Professor Mike Campbell European Parliament 15 th June 2011 professormikecampbell.com 1

Labour Market Skills Demographic Change Ageing Population Migration Growth Values and Identity Individual Group Education Environmental Change Climate Change Resource Shortage Pollution Economics and Globalisation Grade Trade Competition Technological change ICT Bio and nanotech Security Consumer Demand New Markets Choice Regulation and Governance International, National, Regional, Local Sectoral Recovery and Re-balancing 2 professormikecampbell.com

Prosperity (Productivity, Earnings, Employment, Equality) Match/Mismatch (Skills and Jobs) Ambition (Demand) Skills Upgrading (Supply) Policy Action for ‘PUMA’ 3 professormikecampbell.com

4 Economic Performance EmploymentReduced InequalityProductivity Match Mismatch Jobs Skill Shortages and Skills Gaps Unemployment and Inactivity ‘Over-skilled’ / ‘Under- employed Migration The Workforce: Skills Available Skills Attainment Learning Provision Accredited (Qualification ) Informal (Training) Skills Investment Individual, Employer, Government Guidance – firms & people Supply The Workforce: Skills Required Business Strategy Management & Leadership Skills Utilisation Economy – level/structure Industrial Policy Economic Policy Other Drivers Demand Skills for Jobs: Towards a Successful Strategy

 The Case for Skills  Information, Transparency, Guidance  Quality Provision  Employer Engagement  ‘Collective Measures’: Networks, Licences to Practice and Levies 5 professormikecampbell.com

 Alignment between the skills available and the skills required: shortages, gaps, unemployment, under-employment  Priorities and ‘economically valuable’ skills  Labour market intelligence, insight and anticipation  Responsive provision: a greater focus on outcomes  Intermediaries: public employment services; sector councils 6 professormikecampbell.com

 Business Strategy  Management and leadership  High performance workplaces and skills utilisation  Economic Policy  Economic policy  Economic structure: Rebalancing economies  Employer engagement 7 professormikecampbell.com

 Connecting education/training and the world of work  Create a ‘virtuous circle’: Integrate education/training with employment and economic policy  Establish challenge and vision  Fiscal austerity: Move beyond public funding  Change behaviour – Information, empowerment, incentives and ‘nudges’ 8 professormikecampbell.com

A workforce with poor skills not only makes their own lives poorer, it makes all of our lives poorer.. and a highly skilled workforce will not only make their own lives richer, it will make all of our lives richer. professormikecampbell.com 9