

71 In addition, it is the norm at colleges to have a process of internal feedback from the students regarding the quality of the teaching and the lecturers. The feedback is used as a tool for on-going improvements, including identification of problems that need to be addressed and solved. 70

72 13. Policy Development and Initiatives Historically, government-funded VET was linked to income benefits administered by the National Insurance Institute, because it was (and still is) perceived mainly as a tool for integrating benefit recipients into employment and getting them off the roll. Over the past decade, however, a number of policy and program developments have significantly changed the field of VET in Israel. Beginning in 2002 and 2003, the government tightened up eligibility rules for unemployment benefits' recipients who studied in vocational courses. In most courses, their benefits were reduced by 30% during the training period and their eligibility period for benefits was not extended beyond the initial eligibility period. (Previously, the training period was not taken into consideration in determining the period of eligibility). Except for a few exceptions, unemployment benefit recipients could no longer receive the benefit throughout the length of the vocational course. The objective of these changes was twofold: (a) to shift the focus of training to income support recipients, who were receiving a non-time-limited benefit; (b) to reduce governmental expenditure on vocational training. As a result of these changes, the number of income support recipients participating in training increased from 6,750 at 2002 to 11,850 at 2004 and subsequently declined to 2,460 in The decline can partly be accounted for by the Israeli Welfare to Work project which started in 2005 and was discontinued in The number of unemployment benefit recipients declined from 38,500 at 2002 to 3,250 at 2004 (special analysis by the National Insurance Institute). At the same time, the government began to designate specific groups as target populations for government-funded VET. Initially, the focus was on single parents. Later, income support recipients were added, and most recently the emphasis switched to minorities, especially Arab women, Bedouins, and ultra-orthodox Jews (especially men). In addition, as part of governmental policy to replace foreign workers by Israeli unemployed persons, the Bureau gave priority to training courses in metal and 71

73 construction professions, although there was little demand for them among Israeli job seekers. As a result of all these changes, the Bureau was left with a limited budget to implement training courses for those unemployed job seekers not targeted by these policies. Another change has been the introduction of training vouchers, which increased the responsibility, as well as the options, of the job seeker in finding a suitable course. The vouchers reduced the role of the Bureau of Training to funding. In 2009 the government set up a committee to examine the government s employment policy (MOITAL(2). The committee s recommendations, submitted in June 2010, included several recommendations involving the VET system. One set of recommendations focused on vocational courses for adults. These recommendations included: Promoting employment in the vocation of training Reinforcing the connection with employers in respect to assessing training planning, assuring the suitability of the curriculum to their needs and promoting their active involvement in training in the workplace Focusing upon groups with multiple employment barriers A second set of recommendations addressed the practical engineering and technician colleges. These focused primarily on changing the budgeting criteria in order to encourage colleges to increase the rate of diploma recipients. This was consistent with the recommendation of the Israeli State Comptroller who, too, examined the activity of MAHAT and publicized his report in 2009 (Israeli State Comptroller (2009)). A further recommendation of the State Comptroller for MAHAT was changing the mix of fields of studies to better match the needs of the Israeli economy. The government endorsed the committee's recommendations and passed a resolution (Resolution no. 1996) stating that: Vocational training courses will be budgeted by MOITAL on condition that they include a provision for job placement efforts of graduates. 72

74 20% of the Bureau's training budget for adults will be allocated to vouchers and another 20% will be used for training in the workplace. The Director General of MOITAL, in collaboration with IES and employers' organizations, should examine the suitability of the courses funded or approved by MOITAL to employers' needs, recommend changes needed to improve suitability and to include employers and placement agencies in screening processes and determining course subjects. As well, he should recommend measures to shorten the time it takes to approve new courses. Practical engineering and technician colleges will be budgeted according to the number of diploma recipients rather than the number of students. Two additional criteria for budgeting these colleges should be examined: focus upon fields of engineering in-demand and upon training groupss with low rates of participation in the labour force. 73

75 14. Strengths and Challenges of the VET System in Israel The people who were interviewed for this review emphasized a number of strengths and challenges of the VET system. These include: Strengths Flexibility despite strict regulations: The Bureau of Training is obligated to follow government rules and regulations, which often involve cumbersome and bureaucratic procedures. Despite this, there is a degree of flexibility in how the system operates and responds to specific employers' needs. Thus, there are a variety of training tracks; training courses are sometimes tailor-made for employers; there is room for local initiative; the validity of the tender for training institutions has been extended from three to four years; and the incentive for employers to engage in OJT has been increased. Efforts to help persons from disadvantaged backgrounds get accepted to the courses: Various preparatory courses both in the vocational track and the practical engineering track offer a second chance for candidates who do not meet the admission criteria to be accepted into training. Designing new courses and updating existent courses: There is an ongoing effort of this nature in response to technological developments, employers' requests, and governmental policy and priorities. Collaboration with other agencies: The Bureau of Training cooperates with various NGOs that operate employment programs for disadvantaged populations and assists them by sharing knowledge and experience, providing funding, and occasionally supplying tuition and facilities. Challenges Developing tools for predicting manpower supply and demand: This is a need that is felt in relation to different economic branches and for various future periods. 74

76 Improving data collection and data analysis and using them for planning purposes. Introducing vocational counseling by occupational psychologists and guidance in career planning. This is an important pre-requisite to vocational training and could help to reduce dropout from courses and save money. Adapting training programs to the barriers of people with learning disabilities and other populations with special needs. Improving teaching quality through providing pedagogical training for those teachers who lack it, and training new teachers to be current with regard to professional content and teaching methods. Creating channels of mobility between different levels of training, such as between practical engineering and engineering studies, could encourage young people to apply to practical engineering colleges, since they would know that that they could advance professionally. Institutionalizing cooperation with social partners, such as trade unions and employers' organizations, in the form of regular forums for consultation and planning, rather than relying on ad-hoc cooperation based on personal connections. Encouraging employers to increase their involvement in VET with respect to curriculum development, workplace training, contributing to the funding of training and placement of graduates. Reducing bureaucratic constraints and the time required for approval of new courses and other training programs, such as training in the workplace and the voucher program, as well as for updating existing courses. This will improve the ability of the Bureau to quickly respond to the needs of the labour market. Improving the accessibility of OJT in order to increase its usage Improving the public image of vocational training. Developing a strategic research program to examine issues pertaining to VET. The Directorate of the Ministry of Industry, Trade and Labour is promoting a qualification framework in the VET system which will be implemented by the government in coordination with employers' associations and employee unions. 75

77 The objectives of this step are: to expand opportunities to acquire a vocation and also to upgrade skills at later stages; to get VET system to operate according to obligatory standards with regard to training tracks, compulsory curricula, certification and job classification by the state. 76

78 References (Hebrew) MOITAL - Research and Economics Administration: (1) The Employment Status of Government Funded Vocational Training Graduates Five and Ten Years after Training Completion Press Release (2) The Employment Policy Commission Final report (3) The Employment Status of Graduates of the Practical Engineering Track, Five and Ten Years after Completion of Studies, Graduates of Presentation (4) The Employment Status of Government Funded Vocational Training Graduates in the Last Decade. Presentation. Undated MOITAL, Research and Economics Administration - Alon Porat: (1) Porat, A The Employment Status of Government Funded Vocational Training Graduates Long Run Follow-up (2) Porat, A The Employment Status of Graduates of Practical Engineering (MAHAT), One Year After they Completed their Studies (Graduates of 2008) (3) Porat, A The Employment Status of Voucher Program Graduates the Third Cohort (4) Porat, A Students' Satisfaction in the Practical Engineering Track (5) Porat, A. Undated. Dropout from Government Funded Vocational Training 2007 (6) Porat, A. Undated. The Reasons for Dropping Out MAHAT. Presentation. Other Fefferman, B Survey Outcomes of Bedouins Who Studied in the Practical Engineering Track. Memorandum. Research and Economics Administration in the Ministry of Industry, Trade and Labour Brand, G "The Developing Structure of the Israeli Labour Market". In: Nathanzon, R.; Levy, R,;Navon, M.; Brand, G. (eds.) Vocational Training for Adults in Israel and 77

79 the Needs of the Israeli Labour Market. The Macro Center for Political Economics, and the Friedrich-Ebert-Stiftung. The Israeli State Comptroller Perspectives in the Activity of the State Institute for Training in Technology and Science. Annual Report 59 B. 78

80 Appendix List of Interviewees The affiliations of the people that were interviewed for this report are enlisted below. The number of the interviews in each institution appears in brackets. The Bureau of Training Senior Staff (12): Officials in charge of the budget, curriculum, supervision and teaching aids The Bureau of Training Practical Engineering and Technician Training (6): Officials in charge of the budget, curriculum, supervision, and disadvantaged groups Ministry of Education - Practical Engineering and Technician Training (1) Research and Economics Administration (2) Ministry of Health (1) Ministry of Tourism (1) Ministry of Immigrant Absorption (1) Ministry of Finance (1) Israeli Employment Service (2) The Bureau of Training, governmental training centers (1) The Bureau of Training, colleges in the business sector (3) The Bureau of Training, MAHAT, practical engineering and technician training colleges (3) Manufacturers Association of Israel (3) New Federation of Labour (3) Tel Aviv and Central Israeli Chamber of commerce (1) 79