The Welsh Government is seeking to expand and broaden the use of LMI across Wales. This is one of a regular series of articles which will be appearing in the DYSG newsletter and on the Learning and Skills Observatory website - http://www.learningobservatory.com
A recent study adds to the weight of evidence showing that most vocational qualifications increase the likelihood of employment and result in a large and significant wage gain.
All vocational qualifications are associated with an increased likelihood of employment. Those with an NVQ at Level 3 are 15 percentage points more likely to be in employment and for Level 2, 13 percentage points, compared to those with lower qualifications.
There is an average 20% wage gain from gaining a BTEC Level 3, 16% for RSA Level 3, and 10% for NVQ Level 3, compared to similar individuals qualified to Level 2.
The wage gain is lower for Level 2 – 12% for BTEC, 16% for RSA, and 1% for NVQ, compared to those with qualifications below Level 2.
The study also examined apprenticeships in England and indicated strong positive wage returns – 22% for a Level 3 apprenticeship and 12% for a Level 2 apprenticeship.
The lifetime benefits associated with gaining an apprenticeship at Level 2 and 3 are very significant, standing between £48,000 and £74,000 for Level 2 and between £77,000 and £117,000 for Level 3 apprenticeships.
Returns to NVQs vary significantly by sector. There is also a significant variation by occupation, with higher returns found in lower skilled occupations.
The report was produced by the Department for Business, Innovation & Skills and is available at:
http://www.bis.gov.uk/assets/biscore/further-education-skills/docs/r/11-1282-returns-intermediate-and-low-level-vocational-qualifications
If you have any comments about the sorts of LMI you value in your work and how LMI has been of benefit to you, we’d like to hear from you. For this and further information about the LMI project contact Rachel Stephens, Senior Skills Policy Manager at the Welsh Government at rachel.stephens2@wales.gsi.gov.uk
