Education and youth integration into European labour markets the of Balkan countries - Case Study Example

?Education and Youth Integration into European Labour Markets – The Case of Balkan Countries Introduction The globalization of world should be attributed to rapid developments and advancements in information and communication technology sector, growth of media resources, construction of transportation networks (rail, roads and sea) and free flow of information. The interaction and coordination among people has improved tremendously in last 3 decades after the advent of internet and subsequent use of desktop PCs, laptop notebooks, Personal Digital Assistants, mobile devices etc. Indeed, there has been greater focus today on research and development function because every nation has understood that a country, with technological backwardness, may not succeed and prosper in today’s extremely challenging external environment. In addition, the profit - maximizing businesses and non-for-profit institutions (such as human rights, community welfare, research institutions, NGOs and IGOs) have also received innumerable benefits from this free flow of information, opinions, knowledge and ideas across the globe. Nevertheless, these organizations have started using Information / Communication Technology (management information systems) and mobile technologies to enhance their reach, productivity, efficiency, effectiveness and performance in the international arena. Firms use latest available technology so that they could automate their assembly lines and business process, which in turn reduce dependence on human resources, speed up production and lead to cost efficiency / leadership in contemporary business environment. It is worthwhile to mention the fact that the induction of modern sophisticated systems and equipment has two major consequences. First of all, the increasingly large use of technology by organizations adversely impacts bargaining power of old generation candidates / workers and makes them redundant because these employees often fail to adapt to external changes, thereby resisting change management process to secure jobs. Second, the new generation workers who have strong academic information and technical know – how about technology also consider themselves insecure because of stiff competition in labor markets. For instance, the employers recruits & selects the most efficient and smart candidate who is a blend of adaptability, flexibility, vision, critical thinking and charisma. Hence, it is justified to argue that the above mentioned consequences are fruits of globalization that potential employees of 21st century have been reaping in an extremely challenging, complex and unstructured business environment. Education, in this scenario, plays vital role because it informs and shapes the mindsets of youths, who are would-be employees. In fact, the purpose of education is to provide students an insight over contemporary challenges in their society, sharpens their critical thinking / intellect and mentally prepares them for any adverse or favorable future outcomes. For instance, the students learn how they could assimilate pressure and upgrade themselves to comply with modern rules, expectations and demands. This paper will throw light in detail how different kinds and levels of education shape the access of young people to jobs of varying advantage and the smoothness of the transition from school to work. The researcher will specifically take into consideration the educational policies, frameworks and models presently implemented in European Union to enhance educational level and prepare students to successfully commence their careers in an uncertain and unpredictable external business environment. It should be emphasized that education may resolve financial problems that are actually the root cause of societal unrest and uncertainty. In other words, the uneducated have become outliers since they barely find any respectable employment opportunity, thereby contributing to growth of unprivileged classes. However, it should not be confused that only free market economic system and capitalism has resulted in creation of unprivileged classes, which are unable to educate their youths due to fewer resources and thus making them the victims of youth unemployment. The researcher will demonstrate whether existing educational, linguistic and social policies could lead to sustainable development or whether there is dire need for a convincing narrative about reinventing the European social model to tame the free-market economy and provide more educational opportunity and life-long learning for the young so that they could avert the adverse consequences of globalization, thereby becoming genuine winners rather losers. 2. Education leading to Jobs in Corporate World / Labor Markets The researcher would now like to highlight major facts that have intensified the debate on education and youth integration into European labor markets. 2.1 - Facts and Figures It is worthwhile to mention that Gangl (2001; 2002) and Couppie & Mansuy (2001) have revealed that European Union is divided into Western, Southern and Central Europe; therefore, there are various institutional and educational differences that largely impact youth integration and school-to-work transition in European labor markets. For instance, the vocational training and human resource development systems also differ considerably across geographic regions and territories because of prevalent rigid and / or skills flexibility demands / practices by employers. Gangl (2002) has conducted a comprehensive cross – cultural research project on 12 European countries after which he has revealed that school-leavers and pass outs in France and Spain face tremendous problems in finding appropriate jobs because they are not being prioritized by employers due to personal factors (such as no worker experience, high training costs, low productivity level and technical expertise) as well as greater protectionism for experienced, professional and senior workers. As far as Balkan countries are concerned, Greece and Italy are among the two main nations where school leavers fall prey to unemployment and barely find respectable and well-paid jobs in first few years of career. The prevalent youth unemployment rate was estimated to be in the range of 30 - 40% for which government authorities and state agencies have been striving to minimize these stupendous youth unemployment rates. Gangl (2001) also highlighted that percentage of youth unemployment is fairly low in United Kingdom and Ireland because there has been greater focus on school – level work training through internships and apprenticeships, workshops, symposiums and seminars. Indeed, the policy – makers for schooling system (high school and college level) in England / Ireland emphasize that training and development is essential for new comers / candidates to survive and thrive in competitive UK markets. For instance, the new candidates should be encouraged to find temporary contract – based or part-time jobs so that they could put theory into practice and add first-hand information to their knowledge bank. Similarly, the three other nations such as ‘Austria, Denmark and Germany’ have also relatively tackled the issue of youth integration in European labor markets where the unemployment rates of youth versus professional experienced workers are either same or have smaller variations. For instance, there are no real concerns about functioning of labor markets due to constant entry of new school leavers because of strong schooling and college level educational system (Muller, 2005). Brzinsky-Fay (2006) has summarized Marsden (1999) and Shavit & Muller (1998) by presenting the fact that there are ‘two major school-to-work transition regimes’. The first type is known as ‘Internal Labor Markets (ILM systems)’ whereas the second type is known as ‘Occupational Labor Markets (OLM systems)’. As far as the key features of ILM are concerned, Brzinsky-Fay (2006) and Saar et al (2008) have mentioned that the first system more specifically focuses on ‘standardized general education’ but does not pay greater attention to vocational specialization and training programs. In other words, the system does not shape and provide knowledge, training, skills, traits and attributes that could lead to securing a specialized position of strategic importance at commencement of professional careers. The candidates, however, learn and gain experience with the passage of time, which then enables them to advance in corporate world. In contrast, the OLM system values ‘highly standardized vocational’ training and specialization through internships, apprenticeships and workshops; thereby enabling organizations to select their desired candidates who could participate and contribute in strategic planning, goal accomplishment, business expansion, and sustainable development. In addition, the countries like ‘Austria, Denmark, Holland and Germany’ are among the European nations that have adopted OLM approach / system so that they could create a pool of top quality skilled and semi-skilled workers who would not only find medium- and high – paid jobs, but also facilitate in growth and prosperity of these advance nations. Indeed, the vocational training and development programs at school level enable the workers to get immediate employment in manufacturing / productive sector (Saar et al, 2008). As far as Balkan countries in Europe located at Balkan Peninsula are concerned, it is worthwhile to mention that Albania, Kosovo, Serbia, Montenegro, Bulgaria, Turkey, Bosnia, Slovenia, Croatia, Greece, Romania have remained a center of economic dependence and fiscal deficits, of below par health and educational facilities, of unemployment and poverty, of political instability, unrest, law & order, and uncertainty due to weaknesses in political system as well as across institutions. Indeed, misallocation of wealth coupled with political uncertainty has resulted in countless social differences between privileged and unprivileged classes. Most of these Balkan countries are mixed economies i-e a blend of capitalist and command systems (Gligorov et al, 1999). 2.2 – Education The researcher would now like to present a discussion on the role of education in youth mental and financial well-being. Gangl (2001) and Wende (2001) have all pointed out the importance of education in finding employment, more specifically high paid jobs that later lead to better purchasing power and higher standard of living. Indeed, education is of utmost importance for being in a win – win position in an unstructured and complex contemporary environment, which has become more troublesome and challenging for potential workers and organizations due to economic recession, credit crunch and global meltdown. Education enables the candidates in finding dream jobs and securing ‘employment contracts’ because it helps polishing physical skills / expertise and thinking power. Now, as far as the transition period from school to corporate world is concerned, the research would take into consideration and critically evaluate two major factors that affect this transition cycle. The first major factor is that school leavers with minimal working experience and professionalism are valued no better than corporate kids who have to be directed and trained from scratch so that they could be assimilated by a profit - maximizing organization, which does not compromise over its task / result / performance – orientation, predefined goals and targets. For instance, the business contacts and reputation of new entrants (school leavers) in marketplace is also negligible; however, the academic qualifications could be according to defined criteria or level. Nonetheless, the qualification is not the only criterion rather a prerequisite of employment; hence, there are other factors such as experience and technical know-how that are foremost to compete for employment contracts. Therefore, the globalization and subsequent increase in competition has forced employers to choose the best, since they are aware that only fittest could survive and flourish. The similar notion is also used for candidates among whom the smartest is in win-win position. In short, fresh candidates (new entrants) who lack aforementioned attributes are unable to compete, an evident underlying reason behind that is educational system that could only produces academically sound but practically dumb degree / certificate holders. However, this does not mean students should abandon their degree programs in greater quest of temporary / part-time work because degree holders benefit in the long run when they progress and awarded strategic positions only because of their degree (Wende, 2001). On the other hand, the second argument is regarding those who switch from education to work during their school or college life without completion of academic programs. Although, such candidates benefit in the short-run but later face career stagnation because they do not have sufficient skills and higher education to advance in corporate world. Hence, education is also essential to avert the probability of employee obsolescence. A very simple example is difference between a certified diploma holder (12 or 13 year education) and an authorized engineer (15 year education). At a certain point in career, the growth of a diploma holder comes to a halt and preference is given to engineer for certain projects and key positions because of additional knowledge / skills (Wolbers, 2003). Muller (2005) and Brzinsky-Fay (2006) have thrown light over the productivity differences between an educated but untrained youth (who just finished his schooling) and an experienced and well-trained professional candidate. For instance, the employers measure and compare the productivity level of available candidates. Therefore, when the current productive strength and productivity level of potential workers matches the expectations and actual requirements of hirers, the probability that they would be hired increases. Indeed, the basic reason behind disregarding fresh educated workers is their current productivity level and the estimated costs on training and development. These past researchers, thus, have argued that if European nations enhance the vocational training programs in curricula then they could easily prepare youth workers in meeting employers’ requirements and finding right jobs in labor markets. Nevertheless, new educational policies of institutions regarding vocational specialization would reduce employers’ total costs of recruitment, training and development, thereby increasing the probability that youth will get right jobs. It should be clarified that schooling should not be abandoned in any instance, rather work-based programs should be formulated and conducted (ideally with the help of organizations) that are in accordance with industry trends and expected future changes (Wolbers, 2007). As far as the debate on free market economy and European social model is concerned, it should be emphasized that free market economy enhances competition among personnel because the stronger and highly competent outlaws his or her competitors, thereby winning the race. The researcher would agree by the fact that developed / emerging and rich European nations such as Germany, United Kingdom, Denmark, Austria, Netherland, France etc. have provided top quality (that comply with international standards) educational facilities to their students with greater emphasis on vocational training and specialization. School education in above mentioned countries is either free or low / medium cost as well as easily accessible to every potential student who has inclination towards education. Professional education in Europe, however, is not cheap (could be viewed as expensive in different contexts) for even locals higher budgets are required and allocated to maintain standard (Wende, 2001). Therefore, it is justified to argue that unprivileged students could, at least, educate themselves to high school (either through self-financing or government aid / scholarships) and find jobs in labor markets of rich nations that have better GDP growth rates. In contrast, the Balkan countries (most of which are less developing or poor) should have a socialist model for education because the unemployment monster and incorrect allocation of wealth have resulted in stupendous difference between the rich and poor. Therefore, the resources and benefits of a society are confined in fewer hands, whereas the unprivileged tend to receive more burdens than benefits in a society. Indeed, such unprivileged could also be regarded as actual losers (of Balkan countries) in broad globalized Europe. 3. Conclusion In a nut shell, the importance of education in personal and financial development could not be denied. Without education, a person in 21st century could face oneself insecure and unsafe because of complexities, unpredictability and challenges. The educational systems across Germany and United Kingdom have focused on school-based and work-based training sessions, thereby reducing youth unemployment rates and contributing to youth integration in labor markets to a greater extent. Similarly, Austria, Denmark and Netherland also have low youth unemployment rates and greater integration levels. In contrast, France, Italy, Greece and Spain are among notable countries that have very high youth unemployment primarily because of less focus on vocational specialization and work-based training. Most of the poor and economically unsound Balkan countries have been grappling with grave issue of unemployment, and provide limited educational facilities to every youth. Hence, there is dire need that these countries should formulate a new social model to tame the free-market economy and provide more educational opportunities and life-long learning for the young so that they could avert the adverse consequences of globalization, thereby becoming genuine winners rather losers. References / Bibliography (APA) Muller, Walter (2005). Education and Youth Integration into European Labour Markets. International Journal of Comparative Sociology, Vol. 46, no. 5-6, pp. 461-485 Gangl, Markus (2001). Education and Labour Market Entry across Europe: The Impact of Institutional Arrangements In Training Systems and Labour Markets. Mannheim Centre for European Social Research Brzinsky-Fay, Christian (2006). Lost in Transition: Labour Market Entry Sequences of School Leavers in Europe. WZB Discussion Paper, SP I 2006-111 Saar, Ellu, Marge Unt and Irena Kogan (2008). Transition from Educational System to Labour Market in the European Union: A Comparison between New and Old Members. International Journal of Comparative Sociology, vol. 49, 1, pp. 31-59 Couppie, T. and Mansuy, M. (2001) 'Young People and New Entrants in European Labour Markets: The Timing of Gradual Integration', in W. Muller and M. Gangl (eds) Transitions from education to work in Europe – the integration of youth into EU labour markets, pp. 63-105, Oxford University Press. DiPrete, T.A., Goux, D., Maurin, E. and Tahlin, M. (2001). Institutional Determinants of Employment Chances. European Sociological Review, No. 17, pp. 233-254 Gangl, Markus (2002). Changing Labour Markets and Early Career Outcomes: Labour Market Entry in Europe over the Past Decade. Work, Employment & Society, vol. 16, 1: pp. 67-90 Wolbers, Maartan (2003). Job mismatches and their labour-market effects among school-leavers in Europe. European Sociological Review, Vol. 19 No. 3, pp. 249-266 Wolbers, Maartan (2007). Patterns of Labour Market Entry: A Comparative Perspective on School-to-Work Transitions in 11 European Countries. Acta Sociologica, vol. 50, 3: pp. 189-210. Gligorov, Vladimir, Mary Kaldor and Loukas Tsoukalis (1999). Balkan Reconstruction and European Intergration. [Online] Available at http://eprints.lse.ac.uk/3319/1/Balkan_Reconstruction_and_European_Integration.pdf Wende, marijk (2001).The International Dimension in National Higher Education Policies: What Has Changed in Europe in the Last Five Years. European Journal of Education, Vol. 36, No. 4, pp. 431-441 Read More