Common use of UK policy drivers Clause in Contracts

UK policy drivers. In 2004, Xxxx Xxxxxx was commissioned by the Chancellor of the Exchequer and England’s Secretary of State for Education and Skills to undertake a review to consider what the UK’s long-term ambition should be for “developing skills in order to maximise economic prosperity, productivity and to improve social justice” (Xxxxxx, 2006, p. 1). In response, the interim report (Xxxxxx, 2006, p.1) (Xxxxxx, 2005) and the final report, published in December 2006 (Xxxxxx, 2006) suggested that, despite some notable improvements in recent years, particularly with regards to employment levels and higher-level skills acquisition, the current productivity and skills levels in the UK lag behind comparator countries. Even if the UK can meet its current ambitious Public Service Agreement (PSA) targets for improving skills, the report suggests that by the year 2020 the UK skills base will still fail to be world class. In order to deliver the necessary step-change in the skills levels of the UK workforce by the year 2020, the report emphasises the need to: • tackle the numbers of low-skilled adults without qualifications, basic literacy and numeracy • invest more in intermediate skills • further increase the proportion of adults holding a degree. It is recommended that all four UK home countries seek to meet targets of: • 95% of adults achieving functional literacy and numeracy • more than 90% of the adult population qualified to at least S/NVQ level 2 • shifting the balance of intermediate skills from S/NVQ level 2 to S/NVQ level 3 • more than 40% of the adult population qualified to S/NVQ level 4 and above. Throughout the report, Xxxxxx (2006) emphasises that more than 70% of what will be the workforce in the year 2020 are already in work; in Scotland this figure is over 80%. On this basis it is essential that adults can access excellent information and guidance, skills training and the development that they need to build sustainable and productive careers. Moreover, there are currently over six million adults in the UK with poor basic skills, approximately half of whom are currently in work. Economic forecasting suggests that by the year 2020 there will be fewer than 600,000 jobs suitable for those with poor levels of literacy or numeracy. (Xxxxxx, 2006, p.5) Xxxxxx invited the devolved administration in Scotland to develop further its own thinking on how to xxxxxx systems that will achieve these shared ambitions. Throughout, one aspect is clear: the system should be reviewed to ensure that all young people and adults gain economically valuable skills, utilising more diverse funding streams and continuing to increase both the quantity and quality of provision. In order for this vision to be realised, the workforce within all constituencies of the lifelong learning sector must perform effectively at all levels. Current education and training policy in England, Wales and Northern Ireland, affecting the core business of most constituencies within the lifelong learning sector, is focused on the delivery of ambitious Public Service Agreements (PSAs) and achieving targets in relation to key indicators. In Scotland, high-level indicators rather than PSAs are used, for example see ‘Life through learning; learning through life: the lifelong learning strategy for Scotland’ (Scottish Executive, 2003). The indicators, shown in table 4.1, broadly divide into two major strands of policy aimed at improving productivity and social inclusion: • improving the educational training attainment of young people • improving the skills levels of adults. The lifelong learning sector and its workforce have a critical role to play in the achievement of these high level indicator targets and in delivering the additional step- change in UK-wide skills levels advocated by Xxxx Xxxxxx (2006). 4.1: High level indicators and targets The European dimension “The ‘knowledge economy’ demands an increasingly highly-skilled, creative and flexible workforce. Change is the only certainty for individuals in today’s labour market, and individuals need to be prepared to manage that change effectively.” Increasing employers’ involvement in skills development

UK policy drivers. In 2004, Xxxx Xxxxxx was commissioned by the Chancellor of the Exchequer and England’s the Secretary of State for Education and Skills to undertake a review to consider what the UK’s long-term ambition should be for “developing skills in order to maximise economic prosperity, productivity and to improve social justice” (Xxxxxx, 2006, p. 1p.1). In response, the interim report (Xxxxxx, 2006, p.1) (Xxxxxx, 2005) and the pivotal final report, published in December 2006 (Xxxxxx, 2006) suggested that, despite some notable improvements in recent years, particularly with regards to employment levels and higher-level skills acquisition, the current productivity and skills levels in the UK lag behind comparator countries. Even if the UK can meet its current ambitious Public Service Agreement (PSA) targets for improving skills, the report suggests that by the year 2020 the UK skills base will still fail to be world class. (Xxxxxx, 2006, p.1) In order to deliver the necessary step-step- change in the skills levels of the UK workforce by the year 2020, the report emphasises the need to: • tackle the numbers of low-skilled adults without qualifications, basic literacy and numeracy • invest more in intermediate skills • further increase the proportion of adults holding a degree. It is recommended that all four UK home countries seek to meet targets of: • 95% of adults achieving functional literacy and numeracy • more than exceeding 90% of the adult population qualified to at least S/NVQ level 2 • shifting the balance of intermediate skills from S/NVQ level 2 to S/NVQ level 3 • more than exceeding 40% of the adult population qualified to S/NVQ level 4 and above. Throughout the report, Xxxxxx (2006) emphasises that more than 70% of what will be the workforce in the year 2020 are already in work; in Scotland this figure is , over 80%% in Scotland. On this basis it is essential that adults can access excellent information and guidance, skills training and the development that they need to build sustainable and productive careers. Moreover, there are currently over six million adults in the UK with poor basic skills, approximately half of whom who are currently in work. Economic forecasting suggests that by the year 2020 there will be fewer less than 600,000 such jobs suitable for those with poor levels of literacy or numeracy. (XxxxxxFor England, 2006, p.5) Xxxxxx suggests a number of structural refinements building on the current system in order to enable the achievement of the outlined targets. The devolved administrations within the other UK home countries are invited the devolved administration in Scotland to develop further its their own thinking on how to xxxxxx develop systems that will to achieve these shared ambitions. Throughout, one aspect is clear: the system should must be reviewed reformed to ensure that all young people and adults gain economically valuable skills, utilising more diverse funding streams and continuing to increase both the quantity and quality of provision. In order for this vision to be realised, the workforce within all constituencies of the lifelong learning sector must perform effectively at all levels. Current education and training policy in England, Wales and Northern Ireland, affecting the core business of most constituencies within the lifelong learning sector, is focused on the delivery of ambitious Public Service Agreements (PSAs) and achieving targets in relation to key indicators. In Scotland, high-level indicators rather than PSAs are used, for example see ‘Life through learning; learning through life: the lifelong learning strategy for Scotland’ (Scottish Executive, 2003). The indicators, shown in table 4.1, broadly divide into two major strands of policy aimed at improving productivity and social inclusion: • improving the educational training attainment of young people • improving the skills levels of adults. The lifelong learning sector and its workforce have a critical role to play in the achievement of these high level indicator targets and in delivering the additional step- change in UK-wide skills levels advocated by Xxxx Xxxxxx (2006). 4.1: High level indicators and targets The European dimension “The ‘knowledge economy’ demands an increasingly highly-skilled, creative and flexible workforce. Change is the only certainty for individuals in today’s labour market, and individuals need to be prepared to manage that change effectively.” Increasing employers’ involvement in skills development