For richer, for poorer and for better or worse outcomes: policy opportunities

1 November 2017

Opinion piece

Genevieve Knight, Manager Research Operations, National Centre for Vocational Education Research

Summary

Recently published NCVER research (Who are the persistently NEET young people?) uses data from NCVER’s Longitudinal Surveys of Australian Youth (LSAY) to show that there are opportunities to better inform and support youth in relation to school and post-school education, training and work.

Young people represent the future workforce and productivity of this country so it is of great policy interest that young people make successful transitions from school to further education and the labour market.

The research explores the challenging business of being a youth, including the risk of unsuccessful transitions with poor outcomes due to youthful dis-engagement, and found that the share of Australian persistently NEET youths (who spent periods of at least 6 months not in education, employment or training) doubled for the youths aged 15 years in 2006, relative to the earlier group who were 15 in 2003, and the share of those early NEET aged 15-19 trebled.

This evidence shows the disparity in impact of the global financial crisis (GFC), where those aged 18 at the time of the GFC had worse effects on their future outcomes than those aged 21, and therefore need careful policy focus in a downturn.

It was also shown that not all NEET youths are equally vulnerable. Those identified as most vulnerable and in need of an early targeting policy of support to prevent poorer outcomes were those who:

  • had a child before age 20 (particularly mothers who had home care duties as barriers to participation)
  • had not completed year 12
  • with generational disadvantage (in the lowest socio-economic group, with low parental education)
  • with a disability
  • with an Indigenous background.

Among the vulnerable include those NEET youth without a plan – the disengaged and unavailable for work – who gave reasons that they were simply not doing anything at the moment (‘fixing cars with my mate’), or had barriers (‘full-time carer for ill mother’, ‘about to have a baby’).

In contrast, those not at risk of poorer outcomes did have plans, such as waiting for their next education (‘waiting to start TAFE next year’) and work (‘going to start as a volunteer next month’).

Earlier NCVER research using LSAY data has shown that those who do not complete year 12, but then do continue on to post-school studies can have successful transitions by undertaking apprenticeship pathways (young men) or completing a traineeship (young women). The research found the practical learning available in these pathways may help re-engage youth with education to make the successful transitions.

Unfortunately, more recent research (Choosing VET: aspirations, intentions and choice and the research reports Choosing VET: investigating the aspirations of school students and In their words: student choice in training markets) has found that student interest in VET-related jobs is higher than their interest in post-school VET pathways. While school students view VET as a positive experience offering practical and work-related learning, some hold negative views of the value, prestige and importance of VET study.

This demonstrates a real opportunity to strengthen policy around better informing and supporting youth in their career aspirations and post-school pathway decisions. Negative perceptions of VET can strengthen in later senior secondary years, so it’s essential students have access to accurate, independent information about VET careers and pathways when they’re making key decisions about their future.

References

Hargreaves, J & Osborne, K 2017, Choosing VET: aspirations, intentions and choice, NCVER, Adelaide.

NCVER 2017, Submissions.

Ryan, C 2011, Year 12 completion and youth transitions. NCVER, Adelaide.

Stanwick, J, Forrest, C, Skujins, P 2017, Who are the persistently NEET young people, NCVER, Adelaide.