ERIC Number: ED423359
Record Type: Non-Journal
Publication Date: 1996-Jun
Reference Count: N/A
Financing Vocational Education and Training. Report of Subgroup A Presented at the Advisory Forum Meeting (Turin, Italy, June 10-12, 1996).
For the countries of Eastern Europe and the former Soviet Union, financing schemes of vocational education and training (VET) of other industrialized countries are possible prototypes. These "Partner Countries of the European Training Foundation (ETF)" should focus on the balance of responsibilities between central and local bodies and on government structures and funding from public budgets. VET funding sources are central and lower-level government budgets and employer and trainee contributions. Most ETF countries have set up national funds that receive allocations to finance labor market training. Worldwide, methods of financing vocational education involve various degrees of decentralization: central governments' education budgets; funds generated at each government level; public funds administered by employer-led organizations; three-stream funding in the dual training system; and performance-based financing of independent schools. Financing methods of organizational structures of labor market training include the following: unemployment insurance-based training funds; model of regional planning and coordination; financing national training agencies; funding through employer-led organizations; funding through federal programs; and delegation of powers to the social partners. The major problem faced by ETF countries is underfunding of public VET due to shortage of state education budgets. Two solutions are decentralized financing schemes and market-based schemes. Both have positive and negative implications. (YLB)
Publication Type: Opinion Papers
Education Level: N/A
Authoring Institution: European Training Foundation, Turin (Italy).
Identifiers - Location: Europe; USSR