Report No. AUS0000063 EMPLOYABILITY OF POST-SECONDARY TVET IN BANGLADESH Tracking Survey of Graduates of Polytechnics World Bank Office Dhaka Plot- E-32, Agargaon, Sher-e-Bangla Nagar, Dhaka-1207 Bangladesh Tel: 880-2-5566-7777 Fax: 880-2-5566-7778 www.worldbank.org/bangladesh © 2017 The World Bank 1818 H Street NW, Washington DC 20433 Telephone: 202-473-1000; Internet: www.worldbank.org Some rights reserved This work is a product of the staff of The World Bank. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of the Executive Directors of The World Bank or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Rights and Permissions The material in this work is subject to copyright. Because The World Bank encourages dissemination of its knowledge, this work may be reproduced, in whole or in part, for noncommercial purposes as long as full attribution to this work is given. Attribution Please cite the work as follows: “World Bank. 2017. Employability of Post-Secondary TVET in Bangladesh: Tracking Survey of Graduates of Polytechnics. © World Bank.” All queries on rights and licenses, including subsidiary rights, should be addressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522-2625; e-mail: pubrights@worldbank.org. Graphics and layout design : Mohammad Inamul Shahriar Print: Progressive Printer Pvt. Ltd. Report No: AUS0000063 Tracking Survey of Graduates of Polytechnics EMPLOYABILITY OF POST-SECONDARY TVET IN BANGLADESH Shiro Nakata, Tashmina Rahman and Md. Mokhlesur Rahman January 2, 2018 South Asia Region, Education Global Practice ACKNOWLEDGMENT This study has been conducted as part of the knowledge generation under the Skills and Training Enhancement Project (STEP) in Bangladesh. The team was supported significantly by the government team in designing the survey and collecting the data, with specific support from the Project Implementation Unit of STEP, Directorate of Technical Education (DTE) and Bangladesh Technical Education Board (BTEB). SRG Bangladesh Limited conducted the fieldwork for data collection. The team appreciates those institutions, students, and employers who willingly participated in the survey. The study was financed by the Multi- Donor Trust Fund supported by the Government of Canada. This report was prepared by Shiro Nakata (Senior Education Economist), Tashmina Rahman (Research Analyst), and Md. Mokhlesur Rahman (Senior Operations Officer) under the overall supervision of Keiko Miwa (Practice Manager). The report benefited from useful inputs and feedbacks from the World Bank colleagues, including Shinsaku Nomura (Senior Economist), Syed Rashed Al-Zayed Josh (Sr. Economist), Tekabe Ayalew Belay (Program Leader), Faiyaz Talukdar (Consultant), Afra Rahman Chowdhury (Consultant), and Aftab Uddin Ahmad (Consultant). The author particularly thanks Sangeeta Goyal (Senior Economist) and Rita Kullberg Almeida (Senior Economist) for their insightful review and thoughtful comments as peer reviewers. Golam Faruque Khan (Consultant) has edited and formatted this report. ACRONYMS AND ABBREVIATIONS BANBEIS Bangladesh Bureau of Educational NTVQF National Technical and Vocational Information and Statistics Qualification Framework BBS Bangladesh Bureau of Statistics OECD Organization for Economic Co- operation and Development BDT Bangladeshi Taka OJT On-the-Job Training BTEB Bangladesh Technical Education Board PMT Proxy Means Testing CAPI Computer Assisted Personal PPS Probability Proportionate to Size Interview PSU Primary Sampling Unit CGPA Cumulative Grade Point Average RAC Refrigerator and Air Conditioning DTE Directorate of Technical Education RMG Ready Made Garment FY Fiscal Year RPL Recognition of Prior Learning GPA Grade Point Average SSC Secondary School Certificate GPI Gender Parity Index SSC (Voc) Secondary School Certificate HSC Higher Secondary Certificate (Vocational) ICT Information and Communication SSU Secondary Sampling Unit Technology STEP Skills and Training Enhancement ISC Industry Skills Council Project JSC Junior Secondary Certificate TTTC Technical Teacher Training College LFP Labor Force Participation TTTI Technical Teacher Training Institute MoE Ministry of Education TVET Technical and Vocational Education and Training NEP National Education Policy USD United States Dollars NGO Non-Governmental Organization NSDC National Skills Development Council Table CONTENTS of EXECUTIVE SUMMARY viii EMPLOYERS’ PERSPECTIVES ON 52 Skills development in bangladesh viii POLYTECHNICS AND POLYTECHNIC Key findings of the study ix GRADUATES 4.1 Characteristics of employers hiring polytechnic graduates 52 4.2 Skills performance of polytechnic INTRODUCTION 20 graduates 53 Background 20 1.1 4.3 Motivation of hiring polytechnic 1.2 Objective of the Study 24 graduates 54 Methodology 24 1.3 ANALYSIS ON INSTITUTIONAL 56 BACKGROUND OF POLYTECHNIC 26 CAPACITY OF POLYTECHNICS STUDENTS AND THEIR TRAINING 5.1 Job placement services 56 EXPERIENCES Industry collaboration 58 5.2 2.1 Background of polytechnic students 26 5.3 Capacity of teaching staff 60 2.2 Perception about the quality and relevance of training 29 2.3 Motivation and aspiration for polytechnic education and training 30 CONCLUSION AND RECOMMENDATIONS 64 2.4 Private financing, loans and Recommendations 67 6.1 financial support for polytechnic study 31 REFERENCE 70 LABOR MARKET OUTCOMES OF 34 POLYTECHNIC GRADUATES Employment outcomes 34 3.1 ANNEX 72 Wage employment 40 3.2 Annex 1: Survey Methods 72 Unemployment 45 3.3 Annex 2: Multi-stage Sampling and 3.4 Further education and training 47 Weight Calculation 75 Self-employment 48 3.5 Annex 3: Descriptive Statistics of the Sampled 3.6 Job search strategies 50 Graduates and Students 81 EXECUTIVE SUMMARY SKILLS DEVELOPMENT IN BANGLADESH 1. Bangladesh is a country with a large youthful population and rapidly growing labor market; and the economic growth has been transforming Bangladesh’s labor market structure. Out of its estimated 154 million people, around 40 percent are below 20 years of age. The demographic trend is offering the country an once-in-a-lifetime opportunity to reap the benefit of what is known as demographic dividend, a period in which the working-age population will have a low proportion of dependent young and old people, and be in a better position to enjoy the benefit of healthy economic and social development. The country has achieved a tremendous economic growth and made a huge stride in poverty reduction over the past few decades. The agriculture sector still absorbs the largest chunk of workers. Nevertheless, the past decade has witnessed dramatic shifts in the labor market with an increasing share of labor force employed in industry and service sectors. Every year more jobs are being created in the manufacturing sector. The share of persons employed in the manufacturing industry has grown from 11 percent in 2005 to 16 percent in 2013. Those jobs in the industry and service sectors tend to call for more educated workers. 2. The Government of Bangladesh has made skills development one of the national priorities; and the past decade witnessed an astonishing pace of expansion of the formal technical and vocational education system. The Seventh Five-Year Plan FY2016-FY2020 places an emphasis on expanding the human capital base to respond to the anticipated labor market needs generated by a growing and changing economy. The National Education Policy (NEP) 2010 formulated by the Ministry of Education (MoE) also places an emphasis on technical and vocational education and training (TVET) to facilitate productivity growth and self-employment. Based on the NEP, MoE set out a National Skills Development Policy 2011 as an overall guiding framework for the skills development sector in Bangladesh. From 2009 to 2015, the total enrollment in formal skills training institutions nearly doubled from just around 475,800 to 872,700 today. Females are increasingly seeking for skills development opportunities to find better employment and earn better incomes. viii E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 3. To enhance the access, equity, and quality of the skills 6. The samples of graduates and students were randomly development trainings in the country, the Government selected to be representative of all 92 STEP supported of Bangladesh (GoB) launched the Skills and Technical polytechnics, which cover 63 percent of the entire polytechnic Enhancement Project (STEP) in 2010 funded by the GoB, student population, and include 2,000 graduates (of whom 11 World Bank, and the Government of Canada with the percent are female) and 1,000 current students (of whom 16 expected closing date of June 30, 2019. This study was percent are female). The majority of sampled graduates and commissioned as part of the research activities of the STEP students are young, respectively aged 23 years and 20 years project to inform the stakeholders and decision-makers of or below. Also, the majority – around 60 percent of sampled the skills development sector. Prior to this research, there had graduates and students – are originally coming from rural been no systematic studies done in Bangladesh to investigate areas. the employment outcomes and economic situation of polytechnic graduates. This study aims at filling this critical knowledge gap and providing a much-needed evidence base KEY FINDINGS OF THE STUDY for the future discourse towards improvement of the quality of TVET in Bangladesh. Background of Polytechnic Students 4. The primary objective of this tracer study was 7. Polytechnics, especially public polytechnics, are to assess: (1) the employment outcomes and wages of attracting academically strong secondary education polytechnic graduates and factors affecting them; (2) graduates. Around 70 percent of polytechnic students polytechnic institutions’ capacity for training, industry linkage, completed their SSC with at least GPA-A (equivalent to at least and job placement; (3) expectations and perception of 70 percent marks), which can be considered as good academic employers about polytechnic education and graduates; and (4) performance. The share of those who obtained the highest characteristics of polytechnic students, and motivation for and grade (GPA-A+) is around 12 percent. These shares compare perception about training in polytechnics. Finally, the report quite favorably with the national average. Country-wide in will present recommendations to improve the quality and 20121, only seven percent and 26 percent of the students relevance of polytechnic education in Bangladesh. The study who sat for the SSC national examination obtained GPA-A+ is intended to offer an useful evidence base for policy dialogue and GPA-A scores, respectively. It appears that most of the and further analysis for a wide range of stakeholders in skills polytechnic students are academically sound students who development in and out of Bangladesh, including policy put in satisfactory performance in secondary education. There makers, relevant officials, TVET practitioners, and development are no significant differences across gender. Male and female partners of skills development. polytechnic students appear to have similar academic records of the SSC exam. There is, however, a distinctive gap between 5. This study conducted an extensive field survey to gather students in public and private polytechnics with regard to information from the main stakeholders of the polytechnic academic performance at the point of entry. Public polytechnic system in Bangladesh. The survey targeted four respondent students are generally higher achievers compared to those groups to capture the relevant information more holistically enrolled in private ones. Around 96 percent of students in from different viewpoints of different stakeholders. The public polytechnics had achieved at least GPA-A in their SSC four respondent groups are: (1) graduates who graduated terminal examination while the figure drops to only 36 percent from polytechnics one or two years ago; (2) students who for those in private polytechnics. are currently studying at the fourth year in polytechnics; (3) polytechnics, represented by principals; and (4) employers of polytechnic graduates. 1 These students under study joined polytechnics in 2012. The World Bank | ix EXECUTIVE SUMMARY 8. Access to polytechnic education seems relatively Employment Outcomes equitable; the majority of polytechnic students are 9. Overall, polytechnic graduates are found to be coming from rural areas and humble family background. employed (37%), unemployed (25%), or still in It is found that around 67 of polytechnic students are coming education and training (33%) after one or two years of from families living in rural areas. The share of students of graduation. The shares of those who are self-employed rural origin is even higher for males as 71 percent of them are (1%) and not in the labor force nor study (3%) are from rural families. In terms of family background, around 44 rare. The survey reveals that there are three major economic percent and 58 percent of fathers and mothers of polytechnic outcomes for polytechnic graduates, which are: (i) employed students, respectively, have only primary education qualification full-time or part-time, (ii) unemployed, or (iii) studying full- or less, while 36 percent of fathers and mothers have up to time for further education and training. Overall distribution of JSC or SSC qualification. Only about seven percent of fathers graduates’ employment outcomes is summarized in the figure and one percent of mothers hold a bachelor degree or higher. below. Around 37 percent of all the graduates are employed With respect to parents’ occupation, it is found that around 47 within one or two years of graduation, while 25 percent are percent of fathers are working in agricultural, forestry and fishery still unemployed. A substantial proportion (33 percent) are still sectors. Less than 20 percent of students have parents who are studying full-time. Very few (only five percent) are neither in working as professionals or managers. It is evident that many training nor in the labor market – the status which include, for of polytechnic students are coming from less privileged families instance, being full-time housewives or incapable to work for with limited exposure to formal education. This indicates health reasons. Self-employment is also a rare job outcome that polytechnics present rural families and not-so-well-off for polytechnic graduates with only one percent being in self- families with a more realistic and fair chance to post-secondary employed businesses. Most of those who did not look for jobs education and training for their children, unlike universities and moved on to further education and training. The subsequent colleges to which access is more competitive and often harder to sub-chapters will examine each economic outcome separately. be attained for rural families. Figure 1: Overview of Current Status of Polytechnic Graduates Graduates (100) Looked for jobs (77) Not looked for jobs (23) 25 1 Unemployed Self-employed 14 37 19 Further Working Further 3 Education education Not working 1 Full-time (34) and Part-time (3) or studying Others Source: Polytechnic Tracer Study 2016 Note: The numbers in brackets show percentage shares against the entire graduate population x E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 2013 Graduates 47% <1% 28% 23% 2% Working 2014 Graduates 48% <1% 37% 13% 2% Self-employed Unemployed 48% <1% 32% 18% 2% Studying Total Unavailable for Work Source: Polytechnic Tracer Study 2016 Note: Shares are among those who looked for jobs Figure 2: Employment outcomes of graduates, by graduation year 10. The employment outcomes of polytechnic graduates 11. Disparities in the employment outcomes are are generally unsatisfactory with low employment glaring. Female graduates are far more likely to be and high incidence of unemployment. Only around half unemployed and out of study. Employment outlook (48 percent) of the graduates who looked for jobs would be seems quite bleak for many of the female polytechnic working (either full-time or part-time) after one or two years students. Compared with 49 percent of male graduates of graduation, while as much as a third of the graduates who being on the job, only 38 percent of female graduates are looked for jobs would remain unemployed (Figure 2). Once found to be working. For female graduates, a fallback option unemployed, the situation may not look up very easily for of further education and training seems also more limited. them. The ratio of those with a job remain almost unchanged Only nine percent of female graduates who looked for jobs between the 2014 and 2013 cohorts (there is one year lapse are found to be studying full-time, whereas the share goes between them). This clearly indicates a daunting prospect of up to 19 percent for their male counterparts. As a result, a prolonged joblessness and difficult school-to-work transition considerably greater proportion of female graduates are for many polytechnic graduates. Jobs do not seem to come to left unemployed in the job market. More than half (52%) of them easily despite holding diploma-level technical expertise. female graduates, who looked for jobs, remain jobless after This prolonged joblessness also raises a serious question about one or two years of graduation, compared to 30 percent the degradation of skills and technical knowledge of graduates, for males. This is an alarming figure for the TVET sector of which further dampens their job prospects. On the other hand, Bangladesh which has been promoting diploma-level skills differences in employment outcomes between graduates from training for females. public and private polytechnics appear to be insignificant. Working Male 49% <1% 30% 19% 2% Self-employed Unemployed 38% <1% 52% 9% 1% Studying Female Unavailable for Work Source: Polytechnic Tracer Study 2016 Note: Shares are among those who looked for jobs; females account for 11% of entire graduates Figure 3: Employment outcomes among job-seeking graduates by gender The World Bank | xi EXECUTIVE SUMMARY 12. In rural areas, the shares of those who are working such as Computer, Construction, or Automobile are not faring or studying are substantially lower than those from well in terms of finding employment. However, some of them metropolitan and urban areas. Only around 35 percent also have high shares of graduates in further education and of graduates now living in rural areas are employed, which is training. For instance, Power, Computer, Construction, and more than 10-20 percentage points lower than those living Mining Technology graduates are more likely to move on in metropolitan and urban areas. Assuming the skills level to further studies after failing in job search. Perhaps due to of graduates are not significantly different across locations technological advances or higher job market competition, of residence, this likely indicates a relative shortage of job training at polytechnic alone may not be sufficient to opportunities in rural areas that demand diploma-level find them relevant technical jobs. Some are faring much skilled workers. At the same time, opportunities for further better in job market outcomes. As Bangladesh’s apparel education are not equal across geographical locations. Only manufacturing industry continues to thrive, graduates of a handful (seven percent) of graduates in rural areas are Textiles and Garments Technologies seem to be having easier studying, as opposed to 26 percent and 13 percent of those time finding employment. Architecture, Electrical Technology living in metropolitan and urban areas doing so respectively. and Mechanical Engineering Technology also seem to be Consequently, unemployment is extremely high for graduates performing better and have relatively strong performance in living in rural areas. As much as 57 percent of the graduates employment. The recent construction boom in Bangladesh who looked for jobs and are currently living in rural areas may have contributed to better employment outcomes for remain jobless, compared to 25-30 percent in metropolitan/ students from those technologies. It is natural for different urban areas. It appears that graduates who cannot afford or specialties to have different employment opportunities decide not to move to metropolitan/urban areas would have to depending on economic and industry needs. It would be face severely grim employment prospects. extremely useful for prospective students to have access to technology-wise employment tracking information in order to 13. There are also considerable disparities in graduates’ make more informed decisions when choosing technologies to employment outcomes across technologies. Among enroll. the technologies offered in polytechnics, some technologies Textile 75% 16% 9% Architecture 69% 16% 14% Garments 65% 34% 1% Mechanical Engineering 63% 25% 11% Electrical 57% 23% 18% Electro-Medical 54% 35% 11% Refrigeration and AC 54% 31% 14% Power 49% 25% 24% Architecture and Interior Design 48% 52% 0% Telecommunication 48% 31% 15% Civil 41% 39% 17% Electronics 40% 41% 16% Computer 39% 31% 29% Construction 33% 39% 28% Mechatronics 28% 72% 0% Working Mining and Mine Survey 15% 15% 60% Unemployed Automobile 8% 72% 13% Studying fulltime Source: Polytechnic Tracer Study 2016 Note: Shares are among those who looked for jobs; those in self-employment and unavailable for work are negligible and omitted from the chart; samples are not necessarily representative at the technology level. Figure 4: Employment outcomes among job-seeking graduates by gender xii E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 14. The large majority of employers of polytechnic booming industry in Bangladesh, which now employs around graduates are private enterprises or individually owned seven percent of graduates coming out of polytechnics. There businesses; employment in government services are are some gaps in the patterns of employing industries between very rare, and small enterprises employ about half of male and female graduates. Naturally the construction sector polytechnic graduates. As much as 67 percent and 23 percent employs fewer females. The education sector, where they are of the employed graduates are found to be employed by private hired as instructors and trainers, is the largest employer for enterprises and individually owned business, respectively. These female graduates, employing about a third of the employed are essentially business entities of different sizes in various female graduates. The ICT industry is also a popular choice for industries in the private sector, collectively accounting for 90 female graduates where 14 percent of the employed female percent of employment for polytechnic graduates. It is obvious graduates are working. from this finding that former students from polytechnics are a valuable source of skilled manpower for small and medium Table 1: Industries of polytechnic graduates who are currently working size enterprises in the economy. On the contrary, public sector employment, including both central and local ones, account By Gender Industries All for only a fraction (four percent) of employment for polytechnic Male Female graduates. The types of employers are not significantly different 1 Manufacturing 29% 29% 24% between male and female graduates. Public sector employment 2 Construction 15% 16% 6% is equally rare for females as well. According to the definition of 3 Education 11% 9% 32% Bangladesh Bank, industries which employ less than 50 staff can be considered as small enterprises. It is found that around 44 4 Electricity, gas, air conditioning 10% 10% 1% percent of the graduates are employed in such small enterprises. supply 5 ICT 7% 6% 14% 15. Manufacturing and construction businesses are the Source: Polytechnic Tracer Study 2016 largest employers of polytechnic graduates; females are more concentrated towards a few industries. In total, around 30 percent of the employed graduates are found to be working in the manufacturing sector, followed by 15 percent working in the construction sector. It is a positive sign that many polytechnic students would find jobs in these thriving industries of the country, leveraging the skills they acquired in polytechnics. The ICT industry is another emerging and 29% in Manufacturing 15% sector in Construction sector 11% in Education sector 10% 7% in Utility in ICT sector business The World Bank | xiii EXECUTIVE SUMMARY 16. On average, the employed polytechnic graduates 17. The unemployment rate for polytechnic graduates are earning a monthly income of around BDT 10,800, averages at 32 percent, and is considerably higher for the level overall comparable to the national averages; female graduates and graduates living in rural areas. their wage levels are affected by a range of factors, Calculated as per the definition of this report (i.e., labor force particularly gender, contract type, and firm size. Overall, participation defined as those who looked for work after on average, female graduates are earning only around 75 graduation), the overall unemployment rate for polytechnic percent of what their male peers would be earning (Table graduates at one or two years after graduation stands at 2). However, the income gap, though still persistent, shrinks 32 percent. The rate is far higher for female graduates, significantly if they are employed on permanent full-time standing at 52 percent, a substantial gender gap of more contracts. On simple average, females are earning 83 percent than 20 percentage points. One of the reasons that female of what their male counterparts would be earning. This is unemployment rate is so high is because a smaller proportion more or less consistent with the finding of the Labour Force of females continue with further education compared to Survey 2013 which shows the average salary of females in male graduates. The unemployment rate is even higher at 57 the technician occupation as 20 percent lower than that of percent among graduates living in rural areas. males in the same category. Female graduates in rural areas 18. Long spells of joblessness are a common feature appear to be at a significant disadvantage vis-à-vis their male of unemployment among polytechnic graduates for counterparts as their average monthly earning is 43 percent both male and female graduates. The large majority – lower2. Across industries, gender earning gaps seem to be around 75 percent of the unemployed who graduated in 2013 consistent. Firm size matters too. Larger firms do tend to (roughly two years before the time of data collection) – has pay better wages, and the differences are substantial. This reported having been unemployed for more than 12 months. large disparity across firms may explain why many graduates As a matter of fact, most of them have never been under continue with their job search in a hope to find a better employment since they left the polytechnics. It was reported employment in well-established firms. Rural residence reduces that only around 13 percent of the unemployed graduates of the average salary significantly relative to metropolitan the 2013 cohorts have ever been employed in the past. The residence. Table 2: Average current salaries among wage employed polytechnic graduates By Gender Industries All Male Female GPI3 All 10,843 11,088 8,308 0.75 By Contract Type Permanent Full-time 11,301 11,439 9,449 0.83 Non-permanent Full-time 9,713 10,157 6,865 0.68 By Location Metropolitan 11,122 11,280 9,657 0.86 Urban/Semi-urban 11,066 11,345 7,404 0.65 Rural 8,751 9,204 5,217 0.57 By Industry Manufacturing 11,754 11,990 8,799 0.73 Construction 10,925 11,004 8,904 0.81 Education 7,626 7,887 6,851 0.87 ICT 10,465 10,940 8,368 0.76 Source: Polytechnic Tracer Study 2016 2 This figure is based on a small sample and should be interpreted with caution. There are only six samples that fall into this category of employed females in rural areas. 3 Gender Parity Index (GPI) is calculated as the figure for females divided by the figure for males. GPI below 1 indicates females underperforming males, and GPI above 1 indicates female outperforming males. xiv E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H lengths of unemployment periods seem more or less similar Students’ Satisfaction and Institutional Job for both male and female unemployed graduates, with females Placement Service experiencing slightly longer periods of unemployment. On 21. Overall, students and graduates of polytechnics, average, female unemployed graduates of the 2013 cohort especially private ones, are generally satisfied with the have been jobless for 17.7 months, whereas their male peers quality and relevance of training at the polytechnics; have been so for 15.7 months. the quality of equipment and facilities seem least 19. The overwhelming majority of the graduates in satisfactory. Both students and graduates seem generally full-time study are enrolled in universities, showing satisfied with the overall relevance of training at polytechnics. the strong demand for higher education qualifications Polytechnics did not gain student satisfaction in the ICT among students in polytechnics. Overall, universities and soft skills as much as they did with the other aspects. account for 87 percent of education institutions where Graduates’ view about teachers’ level of technical skills polytechnic graduates are studying full-time after one or is more skeptical, probably because graduates are more two years of graduation. This in itself is not surprising as aware of technical requirements in the real world of work. Bachelor’s degree would be the next logical step for Diploma Satisfaction over the adequacy and quality of training facilities holders. Most of the polytechnic students enter polytechnics and equipment is noticeably low both among students and with SSC degree only, and upon graduation, as Diploma graduates. Students in private polytechnics are generally holders, polytechnic graduates become eligible to apply more satisfied with the quality of training than those in public for universities. Polytechnics give students in TVET tracks polytechnics. It is perhaps because private institutions tend an important pathway to go on to higher education and to have a greater flexibility for resource mobilization and subsequently towards better paid jobs with higher-order skills allocation to invest in modern facilities and machineries. requirement. Nearly half of those who moved up to universities 22. Most of the surveyed polytechnics have job are enrolled in engineering universities. placement cells; however, students are not yet fully aware of job placement support service by their Employers’ View on Polytechnic Education institutions, and private polytechnics are far more 20. Employers want polytechnics to take steps to active in helping students in job search. Having strengthen trainings on problem-solving skills, along established a job placement cell does not automatically with ICT skills and practical technical skills. Nearly all of mean that polytechnics are now able to provide adequate the interviewed employers (over 80 percent) think polytechnics and effective job placement services. Considering that most should enhance training on problem solving skills. Problem- of the polytechnics have only recently begun to provide solving skills are essential especially for professionals who job placement services, there still is a plenty of room for have to deal with and deliver solutions to complex technical improvement and strengthening. Regarding industry problems and business challenges. Given today’s accelerated partnership, most of the outputs from industry partnership pace of technological changes and integration in globalized are concentrated around the provision of additional training business environment, high-level cognitive skills such as this services for students, while industry involvement in curriculum will continue to be in high demand. The survey responses design and teacher training is still limited. There is also show that employers are keen to see polytechnics teach and a large room for increasing the communication between train students with teaching methodologies that can nurture polytechnics and employers as only a small proportion of the creative problem-solving skills. Many employers (more than 70 employers of polytechnic graduates have regular contact and percent) also want to see strengthening of training for the use communication with polytechnics. of ICT as well as practical technical skills. Communication skill is also seen by many employers as a skill area needing more strengthening probably because they also see it as one of the weaknesses of polytechnic students. The World Bank | xv EXECUTIVE SUMMARY Recommendations if Bangladesh’s polytechnic system fully embraces the competency-based training model. The BTEB has introduced 23. 1: Place graduates’ employment firmly and National Technical and Vocation Qualification Framework squarely at the center of efforts for improvement of (NTVQF), but the implementation has been lagging. Steady the polytechnic system. First and foremost, employment transition to NTVQF-based training courses up to the diploma prospects of polytechnic graduates need to be improved level should be one of the high priority agenda for Bangladeshi if polytechnics are to continue to be a meaningful career TVET system. pathway for students. The employment- centered approach would encompass the entire spectrum of polytechnic 25. 3: Invest more to upgrade the technical and system’s actions, including governance structure, institutional teaching skills of teachers as well as equipment and planning, monitoring and evaluation, curriculum design, facilities. These are areas where students and graduates are teacher management, industry linkage, teaching facility and least satisfied with and where employers would like to see equipment, and job placement services; and should gear more improvement. Improvement of employment outcomes them strategically towards achieving the result of better cannot be accomplished without ensuring the quality and employment outcomes. The current poor employment relevance of education and training imparted in polytechnics. performance, if left unaddressed, may pose a serious, even Partnership with industries may well play a role in increasing existential, threat to the polytechnic system. The fact that more the opportunity for teachers to have industry exposure to the than 75 percent of graduates did look for jobs and the current latest technologies. This becomes even more important when students have expressed high expectation about the relevance the majority of teachers do not possess working experience of diploma degree to jobs indicates that students are coming in industries as found in this survey. Teacher vacancies are a to polytechnics with a hope that the technical diploma critical issue that need to be resolved with utmost urgency. would land them worthy jobs after successful completion. Teacher training for polytechnic teachers, both pre-service However, as this report has discussed, nearly 60 percent of and in-service, should be strengthened to improve their graduates would end up in either unemployment or having to pedagogical skills. TVET teacher training policies as well as continue with higher education. Polytechnics cannot afford roles of Technical Teacher Training College (TTTC) have to be to continue producing unsatisfied graduates, and, needless reviewed. More financial resources from the government are to say, joblessness takes a heavy toll on individuals and the apparently needed to modernize facilities and equipment to system alike. Unemployed trained youths are human capital keep up with the basic requirements of modern industries. gone wasted and harmful to the economic growth as well To diversify the sources of financing, MoE and polytechnics as individuals’ wellbeing and quality of life. The polytechnic should consider possibilities of ‘revenue generation’ as part of system needs to be more thoroughly committed to making the activities of polytechnics through the provision of life-long its training relevant to the industry needs and being more training and skills assessment to workers in their localities. accountable to the employment outcomes of its students. Special attention should be paid to soft skills training. More than ever before, in the face of rapidly evolving technologies 24. 2: Give greater emphasis to higher-order cognitive and globalized business operations, the success of technical skills and soft skills training such as problem- experts is defined by the mastery of soft skills that allow them solving skills and communication skills in pedagogy to work effectively and deliver solutions. A new curriculum and curriculum in polytechnics; embracing fully can be developed and implemented to introduce soft skills competency-based training should be a priority to pave development programs in polytechnics. the way for a more flexible demand-driven curriculum. More and more employers in different industries in Bangladesh 26. 4: Further strengthen partnership with industry are coming to view the soft skills of employees as a critical in an effort to improve the quality of education asset for the productivity of their workplace and see that and promote graduates’ employment. Repeated Bangladeshi youth are in general not well prepared in soft skills recommendations have been made countless times about . This survey has also found that soft skills are one of the areas the importance of forging a strong partnership with industries. that employers want to see improved. It is recommended This report also finds yet another evidence of weak industry that the Board and polytechnics introduce in their curriculum collaboration and engagement. Most of the polytechnics have special training programs specifically with an aim to impart only a small number of industry partners, and some do not essential soft skills to students (e.g. communication, team even have a single partner. Most of the employers, despite work, problem solving, critical thinking, etc.). To respond to having hired polytechnic graduates before, do not have any the skills needs of industries, it would be highly beneficial regular communication, let alone formal partnership, with xvi E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H polytechnics. Industry partnerships are widely known to be education systems. The central skills development agency extremely useful to ensure the relevance of training programs. has a critical role in ensuring the availability of relevant Furthermore, industry partners are also potential employers. public knowledge about how skills training rendered by As found in this survey, establishing and maintaining regular TVET institutions are benefiting the labor market. To do this, communication channels with them would likely contribute to it is essential that updated systemic data are available that enhancing the chances of polytechnic graduates finding jobs demonstrate how graduates of TVET are faring in the labor with those employers. market and how employers are viewing the skills of TVET graduates. This study was a pilot in this sense which provided 27. 5: Expand and improve job placement support a snapshot of graduates’ employment outcomes, and should services to students at the institution level. Under the be continued under the MoE. Conducting periodic graduate STEP, most of the participating polytechnics have introduced follow-up surveys and establishing a graduate database should employment cells or career support centers in their institutions be part of the regular task of the Directorate of Technical that are responsible for supporting students through the job Education (DTE). Information obtained through the follow-up search process. However, they are still at a nascent stage, and surveys would be the evidence base for designing courses and still obscure in terms of their role and presence. It is found strategizing job placement services. Tracking can be done in that most of the services provided so far have been counseling different ways with different cost implications. Detailed efforts and advisories. While those will undoubtedly benefit students, made in this study are one of the costly ways; however, such more systematic and institution-based support services are detailed data collection does need to be done on a regular yet to take root in many of the polytechnics. For instance, basis. Cost-effective methods such as telephone survey or institution-wide actions such as organization of job fairs and email survey should be explored as the way to establish a career seminars, partnering with industries for preferential job sustainable and regular graduate follow-up mechanism. placement, and establishment of alumni networks are still not frequently done, but would have a substantive impact 30. 8: Forge stronger ties with industry communities on raising institutions’ capacity to support students. Moving who would accept female technical specialists and forward, polytechnic institutions should emphasize how they technicians to boost job outcomes for female graduates. can institutionalize employment cells and job placement While male graduates struggle with job search, female support services at the institution level. In particular, public graduates are bearing the full brunt of an unfriendly job market polytechnic institutions have a lot of work to do. environment. The disappointing state of female graduates’ job placement that this survey found calls for tailored and 28. 6: Strengthen graduate tracking programs at the targeted interventions to uplift the employment outcomes of institution level to support more systematic and active female students. Given the differences in job search strategies job placement support. Tracing the whereabouts and between male and female students, job placement support job status of former students is essential for designing and for female students may well be somewhat different from that implementing functional high-quality job placement support for male students. Female students are more likely to find strategies for polytechnics. Proper identification and analysis jobs through networks (i.e. through personal and institutional of the employment pattern and history of past graduates references to potential employers). Polytechnics have a would offer valuable clues to what the best strategies might bigger role to play to refer their female students to companies be for the next graduates. At present, job placement services which are receptive to the hiring of female technical workers. offered at polytechnics are not adequately based on evidences More companies need to be brought into partnership with due to the lack of systematic collection of employment data polytechnics for finding posts for female graduates. from previous cohorts of graduates. Employment cells should introduce and institutionalize a graduate tracking mechanism. 31. 9: Provide special training programs on Already some of the private polytechnics have such a system in entrepreneurship and business management to place where staff in charge of the employment cell maintains encourage entrepreneurship for polytechnic students. and update regularly a database of graduates and their Without a doubt, starting a business is not for everyone. current status mainly through contacting them over phone Nonetheless, the near absence of self-employment among periodically. polytechnic graduates is indicative of the lack of appetite for running one’s own business as well as the lack of practical 29. 7: Institutionalize periodic tracking surveys of knowledge and skills needed to be an entrepreneur and polytechnic graduates at a national level by Directorate manage business operations. Expanding self-employment of Technical Education. Many countries have established and entrepreneurship is certainly one of the ways to achieve periodic graduate tracking programs for their TVET and higher The World Bank | xvii EXECUTIVE SUMMARY greater job creation and a vibrant economy through skills comparative analysis with employment opportunities and development. A range of skills and know-how are useful for skills segments for graduates from other types of institutions potential entrepreneurs, including skills such as how to identify such as general academic stream, colleges, and universities. business opportunities, raise funds, market your services, and More in-depth analysis of types of skills that employers manage accounts, etc. These skills would be of significant are seeking from technicians and engineers would also be values not only for graduates who would start up businesses essential for future efforts to improve employment outcomes. soon after graduation but also for those who may become A much better understanding of the skills demand and entrepreneurs after gaining some years of work experience. influencing factors is needed to analyze the reasons for high Current programs for entrepreneurship at polytechnics graduate unemployment despite the persistent claim of skills are not so conducive or practical. DTE/BTEB, working with shortage in industries. Job markets are often imperfect, and the partners, should develop and implement practical knowledge of job market frictions and ways to alleviate them entrepreneurship training programs for polytechnic students. would be extremely useful. Insight into career progression and mid-career training opportunities for professionals, engineers 32. 10: Further strengthen the evidence-base in TVET and technicians would be crucial to design suitable training to drive evidence-based discussion and policy making programs for upskilling needs and mid-career trainings. Moving towards more and better employment. This study has forward, further investigations in the TVET sector are warranted answered many questions; however, there are still a lot of to build a stronger evidence-base to steer policy discussions evidence gaps to be filled. Knowledge about teaching practices to the improvement of polytechnic education and graduates’ and teacher competencies at public and private polytechnics employment outcomes. are generally lacking. It would be necessary to conduct xviii Chapter 1 INTRODUCTION 1.1 BACKGROUND 1.1.1 Labor market context 1. Bangladesh is a country with a large youthful population and rapidly growing labor market. Out of its estimated 154 million people, around 40 percent are below 20 years of age5. The demographic trend is offering the country an once-in-a-lifetime opportunity to reap the benefit of what is known as demographic dividend, a period in which the working-age population will have a low proportion of dependent young and old people, and be in a better position to enjoy the benefit of faster economic and social development. The country has achieved a tremendous economic growth and made a huge stride in poverty reduction over the past few decades. The average economic growth rate has been around six percent over the past decade, and the poverty headcount ratio has dropped from 48.9 percent in 2000 to 31.5 percent in 20106. 2. The economic growth has been transforming Bangladesh’s labor market structure, increasingly demanding a better educated and skilled workforce. The agriculture sector still absorbs the largest chunk of workers and accounts for around 45 percent of the employment (Table 1-1). Nevertheless, the past decade has witnessed Table 1-1: Employed persons aged 15 years and over by major industry in 2005, 2010, and 2013. Share of Employed Persons (%) Major Industries 2005 2010 2013 Agriculture, forestry and fishing 48.1 47.6 45.1 Manufacturing 11.0 12.5 16.4 Construction 3.2 4.8 3.7 Whole sale, retail, repair of motor vehicle 15.0 14.0 13.0 Transportation 8.4 7.4 6.4 ICT - 0.1 0.2 Source: Data from the Bangladesh Labour Force Survey of respective years. Note: ICT industry did not have its own category in 2005, and was included under Transportation 5 According to the Bangladesh Labour Force Survey 2013. 6 According to World Data Bank 20 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H dramatic shifts in the labor market with an increasing share 1.1.2 TVET System in Bangladesh of the labor force employed in industry and service sectors 4. The Government of Bangladesh has made skills which now employ 21 percent and 34 percent of the total development one of the national priorities towards labor force, respectively. Every year more jobs are created achieving accelerated economic growth and poverty in the manufacturing sector, owing to the remarkable reduction. The Seventh Five-Year Plan FY2016-FY2020 places an development of the garment sector where numerous emphasis on expanding the human capital base to respond to jobs are being created especially for female workers. The the anticipated labor market needs generated by a growing and share of persons employed in manufacturing industry has changing economy. The plan thus attaches greater importance grown from 11 percent in 2005 to 16 percent in 2013. The on secondary education, higher education, vocational and increased jobs in industry and service sectors tend to call for technical education, and skills development training for more educated workers. Among the employed individuals, employment. It further calls for renewed attention to the the industry sector employs around 20 percent of higher upgrading of skills for the workplace and greater partnership with secondary (HSC) graduates and 19 percent of tertiary the private sector for the design and implementation of training graduates, while the service sector absorbs 58 percent of programs including support for the on-the-job training. The HSC graduates and 71 percent of tertiary graduates in 2013. National Education Policy (NEP) 2010 formulated by the Ministry 3. Despite all the laudable achievement in human of Education (MoE) also places an emphasis on technical and resource development, Bangladesh’s economy vocational education and training (TVET) to facilitate productivity still suffers from a shortage of skilled manpower. growth and self-employment. Based on the NEP, MoE set out a Bangladesh’s labor force is still under-educated and under- National Skills Development Policy 2011 as an overall guiding trained. Twenty-eight percent of people aged 15 or above framework for the skills development sector in Bangladesh. have never attended schools, and only around 14 percent of 5. The TVET system in Bangladesh is fragmented and the population have HSC or above. Tertiary education has heterogeneous with a diverse range of sectors and been rapidly expanding in recent years, yet remains out of institutions involved in the provision of skills training at reach for many youths. Vocational training opportunities are different levels. Skills training providers in Bangladesh are not readily accessible and under-utilized. Only around five comprised of four main groups: (1) public training providers percent of the population aged 15 or above have had any (e.g. training institutes under MoE, training centers supported by vocational training to develop their skills7. Enterprise skills various line ministries); (2) private training providers (e.g. private survey by the World Bank8 reported low satisfaction among polytechnics and short-course training providers under the employers about their employees’ skills level both in cognitive government accreditation); (3) industry-led training providers (e.g. and non-cognitive skill sets. A country diagnostic study training centers operated by Industry Associations or individual by ADB9 also identified low human capital as a significant enterprises); and (4) NGO-led training providers scattered constraint for the Bangladeshi economy. In order to sustain across the jurisdictions of as many as 20 different ministries10. the economic growth and expand exports to the global To coordinate across those diverse stakeholders in skills market, Bangladesh needs to urgently accelerate productivity development, the National Skills Development Council (NSDC), growth by filling skills gaps in the labor market. chaired by the Prime Minister, was established in September 2018 under the Ministry of Labour as an apex coordination body to 7 According to the Bangladesh Labour Force Survey 2013. 8 World Bank. (2013). An Assessment of Skills in the Formal Sector Labor Market in Bangladesh: A Technical Report on the Enterprise-Based Skills Survey 2012. Washington, D.C. 9 Asian Development Bank. (2016). Bangladesh: Consolidating Export-led Growth - Country Diagnostic Study. Manila. 10 Bangladesh Technical Education Board. (2013). An Overview of Bangladesh’s Technical and Vocational Training Sector: Stocktaking, Analysis, and Policy Recommendations for the Way Forward. Dhaka; Ministries that are actively providing skills training include, not limited to: Education; Expatriate Welfare and Overseas Employment; Textile and Jute; Agriculture; Environment and Forest; Fisheries and Livestock; Civil Aviation and Tourism; Local Government, Rural Development and Cooperatives; Youth and Sports; Industries; ICT; Health and Welfare; and Power, Energy and Mineral Resources. The World Bank | 21 CHAPTER 1: INTRODUCTION provide overall policy guidance for the skills development sector. 7. Polytechnics in Bangladesh offer four-year diploma The members of NSDC include high-level representatives from courses to secondary graduates; the numbers of relevant ministries and representatives of different trade and polytechnic institutions and students have been industry bodies. NSDC has an Executive Committee, co-chaired growing rapidly. Polytechnic enrollment has nearly tripled by the secretary of MoE and a representative of the private from 76,500 in 2009 to 201,700 in 2015. Likewise, polytechnic sector. There is also a Secretariat for NSDC that is responsible for institutions also mushroomed throughout the country, supporting the operation of NSDC and implementation of the growing from 171 schools to 433 schools. The expansion skills development action plan. of the polytechnic system has been in part in response to the growing demand for post-secondary education as 6. The past decade witnessed an astonishing pace students passing the secondary education examinations of expansion of the formal technical and vocational increased from 697,000 in 2009 to 1.2 million in 201511. In education system. In 2015, a total of around 873,000 students Bangladesh, the education prerequisite for admission to (24 percent are female) are enrolled in public and private TVET polytechnics is secondary education completion (Grade providers. From 2009 to 2015, the total enrollment in formal 10). Upon graduating from secondary schools, students skills training institutions nearly doubled from just around would have academic options of moving up to two-year 475,800 to 872,700 (Table 1-2). At the same time, this massive higher secondary education or taking a vocational training expansion of enrollment was able to occur gender-neutrally, course at diploma- offering institutions. Polytechnics which is an achievement in itself for often male-dominated TVET provide four-year diploma courses in a host of technologies systems. The overall ratio of female students in the TVET system to prepare students for works in technical and engineering has remained more or less constant over the same period. A occupations. At the same time, polytechnic diplomas are clear and more powerful shift was at the post-secondary level. not the terminal degree. Polytechnic graduates would Female representation did increase significantly in diploma level be qualified to apply for university admission if they wish polytechnics. The share of female polytechnic students jumped to pursue higher levels of engineering qualification. The from 7.7 percent in 2009 to 14.3 percent in 2015. Females are private sector is playing an important role in the provision increasingly seeking skills development opportunities to find of polytechnic education. Around 74 percent of all the better employment and earn better incomes. Infrastructure was enrollment in TVET in Bangladesh is in private institutions. also improved for female participation. More female polytechnics Bangladesh Technical Education Board (BTEB) is the have been built throughout the country with dormitory facilities central statutory body that is responsible for organizing, for students from afar. Interventions such as the stipend program supervising and controlling technical education programs, for female polytechnic students and frequent awareness- and officially grants affiliations to TVET institutions including raising campaigns for the promotion of female participation in polytechnics. Curriculum and examination of affiliated TVET TVET have also drawn more female secondary graduates into institutions including polytechnics are centrally designed polytechnic education. and supervised by BTEB. Table 1-2: Total student enrollment and share of female in TVET institutions 2009 2011 2013 2015 All formal skills training institutions* 475,848 506,556 645,985 872,658 (% female) 23.8 27.0 28.3 23.9 Secondary level vocational education 349,128 340,801 418,952 562,677 (% female) 28.3 33.8 34.9 26.9 Polytechnics 76,540 102,112 151,333 201,704 (% female) 7.7 10.7 12.3 14.3 (Number of polytechnic institutes) 171 171 270 433 Source: Annual education statistics of Bangladesh Bureau of Educational Information and Statistics Note: Formal skills training include: polytechnics; secondary-level vocational education; and specialized diploma-level institutes and training centers 11 According to BANBEIS, the number of students who passed Secondary School Certificate (SSC) or Dakhil examination increased from 697,322 in 2009 to 1,191,071 in 2015. 22 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 1.1.3 Skills and Training Enhancement Project (STEP) 8. To enhance the access, equity, and quality of the skills development trainings in the country, the Government of Bangladesh (GoB) launched Skills and Technical Enhancement Project (STEP) in 2010 funded by the GoB, World Bank, and the Government of Canada with the expected closing date of June 30, 2019. The objective of STEP is to strengthen selected public and private training institutions to improve the training quality and employability of trainees, including those from disadvantaged socio-economic background. To achieve the objective, the project has been supporting the TVET sector through the following four components. 9. Improve the Quality and Relevance of Training: Under this Component component, diploma level polytechnic 1 institutions and short-course training providers are supported by institutional development grants and financial support to Component disadvantaged students. By 2015, 10. Pilots in TVET: This component supports innovative programs and pilot 2 grants were provided to 33 polytechnic institutions (25 public and 8 private) interventions in the TVET sector. It has to improve the teaching and learning been supporting operationalization of environment of the institutions, and National Skills Development Council (NSDC) stipend support have been given to 93 Secretariat and Industry Skills Council polytechnic institutions (43 public and (ISCs) as a platform for coordination of 50 private) supporting disadvantaged skills development and promotion of male and female students. These 93 private partnership for skills training. It polytechnics constitute the sampling has also supported the design and pilot frame of this study. implementation of a new apprenticeship program at the secondary education level, and piloted and expanded the Recognition of Component 11. Institutional Capacity Prior Learning (RPL) program. 3 Development: This component focuses on strengthening the institutional capacity of the key government agencies of the skills Component development sector to enhance the 4 effectiveness and efficiency of skills sector management and operation and to ensure the sustainability of reforms introduced. The component also supports the strengthening of 12. Project Management, Communication, Monitoring and Evaluation: teaching capacity in TVET through This supports the project management and monitoring and evaluation to deployment and training of contract ensure effective and efficient implementation of the project interventions teachers to fill the large teacher and reform activities. It also supports the implementation of a range of vacancies in polytechnic institutions communication strategies to raise awareness of the public about the project, and to provide capacity development importance of developing skills, and opportunities for skills development support to technical teacher training trainings. The skills development sector is vastly under-researched. Research institutions to improve the quality of works and assessment studies on a variety of development issues in the teacher training for teachers in TVET sector are also supported, including this graduate tracer study. institutions. The World Bank | 23 CHAPTER 1: INTRODUCTION 1.2 OBJECTIVE OF THE STUDY of information. Surveyors were deployed physically to meet every graduate in their localities. 13. This study was commissioned as part of the research 17. For current student respondents, a representative activities of the STEP project to inform the skills sample of the students who are studying at the development sector of Bangladesh. The study is intended final year of their training at the STEP supported for a wide range of stakeholders in skills development in and out polytechnics in the school year 2015. Surveyors were of Bangladesh, including policy makers, relevant officials, TVET deployed to the institutions to conduct face-to-face interview practitioners, and development partners of skills development, with individual students who were sampled. to offer a useful evidence base for policy dialogue and further analysis. Prior to this research, there was no systematic studies 18. Data collection instruments used include four done in Bangladesh to investigate the employment outcomes structured questionnaires, namely, (a) graduate questionnaire; and economic situation of graduates of polytechnic. This (b) current student questionnaire, (c) institution questionnaire; study aims at filling this critical knowledge gap and providing and (d) employer questionnaire. Questionnaires were prepared by much-needed evidence base for future discourse towards the World Bank team in collaboration with STEP and the survey improvement of the quality of TVET in Bangladesh. firm. All the questionnaires were coded into a Computer Assisted Personal Interview (CAPI) software on Android based tablet. 14. The primary objective of this tracer study was Surveyors were given training on the use of CAPI application. The to assess: (1) the employment outcomes and wages questionnaires and CAPI tools were pilot tested for refinement of of polytechnic graduates and factors affecting them; (2) questions and adjustment in system configurations. polytechnic institutions’ capacity for training, industry linkage, and job placement; (3) expectations and perception of 19. Data collection in the field took place from 14 employers about polytechnic education and graduates; and (4) February 2016 to 07 April 2016, during which 15 characteristics of polytechnic students and motivation for and investigation teams consisting of a total of 45 surveyors perception about training in polytechnics. Finally, the report (three surveyors in each team) were deployed to conduct will present recommendations to improve the quality and face-to-face interviews. Interview data entered through CAPI were instantly transmitted to the central server where reviews on relevance of polytechnic education in Bangladesh. the data quality were done by the supervisors. Details on survey methods are provided in Annex 1. 1.3 METHODOLOGY 1.3.2 Data and Sampling 1.3.1 Survey methods and instruments 20. In total, the survey gathered the data from (i) 2,000 15. This study conducted an extensive field survey to gather graduates who completed the training at polytechnics information from the main stakeholders of the polytechnic in 2013 or 2014; (ii) 1,000 students who are currently in system in Bangladesh. The survey targeted four respondent polytechnics; (iii) 200 employees who are employing graduates groups to capture the information more holistically from different of polytechnics; and (iv) representatives of 25 public and viewpoints of different stakeholders. The four respondent groups private polytechnics. For distribution of basic characteristics of are: (1) graduates who graduated from polytechnics one or two sampled students and graduates, refer to Annex 3. years ago; (2) students who are currently studying at the fourth year 21. The samples were selected through multi-stage stratified in polytechnics; (3) polytechnics, represented by principals; and (4) random sampling. The sample frame includes the 92 public and employers of polytechnic graduates. private polytechnics12 that are supported by the STEP (among 16. For graduate respondents, this study traced a them, there are 42 public and 50 private polytechnics). The primary representative sample of the graduates who completed sampling unit was polytechnics. The polytechnics were stratified their training at one of the 93 STEP-supported polytechnics into four groups along the categories of public/private and either in the school year 2013 or 2014. Tracking of graduates recipient/non-recipient of the grant program of the STEP. A total was done through contact information available in the registry of 25 polytechnics were randomly selected from the polytechnics books of the institutions. Graduates were contacted by phone with the probabilities of selection adjusted as proportionate to calls to identify their current whereabouts. Collection of their student intake capacity (i.e. Probability Proportional to Size information from graduates was done through face-to-face sampling: PPS). PPS was applied with an intention to ensure interviews using structured interview questionnaires, rather than that institutions with greater presence in the system get greater through post mails or e-mails to ensure the quality and quantity chances of being in the sample so that the selected sample would 24 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H reflect the overall picture of the system more accurately13. After the the polytechnics that exist in Bangladesh today14, selection of 25 polytechnics, all the courses (153 courses) offered in especially for private polytechnics. Private polytechnics the 25 polytechnics were stratified by technology category into four outnumber public ones and have been rapidly growing groups. A total of 100 courses were then randomly selected out of due to the surge in demand for post-secondary education the 153 courses. Finally, for each of the 100 courses, 10 students in and training15. Many of the private polytechnics are young the final year of study as well as 20 graduates who graduated one institutions with limited intake capacities and a few courses or two years ago were randomly selected without stratification. on offer, and collectively enroll a limited number of students. Graduate respondents were picked out from the student registry data The 50 private polytechnics receiving support from STEP were archived at the individual polytechnics. Among them, 212 graduates chosen among relatively well-established private institutions (11 percent) and 162 students (16 percent) are females. Selected on the basis of their operational track records and institutional graduates were contacted through the contact information on the capacity. In fact, the 92 polytechnics included in the sample registry data. Student respondents were selected from the list of frame represented 63 percent of the entire intake capacity of attendees of the class. Employer respondents were randomly picked the polytechnic community at the time of survey. Thus, it can up from among employers who happen to have employed any of be said that the sample frame of this study generally covers those 2,000 selected graduates. An overview of student and graduate the mainstream population of the polytechnics in Bangladesh, respondents in the final sample is as shown in Table 1-3 and Table and it is therefore reasonable to assert that the findings drawn 1-4 below. Details on sampling and weight calculation are provided from the sample of this survey represents the reality of the main in Annex 2. groups of polytechnics in the country. That said, it should still be kept in mind that the reality of those smaller and weaker but 22. It should be noted here that, because of the nature copious polytechnics, which also deserve a special attention of of the sample frame (i.e., STEP-supported polytechnics), its own, may not be fully accounted for in this study. the sample may not necessarily be representative of all Table 1-3: Numbers of sampled students and graduates by technology group Technology Groups Students Graduates Group 1: Architecture, construction, civil, survey 260 520 Group 2: ICT, design, graphic 230 460 Group 3: Electrical & electronics 260 520 Group 4: Mechanics, automobile, marine, shipbuilding, aircraft, RAC, power tech, textile 250 500 Total 1,000 2,000 Table 1-4: Characteristics of sampled students and graduates (%) Students Graduates Gender: Female 10.6% 16.2% Age: 19 or younger: 25.0% 21 or younger: 14.7% 20 years old: 45.7% 22 years old: 34.2% 21 or older: 29.3 % 23 years old: 25.3% 24 or older: 25.8% Home Address: Metropolitan 10.5% 9.6% Urban 23.4% 31.8% Rural 66.1% 58.6% Source: Polytechnic Tracer Study 2016 Note: Home Address refers to residential location of parents 12 One STEP supported polytechnic was upgraded to college, thus omitted from the sample frame. 13 Polytechnic institutions in Bangladesh vary considerably in size. The large polytechnics have an annual new intake of around 1,000 students while smaller polytechnics have less than 100 annual new intake capacity. 14 In terms of student intake, polytechnics in the sample frame account for around 63 percent of the entire polytechnic students. 15 At the time of the survey, there were around 363 polytechnics which registered new students in the previous year, out of which only 50 were public and 313 are all private. The World Bank | 25 Chapter 2 BACKGROUND OF POLYTECHNIC STUDENTS AND THEIR TRAINING EXPERIENCES 23. This chapter will look at the general characteristics of polytechnic students to better understand the academic and socio-economic background of polytechnic students. Then, students’ and graduates’ views on training services rendered in polytechnics will be analyzed to see if polytechnics are meeting their expectations. It will also conduct inquiries into the motivations and expectations of students for choosing to enroll in polytechnics among other education and training alternatives. Finally, this chapter will also conduct a brief analysis of how students are financing their studies at polytechnics especially in relation to the need for borrowing and external financing. 2.1 BACKGROUND OF POLYTECHNIC STUDENTS 24. Most of the diploma students are graduates of secondary schools (Grade 10), especially from the science stream. Overall, almost all (96 percent) of the polytechnic students are secondary school (SSC) graduates16 either from the general education streams (i.e. Humanities, Business Studies, or Science) or vocational stream (Figure 2-1). Polytechnics have been an avenue for post-secondary education and training for some of the SSC graduates who want to pursue technical education. Half of the students are coming from the Science stream of SSC, despite the relatively small share of Science stream students in the overall SSC student population17. Students from the Vocational stream (i.e., SSC (Voc)) also account for a certain share (11 percent) of polytechnic students which is equivalent to the overall share (around 10 percent) of SSC (Voc) students. On the other hand, an insignificant share (4 percent) of polytechnic students are coming from HSC schools. HSC graduates seem to be largely uninterested in pursuing technical training in polytechnics. It is also found that very few of the polytechnic students possess prior work experience (only about four percent have any prior work experience). 16 In Bangladesh, SSC is from Grade 9 to Grade 10, which follows five years of primary schooling (Grade 1 – 5) and junior secondary (Grade 6 – 8). 17 According to BANBEIS data, only around 21 percent of the general education SSC students were in the Science stream in 2012, around the time when survey student respondents graduated from SSCs. SSC (Voc) students accounted for slightly less than 10 percent of all the SSC students in the same year. 26 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 25. Polytechnics, especially public polytechnics, are attracting academically strong secondary education graduates. Figure 2-2 shows the distribution of SSC terminal examination GPA scores among polytechnic students. Around 70 percent of the polytechnic students completed their SSC with at least GPA-A (equivalent of at least 70 percent mark), which can be considered as good academic performance. The share of those who obtained the highest grade (GAP-A+) is around 12 percent. These shares compare far favorably with the national average. Country-wide in 201218, only seven percent and 26 percent of the students who sat for the SSC national examination obtained GPA-A+ and GPA-A scores, respectively. It appears that most of polytechnic students are academically sound students who had satisfactory performance in secondary education. There are no significant differences across gender. Male and female polytechnic students appear 4% 15% to have similar academic records of the SSC exam. There is, HSC SSC-Humanities however, a distinctive gap between students in public and 11% private polytechnics with regard to academic performance at the 50% SSC (Voc) 20% point of entry. Public polytechnic students are generally higher SSC-Science SSC-Business Studies achievers compared to those enrolled in private ones. Around 96 percent of students in public polytechnics had achieved at least Source: Polytechnic Tracer Study 2016 GPA-A in their SSC terminal examination while the figure drops Figure 2-1: Education background of polytechnic students to only 36 percent for those in private polytechnics. 75% A+ A A- B or less 65% 56% 58% 35% 32% 32% 21% 16% 15% 17% 12% 16% 14% 12% 10% 9% 4% 1% 1% Male Female Public Private Total Source: Polytechnic Tracer Study 2016 Figure 2-2: Proportion of polytechnic students by SSC national examination GPA result 18 These students under study joined polytechnics in 2012. The World Bank | 27 CHAPTER 2: BACKGROUND OF POLYTECHNIC STUDENTS AND THEIR TRAINING EXPERIENCES 26. Access to polytechnic education seems equitable in 27. Family background of polytechnic students seem terms of geographical differences; the majority of the generally humble; they typically come from families polytechnic students are coming from rural areas. It is with modest education background (secondary found that around 67 of polytechnic students are coming from education or less) and have parents working in families living in rural areas (Figure 2-3). The share of students agriculture. Figure 2-4 below shows that around 44 percent of rural origin is even higher for males as 71 percent of them and 58 percent of fathers and mothers of polytechnic students, are from rural families. This ratio is more or less commensurate respectively, have only primary education qualification or to the overall share of rural population in Bangladesh19. This less, while 36 percent of fathers and mothers have up to JSC indicates that polytechnics present rural families with a more or SSC qualification. Only about seven percent of fathers and realistic and fair chance to post-secondary education and one percent of mothers hold a bachelor degree or higher. training for their children, unlike universities and colleges Relative to the general population of Bangladesh, parents of to which access is more competitive and often harder to be polytechnic students hold marginally better qualifications20. attained for rural families. In this sense, polytechnics are With respect to parents’ occupation, it is found that around valuable avenues for bright rural youth for gaining high-order 47 percent of fathers are working in agricultural, forestry and technical skills and possibly making inroads into non- fishery sectors. Less than 20 percent of students have parents agricultural high-productivity jobs in manufacturing or service who are working as professionals or managers. It is evident sectors in urban and metropolitan areas. By contrast, only that many of the polytechnic students are coming from less about 46 percent of all female polytechnic students are from privileged families with limited exposure to formal education. rural areas. This is likely because of the traditional cultural norms that the restrict mobility of females. 35% Metropolitan Urban/Semi-urban Rural 25% 46% Father 23% Mother 20% 20% 19% 67% 71% 16% 16% 13% 36% 5% 5% 24% 22% 2% 1% 18% Higher 0% 6% 8% No formal education Primary education JSC JSC HSC/ Diploma Bachelor Master or Male Female Total Source: Polytechnic Tracer Study 2016 Source: Polytechnic Tracer Study 2016 Figure 2-3: Geographical location of origin of polytechnic Figure 2-4: Educational qualification of parents of polytechnic students students 19 According to Household Income and Expenditure Survey 2010, around 74 percent of the entire population reside in rural areas. 20 According to the Labour Force Survey 2015, 38 percent of the population have no education qualification, while 29 percent hold only primary education, 14 percent hold junior secondary, and 13 percent have secondary education. 28 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 2.2 PERCEPTION ABOUT THE 29. Students in private polytechnics are generally more satisfied with the quality of training than those QUALITY AND RELEVANCE OF in public polytechnics. The level of satisfaction appears TRAINING to be somewhat higher among private polytechnic students across all the questions (Figure 2-6). More noticeable difference 28. Overall, polytechnic students and graduates are is found on the satisfaction about training equipment and generally satisfied with the quality and relevance of facilities. Around 48 percent of private students indicates that training at the polytechnics; the quality of facilities they are fully satisfied about facilities and equipment while and equipment seem least satisfactory. The figure below only 35 percent of the public polytechnic students indicate the presents the level of satisfaction among current polytechnic same. Private students indicated greater satisfaction about students and polytechnic graduates about the aspects of facilities and equipment across all technologies. It is perhaps quality and relevance of training at polytechnics. Both students because private institutions tend to have a greater flexibility for and graduates seem generally satisfied with the overall additional resource mobilization (they are fully funded by fees) relevance of training at polytechnics. Similarly, the majority to invest in modern training facilities and machineries. are satisfied with technical skills learned at the polytechnic which provide a good basis for future work. Students and graduates are somewhat less satisfied with trainings on ICT Private Public and soft skills. Graduates’ view about teachers’ technical skills is underwhelming, probably because graduates are more 70% Overall relevance of training 63% aware of technical requirements in the real world of work. Satisfaction over the adequacy and quality of training facilities 70% and equipment is noticeably low both among students and Technical skills training 64% graduates. 62% ICT skills training 56% Full satisfied Somewhat satisfied 59% Current students Teachers’ technical skills 50% Overall relevance of training 66% 31% 55% Technical skills training 66% 30% Soft skills training 53% ICT skills training 58% 35% 48% Teachers’ technical skills 54% 37% Equipment and facilities 35% Soft skills training 54% 36% Equipment and facilities 41% 44% Source: Polytechnic Tracer Study 2016 Figure 2-6: Share of Fully Satisfied among students by Graduates ownership Overall relevance of training 74% 24% Technical skills training 68% 30% Industry attachment 63% 32% ICT skills training 60% 35% Soft skills training 54% 41% Teachers’ technical skills 49% 43% Equipment and facilities 40% 47% Source: Polytechnic Tracer Study 2016 Figure 2-5: Satisfaction about polytechnic education among current students and graduates The World Bank | 29 CHAPTER 2: BACKGROUND OF POLYTECHNIC STUDENTS AND THEIR TRAINING EXPERIENCES Box 1: Strengthening teaching and learning environment at polytechnics through school-based financing Teaching equipment and facilities at polytechnics are often outdated and out of touch with the latest technological advances in the industries. To enhance the quality and relevance of training, Skills and Training Enhancement Project (STEP) has been intensively supporting investments in updating and modernizing the teaching and learning environment at polytechnics. To ensure investments are needs-based, block grants were provided to polytechnics based on institutional development plans formulated by the polytechnics themselves. Up to USD1 million was offered to each of the 33 beneficiary polytechnics to finance a host of investments in teaching and learning improvement, including, among others, upgrading of classrooms, renewing teaching equipment and machineries, creating ICT-based learning environment, organizing industry tours and workshops for students and teachers, teacher professional development, and improving hostel facilities. Source: STEP Semi-annual Progress Report, January-June 2016 2.3 MOTIVATION AND the economic and educational value of technical education ASPIRATION FOR and trainings in polytechnics is gaining greater recognitions. In many other parts of the world, traditional ideas die hard POLYTECHNIC EDUCATION and postsecondary TVET courses are perceived as inferior AND TRAINING academic tracks and fallback option after general education courses. Such views may be fading in Bangladesh and giving 30. Enrollment in polytechnic was a preferred choice, way to proper recognition of due values of TVET courses. rather than a second-best fallback option, of post- secondary education for most of the diploma students, and motivated by their belief about better job prospects that technical degrees would bring about. Around 80 percent of the students responded that they did not consider Strongly agree Agree and apply for any other options when deciding on their post-secondary education. Only a small group of students Because I could not go 6% (less than 15 percent) agreed that they chose polytechnic to college 7% because they failed at college entrance. Moreover, a significant My friends encouraged me to 16% number (67 percent) of the students strongly agreed that go to polytechnic 31% they chose to enroll in a polytechnic because they thought My family/relatives encouraged 44% the technical diploma would eventually lead to a good me to study in polytechnic 37% job, while 61 percent strongly agreed that the chose their I thought my technology was in 61% technology because they thought it was highly demanded in high demand in the economy 34% the current economy. This shows that among students there I needed diploma for 67% is a certain degree of preference for technical education to finding a good job 31% general education as academic pathway, and there is a high expectation among students about the technical training Source: Polytechnic Tracer Study 2016 offered by polytechnics in enabling them to acquire technical skills demanded in the labor market. This likely indicates that, Figure 2-7: Reasons for deciding to enroll in a polytechnic at least for technically oriented students and their parents, and choosing the technology 30 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 2.4 PRIVATE FINANCING, 32. Tuition fee expenses vary considerably among students in private polytechnics depending on the technology of study. The LOANS AND FINANCIAL annual average tuition fee expense incurred by polytechnic students SUPPORT FOR are summarized in the table below (Table 2-2). By the nature of public POLYTECHNIC STUDY institutions, tuition fees for public polytechnic students do not vary substantially across the technology of study. On the contrary, private 31. Polytechnic education is not cheap; roughly institutions enjoy an autonomy in setting tuition rates, supposedly speaking, polytechnic students can expect to spend reflecting the actual costs of training services, as student tuition fees around BDT40,000 (US$500) annually for various are the main source of financing for the majority of private providers. study related expenditures, while private students Technologies which involve the use of heavy machineries, tools and are spending substantially more. The table below raw materials, such as Civil and Marine seem to have higher average shows the average self-reported annual out-of-pocket tuition fee charges than others in private polytechnics. TVET courses expenditures that polytechnic students and their families are costly to establish. In other countries, there are cases where private spent over the past 12 months (Table 2-1). On average, training providers concentrate their course offerings on less costly polytechnic students have to pay around BDT39,000 technologies for quick profits, which would unnecessarily distort TVET annually as out-of-pocket expenses, which would likely market. It is, therefore, reassuring that in Bangladeshi polytechnics not be considered as a cheap investment for the majority there are wide variations in tuition rates across technologies as that of people in Bangladesh. There are some differences would allow private institutions to recuperate costs accordingly. between public and private institutions. Students in public polytechnic would spend around 40 percent less than Table 2-2: Average amounts of annual tuition fee by institution type and technology those in private polytechnics – mainly due to tuition fees. It is also worth noting that students in public polytechnics Tuition (BDT) Technology are far more likely to invest in private tutoring. Nearly Private Public half (46 percent) of public polytechnic students reported Architecture 11,055 4,400 having spent at least some amount of money for private tutoring, whereas only a fraction of private polytechnic Civil 22,331 3,567 students (five percent) did so. This may be indicative of Computer 21,907 3,423 the need to compensate less the satisfactory quality of Electrical 20,884 4,506 training at public institutions or to prepare themselves Electronics 21,049 4,690 for higher education. Equally for both public and private Mechanical 16,940 3,815 students, costs for accommodation and transportation are a significant financial burden. More than half (around Marine 23,445 - 63 percent) of the students are found to have paid for Electro-Medical - 4,129 accommodation. This would be most relevant for students Source: Polytechnic Tracer Study 2016 from rural areas, and by far the single largest expense item. Table 2-1: Average annual out-of-pocket expenditures of polytechnic students Annual Expenditure (BDT) Institution Type Total Tuition Fees Textbooks Transportation Hostel Private Tutoring Public 3,825 3,925 4,307 16,494 2,485 31,036 (6,263) (25,998) (5,378) Private 20,871 4,398 7,472 17,110 209 50,060 (8,715) (27,337) (3,696) All 11,256 4,131 5,687 16,763 1,493 39,330 (7,466) (26,577) (5,233) Source: Polytechnic Tracer Study 2016 Note: Figures in brackets are the average expenditures after excluding those who did not incur any expenditure in those categories as these expenditures are conditional; expenditures covered here are not meant to be exhaustive, but give rough estimates for main expenditure items in polytechnic education; and figures are self-reported by students. The World Bank | 31 CHAPTER 2: BACKGROUND OF POLYTECHNIC STUDENTS AND THEIR TRAINING EXPERIENCES 33. Polytechnic education is posing a substantial financial burden on families; a good number of polytechnic students, especially students from rural Box 2: Financial aid program areas, are financing their education by taking out loans. of STEP plays an important Around a third of the students have borrowed money to role in helping students finance their studies at polytechnics (Figure 2-8). This indicates to cope with financial the presence of strong financial constraints regardless of the type of institution, and consequently points to potentially challenges many hidden cases of academically deserving students giving up on polytechnic education due to their inability to pay. The borrowing relies heavily on informal family networks. Nearly 70 percent of those who have borrowed reported family Skills and Training Enhancement Project (STEP) and relatives as a main source of borrowing. Access to such has taken an initiative to alleviate the financial informal lending sources are naturally not distributed equally, burden of polytechnic education for low-income but rather influenced by the financial well-being of other families and female students. Around 56 percent family members and relatives. Only a handful were able to of surveyed students are receiving stipend from borrow from public and private banking institutions – a more STEP – all of the female students and nearly formal source of financing. Bank loans are generally associated half of the male students. Male beneficiaries with lengthy formal procedures, high interest payment and are determined through proxy means testing collateral requirements. A more noticeable fact is that students (PMT) to objectively measure the poverty levels from rural areas are significantly more likely to have to borrow of households. STEP’s stipend program is money to pay for their polytechnic study, which may be due to among the most generous programs as it gives greater accommodation and transportation costs and to their students BDT800 per month. Although STEP’s poorer financial endowment. The cumulative size of borrowing stipend benefits fall far short of covering all the over the period of study appears to be quite significant. out-of-pocket expenditures, at least they would According to self-reported figures, polytechnic students and ensure that students get adequate supplies of their families who have borrowed would likely end up in debt learning materials. In the period from 2011 up to of around BDT100,000 by the end of their study. The average 2016, STEP granted stipend to around 145,000 loan size for private polytechnic students is noticeably higher. polytechnic students. Indebtedness at this level is no small burden for polytechnic Apart from STEP, around one-fifth of polytechnic graduates considering their employment prospects and students receive stipend from the government expected wage levels. programs. Female students are found to be marginally more likely to receive such 69% government stipend. Stipend beneficiaries of government programs are receiving an average monthly allowance of BDT380. Financial 37% 31% 29% 33% aid from other non-governmental sources 20% 19% 23% seems much harder to come by and virtually unavailable. Less than one percent are getting 7% stipends from non-governmental donors. Total Public polytechnic Private polytechnic Metropolitan Urban/Semi-urban Rural Family & relatives Bank NGO Source: Polytechnic Tracer Study 2016; STEP Semi-annual Progress Report, January-June 2016 Source: Polytechnic Tracer Study 2016 Figure 2-8: Share of students working part-time and borrowing and source of borrowing 32 Chapter 3 LABOR MARKET OUTCOMES OF POLYTECHNIC GRADUATES 34. This chapter presents findings related to the economic outcomes of polytechnic graduates after one or two years of their graduation. It provides information not only about their employment status under wage employment and self-employment but also about graduates who are taking up further education and training in addition to their diploma degrees from polytechnics. The latter group of graduates is becoming increasingly relevant in skills development in the country because of the rising tendency among tertiary students of having prolonged post-secondary schooling to cope with highly competitive job markets and higher skills level required by employers. 3.1 EMPLOYMENT OUTCOMES 3.1.1 Overall analysis of employment outcomes 35. Overall, polytechnic graduates are found to be either employed (37 percent), unemployed (25 percent), or still in education and training (33 percent); self- employment (1 percent) and not being in labor force nor study (3 percent) are rare. The survey reveals there are three major economic outcomes of polytechnic graduates, which are: (i) employed full-time or part-time, (ii) unemployed, or (iii) studying full-time for further education and training. Overall distribution of graduates’ employment outcomes is summarized in Figure 3-1. Around 37 percent of all the graduates are employed within one or two years of graduation, while 25 percent are still unemployed. A substantial proportion (33 percent) are still studying full-time. Very few (only five percent) are neither in training nor in the labor market – the status includes, for instance, being full-time housewives or being incapable to work for health reasons. Self-employment is also a rare job outcome for polytechnic graduates with only one percent being in self-employed businesses. Most of those who did not look for jobs moved on to further education and training. The subsequent sub-chapters will examine each economic outcome separately. 36. Labor force participation is high upon graduation from polytechnics - the large majority of polytechnic graduates, both male and female, seek jobs after completing their training. About 77 percent of graduates, both male and female, have responded 34 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H Graduates (100) Looked for jobs (77) Not looked for jobs (23) 25 1 Unemployed Self-employed 14 37 19 Further Working Further 3 Education education Not working 1 Full-time (34) and Part-time (3) or studying Others Source: Polytechnic Tracer Study 2016 Note: The numbers in brackets show percentage shares against the entire graduate population Figure 3-1: Overview of Current Status of Polytechnic Graduates that they actually looked for work after graduating from their 93% polytechnics (Figure 3-2). Graduates living in rural areas are even 77% 78% 76% 77% more likely to have looked for work after leaving polytechnics. 72% Graduates from public and private polytechnics are found to be equally likely to have looked for work. This means that the great majority of students who come to polytechnics are doing so with an intention to go into the labor market with their newly acquired skills and diploma qualifications, and that skills training at polytechnics would have direct impacts on skill levels of young technical and engineering workers in the country. It is also Male Female Metropol Urban / Rural Total important to stress that female polytechnic graduates are just Semi- as likely as their male counterparts to go directly into the labor urban market after graduation. Meanwhile, about a little over 20 percent Gender Current Residence of polytechnic graduates would not look for work after finishing the diploma courses. Most of them are currently pursuing further Source: Polytechnic Tracer Study 2016 education and training. For them, polytechnic education was Figure 3-2: Labor force participation among polytechnic part of an academic career path leading to higher education that graduates (proportion of graduates who looked for work after is alternative to going to higher secondary schools. graduation), by gender and location The World Bank | 35 CHAPTER 3: LABOR MARKET OUTCOMES OF POLYTECHNIC GRADUATES 37. However, employment outcomes of polytechnic further education and training. Judging from these scenarios, graduates are generally unsatisfactory with low employment further education and training seems to be a popular coping and high incidence of unemployment. Only around half strategy for unsuccessful or unsatisfied job seekers who try (48 percent) of the graduates who looked for jobs would be to improve their job prospect or quality of employment by working (either full-time or part-time) after one or two years of upgrading their qualifications. graduation21, while as much as a third of the graduates who 39. The majority of the employed graduates have found first looked for jobs would remain unemployed (Figure 3-3). Once jobs within six to seven months of graduation, after which unemployed, the situation may not look up very easily for chances of finding jobs diminish quickly. For those who could them. The ratio of those with a job remain almost unchanged land a job, the job search period seldom extended far beyond between the 2014 and 2013 cohorts (there is one year lapse half a year. By the end of the third month after graduation, between them). This clearly indicates a daunting prospect of around half of the would-be employed graduates would have prolonged joblessness and difficult school-to-work transition found their first jobs (Figure 3-4). By the end of the seventh for many polytechnic graduates. Jobs do not seem to come to month, the share would go up to around 80 percent. It is evident them easily despite holding diploma-level technical expertise. that the longer it takes to find a job, the less likely it would be This prolonged joblessness also raises a serious question about to find one. After passing one year since graduation, finding a the degradation of skills and technical knowledge of graduates, job would become far less likely (at this point they would have which further dampens their job prospects. On the other hand, to compete with polytechnic graduates of the next cohort). The differences in employment outcomes between graduates from job search strategy would need to be re-adjusted at that stage, public and private polytechnics appear to be insignificant. perhaps by seeking additional upskilling training opportunities. 38. Continuing studying seems to be a favored coping 40. Disparities in the employment outcomes are glaring. strategy for those who were not satisfied with job search Female graduates are far more likely to be unemployed and out outcomes. Around 18 percent of the graduates who once of study. Employment outlook seems quite bleak for many of looked for jobs eventually went back to full-time study in other the female polytechnic students. Compared with 49 percent of institutions. Moreover, it is not rare that employed graduates the male graduates being on the job, only 38 percent of female quit the job and move on to another study. Around 10 percent graduates are found to be working (Figure 3-5). For female of the graduates who were once employed left the job to enroll graduates, a fallback option of further education and training in further study (as a result, around 30 percent of the graduates seems also more limited. Only nine percent of the female currently studying had been employed earlier). Between the graduates who looked for jobs are found to be studying full- graduates of year 2014 and 2013, the share of those who are time, whereas the share goes up to 19 percent for their male studying increased by 10 percentage points while that of the counterparts. As a result, a considerably greater proportion of unemployed decreased by the same margin. This is likely female graduates are left unemployed in the job market. More because some of the unemployed graduates decide to attend 2013 Graduates 47% <1% 28% 23% 2% Working 2014 Graduates 48% <1% 37% 13% 2% Self-employed Unemployed 48% <1% 32% 18% 2% Studying Total Unavailable for Work Source: Polytechnic Tracer Study 2016 Note: Shares are among those who looked for jobs Figure 3-3: Employment outcomes of graduates, by graduation year 21 This share of employed graduates is comparable to or worse than what TVET tracer studies in other countries have found. For instance, only 32% of all graduates from industry technical institutions in India are found to be employed within 12 months (Tan et al., 2007). This case is comparable to this study. In Sri Lanka, around 56% of TVET graduates were found to be employed (ADB, 2017), which is much more favorable than the employment outcome of Bangladeshi polytechnic graduates. 36 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 20 100 % of employed graduates % of employed graduates found jobs (cumulative) found jobs (monthly) 16 80 12 60 8 40 4 20 0 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Source: Polytechnic Tracer Study 2016 Figure 3-4: The number of months it took to find the first jobs among currently employed graduates than half (52%) of the female graduates, who looked for jobs, metropolitan/urban areas. It appears that graduates who cannot remain jobless after one or two years of graduation, compared afford or decide not to move to metropolitan/urban areas would to 30 percent for males. This is an alarming figure for the TVET have to face severely grim employment prospects. sector of Bangladesh which has been promoting diploma-level skills training for females. Working Self-employed Unemployed 41. In rural areas, the shares of those who are working or Studying Unavailable for Work studying are substantially lower than those of metropolitan and urban areas. Only around 35 percent of graduates now 2% 2% 1% 13% 7% living in rural areas are employed, which is more than 10-20 26% percentage points lower than those living in metropolitan 30% 57% and urban areas. Assuming the skills levels of graduates are 25% <1% not significantly different across locations of residence, this <1% likely indicates a relative shortage of job opportunities in rural 56% <1% 47 areas that demand diploma-level skilled workers. At the same 35% time, opportunities for further education are not equal across geographical locations. Only a handful (seven percent) of Metropolitan Urban/ Rural graduates in rural areas are studying, as opposed to 26 percent Semi-urban and 13 percent of those living in metropolitan and urban areas Source: Polytechnic Tracer Study 2016 doing so respectively. Consequently, unemployment is extremely Note: Shares are among those who looked for jobs; distribution of graduates are: 49% in Metropolitan, 34% in Urban/Semi-Urban, and 18% in Rural. high for graduates living in rural areas. As much as 57 percent of the graduates who looked for jobs and are currently living Figure 3-6: Employment outcomes of graduates, by current in rural areas remain jobless, compared to 25-30 percent in location of residence Working Male 49% <1% 30% 19% 2% Self-employed Unemployed 38% <1% 52% 9% 1% Studying Female Unavailable for Work Source: Polytechnic Tracer Study 2016 Note: Shares are among those who looked for jobs; females account for 11% of entire graduates Figure 3-5: Employment outcomes among job-seeking graduates by gender The World Bank | 37 CHAPTER 3: LABOR MARKET OUTCOMES OF POLYTECHNIC GRADUATES 42. There are also considerable disparities in graduates’ information in order to make more informed decisions when employment outcomes across technologies. Among the choosing technologies to enroll. technologies offered in polytechnics, some technologies such 3.1.2 Factors affecting the chance of as Computer, Construction, or Automobile are not faring well employment for polytechnic graduates in terms of finding employment (Figure 3-7). However, some of them also have high shares of graduates in further education 43. Regressing employment outcome on various covariates and training. For instance, Power, Computer, Construction, demonstrates that the probability of employment is being and Mining Technology graduates are more likely to move influenced by several individual and institutional factors. on to further studies after failing in job search. Perhaps due Controlling for other variables, female graduates are around to technological advances or higher job market competition, eight percent less likely to be employed (See Table 3-1 for training at polytechnic alone may not be sufficient to find regressions results). Rural residence also significantly reduces them relevant technical jobs. Some are faring much better in the chance of employment by nearly 20 percent. Previous work job market outcomes. As Bangladesh’s apparel manufacturing experience may have some positive impact on the employment industry continues to thrive, graduates of Textiles and Garments chance; however, as it is a rather rare property among graduates, Technologies seem to be having an easier time finding statistical significance is weak. Interestingly, having an employment. Architecture, Electrical Technology and Mechanical apprenticeship experience after graduating from polytechnic Engineering Technology also seem to be performing better seems to have no impact on employment probability, though and have relatively strong performance in employment. The about a quarter of the graduates have such experience. Reasons recent construction boom in Bangladesh may have contributed are not immediately clear; however, it seems likely that many to better employment outcomes for students from those apprenticeship programs are not automatically linked with technologies. It is natural for different specialties to have different employment. Academic performance (as measured by CGPA employment opportunities depending on the economic and score) at polytechnics seems to have some correlation with industry needs. It would be extremely useful for the prospective employment outcome especially for lowest performing groups. students to have access to technology-wise employment tracking Graduating from public polytechnics would be associated with Textile 75% 16% 9% Architecture 69% 16% 14% Garments 65% 34% 1% Mechanical Engineering 63% 25% 11% Electrical 57% 23% 18% Electro-Medical 54% 35% 11% Refrigeration and AC 54% 31% 14% Power 49% 25% 24% Architecture and Interior Design 48% 52% 0% Telecommunication 48% 31% 15% Civil 41% 39% 17% Electronics 40% 41% 16% Computer 39% 31% 29% Construction 33% 39% 28% Mechatronics 28% 72% 0% Working Mining and Mine Survey 15% 15% 60% Unemployed Automobile 8% 72% 13% Studying fulltime Source: Polytechnic Tracer Study 2016 Note: Shares are among those who looked for jobs; those in self-employment and unavailable for work are negligible and omitted from the chart; samples are not necessarily representative at the technology level. Figure 3-7: Employment outcomes of graduates, by technologies of training 38 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H higher employment chances, though it is barely statistically by as much as around 13 percent. Use of some of other job significant. This is probably partly because public institutions placement support services also appears to be associated with tend to attract better performing students. The student-teacher better employment outcomes. Job search skills training, which ratio – one of the commonly used indicator for teaching quality – is one of the common activities of job placement unit, seems has nothing to do with employment outcomes. to improve employment chances. Having received job search skills training enhances the likelihood of being employed as 44. Some of the institutions’ job placement activities, such much as around 10 percent, and the effect is stronger for males. as graduate tracking and job search skills training, appear to Participation in job fairs and receiving vacancy information do not be linked with positive employment outcomes. Polytechnics seem to increase employment chances significantly. To enhance under STEP support are undertaking several job placement the effectiveness of these activities, institutional capacity for activities such as job fair and job skills trainings. One particularly organizing job fairs and exploring promising job vacancies may noteworthy finding from the regression is the substantial positive have to be strengthened. Taking counseling seems associated impact of graduate tracking activity. Graduate tracking is one of with negative effects. This is perhaps because counseling is often the most fundamental elements of job placement support and taken up by those who are struggling with finding jobs. Other gives institutions valuable feedbacks from the labor market and support activities such as engaging industries and alumni for job employers. Graduates from institutions which undertake graduate placement (not reported in the figure below) were not found to tracking (58 percent of the sampled institutions undertake have any significant impact on employment probabilities. graduate tracking) would increase employment probability Table 3-1: Factors affecting likelihood of employment for polytechnic graduates Probit with selection bias correction Dependent variable: Currently employed = 1 Full sample Male only Individual characteristics dydx Std. Err Dydx Std. Err Female -0.077* 0.041 - Age 0.015 0.009 0.016 0.010 Indigenous -0.068 0.106 -0.092 0.104 Residence Urban/Semi-Urban 0.070** 0.031 0.089*** 0.031 Rural -0.208*** 0.041 -0.182*** 0.042 Work experience before polytechnic 0.132 0.085 0.146 0.094 Apprenticeship after polytechnic 0.032 0.034 0.025 0.034 CGPA score (base: A+/A/A-) B+/B -0.052 0.033 -0.054 0.035 B- or less -0.083* 0.041 -0.094** 0.042 Institutional characteristics Public polytechnic 0.088 0.052 0.095* 0.051 Student teacher ratio -0.001 0.001 -0.001 0.001 Tracking service of graduates 0.131*** 0.038 0.132*** 0.039 Use of placement support service Job fair 0.009 0.050 0.008 0.051 Job vacancy information 0.047 0.036 0.031 0.039 Job search skills training 0.094* 0.045 0.114** 0.050 Counseling -0.083* 0.045 -0.076* 0.044 Number of observations 1,995 1,785 Source: Polytechnic Tracer Study 2016 Note: (i) *** p < .01, ** p < .05, * p < .10; (ii) estimates are shown in marginal effects (i.e. changes in outcome probability with a unit change of the co-variate while keeping all other variables constant); (iii) estimates are controlled for graduation year and technologies; (iv) standard errors are accounted for multistage sampling, stratification, and finite sample; and (v) selection bias derived from individuals’ self-selection into job search is corrected using Heckman correction. The World Bank | 39 CHAPTER 3: LABOR MARKET OUTCOMES OF POLYTECHNIC GRADUATES 3.2 WAGE EMPLOYMENT 47. Small enterprises employ about half of the polytechnic graduates. According to the definition of Bangladesh Bank, 45. A little over a third of the polytechnic graduates are industries which employ less than 50 staff can be considered found to be employed either on full-time or part-time basis as small enterprises. It is found that around 44 percent of the one or two years after graduation. This sub-chapter describes graduates are employed in such small enterprises. This is nothing the characteristics and conditions of those employments for surprising in a country such as Bangladesh where, according polytechnic graduates. Gender gaps and other disparities are to Bangladesh Bureau of Statistics, Small and Medium-size also closely analyzed. Enterprises account for 90 percent of all private enterprises and employ about 70 – 80 percent of non-agricultural workforce. 3.2.1 Job characteristics Women are somewhat more inclined towards employment in small 46. The large majority of employers of polytechnic graduates companies. Around 60 percent of the employed female graduates are private enterprises or individually owned businesses; found jobs in businesses with less than 50 staff. Graduates from employment in government services is very rare. As much as public polytechnics are somewhat more likely to find jobs in 67 percent and 23 percent of the employed graduates are found government entities, while graduates from private institutions are to be employed by private enterprises and individually owned more likely to be working in individually owned businesses. business, respectively (Figure 3-8). These are essentially business 48. Manufacturing and construction businesses are the entities of different sizes in various industries in the private largest employers of polytechnic graduates; females are sector, collectively accounting for 90 percent of employment for more concentrated towards a few industries. In total, around polytechnic graduates. It is obvious from this finding that former 30 percent of the employed graduates are found to be working students from polytechnics are a valuable source of skilled in the manufacturing sector, followed by 15 percent working in manpower for small and medium size enterprises in the economy. the construction sector (Table 3-2). It is a positive sign that many On the contrary, public sector employment, including both polytechnic students would find jobs in these thriving industries of central and local ones, account for only a fraction (four percent) the countries, leveraging the skills they acquired in polytechnics. of employment for polytechnic graduates. The types of employers ICT industry is another emerging and booming industry in are not significantly different between male and female graduates. Bangladesh, which now employs around seven percent of the Public sector employment is equally rare for females as well. graduates coming out of polytechnics. There are some gaps in Typesof Sizes of employers employers 10% 14% 1% Less than 10 staff 51-100 staff 67% Private households/ Private others 34% 21% 22% enterprises 4% 23% 10-50 staff More than 1000 staff 101-1000 staff Governmental Individual 5% woned Autonomus/ Businesses NGO Source: Polytechnic Tracer Study 2016 Figure 3-8: Types and sizes of employers of polytechnic graduates who are currently working 40 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H the patterns of employing industries between male and female 57% 15% graduates. Naturally the construction sector employs fewer Technician Service and females. The education sector, where they are hired as instructors and sales staff and trainers, is the largest employer for female graduates, engineer employing about a third of the employed female graduates. ICT industry is also a popular choice for female graduates where 14 Type of percent of the employed female graduates are working. occupation Table 3-2: Industries of polytechnic graduates who are currently working Industries All By Gender Male Female 1. Manufacturing 29% 29% 24% 14% 2% 10% 2. Construction 15% 16% 6% Manager, Others Construction staff, machine 3. Education 11% 9% 32% professional and computer operator 4. Electricity, gas, air conditioning 10% 10% 1% 4% Teacher training supply 5. ICT 7% 6% 14% Source: Polytechnic Tracer Study 2016 Figure 3-9: Occupation types of polytechnic graduates who 6. Other services 6% 5% 6% are currently working 7. Scientific & technical activities 5% 5% 3% 8. Whole sale, retail, motor vehicle 3% 3% 3% others are in contractual full-time employment (18 percent), repairs part-time employment (10 percent), and seasonal employment 9. Health & social works 3% 4% 0% (one percent) (Figure 3-10). Female graduates seem to enjoy 10. Real estate 3% 3% 2% less job security as a greater proportion of them are in unstable employment than males. This may not necessarily mean that 11. Other industries 8% 8% 9% female graduates are suffering more from job insecurity since Total 100% 100% 100% some of them may have sought more flexible contractual Source: Polytechnic Tracer Study 2016 arrangements. It also has a lot to do with the selection of industries. Industries with higher female concentration, 49. The majority of employed polytechnic graduates are particularly education, have a significantly higher ratio of workers working as technical experts in various industries. More with unstable contracts23. than half of the employed graduates describe themselves as working as technicians and engineers, and 14 percent describe Permanent fulltime contractual fulltime themselves as managers and professionals (Figure 3-9). Part-time Seasonal Combined, around 70 percent of the employed graduates are 73% 17% 10% hired to do technical and engineering jobs, which polytechnic education is designed to cater to. Construction and machine/ 0% computer operators are also another common occupation for 56% 23% 17% 4% them where 10 percent of the employed graduates are working. 50. Many of the employed graduates seem to enjoy sound 71% 18% 10% job security with permanent full-time contracts; however, females are less likely to be in permanent full-time jobs. 1% According to OECD22, the quality of jobs has three dimensions: Source: Polytechnic Tracer Study 2016 (i) job security; (ii) earnings; and (iii) working environment. Overall, around 70 percent of the employed graduates are hired Figure 3-10: Employment contract types among employed under permanent full-time employment arrangement, while polytechnic graduates, by gender 22 Job quality framework defined by OECD: http://www.oecd.org/employment/job-quality.htm 23 It is not immediately clear why graduates working in the education sector tend to have less secure job contracts; however, anecdotal evidence suggests that training institutions sometimes engage in the practice of hiring their unemployed graduates as short-term assistants. This allows institutions to alleviate chronic teacher shortage at a low cost. The World Bank | 41 CHAPTER 3: LABOR MARKET OUTCOMES OF POLYTECHNIC GRADUATES 3.2.2 Wages 52. Income disparities are observed along the lines of contract type, location, and industry. Type of contract is 51. On average, polytechnic graduates had a starting salary of one of the most significant factors for determining salary around BDT 9,200, and are earning the average current monthly levels for polytechnic graduates. Having a permanent full- income of around BDT 10,800 – the level overall comparable to time contract is on average associated with higher salaries the national averages. Table 3-3 below shows the average monthly for both males and females. Geographical difference also wage incomes of polytechnic graduates by different categories. plays a substantial role. Graduates in rural areas are not Comparisons with the Bangladesh Labor Force Survey (LFS) 2013 only disadvantaged in terms of employment opportunities, report suggest that polytechnic graduates are enjoying salary levels but also they are earning considerably less than their peers that are more or less comparable to, or possibly only slightly lower in metropolitan and urban areas. Rural graduates are, on than, the national averages of the similar age groups. For instance, simple average, earning around 20 percent less than their in 2013, the employed workforce aged between 20 and 24 were on metropolitan or urban peers. In rural areas, gender wage average making BDT11,308. Incomes may differ by occupation and gaps are even more pronounced. Furthermore, it seems that education qualifications. According to the Enterprise-based Skills some of the industries are also associated with higher salary Survey (ESS) 2013, the average starting salary for technicians and levels. For instance, jobs in manufacturing, electricity, and associate professionals was around BDT7,800, and that for TVET health sectors seem to bring salaries that are on average qualification holders was around BDT6,900 in 2012. Considering the higher than jobs in other sectors. Working in manufacturing, inflation, the earnings of polytechnic graduates would be by and electricity, and health sectors increases monthly salary large equal to these national averages for people with the similar moderately compared to working in other sectors. age, occupation, and education qualifications. Education industry seems to have lower salary. Table 3-3: Factors affecting likelihood of employment for polytechnic graduates Current Salary (BDT) All Male Female GPI 24 All 10,843 11,088 8,308 0.75 By Contract Type 0.010 Permanent Full-time 11,301 11,439 9,449 0.83 Non-permanent Full-time 9,713 10,157 6,865 0.68 By Location 0.031 Metropolitan 11,122 11,280 9,657 0.86 Urban/Semi-urban 11,066 11,345 7,404 0.65 Rural 8,751 9,204 5,217 0.57 By Industry Manufacturing 11,754 11,990 8,799 0.73 Construction 10,925 11,004 8,904 0.81 Education 7,626 7,887 6,851 0.87 Electricity, gas, air conditioning supply 12,018 - - ICT 10,465 10,940 8,368 0.76 Whole sale, retail, motor vehicle repairs 10,030 - - Health & social works 12,202 - - Real estate 9,470 - - 24 Gender Parity Index (GPI) is calculated as the figure for females divided by the figure for males. GPI below 1 indicates females underperforming males, and GPI above 1 indicates females outperforming males. 42 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 45% 40% Starting (Male) Starting (Female) 35% Current (Male) Current (Female) 30% 25% 20% 15% 10% 5% 0% <5,000 5,000-7,999 8,000-9,999 10,000-11,999 12,000-13,999 14,000-15,999 16,000-17,999 18,000-19,999 20,000-29,999 30,000 or more Salary range in Taka Source: Polytechnic Tracer Study 2016 Figure 3-11: Distribution of starting and current salary, by gender 53. Gender wage gaps are significant against females, percent; however, the impact of having full-time permanent especially among those who are not full-time permanent contract on wage is much more significant for females. Females employees, and females appear slower in getting a pay raise. having full-time permanent contract would increase wage by Overall, on average, female graduates are earning only around about 25 percent relative to those without. Educational and 75 percent of what their male peers would be earning (Table previous work experience factors seem to have little to do with 3-3). However, the income gap shrinks significantly, though still wages. Having work experience or an HSC certificate before being persistent, if they are employed on permanent full-time contracts. in polytechnics, or having done apprenticeship and additional On simple average, females are earning 83 percent of what training after coming out of polytechnics are not significantly their male counterparts would be earning. This is more or less correlated with wages. Interestingly, poorly acquired skills, as consistent with the finding of the Labour Force Survey 2013 which demonstrated by having very low CGPA, seem to be negatively shows the average salary of females in the technician occupation affecting wages. Having poor CGPA of lower than B- (18 percent as 20 percent lower than of males in the same category. Female of graduates fall under this category) decreases wages by around graduates in rural areas appear to be at a significant disadvantage 12 percent. Job search methods also seem to impact how much vis-à-vis their male counterparts as their average monthly earning graduates are earning. Relying on personal networks, a common is 43 percent lower25. Across industries, gender earning gaps seem way to find jobs in Bangladesh, would reduce wages by around to be consistent. In addition, by looking at the difference between seven percent. Also, those who land a job soon after graduation starting and current wages, it is noticeable that wages increase tend to earn better. An extra month spent for job search after more rapidly for male graduates (Figure 3-11). graduation is associated with two percent decrease in wages. Firm size matters too. Larger firms do tend to pay better wages, and the differences are substantial. Compared to small firms 3.2.3 Factors affecting the wage levels among with less than 10 employees, firms with more than 51 staff and polytechnic graduates with more than 101 staff pay around 19 percent and 25 percent 54. Wage regression analysis reveals that employed more, respectively. This large disparity across firms may explain graduates’ wage levels are affected by a range of factors, why many graduates continue their job search in a hope to find particularly gender, contract type, and firm size; and a better employment in well-established firms. Rural residence poor skills acquisition may have a negative consequence reduces the average salary by about 10 percent relative to on wages. After controlling for other variables, being female metropolitan residence. Public polytechnic graduates seem decreases the average monthly salary by around 21 percent to be earning less (around 15 percent); however, this should (see in next page Table 3-4 for the regression outputs). Full- be interpreted with caution as the sample includes only good time permanent contract increases the wage level by about six performing private polytechnics. 25 This figure is based on a small sample and should be interpreted with caution. There are only six samples that fall into this category of employed females in rural area. The World Bank | 43 CHAPTER 3: LABOR MARKET OUTCOMES OF POLYTECHNIC GRADUATES Table 3-4: Wage regressions for polytechnic graduates Current Salary (BDT) Full sample Male only Individual characteristics Coef. Std. Err Coef. Std. Err Age 0.204 0.162 0.237 0.176 Age square -0.004 0.004 -0.005 0.004 Gender (Female) -0.233** 0.082 - - Contract type Full-time contract 0.062** 0.028 0.068** 0.028 Full-time contract * Female 0.228** 0.098 - - Education and work experience Work experience before polytechnic -0.095 0.079 -0.096 0.078 Additional training after polytechnic -0.061 0.040 -0.064 0.042 Apprenticeship after polytechnic -0.017 0.028 -0.006 0.028 Holding HSC certificate 0.067 0.063 0.091 0.071 CGPA score (base: A+/A/A-) B+/B -0.046 0.031 -0.041 0.033 B- or less -0.127** 0.045 -0.118** 0.046 Job search experience Method of finding the job (base: Open adverts) Personal networks -0.078*** 0.026 -0.079*** 0.027 Other channels -0.022 0.050 0.009 0.055 No of months took to find the employment -0.019*** 0.003 -0.019*** 0.003 Firm characteristics Company size (base: Less than 10 employees) 11-50 staff 0.114** 0.051 0.088 0.052 51-100 staff 0.178*** 0.057 0.130** 0.056 101-1000 0.228*** 0.058 0.189*** 0.056 more than 1000 0.310*** 0.058 0.277*** 0.058 Location Residence Urban/Semi-Urban 0.035 0.030 0.045 0.031 Rural -0.097** 0.046 -0.101* 0.050 Institutional characteristics Public polytechnic -0.166*** 0.032 -0.167*** 0.034 Constant 7.207*** 1.868 6.870*** 2.017 Number of observations 1,885 1,785 Source: Polytechnic Tracer Study 2016 Note: (i) *** p < .01, ** p < .05, * p < .10; (ii) estimates are also controlled for graduation year, industry types, occupation types, regions, and work hours; (iii) standard errors are accounted for multistage sampling, stratification, and finite sample; and (iv) selection bias derived from individuals’ self-selection into employment is corrected using Heckman correction. 44 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 3.3 UNEMPLOYMENT they left the polytechnics. It was reported that only around 13 percent of the unemployed graduates of the 2013 cohorts have 55. It is clear from the discussion in the previous section ever been employed in the past. The lengths of unemployment that unemployment is a serious issue that haunts many periods seem more or less similar for both male and female polytechnic students, and long-term unemployment is unemployed graduates, with females experiencing slightly longer a widespread phenomenon for this demographic group. periods of unemployment. On average, female unemployed This section shows the finding related to the situation of graduates of the 2013 cohort have been jobless for 17.7 months, unemployment among polytechnic graduates. whereas their male peers have been so for 15.7 months. However, as discussed earlier, males are more likely to be in 56. The unemployment rate for polytechnic graduates further education and training, thus more often concealing their averages at 32 percent, and is considerably higher for female actual unemployment status. graduates and graduates living in rural areas. Calculated as per the definition of this report (i.e., labor force participation 30% defined as those who looked for work after graduation), the overall unemployment rate for polytechnic graduates at one or 22% two years after graduation stands at 32 percent (Figure 3-12). The rate is far higher for female graduates, standing at 52 percent, 13% a substantial gender gap of more than 20 percentage points. 8% 10% One of the reasons that female unemployment rate is so high is 7% 6% 4% because a smaller proportion of females continue with further education compared to male graduates. The unemployment rate is even higher at 57 percent among graduates living in rural areas. 1-3 4-6 7-9 10-12 13-15 16-18 19-21 22-24 No. of months 57% Source: Polytechnic Tracer Study 2016 52% Figure 3-13: Length of unemployment period among the unemployed who graduated two years ago 37% 30% 30% 32% 28% 25% 58. Most of the unemployed graduates are hoping to find full-time administrative or technical staff positions; however, there seem to be significant mismatches between what polytechnic graduates desire and what are available in the Male Female Metropolitan Urban/Semi- urban Rural 2014 cohort 2013 cohort job market. Naturally, almost all the unemployed respondents have indicated that they are hoping to find jobs that are full-time and either of administrative or technical designations. While they have been unable to find such suitable employment, more than Gender Current Residence Graduation Total a third – around 37 percent – of the unemployed graduates have Year reported that they received at least one job offer previously, but Source: Polytechnic Tracer Study 2016 ended up turning them down for various reasons, including low Figure 3-12: Unemployment rates of polytechnic graduates, salary, poor work conditions of the offered job, inconvenient by gender, current residence, year location of workplace, and not being related to the areas of their trained expertise. They seem rather picky about the kind of 57. Long spells of joblessness are a common feature of jobs they would take. Moreover, they also seem to be selective unemployment among polytechnic graduates for both male when responding to job advertisements. Around 70 percent of and female graduates. The large majority – around 75 percent the unemployed graduates are found to have filed only 10 job of the unemployed who graduated in 2013 (roughly two years applications or less despite having been unemployed for more before the time of data collection) – has reported having been than a year. These probably indicate widespread mismatches unemployed for more than 12 months (Figure 3-13). As a matter between the kind of jobs that are available and that are desired of fact, most of them have never been under employment since by polytechnic graduates. The World Bank | 45 CHAPTER 3: LABOR MARKET OUTCOMES OF POLYTECHNIC GRADUATES A. There are not enough job opportunities in this localty 50% 28% Fully Agree Somewhat agree B. Most of the job opportunities are not attractive 28% 44% C. I have sufficient skills to get a good job 67% 31% Source: Polytechnic Tracer Study 2016 Figure 3-14: Perception about job opportunities among the unemployed graduates 59. It is found that many of the unemployed are dissatisfied additional training opportunities; however, they are not about the quantity of job opportunities that are available in keen to accept lower paying jobs, and very few would be their localities and are unhappy about the quality of available willing to explore self-employment opportunities. Almost job opportunities. Seventy-eight percent of the unemployed 90 percent of the unemployed graduates reported that they respondents agree that there are not enough job opportunities would continue looking for jobs that meet their expectations. out there in their locality (Figure 3-14). This ratio jumps to 88 At the same time, facing the reality of difficult job search, 73 percent among the unemployed respondents residing in rural percent of them agreed that they would accept jobs that pay less areas, indicating further acute shortage of job opportunities than what they want. Another strategy to enhance the chance for highly trained technicians in rural areas. It is apparent that of employment is to have additional trainings. More than 70 the scarcity of job opportunities is one of the biggest concerns percent of the unemployed graduates agreed that they would of polytechnic graduates. When asked about the quality of explore additional training opportunities if there are any good available job opportunities, more than 70 percent of them agree ones available. On the other hand, certain strategies such as that most of the job opportunities are not attractive for them, looking for jobs in different occupations and accepting short- suggesting that the few job opportunities that may be available term employments are less favored, indicating their strong are often not the kind of jobs that require high-level technical adherence to trained specialties and preference of long-term expertise for which they have been trained. Meanwhile, almost stable employment. Even less favored, by a considerable margin, all the unemployed graduates (98 percent) believe that they is an option to start their own business (i.e. self-employment). have sufficient skills to find a good job. These gaps between Only 17 percent of the unemployed graduates agreed that they the perceived adequacy of skills and the quantity and quality of would explore starting their own business. Self-employment available job opportunities would certainly lead to a strong sense seems to be an utterly disfavored idea among polytechnic of frustration and deprivation among the polytechnic graduates. graduates. This, however, is at odd with the job market reality in Bangladesh especially in rural corners where a significant part of 60. Graduates seem less flexible in terms of strategies for labor force is working in the informal sector where small-scale finding jobs - most of them would continue searching for jobs enterprises and self-employed businesses are widespread. that would meet their expectations and are ready to explore A. I will keep looking for a job that meet my expectation 43% 46% B. I would explore additional training opportunities 30% 41% C. I would accept lower paying jobs 22% 51% D. I will explore different occupations 13% 39% Fully Agree E. I would accept short-term employment 10% 38% Somewhat agree F. I would start my own business 6% 11% Source: Polytechnic Tracer Study 2016 Figure 3-15: Strategies for job search among the unemployed graduates 46 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 3.4 FURTHER EDUCATION AND 63. However, some seem to have pursued higher education because of their disappointing job market outcomes, in a TRAINING hope that higher education would pave the way to better job outcomes. Among those who are currently studying full-time, 61. Faced with an unfriendly labor market for polytechnic 57 percent of them moved on to further education without even graduates or attracted by the advantages of higher education trying to look for jobs first while the remaining 43 percent are qualifications, many of the polytechnic graduates opt for further those who attempted to find jobs after graduation and were education and training after the graduation, moving up to the probably left dissatisfied and discouraged by the poor job market ladder of the tertiary education system. After spending four outcomes (Figure 3-17). Many of them were unable to secure years of technical training, about a third would choose to pursue employment; however, there are even some who received job further education and training. This sub-chapter will provide offers but declined them to be enrolled in higher education. more details about the further education and training that There seems to be a strong belief that higher education polytechnic graduates are moving on to. qualification would lead to better employment. Ninety percent 62. The majority of the graduates who are still in full-time of graduates in full-time studies think they would get better jobs study are enrolled in universities, showing a strong demand if they have a higher education degree (see in next page Figure for higher education qualifications among students in 3-18). A number of them also think that they would need to polytechnics. Overall, universities account for 87 percent of further enhance their technical knowledge and skill levels if they education institutions where polytechnic graduates are studying are to get good employment they are hoping for. Perhaps they full-time after one or two years of graduation (Figure 3-16). This might be hoping for engineer/technician posts at managerial in itself is not surprising as Bachelor’s degree would be the next levels which are often occupied by higher education degree logical step for Diploma holders. Most of the polytechnic students holders. Parents’ expectations and recommendations also seem enter polytechnics with an SSC degree only, and upon graduation, to play a major role in deciding graduates’ course of action as Diploma holders, polytechnic graduates are eligible to regarding continuing education. Fifty percent of those who are apply for universities. Polytechnics give students in TVET studying full-time are encouraged by parents to continue studies. tracks an important pathway to go on to higher education and subsequently towards better paid jobs with higher-order skills requirement. Nearly half of those who moved up to universities are enrolled in an engineering university. Dhaka University of Engineering and Technology appears to be playing a large role in meeting the higher education demands of polytechnic graduates. There are no significant differences between male and female Job search graduates except that a slightly smaller share of female graduates experience is enrolled in general universities. Engineering universities are among equally popular for females and males. graduates University Engineering University College Short-term technical training Others 45% 42% 4% 3% 6% 33% 10% 57% Yes, but did Yes, and Did not look 37% 46% 5% 2% not receive received a for jobs a job offer job offer 9% 45% 42% 4% 3% Source: Polytechnic Tracer Study 2016 6% Source: Polytechnic Tracer Study 2016 Figure 3-17: Job search experience among graduates in full- time study Figure 3-16: Institutions where polytechnic graduates are currently enrolled for fulltime studies The World Bank | 47 CHAPTER 3: LABOR MARKET OUTCOMES OF POLYTECHNIC GRADUATES 90% away from technical fields but rather an important avenue for career development as technical specialists. In terms of areas of study, regardless of whether it is general university 56% 51% or engineering university, the overwhelming majority are 36% concentrated in disciplines related to engineering, civil works, 22% and architecture (76 percent) which are specializations that are typically of technical background, and in disciplines related to computer science (17 percent) which is also a popular discipline I would I needed My parents Diploma My friends in polytechnics. Very few are studying in other disciplines such get a additional recommanded was not encouraged as business and management and social sciences that are highly better job technical well me popular among the general population of university students. if I have skills to regarded a higher look for a by the degree better job employers Source: Polytechnic Tracer Study 2016 3.5 SELF-EMPLOYMENT Figure 3-18: Motivations for pursuing further education 65. Despite the government policy to promote self- among graduates in full-time study employment, it seems to remain as an unpopular or unfeasible job option for most of the polytechnic graduates. 64. Most of the graduates appear to be deepening their Self-employment is defined as business operations where expertise in the areas that are relevant to their training individuals work for themselves and derive their income at polytechnics; the knowledge and skills gained in directly from their customers and clients instead of working for polytechnics are not wasted. Seventy-nine percent of those someone else and receiving wages from them. It is also a mode who are currently studying full-time think the areas of their of occupation for entrepreneurs and business owners/co-owners current studies are highly related to what they have studied in who employ other people. The government has been keen on polytechnics. Another 18 percent of them think it is moderately promoting entrepreneurship among youths in order to invigorate related (Figure 3-19). This clearly demonstrates that polytechnic the local economies and employment and to reduce youth graduates are studying further for higher or additional unemployment. Only a small proportion (one percent) of the qualifications by building on the technical knowledge and graduates, however, are found to be self-employed26. This ratio is skills that they have acquired through trainings at polytechnics. lower than among graduates of short-term (six-month) technical Further study and training beyond polytechnic are, for most of training programs, of whom around four percent were found to polytechnic graduates, not an opportunity for a career change be self-employed after six months of completion of the training27. 79% 76% 18% 17% 3% 2% 1% 1% 1% 1% 0.1% Very Somewhat Not so Engineeting, Computer Textile, Natural Others Design, Education, Business & related related related Civil works, Science Germents, Science Graphic Teaching Management Architecture Glass and Design Ceramics Source: Polytechnic Tracer Study 2016 Figure 3-19: Areas of further education and training among polytechnic graduates 26 Due to the small number of incidence of self-employment in the sample, the findings of this self-employment section may be biased and need to be interpreted with caution. 27 According to World Bank. (2014). How Does the Short-Term Training Program Contribute to Skills Development in Bangladesh?: A Trader Study of the Short-Term Training Graduates. Washington D.C. 48 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 66. In terms of the mode of self-employment, the majority areas of training at polytechnics (Figure 3-23). This shows that of self-employed graduates start out their own business, education and training at polytechnics are probably technically while others join business operations that were established capable to train and prepare students for self-employment and by others, typically by other family members. Sixty-seven entrepreneurship if students are willing to do so and can identify percent of the self-employed reported having set up their own business opportunities. businesses, while the remaining 33 percent reported having joined self-employment business operations that are already 67% established by family members or other individuals (Figure 63% 3-20). Those who start up their own business typically do so without any partners – three quarters of them are found to have started up their business on their own. The areas of business are quite diverse, and the most common business areas include 39% (1) wholesale, retail trade, and repair of motor vehicles; (2) manufacturing; and (3) construction. 18% 3% Ways to Because I Because Because I could Because I The area engage in self- saw good business I always not find a good was invited wanted employment by my of my business is employment opportuni- to start a partner well related business ties business to my training at polytechnic 33% 67% Source: Polytechnic Tracer Study 2016 Joined a business started Opened up my own by family or others business Figure 3-21: Motivation regarding self-employment among polytechnic graduates Source: Polytechnic Tracer Study 2016 Figure 3-20: Ways to engage in self-employment business operations among polytechnic graduates 68. On average, self-employed graduates appear to be earning more income than wage-employed ones, but they are also running much higher risks – one of the main 67. Identification of business opportunity and aspiration discouragements against self-employment. The average for entrepreneurship are the drivers of self-employment; monthly personal income (not business revenue) for self- and skills acquired from polytechnics are put to work for employed graduates was found to be around BDT17,000, which self-employed businesses. Sixty-seven percent of those who is around 57% higher than the average current salary of wage- started up their businesses did so because they saw good employed graduates. However, self-employment incomes vary business opportunities, while 39 percent of them did so because much more widely. Average variation from the mean value (i.e., they always had an aspiration of becoming an entrepreneur standard deviation) is nearly three times larger for self-employed someday (Figure 3-21). Those who turned to self-employment graduates. In the income distribution, there are around 13 because of failing to find good employment are rather minority percent of self-employed graduates who are making BDT30,000 – only 18 percent of those who started businesses did so or more per month; however, it is nearly impossible for wage- because they could not find good employment. Again, this earning graduates to make that much income. At the other end of confirms the earlier finding about the lack of interchangeability the spectrum, there are some self-employed graduates who are between wage employment and self-employment job options making zero or less than BDT5,000 of income per month (see in for polytechnic graduates. Furthermore, among those who next page Figure 3-22). Such high-risk nature of self-employment are in self-employment, more than half (63 percent) of them is probably one of the main reasons for the unpopularity of self- are doing business in the areas which are well related to their employment among polytechnic graduates. The World Bank | 49 CHAPTER 3: LABOR MARKET OUTCOMES OF POLYTECHNIC GRADUATES 45% 40% Self-employed 3.6 JOB SEARCH STRATEGIES 35% Wage employed 70. As is frequently the case in the Bangladesh society, 30% 25% informal personal networks play a vital role in the job search 20% activities of polytechnic graduates. Figure 3-24 shows the 15% kinds of job information channels that the employed graduates 10% relied on in order to find the job they are working for now. Half 5% of them found the current job through their personal networks of 0% family and relatives, friends, and other relations. This approach 0 5,000 or less 5,001- 9,999 10,000- 11,999 12,000- 13,999 14,000- 15,999 16,000- 17,999 18,000- 19,999 20,000- 29,999 30,000 or more would include cases such as getting informal referrals to potential employers, getting employed by companies or divisions BDT managed by family friends, finding posts in companies where Source: Polytechnic Tracer Study 2016 one’s friends are also working, etc. Looking for job opportunities Figure 3-22: Distribution of monthly income for self-employed through the web of personal and family connections appears to and wage employed graduates be the surest way for polytechnic graduates to actually land on a job. The most common approaches for job application is to 69. The lack of access to financial resources is often cited respond to vacancies advertised on the print media and internet. as one of the challenges for entrepreneurs in Bangladesh, About 80 percent of the polytechnic graduates who have looked and this seems to be the case for polytechnic graduate for jobs have experiences of applying for job vacancies posted on entrepreneurs as well. Almost no one has received external newspapers or internet websites. Job opportunities advertised funding from anywhere when starting up their businesses (Figure publicly are open for everyone and competitive, and success 3-23). It is not immediately clear whether the graduates have rates of such applications may not be high. Around 40 percent of attempted borrowing money from any lending institutions or the employed graduates found jobs through media or internet solicited investment from investors as more than half of the self- advertisement. It is also noteworthy to take note of the role employed graduates say that they did not need external funding of internet for job search. Considering its low-cost nature and to start their business. However, it seems clear from the fact that flexibility, recruitment through internet may well become another no one borrows or receives external funding that those small main method of recruitment in near future. self-employment businesses owned by polytechnic graduates are generally out of reach of the banking system and investment 14% 4% 4% 2% Public Through Employment Job fair funding both from the supply and demand sides. advertisement the school services and (internet) others 41% No, for other reasons Type of Type of occupation occupation 21% 37% 1% 27% 9% 16% 25% Public Personal Personal Personal No, we could finance No, because our Yes advertisement network network network all the investment business does need (media) (others) (friend) (family) with our won money much funding Source: Polytechnic Tracer Study 2016 Note: These are methods through which graduates have managed to find a job. Source: Polytechnic Tracer Study 2016 Figure 3-23: Whether or not business start-ups among Figure 3-24: Methods of finding employment among graduates received external funding employed polytechnic graduates 50 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H companies that tend to be more female-friendly workplaces. One 71. Female graduates tend to rely more on school support distinctive difference is the role of polytechnic institutions. While as well as on informal personal networks for job search. very few of male graduates land on jobs through the institution’s Informal personal networks seem to play even a larger role support, a substantial proportion (13 percent) of female for female graduates, accounting for 57 percent of successful graduates do so. Since job opportunities for females are limited job hunting cases (Figure 3-25). This may be a result of general in technical fields, polytechnics may be making extra efforts to concerns of their families about the safety of their daughters. secure job openings for their graduates through establishing They would want to see them employed by someone whom they networks with interested employers. know. Public advertisement on newspapers, on the other hand, account for a far smaller proportion (eight percent) of successful 72. Graduates who found jobs through informal personal job placement for female graduates. It is probably rare for networks tend to start with lower starting salaries than peers technician jobs for females, which are not that many to start with, who got employed through public advertisements. For both to be advertised on newspapers. The internet job postings are genders finding jobs through applying job vacancies on public probably more associated with job opportunities in ICT related advertisement seems to be linked with higher starting salaries (Figure 3-26). The difference is statistically significant and seems quite substantial as discussed earlier. Fiercer competitions and chances of vetting candidates in the open selection process 3% Public ad. (Internet) Through the school in public job advertisements would probably give employers 13% 49% greater confidence about the skills of recruits, hence giving them Public ad. (Internet) higher starting salaries. 15% Public ad. (media) 49% 8% Public Advertisement Information network 9,765 8,686 Personal networks Personal networks (family & friends) (family & friends) 57% 9,832 8,844 49% 8,545 7,284 Male Female Source: Polytechnic Tracer Study 2016 Source: Polytechnic Tracer Study 2016 Figure 3-25: Methods of finding employment for polytechnic Figure 3-26: Starting salaries of polytechnic graduates by graduates, by gender means of finding the job (in BDT) The World Bank | 51 Chapter 4 EMPLOYERS’ PERSPECTIVES ON POLYTECHNICS AND POLYTECHNIC GRADUATES 73. How do employers view the level of training at polytechnics and what are their expectations for polytechnics and their graduates? To improve the employability of trainees and skills matching with market needs would require extensive communication and collaboration between training providers and employers, which has proven to be a challenging issue. This chapter discusses employment and skills of polytechnic graduates and training services of polytechnics from the perspective of their employers. It should be noted here that employers’ feedbacks on graduates may have some upward selection bias. It is reasonable to think that those who are employed are systematically better skilled than those who are not, and hence employers’ assessment of them do not necessarily reflect the overall skills quality of polytechnic graduates. 4.1 CHARACTERISTICS OF EMPLOYERS’ HIRING POLYTECHNIC GRADUATES 74. Employers of polytechnic graduates are more concentrated towards five main industries, namely Manufacturing, Construction, Education, ICT, and Electricity & Air Conditioning. The industries of the employers of polytechnic graduates are described in Figure 4-1. Manufacturing accounts for around a quarter of employers of polytechnics, while in the overall economy 30 percent of all the workers are engaged in the manufacturing sector28. Entities of Construction, ICT, and Electricity & AC industries are hugely overrepresented among the employers of polytechnic graduates; these industries respectively accounted for only 0.2 percent, 0.4 percent, and 0.2 percent of all the workers in the economy as of 2013. Within the entities in the manufacturing sector, textile industry and ready-made garment (RMG) industry account for by far the largest share, together accounting for more than a third (37 percent) of the manufacturer employers. This high share of garment industry reflects the trend in the economy as a while where a little over 50 percent of manufacturing jobs are in the garment sector. Furthermore, the majority of the employers of polytechnic 28 According to the Economic Census 2013, published by Bangladesh Bureau of Statistics (BBS). 52 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H Manufacturing Textiles 24% 23% Wearing Others apparel 30% (RMG) 13% Construction 13% Computer, electronics 9% Other manufacturing 24% Wholesale, retail, repair of motorcycle 4% Real estate 5% Machinery and equipment 2% Computer, electronics 7% Education 12% Basic metals 2% Electricity, gas, AC 7% Rubber and plastics 2% Chemicals 2% Food products 4% Tobacco 2% ICT 7% Paper 2% Furniture 4% Source: Polytechnic Tracer Study 2016 Note: n=200 Figure 4-1: Industries of employers of polytechnic graduates graduates appear to be in the formal sector. As much as 93 7.9 7.7 7.4 7.2 6.8 6.7 percent of them claim to have an official registration number from the government. 4.2 SKILLS PERFORMANCE OF General acdemic knowledge Communications skills Practical technical skills Problem solving skills Theoretical knowledge of technology Work atitude POLYTECHNIC GRADUATES 75. Graduates of polytechnics seem to be seen by employers as having good work attitude and strong practical technical skills, while somewhat weaker in communication skills. The Source: Polytechnic Tracer Study 2016 survey asked the employers of polytechnic graduates to rate Note: the averages of responses rating in 10 point scale in each category of skills where 10 stands for very strong and 1 means very weak; n=200 the strength of polytechnic graduates in different skills areas. As shown in Figure 4-2, work attitude is rated most favorably as a Figure 4-2: Employers’ assessment of level of strength of strength of polytechnic graduates, followed by practical technical polytechnic graduates in different skill sets The World Bank | 53 CHAPTER 4: EMPLOYERS’ PERSPECTIVES ON POLYTECHNICS AND POLYTECHNIC GRADUATES skills which is rated almost equally high. Meanwhile, it appears employers are keen to see polytechnics teach and train students that theoretical knowledge is seen as less of a strength of with teaching methodologies that can nurture creative problem- polytechnic graduates. This high rating of practical skills relative solving skills. Many employers (more than 70 percent) also want to theoretical ones is rather contrary to our expectation and also to see strengthening of training for use of ICT as well as practical can be taken as a positive sign especially since overemphasis/ technical skills. Communication skill is also seen by many overreliance on theoretical trainings instead of practical ones employers as a skill area needing more strengthening probably at polytechnics and other TVET institutions have often been because they also see it as one of the weaknesses of polytechnic singled out as a major challenge for the skills development students. sector. It might be the case that, thanks to deliberate efforts at various levels for enhanced practical trainings, the situation may have improved gradually at some of the polytechnics, and 4.3 MOTIVATION OF HIRING students are now graduating with more practical knowledge and skills. Problem-solving skills are also rated relatively high. POLYTECHNIC GRADUATES Communication skills seem to be generally seen as a weakness 77. Demonstrated technical skills are deemed the most of polytechnic graduates. important quality that employers seek when hiring junior 76. Employers want polytechnics to take steps to strengthen staff, followed by education qualifications such as academic trainings on problem-solving skills, along with ICT skills degrees and technical degrees. Employers of polytechnic and practical technical skills. Nearly all of the interviewed graduates were asked about how much they pay attention to employers (over 80 percent) think polytechnics should enhance different characteristics and qualifications of candidates when training on problem-solving skills (Figure 4-3). Problem- solving making decisions about hiring young new staff (Figure 4-4). skills are essential especially for professionals who have to Rather surprisingly, soft skills (communication skills, etc.) – deal with and deliver solutions to complex technical problems often considered to be one of the key factors that characterize and business challenges. Given today’s accelerated pace of high-performing workers – are not given as much importance technological changes and integration in globalized business as technical skills and education qualifications. Employers environment, high-level cognitive skills such as this will in business areas where polytechnic graduates are typically continue to be in high demand. The survey responses show that employed seem to want to hire, first and foremost, technically sound workers, even if they may have to compromise on soft skill aspects. 82% 72% 71% 67% 61% Demonstrated technical skills 45% 31% 51% Academic degree 43% 32% 33% Technical diploma 33% 35% Prior work 30% 37% experience Academic GPA 24% 37% Problem solving skills Use of ICT Practical technical skills Communication skills Theoretical knowledge of technology English skills Numeracy skills Soft skills 22% 33% Recommendation 4% 11% by someone Recommendation 2% 14% Very important by school Moderately important Source: Polytechnic Tracer Study 2016 Note: n=200 Source: Polytechnic Tracer Study 2016 Note: n=200 Figure 4-3: Employers’ view on skills in which polytechnics Figure 4-4: Level of importance of various factors in hiring should train their students more young new staff 54 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 4.6 4.6 78. Recruitment of skillful technical and professional staff seem to pose a big challenge for many employers 3.9 3.4 3.2 in technically oriented business areas – the gap that 3.0 2.7 polytechnics could do more to fill. When asked to rate the degree of various challenges, employers, on average, rated recruitment of skillful technicians and professionals as one of the most pressing problems for their companies, and seem to see it almost equally challenging as the notorious traffic system and conditions of Bangladesh Traffic system & condition Recruitment of skillful technical/ professional staff Recruitment of capable management staff Electricity availability/quality Recruitment of worker/labour staff Government regulation Telecommunication service quality and considerably more problematic than the issue of quality of electricity which is often cited as discouraging investments in the country (Figure 4-5). Recruitment of capable management staff is rated somewhat less difficult, and recruitment of worker or laborer level staff is rated even less problematic. It is evident that, at least among Source: Polytechnic Tracer Study 2016 employers in business areas where polytechnic graduates Note: The averages of responses rating in 10 point scale in each category of challenges where 10 stands for a very big problem and 1 is not at all a problem; n=200. are demanded, there still is a great deal of unmet demand for highly skilled technical and professional manpower in Figure 4-5: Degree of difficulties or different problems to the Bangladesh. employers’ business The World Bank | 55 Chapter 5 ANALYSIS ON INSTITUTIONAL CAPACITY OF POLYTECHNICS 79. The study obtained institutional information from the sampled polytechnics and interviewed the principals of polytechnics to probe the current situations surrounding job placement and teaching and learning at the institution level. This chapter provides the findings from the institution-level information covering job placement services, industry collaboration, and teaching force. 5.1 JOB PLACEMENT SERVICES 80. Most of the surveyed polytechnics have job placement cells. No significant difference between public and private polytechnics is observed. This is a sea change from the traditional view about the role of polytechnics’ services for students where it was restricted to the provision of training services. Having established a job placement cell does not automatically mean that polytechnics are now able to provide adequate and effective job placement services. As discussed in the chapter of graduates, only around 36 percent of graduates reported having benefited from job placement services of their polytechnic. Considering that most of the polytechnics have only recently begun to provide job placement services, there still is a plenty of room for improvement and strengthening until polytechnics have come to establish fully operational job placement cells. Most of the polytechnics seem to have started a journey towards that direction. 81. Students are not yet fully aware of job placement support service by their institutions; private polytechnics are far more active in helping students in their job search. Figure 5-2 shows the ratios of graduates who were supported by job placement services in polytechnics, and also reasons for not availing themselves of the services in case they did not receive support. Clearly, private polytechnics are taking the job placement services much more seriously. Sixty-three percent of private polytechnic graduates reported having received the service from their institutions. The situation is quite the contrary in public polytechnics where only a little less than a quarter of graduate said they benefited from the service. This should not come as surprising as private entities would naturally have more stakes in ensuring the best possible employment outcomes for their students. It should 56 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H 63% 84% 36% 35% 40% Yes 23% 11% 12% 16% Private Polytechnic Public Polytechnic Total Was not available I didn’t know it was available or not Was available, but I didn’t take it Was available only to some No Share of students Reasons of not Source: Polytechnic Tracer Study 2016 who received any job receiving job Note: n=200 placement support placement support Figure 5-1: Existence of job placement cells among sampled from polytechnic polytechnics Source: Polytechnic Tracer Study 2016 Note: n=25 also be noted that among those who did not benefit from job Figure 5-2: Share of students who received placement placement services, as much as 40 percent did not know whether support and reasons for not receiving it or not their institutions had any job placement services available for students. It is more than possible that some of them simply arrangement of polytechnics. On the other hand, another missed out on the available opportunities without knowing it. important and more institution-based job placement support 82. Many polytechnics are yet to start full-fledged job such as employment partnership and organizing seminars placement services; the most common types of job or fairs appears yet to be fully implemented. Only a handful placement services offered by the polytechnics are of students reported having used this service. Again, private individual-based. Figure 5-3 presents the types of job polytechnics seem to be more frequently offering those costly placement support services available to students based on the employment services. For instance, 60 percent of the surveyed polytechnics’ responses and students’ responses. Most widely private polytechnics conduct job fairs while only 27 percent of the available services include career counseling and teachers’ public ones do so. Sixty percent of the private polytechnics claim advisory services, both of which are individual-level counseling to have preferential employment partnership with industries services in principle. These services are relatively of low-cost whereas 33 percent of the public institutions have said they have nature and readily implementable within the existing operational such partnership. 84% 88% 76% 75% 65% 40% 40% 44% 42% 33% 9% Career seminar Job fair Employment partnership Teacher’s individual support Career counceling Share vacancy information Employment partnership Share vacancy information Job fair Advice on job search skills Career counceling Source: Polytechnic Tracer Study 2016 Note: Among institutions that reported having job placement services, and among graduates who have utilized job placement services; n=25 for institutions’ responses. Figure 5-3: Types of job placement services provided to students The World Bank | 57 CHAPTER 5: ANALYSIS ON INSTITUTIONAL CAPACITY OF POLYTECHNICS 83. Providing job opportunity information to students is the status of employment. Tracking students after graduation is one of the commonly performed functions of job placement a costly undertaking, though extremely important as an element services by polytechnics; however, the sources of job for job placement service and point of contact with employers. information are yet to be systematically exploited. Regarding As discussed earlier, after being controlled for other variables, the main channel through which they gather information related graduates from institutions that undertake graduates tracking to job opportunity information for students, 60 percent of the are significantly more likely to find employment. For private polytechnics have said that they rely on personal networks of institutions, there might be obvious and compelling reasons head teachers and teachers (Figure 5-4). Such informal personal to want to follow up on graduates as they need to be able to networks would allow them to tap into less competitive insider advertise their high performance in graduate employment. Eighty job vacancy information; however, as a downside, there would percent of the private polytechnics reported conducting some be a limitation on how extensively polytechnics would be able form of tracking on graduates. to capture job opportunity information. Obtaining vacancy information from partner industries seems to be another 80% common way to consolidate job opportunity information for 60% students. If polytechnics are to enrich their job placement 47% services, gathering and supplying extensive and timely job opportunity information are essential. Polytechnics may well consider establishing more systematic approaches to collecting job opportunity information from industries. Public Private Total Source: Polytechnic Tracer Study 2016 Note: n=25 Figure 5-5: Proportions of polytechnics that track graduates’ employment status Job opportunities 5.2 INDUSTRY COLLABORATION 85. Needless to say, successful partnerships between polytechnics and industries are essential for assurance of quality and relevance of teaching. Nonetheless, despite repeated calls for stronger ties between the two, industry and institution 60% 8% 8% 24% collaboration has been less than satisfactory in many cases. This section looks into the extent and types of industry partnership Through Through official Through Through personal advertisement on alumni partner among the sampled polytechnics. network of newspaper etc. industries 86. Most of the polytechnics claim to have some industry principal & teachers partnership while private polytechnics largely outperform public polytechnics. As much as 72 percent of the surveyed Source: Polytechnic Tracer Study 2016 polytechnics have reported that they have some form of industry Note: n=25 partnership that is on-going (Figure 5-6). Industry partnership Figure 5-4: How job opportunity information is usually has been one of the priority intervention areas for development collected from industries projects in TVET, which should explain part of this outcome. Private polytechnics appear keener on maintaining partnership with industries as nearly all (90 percent) of them claim to have 84. Polytechnics are performing some sort of tracking of industry partners. Public polytechnics are lagging behind as the their graduates – an important element for effective job share drops to only 60 percent. Private polytechnics also tend placement service; the private polytechnics are far more to have more industry partners. More than half of the sampled likely to be doing it. Job placement services do not end with private polytechnics have said they have more than 11 industry students graduating from the institution. Ideally, polytechnics partners, while more than half of the public polytechnics have should follow up on graduates after they left the institution to see reported having fewer than five industry partners. Another 58 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H interesting tendency is that the principals’ industry experience 94% 78% 83% tends to have more industry partnership among the sampled polytechnics. These tendencies are not significant in strictly statistical terms as the number of institutions sampled is very small, but nevertheless they make logical sense and may offer 33% some clue for further investigation. 17% 90% 81% 72% Curriculum revision Industry exposure for teachers Apprenticeship Guest lecturer Workplace visit 56% 60% Source: Polytechnic Tracer Study 2016 Note: n=25 Figure 5-7: Types of industry partnership that polytechnics Yes No Public Private Total have Principal’s Industry Ownership experience Source: Polytechnic Tracer Study 2016 88. There is a large room for increasing the communication Note: n=25 between polytechnics and employers as only a small Figure 5-6: Proportion of polytechnics that have industry proportion of the employers of polytechnic graduates have partnerships regular contact and communication with polytechnics. A little less than one fifth of the surveyed employers reported keeping regular contacts and communication with polytechnic 87. Most of the outputs from industry partnership are institutions (Figure 5-8). Those who do have regular contacts concentrated around the provision of additional training and communication with polytechnics are doing so to discuss services for students, while industry involvement in curriculum design and teacher training is limited. When 82% asked about types of activities that take place under industry 75% partnership, three main activities have been highlighted, namely 54% 56% 46% conducting apprenticeship, inviting as guest lecturers, and 38% 35% workplace visits (Figure 5-7). These are valuable opportunities 24% 19% for students to gain much-needed exposure to practical skills 11% and the world of real work that bridge gaps between classroom Yes No Recruitment Professional/personal relationship with teacher Inquiry from teachers Industry attachment Guest lecturers Curriculum review Have regular contacts Don’t have regular contacts and workplace. Almost all of the sampled polytechnics that have industry partners have reported they conduct workplace visits under the industry partnership. Around 80 percent of them have said they conduct apprenticeship and invite industry people as guest lecturers. While much of the engagement of industry partners are concentrated around these activities, their engagement in more substantial areas of teaching that would have more lasting impacts on the quality of training may be still limited. Industries have little involvement in curriculum Having Nature and purposes of Livelihood revision as well as in provision of industry exposure opportunity regular communications of hiring contacts polytechnic for teacher training purpose. These should be strengthened. It with graduates should be noted, however, that the scope of institution-level polytechnic industry collaboration for curriculum revisions is inherently Source: Polytechnic Tracer Study 2016 limited as curriculum is tightly regulated centrally by BTEB. This Note: Based on employers’ responses; n=200 may change in future if the country embraces competency-based Figure 5-8: Level and type of communication between curriculum and greater academic autonomy for institutions. employers and polytechnics The World Bank | 59 CHAPTER 5: ANALYSIS ON INSTITUTIONAL CAPACITY OF POLYTECHNICS recruitment arrangements, maintain personal and professional 70% individual-level relationship with polytechnic teachers, or 60% answer inquiries from teachers on technology issues. Industry attachment is another communication channel for employers to keep in touch with polytechnics. Direct involvement in training 24% 22% delivery through guest lecturers or curriculum review are, 8% 8% however, rather uncommon. Judging from the strong demand 4% 4% for highly skilled workers, employers seem to have a good Diploma Bachelor Masters Doctor General University Engineering/ Technical University TTC/TTTI Others reason to look to polytechnics as a source of supply of skills to fill those positions in their company. The survey result indicates that employers who have regular contacts with polytechnics are significantly more likely to want to hire polytechnic graduates. Communication with polytechnics is strongly correlated with employers’ self-rated probability of hiring polytechnic graduates in the next three years. Intentions do not always get translated Highest educaltion qualification Degree obtained from into action; yet it seems reasonable to say that employers who have regular contacts with polytechnics are significantly more Source: Polytechnic Tracer Study 2016 Note: n=25 likely to be willing to hire polytechnic graduates. Polytechnics may be able to strengthen their students’ employment prospects Figure 5-9: Education qualifications of polytechnic head by expanding various networks with employers and keeping teachers them in contact regularly. That would likely contribute to reducing information gap in the labor market and promoting government appointment for public polytechnics. Longer head optimal labor matching between demanded skills and teacher tenures would lead to more stable leadership, and may polytechnic graduates. have some advantages in terms of planning and implementing institutional reforms and improvement activities. 90. The majority of head teachers possess at least a few 5.3 CAPACITY OF TEACHING years of industry experience. Having work experiences in STAFF industries is likely to be one of the strong assets for polytechnic head teachers who have to keep on good terms with industry 5.3.1 Head Teachers’ Qualifications stakeholders around the neighborhood. Around 64 percent of head teachers have work experience in industries for both 89. The majority of polytechnic head teachers are Master’s public and private polytechnics. Their level of industry exposure degree holders with degrees obtained from engineering and may have been of limited scope as around 62 percent of those technical universities. Among the head teachers of the sampled with industry experience have three or fewer years of work polytechnics, 60 percent are found to have Master’s degree experience – most likely only up to novice or junior technician (Figure 5-9). Having a Master’s degree is one of the requirements levels. Some 32 percent of those with industry experience for the promotion to head teachers today. Around a third of the have substantial industry work experience of six years or more. head teachers have either Bachelor’s degree or only Diploma. Seventy percent of the head teachers with Bachelor’s degree or 64% higher degrees have received the degree from engineering and technical universities, and around 22 percent did so from general 36% universities. There seem to be no significant differences in the 31% 31% education qualification of head teachers between the sampled 19% 13% public and private polytechnics. The average age of head 6% teachers of the sampled polytechnics, equally for public and private schools, is around 52 with the average years of teaching Yes No 1 2-3 4-5 6-10 11-15 experience of around 25 years. After becoming a head teacher, Industry Years of industry experience those in private polytechnics tend to continue serving the same experience institution for a much longer period of time. This is most likely Source: Polytechnic Tracer Study 2016 because of the differences in human resource management Note: n=25 policies between the two. Private polytechnics have a near Figure 5-10: Industry experience and years of industry autonomy in appointing head teachers, while it is up to the experience among polytechnic head teachers 60 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H However limited, industry work experience seems to come 93. The majority of public polytechnic teachers and half of with some good leverages. As we will discuss in the subsequent private polytechnic teachers have no work experience in section, polytechnics with head teachers with industry work relevant industries, pointing to the need for strengthening experience are more likely to have industry partners. Moreover, industry exposure for teachers. Overall, only around a third of the proportion of those who have industry work experience is polytechnic teachers have work experience in relevant industries twice as high for head teachers as teachers. (Figure 5-12). There appears to be a notable gap between public and private polytechnics. Teachers in public polytechnics are far 5.3.2 Teachers’ Qualifications less likely to have industry work experience than private ones. However, even at private polytechnics more than half of the 91. Teachers’ education qualification is one of the direct teachers have no industry work experience. Practical experience contributor that decides the level of knowledge to be transferred gained in industries before joining the teaching force would from teachers to students. Evidences show that there are strong compensate their low education qualification, and knowledge correlations between the teachers’ level of understanding about from industry experience would certainly boost the relevance the subject and students’ academic performance. of their teaching. Given unattractive compensation packages of 92. On average, only about a quarter of teachers possess polytechnic teachers, hiring teachers with industry experience Master’s degree, while around a third have only Diploma may not always be an option. Training polytechnic teachers degree, indicating the urgent need for enhancing through industry exposure at industry partners would certainly teachers’ qualifications through continuous professional be beneficial. development. Diploma degree is what polytechnic students would earn upon completion. Teachers with only Diploma 43% 34% degree are probably those who turned to the teaching profession 26% soon after completing the polytechnic. In order to ensure adequate breadth and depth in knowledge being taught, teachers should ideally have qualifications that are higher than the degrees that courses that he/she is teaching would offer to Public Private Total students in the end. From that perspective, it is a worrying sign that a substantial proportion of polytechnic teachers have only Source: Polytechnic Tracer Study 2016 Note: n=1,452 (all teachers in the 25 sampled polytechnics) Diploma degree. This seems to be particularly the case for private Figure 5-12: Share of teachers with work experience in polytechnics. As much as 41 percent of teachers in the sampled industries private polytechnics – those considered as better ones among private polytechnics – hold Diploma degree only as opposed to 28 percent of public polytechnic teachers. In addition, the 94. Overall, a large portion of teachers in polytechnics seem share of teachers with Master’s degree is slightly lower for private not yet adequately experienced in teaching. Notably, as much polytechnics. For both public and private polytechnics, around as a third of the teaching force in the sampled polytechnics are 40 percent of teachers have Bachelor’s degree. As discussed found to have a teaching experience of less than two years (see in earlier, private polytechnics tend to have lower student teacher next page Figure 5-13). Furthermore, 64 percent of teachers have ratios (i.e. fewer numbers of students per teacher) which should five or fewer years of teaching experience. There is a distinctive be a blessing for students; unfortunately, however, those private gap between the public and private polytechnics. Teachers in polytechnic teachers seem to be less qualified as far as education private polytechnics have considerably fewer years of teaching qualifications are concerned. experience. The average years of teaching is found to be four years for private polytechnics and 11 years for public ones. Nearly 43% 41% 38% 41% half of the teachers in the sampled private polytechnics have only 28% 28% 34% one or two years of teaching experience. To be fair, the history of 21% 25% private polytechnics in Bangladesh is not nearly as old as that of 0.8% 0.5% public polytechnics, establishment of some of which date back 0.1% to the Pakistan era, and teachers in the private polytechnics Public Private Total are found to be generally young (the average ages of teachers Diploma Bachelor Masters Doctor are around 37 and 30 for the sampled public and private Source: Polytechnic Tracer Study 2016 polytechnics, respectively). Smaller student-teacher ratio and Note: n=1,452 (all the teachers in the 25 sampled polytechnics) greater industry experience that private polytechnics enjoy may Figure 5-11: Education qualification of polytechnic teachers counteract some of the negative impact; however, it is evident The World Bank | 61 CHAPTER 5: ANALYSIS ON INSTITUTIONAL CAPACITY OF POLYTECHNICS 46% 39% 34% 30% 27% 22% 21% 19% 10% 11% 12% 7% 7% 7% 4% 3% 0% 0% 1-2 3-5 6-10 11-20 21-30 31-40+ Public Private Total Source: Polytechnic Tracer Study 2016 Note: n=1,452 (all the teachers in the 25 sampled polytechnics) Figure 5-13: Years of teaching experience among polytechnic teachers by ownership of institution that private polytechnics require special attention in terms of have taken part in the training over the past three years while promoting and ensuring the quality of teaching staff. 87 percent of public polytechnic teachers have done so. More attention should be given to ensuring equal opportunity for 95. The majority of polytechnic teachers have had at least female teachers and teachers in private polytechnics. some opportunities of in-service teacher training in the past three years; however, private polytechnic teachers 84% 77% 74% and female teachers are lagging behind. It is found that 62% 59% overall around 74 percent of teachers have participated in at least one in-service training over the past three years (Figure 5-14). This result would appear as better than expected for many stakeholders since teachers in polytechnics had long been deprived of training opportunities. Intensive efforts of the government and development partners in providing trainings to polytechnic teachers seem to have paid off to some extent in Male Female Public Private Total this regard. However, benefits of teacher training seem to have Gender Ownership been distributed somewhat unequally. Female teachers are less likely to have participated in in-service training in the past three years compared to their male peers (62 percent for female Source: Polytechnic Tracer Study 2016 Note: n=1,452 (all the teachers in the 25 sampled polytechnics) teachers as opposed to 77 percent for male teachers). Teachers in private polytechnics are also at a disadvantage when it comes Figure 5-14: Share of teachers who have participated in in- to participation in in-service trainings as only 59 percent of them service training in the past three years 62 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H Box 3: Building bigger and better teaching forces in polytechnics Teacher shortage was a long-standing concern in the polytechnic system in Bangladesh. To address the issue, STEP has provided a total of 1,173 contract teachers to polytechnics to enhance the quality of teaching. As a result, the vacancy ratio of polytechnic teachers shrunk dramatically from 71 percent to 2 percent in public polytechnics. This also enabled public polytechnics to start a second shift to take in more students to cope with growing demands for enrollment. As a result, student-teacher ratio in the surveyed polytechnics was found to be high at 37 students per teacher on average, and 45 students per teacher in public polytechnics. Improving the teaching and management capacity of polytechnic teachers would be the key to high quality teaching under such a challenging school environment. To enhance the capacity of polytechnic teachers, STEP has taken an initiative to introduce teacher training programs both in-country and overseas. STEP provided pedagogical training, subject-based training, and management training to over 2,000 polytechnic teachers by 2016. STEP also forged an international partnership with a leading polytechnic institute in Singapore (Nanyang Polytechnic) to provide high quality training and international exposure to polytechnic teachers. By the end of the project, STEP plans to train over 1,500 polytechnic teachers and managers under this partnership. Source: Polytechnic Tracer Study 2016; STEP Semi-annual Progress Report, January-June 2016 The World Bank | 63 Chapter 6 CONCLUSION AND RECOMMENDATIONS 96. Overall, it can be said that technical and vocational education at polytechnics is serving meritorious secondary graduates from lower income families in rural areas as a valuable pathway for socio-economic mobility by providing the technical skills needed for employment in industry and service sectors in urban zones. Most of the students in polytechnics are found to be graduates of lower secondary education up to Grade 10 (SSCs) with the terminal examination score of A or above. At the same time, nearly 70 percent of them, especially male students, are coming from families in rural areas and have parents who are often undereducated. For these families, their children studying at polytechnics in urban centers may well represent a hard-earned pathway to more labor-productive and higher income urban-based modern industry and service sectors in a country where only around six percent of the population have higher secondary education qualification or above29. 97. Students’ and graduates’ levels of satisfaction over the quality and relevance of polytechnic education and training is generally high. Students and graduates responded quite positively about the relevance of training contents and quality of technical skills trainings at polytechnics. The fact that the responses from graduates, who would be more aware of requirements of the real world of work, are consistent with the students’ positive views suggests that training programs at polytechnics are indeed meeting the basic technical skills demand of industries, at least at the foundational levels. Employers’ opinion also corroborates this. Practical technical skills are found to be one of the areas that employers of polytechnic graduates value highly. 98. At the same time, more efforts are urgently needed in modernizing facilities and equipment of polytechnics, updating teachers’ technical skills, nurturing soft skills such as communication skills and problem-solving skills, and strengthening ICT skills for work. Conditions of facilities and equipment at polytechnics are seen as least satisfactory by both students and graduates. Teachers’ technical skills are also rated less satisfactory. 29 According to Bangladesh Bureau of Statistics. (2011). Report on Labour Force Survey 2010. Dhaka. Around 5.6 percent of the population aged 5 years or above in Bangladesh have higher secondary certificate or above. Among the rural population, the figure goes even further down to 3.8 percent. 64 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H Despite the generally positive responses towards the quality and remain jobless even after two years of graduation. Two years of relevance of training programs, students and graduates seem to unemployment would render whatever skills they learned in see weaknesses in the institutions’ capacity of training delivery. polytechnics outdated and rusted. Furthermore, unemployment Polytechnics are often deprived of investment in modern is significantly more common among graduates who went back equipment and tools for training in spite of the rapid evolution to rural areas where jobs that require technical skills are fewer. and advancement of technologies in today’s industries. Many 100. Female polytechnic graduates are faring far worse of the polytechnic teachers are also severely underinvested in than their male peers in job placement outcomes. The terms of continuous professional development and exposures government’s efforts to increase the number of female to the latest technologies. Employers also want to see more enrollment in TVET has so far resulted in a steady increase in improvement in practical skills of polytechnic graduates. MoE the share of females in polytechnics; however, the employment should continue its efforts towards upgrading the infrastructure status of female polytechnic graduates seems to offer no for polytechnics, expanding training and industry exposure comfort. Around 40 percent of female polytechnic graduates experience for teachers, and incorporating a greater range of remain unemployed after one or two years of graduation, which practical skills training. Soft skills such as communication skills is considerably higher than among male graduates (23 percent). and problem-solving skills are seen by students and employers Male and female graduates are equally likely to look for work, as another area for improvement in polytechnic training. The but would face completely different job prospects. The share nature of today’s technical works increasingly requires workers to of wage-employed graduates is only 30 percent, eight percent be team workers, efficient communicators, and active problem- below that of male graduates, while the share of those in further solvers. In addition to traditional technology-focused subjects, studies is also substantially lower for females. This would be polytechnics should also teach students some basic soft skills extremely discouraging for girls who might consider taking that would make them more productive workers. MoE should technical training for their post-secondary education, and betray enhance the quantity and quality of soft skills training at TVET the image of technical training as a quicker way to employment. institutions. To make matters worse, job options for female graduates appear 99. After completing polytechnics, graduates would have to be rather limited compared to males as around a third of to face daunting employment prospects as job search wage-employed female graduates found jobs in education and performance among polytechnic graduates has been training institutions, which is three times higher than among considerably below expectation. Only about a third of the wage-employed males. Female students are also more likely polytechnic graduates would land a full-time or part-time to rely on informal personal and family networks and on the job within two years of graduation. It would be far below the institutions for job search. They are far less likely to find jobs expectation of polytechnic students who chose to enroll in through open advertisements than their male counterparts. In polytechnics with the hope that technical diploma qualification this sense, not only they are less likely to find jobs within more will help them find good jobs in future. Apparently technical limited options, but also their job searches are more likely to diploma certificate would not be adequate in many cases to be subject to pure chances in terms of how reliable their family find the kind of jobs that polytechnic graduates are typically network is or how capable their institution is of supporting them. looking for. As a result, slightly less than a quarter of polytechnic 101. Once stuck in unemployment, prolonged joblessness graduates would straight move on to further education and seems to haunt many of the polytechnic graduates. This training without first trying to find jobs. Even among those who is an extremely worrying sign. It appears to be indicating a have successfully secured wage employment, just about half challenging scenario that Bangladesh is about to encounter of them did so through informal personal and family networks by producing a generation of unemployed educated youths. which allow them to avoid direct competition with other Even after spending one and two years after completing applicants for the job. As such, job search would be an uphill polytechnics, around 29 percent and 21 percent of graduates battle especially for students who have no or few reliable family still remain unemployed, respectively, while the share of networks in urban areas where most of technical jobs exist. employed graduates remains constant, indicating that many As a consequence, around 20 percent of the graduates would of the unemployed graduates have shifted to further education The World Bank | 65 CHAPTER 6: CONCLUSION AND RECOMMENDATIONS and training in the meantime. Most of them are not unemployed polytechnic students in term of available job options, it also because of job changes. Among those who are unemployed makes the role of polytechnics unique and distinct as a supplier after two years, around 75 percent have remained jobless for of skills for industries. This would only strengthen the case for more than one year. Such prolonged unemployment would furthering the partnership between polytechnics and industries make youth lose hope in job search and degrade their hard- and integrating industries’ demands in training programs in more earned skills, which would make their chance of finding jobs substantive manners. even slimmer. However, they seem less willing to explore 103. Among the employed, female polytechnic graduates different occupations or lower paying jobs that do not meet are at a disadvantage relative to their male peers in terms their expectations. Also, the idea of going into self-employment of qualify of employment. There are stark gender differences seems to have fallen off their mind. The main perceived reason among polytechnic graduates over the entire range of for their remaining unemployed is a shortage of good jobs in employment conditions and entitlements, including stability of their localities, and they seem to remain confident about their contract, wage level, and wage increases. Female graduates are technical skills. As graduates of post-secondary education, they more likely to be put on less secure contracts, including part-time seem to maintain certain high expectations about the kinds of and contractual employment rather than full-time permanent work they would do and the levels of income they would accept. employment. Wages are also suppressed for female graduates. Many of them also reported they would consider pursuing further Female polytechnic graduates are on average earning only 75 to education and training to improve the chance of employment, 80 percent of income of male polytechnic graduates of the same which would further stretch out the period of their de facto age without controlling occupations. Female graduates tend to unemployment and would create greater financial pressure on start their career with lower wages than males, and their wage their families. Many of the unemployed polytechnic graduates increase tends to remain more sluggish in subsequent years. seem to be deep in limbo where their hard-earned education This is by no means limited to polytechnic graduates, and is a qualifications are not leading to jobs that they thought they prevailing feature of the Bangladeshi labor market30. However, would be eligible for, but they are yet to be willing to compromise if remunerations are to be based on the principle of merit and on their expectations. individuals’ work performance, highly trained female workers 102. For those who are fortunate enough to be wage- with sound technical skills should be remunerated more equally employed, the majority are working as technical staff as highly trained male workers. Discrimination against females’ in private enterprises of varying sizes in a wide range of technical skills would not only discourage female graduates in industries, particularly in manufacturing and construction workplace performance but also send secondary school students businesses. If polytechnic graduates manage to land and their families a strong negative signal that skills training for themselves wage jobs, they seem to be working in positions females will not be worthwhile investments. that are suitable for polytechnic graduates (i.e. technicians, 104. Self-employment as an alternative strategy for engineers, and professionals). They typically start their career employment have yet to prove to be a viable option for as assistant engineer/technician and move up the ladder. In polytechnic graduates. Advocates of TVET often claim this sense, polytechnic institutions are successfully supplying that technical skills would open up a new possibility of self- skilled professionals to fill intended positions in the labor market. employment for unemployed youth. While this success story Manufacturing businesses absorb the highest share (around 30 does come true for some of the technical training graduates, percent) of wage-employed polytechnic graduates, followed by as far as polytechnic students are concerned, the likelihood construction enterprises. There are the growing industry sectors of becoming self-employed appears to be minimal. Only one in Bangladesh economy today. Polytechnics are demonstrably percent of the graduates are found to be self-employed. Even a valuable supply source of technical skills needed in such among the unemployed, only a handful are considering going booming industries. Firms in ICT business – another emerging into self-employment as an alternate option. What makes industry in service sector – are also employing a good share of self-employment unviable for polytechnic students are not polytechnic graduates, both male and female. It is noteworthy immediately clear; however, one reason would be a lack of that most of the employment for polytechnic graduates are access to capital. Almost none of the self-employed graduates found in private for-profit enterprises while employment in public had received funding from external sources, including finance entities are rare. While this is undoubtedly a disadvantage for 30 According to Ahmed, S., & Maitra, P. (2010). Gender Wage Discrimination in Rural and Urban Labour Markets of Bangladesh. Oxford Development Studies, 38(1), 83–112, the authors conduct decomposition analysis of gender wage gaps in urban and rural labor markets in Bangladesh using labor force survey 2000, and find that wage gaps are larger in urban areas and many of the gaps are attributable to gender discrimination against women after controlling for other factors. 66 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H from relatives. Another plausible reason would be a lack of relevance of training and ultimately, the job market outcomes of business skills among polytechnic graduates. Polytechnic graduates. curriculums do have a course on entrepreneurship; however, 107. 1: Place graduates’ employment firmly and squarely it does not seem to be imparting adequate practical skills for at the center of efforts for improvement of the polytechnic building and managing businesses. system. First and foremost, employment prospects of 105. A third of the polytechnic graduates move on to enroll polytechnic graduates need to be improved if polytechnics are in other education institutions, typically universities and to continue to be a meaningful career pathway for students. faculties of engineering to pursue higher-level qualifications; The employment- centered approach would encompass the an engineering diploma from polytechnics may not be an entire spectrum of polytechnic system’s actions, including adequate qualification for some industries. Completion of governance structure, institutional planning, monitoring and the four-year diploma course at polytechnics makes graduates evaluation, curriculum design, teacher management, industry eligible to apply for universities. It is evident from the finding linkage, teaching facility and equipment, and job placement that a substantial proportion of polytechnic students are using services; and should gear them strategically towards achieving polytechnic education as a stepping stone towards admission better employment outcomes. The current poor employment in universities. Around a quarter of the graduates did not performance, if left unaddressed, may pose a serious, even engage themselves in job search and moved straight to the existential, threat to the polytechnic system. The fact that more next academic career. One of the common coping strategies for than 75 percent of graduates did look for jobs and the current unemployed graduates is to pursue additional education and students have expressed high expectation about the relevance training opportunities. It is also noteworthy that the majority of of diploma degree to jobs indicates that students are coming to the ‘employed’ polytechnic graduates are considering obtaining polytechnics with a hope that the technical diploma would land higher education degrees in technical and engineering fields. them worthy jobs after successful completion. However, as this Taken together, it seems to indicate that polytechnic diploma report has discussed, nearly 60 percent of graduates would end is no longer seen by many as terminal qualification for many up in either unemployment or having to continue with higher technical professionals. Rather, be it for job search or for education. Polytechnics cannot afford to continue producing career promotion, modern industries in Bangladesh today are unsatisfied graduates, and needless to say, joblessness takes increasingly demanding their technical staff to have higher a heavy toll on individuals and the system alike. Unemployed education degrees in relevant technical fields. Whether such trained youths are human capital gone wasted and harmful pressure for higher qualifications is stemming from excessive to the economic growth as well as individuals’ wellbeing labor market competition (i.e. oversupply or mismatch of skills) and quality of life. The polytechnic system needs to be more or from technological advances is not immediately clear. What thoroughly committed to making its training relevant to the is clear is the fact that around a third of the polytechnic students industry needs and being more accountable to the employment will move ahead with higher education after graduation, and outcomes of its students. career guidance at polytechnics would need to take account of 108. 2: Give greater emphasis on higher-order cognitive the entire ranges of options available to students, including not skills and soft skills training such as problem-solving skills only job market but also possible higher education options most and communication skills in pedagogy and curriculum in suitable for students’ aspirations and capacity. polytechnics; embracing fully competency-based training should be a priority to pave the way for a more flexible demand-driven curriculum. More and more employers in 6.1 RECOMMENDATIONS different industries in Bangladesh are coming to view the soft skills of employees as a critical asset for the productivity of their 106. This study has generated much insights and evidences workplace and see that Bangladeshi youth are in general not that shed lights on the strength and weaknesses of well prepared in soft skills31. This survey also found that soft skills polytechnic education in relation to graduates’ skills are one of the areas that employers want to see improved. It is acquisition and employment. Based on those, this final section recommended that the Board and polytechnics introduce in their discusses and sets forth 10 recommended policy alternatives curriculum special training programs specifically with an aim to and educational strategies which would enhance the quality and 31 Enterprise-based skills survey by the World Bank (2013) shows that three non-cognitive skills (responsibility, communication, and problem solving) are ranked by employers as most important skill sets for professional workers and are also associated with the largest shortfalls in actual skills levels of employees. The paper also shows that employers value non-cognitive skills more than cognitive ones. The World Bank | 67 CHAPTER 6: CONCLUSION AND RECOMMENDATIONS impart essential soft skills to students (e.g. communication, team known to be extremely useful to ensure the relevance of training work, problem solving, critical thinking, etc.). To respond to the programs. Furthermore, industry partners are also potential skills needs of industries, it would be beneficial if Bangladesh’s employers. As found in this survey, establishing and maintaining polytechnic system fully embraces the competency-based regular communication channels with them would likely training model. The BTEB has introduced National Technical contribute to enhancing the chances of polytechnic graduates and Vocation Qualification Framework (NTVQF), but the finding jobs with those employers. implementation has been lagging. Steady transition to NTVQF- 111. 5: Expand and improve job placement support services based training courses up to the diploma level should be one of to students at the institution level. Under the STEP, most of the the high priority agenda for Bangladeshi TVET system. participating polytechnics have introduced employment cells or 109. 3: Invest more to upgrade the technical and teaching career support centers in their institutions that are responsible skills of teachers as well as equipment and facilities. for supporting students through the job search process. However, These are areas where students and graduates are least they are still at a nascent stage, and still obscure in terms of satisfied with and where employers would like to see more their role and presence. It is found that most of the services improvement. Improvement of employment outcomes cannot provided so far have been counseling and advisories. While be accomplished without ensuring the quality and relevance of those will undoubtedly benefit students, more systematic and education and training imparted in polytechnics. Partnership institution-based support services are yet to take root in many with industries may well play a role in increasing the opportunity of the polytechnics. For instance, institution-wide actions such for teachers to have industry exposure to the latest technologies. as organization of job fairs and career seminars, partnering with This becomes even more important when the majority of industries for preferential job placement, and establishment of teacher do not possess working experience in industries as alumni networks are still not frequently done, but would have a found in this survey. Teacher vacancies are a critical issue that substantive impact on raising institutions’ capacity to support need to be resolved with utmost urgency. Teacher training for students. Moving forward, polytechnic institutions should polytechnic teachers, both pre-service and in-service, should be emphasize on how they can institutionalize employment cells strengthened to improve their pedagogical skills. TVET teacher and job placement support services at the institution level. In training policies as well as roles of Technical Teacher Training particular, public polytechnic institutions have a lot of work to College (TTTC) have to be reviewed. More financial resources do. from the government are apparently needed to modernize 112. 6: Strengthen graduate tracking programs at the facilities and equipment to keep up with the basic requirements institutional level to support more systematic and active job of modern industries. To diversify sources of financing, MoE placement support. Tracing the whereabouts and job status and polytechnics should consider possibilities of ‘revenue of former students is essential for designing and implementing generation’ as part of the activities of polytechnics through the functional high-quality job placement support strategies provision of life-long training and skills assessment to workers for polytechnics. Proper identification and analysis of the in their localities. Special attention should be paid to soft skills employment pattern and history of past graduates would offer training. More than ever before, in the face of rapidly evolving valuable clues as to what the best strategies might be for the technologies and globalized business operations, the success future graduates. At present, job placement services offered at of technical experts is defined by the mastery of soft skills that polytechnics are not adequately based on evidences due to the allow them to work effectively and deliver solutions. A new lack of systematic collection of employment data from previous curriculum can be developed and implemented to introduce soft cohorts of graduates. Employment cells should introduce and skills development programs in polytechnics. institutionalize a graduate tracking mechanism. Already some of 110. 4: Further strengthen partnership with industry in the private polytechnics have such a system in place where staff an effort to improve the quality of education and promote in charge of the employment cell maintains and update regularly graduates’ employment. Repeated recommendations have a database of graduates and their current status mainly through been made countless times about the importance of forging contacting them over phone periodically. strong partnership with industries. This report also finds 113. 7: Institutionalize periodic tracking surveys of yet another evidence of weak industry collaboration and polytechnic graduates at a national level by Directorate of engagement. Most of polytechnics have only a small number Technical Education. Many countries have established periodic of partners, and some do not even have a single partner. Most graduate tracking programs for their TVET and higher education of the employers, despite having hired polytechnic graduates systems. The central skills development agency has a critical role before, do not have any regular communication, let alone formal in ensuring the availability of relevant public knowledge about partnership, with polytechnics. Industry partnerships are widely how skills training rendered by TVET institutions are benefiting 68 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H the labor market. To do this, it is essential that updated systemic as well as lack of practical knowledge and skills needed to be an data are available that demonstrate how graduates of TVET entrepreneur and manage business operations. Expanding self- are faring in the labor market and how employers are viewing employment and entrepreneurship is certainly one of the ways the skills of TVET graduates. This study was a pilot in this to achieve greater job creation and a vibrant economy through sense which provided a snapshot of graduates’ employment skills development. A range of skills and know-how are useful for outcomes, and should be continued under the MoE. Conducting potential entrepreneurs, including skills such as how to identify periodic graduate follow-up surveys and establishing a graduate business opportunities, raise funds, market your services, and database should be part of the regular task of DTE. Information manage accounts, etc. These skills would be of significant values obtained through the follow-up surveys would be the evidence not only for graduates who would start up businesses soon after base for designing of courses and strategizing job placement graduation but also for those who may become entrepreneurs services. Tracking can be done in different ways with different after gaining some years of work experience. Current programs cost implications. Detailed efforts made in this study are one for entrepreneurship at polytechnics are not so conducive or of the costly ways; however, such detailed data collection does practical. DTE/BTEB, working with the partners, should develop needs to be done on a regular basis. Cost-effective methods such and implement practical entrepreneurship training programs for as telephone survey or email survey should be explored as the polytechnic students. way to establish a sustainable and regular graduate follow-up 116. 10: Further strengthen the evidence-base in TVET mechanism. to drive evidence-based discussion and policy making 114. 8: Forge stronger ties with industry communities who towards more and better employment. This study has would accept female technical specialists and technicians answered many questions; however, there are still a lot of to boost job outcomes for female graduates. While male evidence gaps to be filled. Knowledge about teaching practices graduates struggle with job search, female graduates are and teacher competencies at public and private polytechnics bearing the full brunt of unfriendly job market environment. The are generally lacking. It would be necessary to conduct disappointing state of female graduates’ job placement that comparative analysis with employment opportunities and this survey found call for tailored and targeted interventions skills segments for graduates from other types of institutions to uplift the employment outcomes of female students. Given such as general academic stream, colleges, and universities. the differences in job search strategies between male and More in-depth analysis on types of skills that employers are female students, job placement support for female students seeking from technicians and engineers would also be essential may well be somewhat different from that for male students. for future efforts to improve employment outcomes. A much Female students are more likely to find jobs through networks better understanding of the skills demand and influencing (i.e. through personal and institutional references to potential factors is needed to analyze the reasons for high graduate employers). Polytechnics have a bigger role to play to refer their unemployment despite the persistent claim of skills shortage female students to companies which are receptive to the hiring in industries. Job markets are often imperfect, and knowledge of female technical workers. More companies need to be brought on job market frictions and ways to alleviate them would be into partnership with polytechnics for finding posts for female extremely useful. Insight into career progression and mid- graduates. career training opportunities for professionals, engineers and technicians would be crucial to design suitable training 115. 9: Provide special training programs on programs for upskilling needs and mid-career trainings. Moving entrepreneurship and business management to encourage forward, further investigations in the TVET sector are warranted entrepreneurship for polytechnic students. Without a doubt, to build a stronger evidence-base to steer policy discussions starting a business is not for everyone. Nonetheless, the near to the improvement of polytechnic education and graduates’ absence of self-employment among polytechnic graduates is employment outcomes. indicative of the lack of appetite for running one’s own business The World Bank | 69 REFERENCE Asian Development Bank. (2016). Bangladesh: Consolidating Export-led Growth - Country Diagnostic Study. Manila. Asian Development Bank. (2017). Tracer Study on Technical and Vocational Education Graduates’ Employment in Sri Lanka. Colombo. Bangladesh Bureau of Educational Information and Statistics. (2015). Bangladesh Education Statistics 2015. Dhaka: Ministry of Education. Bangladesh Bureau of Educational Information and Statistics. (2016). 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(2007). 2006 Baseline Study of India’s Industrial Training Institutes: Institutional Performance and Employment of ITI Graduates. 70 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H World Bank. (2010). Project Appraisal Document on a Proposed Credit for a Skills and Training Enhancement Project. Washington, D.C. World Bank. (2013). An Assessment of Skills in the Formal Sector Labor Market in Bangladesh: A Technical Report on the Enterprise-Based Skills Survey 2012. Washington, D.C. World Bank. (2013). Bangladesh Education Sector Review: Seeding Fertile Ground: Education That Works for Bangladesh. Washington, D.C.: The World Bank. World Bank. (2014). How Does the Short-Term Training Program Contribute to Skills Development in Bangladesh?: A Trader Study of the Short-Term Training Graduates. Dhaka, Bangladesh. World Bank. (2015). Project Paper on a Proposed Additional Credit for the Skills and Training Enhancement Project. Washington, D.C. The World Bank | 71 ANNEX ANNEX 1: SURVEY METHODS This annex illustrates details of survey methods and activities that were undertaken by the study team and research firm. 1. Questionnaire Preparation and Translation The English version of the questionnaires were provided by the study team, and translated into Bangla by the research firm as an aid to the CAPI based questionnaires. 2. Training of Field Team A 4-day workshop for the field teams was held in October 2015 in Dhaka. All the members of the research team including quality controllers, field supervisors and field investigators participated in the training program. The training program was designed to train the field team for the pilot survey with the finalized questionnaires and CAPI devices. This classroom training and the contents of the training covered a wide range of topics including a thorough review of the Questionnaires and CAPI devices. Upon completion of training, selected field enumerators were deployed for the pilot survey. After completing the pilot survey during 13-18 October 2015, another 2 days de-briefing program was arranged. This two-day training was spent in discussing the feedbacks on the pilot survey and interviews, reviewing respondent selection methods, questionnaires and screener, CAPI devices, discussing corrective measures for the problems identified during the pilot interview and responsibilities of the Field Investigators and their Supervisors. 3. Pilot Survey The main objective of the pilot survey was to test the field forces’ cognition of the survey and use of instruments as well as to get practical experience with the questionnaires of different modules, CAPI methodology and respondents’ reaction. The pilot survey was conducted in 2 Divisions: Dhaka and Chittagong. 72 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H Fifteen field teams, each consisting of 4 members went to the 5 4. Field Work assigned institutions to conduct pilot interviews during 13-18 The main field survey was conducted from 14 February to 28 October, 2015. The interviewers conducted face-to-face interview March 2016. All 25 institutes were distributed among 15 field individually, and all categories of questionnaires were tested on teams. Teams were assigned to cover at least one institution as CAPI devices. A total of 244 pilot interviews were completed. per the table below. Team No. Institution Work Started Work Ended Team-1 Bogra Polytechnic Institute 14-Feb-16 28-Mar-16 Team-2 Kurigram Polytechnic Institute 15-Feb-16 3-Apr-16 National Polytechnic Institute, Dhaka Team-3 Chittagong Polytechnic Institute 14-Feb-16 28-Mar-16 Institute Of Computer Science And Technology, Feni Team-4 Patuakhali Polytechnic Institute 14-Feb-16 31-Mar-16 Satkhira Polytechnic Institute Team-5 Feni Polytechnic Institute 15-Feb-16 31-Mar-16 Saic Institute of Management and Technology Team-6 Rajshahi Polytechnic Institute 14-Feb-16 7-Apr-16 Bangladesh Polytechnic Institute, Rajshahi Team-7 Sylhet Polytechnic Institute 14-Feb-16 28-Mar-16 Team-8 Dinajpur Polytechnic Institute 15-Feb-16 3-Apr-16 Institute of Science, Trade and Technology Team-9 Kushtia Polytechnic Institute 14-Feb-16 30-Mar-16 Jhenidha Polytechnic Institute Team-10 Rajshahi Mohila Polytechnic Institute 15-Feb-16 3-Apr-16 Shyamoli Ideal Polytechnic Institute, Dhaka Team-11 National Polytechnic Institute Faridpur 15-Feb-16 3-Apr-16 National Polytechnic Institute Dhaka Team-12 Khanjahan Ali College Of Science and Technology, Khulna 15-Feb-16 5-Apr-16 Saic Institute of Management and Technology Team-13 Tmss Technical Institute, Bogra 14-Feb-16 7-Apr-16 Narsingdi Polytechnic Institute Team-14 Shyamoli Ideal Polytechnic Institute, Chittagong 15-Feb-16 30-Mar-16 Institute of Science, Trade and Technology Team-15 Brahmanbaria Polytechnic Institute 15-Feb-16 3-Apr-16 Dhaka Polytechnic Institute The World Bank | 73 ANNEX A comprehensive approach was applied for the data collection. Graduate Tracking Record GPS coordinates were collected from the tablet devices to Surveyors were to approach 2,000 graduates in the selected confirm the locations of interviews taking place. The field technologies in the sampled 25 institutions. The samples were supervisors were deployed to monitor the entire process and divided up for two different year cohorts of 2013 and 2014. A total validate the gathered data. of 11,874 students had graduated from the selected technologies Summary of Changes in the years of 2013 and 2014. Among those graduates, polytechnics were able to produce the contact information of During the field survey, some adjustments were found to be a total of 8,605 graduates for the survey. Based on the list of necessary in the selection of technologies for graduates because contact information, the survey team attempted to establish of the inadequacy of available graduates. Adjustments were contacts with randomly picked 5,343 graduates, out of whom necessary especially for private institutions, which tend to have 2,000 graduates were successfully interviewed. a fewer numbers of graduates. Adjustments were made in a way that would minimize discrepancy with the original sampling design. The adjustments made are summarized below. Sampling 2014 2013 Total Cohort Cohort weights were re-calculated taking account of the adjustments. 1 Total No. of 6,165 5,709 11,874 - Bogra Polytechnic Institute, Bogra: 2013 batch of Refrigeration Graduates and Air-conditioning Technology didn’t have enough graduates. 2 No. of Graduates in 4,428 4,177 8,605 Replaced by Power Technology. the List provided - Feni Polytechnic Institute, Feni: 2013 and 2014 batch of 3 No. of Graduates 2,703 2,640 5,343 Attempted to Architecture and Interior Design Technology course didn’t have Contact enough graduate students because of low student intake. 4 Successful 1,000 1,000 2,000 Replaced by Power Technology. Interviews - Bangladesh Polytechnic Institute, Rajshahi: 2013 batch of Mechanical Technology didn’t have enough graduate students. 5. Data Processing and Quality Control Replaced by Civil Technology. All the data were collected by using the CAPI devices with 3G - Institute of Science, Trade, Technology, Dhaka: Electronics connectivity to the internet. Entered data were synchronized into Technology didn’t have enough graduates. Replaced by Textile the CAPI server automatically upon the completion of interview Technology. sessions. The data stored on the CAPI server immediately - Shyamoli Ideal Polytechnic Institute, Dhaka: Marine Technology became accessible to all the Supervisors. replaced by Automobile Technology due to inadequate Rigorous quality control procedures were employed throughout graduates. the field work period to ensure the quality of the data. For - National Polytechnic Institute, Dhaka: Mechanical checking the consistency of data, the dependent questions were Technology didn’t have enough graduates. Replaced by separately analyzed to see if there was any inconsistent data. Telecommunication Technology. Supervisors were required to check the data consistency before approving the entered questionnaires, and continuously checked - Khanjahan Ali College of Science and Technology, Khulna: the questionnaires on the CAPI server. When any errors were Marine Technology and Mechanical Technology didn’t have found, they rejected the questionnaire and informed the field enough graduates. Replaced with Textile Technology and teams to resolve the errors. In case of inconsistency or omission Garments Design and Pattern Making. of information, the field team followed up with respondents over - TMSS Technical Institute, Bogra: Electrical Technology didn’t telephone to check the accuracy of the provided information. have enough current students. Supplemented with students of The Quality Controllers then re-checked about 30% of the Electronics Technology. approved questionnaires. 74 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H ANNEX 2: MULTI-STAGE SAMPLING AND WEIGHT CALCULATION 1. Selection of 25 Polytechnics applied with weights being equivalent to the number of students enrolled in the previous semester. The numbers of polytechnics Among the 93 polytechnics under STEP support, one polytechnic selected from each group are: 10 polytechnics selected from has switched to a bachelor degree-offering institution, and thus among the group (1), and 5 polytechnics selected from each of is excluded from the sample. The 92 polytechnics are divided into the group (2), (3), and (4). Table 1 below shows the list of 92 STEP four groups; namely (1) public with Institutional Development supported polytechnics which is the sample frame of primary Grant (IDG), (2) public without IDG, (3) private with IDG, and (4) sampling unit for this study. Table 2 below shows the result of the private without IDG. Twenty-five polytechnics are randomly selection of 25 polytechnics selected through weighted random selected from the 92 polytechnics. Weighted random selection is selection. Table 1: List of 92 STEP Supported Polytechnics (Sample Frame) Inst ID Name of Polytechnics Ownership Intake last Stratification semester Category (Probability Weight) 46027 Grassroots College Of Technology Private 157 Pri-IDG 70047 National Institute of Technology Private 278 Pri-IDG 23104 Bangladesh Polytechnic Institute Private 341 Pri-IDG 20092 Bangladesh Institute Of Information Technology Private 410 Pri-IDG 50116 Saic Institute Of Management And Technology Private 447 Pri-IDG 50051 Institute of Science, Trade and Technology Private 476 Pri-IDG 46028 National Polytechnic Institute Private 499 Pri-IDG 70096 Shamoly Ideal Polytechnic Institute Private 598 Pri-IDG 70095 Daffodil Institute Of It-Chittagong Private 32 Pri-NonIDG 23107 The North Polytechnic Institute Private 34 Pri-NonIDG 35050 Khulna Technical And Engineering College Private 38 Pri-NonIDG 46025 Bangladesh Computer And Management Institute Private 45 Pri-NonIDG 20086 Bogra Technological Institute Private 46 Pri-NonIDG 45021 Gopalganj Model Polytechnic Institute Private 46 Pri-NonIDG 61014 Madan Mohan College Private 48 Pri-NonIDG 36005 Sakina Azhar Technical College Private 54 Pri-NonIDG 23119 Puthia Polytechnic Institute Private 57 Pri-NonIDG 50102 Institute Of Science And Information Technology Private 65 Pri-NonIDG 50112 Micro Institute Of Technology Private 76 Pri-NonIDG 30022 Dishari Institute Of Science And Engineering Private 80 Pri-NonIDG 23071 National Science Research And Technology College Private 91 Pri-NonIDG 57068 Mymensingh Institute Of Science And Technology Private 95 Pri-NonIDG 17049 Ulipur Science And Technology Institute Private 96 Pri-NonIDG 67014 Shaymoli Ideal Engineering College Private 105 Pri-NonIDG 20094 Islami Bank Institute Of Technology Private 119 Pri-NonIDG 53042 Royal Institute Of Technology Private 133 Pri-NonIDG 50107 Bci Engineering Institute Private 140 Pri-NonIDG The World Bank | 75 ANNEX Inst ID Name of Polytechnics Ownership Intake last Stratification semester Category (Probability Weight) 16126 Uttara Polytechnic Institute Private 142 Pri-NonIDG 50094 Rajdhani Polytechnic And Textile College Private 149 Pri-NonIDG 25168 Model Polytechnic Institute Private 164 Pri-NonIDG 50077 Ideal Institute Of Science And Technology (IIST) Private 166 Pri-NonIDG 20095 Computer Science And Business Studies Institute Private 169 Pri-NonIDG 48035 National Polytechnic Institute Manikganj Private 201 Pri-NonIDG 68027 Noakhali Ideal Polytechnic Institute Private 208 Pri-NonIDG 70062 Chittagong Technical College Private 227 Pri-NonIDG 42061 Barisal Ideal Polytechnic Institute Private 246 Pri-NonIDG 65055 CCN Polytechnic Institute Private 247 Pri-NonIDG 29022 Mir Samsul Islam Polytechnic Institute Private 257 Pri-NonIDG 20093 North-Bengle Institute Of Technology Private 270 Pri-NonIDG 20097 Tmss Technical Institute Private 288 Pri-NonIDG 20096 Institute Of Information Technology Bogra Private 339 Pri-NonIDG 33157 City Polytechnic Institute Private 359 Pri-NonIDG 54050 Haji Abul Hossain Institute Of Technology Private 363 Pri-NonIDG 35049 Khanjahan Ali College Of Science And Technology Private 369 Pri-NonIDG 69016 Institute Of Computer Science And Technology Private 385 Pri-NonIDG 53033 Model Institute Of Science And Technology Private 434 Pri-NonIDG 35066 Mangrove Institute Of Science And Technology Private 435 Pri-NonIDG 42044 Infra Polytechnic Institute Private 624 Pri-NonIDG 50099 Shyamoli Ideal Polytechnic Institute Private 681 Pri-NonIDG 51020 Bangladesh Institute of Marine Technology Public 90 Pub-IDG 70061 Chittagong Mohila Polytechnic Institute Public 154 Pub-IDG 50087 Graphic Arts Institute Public 172 Pub-IDG 35064 Khulna Mohila Polytechnic Institute Public 244 Pub-IDG 23117 Rajshahi Mohila Polytechnic Institute Public 322 Pub-IDG 50088 Mohila Polytechnic Institute Public 340 Pub-IDG 52041 Narsingdi Polytechnic Institute Public 360 Pub-IDG 63010 Habiganj Polytechnic Institute Public 370 Pub-IDG 54049 Tangail Polytechnic Institute Public 444 Pub-IDG 46026 Faridpur Polytechnic Institute Public 517 Pub-IDG 13085 Dinajpur Polytechnic Institute Public 536 Pub-IDG 27040 Kushtia Polytechnic Institute Public 538 Pub-IDG 69015 Feni Polytechnic Institute Public 539 Pub-IDG 33053 Jessore Polytechnic Institute Public 631 Pub-IDG 65054 Comilla Polytechnic Institute Public 640 Pub-IDG 23105 Rajshahi Polytechnic Institute Public 689 Pub-IDG 42045 Barisal Polytechnic Institute Public 703 Pub-IDG 76 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H Inst ID Name of Polytechnics Ownership Intake last Stratification semester Category (Probability Weight) 61016 Sylhet Polytechnic Institute Public 706 Pub-IDG 26062 Pabna Polytechnic Institute Public 726 Pub-IDG 16058 Rangpur Polytechnic Institute Public 728 Pub-IDG 20099 Bogra Polytechnic Institute Public 795 Pub-IDG 57067 Mymensingh Polytechnic Institute Public 835 Pub-IDG 35048 Khulna Polytechnic Institute Public 895 Pub-IDG 70048 Chittagong Polytechnic Institute Public 912 Pub-IDG 50117 Dhaka Polytechnic Institute Public 1436 Pub-IDG 65056 Bangladesh Survey Institute Public 90 Pub-NonIDG 50003 Bangladesh Institute of Glass & Ceramics Public 238 Pub-NonIDG 64024 Brahmanbaria Polytechnic Institute Public 316 Pub-NonIDG 40029 Bhola Polytechnic Institute Public 321 Pub-NonIDG 45015 Gopalganj Polytechnic Institute Public 326 Pub-NonIDG 43014 Shariyatpur Polytechnic Institute Public 330 Pub-NonIDG 56018 Sherpur Polytechnic Institute Public 335 Pub-NonIDG 21064 Naogaon Polytechnic Institute Public 339 Pub-NonIDG 34048 Satkhira Polytechnic Institute Public 342 Pub-NonIDG 67016 Lakshmipur Polytechnic Institute Public 343 Pub-NonIDG 74009 Cox's Bazar Polytechnic Institute Public 343 Pub-NonIDG 30023 Jhenidha Polytechnic Institute Public 345 Pub-NonIDG 66035 Chandpur Polytechnic Institute Public 346 Pub-NonIDG 25064 Sirajganj Polytechnic Institute Public 351 Pub-NonIDG 12053 Thakurgaon Polytechnic Institute Public 353 Pub-NonIDG 72007 Bangladesh-Sweden Polytechnic Institute Public 353 Pub-NonIDG 17057 Kurigram Polytechnic Institute Public 363 Pub-NonIDG 39051 Patuakhali Polytechnic Institute Public 429 Pub-NonIDG Table 2: Selected 25 STEP Supported Polytechnics Inst ID Name of Polytechnics Ownership Intake last Stratification semester Category 23104 Bangladesh Polytechnic Institute Private 341 Pri-IDG 50116 Saic Institute Of Management And Technology Private 447 Pri-IDG 50051 Institute of Science, Trade and Technology Private 476 Pri-IDG 46028 National Polytechnic Institute Private 499 Pri-IDG 70096 Shamoly Ideal Polytechnic Institute Private 598 Pri-IDG 48035 National Polytechnic Institute Manikganj Private 201 Pri-NonIDG 20097 Tmss Technical Institute Private 288 Pri-NonIDG 35049 Khanjahan Ali College Of Science And Technology Private 369 Pri-NonIDG The World Bank | 77 ANNEX Inst ID Name of Polytechnics Ownership Intake last Stratification semester Category 69016 Institute Of Computer Science And Technology Private 385 Pri-NonIDG 50099 Shyamoli Ideal Polytechnic Institute Private 681 Pri-NonIDG 23117 Rajshahi Mohila Polytechnic Institute Public 322 Pub-IDG 52041 Narsingdi Polytechnic Institute Public 360 Pub-IDG 13085 Dinajpur Polytechnic Institute Public 536 Pub-IDG 27040 Kushtia Polytechnic Institute Public 538 Pub-IDG 69015 Feni Polytechnic Institute Public 539 Pub-IDG 23105 Rajshahi Polytechnic Institute Public 689 Pub-IDG 61016 Sylhet Polytechnic Institute Public 706 Pub-IDG 20099 Bogra Polytechnic Institute Public 795 Pub-IDG 70048 Chittagong Polytechnic Institute Public 912 Pub-IDG 50117 Dhaka Polytechnic Institute Public 1436 Pub-IDG 64024 Brahmanbaria Polytechnic Institute Public 316 Pub-NonIDG 34048 Satkhira Polytechnic Institute Public 342 Pub-NonIDG 30023 Jhenidha Polytechnic Institute Public 345 Pub-NonIDG 17057 Kurigram Polytechnic Institute Public 363 Pub-NonIDG 39051 Patuakhali Polytechnic Institute Public 429 Pub-NonIDG 2. Selection of Technologies in the 25 Technologies in the sampled 25 polytechnics are then grouped Polytechnics by the polytechnics group and the technology category. From each sub-group, technologies are sampled as a Secondary Technologies are divided into 5 technology categories: (1) Sampling Unit. The numbers of technologies sampled in each Architecture and Civil; (2) ICT; (3) Electrical and Electronics; sub-group are proportionate to the number of enrolled students (4) Mechanics, Power, Shipbuilding and RAC; and (5) Others. last semester in respective sub-groups (Table 5). Technologies in the category (5) Others are dropped from the sample as its enrollment are too few. Table 3: Category of Technologies and Enrollment in 25 Polytechnics ID Technology Category Total Enrolled Total Female # of courses last semester Enrolled last offered semester 1 Architecture, construction, civil, survey 3545 568 39 2 ICT, design, graphic 2118 457 30 3 Electrical & Electronics 3634 525 43 4 Mechanics, automobile, marine, shipbuilding, aircraft, 3046 200 41 RAC, Power tech, textile 5 Others (env tech, food tech, ceramic & glass) 570 73 8 78 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H Table 5: Distribution of Technologies in 25 Polys by Polytechnic Group and Technology Category Technology Category 1 Technology Category 1 Technology Category 1 Technology Category 1 Poly Group Course Enroll # of Course Enroll # of Course Enroll # of Course Enroll # of sample sample sample sample Pri-IDG 12 703 6 8 431 5 10 693 5 11 511 5 Pri-NonIDG 8 593 5 7 355 5 9 651 5 7 325 4 Pub-IDG 14 1791 11 10 903 9 18 1771 12 20 1974 13 Pub-NonIDG 5 458 4 5 429 4 6 519 4 3 236 3 Total 39 3545 26 30 2118 23 43 3634 26 41 3046 25 Technologies are randomly selected in each sub-group. The result of the selection is summarized in Table 6 below. Table 6: Technologies Tentatively Selected by Multistage Random Selection for the 25 Polytechnics Polytechnics # of Technologies selected in each tech category Total 1 2 3 4 Pri-IDG 6 5 5 5 21 Bangladesh Polytechnic Institute 2 1 1 4 Institute of Science, Trade and Technology 2 1 1 2 6 National Polytechnic Institute 2 1 2 1 6 Saic Institute Of Management And Technology 2 1 3 Shamoly Ideal Polytechnic Institute 1 1 2 Pri-NonIDG 5 5 5 4 19 Institute Of Computer Science And Technology 1 1 2 Khanjahan Ali College Of Science And Technology 2 1 1 1 5 National Polytechnic Institute Manikganj 1 1 2 Shyamoli Ideal Polytechnic Institute 1 2 3 6 Tmss Technical Institute 1 1 2 4 Pub-IDG 11 9 12 13 45 Bogra Polytechnic Institute 2 1 1 2 6 Chittagong Polytechnic Institute 1 1 1 2 5 Dhaka Polytechnic Institute 1 1 2 1 5 Dinajpur Polytechnic Institute 2 1 1 1 5 Feni Polytechnic Institute 2 1 1 4 Kushtia Polytechnic Institute 1 2 2 5 Narsingdi Polytechnic Institute 1 1 1 3 Rajshahi Mohila Polytechnic Institute 1 1 2 Rajshahi Polytechnic Institute 1 1 1 1 4 Sylhet Polytechnic Institute 1 3 2 6 The World Bank | 79 ANNEX Polytechnics # of Technologies selected in each tech category Total 1 2 3 4 Pub-NonIDG 4 4 4 3 15 Brahmanbaria Polytechnic Institute 1 1 2 Jhenidha Polytechnic Institute 1 1 2 Kurigram Polytechnic Institute 2 1 1 4 Patuakhali Polytechnic Institute 1 1 2 1 5 Satkhira Polytechnic Institute 1 1 2 Total 26 23 26 25 100 3. Weight Calculation The sampling weights are calculated based on the probabilities support category k, and technology category c; and Yjkc refers to of individuals being in the selected polytechnics, selected the total number of technologies exist in the same group among technologies, and selected within the technology. the sampled polytechnics. The weight is calculated as: First, polytechnic weight is calculated as: wti = 1/Ttijkc Pijk = xi / Xjk Finally, individual weight is calculated as: where Pijk refers to the probability of polytechnic i to be sampled Isti = sti/Sti in ownership category j and IDG support category k; and xi refers I_sti refers to the probability of individual s to be sampled in to the intake size of polytechnic i; and xik refers to the combined technology t of polytechnic i. Sti refers to the total number of total intake size of polytechnics in ownership category j and IDG students/graduates in technology t of polytechnic i (in case of support category k. Then, the weight is calculated as an inverse graduates, the combined total number of graduates in 2013 and of the probability: 2014 cohorts), whereas sti refers to the number of individuals wi = 1/Pijk to be sampled in technology t of polytechnic i. The weight is calculated as: Technology weight is then calculated as: ws = 1/Tsti Ttijkc = yjkc /Yjkc Thus, the combined probability weight for student or graduate s Ttijkc refers to the probability of technology t of polytechnic i to of technology t of polytechnic i included in the sample, wsti, can be sampled in the ownership category j, IDG support category be expressed as: k, and technology category c. yijkc refers to the number of technologies to be sampled in the ownership category j, IDG wsti = wi X wti X ws 80 E M P L O Y A B I L I T Y O F P O S T- S E C O N D A R Y T V E T I N B A N G L A D E S H ANNEX 3: DESCRIPTIVE STATISTICS OF THE SAMPLED GRADUATES AND STUDENTS Variable Value Distribution (Weighted) Students Graduates Gender Male 0.85 0.89 Female 0.15 0.11 Technology Architecture 0.02 0.02 Automobile Technology 0.01 0.02 Civil Technology 0.22 0.21 Computer Technology 0.19 0.18 Electrical Technology 0.22 0.18 Electronics Technology 0.08 0.08 Mechanical Technology 0.09 0.09 Power Technology 0.04 0.05 Refrigeration and Air-conditioning 0.04 0.04 Electro-Medical Technology 0.03 0.03 Architecture and Interior Design 0.03 0.02 Construction Technology 0.02 0.01 Garments Design Pattern Making 0.01 0.01 Mechatronics Technology 0.01 0.01 Mining and Mine Survey 0.01 0.01 Telecommunication Technology 0.00 0.00 Textile Technology 0.00 0.03 Management of institution Public 0.56 0.66 Private 0.44 0.34 Year of graduation 2013 - 0.50 2014 - 0.50 Geography of home address Metropolitan 0.08 0.08 Urban/Semi-Urban 0.24 0.28 Rural 0.67 0.63 Geography of current Metropolitan 0.32 0.49 address Urban/Semi-Urban 0.56 0.36 0.12 0.15 The World Bank | 81 ANNEX Variable Value Distribution (Weighted) Students Graduates Division of home address Rajshahi 0.23 0.20 Khulna 0.16 0.18 Dhaka 0.24 0.22 Chittagong 0.19 0.20 Barisal 0.05 0.06 Sylhet 0.02 0.03 Rangpur 0.11 0.11 Division of current address Rajshahi 0.21 0.06 Khulna 0.16 0.10 Dhaka 0.25 0.62 Chittagong 0.17 0.14 Barisal 0.05 0.02 Sylhet 0.07 0.03 0.09 0.03 Number of observations 1,000 2,000 Weighted population size 33,600 41,200 82 World Bank Office Dhaka Plot- E-32, Agargaon, Sher-e-Bangla Nagar, Dhaka-1207 Bangladesh Tel: 880-2-5566-7777 Fax: 880-2-5566-7778 www.worldbank.org/bangladesh