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DEVELOPMENT OF TECHNICAL/ VOCATIONAL TRAINING
SYSTEM IN PAKISTAN
By
Muhammad Javaid
Introduction
The development of human resources is the process of increasing the
knowledge, the skill and capacities of all the people in the society. In
economic terms it is called accumulation of human capital. Economic
growth not only requires an increase in capital investment but also a larger
supply of scientific, technical and vocational skills.
The Problem
2. Pakistan’s population is characterized by a ‘demographic bulge’ of
young people in population pyramid. This is indicated by the fact that
population in the age group of 15-19 years which constituted 10.67% (15.5
million) in 2001-02 of total will increase to 18 million by the end of five
year period i.e 2008-09. This is the second largest group in the labour force.
The unemployment rate among this age group in the Labour Force Survey
1999-2000 was 15.2 percent and increased to 16.2 percent in Labour Force
Survey 2001-02, which is higher than all other age groups. Out of the
population 15.5 million in the 15 – 19 years age group in 2001-02, 0.94
million were unemployed. It should be noted that 70 per cent of the
unemployed were literate.
3. At present roughly 1700 thousands students are being enrolled for
matriculation examination every year. The passing students constitute about
9 percent of the total literate labour force in Pakistan. The Pre-Matric
constitutes 33.5 percent of the total literate labour force. It indicates that age
groups, of 10-14, 15-19 and 20-24 need to address. The percentage of
unemployed is higher in these age groups. In total 56 percent of total
unemployed are belong to these age groups. This situation emphasized to
create a system of technical and vocational training for youth to match the
requirement for trained manpower in an expanding modern sector.
4. Although there has been no Labour Force Survey since 2001-02, there
are indications to suggest that this trend has persisted. This pool of literate
unemployed, if trained properly, presents an opportunity for accelerated
growth. In action in this, however, will turn this young population into a
threat to the socio-economic fabric.
5. The country and its education, training and skills development system
thus face a tremendous challenge. Major chunk of this population group will
have to be trained in the vocational and technical fields, which would call
for a massive effort in all sectors, the government, the private and the
informal.
The Existing System and its Problems
6. The existing vocational and technical training system may be
examined with the objective to identify institutional constraints and to
suggest measures to impart a degree of resilience to this component of the
education system.
7. The Legal and operative framework for training of youth has been
established in the shape of National Training Board following the
promulgation of the National Training Ordinance in 1980 revamped in 2002.
Representatives drawn from employers and employees constitute National
Training Board is constituted by representatives drawn revamped in 2002
employers and employees.
8. Vocational Training Programmes are administered by a number of
Federal, Provincial and Private Agencies, e.g. Government vocational
Institutes (GVIs), administered by the Provincial Education Department,
Technical Training Centres (VTCs), Government Vocational Institutes
(GVIs) and Apprenticeship Training Centres (ATCs), administered by the
Provincial labour Departments; In-Plant Training Programmes, i.e.
Apprenticeship Training under the Apprenticeship Training Ordinance 1961,
administered by the Provincial Directorate Manpower and Training of labour
2
Departments in establishment employing 50 or more workers, training
within industry, designed for individual and specific needs. Other training
programmes are administered by various agencies such as Overseas
Pakistanis Foundation, Small Industries Development Corporations and
private technical training institutions. In Province of Punjab Technical
Education and Vocational Training Authority (TEVTA) has been established
and al the departments dealing with technical education and vocational
training have been placed under it. In NWP the vocational training has been
merged with technical education department and placed under the Ministry
of Industries, Commerce, Mineral Development Labour, Transport &
Technical Education Department.
9. Efforts have been made to involve the employers more intimately with
training and its benefits. Training Programmes focus on improving the
productivity, product quality and maintenance techniques. About 400 In-
Plant Training Managers from 80 mediums, large and small-scale
establishments have been trained using modules for Training of Supervisors
(MTS) in 28 courses of 12 weeks duration.
10. The Directorate of Apprenticeship Training, Labour department, is
supervising the Apprenticeship Training Programme under the 1962
Apprenticeship Ordinance. The scheme is operational in about 781
establishments, located in different parts of the country, where 19807
apprentices are under training in 123 apprentice able trades. The province-
wise detail of apprenticeship is given at Annexure-I.
11. There are 485 institutions in Public Sector under the various Federal
& Provincial Organizations. All those institutions are imparting training in
139 vocational trades. The total capacity of those institutions is 85184. The
number of institutions under various organizations and their capacity with
trade may be seen at annexure-II. The trades in which the training is being
imparted in these institutions is also given at annexure III. Six institutes
under the control of Ministry of Industry are also involved in training, a
detail of which is given at annexure IV.
12. The review of vocational and technical training reveals the following
problems. First, there is generally the assumption that there are just two
levels of skills, namely, the skilled worker level and supervisory level. The
informally trained worker is viewed as essentially being outside this two-
tiered structure. It must be recognized that informal system has resulted in
3
the training of the largest number of skilled workers in the country and that
this training system has been the mainstay in meeting national requirements
for skilled workers when a large-scale outflow of skilled workers to oil
producing countries was taking place. Of course, there are certain drawbacks
in the informal training system with excessively (8 to 10 years) long training
periods and a level of skill, which is not comparable to those who have been
trained through the formal system (3 years). The strategy must be to provide
whatever support is possible to development of informal training
arrangements in the country.
13. Another problem is that the formally trained person is often at a
disadvantage when he is being selected for employment due to the fact that
most employers in the country are not conversant with systematic training
and would rather find it convenient to either hire an informally trained
person who is a relative of one of the existing workers or simply employ an
unskilled person from the factory gate who after a period of informal
apprenticeship could then be appointed as skilled worker. The problem lies
not only in the level and quality of skill of the formally trained skilled
worker but also in the lack of adequate labour market linkages and often in
the ignorance of the employer of modern management techniques.
14. The unfortunate aspect of training of a polytechnician is that he
cannot be appointed as supervisor because neither is he conversant with the
processes of production nor does he have any knowledge of shop
management techniques. Given the strong preference on the part of
employers, therefore, on-the-job apprenticeship training must be given
precedence over formal, institutionalized training.
15. A critical observation emerging from the review is that training
programmes should be strongly linked to the world of work. The stronger
these linkages the greater will be the credibility of the training programme
which can be translated into better wages and quicker employability. As
such, the offering of courses and designing of curricula should be a function
of market needs.
16. The lack of effective coordination is a major problem in the whole of
the Technical Vocational Education System. The plethora of existing
delivery level ministries, departments, agencies and institutions has given
rise to a host of problems like overlapping of functions, duplicative
4
facilities, misdirected efforts and lack of uniformity in standards, and
certification.
17. There is also a lack of detailed manpower surveys which should
periodically be undertaken to develop a comprehensive data base at a
disaggregated occupational level to enable proper planning, development of
training facilities and to estimate future demand for different trades.
Measures Required
18. Technical and Vocational Training can easily cope with the
anticipated requirements of quality skills, enhancement of knowledge and
practical know how of various trades, pedagogical improvements which
indirectly are the means for eventual employment. But actually it should
cater for the employment demands both for the formal and informal sectors,
rather than being responsible for an unregulated supply of manpower
without realizing the market potential for labour absorption and further
trends. GOP has to consider essentially the priorities for strategic human
resources absorption responsive to the sectoral changes in industry and
agriculture and further labour market needs. The involvement of private
sector in training activities is minimal. Though the National and Provincial
Training Boards try to find out the requirements of industry through
occasional surveys and to match the training with the requirements, there is
need to increase the coordination between public and private sectors and to
increase the participation of private sector in training activities.
Role of Government
19. Emerging from the earlier discussion, it is necessary that
Vocational/technical facilities need to expand especially in areas where there
is a perceived market demand in the short run and potential demand in the
medium run as the economy develops. In particular, it must develop
mechanisms whereby future demand for emerging skills can be anticipated
and arrangements made for supply of the required manpower at the proper
time.
20. More importantly, the public sector must cease to play only a direct
role and also start performing support functions through development of
incentive and regulatory mechanisms. It must foster private sector
participation in technical training especially in technical training especially
5
in skills for which there is an immediate market demand. In addition, it must
support informal training arrangements in the country and motivate
employers through appropriate incentives to undertake larger on-the job
apprenticeship programmes.
21. The regulatory role of the government must also be reinforced. This
will consist, first, of standardization of courses and curricula and quality
control over the private sector. Second. The government may develop a
national credentialing program of trades whereby licenses/certificates to
operate in a trade are offered to master craftsmen who have acquired the
necessary skills. This will help in establishing a market premium for these
skills.
Role of Private Sector
22. There are a number of vocational training centers in the private sector,
which were initially established to take advantage of a need to terrain skilled
workers for export to the oil producing countries of Middle East and North
Africa. More recently a host of computer training institutions have
mushroomed in all the major cities of the country.
23. It is necessary, therefore, that the private sector should be encouraged
to expand its involvement further in the field of vocational and technical
training. The rapid emergence of computer training facilities in the private
sector is a clear in indicator that it can respond quickly to market demand.
Greater access to credit, exemptions on import duty on training equipment
by certified institutions and agencies, etc., could be offered as incentives. It
is important however to ensure proper regulation through determination of
appropriate levels of fees, conduct of proper examinations and establishment
of proper certification procedures.
Role of Employers
24. The deficiency in the existing training system is the absence of any
linkage with the labour market. Some time back employer based advisory
committees were established at each institution; these committees were
required to modify or adopt the existing training programmes in each
institution from the point of view of the employability of the trainees and
also possibly employ the trainees in their own establishments in the case of a
vacancy. These committees could not function due to the following reasons:
6
i) The employers could not attend the meetings of the committees
due to their own preoccupation. It seems as if the employers
were not serious about this training programme.
ii) The principals of various institutions could not carry out the
necessary extension work to convince employers that their
involvement with the institutions through the advisory
committees would be of some benefit to them.
iii) The thrust must not be only on inducing a meaningful
participation by employers in the running of training institutes
but also in involving them directly in the process of training on-
the-job through apprenticeship programmes. As indicated
earlier, appropriate incentives must be offered to achieve this
outcome.
Support to Informal Training
25. The informal sector does not consist only of unskilled activities like
petty traders, street hawkers or shoeshine boys. It also includes self-
employed mechanics, machine tool workers, masons, carpenters, tailors and
dress acquiring training/skill through the informal sector are productively
absorbed either in the industry or services sector or run their own
independent businesses. However, in general the informal training period is
of a long duration and the working is largely on traditional basis.
26. There is a need therefore to train/strengthen the existing skills
acquired by the persons working in informal sector. To operationalise this, it
is suggested that efforts to be made to take an inventory of informal sector
workshops, their type and the concentration of units on a district wise basis.
On the basis of this inventory a scheme should be deviced to train this
manpower in their relevant skills on more systematic and scientific grounds
in order to improve existing skill capabilities. For this purpose mobile units
equipped with all relevant technical equipment/tools and accompanied with
trainers should be sent in to areas where concentration of these activities is
observed. These mobile training units may give a training programme of one
to two weeks in the district.
7
27. If necessary, tools should be provided to informal sector workers on
subsidized rates. This will not only improve the skills of the informal sector
manpower but also familiarize those workers with the latest available
technology and efficient method of production to perform their jobs more
effectively.
Agro-technical Vocational Training
28. In the context of our economy, the importance of planned provision
and expansion of agro-technical/vocational training is to be more clearly
recognized. Modernization of agriculture is directly linked with the
availability of requisite trained manpower. Besides employability of rural
untrained, rural surplus youth is already a problem. The phenomena of
“Unemployable Manpower” in the form of untrained surplus population now
appears to have become quite endemic throughout the economy.
Consequently time has come to impart a concrete bias to our
technical/vocational training programme with reference to each sector
namely industry, the services and agriculture.
29. Agro-technical / vocational training programme should be provided
with efficient institutional underpinning through functional and robust
cooperation between provincial directorates of technical/vocational
education, and the departments of agriculture and planning.
30. Pakistan Agricultural Council may be invited to take the lead in
initiating necessary policy research in this regard as they possess the
wherewithal at necessary for the purpose.
30. The progress of agriculture is measured through the surplus it
produces over time. That surplus is not aided but hindered if it allows its
surplus in untrained manpower to persist. The waste and misery represented
by this spectacle can only be minimized if a definite start is made by all
concerned agencies towards transferring our existing educational and
training system in rural areas through the conversion of one third of existing
schools/colleges into institutions specializing in the instruction and
application of Agro-based technical/vocational studies.
8
31. This would be in keeping with our new strategy of manpower
planning namely to relate our education and training programme more
explicitly to market demand rather than adhering thoughtlessly to the
hitherto held view where supply is expected to create its own demand.
Fiscal Incentives For Technical/Vocational Training
33. The following recommendations are made in the field fiscal policy for
the promotion of technical and vocational training in the country.
Tax Credits for Expenditure on Training
34. To encourage the involvement of the private sector in formal training
of manpower, it is suggested that a tax credit be given to firms for all
expenditures incurred on human resource development. At present, no tax
exemption is given for such expenditures.
Exclusion of Apprentices from Payroll Taxes
35. Presently the payroll related tax is assessed on the total payroll of the
firm including the compensation given to apprentices. It is recommended
that apprentices be excluded from the category of ‘workers’ and any payroll
taxes levied on workers should not be charged on apprentices.
Import Duty Exemption on Training Equipment
36. A fiscal incentive scheme may be developed and implemented by
CBR whereby certain categories of equipment used for training purposes be
declared as exempt from the payment of import duty, just like the proposal
to exempt imported capital equipment not produced locally. In order to
prevent misuse of this concession, the incentive should only be granted to
certified private sector training institutions.
Share of construction cost
9
37. Government may share a part of construction cost to establish the
training institutes for High-tech professionals in the private sector.
38. The basic objective behind the provision of the above package of
incentives is to induce higher private sector participation in vocational and
technical training.
Proposed Structure of Technical / Vocation Training System
39. A big infrastructure is available in the country for the
Technical/Vocation training. The question is how to use these available
resources to enhance the employability of the work force and to boost of the
economic growth of the country.
40. All over the country, the building structure is available and NTB and
other agencies are administrating these sites. Since, the production technique
and machinery involved in effective training is being improved day by day
therefore it will be expensive to provide the new machine/equipments in
these training centers. Therefore a dual Technical/Vocation System may be
introduced in the country as experienced in other countries. According to
this setup the available classroom (site/center) may be used for the teaching
the theoretical part in short span. Thereafter, the trainees may be sent to the
registered establishments for their practical training. These registered
Establishments may be compensated with fiscal incentives and providing
wears & tears expenditures of their equipments and material.
41. This system will reduce the expanses on providing the latest
equipment in the centers and will provide real opportunities to trainees for
on-the job training. Such a system will respond the complaints of employers
about the compatibility of trainees.
10
Annexure I
APPRENTICESHIP TRAINING (2003)
PROVINCES NO. OF
ESTABLISHMENT
IMPLEMENTING
TRAINING
NUMBER OF
APPRENTICES
I.UNDER
APPRENTICESHIP
ORDINANCE, 1962
PUNJAB 567 5139
SINDH 93 2658
NWFP 34 906
BALUCHISTAN 44 104
SUB-TOTAL 738 8807
II. OUTSIDE PURVIEW OF
APPRENTICESHIP
ORDINANCE
43 11000
GRAND TOTAL 781 19807
Source: National Tanning Bureau
11
Annexure-II
STATEMENT SHOWING NUMBERS OF TRAINING
INSTITUTIONS WITH TOTAL CAPACITY UNDER TEVTA AND
DMTs
S.No
.
Departments No. of
Institution
Type of courses No. of
Voc.
Trade
Total Trg.
Capacity
1 Technical
Education &
Vocational
Training
authority
(TEVTA)
Punjab
400 i. Degree Courses in
Engineering trades.
ii. 3 years Diploma
Courses in Engineering
trades.
iii. Vocational training
diploma and certificate
courses in technical
trades.
iv. Commerce related
certificate and degree
courses.
68 76771
2 Directorate of
manpower &
Training, Sindh.
33 Short and long duration
(1-2 years)
32 2346
3 Directorate of
Technical
Education &
Manpower
Training
(TE&MT)
NWFP
35 Short and long duration
(1-2 year)
18 3290
4 Directorate of
Manpower &
Training,
Baluchistan
11 Short and long duration
(1-2 years)
21 947
5 Federal 06 Short and long duration
(1-2 years) Vocational
Trg. Courses
1830
Total 485 139 85184
12
Annexure-III
S.No. TRADES
PUNJAB
1. Architecture
2. Auto & Diesel Mechanic
3. Auto Electrician
4. Auto Farm Machinery
5. Auto Mechanic
6. Auto Mechanic General
7. Bench Fitter
8. Carpenter
9. Ceramic Wares
10. Chemical
11. Civil Drafting
12. Com. Electronics
13. Commercial Arts
14. Computer Operator
15. Cutting & Designing
16. Draftsman Mechanical
17. Dress Designing
18. Dress Making
19. Dying
20. Electrician
21. Electronics
22. Embroidery
23. Fabric Printing
24. Fancy leather Garment
25. Fancy Wood Works
26. Fiber Glass
27. Fitter General
28. Foundry & Pattern
29. Front Desk Assistant
30. Garments & Jackets
31. General Mechanic
32. Hair & Skin Care
33. Hand Embroidery
34. Handicrafts
13
35. Industrial Electronics
36. Instrument Mechanic
37. Knitting
38. Leather Goods
39. Leather Processing
40. Machine Embroidery
41. Machinist
42. Mill Wright
43. Motor Winding
44. Moulding
45. Office Assistant
46. Painter
47. Plumber
48. Polishing
49. Pottery Manufacturing
50. Printing & Graphic Arts
51. RAC
52. Radio T.V.
53. Tailoring
54. Rural Poultry
55. Sewing Cutting & Design
56. Soldering
57. Sports Goods
58. Stitching
59. Surgical Instruments
60. Tailoring & Dress Making
61. Textile
62. Tractor Mechanic
63. Tractor Operator
64. Turner/Machinist
65. Urdu Typing
66. Ware & Blue Pottery
67. Weaving
68. Welding & Sheet Metal
SINDH
1. AUTO Body Repair
2. Auto Mechanic
3. Beautician & Hair Skin
14
4. Bench Fitter
5. Cabinet Making
6. Carpenter
7. Civil Drafting
8. Commercial Arts
9. Computer applications
10. Computer Hardware
11. Computer Operator
12. Dress Making & Design
13. Electrician
14. Electronic
15. Fabric Painting
16. Food Preservation
17. Foundry
18. Industrial Electronic
19. Leather Garments
20. Machinist
21. Mason
22. Mech. Drafting
23. Office Administration
24. Pattern Making
25. Plumbing
26. RAC
27. Secretariat Work
28. Sheet Metal
29. Stenography
30. Tractor Mechanic
31. Typing
32. Welding
NWFP
1. Auto Mechanic
2. Auto Diesel Mechanic
3. Beautician
4. Carpenter
5. Computer software/Hardware
6. Draftsman Civil
7. Draftsman Mechanical
8. Electrician
15
9. Garments
10. Machine/Hand Embroidery
11. Machinist
12. Mason
13. Plumber
14. RAQC
15. Radio TV
16. Tailoring
17. Turner
18. Welding
BALUCHISTAN
1. Auto Electrician
2. Auto Mechanic
3. Beautician
4. Boat Engine Repair
5. Boat Making
6. Carpenter
7. Civil Drafting
8. Computer Operator
9. Dress design
10. Electrician
11. Generator Repairing
12. Machinist
13. Maintenance Electrician
14. Maintenance Mechanic
15. Motor Winder
16. Plumbing
17. RAC
18. Radio TV
19. Secretarial Work
20. Tailoring
21. Welding
16
Annexure-IV
LIST OF TRAINING INSTITUTES
UNDER MINISTRY OF INDUSTRY
Name of Institutes Type/Duration No. of Courses
i) NFC Institute of Engineering &One Week 40
Technological Training One Year 04
Khanawal Multan. Degree (4 Years) 03
ii) NFC Institute of Engineering Short Term (One Week) 04
and Fertilizer Resource Pvt. Degree (4 Years) 03
Ltd. Faislabad.
iii) Pakistan Industrial Technical Short Term (One Week) 07
Assistance Centre, (PITAC)
Lahore.
iv) Pakistan Institute of Short Term (4 Month) 06
Management Karachi.
v) Plastic Technology Centre Basic 01
Karachi. Short Term (5 Days) 21
21 Diploma 01
vi) Synthetic Fibre Development Basic (2 Month) 01
and Application Centre KarachiShort Term (5 Days) 04
B.E. (Textil)(4 Years) 01
17

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CE-voc(guide)

  • 1. DEVELOPMENT OF TECHNICAL/ VOCATIONAL TRAINING SYSTEM IN PAKISTAN By Muhammad Javaid Introduction The development of human resources is the process of increasing the knowledge, the skill and capacities of all the people in the society. In economic terms it is called accumulation of human capital. Economic growth not only requires an increase in capital investment but also a larger supply of scientific, technical and vocational skills. The Problem 2. Pakistan’s population is characterized by a ‘demographic bulge’ of young people in population pyramid. This is indicated by the fact that population in the age group of 15-19 years which constituted 10.67% (15.5 million) in 2001-02 of total will increase to 18 million by the end of five year period i.e 2008-09. This is the second largest group in the labour force. The unemployment rate among this age group in the Labour Force Survey 1999-2000 was 15.2 percent and increased to 16.2 percent in Labour Force Survey 2001-02, which is higher than all other age groups. Out of the population 15.5 million in the 15 – 19 years age group in 2001-02, 0.94 million were unemployed. It should be noted that 70 per cent of the unemployed were literate. 3. At present roughly 1700 thousands students are being enrolled for matriculation examination every year. The passing students constitute about 9 percent of the total literate labour force in Pakistan. The Pre-Matric constitutes 33.5 percent of the total literate labour force. It indicates that age groups, of 10-14, 15-19 and 20-24 need to address. The percentage of unemployed is higher in these age groups. In total 56 percent of total unemployed are belong to these age groups. This situation emphasized to
  • 2. create a system of technical and vocational training for youth to match the requirement for trained manpower in an expanding modern sector. 4. Although there has been no Labour Force Survey since 2001-02, there are indications to suggest that this trend has persisted. This pool of literate unemployed, if trained properly, presents an opportunity for accelerated growth. In action in this, however, will turn this young population into a threat to the socio-economic fabric. 5. The country and its education, training and skills development system thus face a tremendous challenge. Major chunk of this population group will have to be trained in the vocational and technical fields, which would call for a massive effort in all sectors, the government, the private and the informal. The Existing System and its Problems 6. The existing vocational and technical training system may be examined with the objective to identify institutional constraints and to suggest measures to impart a degree of resilience to this component of the education system. 7. The Legal and operative framework for training of youth has been established in the shape of National Training Board following the promulgation of the National Training Ordinance in 1980 revamped in 2002. Representatives drawn from employers and employees constitute National Training Board is constituted by representatives drawn revamped in 2002 employers and employees. 8. Vocational Training Programmes are administered by a number of Federal, Provincial and Private Agencies, e.g. Government vocational Institutes (GVIs), administered by the Provincial Education Department, Technical Training Centres (VTCs), Government Vocational Institutes (GVIs) and Apprenticeship Training Centres (ATCs), administered by the Provincial labour Departments; In-Plant Training Programmes, i.e. Apprenticeship Training under the Apprenticeship Training Ordinance 1961, administered by the Provincial Directorate Manpower and Training of labour 2
  • 3. Departments in establishment employing 50 or more workers, training within industry, designed for individual and specific needs. Other training programmes are administered by various agencies such as Overseas Pakistanis Foundation, Small Industries Development Corporations and private technical training institutions. In Province of Punjab Technical Education and Vocational Training Authority (TEVTA) has been established and al the departments dealing with technical education and vocational training have been placed under it. In NWP the vocational training has been merged with technical education department and placed under the Ministry of Industries, Commerce, Mineral Development Labour, Transport & Technical Education Department. 9. Efforts have been made to involve the employers more intimately with training and its benefits. Training Programmes focus on improving the productivity, product quality and maintenance techniques. About 400 In- Plant Training Managers from 80 mediums, large and small-scale establishments have been trained using modules for Training of Supervisors (MTS) in 28 courses of 12 weeks duration. 10. The Directorate of Apprenticeship Training, Labour department, is supervising the Apprenticeship Training Programme under the 1962 Apprenticeship Ordinance. The scheme is operational in about 781 establishments, located in different parts of the country, where 19807 apprentices are under training in 123 apprentice able trades. The province- wise detail of apprenticeship is given at Annexure-I. 11. There are 485 institutions in Public Sector under the various Federal & Provincial Organizations. All those institutions are imparting training in 139 vocational trades. The total capacity of those institutions is 85184. The number of institutions under various organizations and their capacity with trade may be seen at annexure-II. The trades in which the training is being imparted in these institutions is also given at annexure III. Six institutes under the control of Ministry of Industry are also involved in training, a detail of which is given at annexure IV. 12. The review of vocational and technical training reveals the following problems. First, there is generally the assumption that there are just two levels of skills, namely, the skilled worker level and supervisory level. The informally trained worker is viewed as essentially being outside this two- tiered structure. It must be recognized that informal system has resulted in 3
  • 4. the training of the largest number of skilled workers in the country and that this training system has been the mainstay in meeting national requirements for skilled workers when a large-scale outflow of skilled workers to oil producing countries was taking place. Of course, there are certain drawbacks in the informal training system with excessively (8 to 10 years) long training periods and a level of skill, which is not comparable to those who have been trained through the formal system (3 years). The strategy must be to provide whatever support is possible to development of informal training arrangements in the country. 13. Another problem is that the formally trained person is often at a disadvantage when he is being selected for employment due to the fact that most employers in the country are not conversant with systematic training and would rather find it convenient to either hire an informally trained person who is a relative of one of the existing workers or simply employ an unskilled person from the factory gate who after a period of informal apprenticeship could then be appointed as skilled worker. The problem lies not only in the level and quality of skill of the formally trained skilled worker but also in the lack of adequate labour market linkages and often in the ignorance of the employer of modern management techniques. 14. The unfortunate aspect of training of a polytechnician is that he cannot be appointed as supervisor because neither is he conversant with the processes of production nor does he have any knowledge of shop management techniques. Given the strong preference on the part of employers, therefore, on-the-job apprenticeship training must be given precedence over formal, institutionalized training. 15. A critical observation emerging from the review is that training programmes should be strongly linked to the world of work. The stronger these linkages the greater will be the credibility of the training programme which can be translated into better wages and quicker employability. As such, the offering of courses and designing of curricula should be a function of market needs. 16. The lack of effective coordination is a major problem in the whole of the Technical Vocational Education System. The plethora of existing delivery level ministries, departments, agencies and institutions has given rise to a host of problems like overlapping of functions, duplicative 4
  • 5. facilities, misdirected efforts and lack of uniformity in standards, and certification. 17. There is also a lack of detailed manpower surveys which should periodically be undertaken to develop a comprehensive data base at a disaggregated occupational level to enable proper planning, development of training facilities and to estimate future demand for different trades. Measures Required 18. Technical and Vocational Training can easily cope with the anticipated requirements of quality skills, enhancement of knowledge and practical know how of various trades, pedagogical improvements which indirectly are the means for eventual employment. But actually it should cater for the employment demands both for the formal and informal sectors, rather than being responsible for an unregulated supply of manpower without realizing the market potential for labour absorption and further trends. GOP has to consider essentially the priorities for strategic human resources absorption responsive to the sectoral changes in industry and agriculture and further labour market needs. The involvement of private sector in training activities is minimal. Though the National and Provincial Training Boards try to find out the requirements of industry through occasional surveys and to match the training with the requirements, there is need to increase the coordination between public and private sectors and to increase the participation of private sector in training activities. Role of Government 19. Emerging from the earlier discussion, it is necessary that Vocational/technical facilities need to expand especially in areas where there is a perceived market demand in the short run and potential demand in the medium run as the economy develops. In particular, it must develop mechanisms whereby future demand for emerging skills can be anticipated and arrangements made for supply of the required manpower at the proper time. 20. More importantly, the public sector must cease to play only a direct role and also start performing support functions through development of incentive and regulatory mechanisms. It must foster private sector participation in technical training especially in technical training especially 5
  • 6. in skills for which there is an immediate market demand. In addition, it must support informal training arrangements in the country and motivate employers through appropriate incentives to undertake larger on-the job apprenticeship programmes. 21. The regulatory role of the government must also be reinforced. This will consist, first, of standardization of courses and curricula and quality control over the private sector. Second. The government may develop a national credentialing program of trades whereby licenses/certificates to operate in a trade are offered to master craftsmen who have acquired the necessary skills. This will help in establishing a market premium for these skills. Role of Private Sector 22. There are a number of vocational training centers in the private sector, which were initially established to take advantage of a need to terrain skilled workers for export to the oil producing countries of Middle East and North Africa. More recently a host of computer training institutions have mushroomed in all the major cities of the country. 23. It is necessary, therefore, that the private sector should be encouraged to expand its involvement further in the field of vocational and technical training. The rapid emergence of computer training facilities in the private sector is a clear in indicator that it can respond quickly to market demand. Greater access to credit, exemptions on import duty on training equipment by certified institutions and agencies, etc., could be offered as incentives. It is important however to ensure proper regulation through determination of appropriate levels of fees, conduct of proper examinations and establishment of proper certification procedures. Role of Employers 24. The deficiency in the existing training system is the absence of any linkage with the labour market. Some time back employer based advisory committees were established at each institution; these committees were required to modify or adopt the existing training programmes in each institution from the point of view of the employability of the trainees and also possibly employ the trainees in their own establishments in the case of a vacancy. These committees could not function due to the following reasons: 6
  • 7. i) The employers could not attend the meetings of the committees due to their own preoccupation. It seems as if the employers were not serious about this training programme. ii) The principals of various institutions could not carry out the necessary extension work to convince employers that their involvement with the institutions through the advisory committees would be of some benefit to them. iii) The thrust must not be only on inducing a meaningful participation by employers in the running of training institutes but also in involving them directly in the process of training on- the-job through apprenticeship programmes. As indicated earlier, appropriate incentives must be offered to achieve this outcome. Support to Informal Training 25. The informal sector does not consist only of unskilled activities like petty traders, street hawkers or shoeshine boys. It also includes self- employed mechanics, machine tool workers, masons, carpenters, tailors and dress acquiring training/skill through the informal sector are productively absorbed either in the industry or services sector or run their own independent businesses. However, in general the informal training period is of a long duration and the working is largely on traditional basis. 26. There is a need therefore to train/strengthen the existing skills acquired by the persons working in informal sector. To operationalise this, it is suggested that efforts to be made to take an inventory of informal sector workshops, their type and the concentration of units on a district wise basis. On the basis of this inventory a scheme should be deviced to train this manpower in their relevant skills on more systematic and scientific grounds in order to improve existing skill capabilities. For this purpose mobile units equipped with all relevant technical equipment/tools and accompanied with trainers should be sent in to areas where concentration of these activities is observed. These mobile training units may give a training programme of one to two weeks in the district. 7
  • 8. 27. If necessary, tools should be provided to informal sector workers on subsidized rates. This will not only improve the skills of the informal sector manpower but also familiarize those workers with the latest available technology and efficient method of production to perform their jobs more effectively. Agro-technical Vocational Training 28. In the context of our economy, the importance of planned provision and expansion of agro-technical/vocational training is to be more clearly recognized. Modernization of agriculture is directly linked with the availability of requisite trained manpower. Besides employability of rural untrained, rural surplus youth is already a problem. The phenomena of “Unemployable Manpower” in the form of untrained surplus population now appears to have become quite endemic throughout the economy. Consequently time has come to impart a concrete bias to our technical/vocational training programme with reference to each sector namely industry, the services and agriculture. 29. Agro-technical / vocational training programme should be provided with efficient institutional underpinning through functional and robust cooperation between provincial directorates of technical/vocational education, and the departments of agriculture and planning. 30. Pakistan Agricultural Council may be invited to take the lead in initiating necessary policy research in this regard as they possess the wherewithal at necessary for the purpose. 30. The progress of agriculture is measured through the surplus it produces over time. That surplus is not aided but hindered if it allows its surplus in untrained manpower to persist. The waste and misery represented by this spectacle can only be minimized if a definite start is made by all concerned agencies towards transferring our existing educational and training system in rural areas through the conversion of one third of existing schools/colleges into institutions specializing in the instruction and application of Agro-based technical/vocational studies. 8
  • 9. 31. This would be in keeping with our new strategy of manpower planning namely to relate our education and training programme more explicitly to market demand rather than adhering thoughtlessly to the hitherto held view where supply is expected to create its own demand. Fiscal Incentives For Technical/Vocational Training 33. The following recommendations are made in the field fiscal policy for the promotion of technical and vocational training in the country. Tax Credits for Expenditure on Training 34. To encourage the involvement of the private sector in formal training of manpower, it is suggested that a tax credit be given to firms for all expenditures incurred on human resource development. At present, no tax exemption is given for such expenditures. Exclusion of Apprentices from Payroll Taxes 35. Presently the payroll related tax is assessed on the total payroll of the firm including the compensation given to apprentices. It is recommended that apprentices be excluded from the category of ‘workers’ and any payroll taxes levied on workers should not be charged on apprentices. Import Duty Exemption on Training Equipment 36. A fiscal incentive scheme may be developed and implemented by CBR whereby certain categories of equipment used for training purposes be declared as exempt from the payment of import duty, just like the proposal to exempt imported capital equipment not produced locally. In order to prevent misuse of this concession, the incentive should only be granted to certified private sector training institutions. Share of construction cost 9
  • 10. 37. Government may share a part of construction cost to establish the training institutes for High-tech professionals in the private sector. 38. The basic objective behind the provision of the above package of incentives is to induce higher private sector participation in vocational and technical training. Proposed Structure of Technical / Vocation Training System 39. A big infrastructure is available in the country for the Technical/Vocation training. The question is how to use these available resources to enhance the employability of the work force and to boost of the economic growth of the country. 40. All over the country, the building structure is available and NTB and other agencies are administrating these sites. Since, the production technique and machinery involved in effective training is being improved day by day therefore it will be expensive to provide the new machine/equipments in these training centers. Therefore a dual Technical/Vocation System may be introduced in the country as experienced in other countries. According to this setup the available classroom (site/center) may be used for the teaching the theoretical part in short span. Thereafter, the trainees may be sent to the registered establishments for their practical training. These registered Establishments may be compensated with fiscal incentives and providing wears & tears expenditures of their equipments and material. 41. This system will reduce the expanses on providing the latest equipment in the centers and will provide real opportunities to trainees for on-the job training. Such a system will respond the complaints of employers about the compatibility of trainees. 10
  • 11. Annexure I APPRENTICESHIP TRAINING (2003) PROVINCES NO. OF ESTABLISHMENT IMPLEMENTING TRAINING NUMBER OF APPRENTICES I.UNDER APPRENTICESHIP ORDINANCE, 1962 PUNJAB 567 5139 SINDH 93 2658 NWFP 34 906 BALUCHISTAN 44 104 SUB-TOTAL 738 8807 II. OUTSIDE PURVIEW OF APPRENTICESHIP ORDINANCE 43 11000 GRAND TOTAL 781 19807 Source: National Tanning Bureau 11
  • 12. Annexure-II STATEMENT SHOWING NUMBERS OF TRAINING INSTITUTIONS WITH TOTAL CAPACITY UNDER TEVTA AND DMTs S.No . Departments No. of Institution Type of courses No. of Voc. Trade Total Trg. Capacity 1 Technical Education & Vocational Training authority (TEVTA) Punjab 400 i. Degree Courses in Engineering trades. ii. 3 years Diploma Courses in Engineering trades. iii. Vocational training diploma and certificate courses in technical trades. iv. Commerce related certificate and degree courses. 68 76771 2 Directorate of manpower & Training, Sindh. 33 Short and long duration (1-2 years) 32 2346 3 Directorate of Technical Education & Manpower Training (TE&MT) NWFP 35 Short and long duration (1-2 year) 18 3290 4 Directorate of Manpower & Training, Baluchistan 11 Short and long duration (1-2 years) 21 947 5 Federal 06 Short and long duration (1-2 years) Vocational Trg. Courses 1830 Total 485 139 85184 12
  • 13. Annexure-III S.No. TRADES PUNJAB 1. Architecture 2. Auto & Diesel Mechanic 3. Auto Electrician 4. Auto Farm Machinery 5. Auto Mechanic 6. Auto Mechanic General 7. Bench Fitter 8. Carpenter 9. Ceramic Wares 10. Chemical 11. Civil Drafting 12. Com. Electronics 13. Commercial Arts 14. Computer Operator 15. Cutting & Designing 16. Draftsman Mechanical 17. Dress Designing 18. Dress Making 19. Dying 20. Electrician 21. Electronics 22. Embroidery 23. Fabric Printing 24. Fancy leather Garment 25. Fancy Wood Works 26. Fiber Glass 27. Fitter General 28. Foundry & Pattern 29. Front Desk Assistant 30. Garments & Jackets 31. General Mechanic 32. Hair & Skin Care 33. Hand Embroidery 34. Handicrafts 13
  • 14. 35. Industrial Electronics 36. Instrument Mechanic 37. Knitting 38. Leather Goods 39. Leather Processing 40. Machine Embroidery 41. Machinist 42. Mill Wright 43. Motor Winding 44. Moulding 45. Office Assistant 46. Painter 47. Plumber 48. Polishing 49. Pottery Manufacturing 50. Printing & Graphic Arts 51. RAC 52. Radio T.V. 53. Tailoring 54. Rural Poultry 55. Sewing Cutting & Design 56. Soldering 57. Sports Goods 58. Stitching 59. Surgical Instruments 60. Tailoring & Dress Making 61. Textile 62. Tractor Mechanic 63. Tractor Operator 64. Turner/Machinist 65. Urdu Typing 66. Ware & Blue Pottery 67. Weaving 68. Welding & Sheet Metal SINDH 1. AUTO Body Repair 2. Auto Mechanic 3. Beautician & Hair Skin 14
  • 15. 4. Bench Fitter 5. Cabinet Making 6. Carpenter 7. Civil Drafting 8. Commercial Arts 9. Computer applications 10. Computer Hardware 11. Computer Operator 12. Dress Making & Design 13. Electrician 14. Electronic 15. Fabric Painting 16. Food Preservation 17. Foundry 18. Industrial Electronic 19. Leather Garments 20. Machinist 21. Mason 22. Mech. Drafting 23. Office Administration 24. Pattern Making 25. Plumbing 26. RAC 27. Secretariat Work 28. Sheet Metal 29. Stenography 30. Tractor Mechanic 31. Typing 32. Welding NWFP 1. Auto Mechanic 2. Auto Diesel Mechanic 3. Beautician 4. Carpenter 5. Computer software/Hardware 6. Draftsman Civil 7. Draftsman Mechanical 8. Electrician 15
  • 16. 9. Garments 10. Machine/Hand Embroidery 11. Machinist 12. Mason 13. Plumber 14. RAQC 15. Radio TV 16. Tailoring 17. Turner 18. Welding BALUCHISTAN 1. Auto Electrician 2. Auto Mechanic 3. Beautician 4. Boat Engine Repair 5. Boat Making 6. Carpenter 7. Civil Drafting 8. Computer Operator 9. Dress design 10. Electrician 11. Generator Repairing 12. Machinist 13. Maintenance Electrician 14. Maintenance Mechanic 15. Motor Winder 16. Plumbing 17. RAC 18. Radio TV 19. Secretarial Work 20. Tailoring 21. Welding 16
  • 17. Annexure-IV LIST OF TRAINING INSTITUTES UNDER MINISTRY OF INDUSTRY Name of Institutes Type/Duration No. of Courses i) NFC Institute of Engineering &One Week 40 Technological Training One Year 04 Khanawal Multan. Degree (4 Years) 03 ii) NFC Institute of Engineering Short Term (One Week) 04 and Fertilizer Resource Pvt. Degree (4 Years) 03 Ltd. Faislabad. iii) Pakistan Industrial Technical Short Term (One Week) 07 Assistance Centre, (PITAC) Lahore. iv) Pakistan Institute of Short Term (4 Month) 06 Management Karachi. v) Plastic Technology Centre Basic 01 Karachi. Short Term (5 Days) 21 21 Diploma 01 vi) Synthetic Fibre Development Basic (2 Month) 01 and Application Centre KarachiShort Term (5 Days) 04 B.E. (Textil)(4 Years) 01 17