Presentation by the OECD Centre for Skills during the Assessment Workshop in Luxembourg, 27 October 2021.

1. OECD Skills Strategy Luxembourg
27 October 2021
ASSESSMENT WORKSHOP

2. 2
Presentation overview
1. Introduction to the OECD Skills Strategy
2. Describe Luxembourg’s policy context
3. Preliminary findings for the four priority areas

3. 3
3
WHAT IS THE OECD SKILLS
STRATEGY?

4. 4
The 2019 OECD Skills Strategy Framework
4

5. 26 OECD Skills Strategy projects have been undertake in 18 countries
13
Mexico
Peru
Korea
Flanders (BE)
Italy
Kazakhstan
Netherlands
Norway
Latvia
Poland
Slovak Republic
Spain
Portugal Austria
Slovenia
Northern Ireland
(UK)
Lithuania
Luxembourg

6. Our approach to country work
Mapping of the skills system
Fostering whole-of-government
collaboration
Engaging stakeholders
Identifying international good practices
Inputs
Identifying policy priorities
Developing policy recommendations
Providing implementation guidance
Raising awareness
Outputs
A diverse, cross-sectoral team
14

7. Employing a whole-of-government approach for
OECD Skills Strategy projects
Directorate for Education and
Skills
Economics Department
Directorate for Employment,
Labour and Social Affairs
Directorate for Science,
Technology and Innovation
Centre for Tax Policy and
Administration
Local Employment, Skills and
Social Inclusion
OECD Luxembourg
Ministry of Higher Education
and Research
Ministry of Labour,
Employment and the Social
and Solidarity Economy
OECD Centre for Skills
Ministry of National
Education, Children and
Youth
OECD Skills Strategy Luxembourg
Assessment and Recommendations
7

8. 8
Project timeline and milestones
SCOPING
OBJETIVES
ACTIVITIES
Q2 2021 Q3-Q4 2021 Q1-2 2022 Q3 2022
ASSESSMENT RECOMMENDATIONS PUBLICATION AND
LAUNCH
> Introduce the project
> Discuss and agree on key
goals, timelines and outputs
> Map the skills system (actors,
policies, outcomes etc.)
> Identify key challenges and
opportunities
> Draft concrete policy
recommendation
> Test policy recommendations
with government and
stakeholder representatives
> Publish final report
> Disseminate the findings
of the project
Scoping Mission
> Skills Strategy Seminar
Assessment Mission
> Workshop
> Group discussions
> Bilateral meetings
Recommendations
Mission
> Workshop
> Group discussions
> Bilateral meetings
Launch
> Public launch of the
Report

9. 1. LUXEMBOURG’S CONTEXT
9
9

10. Luxembourg has been one of the highest performing economies
across the EU despite the COVID-19 crisis
GDP annual growth (year over year percentage changes)
in Luxembourg and EU
Note: Real GDP annual growth. EU refers to the 17 countries in the Euro area
Source: OECD Economic Outlook: Statistics
-20
-15
-10
-5
0
5
10
15
20
LUX EU

11. SOCIAL AND
EMOTIONAL
SKILLS
11
Globalisation
Technological change
Demographic change
• More integrated world economy than ever
• Emergence of global value chains, offshoring and
outsourcing
• Increased vulnerability of some workers
• Rapid development of new technologies
• Emergence of new forms of work
• Expansion of sources of learning, especially online
• Magnified importance of people’s productivity and
skills, and countries’ ability to attract talent
Mega trends are changing and increasing the skills needed
for success in work and life

12. Megatrends are leading to significant skills shifts in the labour market …
Projected labour force growth (% annual rate) by qualification, 2018-2030
7
Source: OECD calculations based on CEDEFOP (2017), EU-CEDEFOP database: Employment trends, (http://www.cedefop.europa.eu/en/publications-and-
resources/data-visualisations/employment-trends).
%
-4
-3
-2
-1
0
1
2
3
4
Low level qualifications (ISCED 0-2) Medium level qualifications (ISCED 3-4) High level qualifications(ISCED 5-6)
Luxembourg EU

13. … which are evident across Luxembourg’s sectors
Percentage point change in employment shares in selected sectors by level of qualification, 2015/2019
Source: Calculations based on Labour Force Survey (2015, 2019)
-12
-10
-8
-6
-4
-2
0
2
4
6
8
10
Low level qualifications (ISCED 0-2) Medium level qualifications (ISCED 3-4) High level qualifications (ISCED 5-6)
Construction Administrative and support service activities Finance Professional, scientific and technical activities

14. ….and are contributing to skills shortages
Source: Chambre de Commerce Luxembourg (2019)
Five occupations with the highest percentage of unfilled
vacancies as a share of all unfilled vacancies, 2020
%
Note: Occupations displayed follow the ROME classification.
Source: ADEM (2020)
Percentage of employers in Luxembourg citing a specific
recruitment difficulty, 2019
0
1
2
3
4
5
6
7
8
Information systems
expertise and
support
Accounting Financial analysis
and engineering
IT studies and
development
Consultancy in
organisation and
management of
companies
%
0
10
20
30
40
50
60
70
80
Mismatch between the offer and
the salary expectations of the
candidates
Available workers insufficiently
qualified
Skills profiles needed not
available in Luxembourg and the
Greater Region

15. 85+
80 - 84
75 - 79
70 - 74
65 - 69
60 - 64
55 - 59
50 - 54
45 - 49
40 - 44
35 - 39
30 - 34
25 - 29
20 - 24
15 - 19
10 - 14
5 - 9
0 - 4
Population is old and ageing, which makes the skills of the existing
workforce increasingly important for addressing skills pressures
Source: OECD calculations based on Statistiques Grande Région (2021) and Labour Force Survey (2019)
Population in Luxembourg and the Greater Region (2021) and by sector (2019) in percentage
of total population in each age group
Greater Region
Luxembourg
0 2 4 6 8 10 12 14 16 18 20 22
0
2
4
6
8
10
Construction
Finance and Insurance
% %

16. Foreign talent will have a key role to play in helping Luxembourg
responding to labour market pressures
17
Share of works by origin in Luxembourg’s ten largest sectors, 2020
Note: Luxembourg’s ten largest sectors refer to ten sectors with the largest number of active employees.
Source: CCSS (2020)
Share of total
employment, 2020
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Public administration and defence
Human health and social work activities
Transportation and storage
Information and communication
Financial and insurance activities
Wholesale and retail trade
Professional, scientific and technical activities
Manufacturing
Construction
Administrative and support service activities
Residents with Luxembourgish nationality Cross-border workers Residents with EU nationality other than Luxembourgish Residents with non-EU nationality
6%
11%
7%
9%
12%
11%
5%
7%
9%
11%

17. There is an urgent for Luxembourg to address these
skills challenges by ...
1. Providing labour-market relevant adult learning opportunities
2. Guiding and incentivising skills choices
3. Attracting and retaining talent to fill skills shortages
4. Strengthening the governance of skills data

18. 1. PROVIDING LABOUR MARKET
RELEVANT ADULT LEARNING
OPPORTUNITIES
18
18

19. Share of adults with low education level, 2019
Share of adults participating in adult learning, 2019
0
5
10
15
20
25
EU Greater Region Luxembourg France* Germany* Belgium*
Adult learning participation
0
5
10
15
20
25
30
35
EU Greater Region Luxembourg France* Germany* Belgium*
Low education level
The adult learning participation rate in Luxembourg is relatively high,
but so is the share of adults with low education levels
Note: France* (Lorraine), Germany* (Saarland, Rhineland Palatinate), Belgium* (Wallonia). Population 17-62 year olds. Low education level defined as lower secondary education level.
Source: elaboration based on EU Labour Force Survey 2019 data.
% %

20. EU
Low education
level
Construction Craft and
related trades
workers
Older person (55>)
Unemployed
SME employee
Luxembourg
High education
level Financial and
insurance
Professionals
Prime age person
(25-54) Employed
Large
enterprise
employee
0
10
20
30
40
50
60
70
80
90
100
All adults Education level Sector Occupation Age Employment status Company size
Achieving the EU Objective 2025 requires raising participation in adult
learning and removing barriers especially for disadvantaged groups
Source: elaboration based on Eurostat data (indicator constructed for the EU Skills Agenda, based on the 2016 EU Adult Education Survey but excluding informal learning and guided on the job training). 20
EU Objective
2025
%
Share of adults (aged 25-64) participating in adult learning by background characteristics, 2016

21. The current offer of formal and non-formal adult education programmes
is vast, providing many different options for adult learners
21
Overview of existing adult learning programmes
Formal education Formal and
non-formal education
Non-formal education
• House of training
• KeyJob
• CNFPC
• ADEM programmes
• National Languages
Institute programmes
• Company training
• IFEN training
• Seminaires inter-
entreprises
• LLC
• Formation Syndicales
• Cours de soir
• Lycées
• eBac
• Day classes
• Higher
education
programmes
• Brevet de
Maîtrise
• ISEC
• INFPC affiliated
providers
• University of
Luxembourg
Competency
Centre
programmes
78%
8%
14%
Private providers
Institutional or sectoral providers
Not-for-profit associations
Share of adult learning providers by status, 2019
Source: elaboration based on the INFPC’s “Enquête sur l'offre des
organismes de formation établis au Luxembourg” (2019)
Participate rate
8.6%
Participate rate
48.1%
Participate rate
45.3%
Source: participation rates among all adults in Luxembourg in the Adult Education Survey (2016)

22. Adult learning providers cover a broad range of fields of study and
many programmes are tailored
22
0 5 10 15 20 25 30 35 40 45 50
Agriculture, agri-food
Transformation of materials and production management
Mechanics, electrical engineering, automation
Crafts, arts
Transport, logistics
Construction, environment, energy
Languages
Sciences, social sciences and humanities
Quality, safety
Trade, sale, hospitality
Finance, insurance, law
IT, telecommunications
Health, social work
Communication, multimedia
Business management and human resources
Personal and professional development
42%
5%
53%
Only tailored adult learning programmes
Only fixed adult learning programmes
Tailored and fixed adult learning programmes
Source: elaboration based on Observatoire de la formation, Formabref, Juin 2018
Share of adult learning providers with programmes in
certain fields of study, 2017
Share of adult learning providers by type of adult
learning programme, 2017
Source: elaboration based on Observatoire de la formation, Formabref, Juin 2018

23. Adult learning programmes are increasingly provided online, but not all
individuals have the required digital skills to benefit
23
0
10
20
30
40
50
60
70
80
90
2013 2016 2019
Private providers
Institutional or sectoral providers
Not-for-profit associations
Share of adult learning providers providing online learning, 2013/16/19
%
Source: elaboration based on the INFPC’s “Enquête sur l'offre des organismes de formation établis au
Luxembourg” (2019)
Share of adults with low digital skills by
background characteristics, 2019
%
Source: Eurostat, Digital Skills Agenda indicator,
https://ec.europa.eu/eurostat/databrowser/view/ISOC_SK_DSKL_I__custom_14403
09/default/table?lang=en
EU High education
level
Highest income
quintile
Prime age
person (25-54)
Permanent
Luxembourg
Low
education
level
Lowest income
quintile
Older
person
(55>)
Temporary
0
10
20
30
40
50
60
70
80
90
All adults Education level Income Age Contract type

24. A significant share of employers in Luxembourg report low value of
adult learning provision
Source: elaboration based on the EU Company Survey (2019)
24
Employers’ views of value of training, 2019
0
10
20
30
40
50
60
70
80
90
100
Low Medium High
%

25. 0
10
20
30
40
50
60
70
80
90
100
Selection
process of
adult learning
staff
Evaluation of
adult learning
staff
Regular
meeting with
adult learning
staff
Training of
adult learning
staff
Follow-up of
adult learning
staff training
Other quality
procedure
No quality
procedure
Private providers
Institutional or sectoral providers
Not-for-profit providers
17
Implementing quality measures for adult learning programmes is
challenging for a significant share of adult learning providers
Share of adult learning providers with quality
measures in place, 2017
%
Share of adult learning providers facing a given
challenge in implementing quality measures for
adult learning, 2017
0 10 20 30 40 50 60
Other challenges
Internal resistance
Complexity of tools
Absence of a regulatory framework
Absence of support and advice
Not a priority
Lack of financial resources
Difficulty to estimate the value added
Lack of human resources
Lack of time
Source: elaboration based on Observatoire de la formation, Formabref, Juin 2018 Source: elaborations based on Observatoire de la formation, Formabref, Juin 2018
%

26. Improving adult learning provision requires the co-ordination and
collaboration of actors within Luxembourg and across the Greater Region
Overview of some relevant actors in the adult learning
system in Luxembourg
Source: elaboration based on INFPC (2021), Lifelong-Learning Portal, https://www.lifelong-learning.lu.
26
Ministries &
Municipalities
E.g. MENJE, MESR,
MTE, Internetstuffen,
Landesakademie
(Eisleck-Attert)
Agencies &
Institutes
E.g. ADEM,
INFPC,
ANEFORE,
CNFPC, CLL,
INSL, LIH
Companies, employers
associations, unions,
professional chambers
Education institutions
& training bodies
Associations/
foundations
E.g. University of
Luxembourg, IFSB,
CFPC DeWidong,
ILFMC, INAP, EST,
LCCBLSC, LLLC,
E.g. Employers associations (UEL,
FEDIL, ABBL, CLC, Federation of
Craft Workers, HORESCA),
Chambers (Commerce, Trades,
Agriculture, Employees, Civil
Servants and Public Employees),
Unions (OGB-L, LCCB, CGFP)
E.g. 474
organisations by
the INFPC (2020)
Overview of recent
strategies
2012 Lifelong Learning Strategy
(S3L)
2012 Maison de l’orientation
2018 Accord de coalition
2018
Plan d’action national
pluriannuel d’integration
2020
2021
Artificial intelligence: a strategic
vision for Luxembourg
Recovery and resilience
plan of Luxembourg
Greater Region
actors
E.g. l’Observatoire Interrégional du marché de l’Emploi
de la Grande Région, Comité Economique et Social de la Grande Région, Technifutur et
Technofutur TIC, Digital Wallonia Hub (Wallonie), DITEX, LORNTECH (Lorraine), Centre de
compétences PME 4.0 (Sarrebruck, Kaiserslautern)

27. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Resources for quality assurance
Digital skills development
Accreditation agency
Greater region co-ordination
Prior learning recognition
Modular adult learning programmes
Long-term strategy
Tailored adult learning programmes
Quality standards for adult learning programmes
Update adult learning curriculum
Granular data about skills needs
Essential Very relevant + relevant Slightly relevant + not relevant
Possible policy directions

28. 2. GUIDING AND INCENTIVISING
SKILLS CHOICES
28
28

29. Megatrends are transforming the labour market but there is more to do to
improve skills choices and training to meet growing job opportunities?
Share of enterprises providing training to their entire workforce
0
10
20
30
40
50
60
70
80
90
100
Source: European Company Survey 2019.
0
5
10
15
20
25
30
35
40
45
50
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Languages Quality, ISO and security
IT and office automation Finance, accounting and law
Management and human resources Adaptation to workplace
Technical and career specific
Share of adult learning by subject area (%)
Source: elaboration of INFPC’s database on the “Demandes de cofinancement adressées au MENJE”
%
%

30. Incentives to support more learning need to be tailored to take account of
differences in training behaviour in varying types of employers
0
10
20
30
40
50
60
70
80
90
100
Training provision Internal training budget External training funding
Small Enterprises Medium Enterprises Large Enterprises
Small enterprises
Average training funding per
employee during past year
422€
Large enterprises 612€
Share of employees participating in training by sector
Differences in training investment by size of employer
Source: elaboration based on the Continuous Vocational Training Survey 2015.
And, SMEs finances are
constrained?
Source: elaboration based on the Continuous Vocational Training Survey 2015.
0
10
20
30
40
50
60
70
80
90
Construction Wholesale and
retail trade etc
all industry Real estate
activities;
professional,
scientific and
technical activities
etc
ICT & financial and
insurance activities
2010 2015
%
%

31. 0
10
20
30
40
50
60
70
80
90
100
Incentives and support for work-based learning also need to respond
to varying individual needs and multiple barriers
Share of employees that receive job-related non-formal education sponsored
by their employer
Source: elaboration based on the 2016 EU Adult Education Survey. 31
%
Main barriers in Luxembourg
1 – Schedule (22.7%)
2 – Family reasons (19.7%)
3 – Cost (12.4%)
4 – Lack of support from
employer/public services
(7.2%)
5 – No suitable adult
learning offer (6.8%)

32. Source: INFPC Portal for lifelong learning https://www.lifelong-learning.lu/Accueil/en?page=5 and OECD (2017[29]), Financial Incentives for Steering Education and Training, https://dx.doi.org/10.1787/9789264272415-en
32
What’s in place for individuals?
• Individual paid study leave – for employees & self-employed
• Requests to flex working time to train – covering changes to personal working time; and unpaid
study leave
• Tax deductions for professional development
• Means-tested financial aid for higher education –for adults & young people (ie grants & loans)
• Educational means-tested compensation - for low income learners (up to 25 years) on specific
courses
• Vocational training aid for jobseekers – a partial reimbursement of training costs for registered
jobseekers
There are a number of incentives for individual learners that already
exist, and provide a platform to grow adult learning in future…
What more could be done?

33. Source: INFPC Portal for lifelong learning https://www.lifelong-learning.lu/Accueil/en?page=5 and OECD (2017[29]), Financial Incentives for Steering Education and Training, https://dx.doi.org/10.1787/9789264272415-en https://www.lifelong-
learning.lu/Detail/Article/Aides/cofinancement-de-la-formation/en and Overview | Cedefop (europa.eu)
33
What’s in place for employers?
To build a culture of learning, these need to work alongside
instruments to incentivise greater employer investment in skills too
• National subsidies for training – state training support as part of a company training plan
• National targeted training subsidies for priority groups – state aid is worth 20% of salary
cost for certain employees.
• National reimbursement of language training costs - worth 50% of the costs of courses
• Reimbursement of Apprenticeship Allowance
• Sector Training Funds - A series of levy-grant schemes
What more could be done?

34. While co-financing has benefitted employers and employees, is take up
sufficient and does it support changing and priority economic needs?
Share of employers and employees benefitting from
co-financing of adult learning programmes (%)
Source: elaboration based on administrative data of co-financing adult learning programmes by MENJE. 34
%
0
10
20
30
40
50
60
70
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Share of employers benefitting from co-financing of adult learning programmes
(%) *
Share of employees potentially benefiting from the public co-funding of adult
learning programmes (%)
0 5 10 15
Real Estate Activities
Education
Accommodation and Food Service Activities
Arts, Entertainment and Recreation
Administrative and Support Service Activities
Information and Communication
Construction
Human Health and Social Work Activities
Wholesale and Retail Trade; Repair of Motor Vehicles
Transportation and Storage
Agriculture and industry
Professional, Scientific and Technical Activities
Financial and Insurance Activities
Public co-financing for adult learning programmes
by sector (in million €)
%
€

35. Several institutions provide guidance services to support skills
choices, but are they fit for the future?
Existing guidance and counselling services affiliated with the national House of Guidance
35
Challenges in guidance provision
• Centre for Psycho-Social and Educational Accompaniment (CePAS)
• Vocational Guidance Service of Public Employment Services (ADEM-OP)
• National Youth Service (SNJ) with a regional network of Local Antenna for Youngsters (ALJ)
• Centre for Documentation and Information on Higher Education (CEDIES)
• Department for Schooling of Foreign Children (SECAM)
• Agency for the Transition to Independent Living (ATVA)
• Adult Education Service (SFA)
Source: elaboration based on euroguidance database, https://www.euroguidance.eu/guidance-system-in-luxembourg#:~:text=The%20national%20House%20of%20Guidance,'accompagnement%20scolaires%20%E2%80%93%20CePAS)
Relevance Validity Timeliness Consistency Access

36. The share of adults receiving guidance about critical skills & career
opportunities varies widely across groups, mirroring patterns of learning
Share of adults receiving guidance and counselling by background characteristics
Source: elaboration based on the 2016 EU Adult Education Survey. 36
%
Low education level
Non-EU migrant
Unemployed Older person
(55>)
Male
Rural area Temporary SME employee
High education level
National Employed
Prime age
person (25-54) Female
City
Permanent
Large enterprise
employee
0
10
20
30
40
50
60
70
80
Education level Migration background Employment status Age Gender Urbanisation Contract type Company size
%

37. Possible policy directions
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Improved existing financial instruments
Better targeted policy instruments
Integrated and targeted guidance offer
Online intelligence platform
Coordination of policies with employer groups
Rolling programme of incentives
Raise awareness
Integrate relevant labour market data in the guidance services
Guidance based on strengths
Guidance for "careers of the future"
Essential Very relevant + relevant Slightly relevant + not relevant

38. 3. ATTRACTING AND RETAINING
TALENT TO FILL SKILLS SHORTAGES
38
38

39. 17
Luxembourg already is an attractive destination for high-skill talent, who
will be key for filling the most pressing shortages
Working-age foreign-born population in
employment in Luxembourg (including cross-
border workers) by occupation group, 2019
Note: Graph shows % of workers by occupation group. High, medium and low-skilled
occupations refer to ISCO occupational groups 1 to 3, 4 to 8 and 9 respectively
Source: EU Labour Force Survey data (2019)
0% 10% 20% 30% 40% 50% 60%
High skill (ISCO 1-3)
Medium skill (ISCO 4-8)
Low skill (ISCO 9)
0
10
20
30
40
50
60
70
80
90
100
High skill (ISCO 1-3) Medium skill (ISCO 4-8) Low skill (ISCO 9)
Occupational shortages in Luxembourg
and selected OECD countries, 2018
Note: Graph shows % of occupations in shortage by country. High, medium and low-skilled
occupations refer to ISCO occupational groups 1 to 3, 4 to 8 and 9 respectively
Source: OECD Skills for Jobs Indicators (2018)
%

40. 17
Even though Luxembourg performs above the OECD average in its
overall attractiveness, space for improvement still exists
Scores on OECD Talent Attractiveness Indicators (Overall attractiveness), 2018
Note: Talent attractiveness scores calculated for workers with Master’s/PhD degrees.
Source: Elaboration on OECD Talent Attractiveness Indicators (2018)
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7

41. 17
Quality of life in Luxembourg is above the OECD average, but
affordability and accessibility issues remain
• High cost of living,
especially housing
• Non-digitalised
immigration
procedures, with
space for improving
their family-
friendliness
• Transport and mobility
challenges for cross-
border workers
Note: Talent attractiveness scores calculated for workers with Master’s/PhD degrees.
Source: Elaboration on OECD Talent Attractiveness Indicators (2018)
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
Scores on OECD Talent Attractiveness Indicators (Quality of life), 2018 Key affordability and
accessibility issues

42. 17
Luxembourg could be better promoted as an attractive destination
for foreign talent
Share of respondents in the Gallup World Survey wishing to emigrate identifying a certain country as their preferred
destination, 2020
0
2
4
6
8
10
12
14
16
Note: Survey data cover emigration preferences of tertiary education individuals.
Source: Gallup World Survey (2020)
%

43. 17
More could still be done to retain foreign talent in Luxembourg
4.4
4.6
4.8
5
5.2
5.4
5.6
5.8
6
6.2
Iceland Canada Germany Finland Luxembourg Netherlands United Kingdom Norway United States Switzerland
10 OECD countries with the highest perceived capacity to retain talent 2018
Note: Capacity to retain talent ranges from 1-7, whereby 1 = worst, 7 = best. The values are based on findings from the World Economic Forum
Executive Opinion Survey, capturing the views of business representatives across 140 countries.
Source: World Economic Forum Global Competitiveness Index (2018)

44. 17
Only a small share of international students transition into
Luxembourg’s labour market upon finishing their studies
Share of international students who change residence status and remain, 2012
0
5
10
15
20
25
30
35
%
Note: European Union refers to the EU27.
Source: OECD (2012), Ministry of Foreign and European Affairs of Luxembourg (2021)
 Job-search visas
for international
students introduced
in 2018
Χ Low uptake
amongst
international
students
Luxembourg’s key measures
for supporting the retention of
international students

45. 17
Foreign talent could also be better integrated into Luxembourg’s
society
%
Note: European Union refers to the EU28.
Source: OECD (2018), Settling In 2018: Indicators of Immigrant Integration, https://doi.org/10.1787/888933843610
0
10
20
30
40
50
60
70
80
Share of native born population reporting interactions with immigrants at least once a week, 2018

46. Possible policy directions
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Review of the income thresholds of the impatriate regime
Boosted offer of intercultural initiatives and activities
New/additional housing opportunities for foreign talent
Guidelines for visa/resident permit registrations
Awareness raising for job-search visas for international students
Automatic access to labour market for foreign workers' families
Digitalisation of immigration procedures
Guidance to international students during studies
Development of a stronger national brand
Strenghtened language offer for foreign talent
Sectoral shortages reflected in immigration policy
Improved mobility/teleworking for cross-border workers
Essential Very relevant + relevant Slightly relevant + not relevant

47. 4. STRENGTHENING THE
GOVERNANCE OF SKILLS DATA
47
47

48. Skills data is important for better targeting efforts in several areas
of skills policy
Tailoring the education and training offer to respond to fast changing labour
market needs
Guiding and incentivising individual skills choices to reduce skills gaps and
mismatches
Targeting the talent attraction strategy towards the most needed profiles

49. Luxembourg has laid the foundation for improving its skills data,
and addressing key skills data challenges …
• Identifying available data that would allow
Luxembourg to study and monitor changes
in the labour market in the various sectors
• Undertaking additional actions to
consolidate, collect or improve data
• Analysing data to understand trends in the
labour market
• Identifying and anticipating future trends
• Communicating the lessons learned to the
Working Group “Training” and to
Skillsdësch
Objectives of the ADEM/UEL working group “Trends”

50. … including coverage and quality of collected skills data, which complicate
the assessment of Luxembourg’s skills demand, supply and mismatches
Luxembourg’s key skills data sources and related challenges
Skills demand
• ADEM vacancy data
• Stakeholder surveys on skills/workforce
needs (e.g. FEDIL, CdM, CC, CdC-
GTB/PAR, ABBL, etc.)
Skills supply
• Quality issues related to ISCO
codes in CCSS data which also
does not take into account internal
mobility
• STATEC surveys cover residents
only, declining response rates in
certain cases add further
disaggregation challenges to
already small sample sizes
Skills mismatches
• ~30% estimated average share out of
all actual job creations in Luxembourg
reported to ADEM
• Low company response rates for
many stakeholder surveys do not
guarantee representativeness; certain
sectors are not covered by surveys at
all
• CCSS employment entry declarations
• STATEC (EU) surveys
• MENJE/Cedies (MESR) data on students and graduates
• INFPC/Observatoire de la formation data on CVET
courses and co-financing
• CVET providers’ data on participation and courses, etc.
• INPFC - (Transition École Vie Active)
graduate tracking by training programme
• University of Luxembourg graduate
tracking by field of study
• Cover IVET and tertiary education
graduates, limited tracking at the
level of CVET
CHALLENGES
SELECTED DATA SOURCES

51. Insufficient granularity of collected labour market data prevents assessment of
the skills demand and supply at the level of specific skills…
Limited data on
specific skills and
competences
(e.g. as identified
ESCO/O*NET
classifications; or
collected by
PIAAC)
ADEM: Vacancy data - NACE (sector)/ROME (occupation),
language skills, qualification levels, etc.; Job-seeker data -
demographic variables, occupation choice, length of
unemployment, languages, qualification levels, etc.
CCSS: Employment entry declarations (ISCO, occupation)
STATEC/EU: Labour force survey (ISCO, occupation),
Structure of Earnings Survey (ISCO, occupation)
Luxembourg’s key labour market data sources
No participation in PIAAC

52. … leading Luxembourg to actively explore options to improve the
granularity of the skills supply and demand data
ADEM’s efforts at
text-mining for
specific skills from
their own vacancies
to complement
CEDEFOP data
v
Skewed towards
high-skill
occupations
v
Considerations
to map CCSS
occupation
data onto
specific skills
using the
ESCO
classification
Efforts for improving the granularity
of skills demand data
Efforts for improving the granularity of
skills supply data
v
Refrained from due
to quality issues with
ISCO codes

53. More can be done to foster the coordination of skills data within the
government and amongst stakeholders
Luxembourg’s selected government and stakeholder skills data sources
• Operation in isolation
• Linkages between certain
government data sources
hampered by the use of
different skills
classifications
• Varying structure of
questions, frequency of
updating and definition of
skills/workforce needs in
stakeholder surveys
v
Coordination challenges
CCSS employment entry
declarations
ADEM vacancy and job-
seeker data, including
training data
STATEC (EU) labour
market and education
and training surveys
MENJE data on students,
teachers and schools in
general education/IVET
INFPC/Observatoire de
la Formation data on
CVET courses/co-
financing, and IVET
graduate tracking
CVET providers’ own
data on participation and
courses
Cedies (MESR) data on
higher education offer
and students
University of Luxembourg
tracking of higher
education graduates
CdM’s Workforce needs
in the craft industry
CC’s Barometer of the
Economy ”Recruitment
edition”
FEDIL’s Tomorrow’s
Qualifications in the
Industry, Tomorrow's
qualifications in the field
of ICT

54. With labour market extending beyond national borders, Luxembourg could explore synergies with
international data sources to better understand the Greater Region skills supply and demand
Greater region cross-border employment flows, 2020
• Belgium: SIEP, FOREM et Observatoire
Bruxellois de l'Emploi (occupational
shortages)
• France: Pôle emploi (training data for the
unemployed), Observatoires des
métiers (skills' anticipation data)
• Germany: DIE – German Institute for
Adult Education (data on adult
education), Federal and
Regional Employment Agencies
• EU Labour Force Survey: feasibility of
analysis at the level of the Greater
Region
Selected international data sources to explore:
Source: IBA/OIE (2020)

55. Possible policy directions
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Mapping of international skills data sources to explore potential synergies
Higher response rates in national surveys
National data charter
Integration of skills data onto a national data exchange platform
Aligning stakeholder surveys
Mapping of labour market data onto existing skills classifications
Mapping of adult learning offer onto specific skills
Luxembourg's own skills classification for labour market data
Collaboration on skills data with neighbouring countries
Support for CVET graduate tracking
Correct input of ISCO codes in CCSS declarations
Collection of granular data on skills developed in adult learning
Higher vacancy reporting rates
Regular, national employer survey
Essential Very relevant + relevant Slightly relevant + not relevant

56. 56
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THANK YOU!

57. To discuss OECD’s work on skills, contact: Andrew.BELL@oecd.org,
OECD Centre for Skills
To learn more about the OECD’s work
on skills visit: www.oecd.org/skills/
57