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- Skills anticipation in Malta (2023 Update)
Skills anticipation in Malta (2023 Update)
Summary
Overview of the Maltese approach
A coherent system for producing and interpreting skills intelligence is yet to be developed in Malta. The country’s small and open economy exposes it to external economic trends, requiring the workforce to be adaptable and flexible. The small size of the economy makes skill needs forecasting challenging as even a single large investor may significantly impact the country’s labour market needs.
Various ad hoc skills anticipation exercises have been used over the years. The skills anticipation process is fragmented with limited overall coordination. Employers highlight the lack of reliable and systematic data on future skill needs that hinders identifying skill needs. Employers have presented a Dossier on skills for future competitiveness, asking government to improve the skills and training of the country’s workforce, as lack of appropriate skills is a threat to Malta’s economic growth. That said, a relative strength of the current skills anticipation activity is the high level of stakeholder involvement in skills anticipation. The main state VET provider, the Malta College of Arts, Science and Technology (MCAST) cooperates well with employers. It responds quickly to skills needs changes through tailored training programmes to support the alignment of the skills system with the demands of the labour market.
The National Statistics Office (NSO) has, in October 2022, run the Malta Skills Survey, among the working age population, to do a national skills mapping. Other one-time previous surveys and studies include the National Employee Survey carried out in 2017 and the development of the Employability Index in 2015, both of which have helped expand the evidence on the match between skills supply and labour market needs.
A National Skills Council (NSC) with the capacity to better coordinate the national system of skills anticipation was launched in November 2016. NSC brought together representatives of the University, enterprises, public and private bodies, research centres, education experts and civil society. Since 2022, the NSC is an executive government body, driving and implementing activities on “labour market preparation and skills”. It advises government on priority skills needs and the direction of skills development, steers the national skills strategy, and establishes policy and procedures for standards, curriculum, and quality assurance. The NSC also oversees research and skills intelligence, creates channels for stakeholder collaboration, and promotes performance benchmarking and reporting and mechanisms for advancing skills and minimising the skills gap.
Description
In Malta there are a range of activities that shed some light on issues relevant to skills anticipation. Besides regular surveys such as the Labour Force Survey (LFS), the following mainly ad hoc exercises provide data about the supply of, and demand for, skills:
- The Employability Index was created in 2015 by the then Ministry for Education and Employment [MEDE] and Jobsplus. MEDE, has now become Ministry for Education, Sport, Youth, Research and Innovation (MEYR) and Jobsplus moved under MFE. No other Employability index has been published since 2015.
- Ad hoc skills foresight exercises, focusing on specific sectors of the economy. A forecast exercise was carried out as part of the National Employment Policy 2021-30;
- Ad hoc surveys conducted with employers such as the National Employee Skills Survey, carried out by Jobsplus, Malta Enterprise, and the Malta Further and Higher Education Authority (MFHEA) – formerly National Commission for Further and Higher Education (NCFHE). The ICT Skills Demand and Supply Monitor 2021 was run by the eSkills foundation and provided a snapshot of the demand by ICT entities and the supply of ICT education and training in Malta.
- Malta skills survey carried out by the National Statistics Office implemented in October 2022 to map existing skills in the labour market. This study was commissioned by the Ministry of Finance and Employment (MFE).
- Jobsplus also publishes employment statistics , updated annually, on employment trends, jobseekers data, foreign workers, vacancies data which and publishes relevant studies.
These exercises do not, however, provide a comprehensive, integrated system of skills anticipation. Skills anticipation mainly falls within the responsibility of the MEYR. In practice skills anticipation activities spread across several organisations within MEYR. Activities relevant to skills anticipation can be identified within MFHEA through the Further and Higher Education Statistics. NSC is also involved in skills anticipation through its main goals which involve: advising government on priority skills needs (Skills Advisory); steering Malta’s national skills strategy (Skills Strategy & Policy); overseeing research, benchmarking and reporting performance, and developing intelligence (Skills Panorama); promoting mechanisms for skills development and minimising skills gaps (Skills Development); and creating channels to connect different stakeholders and promote collaboration to respond effectively to present and future skill demands (Skills Networking).
The Maltese government set up the NSC in November 2016 within the Ministry of Education and Employment. The NSC was assigned the responsibility of identifying skill gaps in the economy and recommending policy actions that would reduce skill gaps and equip the labour force with adequate skills. The NSC’s role is to take stock of existing skill needs and inform the education system on whether it is producing the skills the economy needs. The NSC brings together representatives from MEYR, UoM, MCAST, PES, Institute of Tourism Studies (ITS), the Malta Chamber of Commerce, Enterprise and Industry, Malta Enterprise, lifelong learning entities, and civil society. It works with a wide range of stakeholders and conducts research. One of the initiatives of the NSC concerns education-business encounters, where educational professionals and industry are brought together to identify ways and means of working closer to address the needs of both sectors, promote employability, and to create a smooth transition from one phase of a student’s life to another.
In 2022, NSC was made autonomous and responsible for carrying out functions related to labour market preparation and skills as well as serve as a main driver in these fields. The National Skills Council will be embarking on the development of a National Skills Strategy.
Aims
There are concerns in Malta about skills gaps and shortages in the economy. The NSC has an important role to play, as it mainly aims at minimising existing skills gaps in key sectors such as the digital, technical, and financial sectors, where Malta has a degree of competitive advantage. It is the council’s task to recommend policy changes for education and training to the government that would reduce skill gaps and prepare the labour force with the right skills to meet future challenges.
There has been growing attention to the information needs of: (a) jobseekers; and (b) young people faced with deciding about which courses to choose. In the case of jobseekers, Jobsplus has extended the services of its employment advisors beyond the unemployed to also include employed individuals who would like guidance in identifying training opportunities to improve their employment and career opportunities. In 2020, MEYR’s Directorate for Research Lifelong Learning and Employability (DRLLE) set up its own Guidance team within the Msida Lifelong learning Centre. This service provides tailor-made guidance involving communicating, advising, informing, referring, and counselling adults on learning opportunities. In the case of young people, career guidance services in compulsory education have been strengthened through professionalising career guidance practitioners and including this service within the National School Support Services (NSSS). The Malta Career Guidance Association also keeps career guidance professionals updated with information relevant to opportunities of employment and training, even if skills forecasting information may not be a regular training theme.
Legal framework
There are several regulations that are pertinent to skills anticipation. These include:
- The Employment and Training Services Act Chapter 594 of 1990 (and subsequent amendments, with the latest Act XXIX in 2018) which regulates the activities of Jobsplus (the PES). The Act gives Jobsplus the function of: referring jobseekers who best satisfy employer requirements due to their qualifications, skills and/or competences and/ or work experience; providing training courses or other schemes to assist persons desiring gainful occupation, or to improve or update their knowledge and skills; and obtaining information from employers regarding the number, educational level, skills and aptitudes of persons they may require for employment both in the short and long-term.
- Legal Notice 19 of 2015 (as amended by Acts XXVII of 2016 and II of 2020) as part of Subsidiary Legislation 586.07 which regulates the processing of data and students’ educational attainment by education authorities, and for research and statistics purposes;
- Subsidiary Legislation 605.10 National Skills Council (establishment) order, Legal Notice 320 of 2022, which supersedes Legal Notice 278 of 2016 that established the NSC as an autonomous entity, and details its functions related to the identification of the best preparation of workers with the skills needed for the labour market.
- Subsidiary Legislation 463.28 Skills Development Act of 2018 which lays down the regulations for forms of assistance provided by Malta Enterprise to enterprises for training of employees in relation to their employment.
National strategic documents that call for action in relation to skills anticipation include:
- Malta’s National Reform Programme (NRP) of 2022 includes activities that aim to address skills gaps in digital skills, AI and construction, building on Malta’s 2020 NRP;
- The Framework for the Education Strategy for Malta 2014–2024, which suggests a variety of policy measures to ensure that all children, young people and adults have the opportunity to obtain the necessary skills and attitudes to be active citizens and to succeed at work and in society. It also proposes skills assessment to bring education and training closer to the needs of the labour market;
- Malta’s Recovery and Resilience Plan focuses on skills acquisition, strengthening skills development and recognition to reduce early school leaving and supply skills to the labour market;
- Malta’s National Strategic Plan for Further and Higher Education 2020-30 published for consultation in December 2022 calls for, among other things, improved data collection, dedicated reviews and tracer studies covering transitions from compulsory, further, and higher education to employment which would allow the development of more informed analyses. It also plans the collection of data and intelligence to support further and higher education policy design. This superseeds the Higher Education Strategy for Malta published in 2014, which called for research on skill needs to help higher education institutions adapt their courses to the labour market;
- The National Vocational Education and Training Policy which, among other priorities, calls for a skills intelligence system incorporating a national tracer study and longitudinal skills gap analysis;
- The National Strategy for Lifelong learning 2020-30 published in July 2021 for public consultation focuses on basic skills and improving educational opportunities for low-skilled and low-qualified adults at higher risk of unemployment, poverty and social exclusion. It is intended as an update to the Malta National Lifelong Learning Strategy 2020 which called for lifelong learning to be better aligned with skills demand.
- Early leaving from Education and Training Policy 2020-30 which calls for the development by the National Statistics Office of an area-based deprivation measure aimed at identifying those students who need education and training as well as other support.
Governance
The organisations responsible for skills anticipation and related activities are found within both MEYR and MFE. MEYR has responsibility for MFHEA, UoM, MCAST. The Institute of Tourism Studies (ITS), responsible for identifying skill needs in tourism and hospitality, also falls within MEYR. The NSC also falls within MEYR and has the overall responsibility for identifying the country’s skills needs and recommending policies and measures to address them. Jobsplus has moved to MFE. MFE has also carried out the forecasting exercise for the National Employment Policy 2021 – 2030, as well as commissioned the Malta Skills Survey.
The role of stakeholders
Employers’ organisations, Chamber of Commerce, providers of higher education and vocational education and training (VET), social partners, PES, and policymakers are all involved in the skills anticipation process. However, there is no central body bringing together the results of the anticipation activities, and as such there is relatively limited coordination of the range of skills anticipation activities taking place. The NSC is designed to fulfil the coordinating role by bringing all stakeholders to the discussion table to facilitate a more coherent and structured approach to stakeholder consultation on skills anticipation. Stakeholders represented in the NSC include UoM, MCAST, PES, ITS, the Malta Chamber of Commerce, Enterprise and Industry, and Malta Enterprise.
An important platform for stakeholder dialogue is the Malta Council for Economic and Social Development (MCESD), which, as an advisory Council, involves social partners (government, business and trade unions) in dialogue about the needs of the country and how to collaborate on successful policy initiatives. It issues opinions and recommendations to the Maltese government on economic and social relevance. MCESD also has the remit to commission studies dealing with economic and social development. In 2022, the Malta Employers Association (MEA) published a Dossier on ensuring the skills for future competitiveness on how to address skills shortages in a number of sectors. In 2021 the Malta Chamber of Commerce published its recommendations on a national workforce strategy on potential ways of tackling skills gaps.
Jobsplus and MCAST hold good relationships with the business community. They regularly meet employers to discuss how training offered by the two organisations can increase the skills levels of existing and future employees. Several other sector-based organisations are also interested in pushing forward the skills agenda regarding their sectors, such as BICC (construction) have an Education and Training working group which identifies and develops training courses to tackle skills gaps in the construction sector. The Malta Financial Services Authority (finance) has an Education Consultative Council which conducted a Skills Needs Survey in the financial sector in 2015. The eSkills Malta Foundation published an updated National eSkills Strategy 2022-2025 (updated from the one for 2019-2021). This strategy complements initiatives at both local and EU level to address the need for existing and new digital skills that will be required for nearly all jobs over the medium term. Despite general positive developments in the digital literacy, the need for a continued effort to narrow the digital gap further is a key goal for the Malta eSkills Foundation.
Target groups
The intelligence produced with skills anticipation activities are aimed at a wide variety of users: policymakers, education and training providers, labour market intermediaries, employers, jobseekers, career guidance professionals, young people making decisions about what to study, and graduates from secondary and tertiary education regarding their career options. Recent years has seen a growing focus on promoting the upskilling (in basic skills and CVET) and reskilling of jobseekers, young people, and employed persons wanting to improve their employment opportunities.
Funding and resources
Funding of skills anticipation activity is spread across several government departments and agencies depending upon the exercise being undertaken. Funding ranges from public funds to European funded projects. The European Social Fund (ESF) has been a source of funding for some activities (e.g., the project ‘Linking Industrial Needs and VET to Optimise Human Capital’, run by MCAST, ITS and the Malta Qualifications Council). The National Employee Skills Survey, carried out by Jobsplus, Malta Enterprise and NCFHE was part of an ERASMUS+ project. There is currently no budget specifically allocated to skills anticipation research and activities as budget is usually allocated to entities.
Methods and tools
Skills anticipation remains overall fragmented and underdeveloped. With the NSC becoming an autonomous entity, skills anticipation may become more structured and coordinate. Past experiences of skills anticipation surveys have provided information gaps and contributed to making skills challenges in specific sectors more transparent. They provide NSC with insights of the most effective methods and approaches which it can adopt to improve skills anticipation activities.
Skills assessment
Skills assessment may take place through different methodologies. MCAST, Malta’s main VET institution, has an outreach programme with employers to identify skill needs in industry and collaborate to devise relevant courses. Every year a national conference on VET and skills issues is held. MCAST has also conducted a tracer study which shows the employment outcomes of its graduates.
Government can also take a national approach to skills assessment as in the case of the National Skills Survey to map available skills within the labour market at a national level. There are also assessments focused on specific skills and labour market issues. Examples include the National Employee Skills Survey published in 2017 which focused on soft skills, and the Malta ICT Skills Audit of 2017 which provided a concise picture of existing skills. One also finds the study on cross-cutting competences related to green jobs as part of the Intercept project implemented by Jobsplus.
In 2018, Jobplus (the PES) published the “Occupational Handbook 2018”, where it collected information related to 246 occupations of the Maltese labour market. These occupations cover more than 90% of the labour force. The information was obtained by means of desk-based research, online questionnaires, and consultation meetings with various sectoral stakeholders (the State, educational institutions, private enterprises and other social partners) which makes the handbook unique to Malta and the needs of the Maltese economy.
Skills forecasts
Attempts at skills forecasting can be identified in 2017, with Jobsplus, Malta Enterprise, and NCFHE publishing a National Employee Skills Survey. The objective of the report was to collect information on the profile of employees working in different sectors of the Maltese economy and to undertake skills forecast to determine changes in the demand for skills over the medium and long-term. The survey also collected data on recent recruitment and hard-to-fill vacancies. It also gathered data on employees’ level of qualification in different sectors of the economy, their knowledge, skills and competences, as well as their training needs.
During 2018 and 2019, Jobsplus also worked on the design of an econometric model to forecast labour market demand and supply in Malta. The project was supervised by Jobsplus and contracted to a foreign research centre (the Institute of Economic Studies at the Slovak Academy of Sciences). The skills forecasting model was first implemented in 2020. The results are used by the MFE for economic and labour market analysis and policy.
Relevant data for Malta can also be found in Cedefop’s skills forecast country report. In addition, the Malta Chamber of Commerce, Enterprise and Industry in cooperation with PriceWaterhouseCoopers carries out monthly surveys among employers which include forecasts of short-term employment needs. In 2022, they also set up a Think Tank to provoke useful discussion to establish a vision which captures ideas, hopes and aspirations for both current and future generations.
Skills foresight
In 2017, ESkills Malta Foundation (ICT) carried out an eSkills audit which presented indications of the specific tech-skills envisaged to be in demand in Malta up to 2020.
Other skills anticipation practices
The National Employee Skills Survey by Jobsplus (the PES) Malta Enterprise and NCFHE (now) MFHEA in 2016 collected data on vacancies, recruitment difficulties, expected number of vacancies over the next one to three years, and the qualifications and experience that will be required of applicants. It also collected information on employers’ appraisals of apprenticeships and traineeships schemes, internal skills mismatches and in-house training, and their collaboration with educational institutions.
The Malta Attractiveness Survey conducted by the consulting firm Ernst & Young annually collects data from foreign-owned companies in Malta and presents their expectations of the future skill needs of the labour market. Results are published each year through a national conference.
The National Statistics Office (NSO) also regularly publishes information on both the labour market based on the Labour Force Survey and student enrolments in the education system. This is based on analysis of the LFS and administrative data from PES and educational institutions. Jobsplus (PES) also gathers data about job vacancies. These are not currently published in full, but headline figures are published in annual reports.
Graduate tracer studies are conducted but there is no systematic approach: the Centre for Labour Studies at the UoM has been commissioned to undertake such research for higher education, and the MCAST conducts tracer studies at the secondary education level. The Student Services Department within the MEYR has an annual publication which provides information about the educational and employment choices of young people who have recently completed compulsory education.
In 2015, the National quality assurance framework for further and higher education was launched. The framework specifies the legal provisions on internal quality assurance for licensed further and higher education institutions in Malta. The framework covers upper secondary and higher VET (IVET) including work-based learning (WBL), CVET as well as other types of further, higher, and adult formal education offered by State and private providers. One specific requirement includes periodic external quality audits (every five years), in line with European standards and guidelines. The national approach to quality assurance in VET also includes a commitment by licensed education providers to support MFHEA with data on student enrolment and graduates. Data collected is used to publish the Further and Higher Education statistics and can be used by VET providers to introduce new VET programmes that tackle skills gaps identified by the industry.
In 2018, the European Commission involved Malta – together with seven more countries – in the EUROGRADUATE pilot project, which seeks to investigate the feasibility of establishing a European graduate tracking survey. The MFHEA was the nominated national expert, and was entrusted with building Malta’s capacities to prepare the ground for a European graduate tracking mechanism in higher education. The process involves several key tasks: providing a baseline analysis of capacity shortages, producing strategic roadmaps for meeting capacity requirements, and implementing such roadmaps.
Dissemination and use
Use of skills anticipation in policy
The influence of skills anticipation exercises is mainly observed in the National Employment Policy 2021-2030 policy which is based on a forecasting exercise that has been carried out. The Policy has also led to the commissioning of the National Skills Survey of 2022. The policy reflects government’s and stakeholders’ view with respect to better aligning the Maltese skills system to labour market needs to tackle skills gaps in the economy.
The strengthening of the NSC also reflects government’s commitment to work on tackling skills mismatches.
Target groups’ use of skills anticipation outputs
Some skills intelligence is available online or upon request. While reports are available online, they are scattered on websites of different entities, mainly of the NSO, Jobsplus, the MFHEA and the UoM. However, these organisations do not always publish all the data they collect. For example, vacancies data collected by the PES or microdata on the labour market held by NSO are not publicly available. This is partly due to concerns about privacy protection of people and employers included in the data, as the small size of Malta’s population (and thus of the survey samples) may in some cases jeopardise anonymity.
Please cite this document as: Cedefop. (2023). Skills anticipation in Malta. Skills intelligence: data insights. URL [accessed DATE] |
Bibliography
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Data insights details
Table of contents
Page 1
SummaryPage 2
DescriptionPage 3
Methods and toolsPage 4
Dissemination and usePage 5
Bibliography