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IDB: Bahamas skills gaps are ‘worrisome’

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Bahamas faces “worrisome” skills imbalances in the construction trades that are contributing to more than two-thirds of work permits being issued “for low skilled jobs”, the Inter-American Development Bank (IDB) has warned.

A paper attached to its $25 million ‘Skills for Current and Future Jobs in the Bahamas’ project loan said the Bahamas Technical and Vocational Institute (BTVI) had seven existing students for each person that graduated in 2015.

And, of the 253 students who graduated in 2014-2015, only 56 - less than 25 per cent - were in the construction industry. And there were no masons among those 56 graduates.

“In terms of quantity, an analysis of BTVI graduates indicates that there is a numbers challenge,” the IDB said. “Compared to enrolment numbers of 1,798 students in BTVI in November 2015, only 253 people graduated in 2014-2015, including 56 in construction.

“Out of these, 30 were in electrical installation, seven were carpenters and six were plumbers. No one graduated with masonry skills. This is worrisome given the number of work permits granted to foreign workers, as between 2012-2014, 24,000 permits were issued, of which more than 16,000 were for low skilled work, including those in construction.”

The IDB report yet again emphasised that the poor educational achievement of many high school leavers continues to undermine productivity and competitiveness in the Bahamian economy, while also contributing to the country’s numerous crime and social challenges.

“Data shows that the education system has over 5,000 school leavers each year, 50 per cent of young people do not graduate high school, and BGCSE success rates remain low, with only 922 of 6,793 candidates (14 per cent) achieving a ‘C’ Grade or above in five BGCSEs, including English and Math,” the IDB document said, referencing the 2014 National Youth Policy report.

“In terms of quality, employers point to the lack of specific skills for the job as the most important recruitment obstacle (34 per cent),” the IDB added.

“Moreover, the recent consultation for the Private Sector Assessment Report (PSAR) for the Bahamas also highlights as one of the main priorities of the private sector the fact that there is an inadequately skilled labour force: Large private employer associations and private businesses maintain there is a lack of skilled workers, and most private sector representatives believe this negatively impacts their business prospects and production.

“According to the latest World Bank Enterprise Survey (2010), 33 per cent of companies surveyed in the Bahamas, (23 per cent of small companies, 40 per cent of medium companies and 50 per cent of larger companies), identify ‘an inadequately educated workforce as a major constraint’ to doing business.”

Referring to the 2012 ‘Wages and Productivity’ survey of the Bahamas, the IDB noted that 34 per cent of companies cited ‘underqualified’ candidates as the biggest obstacle to hiring new employees.

A lack of experience and absence of ‘soft skills’ were also cited as key impediments by companies, with the latter factor “the main reason for dismissals, increasing turnover costs for firms”.

“The most commonly cited reason for dismissals was related to problems with soft skills or ‘problems with behaviour/conduct’ (65 per cent,” the IDB report said.

“The lack of skills (particularly soft skills) is identified with productivity losses due to unsatisfactory performance, absenteeism, lack of responsibility and commitment to the job.”

Analysing the way forward, the IDB added: “The analysis tells that more integration is needed between the private sector labour demand and the provision of training in the country.

“On-the-job training strategies can align workers’ skills with specific skills demands, benefiting both the labour force and overall productivity. Focus on soft-skills training is key to enhancing worker employability and retention, and job seekers must be told what skills and training the current labour market demands.

“Investing successfully in labour force skills development can be a main driver of economic and social growth, and will demonstrate that upgrading both technical and soft skills is key to increasing productivity and competitiveness, adapting to new technologies and creating stable work opportunities for workers.”

Comments

John 7 years, 9 months ago

There was always a problem attracting Bahamians to become masons. They view this as hard and tedious work. Young men feel they will fare better getting into electrical, air-conditioning and carpentry. Not only do they consider these to be more 'cleaner' jobs but the opportunities for doing side jobs or eventually launching out on their own is greater. But the number of unqualified and under qualified males in this country is still alarming, and no doubt, directly related to the high incidence of crime. There is a very little safety net for young men when they fall through the cracks, small opportunities of second chances and an overbearing demand for them to perform at an early age and become a bread winner. Many do venture out on their own and start a family, only to have to return home a short time later because of economic reasons. So the lure and enticement to become gang members and drug dealers become more attractive and many young men are losing their lives or going to jail because of it. When a young mother cannot support her child, she goes to Social services and get assistance. When a young man cannot take care of his child in this country, he is taken before the courts and may be sent to jail. Successive governments have bypassed the young male, discriminated against them even (except for the chosen few). They focus more on the young women so many of them are more educated and more qualified to get better paying jobs. So many young men find it easier to drop out of society and eventually become criminals or drug addicts..Until this is fixed then the country will continue to experience the problems it does, including high crime, dysfunctional families, high incidences of alcohol and drug abuse and fatherless children.

Socrates 7 years, 9 months ago

interesting.. so how do we reconcile this report, which is not news to most anyone who has been in the Bahamas more then 1 week, with the high labour costs we keep hearing so much about? no skills but high labour costs? sounds like out of control Unions and dumb management who dont have the spine to say your workers aren't worth what you are asking? always been a problem in this country.. the idea you should be paid according to the cost of living and nothing to do with you knowledge/skills or what a job is worth..

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