The Competitiveness of Nations
in a Global Knowledge-Based Economy
H.H. Chartrand
April 2002
A 
Economic
Council of 
Annotation Index
| 
  
     Forward 
  Introduction 
  A - QUALITY: AN ESSENTIAL ISSUE 
  1. Enrolment & Drop-out Rates 2. Academic Achievement 
  a) International Comparisons 
  b) Inter-provincial Comparisons 
  c) 
  Functional Literacy of Young Adults 
  3. Some Crucial Aspects of Educational     
  Achievement a)  Students 
  b) Families, Friends &
  Peers c) Teachers 
  d) Schools & School
  Resources 
  e) The 
   page 2 1. Vocational Education in Secondary 
  C - CONTINUOUS SKILL UPGRADING 
  1. Skill Needs & Employers’ Responses 
  3. A Role for Distance Education
     | 
  
  
   D - THE NEED FOR CHANGE 1. Enhancing Coherence 2. Promoting Partnerships 3. Developing Cooperative Programs  E - THE TEACHING PROFESSION 1. A Profile of Teachers in  2. Teacher Demand & Supply 3. Teacher Training 4. Teachers’ Earnings 5. 
  Career Structures 6. Summary F - COSTS & FINANCING 1. International Comparisons 2. Spending by Provinces 3. The Financing of Education 4. Summary G - EDUCATION & TRAINING:            AN INTERNATIONAL
  PERSPECTIVE 1.  2. Strengths 3. Weaknesses 4. Lessons from  5. Summary H - Conclusions  | 
 
The traditional model, in 
which “schooling” and “work” were quite distinct activities, is obsolete.  The “learning continuum” conveys the 
notion of learning as a continuing process... “lifelong learning”, “recurrent 
education”, or “further education and training”.
In this new model, learning is 
an integral dimension of work.  “a 
surprisingly high proportion of both high-school and university graduates in our 
samples remained in the educational system after graduation.  What distinguishes graduates in the 1980s 
from those in earlier decades are these diverse combinations of education and 
work”.  To be able to continue to learn, of 
course, people must have a solid base of “foundation” skills... literacy and 
numeracy.  p.16
Vocational programs - our main 
focus here - are of great importance because of their direct implications for 
competitiveness and because demographic trends in the labour force put a premium 
on adult learning.
Two examples [based on Figure 
10, p.17] of lack of coherence are illustrated... First, the broken lines from 
secondary school programs to the postsecondary apprenticeship stream and from 
vocational secondary schools to college reflect our conclusion that there is 
insufficient ‘articulation’ - a lack of clear pathways, linkages and 
accreditation between these various elements of the continuum... (Not seen in 
the figure, however, are some innovative ways of promoting vocational learning 
at various levels - namely partnerships, dealt with later on.)
Indeed, one of the key 
observations here is that 
1. 
Vocational Education in the Secondary Schools
One of our principal 
conclusions is that the options for the nonacademic student have been neglected 
and that the general disrepute in which vocational programs are held is 
damaging.  Partly, the problem is one 
of misplaced expectations: most parents, and students themselves, aspire to 
prestigious positions via university or college... Many youngsters do... find 
their niche in well-paying trades and technical positions after more or less 
fruitlessly dabbling in postsecondary courses and/or part-time jobs.  Under the German system, they would 
probably have found well-paid jobs quickly and at less cost to society. pp. 
17-18
A recent research paper by 
Employment and Immigration 
... it appears that in Ontario 
enrolments in “technological studies” - which include such subjects as drafting, 
construction, and electrical and television repairs - have declined as a 
proportion of overall enrolments during the period 1985-88 ... similar ... for 
Alberta ... Particularly striking is the case of Quebec ... declined from 18.0 
per cent in 1976-77 to 4.6 per cent in 1988-89... p.18
Why:
 the programs tend to be geared towards high-risk students and/or low achievers;
 the staff of vocational schools frequently do not have advanced formal 
 qualifications;
 postsecondary institutions often do not accept vocational subjects as credits;
 the formal links between secondary school vocational programs and 
 apprenticeship programs are uneven and incomplete;
 a secondary school’s success is often judged by how well it prepares students 
 for university rather than by how well it prepares them for the labour market;
 Canadian society ascribes a lower socio-economic status to blue-collar jobs;
 guidance counselors estimate that some 95 per cent of Grade 10 students aspire 
 to university entrance - an unrealistic expectation that is often reinforced by 
 parents;
 career counselors are frequently ill-informed about the content and prospects 
 of jobs of the 1990s.
Nevertheless, more must be done to improve the image of vocational education and training. In particular, where secondary school level apprenticeships are offered, they should be coordinated with the regular postsecondary apprenticeship system. p.18
In 
One curious aspect of the 
system is that, during a period of rapid technological change, enrolment in 
technology courses has actually declined in recent years.  For 
Why?  In part, reflect poor image of vocational 
education generally, and technological studies in particular at the secondary 
school level.  A study of... 
The most recent figures 
suggest that the trend may have bottomed out... p.19
But given labour-market 
realities, the colleges must seek out new, innovative ways to contribute to the 
planning, design, and implementation of vocational courses, in direct 
collaboration with local employers and the wider community... 
Local businesses transfer 
recent technology to the colleges by providing machinery, equipment and staff; 
and the colleges train technicians to work in the local industries.
While... exceptions   - 
Even less is known about the 
burgeoning private-sector vocational system... about 1,000 private colleges... 
about 350 are either members of a provincial association and/or are designated 
as institutions eligible for the Canada Student Loan Plan. p.19
Private colleges have higher 
per-course fees, but course duration is shorter... so income forgone is less... 
boasting a significantly higher placement rate.
Clearly, a great deal further research is required to assess the relative performance of public and private colleges. p. 20
A number of recent reports... 
called for reform of the apprenticeship system.... the recent National 
Apprenticeship Survey (conducted by Statistics Canada on behalf of Employment 
and Immigration Canada)... Canadian apprentices are old, by international 
standards; in addition, only 12 per cent of enrolments in 1986-87 were female 
and only 41 per cent of program completers were awarded inter-provincial 
standards certificates.  p.20
a) National Standards and 
Costs
.. two issues worthy of 
consideration.  First has to do with 
national standards and mobility... Employers have few guarantees of consistent 
standards; and for the apprentices themselves the system inevitably limits 
mobility.
The Inter-provincial Standards 
Program (also known as the Red Seal program) was established in 1959 to promote 
national standards in provincial apprenticeship training programs... the number 
of occupational trade granting Red Seals to more than 50 per cent of their 
graduates have been few.  p.20 
Second, comparisons are often 
made with 
b) 
Responsiveness of the Apprenticeship System
From existing employment 
data... employment growth ... 1967-89, the annual average employment growth 
rates were:
manufacturing                                      
1.0%
construction                                         
1.9%
‘dynamic’ services *                           
3.2%
traditional services                              
3.2%
non-market services                             
3.3%
* dynamic = transport and 
communications; utilities; finance,  insurance 
and real estate; and business services
Throughout the 1980s, however, 
more than 90 per cent of the occupations covered by apprenticeship pertained to 
manufacturing, construction, or traditional services.  Should one conclude that the 
apprenticeship system is oriented to employment in shrinking sectors....? Are 
knowledge- and technology-intensive occupations unsuitable for apprenticeship? 
p.22
Of the 84 occupations 
considered, correlations with general labour-market demand conditions for the 
period 1974-1987 revealed only two occupations - service-station attendants and 
radio/television technicians - for which responsiveness could be regarded as 
‘good’... The analysis suggests that little attempt was made to synchronize the 
supply of apprentices with the demand of employers for occupational workers.  
p.22
C - CONTINUOUS SKILL UPGRADING
Perhaps the most underrated 
form of continuous learning is informal self-instruction by individual persons.  
The widespread acquisition of basic computer skills by a large segment of the 
population in the past decade testifies to this.
But what are the skills 
demanded in the rapidly evolving industrial world? The articulation of such 
needs is a crucial component of coherence... p.22 
1. Skills Needs and 
Employers’ Responses 
The problems of illiteracy, 
innumeracy, and lack of other basic skills are frequently cited as barriers to 
productivity increase and effective human resource development... Conference 
Board survey... 70% of Cdn business indicate illiteracy a problem in their 
operations
Next it appears that employers 
experience difficulties in obtaining certain technical skills.  A telephone survey of 822 high-tech 
firms... 54% reported problems in recruiting and retaining professional, 
scientific and technical staff; 34%... skilled labour... Many employers laid 
some of the blame for this on the education system.  
For example, some 24 per cent found universities less than adequate... 58% found 
elementary and secondary schools lacking  
pp. 22-23
Moreover, a disturbing finding 
is that most high-tech training goes to employees who are already highly 
skilled; the most common kind of training among the reporting firms was for 
professional and management categories. p.23
Where is it performed?  Some insight from Statistic’s 
… small firms are the largest 
employer, but only 27% conduct training while 76% of large firms do so; as a 
motivation fewer than 25% of small firms identified new technologies as source 
of skill need
only 15% of firms have special 
training budget - 13% for small and 59% for large firms and large firms (1% of 
all firms) account for 45% of all training expenditures
While, somewhat surprisingly, 
all firms were familiar with at least one program of EIC’s Canadian Job 
Strategy, 58% of small companies (against 40% of large firms) said they would 
not use any program again.  p.23
3. A Role for ‘Distance’ Education
In the matter of continuous 
skill upgrading, there is scope for major contributions to the learning 
continuum through the alternate delivery mechanisms represented by ‘distance’ 
education.... largely untapped
We note that TV Ontario 
recently submitted a proposal for an ‘Ontario Skills Training Channel’ - a 24 
hour television channel dedicated to the teaching of a wide variety of 
professional and generic skills. p.24