Ko, Hye Won (KRIVET) 1 2 3 •내용을 입력하세요 4 5 2 2000s 1990s 1980s 1960~70s • Recovery from the recession caused by the recent global financial crisis • Knowledge-based economy • Introduction of a more advanced system of managing the economy • Technology-intensive economy • Promotion of heavy chemical industry-leading to creation of middle class and high social mobility • Expansion of the public welfare system • Capital-intensive economy • Strong support for exporting companies • Labor-intensive light industry economy (supply of skilled workers through institutionalization of vocational education system) 3 • Since 1952, Korea’s GDP multiplied by 33 times reaching approximately 833 billion US dollars in 2009 • Economy had grown steadily by above 8% until the recent Financial Crisis • Unemployment peaked in the early 1980s and has since declined • Contribution of agriculture and fisheries to employment fell from 50.4% in 1970 to 6.6% in 2010. In contrast, employment in the service industry surged from 35% in 1970 to 76.4% in 2010. • Total employed population grew approximately 2.4-fold in the same period Trends in Employment Breakdown by Industry Economic growth rate and Unemployment rate (%) 12.0 10.4 5.2 10.0 8.0 9.3 4.6 8.8 100% 5.0 80% 4.0 60% 3.0 40% 2.0 20% 4.0 -1.9 0.2 0.0 1.0 -2.0 1980 1990 2000 25,000 20,000 13,683 15,000 9,617 10,000 5,000 0% 0 1970 1980 1990 2000 2010 2009 -4.0 0.0 Economic Growth Rate 23,829 21,156 18,085 3.7 6.0 1970 30,000 4.4 4.5 2.0 6.0 Unemployment rate SOC & Other Services Mining & Manufacturing Agriculture, Forestry, Fisheries Total number of employees 4 • State-driven growth strategy for economic and social development • Focus on fostering a few selected industries and state-led skills development • From elitist to universal higher education Phase 1 1960~75 Phase 2 1976~96 Phase 3 1997 and onwards - Unlimited supply of workers - Labor-intensive industries - Demand for low-skilled workers College Enrollment Rate - Emerging worker shortage - Full-fledged economic development focusing on heavy chemical industries - Emphasis on quality of labor force - Rise in unemployment since the financial crisis - Change of growth paradigm: quantitative expansion to qualitative deepening 5 • Export-led growth strategy based on low-wage labor • Main role of VT: training simple-skilled workers to support Five-Year Plans Five-Year Plan Development Strategies and Environment Skills Development Strategy 1st 1962~1966 • Building the foundation for industrialization • Unbalanced growth • Export-driven growth led by light industry • High unemployment rate • Lack of infrastructure and VET teachers for training workers • Initial training for low-skilled workers • Industrial Education Promotion Act 2nd 1967~1972 • Building the foundation for industrialization • Unbalanced growth • Export-led growth • High unemployment rate • Underdevelopment of rural regions • Vocational Training Act • Five-year Science and Technology Promotion Plan 6 Five-Year Plan 3rd 1972~1976 4th 1977~1981 Development Strategies and Environment • Improvement of the industrial structure • Growing dependence on imports • Inflation, worsening balance of payments and economic recession • Promotion of technology-intensive industries • Export-oriented growth • Balanced growth between rural and urban areas • Shortage of workers skilled in advanced technologies • Rise in wage of technical workers Skills Development Strategy • Amendment of Industrial Education Promotion Act • National Technical Qualification Act • Specialization of technical high schools • Introduction of vocational programs in general high school curriculum • Establishment of Air & Correspondence High School • Initial training for low-skilled workers and measures to promote employment stability • Establishment of schools affiliated with companies • Admission quota raised for engineering departments in junior colleges 7 • Past development strategy based on massive inputs of workforce became ineffective due to rising income, wider penetration of higher education, and emergence of China. • Economic boom led by the ‘three lows’ (low interest rate, low oil price and low exchange rate) and growing demand for workforce in the manufacturing industry led to dramatic rise in wage levels. • Graduation quota system introduced in 1980 led to quantitative expansion of school education. • Supply-oriented policies were needed to respond to increasing demand for highly-educated talents following the economic development Five-Year Plan Development Strategies and Environment Skills Development Strategy 5th 1982~1986 • Establishment of economic stability • Fostering knowledge and information industries • Demand for democracy and social welfare • Needs for transiting to a private sectordriven economy • Plans for strengthening VT • Plans for reinforcing vocational high schools • Long-term plans for advances in science and technology • Establishment of open universities 6th 1987~1991 • Deepening of industrial structure • Opening and globalization • Democratic and labor movements • Decline of export competitiveness due to appreciation of Korean Won • Basic Plan for Promoting Vocational Training • Reform of high school VET system 8 • Labor shortage in 3D(hard, dangerous, dirty) industries • Structural change of labor market in youth unemployment, layoffs, and prevalence of irregular workers since Asian financial crisis in 1997 • Decrease of Korea’s overseas market share due to China’s export-oriented economic development • Four main directions of the educational reform in 1995: greater openness, stronger moral and values education, IT education, and globalization Plan Development Strategies and Environment 7th 1993~1997 • Transition to low-cost efficiency economy • Relocation of production base manufacturing industries leaving Korea • Launch of WTO and globalization • Asian financial crisis • Rising education levels of individuals, • Labor supply and demand mismatch • Growing youth unemployment Skills Development Strategy • Employment Insurance Act (vocational competency development programs) • Act on the Promotion of Worker Participation in Vocational Training • Approval for outsourcing employee training to junior colleges • Granting junior college degrees to junior college graduates 9 • Achievement of high growth rate and economic recovery in early 2000 • Focus on nurturing global and creative talents • Introduction of HRD Act in 2001 • Launch of Brain Korea 21 project to enhance education information disclosure system and competitiveness of higher education institutions and regional universities Plan Development Strategies and Environment Skills Development Strategy Kim, Dae-Jung Government 1998~2002 • Recovery from Asian financial crisis • Parallel development of democracy and market economy • Balanced growth • SME VT consortium • Reform of vocational high school system • Comprehensive plan for junior college development Roh, Moo-Hyun Government 2003~2007 • A mature democracy • Balanced development based on the idea of co-existence • Peace and prosperity in Northeast Asia • Act on the Vocational Competency Development of Workers • First Basic Plan for Lifelong Competency Development • Sector HRD Councils • VE System Innovation Plan Lee, Myung-Bak Government 2008~present • Low carbon emission for green growth • Moderate practical policies toward populace • Stronger public education to become the global talent power • VET account system(Voucher) • National training for strategic and backbone industries • High School Diversity 300 Project • Korean-styled Meister Schools policies 10 Shift in Workforce Structure caused by Technological Advances and Industrial Evolution 1960s~70s Post-graduates & Undergraduates Junior College Graduates 1980s 1990s 2000s Engineer Engineer (high-lvl) Engineer (high-lv.) Engineer Engineer (mid-lvl) Technician Engineer (mid-lv.) Technician Technician Vocational High school Graduates Low skilled worker Low skilled worker Core Workforce Single-skilled worker Main Industry Level of Technology Technician 2010 Engineer with management capabilities Engineering Technologist with management capabilities Engineering Technician Low skilled worker Low skilled worker Low skilled worker Multi-skilled worker Technician Mid-level engineer Manager/High Skilled Worker Laborintensive Capitalintensive Techintensive Knowledgebased Industry Convergence Tech adoption Tech improvement Tech development Tech innovation Convergence of Knowledge and Technology 11 • Formal school education : primary schools - junior high schools - high schools - universities • Technical and Vocational Education and training (TVET) VE: vocational high schools, junior colleges(including polytechnics) VT: public and private training providers, in-house training centers Paradigm Shift in TVET Economic Growth (1970~1996) Post-Asian Financial Crisis (1997~1999) Low Economic Growth (2000~ ) Focus Initial training Re-training Upgrade training Target group School graduates Unemployed Employed Key training providers Schools, training centers Diverse training providers Diverse training providers Areas covered Simple skills Specially designed for specific companies or industries Convergence of information and skills Services delivered to trainees Vocational training Vocational training, employment search Career development 12 Key Changes in Vocational Education in Korea Labor-intensive Industries (1960~mid 1970s) Capital-intensive Industries (mid 1970s~mid 1990s) Knowledge-based Industries (mid 1990s~) HR in Demand Low-skilled workers Technicians Engineers and scientists Level of Vocational Education High school level Junior college level University level Related Policies Expansion of secondary education (emphasis on vocational training) Expansion of junior colleges and colleges sector Strengthening of school-industry research collaboration 13 Challenges: Disparity between industries and VET institutions Inadequate consideration of the learner’s aptitudes and choice For Improvement: Establishment of linkages between school and labor market Incentives for youth in the vocational track of education Effective integration of theory-based curriculum and practical training 14 An abundant, appropriately-skilled workforce has been a major factor in the rapid development of the Korean economy. The availability of the right workers to support industrialization and economic diversification is the product of the sustained success of Korea’s skills development efforts. First, the link between skills development and Korea’s economic agenda has received consistent, institutionalized emphasis and attention from the very top levels of government. Indeed, skills development has been integrated into Korea’s economic development strategy since the elaboration of the first Five Year Economic Development Plan in 1962 15 Second, Korea’s skills development system has adapted to respond to each stage of economic development, enabling it to satisfy the skills demands of the labor market while also improving the quality of the skills of the workforce. As the economy developed, the government shifted its focus from basic training in skills needed by the manufacturing sector to providing both basic and advanced training in a much broader range of skills. Also, as the economy developed, the emphasis of skills development shifted from the training of new recruits to in-service training and upgrading of existing skills. 16 Third, the government made funding for vocational education and training providers conditional on meeting system-wide standards for programs, facilities, and instructors. This top-down approach has allowed the government to adjust the system to meet evolving economic development needs and emerging economy-wide skills constraints. The homogeneity that this system of national standards created also simplified monitoring of institutional performance and created a simple, open system. 17 Fourth, early identification of the skills demands of industry and addressing these demands through appropriate policy is essential for a successful skills development system. During the early stage of industrialization which focused on heavy and chemical industries, Korea instituted manpower planning, whereby the government estimated the required number of skilled workers needed by priority industries and took steps to calibrate the training system accordingly. This approach has evolved over time. The government no longer carries out detailed manpower planning but now annually conducts the Workforce and Training Demand Survey to measure skills mismatches at the regional level. 18 Fifth, the skills development system is an effective means to bring those working in the informal sector, who are not protected by social safety nets, and other vulnerable groups into the formal sector. The large-scale training for the unemployed in response the Asian financial crisis helped contribute to a rapid reduction in the unemployment rate after the crisis. A large portion of the training for the unemployed in the wake of the crisis was focused on the information and communication technology (ICT) industries, which has helped facilitate Korea’s success in this sector. 19