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Orientation to the CEMETS Apprenticeship Reform Lab
- 1. Orientation to the CEMETS Apprenticeship Reform Lab Toward a Dual Education System for California
- 2. Agenda • The business case for apprenticeships • The reform case for apprenticeships in CA • An overview of the CEMETS Summer Institute 2019
- 3. 3 Job Market Demand 1950-2014 From Dr. Katie Caves, KOF, ETH Zurich
- 4. How do we best gain work experience and employability skills? 4
- 5. Evidence from CO: Where are key skills best learned? From Dr. Katie Caves, KOF, ETH Zurich
- 7. 7 How can apprenticeships be profitable? 5.7.20 Program duration Marginal product of participant Training costs Marginal product Training costs Time Before program After program Unskilled wage Post- training wage Source: Own depiction based on Lerman (2014)
- 8. 8 Cost/benefit ratio for Swiss companies offering apprenticeships in million Sfr 0 1000 2000 3000 4000 5000 6000 5350 5824 474 Net benefit Productive output of apprentices Gross costs
- 9. 9 Funding of apprenticeship system 60% 30% 10% Total costs: approx. $9b/year Private Sector State Federal Training costs & wages of apprentices Vocational schools Career guidance Supervision Development Strategic oversight
- 10. 10 2. The Reform Case
- 14. 14 White Paper December 18, 2018
- 15. What would Youth Apprenticeship at scale look like in California? • 800,000 Apprentices (10x) • Business would invest $18.75 b. and earn back $20.65 b. • Young people would add $18 b. to the economy. • Reduce their student debt by $18 b. • Youth unemployment rate would drop to 3%
- 16. 16 16
- 17. 17 17 3. The CEMETS Summer Institute 2019
- 18. 18 18 2019 Summer Institute Facts • June 26- July 5, 2019 – Zurich, Switzerland • 60 participants from several countries and some US States. • It’s a Reform Lab – Define your reform case and context – Learn from the best – Present your case and get feedback • Visit firms and vocational training institutions to experience a fully integrated system
- 20. More Information Vinz_Koller@spra.com - @kollerv caves@kof.ethz.ch - @katiecaves blanter@calworkforce.com - @Workforce_Info Information for CA Delegation to Summer Institute https://www.spra.com/cemets-2019 CEMETS Summer Institute www.cemets.ethz.ch
Hinweis der Redaktion
- Trends that we are all familiar with over the last 50-60 years: The red line shows how the jobs which only require HS Education are in steady decline – they accounted for more than 80% in the 50‘s and now account for fewer than 10%. The purple line shows a steady increase in needed voc ed. But the really dramatic increase is in jobs needing tertiary education (this is secondary plus advanced training) and even more dramatic is the need for Experience and for Soft Skills.
- Apprentice wage depends on e.g. unions Cost Timing depends on financing of general education by government Wage compression affected by e.g. labour market frictions, unions
- Cost benefit – Even at a cost of $50K-$150K per apprentice over 3-4 years, the businesses get a full return on their investment
- Trends that we are all familiar with over the last 50-60 years: The red line shows how the jobs which only require HS Education are in steady decline – they accounted for more than 80% in the 50‘s and now account for fewer than 10%. The purple line shows a steady increase in needed voc ed. But the really dramatic increase is in jobs needing tertiary education (this is secondary plus advanced training) and even more dramatic is the need for Experience and for Soft Skills.
- Trends that we are all familiar with over the last 50-60 years: The red line shows how the jobs which only require HS Education are in steady decline – they accounted for more than 80% in the 50‘s and now account for fewer than 10%. The purple line shows a steady increase in needed voc ed. But the really dramatic increase is in jobs needing tertiary education (this is secondary plus advanced training) and even more dramatic is the need for Experience and for Soft Skills.
- Trends that we are all familiar with over the last 50-60 years: The red line shows how the jobs which only require HS Education are in steady decline – they accounted for more than 80% in the 50‘s and now account for fewer than 10%. The purple line shows a steady increase in needed voc ed. But the really dramatic increase is in jobs needing tertiary education (this is secondary plus advanced training) and even more dramatic is the need for Experience and for Soft Skills.
- At $656 Billion, the Ohio economy is almost exactly the same size as the Swiss economy and yet has four times fewer apprentices. Imagine what the Ohio economy would look like if its apprenticeship investment were on the Swiss scale. Instead of the XY apprentices Ohio currently has, it would have more than 180,000. Ohio businesses would invest around $5 billion annually into their training and earn around $5.5 billion on that investment during the training period. Even when in apprenticeships, young people would add $4.5 billion per year in consumer power to the Ohio economy, while reducing student debt by almost $4 billion per year. The youth unemployment rate would drop to 3%.
- Trends that we are all familiar with over the last 50-60 years: The red line shows how the jobs which only require HS Education are in steady decline – they accounted for more than 80% in the 50‘s and now account for fewer than 10%. The purple line shows a steady increase in needed voc ed. But the really dramatic increase is in jobs needing tertiary education (this is secondary plus advanced training) and even more dramatic is the need for Experience and for Soft Skills.