SOLOMON ISLANDS - World Bankdocuments.worldbank.org/curated/en/989891468759560059/pdf/393170... · SINTA Solomon Islands National Teachers Association SIPS Solomon Islands Public

Study to Support the Development ofa National Skills Training Plan

SOLOMON ISLANDS

March 2007

Human Development Sector Reports East Asia and the Pacific Region The World Bank

The World Bank1818 H Street, NWWashington, DC 20433USATelephone: 202-473-1000Facsimile: 202-477-6391

East Asia and Pacific RegionHuman Development Sector Unithttp://www.worldbank.org

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Report No. 39317-SB

Solomon Islands

Study to Support the Development of a

National Skills Training Plan

March 2007

Solomon Islands Government

European Union

Sponsored by:

CURRENCY EQUIVALENTS

(Exchange Rate Effective January 2007)

Currency Unit = Solomon Islands Dollars (SBD) 1 SBD = 0.140292 US$

US$1.00 = 7.12800 SBD

FISCAL YEAR January 1 to December 31

Regional Vice President: James Adam, EAPVP Country Director: Nigel Roberts, EACNQ

Sector Director: Emmanuel Jimenez, EASHD Sector Manager: Christopher Thomas, EASHD

Task Team Leader: Jeremy Strudwick, EASHD

ABBREVIATIONS AND ACRONYMS APHEDA Australian People for Health Education and Development Abroad APSD Asia Pacific Sustainable Development AusAID Australian Agency for International Development B&C Building and construction (a subject studied by some university students abroad) B&F Business and finance (another subject studied by some university students abroad) CAO Chief administrative officer CBSI Central Bank of Solomon Islands CBTC Community-based training center CD Curriculum Development (category or “cost center,” in MEHRD’s budget accounts) CPRF Community Peace and Restoration Fund (emergency project established in 2000

during SI’s ethnic tensions) CSP Community Sector Program (replaced CPRF in 2003 with a longer-term mandate for

community development across the country) DSE Development Services Exchange EDF European Development Fund ESD Education Services Division (category in MEHRD’s budget accounts) EU European Union F&A Finance and Administration (one of SICHE’s six schools) FIT Fiji Institute of Technology FSM Fiji School of Medicine GDP Gross domestic product GER Gross enrollment ratio GPER Gross primary enrollment ratio GSER Gross secondary enrollment ratio H&A Headquarters and Administration (a category in MEHRD’s budget accounts) ID Industrial Development (one of SICHE’s six schools) IPAM Institute of Public Administration and Management ISU Internal Strengthening Unit KGA Kastom Gaden Association MDG Millennium Development Goal MEHRD Ministry of Education and Human Resource Development MOF Ministry of Finance MOH Ministry of Health NER Net enrollment ratio NGO Non-government organization NPER Net primary enrollment ratio NPF National Provident Fund NR Natural Resources (one of SICHE’s six schools) NSER Net secondary enrollment ratio NSS National secondary school NSTP National Skills Training Plan

NTU National Training Unit NZAID New Zealand International Aid and Development Agency NZBS New Zealand budget support PNG Papua New Guinea PrS Primary school PS Permanent Secretary PSD Public Service Department PSS Provincial secondary school PSSC Pacific Senior Secondary Certificate (examination given at end of Form 6) RAMSI Regional Assistance Mission for the Solomon Islands ROC Republic of China (Taiwan) RTC Rural training center SBD Solomon Bokolo Dollar (equal to about USD 7.7 in 2006) SI Solomon Islands SIARTC Solomon Islands Association of Rural Training Centers SIAVTC Solomon Islands Association of Vocational and Training Centers SICA Solomon Island Christian Association SICCI Solomon Islands Chamber of Commerce and Industry SICHE Solomon Islands College of Higher Education SIEA Solomon Islands Electricity Authority SIEMIS Solomon Islands Education Management Information System SIF3 Solomon Islands Form 3 (examination given at end of Form 3) SIG Solomon Islands Government SIMA Statistical Information Management and Analysis (World Bank’s online database) SINTA Solomon Islands National Teachers Association SIPS Solomon Islands Public Service SISC Solomon Islands School Certificate (an examination given at end of Form 5) SISE Solomon Islands Secondary Entrance (an examination given at end of Standard 6) SIWA Solomon Islands Water Authority SPBEA South Pacific Board for Educational Assessment STABEX Stabilization of Export Earnings (EU assistance program to SI) T&H Tourism and hospitality (a subject studied by some university students abroad) TA Technical Assistance TNA Training needs survey TS Tertiary Support (category in MEHRD’s budget accounts) TVET Technical and vocational education and training UNESCO United Nations Educational, Scientific, and Cultural Organization UPNG University of Papua New Guinea USP University of the South Pacific

TABLE OF CONTENTS

Acknowledgements

Executive Summary......................................................................................................... i

1. Introduction............................................................................................................1-1 Background..............................................................................................................1-1 The Objectives of the Study.....................................................................................1-2 The Design of the Study ..........................................................................................1-3 Methodology and Data Collection ...........................................................................1-3

2. Formal Education and Training...........................................................................2-1 Introduction..............................................................................................................2-1 Enrollments in Pre-School, Primary, and Secondary Education .............................2-6 Internal Efficiency of Pre-School, Primary, and Secondary Education.................2-10 Tertiary Education: Solomon Islands College of Higher Education .....................2-18 Tertiary Education: Form 7 and University Study Abroad....................................2-25

3. Semi-formal and Non-formal Skills Training .....................................................3-1 Introduction..............................................................................................................3-1 Types of Semi-formal and Non-formal Skills Training Providers ..........................3-2 The Capacity of Semi-formal and Non-formal Skills Training Providers...............3-8

4. Costs and Financing of Education and Training ................................................4-1 Introduction..............................................................................................................4-1 Government Spending on Education and Training..................................................4-1 Unit Costs and Non-government Contributions ....................................................4-11

5. Formal Private Sector Demand for Training......................................................5-1 Introduction..............................................................................................................5-1 Formal Private Sector Youth Employment..............................................................5-3 Employer Survey ....................................................................................................5-6 Estimated Formal Private Sector Training Demand by Qualification .....................5-7 In-service Training Needs within the Formal Private Sector ................................5-10

6. Public Sector Demand ...........................................................................................6-1 Introduction..............................................................................................................6-1 In-service Training Needs .......................................................................................6-3 Pre-service Training Needs .....................................................................................6-4

7. Informal Sector Demand.......................................................................................7-1 Introduction..............................................................................................................7-1 Community Sector Program Survey .......................................................................7-2 Skills Needed Within Villages ................................................................................7-2 Village Youth Survey .............................................................................................7-5 Distribution of Young People in the Workforce .....................................................7-6 Skill Requirements of Young People in the Informal Sector .................................7-9

8. Tracer Studies ........................................................................................................8-1 Introduction..............................................................................................................8-1 Graduates of Solomon Islands School of Higher Education ...................................8-7 Graduates of Universities Abroad..........................................................................8-12

9. Summary, Conclusions, and Policy Options .......................................................9-1 Financing of Education and Training ......................................................................9-1 Supply of Education and Training ...........................................................................9-3 Demand for Skills ....................................................................................................9-8 Further Policy Recommendations..........................................................................9-14

References....................................................................................................................R-1

Annexes ........................................................................................................................A-1 Annex 1: The System of Semi-formal and Non-formal Skills Training.................A-1 Annex 2: Costs and Financing of Education and Training ...................................A-15 Annex 3: Private Sector Demand..........................................................................A-16 Annex 4: Informal Sector Demand .......................................................................A-24 Annex 5: Tracer Studies........................................................................................A-34 Annex 6: Solomon Islands Workshop on NSTP Study………………………….A-41

ACKNOWLEDGEMENTS

This study is the product of a partnership led by the Government of the Solomon Islands and comprising the Australian Agency for International Development (AusAID), the European Union (EU), the New Zealand International Aid and Development Agency (NZAID), and the World Bank. The National Skills Training Plan (NSTP) study was carried out by a team of international and Solomon Islander researchers over a period of approximately nine months (March to December, 2006). The international consultants were Robert McGough and Peter Moock (Technical Educator and Education Economist respectively), the study’s Co-principal Investigators, and Brian Lewis (Data Management Specialist). Their contracts were procured by the World Bank and financed from bilateral trust funds administered by the World Bank for NZAID and AusAID. The work of the international consultants was supervised by Jerry Strudwick, World Bank Task Manager of the study. The local team was led by Mia Rimon, who was assisted by senior staff Joash Maneipuri, Rose Sulu, Susan Sulu (seconded by the Ministry of National Planning), and Jean Tafoa. The data collection and data entry team consisted of Leon Boso, Charles Koroni, Jeffrey McKab, and Nafi Kwainarara. Oversight for the study was provided by a national steering committee, which met periodically to provide overall direction, verify data sources, endorse emerging findings, and suggest policy recommendations. The members of the Study Steering Group (SSG) included: Barnabas Anga (Chair; Permanent Secretary, MEHRD), Brother Tim Ngele (Alternate Chair; Assistant Secretary, MEHRD), Jane Waetera (Permanent Secretary, DNPAC), Mylyn Kuve (Director of Planning Coordination and Research Unit, MEHRD), Julie Affleck and Rebeccah Spratt (First Secretaries, NZAID), Pauline Boseto (Director of Social Services, Ministry of National Planning), Richard Dalgarno (Technical Adviser, EU), Gabriel Taloikwi (Director, SICHE), Glynn Galo (Director, USP Center Honiara), John Fangalasu'u (Advisor, SIARTC), Peter Goodwin (Chairman, Solomon Islands Chamber of Commerce and Industry), William Hsu (Second Secretary, Embassy of the Republic of China), Izumi Iwaoka (Second Secretary, Embassy of Japan), Harry Kuma (Economic Reform Unit, Ministry of Finance), Selu Maezama (Head, National Training Unit, MEHRD), Father Francis Maka (General Secretary, SINTA), Walter Ramo (Director, IPAM), Ben Mendo (Analyst, Public Service Department [PSD]), Chris Hunipauro (Senior Admin Officer, PSD), Jim Masa (Chief Training Officer, PSD), Sharon Newcomb (Team Leader, DSE), Rhona McPhee (Second Secretary, AusAID), Barry Reeves (Education Sector Coordinator, MEHRD), Bishop Philamon Riti (General Secretary, SICA), Ronald Unusi (Commissioner, Ministry of Labor), Yoshihiko Nishiomura (Project Advisor, JICA), Solomon Rakei (Data Processer, CSP), David Lawrence (Visiting Fellow, Australian National University, seconded to CSP), and Louisa Fakaia (Technical Advisor, EU TVET Project).

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EXECUTIVE SUMMARY

This is the final report of the Study to Support the Development of a National Skills Training Plan. Its purpose is to provide the Government of the Solomon Islands with research-based options to support the preparation of a National Skills Training Plan (NSTP) in the near future. The study was funded and supported by several bilateral and multilateral donors including NZAID, AusAid, the World Bank, and the European Union. The report is divided into nine chapters. Chapter 1 provides an introduction to the Solomon Islands and discusses the background, rationale, and purpose of the study. It also provides a brief explanation of the research methods and sources of data that were used. Chapters 2 and 3 describe the supply side of the analysis — the existing education and training institutions and the total training capacity in SI, an important element in the preparation of the NSTP. Chapter 4 describes and discusses the costs and financing of education and training. At first glance, this chapter may not seem central to the focus of this study. However, the study team believes that increasing access to and improving the quality of skills training will almost certainly require: (1) continued efforts to increase access to and improve the quality of primary and secondary education, and (2) new government funding priorities. This will require the reallocation of the existing government budget, as well as the mobilization of additional resources for education and training. Chapters 5, 6, and 7 consider the demand side of the analysis. Chapter 5 describes the labor and training needs of the country’s small formal private sector. Chapter 6 describes those of the public employment sector. Chapter 7 describes what is known about the labor and training needs of the large and diverse informal sector. Chapter 8 provides findings and analysis relating to the tracer studies conducted by the NSTP study team. Finally, Chapter 9 summarizes the findings of the study and presents policy options for improving the provision of skills training in the Solomon Islands. Geographic and Demographic Context The Solomon Islands (SI) is an island nation of approximately 500,000 people in the South Pacific. The country consists of 992 islands that stretch for 900 miles from near the coast of Papua New Guinea’s Shortland Islands in a southeasterly direction towards Vanuatu. Landmass accounts for about five percent of the country’s total ocean area. Honiara, the country’s capital, is located on the island of Guadalcanal and is where about one in ten Solomon Islanders currently lives, goes to school, and/or works. Roughly the same number (10 percent of the population) lives in the country’s bigger towns, in most cases provincial capitals. The rest of the population lives in small, rural villages spread

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out over the country’s islands (347 of the 992 are inhabited). There are about 3,000 rural villages nationwide. The typical village is made up of 125 to 150 men, women, and children, although some villages are smaller than this and a few are much larger.

Economic Context

Most adult Solomon Islanders make their living from subsistence and cash crop agriculture. The nation’s exports consist largely of commodities including timber, fish, cocoa, and copra. The economy of the Solomon Islands experienced major setbacks between 1999 and 2003 and has only recently started to recover. During that period, funding for schools was uncertain and enrollment growth stagnated. The period from 2003 to early 2006 was peaceful, and development indicators began to look better. Since 2003, the Australian-led Regional Assistance Mission to the Solomon Islands (RAMSI) has assisted the government with the maintenance of law and order, the building of institutional capacity (the machinery of government), and the stabilization of government finances. However, following elections in April 2006, violence broke out again in and around Honiara, and, while an uneasy peace has since been restored, political divisions threaten to reverse the country’s recent development gains.

The economy is estimated to have contracted by 14.3 percent in 2000, 9 percent in 2001, and a further 2.4 percent in 2002, primarily as a result of the closure of many major firms after June 2000. However, the economy now appears to be improving. The Central Bank of the Solomon Islands estimated in its 2004 Annual Report that the economy had grown by 5.6 percent in 2003 and 5.5 percent in 2004, the fastest rates of growth since the logging boom of the early 1990s. The Central Bank’s projected growth rate of four percent in 2005 is expected to continue in 2006.

The return of law and order has produced a degree of economic recovery, but according to a 2005 IMF report, without reform of financial and economic policies, Solomon Islanders will become poorer. Current export levels remain below 1999 levels and are overly reliant on logging, which was three times above sustainable levels in 2003.

Employment and Training Demand Out of a total working age population of about 298,000, only about 69,000 (23 percent) are in full-time or part-time wage-earning jobs. Of these, just over 11,000 are employed in the public sector. Within the formal employment sector, only about 80 businesses employ 15 or more workers. The remaining 1,500 or so registered businesses are very small, often made up of a single self-employed entrepreneur (and his or her family) running a shop, driving a taxi, or catching and selling fish for a living. In both the formal and informal sectors, there is a high level of youth unemployment, defined as young people between the ages of 15 and 29 who are no longer studying and

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who are not employed, or who are working only intermittently and in very low-productivity positions. The study also found significant gender differences in the work force. There are more than twice as many males as females in paid employment, while in unpaid work (the informal sector), females outnumber males by about 25 percent. The study team analyzed demand for training in three sectors: (1) the private employment sector, (2) the public employment sector; and (3) the informal employment sector. Private Sector Within the private sector, the recent interruptions in the flow of and deterioration in the quality of education and training services have resulted in an unmet and increasing demand for professionally and technically trained employees at all levels. Representatives from business and industry, the Government of the Solomon Islands, and the donor community confirm that there are serious skill shortages in the present workforce and that these shortages negatively affect overall productivity and the political viability of the nation and its prospects for economic growth. Formal sector firms are currently about 53 percent understaffed. Despite the large numbers of non-working adults in the country, the private sector finds it difficult to recruit trained personnel to fill critical positions. Of the skilled labor vacancies in the private sector, about four in ten are for jobs as administrators and managers, two to three in ten are for those with other professional skills, and three to four in ten are for those with technical and vocational skills. Of the vacancies for those with technical and vocational skills, about 10 percent of private sector employers specified that they need individuals to have formal certificates of technical and vocational education and training (TVET). This was a surprising finding. Further investigation revealed that employers in the formal private sector do not have a high regard for the quality of TVET graduates from local institutions and view most TVET programs in SI as essentially supply-driven and poorly taught. For that reason, they prefer to employ secondary school graduates with good academic records and suitable work attitudes and then train them on the job or send them out to take short courses to learn specific skills. Public Sector Within the public sector, which currently accounts for about 16 percent of paid employment, a retrenchment in 1999 and a freeze on hiring between 2000 and 2003 affected the availability of skills and resulted in a shortage of workers at mid-career level. There are also significant shortages of technically and professionally trained specialists in many fields. The current capacity to train these specialists is limited and cannot satisfy the demand for new public sector recruits.

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Of the 11,340 budgeted (established) positions, the study found that about 83 percent are currently filled and 17 percent are vacant. Of the just under 2,000 positions that are currently vacant, about three-quarters are in critical skill areas such as teachers (to staff the nation’s schools), police, marine, and prison officers (to help maintain public order and security), and qualified administrators (to manage public sector offices). Of these current vacancies, 52 percent require pre-service education at the degree level, about 45 percent require post-secondary education at the certificate or diploma level, and only three percent require candidates with a secondary or lower level of education. Regarding the need for in-service training, the study identified about 6,000 workers (some workers may have more that one skill deficiency) with specific skill gaps among the current Public Services Department (PSD) workforce in about 18 specific skill areas. Informal Sector In the informal sector, the study identified three general types of skills training requirements. These include skills required to: (1) improve the general quality of village life (through, for example, electrification and access to safe water); (2) prepare young people to find wage employment in rural industries such as logging and mining; and (3) promote village-based enterprises that would provide self-employment and supplement family incomes. Within the 122 villages that were surveyed for the study, about 80 percent of the representatives interviewed reported that they are currently trying to implement community development projects requiring specialized skills. It was also found that about 60 percent of their stated needs fall within three major occupational categories: (1) forestry/logging; (2) farming (both plants and animals); and (3) construction. The survey also identified 11 job categories where many young people may be able to find employment: (1) farmer; (2) teacher; (3) housekeeper/home-duties; (4) shopkeeper/ market vendor; (5) carpenter; (6) fisherman; (7) police/security officer; (8) nurse; (9) mechanic; (10) chainsaw operator; and (11) timber miller. Supply of Skills Training Traditional education provides trainees with the basic cognitive skills needed to acquire and retain skills. For this reason, the study strongly supports efforts to improve both primary and secondary education as a prerequisite for any government investments in TVET. Tertiary Education At the tertiary or near tertiary level, most in-country training is provided either at the Solomon Islands College of Higher Education (SICHE) or at the Honiara Center of the University of the South Pacific (USP). SICHE operates under the Ministry of Education and Human Resource Development (MEHRD) and offers certificate- and diploma-level

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courses for students who have completed at least a primary education, with the majority entering after Form 3 or Form 6. The number of students in Form 7 or in an equivalent university preparation program (the largest being the one at the USP Center in Honiara) was 1,312 in 2005 and 801 in 2006. There were 1,219 degree-level students in SI in 2005, about one-quarter of whom (283) were studying at the USP Center (where many students do their first two to three semesters of university study before going abroad to finish their degree programs) and three-quarters of whom (936) were studying abroad. Of those studying abroad in 2005, the largest numbers were at the main campus of the USP in Suva, Fiji (452 students in 2005); two other higher education institutions in Fiji, the Fiji School of Medicine (FSM) and the Fiji Institute of Technology (FIT) (182 students); the USP campuses in Samoa and Vanuatu (99 students); and several higher education institutions in Papua New Guinea (135 students). A relatively small number (68 in 2005) were studying in Australia, Japan, New Zealand, and the Republic of China. Training Centers Below the tertiary level, most long-term skills training (one to two years) is provided by Rural Training Centers (RTCs). RTCs currently enroll about 2,000 students a year and graduate about 1,200. These institutions are by far the most significant providers of skills training below the tertiary level in the country, and, with five new RTCs having opened in 2006, the system continues to grow. However, there are several problems with these institutions as currently constituted. The quality of the training that they provide is variable at best, with most being less than satisfactory. This finding is supported by the findings of both the recent EU Scoping Mission for TVET (2006) and the APHEDA study (Chevalier, 2003), a small tracer study of RTC graduates conducted in 2001. For the most part, RTCs are supply-driven rather than demand-driven. Most RTCs only offer a limited range of courses and curricula, which tend to be inflexible, generally outdated, and not closely linked to employers’ needs. While most have monitoring and evaluation mechanisms, these tend to be variable in quality and relatively ineffective. Also, they tend to be understaffed, they often use teaching staff who themselves lack the necessary training for implementing high-quality training programs, and they do not offer adequate in-service training to compensate for this. Finally, RTCs are both under-funded and under-resourced. Short-term skills training (one week to a few months) is primarily provided by three types of institutions in the private sector: (1) Community-based Training Centers (CBTCs); (2) training centers run by church organizations and other NGOs; and (3) employers. In the public sector, most short-term training is done by the Institute of Public Administration and Management (IPAM), but some public sector training is also provided by the government ministries in which the staff members work. CBTCs, which now number about 32 and have a total enrollment capacity of about 760 students at any given time, are small by any definition, but they do have the capacity to

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provide short-term training in simple skills. Most are not adequately funded, staffed, or equipped to provide training of the same duration and depth as that provided by the RTCs. There are fewer than 20 private training schools in SI. In general, they provide short-term training in such areas as business, information and communication technology, and banking in urban areas. Currently, they can enroll, in total, only a few hundred students in a single training cycle. The quality of training that they provide is considered by employers to range from fair to good. Employer-based training is provided only to those employees who are currently employed by the firms providing the training. Almost all firms in SI do some form of on-the-job training, and about 20 firms have formal in-service training programs. The study did not assess the quality of these programs, but anecdotal information suggests that it is fair to good. In the public sector, while IPAM is capable of training about 1,100 public servants a year, it does not have the capacity to meet the short-term training needs of the public service as assessed in this study. The quality of IPAM’s programs ranges from fair to excellent, depending on the subject taught and on the instructor who teaches the course. In summary, the study team has estimated that the existing short-term training providers can realistically train about 14,000 students per year. However, much of this capacity is provided by the 32 CBTCs, which typically offer only short instructional programs of about one week in duration. The country’s current capacity to provide high-quality, short-term training of relevance to employers is probably less than 2,000 students per year. Priorities for Training and Rationale for Proposed Reforms While there is significant unemployment in the Solomon Islands, there remains a strong demand for skilled labor in specific occupational areas. This demand exists in both the private and public sector, and this strongly suggests that the available workforce does not have access to the kinds of high-quality skills training necessary for securing employment in these high-demand occupations. The lack of skilled workers available to do key jobs directly affects the long-term productivity and economic well being of the economic sector in which this situation prevails. There are several possible reasons for this lack of capacity.

• Some of these needs may come from a lack of established training capacity in SI. • The potential capacity may exist, but there is a mismatch between the demand and

types of training offered. • The training capacity may exist, but the labor pool does not have the level of basic

education required to participate in the training. This is often the case in high-

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tech occupations where an understanding of mathematics, general science, and physics is required.

• The sector has an imbalance in its wage structure and thus for some reason the jobs that are in high demand pay salaries that are too low to attract skilled workers.

• Other industries or sectors pay significantly higher salaries for the same job, thus causing a drain of trained manpower from one industry or sector to another.

It seems likely that several of these factors are contributing to the situation in the Solomon Islands. Tertiary Education Most graduates of tertiary education in SI find some form of employment. For this reason, it is difficult to argue that graduates come out of their training without the skills needed by the market. However, there is significant evidence that there is a lack of available candidates for specific types of jobs requiring tertiary education in both the private and public sector. In the private sector, there is an unmet demand for administrators, managers, and various types of professionals such as engineers and accountants. In the public sector, it is seen in the unmet demand for: (1) teachers; (2) security officers; (3) administrators; (4) financial officers and accountants; (5) legal and judicial officers; (6) planning and IT specialists; and (7) forestry, conservation, and fishery officers, geologists, and hydro-geologists. There is also a small but important unmet demand for medical personnel such as doctors and laboratory technicians. These unmet demands suggest that there may be a need for more established training capacity at the tertiary level. In the Solomon Islands, where access to higher education is certainly difficult, this is probably true, but it also raises the important question of what priorities the government should specify in giving scholarships. The evidence suggests that there may be a mismatch between the academic subjects for which scholarships are currently being awarded and the more critical occupational needs of both the public and private sectors. Training Centers Below the tertiary level, there is significant evidence that new employees often lack the full set of skills required for maximum productivity in their jobs. Employers often find the quality of the pre-service training that was given to their newly hired employees to be less than satisfactory. This suggests that existing training providers are below par in terms of quality and/or that they are supply-driven rather than demand-driven. Although the supply of skilled workers is obviously low, it remains unclear if the demand is significantly higher than the existing training capacity. The study has found that the demand in the private and public formal sectors combined for workers trained at below the tertiary level is only a few thousand. The existing training providers seem to have enough unused capacity to meet this demand. Therefore, there may be no immediate

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need to increase pre-service training capacity for workers at this level. Instead, it may be more appropriate to increase funding and improve teachers and instructional quality within existing programs, both public and private. It is also particularly important to ensure that these institutions respond to demand rather than continue to do what they have been doing. For this to happen, the national government will need to establish a mechanism to identify demand in both the public and private sectors and then to allocate financial and human resources to support skills development in those areas. Short-term, In-service Training Short-term, in-service training is provided by both the private and public sectors. In the private sector, employers have the resources and the need to provide their own training. The amount and quality of the training that they provide is primarily their choice and responsibility. In the public sector, most in-service training is provided by individual ministries or by IPAM. Evidence suggests that the current capacity for in-service training is significantly less than the demand. The government should consider expanding IPAM’s capacity to meet current needs. Key Issues and Options The study identified a number of options for improving the quality of and increasing access to skills training in the Solomon Islands. It also noted a number of principles upon which the consideration of these options should be based:

• The NSTP should not be prepared or implemented in a vacuum. Instead, it should be a part of the government’s broader strategy to plan and implement reforms that will enhance the national economy and the well being of the population, in particular, of the poor and less fortunate members of the society.

• Regarding reforms in skills training coordination and funding at the national level, it is important to involve the private sector in the management and operation of the provider institutions and programs. This should ultimately include the overall supervision of the system and the allocation/management of funds. This probably should be done through some type of centralized organization that has the capacity to determine subsector demand for skills, set priorities, and then allocate national resources to the training providers who, in turn, will provide the necessary training to meet the identified demands.

• A full analysis of skills shortages in the Solomon Islands should include a close look at how basic cognitive skills and work-related attitudes are produced in the formal education system. This is because schools are responsible for producing the raw material needed for successful skills development — the school leavers and college graduates who possess the skills and attitudes that make them trainable. Without an effective general education system, it is difficult to achieve consistent and adequate levels of high-quality skills training. General education

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must be acknowledged as the foundation upon which good skills training can be built.

• Because the Government of the Solomon Islands is heavily involved in the financing of formal education (though less so in providing it), the size and allocation of the government’s budget are critically important in determining the efficiency and effectiveness of the education system and its impact on labor market outcomes. A large and increasing share of government spending has gone into tertiary education, leaving a small and decreasing share for primary and secondary education. This has happened even though together these lower levels account for 97 percent of students in the formal system of education and training and even though those who reach the tertiary level tend to be financially well-off by SI standards.

• Wherever possible, skills training should be funded primarily by non-government sources of financing. The government should provide the framework for the development and implementation of skills training but should not, for the most part, try to provide this training itself. The government should concentrate on financing selected aspects of skills development, including: (1) Public Services Department skills training; (2) the formal education system; (3) key skill areas that are vital for national development; (4) programs to achieve equity; (5) key priorities for tertiary development; and (6) programs to increase access to and improve the quality of life in rural/remote areas.

In the following matrix, the key issues are presented, together with proposed actions/reforms to address each issue. These issues and suggested actions or reforms are derived from the research findings of the study and through consultations with local stakeholders. Under each major heading, the actions or reforms are listed in the order in which it is suggested that they be implemented, with the highest priority item listed first. In proposing a sequence for implementation, the study team recognizes that some actions or reforms may need to be implemented before others can be attempted.

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Options for Reforming the Skills Training System in the Solomon Islands

Prio

rity

Issues

Actions/Reforms

Advantages

Challenges/Risks

to Implementation

Government-supported Education and Training at the Lower than Tertiary Level Education

1 Difficulty faced by bright students from poor families in finding the funds to attend Form 7 programs

Establish a program of needs-based bursaries for students in upper secondary and Form 7 education

• Access to Form 7 and tertiary education will be more equitable

• Programs may perform poorly due to mismanagement

2 Costly and difficult-to-access residential schools

Eliminate the option of having boarding facilities in schools but instead assist students from remote areas to make their own arrangements to stay with relatives or pay for room and board

• Unit costs for post-basic education in non-residential schools will be lower than in residential schools

• There may not be enough housing options for all students who wish to enroll in upper secondary education

3 Growing demand for higher quality at the upper secondary education level

Require that NSSs focus on providing upper secondary education (Forms 4-6) and on Form 7 (the transition class between secondary and tertiary education)

• Capacity for upper-level secondary education will be increased with minimal additional investment

• Other schools may not be able to provide the quantity and quality of lower secondary education required

• NSSs may not be able to accommodate the growing demand for upper secondary education

4 Significant inefficiencies in the provision of formal education and training services in public-supported programs

In sparsely populated areas, develop teacher-saving options such as multi-grade teaching as much as possible

• Internal efficiency will be increased

• Teacher shortages will have less of a negative impact on students’ learning

• Multi-grade teaching may not be effectively implemented and managed

• Communities may reject multi-grade teaching, assuming it to be less effective than single-grade teaching

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Advantages

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Government-supported Education and Training at the Lower than Tertiary Level Education

5 Significant inefficiencies in the provision of formal education and training services in public-supported programs (continued)

Reallocate the MEHRD budget to increase the efficiency of public expenditure on education and training Seek efficiencies in system and then shift more funding to making quality improvements in basic education and RTCs

• Internal efficiency may be significantly increased

• As the quality of services improves and their credibility with employers increases, RTCs and other skills training programs may receive more financing from non-government sources

• The reallocation review may be flawed and thus fail to increase internal efficiency, equity, and student access

• Established institutions and other vested interests within the education sector may oppose the reallocation

• The government may not have the political will to make the reforms

• Some reallocations may be unpopular with certain groups in the civil society

6 Difficulty of providing primary education and of recruiting and retaining teachers in remote areas

Expand system of primary schools in extremely remote communities

• The ever important focus on primary education is supported by this reform

• More primary students in remote areas will have access to primary education

• Shortages of teachers (willing to work in remote areas), supplies, books, and recurrent budget may limit the expansion and internal efficiency of these schools

• The expansion of primary education may not be a priority in spending reallocations

7 Much less efficient provincial secondary schools (PSSs) than CHSs and NHSs

Actively encourage the phasing out of PSSs and consider reallocating the funds perhaps to CHSs

• The quality of services will be improved

• Funds will be directed to the most efficient types of schools

• Some PSSs may actually operate as efficiently as CHSs and NHSs so careful evaluation is required

8 A lack of support for poor students seeking access to primary and secondary education

Establish more remedial programs and a system to waive school fees to help children from poor homes to complete at least the full nine years of basic education

• There will be more equity in access to primary and secondary education

• The program may not be as effective as it should be owing to the difficulty of administering it in remote areas

• Financial accountability may not be maintained as a part of the monitoring and evaluation process

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Advantages

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Government-supported Education and Training at the Lower than Tertiary Level Training

9 General inefficiency, limited resources, and supply-driven training in RTCs

Encourage RTCs to become more attuned to the needs of employers and communities Coordinate the courses that they offer through the NSTC Shut down programs with low placement rates

• RTCs will become more responsive to employers’ needs

• External efficiency will increase

• The quality of RTCs will improve as links with employers grow

• As the RTCs’ contribution to economic and community development increases, they will justify receiving increased resources from the government, employers, and donors

• RTCs may resist change, including the conversion to demand-driven curricula and course offerings

• Staff in RTCs may not have the training and experience to implement a demand-driven training program effectively

• Financial resources may be inadequate for the rapid conversion of the RTCs

10 Inefficient, low-quality CBTCs that do not meet the needs of employers

Ascertain the best way to upgrade the quality of CBTCs’ services Strictly limit the types of programs that they offer until effective monitoring and evaluation programs are established in each institution Restrict CBTCs from converting into RTCs unless they meet a strict, well-regulated set of criteria

• CBTCs will be prevented from becoming RTCs if they do not have the resources to assume that role

• The quality of services can be improved within the CBTCs, and the role for these institutions will be clearly defined – to provide short-term community-based training to support immediate, simple skills training needs

• The criteria for conversion to RTCs may not be rigidly enforced

• In practice, the CBTCs may not be upgraded to provide viable short-term training services

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Advantages

Challenges/Risks

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Government-supported Education and Training at the Lower than Tertiary Level Training

11 A lack of skills training services in remote areas to support community project implementation and the upgrading of worker skills

Using selected RTCs as bases, establish itinerant (mobile) skills training programs that go into villages to help to design and implement community projects and train adults and young people to implement and maintain them Also, use itinerant programs (sometimes referred to as mobile programs) to train young people in the skills they need to find new employment, upgrade their existing employment skills, and for self-employment

• Community projects would have well-trained technical teams to plan and design the projects, thus, ensuring that the investment is well spent in those communities

• During construction, the instructors would be able to use the project site as a field-based classroom for skills training

• The training would yield trained workers with the ability to maintain (sustain) the ongoing projects

• Over time, the instructors would be able to help individuals and groups to begin small community-based businesses and industries

• Itinerant skills training may not be supported by management team with sufficient dedication and sense of purpose to sustain the project

• It may be difficult to maintain financing over time for this specialized type of program

• Itinerant instructors may be hard to recruit and employ, and turnover may be high

• Although these programs require only a minimum of equipment and tools, these items may be valuable in village environments, making security a problem

Coordination at the National Level 1 The lack of a national

skills training organization/ scheme in which all employment sectors can be effectively represented, training demand can be monitored and shared with providers, resources and programs can be effectively allocated on a needs basis, and quality of services can be monitored and evaluated

Establish a National Skills Training Council (NSTC) as a parastatal body

• Central contact/location for the coordination of all skills training services offered in the nation

• More employer participation and input

• Scheduled review of employer demand

• Better use of training resources

• Better monitoring and evaluation of skills training programs

• Established demand-driven mechanism whereby skills training programs can be modified, established, and eliminated efficiently and reflect the needs of employers

• The government may not have the political will to prepare and issue the decree or pass an act of parliament

• The final decree or act might not, in the end, address the need for establishing a non-government based organization

• There may be weak management

• There may be a delay in staffing

• The council may establish a poorly defined work program

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Coordination at the National Level 2 The lack of a well

established plan/strategy, integrated with the national development planning process, to support national coordination, monitoring, and evaluation of skills training based on employer demand

Prepare a National Skills Training Plan (NSTP)

• The NSTP should provide the strategy and direction for the NSTC to follow

• The plan should also provide the benchmarks against which to measure future progress of skills development in SI

• The plan should provide the framework for detailed program planning within the NSTC

• The plan should set limits on of the amount of government resources spent on skills training

• The NSTP may be poorly conceived and prepared

• The plan may be poorly implemented by the NTSC

• The plan may not receive adequate resources

• The private sector input may not become a major feature of the plan

• The plan may change from being demand-driven to being supply-driven

3 The lack of sufficient financial funding for public and non-public skills training

Establish a National Skills Training Fund/Levy Seek donor support for public skills training If successful, make the training fund totally autonomous or coordinated by an autonomous organization such as the NSTC

• Increased scope and scale of training services will be made available to all sectors

• There will be increased flexibility in the funding of high-priority, small training activities

• There will be more opportunity for innovation in skills training

• The fund may fail because of mismanagement

• The fund may suffer from corruption

• Employers may refuse to participate because they perceive that they will get no benefit

• The fund may remain too small to be effective and may need short- to medium-term donor support to make it viable

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Advantages

Challenges/Risks

to Implementation

Coordination at the National Level 4 High youth

unemployment – potential for civil unrest – waste of workforce productivity

Set up comprehensive and robust youth employment scheme(s)

• This will reduce destabilizing trend in this vulnerable demographic group

• This will provide job skills training to a large segment of SI’s future workforce

• This will prepare more trained workers for employment in the private sector

• This will encourage more self-employment

• The employment schemes may not be robust enough to meet the needs of young people

• The programs may be poorly implemented

• Sufficient funding may not be acquired for the full implementation of the programs

5 Significant gender differences in the work force – waste of workforce productivity

Investigate the reasons for these differences and establish policies and reforms to bring the workforce more into balance

• This will increase workforce productivity

• This will reduce gender inequity

• This will empower women in society

• Socio/cultural attitudes may hinder push toward gender equity

• The reform may create other imbalances in society as more women go to work

Private Employment Sector 1 SI’s larger, formal-sector

firms are currently about 53 percent understaffed

Using the NSTC, make government /donor scholarships and available training capacity more responsive to the needs of employers

• This will help the country to achieve full employment and economic growth

• Full employment should significantly increase employer productivity

• Private sector success generally creates more jobs

• Private sector success should contribute to SI’s economic development

• The efforts of the NTSC may be insufficient to address this issue effectively

• The quality of training may remain too low to meet the productivity demands of employers

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Private Employment Sector 2 Insufficient national

capacity to train highly skilled and critical industrial craftsmen such as tool and die makers, highly certified welders, master plumbers, master carpenters, master machinists, master diesel mechanics, and master boiler makers

Establish small but well organized apprenticeship scheme, monitored, evaluated, and managed through the NSTC Provide partial subsidy for apprentices whose skills are considered critical to the economic development of SI

• This will provide a small but steady stream of master craftsmen for employment in the private and public sector

• This will provide high-quality, long-term training

• This approach to providing high-level skills training has been proven effective elsewhere

• This allows for flexibility to meet changing needs

• This approach is strictly demand-driven

• The effort may become too expensive to support without funding from the private sector and donors

• The program may not be well organized, managed, monitored, or evaluated by the supervising agency (NSTC)

3 A lack of sufficient skills training capacity in employer-based training providers

Under the provisions of the National Skills Training Fund/Levy Scheme, provide for a tax rebate program based on the kinds and amount of training that are done by each firm during the tax year Establish incentives to encourage employers to consider providing training for employees of other firms

• This will encourage employers to establish skills training programs to meet their own needs

• This will provide financing for skills training through other providers when employers can not provide their own training

• The rebate scheme may not be effective because the employers are too small to benefit from the opportunity

• Other providers may not meet the needs of employers even when they are given the resources for training

4 A lack of sufficient skills training capacity in private skills training providers

Review and relax regulatory and oversight requirements for private skills training providers

• This will increase training capacity to meet the short-term training needs of the private sector

• A relaxation of regulations and oversight might lead to financial abuse of students by profit-minded training institutions

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Challenges/Risks

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Public Employment Sector 1 A lack of sufficient

training capacity to support PSD’s pre-service and in-service needs

Expand the capacity of IPAM to support public sector’s training needs by doubling its capacity within one year and tripling it within five years

• The current skills training needs of the PSD will be met

• There will be a larger, more capable professional training organization focused full-time on meeting the training needs of the public service

• Funding may not be found to support the complete expansion plan

• Qualified training staff and managers may not be recruited and employed to support IPAM

• Ministries may not accept the new role of IPAM as the key public sector training provider

2 A lack of consistent quality in ministry-supported skills training programs

Provide resources and authority to IPAM to support ministry-initiated skills training by providing them with instructional designers/ coordinators, access to training facilities, and rigorous monitoring and evaluation

• Ministry-supported training will become more effective

• Cross-ministry interaction will be improved by integrating training

• Training needs will be more consistently and clearly identified

• Resources will be used better by integrating training

• Ministries may not agree to IPAM’s proposed new role

• IPAM may not be able to provide training of sufficient quality to satisfy ministry requirements

Tertiary Training 1 Allowances paid by NTU

to scholarship holders enrolled at the USP Center in Honiara that are virtually the same as those paid to those studying abroad

Adjust these allowances to reflect more accurately the real costs faced by scholarship holders

• Scholarships will cost less

• Scholarship holders may protest the reform

2 The inequitable distribution of education expenditure (as the share paid by families is higher at lower levels than it is for higher levels when families who pay for tertiary education are on average better off financially than those who pay for primary and secondary education)

Raise the average price that families pay for tertiary education and lower the average price for primary and secondary education

• There will be a more equitable balance in share financing by families for all forms of education

• Citizens who will have to pay more may protest against the reform

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Tertiary Training 3 Limited access to tertiary

education for bright children from poor families

Establish a program of needs-based scholarships (as distinct from merit-based scholarships, which are the predominant form of student financial assistance at present)

• Bright children from poor families will have more access to tertiary education

• Implementation may be hampered by poor management

4 Twice as many Form 7 students in the arts as in science even though the labor market has an increasing need for workers with strong science and mathematics backgrounds

Strengthen science teaching in both primary and secondary education Establish programs to encourage young people to study science at the secondary level

• More science- and math-oriented students will graduate from senior secondary schools with an interest in careers in science and technology

• Fewer students will study the arts, which will reduce the job opportunities in fields that they have studied

• No major risk is apparent

5 SI university students taking too long to complete higher education degrees (on average)

Reduce the average time that students are allowed to finish their degrees and/or penalize those who take longer to finish than needed (by eliminating or reducing the level of the allowances paid to them)

• More efficiency will lower per unit costs of higher education

• More efficiency will open up funds to be spent on scholarships, including targeted awards for the poor or for critical occupational areas and funds to be spent on lower levels of education

• Students who are affected may protest the reform

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CHAPTER 1: INTRODUCTION

Background The Solomon Islands (SI) are a nation of approximately 500,000 people in the South Pacific. The country consists of 992 islands that stretch for 900 miles from near the coast of Papua New Guinea’s Shortland Islands in a southeasterly direction towards Vanuatu. Landmass accounts for about five percent of the country’s total ocean area. Honiara, the country’s capital, is located on the island of Guadalcanal and is where about one in ten Solomon Islanders currently lives, goes to school, and/or works. Roughly the same number (10 percent of the population) live in the country’s bigger towns, in most cases provincial capitals.1 The rest of the population lives in small, rural villages spread out over the country’s islands (347 of the 992 are inhabited). There are about 3,000 rural villages nationwide. The typical village is made up of 125 to 150 men, women, and children, although some villages are smaller than this and a few are much larger. The economy of the Solomon Islands experienced major setbacks between 1999 and 2003 and has only, recently, started to recover. During that period, funding for schools was uncertain and enrollment growth stagnated. The period from 2003 to early 2006 was peaceful, and development indicators began to look better with help from the Australian-led Regional Assistance Mission to the Solomon Islands (RAMSI). However, following elections in April 2006, violence broke out again in and around Honiara, and, while an uneasy peace has since been restored, political divisions threaten to reverse the country’s recent development gains. One area in which progress has been interrupted is that of job training and skills development. Within the private sector, there is an increasing unmet demand for professionally and technically trained employees at all levels due to the interruption in the provision of education and training services and deterioration in their quality. Representatives from business and industry, the Government of the Solomon Islands, and the donor community all confirm that there are serious skill shortages in the present workforce and that these shortages negatively affect the overall productivity and political viability of the nation and prospects for economic growth. In the public sector, which currently accounts for about 16 percent of paid employment, a retrenchment in 1999 and a freeze on hiring between 2000 and 2003 have resulted in a shortage of workers at the mid-career level and of trained specialists in many fields. The current capacity to train these specialists is limited and cannot satisfy the demand for new public sector recruits. 1 SI has ten provinces, with Honiara and the rest of Guadalcanal regarded as two separate provinces. The provinces range in size from tiny Rennell and Bellona, with a population of fewer than 3,000 people, to Malaita, with a population of about 150,000 (more than Honiara and Guadalcanal combined).

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This problem is particularly acute in rural areas because these skill shortages threaten the provision of such crucial services as the electricity supply and access to clean water in these areas. Providing effective skills training in rural areas would prepare local young people to find wage employment in rural industries such as logging and mining and would equip them with the skills to set up village-based, income-generating enterprises. Some young Solomon Islanders (296 in 2006) have benefited from scholarships provided by the Government of the Solomon Islands and several bilateral donors to enable students to access tertiary education and training abroad, usually in Fiji, Papua New Guinea, Australia, and New Zealand. However, as the government acknowledges, there are some problems with these scholarships. They are not always awarded to the most talented or most needy students; they are not always given for the subjects that are most important for the future development of the Solomon Islands, and some of the funds now being allocated to scholarships would be better spent on increasing access to and improving the quality of basic education. Because of these various problems with the state of skills training, the government decided to explore the possibility of establishing a National Skills Training Council and to support the preparation of a National Skills Training Plan (NSTP). The Plan will guide the government, the private sector, donors, and NGOs in investing in the development of education and training in the Solomon Islands. This report is a background study for the government’s preparation of the NSTP. In support of this NSTP study, the New Zealand International Aid and Development Agency (NZAID) and the World Bank agreed in early 2006 to co-finance a technical assistance activity. This has been used to fund foreign and local consultants who have collected and analyzed the necessary data, have discussed their findings and recommendations with stakeholders, and have drafted a paper on the production and use of skills in the Solomon Islands. On March 23, 2006, the international team, Dr. Robert McGough and Dr. Peter Moock, spent about three weeks in SI to collect initial data and prepare an Implementation Plan for the study. By then, the Australian Agency for International Development (AusAID) and the European Union (EU) were providing further technical assistance and funding. The EU also supported the establishment and maintenance of the local counterpart team to collect and process data, to assist with the analysis, and handle local logistics.

The Objectives of the Study The NSTP study has three objectives. 1. To produce findings and make recommendations (complete with resource

implications) to facilitate the preparation and implementation of the NSTP.

2. To outline economic development trends over the medium and long terms and the likely demand for, and supply of, skilled/educated workers in both the formal sector

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and in the informal economy and to analyze how secondary and post-secondary graduates have contributed to the economy in the past.

3. To provide a framework for further discussions between the Government of the

Solomon Islands and its development partners regarding the role that skilled workers play in the national economy, the country’s need for formal and informal skills training, and the resources required to meet that need.

The Design of the Study Guided by a Study Steering Group representing the government, the private sector, and other stakeholders including key donors and NGOs, the actual study began in late March 2006 and continued for nine months until the end of December. The study had four phases, the first coinciding with the World Bank mission that visited SI in March/April 2006. These four phases were as follows: Phase I – Development of Study Framework and Activity Schedule. The study team reviewed the available literature, identified its baseline information needs, and agreed on the study framework and the activity schedule for the subsequent phases. Phase II – Data Collection and Initial Analysis. The study team collected, cleaned, organized, and analyzed the data from a number of special surveys and other data collection activities. Phase III – Final Analysis, Review, Synthesis of Findings, and Consultations with Stakeholders. The study team reviewed its research outputs, findings, and recommendations with key stakeholders and began writing the final report. A workshop took place in Honiara for the Study Steering Group and other stakeholders. Phase IV – Documentation and Discussions with the Government. The study team finalized the study report, in consultation with the Study Steering Group, as an input into the government’s development of a National Skills Training Plan.

Methodology and Data Collection The development of a sound and credible NSTP for the Solomon Islands requires, on the demand side, an analysis of the vacancies that public and private sector employers are seeking to fill currently and of those that will need to be filled in the future in order for the economy to grow. In addition, since most Solomon Islanders cannot expect to find jobs in the formal sector in the short to medium term, it was also necessary for the study to identify the skills required to support self-employment and micro-enterprises, especially in rural areas. Therefore, the NSTP study included several data collection activities to collect this information.

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However, simply looking at the demand side does not provide a full picture of the country’s skill needs. It is also necessary to focus on the supply side of the equation – on the skills now being produced in the country’s education and training institutions and in those overseas colleges where young Solomon Islanders go to study. It is possible, for example, that students at the University of the South Pacific (USP) or at the Solomon Islands College of Higher Education (SICHE) are graduating with skills that SI’s employers say are in short supply, and yet these graduates are still not being employed. If so, this would suggest that the training that students receive from these institutions does not include the specific skills needed by SI’s employers. Therefore, the study team decided to use a tracer study to collect data on students by their level and area of specialization and on their employment record after they have graduated and entered the labor force. Assessing Demand for Skills On the demand side, the study collected data from three sources: a survey of formal sector employers, government data on employment and job vacancies in the public sector, and an individual-level survey in rural and urban communities to assess the need for informal sector and self-employment skills in these communities. Employers’ Survey. The first data collection activity on the demand side was a survey of private sector firms that employ (skilled) waged workers. Most such firms are located, or at least headquartered, in Honiara. Only 80 firms currently employ 15 or more workers, and a few of these firms suffered fire damage to their premises. during the recent post-election riots. The study team decided that interviewing firms face-to-face and one-by-one was the best way to get complete and reliable data from the private sector. The NSTP study team asked the Solomon Islands Chamber of Commerce Industry (SICCI) to conduct these interviews on behalf of the study, and the EU agreed to cover the marginal costs incurred by SICCI in conducting the survey. Data on Employment in the Public Sector. The study team also acquired official data on the approximately 16 percent of the SI workforce employed by the public sector. The Public Service Department (PSD) provided the team with data on the numbers of public employees by government ministry and department, as well as a list of positions currently vacant. The study team also sought to obtain access to the age profile of current government employees and projected turnover rates, but this information was not readily available because the system of public record keeping and data management broke down during the tensions. Nevertheless, the team was able to obtain the necessary data to identify and analyze the critical skill shortages in the public sector. Survey on Skill Needs in the Informal and Self-employment Sectors. The study team contracted with an NGO, the Community Sector Program (CSP), to collect data on skill needs in remote rural villages where informal sector activities and self-employment are

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the norm. The CSP was chosen for its expertise in overcoming the difficulties involved in conducting one-on-one interviews in these remote areas. Its interviewers spoke Pidgin (the lingua franca) and understood and respected the cultural customs of the various communities that they visited. When the international consultants first visited SI in March 2006, the CSP had recently completed a survey of 300 “representative” rural communities to collect baseline information on village conditions. The survey data had been processed, and the analysis of the data was underway. A review of the questionnaire suggested that much of this information and analysis would be useful for the NSTP study. The CSP was willing to partner with the NSTP study team to collect information that would be mutually useful. It was therefore agreed that a sub-set of key questions from the earlier survey would be repeated and that a number of new questions was designed to assess rural skill needs. Another set of additional questions would track the employment and earnings of young people who had gone through low levels of education and training, including those who had dropped out before completing their courses and without being certified. While this approach did not constitute a truly random sample, there is reason to believe that CSP’s criteria for selecting villages resulted in a sample that is generally representative of village conditions nationally. Analyzing Supply of Skills To carry out a full analysis of skills shortages in the Solomon Islands, it was necessary to look at how the formal education system currently instills basic cognitive skills and work-related attitudes in its students. In essence, schools are responsible for producing the raw material needed for successful skills development – school leavers and college graduates who possess the skills and attitudes that will render them employable and trainable. Therefore, on the supply side, the study needed to collect and analyze data on current enrollments in education and training of all kinds and at all different levels. However, it also needed information on the allocation of public expenditures between education and other economic sectors and across levels and types of education. The Government of the Solomon Islands is heavily involved in the financing of formal education (though less so in provision as most SI schools are run by church groups or by provincial governments). The size of the government’s education budget and how it is allocated are both critically important in determining the efficiency and effectiveness of the education system and its impact on labor market outcomes. A large and increasing share of government spending is going to tertiary education (which caters only to the relatively well-off), leaving only a small and decreasing share for primary and secondary education, which together account for 97 percent of students in formal education and training. Public Spending on Education and Training. For these data, the research team relied on estimates published by the Ministry of Finance (MOF).

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National Training Capacity. The study team surveyed nearly 100 percent of all existing training providers in the SI in both the public and private sectors. The survey gathered data on: (1) the skills (subjects and courses) taught in formal and informal programs; (2) the types of long-term and short-term programs offered; (3) the average yearly enrollment in each program; and (4) the actual student enrollment capacity for each available program. The major source of information on current enrollments was the Solomon Islands Education Management and Information System (SIEMIS), which is maintained by the Ministry of Education and Human Resource Development (MEHRD). Tracer Study of College and University Graduates. The study team concluded that it would be necessary to implement a comprehensive tracer study of college and university graduates in SI. Because the study team had discovered that recent graduates in the SI often know one other, the team decided to assemble a small number of graduates (five to eight) from each year and location. For example, a small group who attended the University of the South Pacific in Suva, Fiji and whose programs of study ended at about the same time was brought together to provide information on other graduates in the same cohort. The study focused on two graduation years, 2003 and 2004 – far enough in the past that the graduates would have had time to look for employment but not so long that they were likely to have lost touch with one another. The methodology was based on the assumption that these small focus groups would know: (1) whether their fellow students had completed their courses; (2) whether they had returned home to SI and, if so, if they were living in Honiara or elsewhere in the country; and (3) whether they were now working and, if so, in what capacity. With this information, the study team felt that they would be able to reach some meaningful conclusions about the relevance of different degree programs to the labor market in SI and about how well these programs are meeting the needs of employers in the private and public sectors. Tracer Study of RTC Graduates. The study team derived data on graduates of Rural Training Centers (RTCs) from a recent tracer study financed by the European Union. This study was based on a small sample of 200 trainees who had graduated from RTCs between 1996 and 2001. As the study acknowledges, there were biases in the sampling in terms of the skill areas and the geographic distribution of the individuals and areas covered and of gender balance. The study also yielded minimal data on the quality and usefulness of the training in question. Thus, the findings should be treated with some caution, but the NSTP team decided to use them judiciously in the study as they do give an indication of the value of RTC training as perceived by recent graduates. Data from the community survey carried out by the CSP allowed for some assessment of the employment outcomes of these graduates.

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CHAPTER 2: FORMAL EDUCATION AND TRAINING

• Primary schools should be developed and managed to operate with more efficiency. They should use teacher-saving options, such as multi-grade teaching as much as possible.

• National secondary schools should provide only upper secondary education (Forms 4 to 6) and Form 7 (the transition class between secondary and tertiary education).

• The government should continue to encourage the phasing out of provincial secondary schools and the expansion of community high schools.

• To ensure access to post-basic education for bright students from poor families, the government could consider introducing a program of needs-based scholarships.

• More resources should be devoted to remedial programs and the waiving of school fees to help children from poor homes to complete at least the full nine years of basic education.

• Since SI’s future development will depend, in part, on the availability of workers with strong science backgrounds, the government should look for ways to strengthen science teaching in both primary and secondary education.

• The government should find ways to reduce the average time that students take to finish their degrees and/or should penalize those students who take longer to finish than needed.

Introduction In 2005, nearly 140,000 Solomon Islanders were enrolled as students in formal education and training at all levels (see Table 2.1). In addition to the majority enrolled in schools and colleges at home, there was a relatively small number (under 1,000) studying in universities abroad. Most students (71 percent of total enrollment) are in primary education. Pupils in basic education in the Solomon Islands are either enrolled in traditional primary schools (PrSs), which in 2005 accounted for 70 percent of primary pupils, or in community high schools (CHSs), which accounted for 30 percent. The CHS is a new kind of school that offers all nine years of “basic education” – the six years of primary school (Standards 1 to 6) and the three years of lower secondary school (Forms 1 to 3). In 2005, there were 538 PrSs and 115 CHSs across SI, which means that most children can access primary education from their homes as day students, although the commute (by foot, boat, and/or motor vehicle) can be quite long and onerous. Because many, especially poor children, even if they have attended kindergarten or had access to other pre-school learning opportunities, enter school not fully prepared to tackle the formal school curriculum, most PrSs and CHSs offer a preparatory year for 5 year olds (and also many 6 and 7 year olds who then enter Standard 1 a year or two later than the official entry age, which is 6).

Table 2.1: Formal Education Enrollments, 2005 Number Sub-total Total

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Education Levels of students percent percent Pre-school/kindergarten

Sub-total 11,282 100% 8% Primary education

Primary schools 69,629 70% Community high schools 30,041 30%

Sub-total 99,670 100% 71% Secondary education

Community high schools 16,188 66% Provincial secondary schools 4,773 19% National secondary schools 3,593 15%

Sub-total 24,554 100% 18% Tertiary and continuing education

SICHE 1,756 40% USP Center, Honiara 1,674 38% Overseas universities 936 21%

Sub-total 4,366 100% 3% All Levels

Total 139,872 100% Sources: For Pre-school, primary, secondary: Ministry of Education and Human Resource Development

(MEHRD), Solomon Islands Education Management Information System (SEIMIS). For the Solomon Islands College of Higher Education (SICHE): Ministry of Ministry of Education

and Human Resource Development, 2006. For the USP Center and overseas universities: National Skills Training Plan (NSTP) Study database.

Secondary education in SI consists of the three years of lower secondary plus three more years of senior secondary (Forms 4 to 6). With the exception of the lower secondary students now enrolled in CHSs, most secondary school students attend either a provincial secondary school (PSS), of which there were 15 in SI in 2005, or a national secondary school (NSS), of which there were 10 in 2005. These are located only in the larger towns and cities of SI, which means that children from remote rural areas need to find a place to live in order to attend senior secondary education. In practice, this often means boarding with relatives who have moved to the urban areas to take up jobs or look for work. Students who do well on the Pacific Senior Secondary Certificate (PSSC) examination can continue to Form 7, a kind of preparatory year for university entrance. There are no institutions in SI today that offer university degree programs. To obtain their Bachelor of Arts (BA) or Bachelor of Science (BS) degrees, students must study abroad. The largest number of SI students goes to the University of the South Pacific (USP), a regional institution for the Pacific Island countries, which has campuses in several countries, the main one being the Laucala Campus in Suva, Fiji. The USP Center in Honiara offers the first two or three semesters of some USP degree programs. It also offers the Foundation Program (a university preparatory course that is an alternative to

2-3

Form 7 for students who have completed upper secondary education) and continuing education courses for those who have completed at least a primary education. The Ministry of Education and Human Resource Development (MEHRD) runs the Solomon Islands College of Higher Education (SICHE), which offers certificate- and diploma-level courses in technical subjects, including teacher training, nursing, and industrial arts. Figure 2.1 shows the provincial distribution of PrSs, CHSs, and PSSs in 2005. The province of Malaita has the largest number of schools in all three categories, but it also has twice as many inhabitants (146,000 at the time of the 1999 population census) as the next largest province (Western, with 74,000) and more than Honiara and Guadalcanal combined (130,000).2

Figure 2.1: Primary and Secondary Schools by Province, 2005

33

43

78

11

24

62

134

105

6

8

19

14

4

8

35

4

15

1

1

3

1

1

3

1

1

2

38

102

1

0 20 40 60 80 100 120 140

Central

Choiseul

Guadalcanal

Honiara

Isabel

Makira and Ulawa

Malaita

Rennell and Bellona

Temotu

Western

Number of schools

PrSs CHSs

PSSs

Each province has at least one PSS. Malaita and Guadalcanal have three each, and Western has two. Even Rennell and Bellona, the smallest province (with fewer than 3,000 people), has 10 PrSs, two CHSs, and one PSS. There are, however, only 10 NSSs in the entire country, and these are less equitably distributed (see Figure 2.2). Six provinces have one or more NSSs, but four (Rennell and Bellona, Temotu, Central, and Choiseul) have none. There are three NSSs on Guadalcanal, plus another in Honiara (which is located on the island of Guadalcanal).

2 Honiara, the capital city of SI, is located on the island of Guadalcanal, but for administrative purposes, Guadalcanal and Honiara are treated as separate provinces.

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Isabel and Malaita each have one NSS, and Makira and Ulawa and Western each have two.

Figure 2.2: Location of National Secondary Schools by Province, 2005

Honiara, 1

Isabel, 1Makira and

Ulawa, 2

Rennell and Bellona, 0

Temotu, 0

Central, 0Choiseul, 0

Guadalcanal, 3

Malaita, 1

Western, 2

While nearly all schools in SI receive some funding from the central government, most schools are owned and operated by local governments or private providers, including various church groups (see Figure 2.3). The biggest religious provider is the Seventh Day Adventist Church (24 schools), followed by the United and the Christian Fellowship Churches (13 each), the Church of Melanesia (12), and the Roman Catholic Church (6). Three other church groups operate one or two schools each. The non-religious private providers are the Chinese Association Education Authority, the Woodford International School, and Kelyn, Tamlan, and Perch, three family-run education authorities. Woodford does not follow the SI school curriculum but rather the Queensland (Australia) curriculum. These five providers account for only eight schools nationwide, most of these at the pre-school level.

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Figure 2.3: Management Authority by School Type, 2005

82% 81% 80%

100%

10%

14% 18% 20%

70%

20%

1%5%

0%

20%

40%

60%

80%

100%

KGs PrSc CHSs PSSs NSSs

Other

Church groups

National Govt

Provincial govts

Most schools in SI (81 percent) are under the authority of the 10 provincial governments, including Honiara. This is true for all school categories, except for the 10 NSSs, seven of which are church-run, two of which are run by the central government directly, and only one of which is run by a provincial government. The two NSSs under the authority of the central government are King George VI (in Honiara) and Waimapuru (in Kirakira, which is in Makira and Ulawa province). These are the only educational institutions other than SICHE under the direct management and control of the central government. About 6,850 men and women teach in primary and secondary education in SI. More than half of these (57 percent) are male (see Figure 2.4). The only provinces where more than half of all teachers are female are Honiara (67 percent), Choiseul (60 percent), and Western (52 percent). The provinces with the lowest female-male ratios are Malaita (33:67), Central (34:66), Rennell and Bellona (35:65), and Makira and Ulawa (36:64). About two-thirds of those now teaching in the nation are “qualified” teachers, which mean that they have met established criteria and have been certified by the MEHRD to teach a certain grade or subject. The other third have fewer years of formal education and/or teacher training than the MEHRD specifies as suitable for the levels at which they teach.

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Figure 2.4: Characteristics of Primary and Secondary Teachers, 2005

34%

60%42%

67%46%

36% 33% 35% 42%52%

43%

77%

62% 66% 70%

91%

64%60% 60%

77%71% 67%

0%

20%

40%

60%

80%

100%

Central (360)

Choiseul (359)

Guadalcanal (1,141)

Honiara (497)

Isabel (359)

Makira and Ulawa (634)

Malaita (2,014)

Rennell and Bellona (90)

Temotu (297)

Western (1,081)

Solomon Islands (6

,831)

% female % qualified

The provinces with the highest proportions of qualified teachers are Isabel (91 percent), Central, and Temotu (77 percent each). The provinces with the lowest proportions are Malaita and Rennell and Bellona (60 percent each). The ministry plans to increase the number of qualified teachers in the country by targeting the most disadvantaged areas of the country with master teachers and mentors who will be assigned to conduct in-service training programs locally.

Enrollments in Pre-School, Primary, and Secondary Education Table 2.2 presents the enrollments in pre-tertiary education between 2000 and 2002 as recorded in the Solomon Islands Education Management Information System (SIEMIS) database. The total number of students enrolled in pre-school, primary, and formal secondary education rose from 110,000 in 2000 to 135,000 in 2005, an average annual growth rate of 4.1 percent. This is a higher rate than the population growth rate (2.8 percent between the 1986 and 1999 censuses), which suggests that the percentage of school-age children enrolled in formal education at all levels has been rising. The biggest growth rate over the five-year period has been in pre-school or kindergarten education (19 percent) and in upper secondary education (10 percent), as shown in Figure 2.5. Enrollments in the preparatory year (before the first year of primary school) and in lower secondary have been growing in the 3.5 to 5.0 percent range.

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Table 2.2: Enrollments in Pre-school, Primary, and Secondary Education, 2000-2005

2000 2001 2002 2003 2004 2005 Pre-school/ Kindergarten a/ 4,661 5,562 7,591 8,822 10,575 11,282 Preparatory year 16,458 16,420 17,416 15,724 17,608 20,941 Primary (S1-S6) 70,438 71,213 71,001 70,246 73,058 78,729 Lower secondary (F1-F3) 14,239 15,370 17,057 16,605 16,231 16,924 Upper secondary (F4-F6) 4,627 5,715 6,341 6,802 7,288 7,441

Total 110,423 114,280 119,406 118,199 124,760 135,317 Source: SIEMIS. Note: a/ KG enrollment for 2000 not recorded in SIEMIS. Extrapolated from 2001-2005 values.

Primary enrollments, however, have been growing more slowly than the overall population. Given that SI’s primary school-age population is growing about 0.6 percentage points faster than the overall population,3 this implies that the enrollment ratio (the percentage of school-age children enrolled) in primary education is not rising as one would hope and expect but is actually falling. This is a disappointing finding given that one of the key Millennium Development Goals (MDGs) calls for universal primary education to be achieved in all countries of the world by 2015. Given that Malaita has the largest population (twice that of the next largest province), it is not surprising that it has the most students enrolled in primary and secondary education. On a per capita basis, however, Malaita is almost exactly at the national average when it comes to the number of students enrolled (see Figure 2.6). The provinces that are over-represented in terms of students per capita are Rennell and Bellona, which has a tiny population (fewer than 3,000 people), and Guadalcanal, the island on which Honiara, the national capital, is located. (Although Honiara itself is slightly below the national average in terms of students per capita, with many labor migrants, Honiara probably has an older than average population, which would explain this statistic.) Enrollments in primary and secondary education in the nation as a whole have been growing at an average rate of 3.3 percent annually since 2000 (see Figure 2.7). The fastest growing student populations are in Guadalcanal (6.8 percent), Honiara (5.3 percent), and Rennell and Bellona (5.0 percent). Student numbers in Temotu and Isobel provinces have only grown by 0.4 percent and 0.1 percent respectively, and in Central and Makira and Ulawa provinces, enrollments have actually fallen since 2000.

3 World Bank, Statistical Information Management and Analysis (SIMA) database.

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Figure 2.5: Growth Rate of Primary and Secondary Enrollments, 2000-2005

19.3%

4.9%2.3% 3.5%

10.0%

4.1%

0%

5%

10%

15%

20%

KG/pre-school

Preparatoryyear

Primary (S1-S6)

Lower sec.(F1-F3)

Upper sec.(F4-F6)

All (KG-F6)

Ave

rage

ann

ual g

row

th r

ate

Figure 2.6: Primary and Secondary School Students per Capita by Province

6,137 5,86314,125

5,085 9,63525,614

71,55358,296

24,242 22,451

74,478

21,25437,456

5,46492018,285

2,822

36,80823,752

145,564

0.2970.262 0.257

0.243 0.2460.2420.210

0.2470.240

0.326

-

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

Centra

l

Choiseu

l

Guadalc

anal

Honiar

aIsa

bel

Mak

ira/U

lawa

Mala

ita

Rennell

/Bell

ona

Temotu

West

ern

Stud

ents

& p

opul

atio

n

0.000

0.050

0.100

0.150

0.200

0.250

0.300

0.350

Stud

ents

per

cap

ita

StudentsPopulationStudents per capita (SI average is 0.256 and indicated by dashed line)

2-9

Figure 2.7: Growth Rate of Primary and Secondary School Enrollments by Province, 2000-2005

-0.1%

2.7% 6.8% 5.3% 0.1%

-0.9%

3.9% 5.0% 0.4% 2.5% 3.3%

-2%

0%

2%

4%

6%

8%

Central

Choiseul

Guadalcanal

HoniaraIsa

bel

Makira and UlawaMalaita

Rennell and Bello

naTem

otu

Western

Solomon Islands

Ave

rage

ann

ual g

row

th r

ate

Girls are underrepresented at all levels of schooling in SI, and the boys’ advantage increases as students move up through the system (see Figure 2.8). Boys make up 53 percent of total enrollments in primary, 55 percent in lower secondary, and 60 percent in upper secondary education. The gender pattern varies among provinces. Overall, girls are least disadvantaged in Choiseul and Western provinces (48 percent of total enrollments in both provinces) and most disadvantaged in Makira and Ulawa, Malaita, and Rennell and Bellona (45 percent in all three). Curiously, in Rennell and Bellona, girls start out in primary education almost on a par with boys (49 percent of total enrollments – higher than anywhere else in the country) but are seriously under-represented at the secondary level (33 percent of the total in lower secondary and 32 percent in upper secondary – lower than anywhere else). The MEHRD has set 2015 as the target year for achieving gender equity in primary and secondary education. The addition of new boarding facilities for girls at secondary schools will be the main method used to achieve this goal.

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Figure 2.8: Girls as Proportion of Students by Level of Education and by Province, 2005

47%

45%

40%

46%

0% 10% 20% 30% 40% 50%

Primary (Prep-S6)

Lower secondary(F1-F3)

Upper secondary(F4-F6)

All levels (Prep-F6)

Solomon IslandsWesternTemotuRennell and BellonaMalaitaMakira and UlawaIsabelHoniaraGuadalcanalChoiseulCentral

Internal Efficiency of Pre-School, Primary, and Secondary Education Following pre-school/ kindergarten, most children in SI attend an additional preparatory year before they enter Standard 1, the first year of the official six-year primary cycle. The age at which children are expected to enter Standard 1 is 6 years old according to a UNESCO report on National Education Systems,4 but a very few children younger than 6 enter Standard 1, and many enter when they are older than 6. The modal age for Standard 1 pupils in SI is 8, and there are children in Standard 1 who are as old as 13 (see Figure 2.9). This situation is exacerbated by the large number of children who repeat grades in primary school (see Figure 2.10). More than 10 percent of children enrolled in the preparatory year repeat that grade in the next school year, and between 6 and 10 percent of children repeat grades 1 to 6). Repetition rates in secondary education are much lower, only 0.4 percent in Form 1 but rising to 2.3 percent by Form 5. Girls seem neither more nor less likely than boys to repeat grades in school. Repetition is especially high in Standard 6, Form 3, and Form 5 relative to the grades right before them. These are the grades in which students must take high-stakes national examinations to be selected into

4 http://www.uis.unesco.org/statsen/statistics/yearbook/tables/Table3_1.html.

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the next grade or next level of education – the SI Secondary Entrance (SISE),5 the SI Form 3 (SIF3), and the SI School Certificate (SISC) examinations for students in Standard 6, Form 3, and Form 5 respectively.

Figure 2.9: Age Distribution of Students in Primary and Lower Secondary

Education by School Grade, 2005

6

89

10 12 13 14

14 15 16

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

Prep Std 1 Std 2 Std 3 Std 4 Std 5 Std 6 Frm 1 Frm 2 Frm 3

Grade in school (label indicates modal age for this grade)

Num

ber

of st

uden

ts

at e

ach

age

An examination is also given to students in Form 6, the Pacific Senior Secondary Certificate (PSSC) exam, which is set by the South Pacific Board for Educational Assessment (SPBEA), a regional body headquartered in Fiji. This assessment helps the MEHRD to decide which students will be offered places in Form 7. Given that Form 7 is the surest gateway to a university education (which, in turn, is coveted by students because it often leads to high-paying jobs in the formal wage economy), one would expect repetition in Form 6 to be very high, but curiously it is not. Only about 1 in 200 students in Form 6 has to repeat that grade. The explanation for this may be that students who have progressed this far are already the cream of the crop. Moreover, those who do not earn places in Form 7 in a secondary school can enter the Foundation Program at the USP Center in Honiara, from which students can also apply to degree programs and which accepts most, if not all, applicants whose families can afford to pay its tuition fees.

5 There have been calls recently for the discontinuation of the SISE examination, but at the time of the NSTP study, students still had to sit for the SISE at the end of Standard 6.

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Figure 2.10: Repetition Rates by Grade, 2005

9.4% 9.7%

7.5%

6.6%

8.0%

8.8%

0.4% 0.7%

9.9%

10.4

%

9.1%

8.5%

8.1%

9.1%

8.6%

1.6%

1.8%

2.1%

2.3%

2.0%

1.7%

10.3

%

0.5%

1.3%

0.6%

0.0%

0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

11%

Prep Std 1 Std 2 Std 3 Std 4 Std 5 Std 6 Frm 1 Frm 2 Frm 3 Frm 4 Frm 5 Frm 6

Total Girls

Not only do students repeat grades in school, but many also drop out, which in the majority of cases is actually a question of failing to pass one of the several high-stakes examinations. Figure 2.11 is not based on a longitudinal study of a single cohort of students. Rather it reflects the cross-section of students enrolled in each grade of school in a single year (2005). The cross-sectional analysis actually overstates the number of drop-outs to a small extent, in that more children begin school (enter the preparatory grade) each year than in the previous year. Nevertheless, it gives a reasonably accurate picture of how children drop out between one grade to the next. It would seem that fewer than one in two children who begin school (enter the preparatory year) reach the final year of primary education. Fewer than one in four reach Form 3, and only one in 25 reaches Form 6. One factor contributing to high education costs in SI is the dispersion of the country’s small population (currently fewer than 560,000 people) across the country’s 347 inhabited islands, which are spread out over nearly 600,000 square kilometers of ocean. As a result, there are about 3,000 isolated rural villages in SI with populations of no more than 150 people.

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Figure 2.11: Student Attrition based on Cross-section of Students in 2005

100

83

7266

5852

44

3127

2317 14

40

10

20

30

40

50

60

70

80

90

100

Prep Std 1 Std 2 Std 3 Std 4 Std 5 Std 6 Frm 1 Frm 2 Frm 3 Frm 4 Frm 5 Frm 6

Nearly all primary pupils are day pupils, traveling to school each day by foot or canoe. This means that a typical primary school serves just one, or at most two or three, small villages that are within walking or boating distance of one another. Across SI, primary schools enroll an average of only 129 pupils, and in three provinces (Choiseul, Makira and Ulawa, and Rennell and Bellona), this average is less than 100, suggesting that there must be some schools with only 10 to 20 pupils in all grades (see Figure 2.12). Without a clear and consistently applied policy of multi-grade teaching, such small schools are barely viable, having very low student-teacher ratios and hence high unit costs (this will be discussed in more detail in Chapter 4). Even in Honiara, the primary schools are quite small by international standards, averaging just 266 pupils. The CHSs and the country’s secondary schools (PSSs and NSSs) tend to be larger but are still quite small. The average CHS enrolls just 402 students (spread out over six primary and three lower secondary grades), slightly more than the average PSS (318) and the average NSS (359). Honiara and Isabel have only one PSS each. Honiara’s PSS is one of the largest schools in the entire country with 929 students, and Isabel’s PSS is one of the smallest with just 24.

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Figure 2.12: Average School Size by School Type and Province

266

691

929

587

523

129

402

318

359

183

0 100 200 300 400 500 600 700 800 900 1,000

Primary Schools

Community HighSchools

Provincial SecondarySchools

National SecondarySchools

All schools

Number of students

Solomon IslandsWesternTemotuRennell and BellonaMalaitaMakira and UlawaIsabelHoniaraGuadalcanalChoiseulCentral

A key factor that drives differences in unit costs is the student-teacher ratio (Figure 2.13). Secondary education tends to have lower student-teacher ratios (and hence higher costs) than primary education because of the need for specialized teachers at this level. CHSs, which enroll students at both the primary and lower secondary levels, have only slightly lower student-teacher ratios on average than primary-only schools, 26.5:1 compared with 28.4:1. The NSSs seem to be reasonably efficient on average, with student-teacher ratios above 20:1, a reflection of the fact that most NSSs have at least 200 students. Only the NSS in Isabel is smaller with just 141 students. The PSSs have an extremely low average student-teacher ratio of just 1.9:1. This low ratio is an unusual finding and it seems unrealistic. With a lean toward caution, the study decided to note this finding without significant comment, and to recommend that further analysis should be made to determine if the finding was accurate and if so, why and how the issue should be addressed. Across both the primary and the secondary levels, the average student-teacher ratio varies considerably by province. Rennell and Bellona, with its very small population, has the lowest average student-teacher ratio, only 10.2:1 (see Figure 2.14).

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Figure 2.13: Student-Teacher Ratios by School Type, 2005

28.4 26.5

1.9

20.418.2

0

5

10

15

20

25

30

Primary Schools CommunityHigh Schools

ProvincialSecondary

Schools

NationalSecondary

Schools

All Primary andSecondary

Schools

Stud

ent-

teac

her

ratio

Not surprisingly, Honiara has the highest, 28.4:1. The rest of Guadalcanal (other than Honiara) and Malaita rank second behind Honiara, each having an average student-teacher ratio of 18.6:1. Temotu, with an average of 18.4:1, is just below them and just above the national average of 18.2:1. The gross and net enrollment ratios (GER and NER) are standard indicators used to measure the coverage and the internal efficiency of education systems around the world. The GER is a measure of the total volume of education provided by the education system. It is the ratio of total school enrollment to the total population of school-aged children (and includes overage children and repeaters). It is therefore possible to have a GER that is over 100 percent. The NER is a better indicator of coverage because it measures whether children of school age are actually enrolled in school. It is the ratio of the number of school-age children actually enrolled in school to the total number of school-age children in the population. In other words, since the official age range for primary school pupils in the Solomon Islands is 6 to 11, the net primary enrollment ratio (NPER) in SI is the ratio of the total number of 6 to 11 year olds in the country to the number of 6 to 11 year olds enrolled in primary education excluding all under-age and over-age students.

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Figure 2.14: Student-Teacher Ratios in Primary and Secondary Education by Province, 2005

17.0 16.318.6

28.4

14.2 15.218.6

10.2

18.416.9 18.2

0

5

10

15

20

25

30

Centra

l

Choiseu

l

Guadalc

anal

Honiar

aIsa

bel

Mak

ira an

d Ulaw

a

Mala

ita

Rennell

and Bell

ona

Temotu

West

ern

Solomon

Islan

ds

Stud

ent-

teac

her

ratio

We discuss unit costs across levels of education in Chapter 4, but it should be noted here that focusing exclusively on expenditures incurred by the central government alone will understate the high costs of the PSSs. This is because these schools often receive allocations from the provincial governments over and above the subsidies that they receive from the central government budget. Some of these additional costs are covered by the fees that PSS students pay, which can vary between SBD 600 and SBD 2,500 (the minimum and maximum fee levels allowed by MEHRD). It is evident from Table 2.3 and Figure 2.15 that the average GPER of countries classified by the World Bank as “low-income countries” is currently 104 percent, whereas the average GPER of countries classified as “high-income countries” is 100 percent. The GPER of SI, one of the world’s poorest countries (according to the World Bank, SI is ranked 135 out of 177 countries in terms of per capita GDP), is 120 percent, which is higher than all other countries in Table 2.3 except for Cambodia (137 percent) and Timor Leste (147 percent). This tells us that SI has reached the stage in its development where it has a large number of primary school places available but that the flow-through efficiency of pupils in primary education is still very low. Many children enter primary school late, and many repeat grades often and/or drop out early. This is confirmed by comparing the GPER with the NPER. SI’s NPER is currently only about 80 percent. This tells us that 20 percent of the children in the age group that should be enrolled in primary school (given the official age range) are not enrolled, either because they have

2-17

not yet entered (or never will) or because they have dropped out before completing the six-year cycle. Table 2.3: Primary and Secondary Gross Enrollment Ratios Compared with Other

Countries, Latest Available Year Gross enrollment ratio Net enrollment ratio Primary Secondary Tertiary Primary Secondary Low-income countries

Cambodia 137% 29% 3% 98% 26% Lao PDR 116% 46% 6% 84% 37% Mongolia 104% 90% 39% NA NA Myanmar 97% 40% 11% 87% 37% Papua New Guinea 75% 26% NA NA NA Solomon Islands 120% 30% NA 80% 26% Timor Leste 147% 34% 10% NA NA Vietnam 98% 74% 10% 93% 65% Worldwide average 104% 45% 9% 78% NA

Lower-middle-income countries China 118% 73% 19% NA NA Fiji 106% 88% 15% 96% 83% Indonesia 117% 64% 17% 94% 57% Marshall Islands 113% 87% 17% 90% 74% Philippines 112% 86% 29% 94% 61% Samoa 100% 80% NA 90% 66% Thailand 99% 77% 41% NA NA Tonga 115% 98% 6% NA 68% Vanuatu 118% 41% 5% 94% 39% Worldwide average 114% 74% 23% NA NA

Upper-middle-income countries Malaysia 94% 76% 32% 93% 76% Palau 101% 108% 40% NA NA Worldwide average 107% 85% 45% 92% NA

High-income countries Australia 103% 149% 72% 96% 86% Japan 100% 102% 54% 100% 100% New Zealand 102% 114% 63% 99% 95% Worldwide average 100% 99% 69% 93% 89%

Source: World Bank, UNESCO Institute for Statistics (UIS) and Organization for Economic Cooperation and Development, EdStats (Education Statistics Online Database).

SI lags behind many other low-income and lower-middle-income countries in the region in terms of its primary school coverage. At the secondary level, SI fares even worse. Only 26 percent of the official school-age population is enrolled in secondary education in SI compared with 37 percent in both Lao PDR and Myanmar, countries as poor as SI though not hampered by a population dispersed among many small and isolated island communities. Samoa, the Marshall Islands, and Fiji – all, like SI, Pacific Island countries (PICs) – are all richer than SI, and their net secondary enrollment ratios (NSERs) are 66, 74, and 83 percent respectively.

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Figure 2.15: Comparison of Net Enrollment Ratios among Low-income and Island

Countries, Latest Available Year

80%84% 87% 90% 90% 93% 94% 96%

26%37% 37%

74%66% 65%

39%

83%

0%

20%

40%

60%

80%

100%

SolomonIslands

Lao PDR Myanmar MarshallIslands

Samoa Vietnam Vanuatu Fiji

Primary Secondary

Tertiary Education: Solomon Islands College of Higher Education SICHE is operated by MEHRD and offers certificate- and diploma-level courses for students who have completed at least a primary education, with the majority of students entering after Form 3 or Form 6. SICHE is made up of six schools, as shown in Figure 2.16 below,6 the largest being the School of Education (771 students in 2005) and the smallest being the School of Marine and Fisheries Studies (only 40 students). The other four are the Schools of Finance and Administration (496), Industrial Development (188), Nursing (143), and Natural Resources (118). In SICHE’s School of Education, 255 students in 2005 (about one in three) were training to become primary school teachers, and 73 (nearly one in 10) were majoring in pre-school education (see Figure 2.17). The remaining three-fifths of the SICHE education students (443) were training to be secondary school teachers, specializing in eight different subject areas.

6 All of the statistics in this section are from MEHRD, 2006a.

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Figure 2.16: SICHE Enrollments by School, 2005

(Total number of students in all six schools = 1,756)

771

496

188

143

118

40

0 100 200 300 400 500 600 700 800

Education

Finance andAdministration

IndustrialDevelopment

Nursing

Natural Resources

Marine and FisheriesStudies

Number of students

Figure 2.17: SICHE School of Education, Enrollments by Study Area, 2005

Science12% Mathematics

12%

Primary education32%

Home economics9%

English/social studies11%

Pre-school education

9%

Agriculture3%Religion

3%

Industrial arts7%

Business2%

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The School of Industrial Development (Figure 2.18) trains vocational workers in seven main areas: carpentry (42 students in 2005), motor mechanics (40), electricity (39), plumbing (29), industrial drafting (17), engineering (11), and surveying (10). The School of Natural Resources (Figure 2.19) trains students in two main subject areas. In 2005, 104 students were studying agriculture, while 14 were studying forestry. SICHE’s other three schools offer a less heterogeneous range of courses. Most of the six schools (except for Marine and Fisheries Studies) offer both short (one year or less) and long (more than one year) courses. The majority of SICHE students do half- or full-year certificate courses (one or two semesters), but most of the schools also offer some two-, three-, and four-year courses for diploma and advanced-certificate students. Across all six schools, more than three out of five students are in their first year of study, three out of ten are in their second, 6 percent are in their third, and only 1 percent (25 students, all in the School of Industrial Development) are in their fourth year of study (see Figure 2.20). The School of Industrial Development offers several longer courses teaching higher-level technical skills. Figure 2.18: SICHE School of Industrial Development, Enrollments by Study Area,

2005

Engineering6%

Surveying5%

Plumbing15%

Electricity21%

Industrical drafting

9%

Carpentry23%

Motor mechanics21%

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Figure 2.19: SICHE School of Natural Resources, Enrollments by Study Area, 2005

Agriculture88%

Forestry12%

Figure 2.20: SICHE Enrollments by Year of Study, 2005

63%

63%

48%

59%

54%

100%

62%

26%

37%

29%

41%

46%

31%

11%

10% 13%

6% 1%

0% 20% 40% 60% 80% 100%

Education

Finance and Administration

Industrial Development

Nursing

Natural Resources

Marine and Fisheries Studies

All six SICHE schools

Year 1 Year 2 Year 3 Year 4

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The ratio of male to female students at SICHE is 55:45 (see Figure 2.21). All 40 students in the School of Marine and Fisheries Studies and 179 out of 188 students in the School of Industrial Development are male. Women outnumber men only in the Schools of Nursing (78 percent) and of Finance and Administration (51 percent). Even in the School of Education males hold a slight edge, occupying 53 percent of the available places.

Figure 2.21: SICHE Enrollments by Gender, 2005

47%

51%

5%

78%

40%

45%

53%

49%

95%

22%

60%

100%

55%

0% 20% 40% 60% 80% 100%

Education

Finance and Administration

Industrial Development

Nursing

Natural Resources

Marine and Fisheries Studies

All six SICHE schools

Female Male

SICHE is located in Honiara, but students enroll from all over the Solomon Islands (and a very few from overseas – one student each from Fiji and Vanuatu in 2005). In fact, relative to its population size, Honiara has by far the lowest enrollment of any of SI’s 10 provinces (see Figure 2.22). The province with the highest per capita enrollment is Rennell and Bellona, which is not only the smallest province in terms of population size but is also quite poor. It would seem that SICHE caters particularly to students from the poorer parts of the country, thus offering some degree of upward mobility for individuals who have done well in school but not well enough (or not having the necessary connections) to be awarded scholarships to study abroad.

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Figure 2.22: SICHE Enrollments per 1,000 Population by Province, 2005

3.46.2

2.90.7

10.0

3.6 4.8

14.3

6.34.0 4.2

02468

10121416

Centra

l

Choiseu

l

Guadalc

anal

Honiar

aIsa

bel

Mak

ira an

d Ulaw

a

Mala

ita

Rennell

and Bell

ona

Temotu

West

ern

Solomon

Islan

ds ave

rage

Stud

ents

per

1,0

00 p

opul

atio

n

To test this hypothesis, we calculated the percentage of males 14 years and older employed in the formal wage economy from the 1999 population census (31 percent) as a proxy measure of a province’s wealth and level of development, and we computed the Pearson correlation coefficient between this variable and the number of SICHE students per capita in 2005. The correlation coefficient was negative and reasonably large (-0.45), confirming that SICHE places are preferred by and/or targeted to the poorer, less developed parts of the country. Most SICHE students (62 percent) are between the ages of 20 and 25, but a few are younger and some are much older (see Figure 2.23). The oldest student in 2005 was 54. Thus, whereas SICHE for the most part trains young adults who have recently left formal schooling, it also caters to older individuals who have already been in the labor force and who enrolled to learn specific skills that they were lacking. Some of these older students are sponsored by their current employers. Over a third of SICHE students pay all fees and other costs out of their own pockets (see Figure 2.24). The rest are sponsored by their employers or by other benefactors. A few (15 percent) receive scholarships from MEHRD, the government ministry that oversees SICHE, but a large number of students (nearly a third) are supported by external donors.

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Figure 2.23: Age Distribution of SICHE Students, 2005

0

20

40

60

80

100

120

140

160

180

200

1 4 7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52Student age

Num

ber

of st

uden

ts a

t eac

h ag

e

Modal age 21

Mean age 24.8

Youngest student 13

Oldest student 54

Figure 2.24: Sponsorship of SICHE Students, 2005

All other sponsors (e.g., private firms, parastatals, prov.

govts), 17%

Private (i.e., self-sponsored), 36%

European Union (STABEX), 13%

NZAid/NZ High Commission, 19%

MEHRD, 15%

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The biggest such donors are the Government of New Zealand (19 percent of all SICHE students) and the European Union (13 percent) through its Stabilization of Export Earnings program (STABEX), which includes a large component in support of the education sector. Most of the MEHRD and New Zealand scholars are teachers in training. Three-quarters of all students in SICHE’s School of Education are sponsored students. Most of the EU scholars study in the School of Finance and Administration, where 63 percent of students are sponsored students.

Tertiary Education: Form 7 and University Study Abroad Form 7 is the transition grade between secondary and tertiary education in SI. Applicants to university degree programs must have successfully completed Form 7, which is offered in about 10 secondary schools across the nation, or have completed an equivalent university preparation program. A student in Form 7 (or an equivalent program) chooses between an arts curriculum and a science curriculum set by MEHRD. The largest Form 7 or equivalent program is the Foundation Program at the USP Center in Honiara (see Table 2.4). There used to be another, much smaller university preparation course called the Panatina University Matriculation Program offered by a private provider, but this was shut down in 2006. Two NSSs (St. Joseph’s Tenaru and St. Nicholas) opened new Form 7 courses in 2006. With the exception of a large program at the King George NSS, which has over 100 Form 7 students, most Form 7 programs in secondary schools are small, ranging in size from about 20 to 50 students. The Foundation Program at the USP Center expands or contracts in size from one year to the next in order to accommodate variable market demand for university preparation places. In 2005, USP enrolled over 1,000 Foundation Program students, but this number dipped to 450 just one year later. Since a majority of the students accepted into Form 7 programs in secondary schools receive government scholarships, most students choose this option if offered it. For those who do not get a place in a secondary school, and if their families can afford USP’s fees (SBD 3,150 in 2006 – SBD 450 per course with a full program consisting of seven courses), the Foundation Program provides them with a second choice.

Because of the relatively large USP enrollment in 2005, students in Form 7 programs in secondary schools made up only 22 percent of the total in that year (see Figure 2.25). Between 2005 and 2006, the number of Form 7 students in secondary schools increased by 21 percent (with most secondary schools expanding their enrollments by modest amounts and with two schools opening brand new programs), while the number of Foundation Program students at USP fell by more than a half. As a result, Form 7 enrollments shot up to 44 percent of total university preparation enrollments in 2006.

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Table 2.4: Enrollments in Form 7 and Other Programs Preparing Students for University, 2005-2006

2005 2006 Change Arts Science Total Arts Science Total 2005-6 Form 7 programs in secondary schools

Betikama College 11 19 30 12 21 33 10% Goldie College 12 13 25 14 13 27 8% Honiara High School 31 0 31 30 0 30 -3% King George National Secondary School 58 45 103 60 45 105 2% Selwyn College 20 20 40 25 23 48 20% St. Joseph's Tenaru a/ -- -- -- 10 12 22 -- St. Nicholas National Secondary School a/ -- -- -- 15 0 15 -- Su'u National Secondary School 23 18 41 18 33 51 24% Waimapuru National Secondary School 20 0 20 20 0 20 0%

Sub-total 175 115 290 204 147 351 21%

Panatina Univ. Matric. Prog. (UNIMART) b/ 19 0 19 -- -- -- -- USP Center Foundation Program 659 344 1,003 350 100 450 -55%

Sub-total 678 344 1,022 350 100 450 -56% Total 853 459 1,312 554 247 801 -39% Source: MEHRD information provided to NSTP study team. Notes: a/ Form 7 classes introduced in 2006. b/ Program shut down in 2006.

Figure 2.25: University Preparation Students in Form 7 and Equivalent Programs,

2005-2006

22%44%

78%56%

0%

50%

100%

2005 (1,312 students) 2006 (801 students)

Equivalent programsForm 7

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Students in the arts outnumber students in science subjects about two to one in SI’s university preparation programs (see Figure 2.26).

Figure 2.26: Students in Form 7 or Equivalent Programs Majoring in Arts and Science, 2005-2006

65% 69%

35% 31%

0%

50%

100%

2005 (1,312 students) 2006 (801 students)

Science studentsArts students

This ratio increased slightly between 2005 and 2006, an indicator that should be followed to determine if this is a continuing trend. Students may prefer majoring in the arts because they see it as the easier option, but SI’s development progress will depend on attracting more individuals into scientific fields. Another possible reason for the preponderance of university students studying the arts and social sciences as opposed to the hard sciences is the paucity of qualified science teachers and of well-equipped science laboratories in many SI secondary schools. In addition to the Foundation Program, the USP Center in Honiara enrolls two major categories of students – (1) those enrolled in vocational courses or continuing education programs (including one known as the Preliminary Program, which teaches a curriculum equivalent to Form 6) and (2) students admitted into overseas degree programs who will do their first two or three semesters of study in SI before transferring abroad to complete their degrees (see Figure 2.27). Most students at the USP Center are part-time, distance education students, using instructional materials (now including an online component) to study on their own and with tutors both from a distance and in short, face-to-face instructional modules at the Center. Some students may take a year or more to complete

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one full-time semester’s worth of courses. Students in the first category (continuing education and vocational) have a mixture of academic backgrounds.

Figure 2.27: Enrollments in Three Programs of the University of the South Pacific

(2b) Privately sponsored university

degree students (40), 2%

(2a) Govt sponsored university

degree students (243), 15%

(1) Preliminary, continuing

education, and vocational

programs (388), 23%

(3b) Foundation Program - arts majors (659),

39%

(3a) Foundation Program -

science majors (344), 21%

All have completed at least a primary education (Standard 6 or above). Some (especially those in the Preliminary Program, who have already taken the SI School Certificate exam given to Form 5 students) aspire to enroll in university degree programs, but others are studying simply for their own enjoyment and/or to enhance their market skills. A majority of those in the second category (university degree students) hold government scholarships. Only 40 of 283 (14 percent) in 2005 were privately sponsored and paying their own way.

As there is no complete university in SI, students must enroll in universities abroad to complete their degrees. The largest recipient of undergraduate students from SI is the University of the South Pacific (USP), which accounts for nearly three-fifths of all students studying abroad, a total of 936 in 2005 (see Table 2.5 and Figure 2.28). Most of these (48 percent of the total) study at the main USP campus (Laucala) in Suva, Fiji, and the rest study at the Emalus Campus in Vanuatu (9 percent) and the Alafua Campus in Samoa (2 percent). Two other higher education institutions in Fiji, the Fiji Institute of Technology (FIT) and the Fiji School of Medicine (FSM), account for nearly 20 percent of students in degree programs abroad. The remaining 20 percent or so of SI students studying abroad are split between the University of Papua New Guinea (6 percent of the total), other institutions in Papua New Guinea (8 percent), Australia and New Zealand

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(about 3 percent each), Taiwan in the Republic of China (about 1 percent), and Japan, which in 2005 had three students from SI (less than 1 percent of the total).

Table 2.5: Students in University Degree Programs Abroad New students Total number (in first year) University of South Pacific (USP)

Laucala Campus (Fiji) 452 153 Alafua Campus (Samoa) 15 4 Emalus Campus (Vanuatu) 84 11

Sub-total 551 168 Fiji institutions, other than USP

Fiji Institute of Technology (FIT) 14 9 Fiji School of Medicine (FSM) 168 52

Sub-total 182 61 University of Papua New Guinea (UPNG)

Taurama Campus 31 10 Waigani Campus 28 8

Sub-total 59 18 Other Papua New Guinea institutions

Divine World University 2 0 Goroka University 4 4 Pacific Adventist University (PAU) 30 0 PNG Maritime University 1 1 University of Technology (UNITECH) 39 17

Sub-total 76 22 Other countries

Australia 26 12 Japan 3 3 New Zealand 27 9 Republic of China (Taiwan) 12 3

Sub-total 68 27 All locations 936 296 Source: As reported by individual institutions and donor agencies to the NSTP

study team. It was difficult to get precise information from the government’s National Training Unit (NTU) or from the donor agencies that support education in SI on the percentage of SI students studying abroad who are on scholarships awarded by the receiving institutions. However, our estimate (based on what information we could get from the institutions themselves, the NTU, and the donors) is that about 95 percent of overseas students are sponsored.7 Most of these students have all or most of their tuition fees and other 7 Late in the preparation of the NSTP study, the government released its own audit of tertiary scholarships, which reviewed NTU’s administrative procedures and put forward a plan to address issues of equity, efficiency, and transparency (MEHRD, 2006b). While the Audit Report includes more detail on the subject of scholarships and overseas study, the findings and recommendations of the two studies are very consistent.

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expenses covered by their sponsors and pay little or nothing out of pocket. Although fees and other expenses vary by institution and by country, our estimate of the average cost of one year of overseas study is about SBD 78,000 (the equivalent of about US$10,130). We discuss this in greater depth in Chapter 4.

Figure 2.28: Breakdown of University Students Abroad by Location, 2005

USP (Fiji, Vanuatu, Samoa),

59%

Other PNG, 8%

University of Papua New

Guinea (UPNG), 6%

Other Fiji (FSM/FIT), 19%

New Zealand, Australia, Taiwan,

Japan, 7%

One concern that some of the sponsors have expressed is that SI scholars take longer to complete their degrees than needed because they live better as students than they can expect to live when they first return home and because they generally like the lifestyle that they encounter overseas. It has been reported that some students register for a full load of courses at the beginning of their studies or at the beginning of each new semester in order to satisfy their sponsors, but then drop some of the courses after the semester begins. Some also transfer to less demanding courses after the start of a semester. Since many students, probably a majority, do the first two or even three semesters of their university degree programs at the USP Center before they transfer abroad, it should not take them more than two or three years to complete their degree programs. If it is true that the number of students starting programs abroad has remained more or less the same from one year to the next in recent years (in other words, there has been no significant upward or downward trend), then we can estimate the average number of years that SI students spend in their study programs abroad by dividing the total number of students in 2005 by the number of new students in 2005.

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The average quotient across all overseas locations is 3.2 years, which is more than the expected two or three years (see Figure 2.29). The longest average times for completing study programs (3.3 to 3.5 years) are taken by SI students at the USP and PNG institutions. Students at FSM and FIT do somewhat better (3.0 years), and the shortest times are for students enrolled in institutions in Australia, New Zealand, Taiwan, and Japan, perhaps because the annual costs are higher at these institutions and the sponsors are more vigilant in monitoring the behavior of the scholars whom they sponsor.

Figure 2.29: Number of Years Taken to Complete Study Abroad, 2005

3.3

3.0

3.3

3.5

2.5

3.2

0.0 1.0 2.0 3.0 4.0

USP

FSM/FIT

UPNG

Other PNG

NZ/Aus/ROC/Jpn

All locations

Total number of students divided by first year students

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CHAPTER 3: SEMI-FORMAL AND NON-FORMAL SKILLS TRAINING

• RTCs have the potential to effectively meet many skills training demands, but many of

them need to be restructured so that the skills that they teach are in line with the needs of employers in the formal sector and with local needs in the informal sector.

• CBTCs have the capacity to provide short-term training for simple skills. They should be reviewed to ascertain the best way to upgrade the quality of their services, and the programs that they offer should be strictly limited.

• Employers have unused capacity to offer high-quality training programs to meet their own firm’s needs and the general demands of the formal labor market. The government should to encourage employers to participate in any national skills training scheme.

• The government should develop policies to encourage the creation of more private training institutions focused on meeting the needs of both public and private employers.

• IPAM should be scaled up by 100 percent immediately and then gradually increased to three times its current capacity and should be upgraded to offer a broader range of skills training.

• There is a need to bring together all of the various providers of semiformal and non-formal skills training (including RTCs, CBTCs, churches, NGOs, employers, and the government) to help to devise a national skills training scheme.

Introduction This chapter discusses the non-formal and semi-formal types of skills training that are currently available in the Solomon Islands. These non-formal and semi-formal types of training include both long-term programs offered by rural training centers (RTCs) and short-term programs offered by community-based training centers (CBTCs), by NGOs, and by the public and private sectors. The RTCs are by far the most significant TVET training providers in SI at the pre-tertiary level. Although, arguably, these centers could be considered formal TVET programs, RTCs lie outside the traditional secondary and tertiary school system. As such, for the purposes of this study, they will be treated and discussed as semi-formal programs. Types of Semi-formal and Non-formal Skills Training Providers There are several types of skills training providers that can be classified as semi-formal and non-formal. This section briefly describes the most significant providers in this group.

Rural Training Centers Since 1993, the European Union (EU) has been supporting RTCs through the Rural Training Centers Project, negotiated with the Solomon Islands Association of Rural Training Centers (SIARTC), an NGO representing all RTCs in the country. This is a

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stand-alone project and has assisted about 28 RTCs nationwide. Annex Table 1.1 lists all of the RTCs along with their estimated training capacity.8 RTCs enroll students aged 16 and older. Until recently, most students entering RTC programs were graduates of Standard 6 or were primary school dropouts. Currently, however, more students attend RTCs after completing Form 3 or Form 5. It is estimated that 8 to 10 percent of those who finish Standard 6, Form 3, and Form 5 today enroll either immediately or eventually in RTCs. The number of RTCs continues to grow. Don Bosco, Tetere, Kholaero, APSD-Fiu, Seghe, and Ngalikekero are new RTCs that opened in 2006. The study found that the RTCs offer courses in a total of 17 subject areas, but most RTCS offer a more limited range of skills training choices to their clientele (Annex Tables 1.2 and 1.3). Diversity of training is not a feature of the current RTC course offerings (see Figure 3.1). Of the 28 RTCs that are currently operating, almost all provide training in the same four skill areas – carpentry/building (19 of the 28), mechanics (16), agriculture (22), and life skills (22). This is most evident when one lists RTC teachers by their instructional specialty (Annex Table 1.4). Most RTCs provide training in only one set of skills, and the training lasts about two years. The RTCs provide considerable hands-on work experience (some closely related to the subject being studied and some less so) as well as formal classroom training.

Figure 3.1: Main Courses Taught in Rural Training Centers

Building & Carpentry,

89%

Mechanic, 68%Business Studies, 32%

Life Skills, 88%

Agriculture, 84%

Plumbing, 40%

Secretarial, 80%

Electrical, 80%Maths, 20%

English, 20%

8 Although the NSTP study collected and analyzed new data and generated some new findings, much of the descriptive information about RTCs reported here was taken from a recent study of technical and vocational education and training (TVET) conducted by a consultant team under the auspices of the EU. Henceforth in this chapter, this EU study will be referred to as the TVET Study. The description of RTCs, CBTCs, and other short-term training providers in this paper has intentionally been kept brief since this chapter is concerned primarily with the capacity of these organizations while other recent studies have focused on their operational characteristics and efficiency.

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The TVET study found that there are a few variations on this approach. For example, St Dominic’s RTC does offer multi-skills training, and St Martin’s offers a one-year agricultural course. The trade courses (carpentry/building, mechanics, and electrical) at Batuna VTC last for three years, and the courses at Stuyvenberg RTC last for four years. Most RTCs also provide training in business studies, although in many instances it appears that this is minimal and is merely a supplement to rather than an integral part of the main training activities. In March 2005, the Cabinet approved a new policy on TVET. The policy document, entitled Education for Living, was compiled with the help of a task force of 28 people representing a wide range of stakeholders. Education for Living presents the government’s vision for strengthening skills training opportunities for the people of SI in 22 policy areas. One of the new policies is to move towards a closer integration of the formal and non-formal education and training sectors. This reform is linked to the government’s goal of achieving universal basic education by 2015.9 To support the achievement of these goals, the EU has agreed to fund a four-year project10 to the value of about 6 million euros. An RTC tracer study 11 concluded that the training provided by RTCs benefits the trainees. The study’s small sample size did not make it possible to do a detailed analysis of the relevance of training by institution or by skill area, but 90 percent of respondents rated their RTC training as “very useful” or “useful.” The study collected information on each respondent’s salaried employment history over a five-year period. Nearly 60 percent of respondents had found some kind of paid work each year. About a quarter of these reported that they had worked for a company, while another half said that they had worked for themselves, their families, or their communities. (It is assumed that some of this employment was not remunerated with wages.) The study gives no information on the duration or permanency of wage employment. About 60 percent of respondents reported that they had earned money in other ways, mostly by means of an informal small business. The type of business activity varied, but the largest number of respondents had been engaged in small-scale retailing, such as the selling of clothes or betel nuts. The data suggested that at least some of the graduates used the skills that they learned at the RTC in their businesses, for example, baking bread, making clothes, or woodcarving. The recent TVET study found that the quality of training provided by RTCs, while variable, is generally low. However, the NSTP study team found some RTCs that were well managed and provided high-quality training. These institutions are good candidates

9 Universal basic education is a Millennium Development Goal, which has been embraced by the

Government of the Solomon Islands and modified to fit into the local context. 10 The project’s was originally only supposed to last for three years, but this was subsequently

amended by the EU. 11 Chevalier, 2006. Henceforth this study will be referred to as “the RTC Tracer Study.”

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to become “centers of excellence” and to provide advice and assistance to other centers as they seek to improve the quality of their training. The TVET study team also had several other concerns:

• RTC management and staff lack any commitment to reviewing their training

programs and responding to changing economic opportunities and related training needs in their communities. In short, their content is supply-driven.

• RTC curricula are generally vague and out-dated, with little attention given to how value can be added to the skills that people bring with them to the training center.

• RTC training managers and teachers are often under-qualified and inadequately trained.

• Little in-service training is available to RTC instructional staff. • Many RTCs put too much emphasis on theoretical rather than practical training

and give too little attention to developing the hands-on skills that are necessary for students to take advantage of income-generating opportunities in their communities.

• There are no quality assurance mechanisms in the RTC system. The TVET study team also found that the RTCs offer only a limited range of courses, mostly in the areas of woodwork/carpentry, mechanics, agriculture, life skills, and business studies. Except for the occasional short course, there is little opportunity at the RTCs for students to learn any skills outside these five areas. The results of the NSTP study team’s community-based interviews supported most of the above findings. They also found that there is a strong need for the RTCs to:

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• Change their curricula and the courses that they offer in ways that will better

prepare their students for the economic opportunities and related training needs that exist in local communities, thus becoming demand-driven rather than supply-driven.

• Develop multi-skills training programs so that they produce graduates who are better equipped to meet communities’ development needs.

• Provide in-service training for administrators and teachers. Associated with the issue of quality is the level of training that RTC teachers have received. A review of qualifications suggests that, out of 210 teachers surveyed, 36 are RTC graduates and 82 are graduates of an adult learning program. The remaining teachers have various certificates and diplomas. This finding suggests that upgrading teachers’ qualifications would be a major factor in improving instructional quality in most RTCs. Community-based Training Centers Community-based Training Centers (CBTCs) have a long history dating back to before the country gained independence in 1978. CBTCs are very small training centers, most of which are owned and operated by churches and other NGOs in rural communities. Historically, churches have played a major role in the foundation and operation of non-formal and semi-formal training institutions in SI. There are currently about 32 CBTCs across the country (they are listed in Annex Table 1.5). Human and financial support for CBTCs comes from many different sources depending on the courses being taught and the types of students being served. Examples of these various sources include, at the local level, CBTC committees and other community organizations and, at the national/international level, the SIARTC/EU project, EU micro projects, MEHRD, Oxfam Australia, APHEDA-Union Aid Abroad, the New Zealand High Commission, and UNDP. CBTCs typically offer a range of courses that can be divided into several categories: (1) technical or vocational; (2) community development; (3) peace and conflict resolution; and (4) church-related or religious. Most of these courses are short-term in duration, lasting for a week or two when there is an identified need and when teachers are available. They are offered intermittently based on the CBTC administrators’ understanding of the training needs in the community. Students can be of any age but most are late teens or young adults. Typically each CBTC has one teacher/coordinator, but part-time teachers are sometimes used as needed for specific courses. Courses are generally non-formal and community-based. The CBTCs are associate members of the Solomon Islands Association of Vocational and Training Centers (SIAVTC). When a CBTC satisfies certain SIAVTC criteria regarding the number and duration of subjects taught, it can become a full member of SIAVTC and be upgraded to RTC status. Our study found that the typical CBTC offers a limited range of lower-level services than can be found in the RTCs and at SICHE. While there is little hard data on the quality of

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these centers, the general consensus (of knowledgeable educators and employers) is that the quality of these programs is only poor to fair at best, although a recent study that focused on the quality of CBTCs found a significant level of student satisfaction with their services.12 Students who complete CBTC courses do not receive any credit that can be applied to higher-level vocational courses. Most CBTCs have very few resources, few staff, a limited curriculum, and little management support. The quality of some courses was reported in this study to be good, but such courses were rare and generally had been established to meet some special community purpose. The quality of the training provided by CBTCs tends to be driven by the charisma or otherwise of the center’s manager or teacher. Public Service Training at the Institute of Public Administration and Management Government workers in SI are all part of the employment group known as the Solomon Islands Public Service (SIPS). The study team estimated that government workers comprise about 18 percent of paid employees in the country’s workforce, excluding teachers. The overall management of SIPS is the responsibility of the Public Service Department (PSD), which is a branch of the Prime Minister’s Office. All training for the public service used to be carried out by an institution called the Administrative Training Center. However, in 1998, the Center was closed and the Institute of Public Administration and Management (IPAM), a training organization established with the support of AusAid, was created and given responsibility for administration and management training for the public sector. However, IPAM was disbanded in mid-2000 and its budget was withdrawn, and the mandate for public service training was transferred to the Solomon Islands College of Higher Education (SICHE). Over time, shrinking resources diminished SICHE’s capacity to carry out public sector training. Therefore, in late 2004, the government and AusAid decided to re-establish IPAM and conducted a training needs assessment. Some of the results of that assessment are referred to in this study. At present, IPAM primarily provides short-term training and induction courses for those who are new to the public service and/or who need to be familiarized with the structure, rules, general orders, ethics, and codes of conduct that relate to working in government. Currently, IPAM is offering the following courses: (1) Executive Personal Services; (2) Human Resource Management; (3) Public Finance; (4) Public Service Appointments and Promotions; (5) Public Service Disciplinary Procedures; (6) Public Service Induction; (7) Registry Procedures; and (8) Solomon Islands Law. These courses are repeated as many as eight times each year in Honiara and are in high demand by the various ministries. Interviews with IPAM staff, government leaders, and former students suggest that the quality of the instruction provided in IPAM’s courses is fair to good, depending on the individual teachers. Since IPAM has just been re-established, it is likely to be going through the difficult early stages of getting organized, and these difficulties are compounded by the fact that the political situation in SI is currently somewhat unstable. 12 Union Aid Abroad, APHEDA, and Solomon Islands Association of Rural Training Centers, 2003.

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Nevertheless, IPAM has the potential to develop into a strong, flexible, and effective training organization to support public sector development, especially if it continues to receive donor support. Other Providers of Short-term, Non-formal Skills Training In addition to the RTCs, CBTCs, and IPAM, there are over 20 short-term training providers in SI. These include the University of the South Pacific (USP), various NGOs, and other private sector, firm-based training programs. 13 Most of the courses offered by such providers accept students of any age. The courses range in duration from about one week to several months. The most notable of these providers include The Distance Learning Center Project which was established under the umbrella of People First Net, an NGO-supported distance learning organization, and is financed by the EU. The project is intended to cover curriculum development, teachers’ in-service training, TVET, and multi-purpose telecommunication services in rural communities. Although so far it has added little capacity to the short-term training supply in SI, it has significant potential to do so as it becomes better established. Pilot centers are planned and will be located close to RTCs. This close proximity provides these two types of providers with opportunities to develop training partnerships. In this way, each gains from the other. The Distance Learning Center Project can increase access for rural students, while the RTCs can provide students with access to skills training facilities, equipment, and teachers. In cooperation with SIARTC, project managers are designing online training modules. Another key training provider, Kastom Gaden Association (KGA), provides training and assistance in community food security and sustainable livelihood development to rural communities. It also supports farmers’ efforts to organize networks and to access training. It actively supports the promotion of sustainable agricultural-based livelihoods based on small business development and cooperative marketing of produce. Some of KGA’s training is being provided through those CBTCs and RTCs with which KGA has established partnerships. Various private sector skills training centers have also been set up, mostly in Honiara. Some examples of these are: (1) Willies Electrical – electrical trade and solar power; (2) Gizo Secretarial – computing and secretarial skills; (3) Gretek Business Training Center - computing and secretarial skills; (4) Design and Technology Center – computer skills, electronics, design, applied science, and music; and (v) Honiara Sewing School – sewing. Annex Table 1.5 lists all of these additional short-term training providers in SI and their estimated training capacity. The quality of the training provided by most of these other providers is poor to fair. However, there are some providers that offer training of a higher quality. Typically, these are either for-profit, private training schools or employer-based programs for in- 13 We also discuss private sector training in Chapter 5.

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service training. Both of these types of programs are designed with a specific audience and purpose in mind, they employ sufficient instructors who are well qualified, and they are funded well enough to ensure quality and student satisfaction. As a result, many of these programs are of good to excellent quality. This observation is consistent with findings in other countries where private and employer-based training programs tend to be successful in meeting the purposes for which they are designed.

The Capacity of Semi-formal and Non-formal Skills Training Providers The existing training capacity of semi-formal and non-formal skills training providers varies widely. This section provides a brief overview of the current capacity of the major providers. Long-term Training - RTCs There are currently 28 RTCs located in eight provinces (see Figure 3.2) (Honiara and Central Province have no RTCs.) Based on the latest (2006) enrollment figures, a total of just over 2,000 students study in these centers (Figure 3.3), and about 1,200 trainees graduate each year from a combination of one- and two-year programs. The Roman Catholic Education Authority runs three RTCs for girls only and two for boys only. Of the 2,036 trainees currently enrolled, the gender breakdown is 73 percent (1,484) male and 27 percent (552) female (Figure 3.4).

Figure 3.2: Number of RTCs by Province

5

1

1

6

4

2

0

8

1

0

0 1 2 3 4 5 6 7 8 9

Western

Temotu

Rebel

Malaita

Makira

Isabel

Honiara

Guadalcanal

Choiseul

Central

Number of RTCs

The current low teacher-student ratios in these institutions suggest that there may be some unused capacity in most of these institutions. The average RTC teacher-student ratio is currently about 1:7 compared with the government’s standard of 1:15. In some RTCs, the study found the ratio was as low as 1:2.5. TVET providers often argue that, because TVET requires specialized subject teachers, more teachers are needed per

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student than is specified by the government’s standard to provide the training within RTCs. International experience has shown that low ratios can be raised when institutions offer a wider variety of instructional programs and/or increase the size of their existing programs. Given that specialized teachers are hard to train, recruit, and retain and that the cost of teachers is a significant proportion of total program costs, it can be argued that larger, more heavily enrolled programs are more cost-effective and more likely to provide training of the level of quality that is demanded by employers. Where it is possible to expand programs and to increase teacher-student ratios, the resulting increase in internal efficiency can significantly reduce unit costs. This is one argument for increasing the size and scope of RTC capacity.

Figure 3.3: Total Enrollments by RTC, 2006

5526

110

1750

101

51 56

132

23

72 7434

54 6234 23

113112

189

56 42

263

176210

2460 60

0

50

100

150

200

250

300

Vatu

Taba

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Taba

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Suva

Styv

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. Mar

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Divi

tBa

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Aira

huAf

utar

aAp

sd -

Fiu

Segh

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ero

Number of Students

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Figure 3.4: RTC Enrollments by Gender, 2006

181

132 141

0

49

170

79 77

6 1950

021 30

58

0

132

6531

7240

76

9 1639

29

4546

42

7

19

33 36

1715

12

54 1318

14

23

0

0

30

29

10

810

18

34

0

50

100

150

200

250

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Airahu

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Don B

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e

St.Dom

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St.M

artin

St.M

ark

Styven

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Suva

Tebak

a

Taylor

Tebaie

haVatu

Enrollment

FemalesMales

Short-term Training Capacity The study team attempted to estimate the total amount of short-term training capacity provided by CBTCs, IPAM, and private for-profit and employer-based programs. CBTC Capacity. CBTCs tend to very small, with an average enrollment of just 24 students in 2006. For the purposes of this study, it was assumed that a CBTC’s current enrollment was equal to its enrollment capacity. Under this assumption, the enrollment capacity of all 32 CBTCs is only about 760 students at any given time. However, the total output per year or annual capacity is difficult to estimate precisely. CBTC course offerings change frequently, as does the duration of the courses offered. In short-term training, true institutional capacity is driven mostly by: (1) availability of funds; (2) availability of skilled personnel to teach courses; (3) availability of facilities and equipment required for specific technical/vocational instruction; (4) competing community events; and (5) the energy and commitment of principals, trainers, and the local community. These factors vary widely from one CBTC to the next. Accurate estimates of graduate output per year did not seem to be available either from the institutions themselves or from central sources. What little data do exist suggested that, with few exceptions, most CBTCs offer only three to five course cycles per year. Annex Table 1.5 provides a breakdown of the assumed capacity for each CBTC currently in operation. If it is then assumed that the CBTCs offer, on average, four course cycles per year, then the annual capacity would be about 3,040 participants trained over the course of one year.

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IPAM Capacity. IPAM currently offers eight inter-related training programs (see Annex Table 1.5), each having an enrollment capacity of 25 to 50 students. With this level of participation and assuming that programs are repeated twice on average during the course of a year, annual capacity is about 800 students. It is estimated that, if fully staffed and funded, IPAM could teach about 47 classes of varying duration, with a total enrollment of about 1,100 public servants.14 It should be mentioned that IPAM is planning to expand its capacity as it is able to obtain more resources from the government and donors. The new courses that it hopes to offer include in-service training courses in such high-priority skill areas as management and accounting. Total Capacity for Short-term Training. When the capacity of all of the 56 short-term providers are combined (CBTCs, IPAM, and the other providers), these 56 currently have a single cycle enrollment capacity of about 2,600 students (see Figure 3.5). Although the length of the courses varies from one week to up to six months, the average is 5.5 weeks. The average enrollment capacity of the 56 short-term training providers is about 46 students at any one time. This average is deceptive, however, because nearly 50 percent of the total capacity is accounted for by just six of the providers. Multiplying the total number of providers (2,600) by the average duration of their courses (5.5 weeks) results in a single cycle of course delivery equal to 308 training weeks. Assuming (optimistically) a 48-week training year, each cycle represents about 11 percent of the training year. Since each cycle currently enrolls about 2,600 participants, the total capacity of short-term training can be estimated to be about 23,400 students per year. However, this estimate of capacity represents a 100 percent facility utilization rate, which is not likely in practice. International experience suggests that a 60 percent facility utilization rate may be more typical in short-term training programs, and even that rate may be hard to maintain in the difficult training environment in SI. This is due to the changing needs of employers, the difficulty of recruiting enough students to ensure maximum enrollment, and the lack of specialized teachers where they are needed. Therefore, if it is assumed that: (1) average enrollment will continue at the present level, (2) the current enrollment rate is an accurate estimate of the current capacity of each institution, and (3) facility utilization rates for short-term training cannot exceed 60 percent, the study estimates that the existing short-term training providers realistically have the capacity to train about 14,000 students per year. In 2006, these short-term providers offered about 100 different types of courses (see Annex Table 1.6). The combined capacity of all 56 providers per course type ranges from about 6 to 220 students. Our review of the programs and their staffing and facilities suggests that there is significant unused capacity at many of these training sites. Most (83 percent) short-term providers offer only a single type of training (see Annex Table 1.7), and there are a limited number of teachers available to teach most of the short-term courses (Annex Table 1.8). Given these limitations, most short-term training providers will be unable to reach their full institutional training capacity even if there proves to be a growing demand for their services. 14 Raikes, 2004.

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Figure 3.5: Total Enrollment in Short-term Skills Providers (at any one time)

3520

163

30303030

384

3030

242020

1515

2570

30

1530

2050

30

15030

2015

30

20108

251515

303030

20120

400202020

40

3020

314

60

245512

30

1530

0 50 100 150 200 250 300 350 400 450

Yesbel Mothers Union

Vuranini

USP

UNICEF

UNDP

Turusula

Toroa

Technisyst

Tanagai

Takwa

Systek Business Computing Services

St. Theresa

St. Cecillia (Verahue)

St. Albert

Sinaragu/WCBC

Shepi Heupiri

SBEC

Sausama

Salanakusi

Saeka

Robin Low

Red Cross

Police Academy

PF NET

Nolan

Ngukugasi

Ngalikekero

Nareabu

Nadai

MIDA

Mana'abu

Lau

Lambulambu

Labukulia

Kurakini

Kavabiri

Kastom Garden

JAP

IPAM

HH Sewing School

Hatakau

Handicap Centre

Gretek Business Training Centre

Gnowunafiu

Gizo Secretarial School

eWorld technology (SI Ltd)

Don Bosco

Disability Support Center

Design and Technology Center

DATEC

Coast Watchers

BIP

Belanimanu

Asimana

APSD

4-1

CHAPTER 4: COSTS AND FINANCING OF EDUCATION AND TRAINING

• Some reallocation of the budget is needed to increase the efficiency of public expenditure on education and training because at the moment tertiary education’s share is very high relative to the number of students enrolled at this level.

• To ensure access to tertiary education for bright children from poor families, a program

of needs-based scholarships is needed, which would amount to a policy of variable pricing, whereby families with higher incomes pay more than poorer ones.

• Public spending on skills training, while limited, is probably sufficient at this time. As

for the costs of informal skills training, the government covers only a very small proportion, and the private sector (industry and NGOs) covers the rest.

• Scholarships issued by the government’s National Training Unit (NTU) need to be

reduced for those students enrolled at the USP Center in Honiara because they are currently paid the same amount as the allowances paid to students who study overseas even though most of them live at home or with relatives.

Introduction This chapter will look at the costs of education and training in the Solomon Islands and examine how they are financed, with particular emphasis on the role of the central government. In our analysis of public expenditure on education and training in relation to the country’s gross domestic product (GDP) and overall government budget, we also make comparisons between SI and other countries in the region and particularly with countries that are comparable in terms of development indicators and per capita income. We also analyze unit fiscal costs (government spending per student on different levels and different types of education and training) to assess the equity and efficiency of recent expenditure patterns.

Government Spending on Education and Training Table 4.1 summarizes the central government budget in 2004-2006. The budget is financed primarily from three domestic sources. The largest share of domestic revenues (around 57 percent) is from “inland revenue,” the taxes imposed on property, salaries, business profits, and commercial transactions. Smaller shares are accounted for by customs and excise taxes (about a third of the domestic total) and by government fees and user charges (about 10 percent). Since 2005, the Government of New Zealand, under its bilateral assistance to SI (which, in addition to education, focuses on governance and private sector development), has provided direct budget support to the government.15

15 New Zealand’s budget support was approved officially in 2004 but did not become available, as reflected in the Ministry of Finance’s official budget figures, until 2005. The European Union (EU) is another donor giving significant support to government’s education and training sector, but most of EU’s aid is indirect and extra-budgetary and is not reflected in the Ministry of Finance’s recurrent estimate figures.

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This support is fully earmarked for the Ministry of Education and Human Resource Development (MEHRD) to use to improve quality and raise participation levels in primary and lower secondary (basic) education. New Zealand’s assistance is targeted to poor children in disadvantaged parts of the country in particular, since these are the children least likely to enter school and, in the case of those who do, are the least likely to do well and the most likely to drop out early.

Table 4.1: Revenue and Recurrent Expenditure, 2004-2006 2004 2005 2006 Actuals Rev.Est's Init.Est's A. Government revenues [=B+C] (SBD '000) 515,819 639,809 749,401

B. Domestic revenues 515,819 599,809 688,119 Inland revenue 299,102 341,109 386,071 Customs & excise taxes 172,670 200,946 227,530 Ministries' income from fees and user charges 44,047 57,754 74,519

C. New Zealand budget support to education 0 40,000 61,282 D. Recurrent government expenditure (SBD '000) 453,559 730,219 829,401

Personnel costs (salaries, wages and benefits) 171,260 228,339 224,960 Non-personnel costs 232,650 408,848 457,941 Debt service 49,648 78,030 101,700 Transfer to development budget 0 15,002 44,800

E. Surplus (Deficit) [=A-D] (SBD '000) 62,260 -90,410 -80,000 F. Recurrent education expenditure (SBD '000) 107,265 183,871 235,520

Expenditures financed from domestic sources a/ 107,265 143,871 174,238 New Zealand budget support to education 0 40,000 61,282

G. GDP (SBD '000,000) 1,932 2,151 2,357 Sources: For revenue and expenditure estimates: Ministry of Finance, 2006. For GDP (gross domestic product) estimates: World Bank, Statistical Information Management and Analysis (SIMA), online database. Note: a/ Government budget allocated to MEHRD plus school fees and other income raised by MEHRD.

These additional resources from New Zealand are large relative to the government’s revenues from its own domestic sources, amounting to 6 percent of total revenues in 2005 and increasing to 8 percent in 2006. These resources equal roughly one-third of what the government allocates to MEHRD from its own revenues or, as shown in Figure 4.1, about a quarter of total domestic revenues and budget support combined.

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Figure 4.1: Sources of Financing for MEHRD’s Recurrent Spending, 2001-2006

22% 26%

99% 99% 99% 99%

77% 73%

0.6% 0.5% 0.7% 0.8% 0.8% 0.7%

0%

20%

40%

60%

80%

100%

2001 2002 2003 2004 2005 2006

Other (MEHRD feescollected)

Government budget

NZ budget support

The budget accounts maintained and published by the government’s Ministry of Finance (MOF) include an entry for revenues collected by any line ministry over and above its allocation from the budget. For historical reasons, two of the country’s 10 NSSs are managed directly by MEHRD, and the fees collected by these two (King George VI and Waimapuru) are reflected in the MOF’s accounts (“school fees” in Table 4.2). In addition, MEHRD charges fees for other services (such as trade testing and national examinations), and these revenues are also recorded (under “other fees and income”). Altogether, however, the fees from these two sources amount to less than 1 percent of total central government revenues spent on education and training. What cannot be seen in the government’s accounts are the fees collected by schools that are managed not by the central government but by provincial governments or by private providers such as church organizations. Officially, all primary schooling in SI is free, but some schools levy “informal charges,” especially in communities wealthy enough to afford them, to finance special perks for teachers (such as a school garden) or one-off events (such as a school fair or musical performance).

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Table 4.2: MEHRD Summary of Revenues and Recurrent Expenditures, 2001-2006 (SBD ’000)

2001 2002 2003 2004 2005 2006 Actuals Actuals Actuals Actuals Rev.Est's Init.Est's A. REVENUES TO COVER CURRENT EXPENDITURE

School fees a/ 219.8 148.5 220.4 622.9 1,110.9 1,256.4 Other fees and income b/ 181.3 147.1 220.4 232.6 326.0 368.7 Domestic govt budget 66,580.9 55,533.7 65,592.6 106,409.7 142,434.3 172,612.9 NZ Govt budget support 0.0 0.0 0.0 0.0 40,000.0 61,282.3

Total 66,982.0 55,829.2 66,033.4 107,265.2 183,871.2 235,520.3 B. RECURRENT EXPENDITURE

Personnel costs 58,574.1 55,006.4 54,235.0 66,916.0 83,693.3 79,285.9 Non-personnel costs 8,407.8 822.8 11,798.4 40,349.2 100,177.9 156,234.4

Total 66,982.0 55,829.2 66,033.4 107,265.2 183,871.2 235,520.3

Source: Ministry of Finance, 2006. Notes: a/ School fees from the two National Secondary Schools (King George VI and Walmapuru) that operate

under MEHRD rather than provincial government management. b/ Examination fees, Trade Testing Certificate fees, medical fees, and proceeds from sale of educational materials.

Fees are permitted for pre-school and secondary education but are regulated by the government.16 They are collected and retained by schools to cover expenses not paid for by the central government. The government pays the salaries of most education personnel, whereas the schools themselves must raise most of the budget for non-personnel items and also for the salaries of any teachers who are not included in the central government’s personnel allocation.17 The central government’s allocation to the education and training sector has increased over the last three years in relation to the country’s GDP. However, as a share of the total government budget, government spending on education and training has gone up only if New Zealand’s budget support is counted (see Figure 4.2). If New Zealand’s contribution is excluded from the calculation, government spending on education has actually gone down from 24 percent in 2004 to 20 percent in 2005, the year in which the New Zealand budget support was introduced (though it was back up slightly to 21 percent in 2006, the second year of budget support). In other words, there is evidence to suggest that New Zealand’s aid is, to some extent, a substitute for the government’s own spending on education and training. The counterfactual (what the domestic education

16 The regulatory framework for the fees charged will be discussed in more detail later in this chapter. 17 Over and above school fees collected, it is possible that some provincial governments and private organizations that are running schools use some of their general revenues to support their educational operations, but how much is allocated and how the allocations varies by area of the country, by level of education, and/or by management authority are not clear. Answering these questions would have required a special survey of schools across the country, an exercise that was not within the scope of the NSTP study. According to the EU’s STABEX team, however, the practice is not widespread, nor does it result in significant additional resources for education.

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budget would have been in the absence of New Zealand’s budget support) cannot be known with certainty, but it is reasonable to assume that it would have been somewhere between the two percentage figures in Figure 4.2 (the figures that exclude and include New Zealand’s contribution), in other words, between 20 and 25 percent in 2005 and between 21 and 28 percent in 2006.18

Figure 4.2: Recurrent Education Spending, 2004-2006

25%28%

20% 21%

24%

5.6%

8.5%

10.0%

6.7%7.4%

0%

5%

10%

15%

20%

25%

30%

2004 2005 2006

Share of govt spending - Bars

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

As % of GDP - Lines

Including NZ budget support Domestic budget onlyIncluding NZ budget support Domestic budget only

What New Zealand’s contribution has almost certainly achieved (in addition to any effect it may have had on the total amount spent) is to alter the allocation of spending. The Government of New Zealand wanted to help the Government of the Solomon Islands to increase basic education’s share of the budget as an equity measure, given that more children from poor families participate in basic education than in any subsequent level. A second goal was to increase the ratio of non-personnel to personnel costs as an efficiency measure, on the assumption that spending had been too heavily skewed in favor of staff at the expense of complementary inputs such as books and other learning materials.19

18 In a Memorandum of Understanding signed with NZAID and the EU in 2004, the Government of the Solomon Islands agreed to maintain the share that education and training receives from the recurrent discretionary budget at 22 percent or above. This agreement was honored in 2005 and 2006 but only when New Zealand’s budget support is taken into account. Without it, government spending has fallen slightly below the 22 percent milestone. 19 These two hypotheses will be investigated below.

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Figure 4.3 based on information in Annex Table 2.1 compares SI’s public expenditure on education and training with that of several other island countries, other countries in the region, and other countries with similar per capita GDPs. While Vanuatu and Fiji are Pacific Island countries like SI, they are richer than SI, as of course are New Zealand and Australia. Madagascar (another island country) and Kenya are two countries in Sub-Saharan Africa, and both are poorer than SI. Vietnam in Southeast Asia happens to have nearly the same per capita GDP as SI, so it makes for a particularly interesting comparison.

Figure 4.3: Education Expenditure Comparisons, c. 2005

6.7%

8.5%

3.3%

7.0%

4.0%

3.2%

11.0%

5.6%

4.9%

4.7%

6.7%

4.9%

19.7%

25.2%

18.2%

29.2%

18.0%

17.2%

28.1%

19.4%

9.5%

15.7%

15.1%

13.3%

0% 10% 20% 30% 40%

Sol. Is. (dom. bdgt only)

Sol. Is. (inc. NZ bdgt supp.)

Madagascar

Kenya

LOW INCOME - Vietnam

Philippines

Vanuatu

Fiji

LOWER MIDDLE - Jamaica

UPPER MIDDLE - Mauritius

New Zealand

HIGH INCOME - Australia

Expenditure as % of total government budgetExpenditured as % of GDP

Education expenditure by the Government of the Solomon Islands, especially when New Zealand’s budget support is included, compares favorably with that of nearly all of the comparator countries in Figure 4.3. Of the countries included in the analysis, only Vanuatu and Kenya devote higher proportions of their government budgets to education and training. Vietnam, which as previously mentioned had about the same per capita GDP as SI in 2005 and which has increased its relative spending on education and training significantly over the past 10 to15 years,20 spent 18 percent of its budget and 4 percent of its GDP on education and training compared with SI, which spent 25.2 and 8.5 percent (when New Zealand’s support is included) or 19.7 and 6.7 percent (when only the domestic budget is counted).

20 Vietnam spent just 13.3 percent of its recurrent budget on education and training as recently as 1994 (Moock, 1997).

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Education analysts and economists often calculate the ratio of government spending on personnel to non-personnel inputs to show that the government in question is getting the balance wrong. Very high personnel costs, above 80 or 90 percent, are usually a sign that the allocation of spending within the education budget is inefficient because for students to learn they need books and other learning materials as well as good teachers. Such high personnel costs were evident in SI prior to 2004, but these are now much lower (see Figure 4.4), which suggests that the government is moving in the right direction. However, these figures need to be interpreted with some caution as other major changes have occurred during the same period. Figure 4.4: Breakdown of MEHRD Recurrent Spending by Personnel and Non-personnel Costs, 2001-2006

87%99%

82%

62%46%

34%

13%1%

18%

38%54%

66%

0%

20%

40%

60%

80%

100%

2001 2002 2003 2004 2005 2006

Non-personnel costs

Personnel costs

The infusion of New Zealand’s budget support in 2005 and 2006 has certainly contributed to the increase in the ratio of non-personnel to personnel costs as can be seen in the accounts. This was a key goal of New Zealand’s assistance. However, another change occurred in 2005. Prior to that year, the government’s allocation to tertiary education was recorded in the MOF’s budget accounts under the broad heading “Headquarters and Administration” (H&A), and the breakdown between personnel and non-personnel costs in the tertiary sector appeared under that heading. Since 2005, however, the government’s allocation to tertiary education has appeared under a separate new heading “Tertiary Support” (TS). Because the government’s funding for tertiary education is now in the form of block grants to the National Training Unit (which administers government scholarships for university study abroad) and to SICHE (a “statutory autonomous body”), all tertiary education costs now appear as “non-personnel”

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costs (see Table 4.3 below), even though a significant part of the funds must be used to cover staff salaries, especially in the case of SICHE. Therefore, some of the apparent shift in the ratio of non-personnel costs to personnel costs as seen in Figure 4.4 simply reflects the change in the way in which money is allocated to the tertiary sub-sector. Unfortunately, it is not possible from the information in the budget accounts to know exactly how much of the shift is real and how much is the result of this change in accounting. Table 4.3 details the government’s allocation to MEHRD for education services between 2001 and 2006, showing how funds were spent by each of the Ministry’s cost centers as identified in the most recent budget accounts. As explained above, the definition of these categories has changed over this period, which means that making simple comparisons across years can be misleading. Before 2005, the government’s expenditure on tertiary education was not shown separately in the MOF’s accounts but was included as a part of H&A, which obscured the exact allocation to the tertiary sub-sector during those years (see Figure 4.5). Nevertheless, the growth of H&A between 2001 and 2004 and also the explicit growth of TS between 2005 and 2006 strongly suggest that spending at the tertiary level has increased substantially over the last half-decade. In the budget estimates for 2006, TS represented 26 percent of all MEHRD spending, a very large share given the relatively small number of students enrolled at this level (3 percent – see Table 2.1 in Chapter 2). At the same time, the budget allocated to the Education Services Division (ESD), which includes the ministry’s grants to primary and secondary schools (other than the two NSSs under direct central government control, King George VI and Waimapuru), has declined from over 80 percent in 2001-2003 to 62 percent in 2004, 58 percent in 2005, and 49 percent in 2006. While spending on non-personnel costs in relation to personnel costs seems to have risen in the MEHRD budget as a whole (see Figure 4.4 above), personnel costs still represent a large share (72 percent in 2005) of the spending of ESD, the cost center that distributes the ministry’s grants to schools (see Figure 4.6). In the case of “Curriculum Development” (CD) and H&A, less than 20 percent goes to personnel costs, as is also true, of course, for TS given that its allocation consists entirely of block grants to the National Training Unit (NTU) and to SICHE.

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Table 4.3: Recurrent Spending by MEHRD Cost Centers, 2001-2006 (SBD ’000) 2001 2002 2003 2004 2005 2006 Actuals Actuals Actuals Actuals Rev.Est's Init.Est's 1. Headquarters & Administration (H&A) a/

Personnel costs 1,783.5 2,321.9 2,621.4 3,197.9 3,779.8 3,576.4 Non-personnel costs 7,328.9 125.0 7,678.2 32,289.6 19,510.2 36,314.8

Total 9,112.4 2,446.9 10,299.6 35,487.5 23,290.0 39,891.2 2. Curriculum Development (CD)

Personnel costs 517.6 368.0 323.4 366.3 808.2 950.4 Non-personnel costs 28.8 5.8 15.2 182.2 13,303.4 13,849.2

Total 546.4 373.8 338.6 548.5 14,111.6 14,799.6 3. National Library

Personnel costs 200.2 199.1 175.2 154.4 187.7 180.5 Non-personnel costs 4.6 4.8 4.8 30.3 136.0 137.7

Total 204.8 203.8 179.9 184.7 323.7 318.2 4. Education Services Division (ESD) b/

Personnel costs 54,845.4 50,871.7 49,944.4 61,846.9 77,010.0 72,738.6 Non-personnel costs 456.4 52.7 2,111.1 4,413.5 29,917.2 42,932.6

Total 55,301.8 50,924.4 52,055.5 66,260.4 106,927.2 115,671.2 5. King George VI and Walmapuru National Secondary Schools c/

Personnel costs 1,227.5 1,245.8 1,170.7 1,350.6 1,907.6 1,839.9 Non-personnel costs 589.2 634.5 1,989.0 3,433.5 2,693.0 2,331.4

Total 1,816.6 1,880.3 3,159.7 4,784.1 4,600.6 4,171.3 6. Tertiary Support (TS) d/

Personnel costs - - - - 0.0 0.0 Non-personnel costs - - - - 34,618.0 60,668.8 Total - - - - 34,618.0 60,668.8

ALL MEHRD Personnel costs 58,574.1 55,006.4 54,235.0 66,916.0 83,693.3 79,285.8 Non-personnel costs 8,407.8 822.8 11,798.4 40,349.2 100,177.8 156,234.5

Total 66,982.0 55,829.2 66,033.4 107,265.1 183,871.1 235,520.3 Source: Ministry of Finance, 2006. Notes: a/ Central administration, maintenance of buildings, transportation, IT, schools inspectorate, and provincial grants. b/ School grants and civil service salaries. Prior to 2005, this section was split into "Education Service" and "Education Operating Cost"), but these two have been aggregated here for comparative purposes. c/ Two National Secondary Schools (King George VI and Walmapuru) that operate under MEHRD rather than provincial government management. d/ Tertiary support was included in "Headquarters and Administration" prior to 2005.

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Figure 4.5: Distribution of MEHRD Recurrent Spending by Cost Center, 2001-2006

83%91%

79%

62% 58%49%

19%26%

14%4%

16%

33%13% 17%

0%

20%

40%

60%

80%

100%

2001 2002 2003 2004 2005 2006

National Library

Curriculum Dev. (CD)

K. George VI & Waimapuru

HQs & Admin. (H&A)

Tertiary Support (TS)

Educ. Services Div. (ESD)

Figure 4.6: Breakdown of Recurrent Spending by MEHRD Cost Centers by Personnel and Non-personnel Costs, 2005

16%

6%

58%

72%

41%

46%

84%

94%

42%

28%

59%

100%

54%

0% 20% 40% 60% 80% 100%

Headquarters & Adminstration

Curriculum Development

National Library

Education Services Division

King George VI & Walmapuru

Tertiary Support

Total

Personnel Non-personnel

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Unit Costs and Non-government Contributions The calculation of “unit costs” is a useful way to analyze the allocation of resources within education. There are at least two definitions of “unit cost,” which are used for different purposes. The first definition is expenditure per student per year. Differences in this variable reflect cost factors such as the qualifications and work experience (and hence the salaries) of teachers, the student-teacher ratio, and the flow of other, non-personnel inputs such as books, visual aids, and computers. The second definition of “unit cost” is expenditure per graduate, which reflects (in addition to all of the factors that affect “cost per student per year”) the internal efficiency of the education system, which has to do with the flow of students entering and moving through the system. Expenditure per graduate moves in the same direction (up or down) as the repetition rate and the dropout rate, factors that were discussed in Chapter 2. In a 2005 study, Adam Rorris (an Australian consultant advising the government on a proposed “community standard for school funding”) produced an analysis that showed how MEHRD’s budget was allocated to major sub-sectors (in other words, different levels and types of education). Table 4.4, which summarizes Rorris’ analysis, reports each sub-sector’s share of the budget in 2003, 2004, and 2005. Table 4.4: Shares of MEHRD Budget Allocated to Levels of Education or School Types, 2003-2005 2003 2004 2005 Primary Schools 38% 36% 30% Community High Schools 18% 13% 13% Provincial Secondary Schools 11% 10% 8% National Secondary Schools 11% 10% 8% Tertiary Education 22% 31% 40%

Total 100% 100% 100% Source: Rorris, 2005.

Table in para. 16 on p. 11. Now, using the expenditure totals reported in the MOF’s 2006 Recurrent Budget Estimates (Table 4.4 above) and Rorris’ analysis of sub-sector shares, we were able to derive estimates of government expenditure by level of education/school type as shown in Table 4.5. It is worth noting that spending on primary and secondary education (the first four categories in the table) approximately doubled in nominal (current SBD) terms between 2003 and 2005, whereas spending on tertiary education increased five-fold over the same two-year period.

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Table 4.5: Allocation of MEHRD Budget by Level of Education or School Type, 2003-2005 (SBD ’000) 2003 2004 2005 Primary Schools 24,856.0 38,160.4 55,832.0 Community High Schools 11,580.9 13,950.8 24,333.7 Provincial Secondary Schools 7,355.9 11,038.0 15,160.7 National Secondary Schools 7,577.0 10,621.8 14,166.4 Tertiary Education 14,663.7 33,494.2 74,378.5

Total 66,033.4 107,265.2 183,871.2 Note: Computed, based on expenditure totals in Table 4.2 and percentage

allocations in Table 4.4 above. Next, focusing on 2005 (the most recent year for which the study team had access to revised government spending estimates21), we computed fiscal unit costs (government spending per student) for each education level or school type by dividing total government spending on that level/type (Table 4.5 above) by the number of students enrolled (see Table 2.1 in Chapter 2). Fiscal unit costs in 2005 ranged widely from a low of about SBD 500 (approximately US$70) per student in CHSs (which, as it turns out, are even cheaper to run than primary schools from the central government’s perspective, but this calculation does not include any funding that comes from the community’s own sources rather than from the central government) to a high of about SBD 17,000 (US$2,200) per student in tertiary education (see Table 4.6).

Table 4.6: Fiscal Unit Costs by Level of Education or School Type, 2005 Govt expen. per student

Total govt expenditures Index

Enrollments (SBD '000) (SBD) (CHS = 1) Primary Schools 69,629 55,832 802 1.5 Community High Schools 46,229 24,334 526 1.0 Provincial Secondary Schools 4,773 15,161 3,176 6.0 National Secondary Schools 3,593 14,166 3,943 7.5 Tertiary Education 4,366 74,379 17,036 32.4 All Levels/Types 128,590 183,871 1,430 2.7 Note: Computed, based on enrollments in Table 2.1 and expenditure figures in Table 4.5 above.

Table 4.6 shows that the government spends approximately 32 times more on a

student in tertiary education than it does on a student in a CHS and 21 times more than it does on a student in a primary school. This is shown in the last column of

the table, an index of unit costs with the cost in CHSs set at 1.0. The central government’s spending on students in PSSs and NSSs is between six to eight times

more than what it spends on students in CHSs (and four to five times what it spends on students in primary schools).

21 Actual figures would have been better, but 2004, the most recent year for which actual figures were available, was too long ago.

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Officially, as noted above, primary education in SI is free, but the government permits schools owned and operated by church groups and other private providers to levy special fees and fees are allowed for all students at the secondary level. MEHRD imposes a minimum and maximum fee level for each level and each type of school. Table 4.7 presents computations of the average fee paid by students at each level/ school type, based on assumptions about: (1) the average fees paid by fee-paying students; and (2) the Table 4.7: Private Unit Costs by Level of Education or School Type in Primary and Secondary Education, 2005 (SBD ’000)

Annual Assumed average fee paid by fee-paying students Average fee, fee range a/ studying full-time all students Min. Max. Formula Fee Paid by whom? Formula Fee

Primary 20 5,000 20+0.25*(5,000-

20) 1,265 Church/private school pupils (19% of total) 0.19*(1,265) 240

CHS 300 2,000 300+0.25*(2,000-

300) 725 Secondary school

students (35% of total) 0.35*(725) 254

PSS 600 2,500 600+0.25*(2,500-

600) 1,075 All PSS students 1*(1,075) 1,075

NSS 1,300 3,000 1,300+0.25*(3,000-

1,300) 1,725 All NSS students 1*(1,725) 1,725 Weighted average for all four (primary, CHS, PSS, NSS) b/ 320

Notes: a/ Minimum and maximum set by MEHRD. b/ Weighted by student numbers at each level/in each type of school.

percentages of students who pay fees. In the absence of solid data (which would have required us to conduct a survey of schools across the country), we assumed that the typical school permitted to levy fees charges a fee equal to the minimum allowed plus 25 percent of the difference between the minimum and the maximum. 22 Given this assumption, we found that pupils in primary schools pay about the same as students in CHSs on average (remembering that students in public primary schools and primary pupils in CHSs pay nothing at all). Students in PSSs pay about four times more, and students in NSSs about seven times more. Tracking the sources of financing in tertiary education is a bit more complicated because there are more sources to track. In addition to the government and families, there are: • The receiving institutions, which offer scholarships to some students • Companies in private industry, which sometimes sponsor employees to take

vocational training courses and, less often (given the higher risk that an employee who acquires general education as opposed to specific skills may leave the company and move to another firm) a university education

22 If our assumption is wrong and schools charge more, then we have underestimated the private (family) contributions to primary and secondary education in SI.

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• External education donors, which provide scholarships of at least three types to tertiary students from SI: (1) to study at an institution in the Solomon Islands (such as the scholarships provided by New Zealand and the EU for students at SICHE), (2) to study in the donor’s home country (such as the scholarships that New Zealand gives for study at Massey University or Australia gives for study at the South Bank Institute of TAFE), and (3) to study in a third country, such as Australia’s and New Zealand’s scholarships for Solomon Islanders to study at USP Laucala in Fiji or at UPNG.

Table 4.8: Average Annual Cost of Tertiary Education, 2005

Number of Estimated average students a/ annual cost (SBD) b/ SICHE 1,756 13,000 USP Center

Continuing education 388 4,000 Foundation 1,003 4,500 Degree 283 47,730 Total/weighted average 1,674 11,692

Overseas universities USP/FIT/FSM 733 67,022 PNG 135 65,473 Australia/Japan/NZ/ROC 68 220,922 Total/weighted average 936 77,979

Grand total/weighted average 4,366 26,429 Notes: a/ See Table 2.1. b/ Based on information given to the NSTP team from higher education institutions and from tertiary sponsors (NTU and Australian and NZ High Commissions).

The cost of tertiary education varies by institution and, in the case of university programs overseas, also by country. To get a sense of the total costs of different study programs (meaning not just tuition fees but any education-related costs such as international travel, room and board, books, and other supplies), the study team checked with recent graduates, administrators of higher education institutions, and the principal sponsors of overseas scholarships – the National Training Unit (NTU) and the Australian and New Zealand High Commissions. When different informants gave different cost figures for the same country or program, the team compromised with an average figure. This involved making some judgments about which sources were more credible than others, as well as an understanding that two students studying in the same institution at the same time with support from different sponsors (for example, Australia and the NTU) can receive different levels of support. The allowances paid by different sponsors can differ; for example, one sponsor may cover a student’s costs for a full 12 months in a year whereas the other may suspend payments during vacations.23 Table 4.8 presents the 23 In such instances, the study team usually gave more weight to the higher figure, given that the expensive living costs of students studying abroad need to be covered somehow. The study team reasoned that if these costs are not covered by the sponsors, then they probably need to be covered by the students themselves (or their families), and these then should still be counted as a part of the total cost of overseas study.

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team’s estimates of the average per-year costs of studying in different places and, in the case of the USP Center, different programs. The high cost of the degree program courses at the USP Center reflects the surprising fact that the allowances paid to first-year degree students studying in Honiara are nearly the same as those paid to those studying and living temporarily abroad. The estimated average cost per year ranges from a low of SBD 4,000 (approximately US$520) for a student in the continuing education program at the USP Center to a high of SBD 221,000 (more than US$28,700) for someone studying at a university in Australia, Japan, New Zealand, or the Republic of China. (University programs attended by Solomon Islands in another Pacific Island country or in Papua New Guinea, while still expensive, cost only about a third as much.) It is no wonder that most Solomon Islanders who do get to study abroad go as sponsored students and are not fully self-financed. The study team also estimated for each higher education type the percentage of students (or percentage of student costs) financed by each of the following: (1) the government; (2) the students’ own families (“self”); and (3) all other sponsors (namely, the receiving institutions, private industry, or external donors). We then used these percentages to divide the annual cost of each education type into three components, as shown in Table 4.9, while distinguished by the source of financing. Table 4.9: Breakdown of Unit Costs in Tertiary Education by Source of Finance, 2005

Estimated percentage of Estimated Estimated cost students financed by: average cost (SBD) financed by:

Govt

a/ Self b/ Other c/ (SBD) d/

Govt a/

Self b/ Other c/

SICHE 20% 50% 30% 13,000 2,600 6,500 3,900 USP Center

Continuing education 0% 75% 25% 4,000 0 3,000 1,000 Foundation 10% 90% 0% 4,500 450 4,050 0 Degree 86% 14% 0% 47,730 40,984 6,746 0

Overseas universities 80% 5% 15% 77,979 62,383 3,899 11,697 Total/weighted averages 33% 18% 49% 26,429 17,180 5,084 4,165 Notes: a/ Financed by MEHRD (including NZ budget support), another government ministry, or the

National Training Unit. b/ Financed by students themselves or their families. c/ Financed by receiving institution, private industry, or an external donor. d/ See Table 4.8.

The findings presented in the previous several tables are summarized in Figure 4.7 (based on the figures in Annex Table 2.2). Across all levels and all types of education and training, the government’s financing (which includes the budget support from New Zealand) covered about 70 percent of costs in 2005. The financing of external donors and other sponsors (not counting New Zealand’s budget support) covered about 5 percent, all of this at the tertiary level. The remaining quarter was financed by individual families. The share covered by families was actually higher in the case of primary

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education than in the case of tertiary education, despite the fact that poor children, if they attend school at all, are unlikely to make it to secondary let alone tertiary education. A more equitable financing pattern would be one in which private families cover a small share of the costs of primary education, a larger share of secondary, and the largest share of the costs of tertiary education.

Figure 4.7: Total Unit Costs by Level of Education or School Level, Shares of Three Sources of Funding, 2005

77%67% 75% 70% 65% 71%

23%33% 25% 30%

19%24%

16%5%

0%

20%

40%

60%

80%

100%

PrimarySchools

CommunityHigh

Schools

ProvincialSecondary

Schools

NationalSecondary

Schools

TertiaryEducation

Alllevels/types

Other

Self

SIG/NZBS

Just how high the private share of tertiary costs can (or should) be depends on the average family income of students enrolled in tertiary education relative to the absolute costs of tertiary education. University education overseas is expensive even for wealthy Solomon Island families, which means that some level of subsidy is certainly needed at this level. However, it should not be so high as to starve primary and lower secondary education which, as we have seen in Chapter 2, suffers from problems of both access and quality. Given that government resources available for education and training are inevitably limited at all levels, good public policy involves identifying the best allocation of public spending across all education and training sub-sectors. What is best will always be a matter of some dispute, but the current allocation of government resources in the education sector in SI clearly disproportionately favors those students who reach tertiary education. Some reallocation of funds to the benefit of primary and lower secondary education would seem to be in order. This reallocation will necessarily raise the average price that families have to pay for tertiary education (or, alternatively, will cause the number of tertiary education students to fall).

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While raising the average price that families pay for tertiary education is the most appropriate policy, to enable bright children from very poor families to access tertiary education, the government should institute a program of targeted needs-based scholarships. Right now, most tertiary scholarships awarded to students in SI are merit-based, that is, they are awarded on the basis of a student’s academic performance and test scores rather than his or her financial need. As has been demonstrated in study after study in countries the world over, students who perform best in school and achieve the highest test scores are (with some notable exceptions) children who grow up in homes with higher than average incomes. One reason that the share paid by families in tertiary education is so low is that the government and external donors provide many tertiary scholarships for SI students. While their generosity may be important for the future growth of the SI economy, it really depends on whether the scholarships are awarded for study in subjects for which there is the highest market demand. This question will be addressed in the next chapter. Later chapters will reveal a strong unmet demand for many critical skills in both the private and public sectors. These needs can only be met by tertiary education and for this reason there continues to be a need to increase the output of tertiary education in SI. Therefore, the reader is cautioned that the above discussion should not be understood as a recommendation for overall reductions in the tertiary education, but instead, as noted in later chapters, as a recommendation to increase in the efficiency of tertiary investments and to shift a portion of the financing burden for tertiary education back to families or non-government sources because there is a parallel need to improve funding associated with basic education.

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CHAPTER 5: FORMAL PRIVATE SECTOR DEMAND FOR TRAINING • The government needs to investigate why there are such significant differences between the

participation of men and women in the labor force and to reduce these inequities.

• A strong and coherent training policy is needed to fill the numerous current vacancies in SI’s large, formal sector firms to achieve full employment and economic growth.

• Because the youth unemployment rate exceeds 50 percent, there is a need to establish one or more employment schemes targeting this vulnerable group.

• Private training institutions should be encouraged to ensure that their training services to meet employers’ needs by focusing on the nine key areas in greatest demand: (1) customer services, sales, and marketing; (2) accounting/ bookkeeping; (3) computing skills; (4) communications and planning; (5) machine shop skills (fitting, turning, and welding); (6) general management; (7) human resources management; (8) mid-level supervisory skills; and (9) clerical/ secretarial/ administrative assistant skills.

Introduction There are approximately 298,000 men and women over the age of 14 in SI.24 For the purposes of this study, this age group was taken to be the potential workforce of the nation. About 75 percent of these people are currently employed in subsistence (in other words, non-wage-earning) activities, including agriculture and fishing. The other 25 percent (about 70,000 workers) comprise the wage-earning segment of the workforce (see Table 5.1).

Gender Differences There are significant gender differences in the workforce. The data suggest that there are more than twice the number of males than females in paid employment,25 while in the informal sector (unpaid work), there are about 25 percent more females than males. Also more than twice as many males as females are currently unemployed (Table 5.1). These differences may be due to cultural factors, high birthrates that limit women’s ability to enter the workplace, what types of employment are available (for example, a high demand for heavy physical work that can more easily be done by men), or other factors. The research necessary to understand the reasons for these differences falls outside the scope of this study, but these differences should be of particular concern to SI educators and the donor community.

24 Based on Statistics Office, 2002. 25 The situation is slightly more equitable in formal, private sector employment with about 33 percent more males than females.

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Table 5.1: Labor Force Statistics

Sex Employed

in paid work

Employed in non-paid work Unemployed

No information

available Total 14+

Observed 1999 (Population Census) Total 57,472 161,223 27,652 2,821 249,168 Male 39,761 68,813 17,957 1,443 127,974 Female 17,711 92,410 9,657 1,378 121,194 Estimated 2006 (assuming annual growth rate of 2.6 percent) Total 68,784 192,956 33,094 3,376. 298,210 Male 47,587 82,357 21,491 1,727 153,162 Female 21,197 110,598 11,557 1,649 145,048 Row Percentages Total 23.1 64.7 11.1 1.1 100 Male 31.1 53.8 14 1.1 100 Female 14.6 76.2 8 1.1 100 Source: Statistics Office, 2002. Note: a/ There are several estimates available for current paid employment. The NSTP team chose to use an estimate that was based on the 1999 population census with an assumed growth rate of 2.6%. This estimate includes agriculture and public service employment.

Formally Registered Businesses and Industries Within this wage-earning group, about 25,000 workers are employed in formally registered businesses and industries.26 Most of these registered firms are small and employ fewer than 15 workers. Only about 80 employ 15 or more workers. These 80 large firms, most of them located in Honiara and a few other big towns, employ about 6,400 workers in total or about 25 percent of those working in all registered firms in the country. The rest work in about 1,500 registered but very small businesses (including taxi companies and other small service providers) located throughout the islands. These small firms employ on average about 12 workers each. Of the remaining 44,000 wage-earning workers, about 11,300 work in the public sector, which is discussed separately in Chapter 6. The remaining wage-earning workers are employed in small, non-registered businesses and smallholder plantations, many of which are transient in nature. As a group, these micro-enterprises produce a significant proportion of the agricultural output of SI but are too small, numerous, and elusive to have been adequately surveyed. About another 33,500 people are in the paid labor force but are currently seeking employment. This makes them “unemployed,” as defined by labor economists.

26 Statistics Office, 2003.

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Formal Private Sector Youth Employment Currently, there are about 140,200 people between the ages of 15 and 29 in the nation’s formal and informal workforce (see the shaded cells in Table 5.2). For the purposes of this study, this group was considered as the nation’s “young workforce.” National Provident Fund Since detailed youth employment data are not readily available and are extremely difficult to collect in traditional ways, the study team reviewed several sources but chose to use the National Provident Fund (NPF) as the baseline proxy for the data required for this portion of the study. The NPF is a national retirement system that requires both the employer and employee to contribute. Although not a perfect source, the NPF does have some advantages over most other data sources. First, the database is reliable and inclusive. Since employers pay 7.5 percent and employees pay 5 percent of an employee’s wages (a total of 12.5 percent of the wage bill) and since employed young people must register in order to obtain the Fund’s benefits, they have a strong incentive to fill out the forms in a complete and reliable manner. Although the team recognizes that the actual youth component of the labor force may be a bit larger than we estimated from this source, it is commonly agreed that most young people with wage-earning jobs do apply to the NPF.

Table 5.2: Projected Population by Age Group and Province, 2006 Age CHOI WEST ISAB CENT REN GUAD MALA MAKI TEMO HONI TOTAL

0-4 3,429 10,287 3,117 3,544 308 10,187 22,431 5,672 3,333 7,249 69,559

5-9 3,290 9,358 3,155 3,383 394 9,674 20,761 5,202 2,729 6,229 64,176

10-14 3,004 8,696 2,925 3,097 375 8,381 18,819 4,176 2,609 4,851 56,931

15-19 2,614 8,108 2,720 2,668 298 7,596 16,502 3,875 2,497 4,984 51,863

20-24 2,121 7,255 2,208 2,251 194 6,984 13,393 3,689 2,120 6,754 46,969

25-29 1,695 6,348 1,811 1,956 155 6,239 10,976 3,033 1,679 7,477 41,370

30-34 1,628 5,714 1,735 1,925 176 5,565 9,501 2,656 1,407 6,202 36,510

35-39 1,397 4,693 1,350 1,600 141 4,383 7,408 2,038 1,173 4,182 28,366

40-44 1,109 3,653 1,099 1,226 129 3,256 6,004 1,573 1,073 2,996 22,119

45-49 842 2,710 901 915 127 2,357 4,827 1,246 878 2,230 17,033

50-54 654 2,032 793 785 113 1,814 3,880 987 723 1,690 13,471

55-59 509 1,561 651 663 84 1,504 3,275 768 585 1,249 10,848

60-64 434 1,234 506 518 62 1,212 2,757 641 465 762 8,590

65-69 357 961 403 368 54 907 2,030 502 355 407 6,345

70-74 223 676 274 228 58 621 1,368 328 248 219 4,242

75+ 244 645 302 296 85 591 1,647 380 346 155 4,691

Total 23,550 73,932 23,950 25,424 2,754 71,270 145,580 36,765 22,222 57,636 483,083

Source: Solomon Islands Government, Statistics Office.

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This is particularly true in the Honiara area, which is where the largest number of wage-earning opportunities exist. Second, the database is well maintained by the NPF staff and, hence, was easy for the NSTP team to access and use. The team found that there were about 10,483 NPF members between the ages of 15 and 29 (see Table 5.3) as of 2005. About 3,908 are female and 6,585 male. It is estimated that the average wage paid to members of this group is SBD 4,687.

Table 5.3: NPF Members aged 15-19 Years Old, 2005

Number of members

Total NPF contribution a/

(SBD)

Total annual income

(SBD) Average income

per member (SBD) Gender Female 3,908 2,186,972 17,495,776 4,477 Male 6,585 3961175 31,689,403 4,812 Employment type Public Sector 1,516 1,615,388 12,923,111 8,524 Private Sector 8,939 4,515,442 36,123,541 4,041 Self-employed 38 17,315 138,527 3,645 Total 10,493 6,148,147 49,185,179 4,687 Source: National Provident Fund. Note: a/ The contribution figures used in this table reflect the 5 percent contribution of employees and the 7.5 percent additional contribution of employers.

Of particular interest is the finding that private sector employers, on average, pay wages that are about 47 percent lower than the wages paid by the public sector. There are several factors that may explain this finding. It may be that the private sector hires many unskilled, low-wage people, which would certainly bring down the average wage for the group. It seems also to be true in SI that many of the very high-income professionals (such as aircraft pilots and doctors) work for the public sector. In countries that rely on centralized, government-provided medicine, education, and other services, high earnings can be expected in the public sector. In any event, based on the data available, we found that public sector workers earn more on average than those in the private sector, including those who are self-employed. About 87 percent of those who apply for the NPF between the ages of 15 and 29 live and work in Honiara. This finding was the same as those of previous studies that wage employment is difficult to obtain outside the major urban areas in SI. When the number of employed young people is compared with the number that are available for employment, the large difference suggests either that more than 75 percent of young people of working age are employed in the informal sector or that underemployment and unemployment in this age group is very high, possibly more than 50 percent. Most likely, both of these results apply. It makes sense that, when wage-earning opportunities do not exist in the formal sector, young people seek to generate income in the informal sector, and many simply go back to their villages and stop looking for work. This finding is reinforced by looking at the very low levels of NPF enrollment in all of the provinces outside of Guadalcanal and Honiara (see Table 5.4).

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The young people enrolled in the NPF were employed in 132 different types of occupations nationwide (see Annex 3.1). About 6,088 (58 percent) of youth employment was found in just five occupational areas: (1) laborers – 2,796 individuals; (2) shop assistants – 1,465; (3) clerical workers – 794; (4) fish preservers, including canning workers – 626; and (5) building caretakers and watchmen – 407 (see Annex Table 3.2). Most of these people are employed in the lowest paid jobs available, which means that there is reason to assume that this large group of low-income wage earners will skew the overall averages down for employed young people.

Table 5.4: NPF Contributions from Members aged 15-19 by Province, 2005

Province Number of members

Total NPF contribution

(SBD)

Total annual income

(SBD)

Average income per

member (SBD)

Central 300 26,644 213,149 710 Choiseul 17 4,901 39,206 2,306 Guadalcanal/Honiara 9,128 5,752,386 46,019,090 5,042 Isabel 41 15,518 124,142 3,028 Makira/Ulawa 76 26,594 212,753 2,799 Malaita 290 86,719 693,750 2,392 Temotu 12 7,418 59,346 4,946 Western 238 33,823 270,582 1,137 Province unknown 391 194,145 1,553,160 3,972 Total 10,493 6,148,147 49,185,179 4,687 Source: National Provident Fund

When the youth employment data is compared with data for the total NPF workforce, the youth group on average earns less than the older workers (Table 5.5). In general, it was striking how low overall wages were in all these data. Assuming that the data are accurate, these findings suggest that either the income of wage earners is considerably lower than is commonly reported or for some reason the amount earned is under-reported across the board. The NPF does employ investigators to reduce this possibility, but the data do suggest that there may be a reason for some concern.

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Table 5.5: Estimated Number of NPF Members by Age Group and Average Income

Age Group No. of Members

Contributing Contribution

Amount Total

Contribution Aver. Income per

Member Under 20 164 5,5190 441,522 2,692 20 – 24 2,720 1,417,484 11,339,876 4,169 25 – 29 7,605 4,670,823 37,366,589 4,913 30 – 34 11,454 10,067,412 80,539,299 7,032 35 – 39 9,219 10,451,245 83,609,964 9,069 40 – 44 6,478 8,604,909 68,839,274 10,627 45 – 49 4,773 7,617,436 60,939,495 12,768 50 – 54 3,247 5,296,199 42,369,595 13,049 55 – 59 2,086 2,623,007 20,984,057 10,059 60 above 2,077 1,500,425 12,003,406 5,779

Totals 49,823 52,304,135 418,433,078 8,398

Employer Survey The NSTP study team estimated training demand in the formal private sector by means of an employer survey conducted between April and August of 2006 by the Solomon Islands Chamber of Commerce and Industry (SICCI). The SICCI Secretariat took on the task of carrying out the actual survey of SICCI members. Out of 73 active members of SICCI in 2006, the Secretariat was able to get full data from 46 (63 percent). Four members explicitly declined to participate in the study, and 23 others (mainly small companies employing fewer than 20 employees) did not respond to communications from the Secretariat asking for interviews with key company personnel. Forty-two of the 46 respondents participated in face-to-face interviews, while the other four respondents chose to complete the questionnaire on their own, with the understanding that if they were not sure of any questions they would phone the Secretariat for further information before answering them. To supplement the SICCI dataset, the NSTP/SICCI study team surveyed 17 non-SICCI members as well. This supplementary sample comprised the large parastatal or statutory employers, including SIEA (the electricity authority), SIWA (the water authority), Telekom (the telecommunications company), and several major hotels that are not members of the SICCI. A total of 63 public and private employers were included in the combined sample. The 63 firms that responded currently employ about 3,110 employees. As a group, they have about 1,676 unfilled positions that they would like to fill if they could find suitable candidates. This suggests that SI’s major firms are currently understaffed by about 53 percent. The unfilled positions reported by the firms included 382 administrators, 124 managers, 268 professionals, 421 vocationally or technically trained skilled workers, 457 unskilled workers, and 24 others. If one excludes the unskilled workers who would

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presumably be trained on the job, there is an estimated unmet demand in these firms for about 1,219 pre-trained employees (Figure 5.1).27 It is not possible to extrapolate from this figure an estimate of the need in all formal, private sector firms in SI, because the firms outside the survey group are mostly smaller than those in the survey group. However, assuming that this group is otherwise much the same and representative of the demands across the formal private sector, then the data from the SICCI survey can be used to identify trends in labor shortages and to identify development priorities for the national labor pool. For instance, if there is a high demand for managers in the surveyed firms, the study team believes it is a valid assumption that other firms must also be having difficulty in recruiting and keeping competent managers. If so, it is possible to estimate proportional trends by calculating the percentage for each of the occupational categories (excluding the unskilled cohort).

Figure 5.1: Formal Private Sector Demand for Pre-service Training by Occupation

Administrator31%

Manager10%

Professional22%

Voc/Tech35%

Others2%

27 This estimate should not be considered an accurate projection of need for the entire formal private sector, nor should it be used as an input for “manpower planning,” a process that this paper does not support.

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Estimated Formal Private Sector Training Demand by Qualification Within the formal private sector, training demand can be estimated in several different ways. This section provides an overview of these estimates. Demand for Employees with Training at the Tertiary Level Within the surveyed firms, there is an unmet demand for 426 professionals trained at the tertiary education level (see Figure 5.2), including 179 administrators, 88 managers, and 159 other professionals. Therefore, tertiary training comprises about 35 percent of the pre-service training demand in the formal private sector. Demand for Employees with Training at the Diploma and Certificate Level The employer survey also found a significant unmet demand for trained employees with diplomas and certificates in various areas – a demand of about 279 new employees. Some of this demand is from employers who do not require all of their professional staff to have tertiary degrees (see Figure 5.3). This unmet need is for 25 managers, 84 professional employees, 164 administrators, and four others with diploma or certificate level training.

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Figure 5.2: Demand for Employees Trained at the Tertiary Level

17 11

46

122

12

147

179

0

20

40

60

80

100

120

140

160

180

200

MATertiary

Degree-Masters

BA-MBA Degree-ProfQual

Degree Diploma-Degree

CPA

Manager

Professional

Administration

Demand for Employees with Vocational-Technical and Apprenticeship Training The employer survey revealed a demand for about 40 people with vocational-technical certificates (see Figure 5.4). The surveyed firms expressed no need for workers with skilled apprenticeship certificates.28 At first glance, these findings are surprising. It is not clear why employers do not try to hire more vocational-technical graduates, given the country’s growing post-secondary TVET system, most of which consists of RTCs (see Chapter 3).29 It might have been that the surveyed firms have little need for vocational and technical skills or that there are low turnover rates for such positions. In fact, the study found that neither of these arguments could be supported. In the surveyed firms, jobs with technical qualifications have annual turnover rates that range from about 5 percent to as high as 30 percent. This suggests that well-qualified and trained technical employees have significant mobility within the labor force, thus creating a steady demand for these types of employees in these firms.

28 The Ministry of Labor does have an apprenticeship scheme, but we found that formal private sector firms do not value or make use of this service. 29 This would suggest that RTCs have a low placement rate (external efficiency) in the formal private sector.

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Figure 5.3: Demand for Formal Private Sector Employees with Post-secondary Training

250

41 43

2

162

0 40

20406080

100120140160180

Manager

Professional

Administration

Other

Diploma Post-secondaryCertificate

It is also reasonable to assume that well-trained technical employees are difficult to recruit and retain in the formal private sector, especially if there is also an overseas demand for these trained workers. Evidence also suggests that, when experienced and trained technical employees are not available, employers have had to adjust by redefining jobs to use other types of semi-skilled labor. This makes these firms less efficient and productive, but it gets the job done, especially as many employers see the quality of existing vocational and technical training as generally poor and irrelevant to their employment needs. They perceive most vocational and technical training providers as being unable to provide the high-quality training needed to satisfy their needs because the current training system is driven by supply instead of demand. From the employers’ point of view, many TVET graduates have few significant advantages over untrained people who have a strong interest in working and learning on the job. Under such circumstances, employers often prefer to employ candidates with less or no training and to provide them with on-the-job and in-service training to improve their technical skills (see Figure 5.4). This situation is not unique to SI as employment studies conducted in many other nations have come up with similar findings. International experience has shown that improving the quality of training programs often results in increased demand for the program’s graduates as employers begin to see the value of employing trained people. Employing more trained workers increases these employers’ productivity and profit and improves the quality of the services that they provide. If this were to become a widespread phenomenon, then this would also increase economic growth in the country as a whole.

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Figure 5.4: Demand from the Formal Private Sector for Technical Personnel by

Training or Education Level

18

0

150

17

2

1

0

42

4

43

142

2

0 20 40 60 80 100 120 140 160

Practical

Primary

Form III

Form V

Form I - Form V

Secondary

Apprentice Cert.

Trade Cert. TVET

SICHE Cert.

Cert.

Cert.-Diploma

Dip. Post-Sec.

In-service Training Needs within the Formal Private Sector As part of the survey of firms conducted by SICCI, employers were also asked to identify and list in order of priority the types of in-service training/skills needed in their firms. The employers identified 125 training/skill categories, with the top 10 priorities being from highest to lowest: (1) customer services, sales, and marketing; (2) accounting/bookkeeping; (3) computing (MS Word, Excel, Access, and Outlook); (4) communications and planning; (5) machine shop skills (fitting, turning, and welding); (6) general management; (7) human resources management; (8) mid-level supervisory skills; and (9) clerical/ secretarial/ administrative assistant. Annex Table 3.2 lists these skills along with a summary of the firms’ priority ratings. As mentioned in Chapter 3, there are only about 23 short-term training programs in SI other than RTCs, CBTCs, and IPAM. However, these programs teach only a few of the 125 skills identified by the survey.

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CHAPTER 6: PUBLIC SECTOR DEMAND

• Because there are many vacancies in the public service in SI in certain critical skill areas, including teachers; police, marine, and prison officers; and qualified administrators, training in these areas should be given very high priority for the immediate future.

• Other skill areas should be given a high priority not because of large numbers of current vacancies but because of the impact that they have on public welfare, such as doctors and paramedics.

• Research has identified over 6,000 skill gaps among the workers currently employed in the public sector (in this estimate some workers have multiple skill deficiencies), and yet IPAM currently has the capacity to train only about 1,100 people a year. Therefore, the capacity of IPAM needs to be expanded and/or the government needs to contract out this training to other training providers.

Introduction The Public Service Department (PSD) has the responsibility for recruiting and managing positions in SI’s public service. As of August-September 2006, PSD had a total of 11,340 budgeted positions (referred to as “established posts”) including vacant positions (see Table 6.1). This number should be seen as a snapshot in time, since the public service changes on a regular basis.30 At this time, 9,368 posts were filled (83 percent of the total) and 1,972 (17 percent) were vacant. These figures exclude workers in state-owned enterprises (SOEs) or parastatal firms, since we included these workers as part of the private, formal sector workforce (in Chapter 5). The conventional wisdom in SI is that public sector employment accounts for about 30 percent of wage-earning employment in the country. However, the facts show that the public sector, even if fully staffed, would account for only 16 percent of all wage- earners, which amounted to 68,784 people in 2006 (see Table 6.1 below). This is hardly an inflated percentage compared with many other developing countries. Within the government, there is a strong belief in the importance of both pre-service and in-service training to prepare workers for public service work and to help them to adapt to ever-changing skill requirements.

30 In October, the Department of Finance and Treasury indicated in a letter to the study team that as of October 2006, there are the following number of people on the payroll: 3,009 public servants; 5,633 teachers; 1,378 police; 185 non-established employees; and 645 retired employees totaling 10,850 people.

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Table 6.1: PSD Budgeted Positions, October 2006 Government Department Total Posts Agriculture & Livestock 185 Lands & Survey 116 Audit 35 Finance & Treasury 261 National Planning 26 Foreign Affairs 32 Commerce, Industry, & Employment 124 Culture & Tourism 46 Health & Medical Services 1,574 Infrastructure & Development 144 Commercial/Civil Aviation & Meteorology 157 National Parliament 114 Forestry & Conservation 122 Fisheries & Marine Resources 68 Mines& Energy 68 Prime Minister & Cabinet 126 Public Service Department 59 Police Administration 44 Police Operations 1,120 Justice & Legal Affairs 215 Provincial Government 108 Unity & Peace 28 Home Affairs 50 Prison Service 380 Governor’s House 21 Teaching Service Scheme 5,557 Education & Human Resources 302 Technical and Vocational Education and Training 258 Total 11,340 Source: Public Service Department

Many senior government officials in SI are concerned that those employed in public service positions do not adequately understand the basic philosophy of public service or what is expected of them as public service employees. The study team encountered this view again and again during interviews with key decision makers in the government. It was this concern that led to the resurrection in 2004 of the Institute for Public Administration and Management (IPAM). IPAM is charged with providing in-service training and with ensuring that existing and new employees are familiar with public service rules and regulations and with the procedures needed to ensure their appropriate implementation.31

31 For a brief description of IPAM, see Chapter 3.

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The need for training is better documented and more institutions are in place to address training needs in the public sector than in the private sector. Before IPAM, much of the training of public sector workers was handled by SICHE, and SICHE remains the institution primarily responsible for the pre-service and in-service training of teachers and health workers employed by MEHRD and the MOH. Certificate-, diploma-, and degree-level training in technical areas is also carried out by various tertiary institutions in the Pacific region that accept public servants supported under the scholarship programs supported by the government and by a range of external donors (see Chapter 4). In addition, in-service training is provided by various line ministries for their own staff.

In-service Training Needs A 2004 consultant’s study commissioned by IPAM included a training needs assessment designed with inputs from the chief administrative officers (CAOs) of nine of the country’s eleven line ministries. 32 The CAOs distributed the questionnaire to the personnel department and/or other knowledgeable individuals within each of the nine ministries. In several instances, it became clear that the ministries had already conducted needs assessments for their own purposes, making it relatively easy to obtain the information needed for the government-wide training needs assessment. The IPAM study included two important tables of relevance to the NSTP study. The first identified the skill gaps in the PSD as perceived by the various ministries. This long list can be found in the IPAM study and is not reproduced here. The second, reproduced here as Table 6.2, is even more useful in that it identifies both the ministries’ priorities for training (in other words, the skill gaps and the total number of people working in the ministry in question) with each of these skill gaps. It should be noted that these skill gaps applied to the ministries’ existing employees and not to their pre-service training requirements. As seen in Table 6.2, the study’s estimate of the total number of personnel who need some type of short-term skill training in one or more of the 18 priority areas is 6,434.33 In Chapter 3, we estimated that IPAM currently has the capacity to train about 1,100 people per year. Based on these findings, it would take more than five years to meet the existing need as identified by the ministries, not to mention the fact that more training needs will no doubt be identified over the next five years in addition to those that already exist. It seems unlikely that IPAM as it is currently organized and staffed will ever have the resources or capacity to fully meet the needs identified in the training needs assessment. This suggests that other options are needed to meet these important training needs within the PSD. These options are discussed more fully in the conclusions and recommendations found in Chapter 9.

32 Raikes, 2004. 33 A given individual may have two or more skill gaps, so the number of individuals is likely to be smaller than the total of 6,434 shown in the table. Just over 9,000 individuals currently fill public service positions.

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Table 6.2: Skill Gaps and Staff Training Needs Identified by the Ministries that Participated in the IPAM Survey

Skill gap area Priority ranking

Number of staff in need of training

1. Basic Public Service Understanding 1 378 2. Computer Skills – Basic Fundamentals 1 656 3. Financial Management 1 175 4. Human Resource Management 1 238 5. Procedures of Government 2 656 6. Staff Management 2 279 7. Senior Management 2 154 8. Customer Service 2 236 9. Public Service Ethics 3 580 10. Report Writing 3 500 11. Workplace Skills – Managing Self 3 660 12. File and Record Management 3 174 13. Policy Development 3 150 14. Literacy – Written 4 624 15. Computer Skills – Excel Intermediate 4 204 16. Office Management 4 232 17. Procedures and Process Reform 4 256 18. Training People On–the–Job 4 282

Total 6,434 Source: Raikes, 2004.

Pre-service Training Needs The PSD maintains a list of authorized employment positions (Table 6.1 above) and also a running vacancy list (see Table 6.3 showing unfilled positions as of October 2006). Both are updated on a regular basis. As mentioned above, the public service was 17 percent understaffed in October 2006 at which time the PSD had 1,972 vacancies that it was trying to fill. As mentioned above, this number does not include vacancies in the state-owned enterprises, which were included as part of the private formal sector and discussed in Chapter 5.

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Table 6.3: PSD Vacancies, October 2006

Skill area Vacancies 1. Administrators 154 2. Secretaries 22 3. Accountants, Communications Officers 97 4. Agricultural Field Officers 12 5. Cartographers, Lithographers, Surveyors (land) 16 6. Legal/Judicial Officers 72 7. Meteorologists 12 8. Librarians, Book Production Specialists 0 9. Planning/Policy Officers, Information Technology (IT) Specialists,

Statisticians 41 10. Education Officers, Curriculum Development Specialists (within

ministries) 33 11. Immigration and Customs Officers, Labor Officers, Trade and Business

Advisors 36 12. Tourism Officers 6 13. Anthropologists, Ethnologists, Cultural Officers, Artists, Archivists 11 14. Civil Aviation Officers 7 15. Doctors, Medical Consultants, Doctor Specialists, Surgeons 21 16. Paramedics 29 17. Nurses 1 18. Health Inspectors, Health Promoters 8 19. Social Welfare Officers, Women's Development Officers 17 20. Malaria Officers, Entomologists, Parasitologists 1 21. Electricians, Mechanics, Carpenters, Plumbers 17 22. Marine Officers, Police/Prison Officers 198 23. Fisheries/Forestry/Conservation Officers, Geologists, Hydrologists 48 24. Engineers, Architects, Quantity Surveyors, Spectrum Analysts 6 25. Researchers 1 26. Cleaners, Domestic Servants, Gardeners, Guards 58 27. Secondary Teachers (teaching scheme) 445 28. Primary Teachers (teaching scheme) 527 29. Technical and Vocational Education and Training Specialists/Trainers 57 30. Tertiary Education Teachers 7 31. Other Education Teachers 12

Total number of vacancies 1,972 Source: Public Service Department. Note: These groupings were established by the study team using technical (occupational coding) criteria in an attempt to simplify the organization and analysis of the establishment and vacancy data.

Of the 1,972 positions that are vacant, 1,025 (52 percent) require pre-service education/training at the degree level. Nearly as many, 887 (45 percent) require post-secondary education/training at the certificate or diploma level, and only 59 (3 percent) require candidates with only secondary education or less. Those in the last category were

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being recruited to fill jobs such as cleaners, drivers, servants, gardeners, guards, and laundry workers. For analytical purposes, the NSTP team has grouped the 31 skill areas in Table 6.3 into a smaller number of major groupings. The eight groups with the largest number of vacancies are shown in Table 6.4. Together they account for 80 percent of all of the public sector vacancies at the end of 2006. Table 6.4: Priority Areas of Need for Pre-service Training of Candidates for Public Sector Vacancies, October 2006

Employment Groups Vacancies as of

August 2006

As percentage of total

vacancies 1. Primary Teachers 527 27% 2. Secondary Teachers 445 22% 3. Marine, Police, and Prison Officers 198 10% 4. Administrators and Administrative Officers 154 8% 5. Accountants, Financial Officers, Communication Officers 97 5%

6. Legal and Judicial Officers 72 4% 7. Planning/Policy Officers, IT Specialists, Information

Officers, Statisticians 41 2%

8. Fisheries/Conservation/Forestry Officers, Geologists, Hydro-geologists

48 2%

Total 1,582 80% The large number of vacancies in these eight occupational areas suggests that the PSD has more difficulty recruiting people for highly skilled positions than for positions requiring only lower-level skills. With the exception, perhaps, of marine, police, and prison officers and IT specialists, most of the positions in Table 6.4 require degree-level training at the tertiary level. The remaining 20 percent of vacancies are in a wide-ranging number of occupational areas, and most would require less than degree-level training. In sum, our analysis of the PSD’s vacancy list shows that there are shortages in a number of critical skill areas in the public sector. These include teachers (to staff the nation’s schools), police, marine, and prison officers (to maintain public order and security), and qualified administrators (to manage public sector offices). Several other skill areas should be given a high priority not because of large numbers of current vacancies but because of the impact that they have on public welfare, such as doctors (21 vacant positions as of October 2006) and paramedics (29 vacant positions).

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CHAPTER 7: INFORMAL SECTOR DEMAND

• Because most villages that we surveyed are currently trying to implement community

development projects requiring specialized skills, mobile and highly flexible training units should be established that can move into a village, provide skills training relevant to a high-priority project targeted to the entire local community, and then move on.

• RTCs and other informal training providers should focus their resources on developing and providing high-quality training in these three crucial skill areas: (1) forestry/logging; (2) farming (plant and animal production); and (3) construction.

• The few young people who are working (other than as casual laborers) are in the following 11 areas: (1) farmer; (2) teacher; (3) housekeeper/home-duties; (4) shopkeeper/market vendor; (5) carpenter; (6) fisherman; (7) police/security officer; (8) nurse; (9) mechanic; (10) chainsaw operator; and (11) timber miller. Therefore, RTCs and other organizations that provide training services in the informal sector should be encouraged to focus on skills relevant to these higher-employment areas.

Introduction

Nearly four out of five Solomon Islanders live far from the nation’s largest city and capital, Honiara, in 3,000 small villages spread across some 350 islands.34 The average-sized village consists of fewer than 150 men, women, and children. About 75 percent of the nation’s labor force survives on subsistence farming and fishing.

In such small communities, most manufactured goods and all petroleum products must be brought in from outside. To generate cash to purchase these needed imports, the villagers must find local employment or sell cash crops and fish. Historically, most cash income in villages has been generated through paid employment within the wood harvesting and mining industries or though the production and sale of the two main cash crops, copra and palm oil.

In recent years, many of SI’s forests have been over-harvested. Exports of timber have fallen, as have exports of palm oil. In 1998, Ross Mining of Australia began producing gold at Gold Ridge on Guadalcanal. However, in the wake of the ethnic violence of 2000, production fell, and the Gold Ridge operation closed down.

Recently, income from most export activities has picked up again, providing much-needed wage-earning employment in the rural areas. Mining has particular potential for the future. The islands are rich in undeveloped mineral resources, including lead, zinc, and nickel as well as gold.

The exploitation of SI’s fish resources offers another prospect for expansion and export. A Japanese joint venture with the government operated the only fish cannery in the 34 SI comprises 992 islands, but only about a third of them are inhabited.

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country prior to the ethnic disturbances, but like Ross Mining, this company closed down in mid-2000. The plant has recently reopened under local management, but the export of tuna remains well below the pre-crisis level.

Tourism, particularly diving, is another industry with great potential for SI’s economy. However, the industry is currently small, and its growth is hampered by a lack of infrastructure, particularly the limitations in air and sea transportation both into and out of the country and a lack of road, air, and sea transportation between Honiara and the best diving areas.

In sum, the cash income-earning potential within SI’s 3,000 or so villages is limited. For this reason, the main source of support for these villages for some time will be the subsistence economy. It is important to stress this because skills training works best when it is provided to meet immediate needs. For the foreseeable future, the most pressing need in remote village communities will be for skills that foster community development and self-employment in the informal sector. It was with this understanding that the NSTP study team sought to collect the data needed to identify and understand the skills training needs in the informal sector, especially in SI’s remote rural areas.

Community Sector Program Survey The rationale for selecting the Community Sector Program (CSP) to conduct the NSTP’s informal sector survey was described in detail in Chapter 1. The CSP survey provided a wealth of interesting data. The CSP dataset has two primary parts. One contains information about ongoing and planned village development projects and the skills needed to support those projects. The second contains information on the employment status and skills of young people of working age who live within the same sample of villages. Young people in this survey were defined as all those aged between 15 and 29.

The two datasets offer different and important perspectives on SI’s informal sector. The survey found that many village leaders feel that skills to support community development are just as important as skills for wage employment. As discussed in Chapter 1, the sample for the CSP survey was not truly random. However, both CSP and the study team believe that CSP’s criteria for selecting villages resulted in a sample that was generally representative of village conditions nationally. Bypassing the most advantaged areas, the CSP looked for villages that were in need of outside support yet also had demonstrated enough initiative to embark on self-help projects with technical and financial assistance often provided by NGOs and the government. .

Skills Needed Within Villages Most of the surveyed villages had some type of development project either in the planning stage or already underway. In the 122 sample villages, the survey identified 286 projects or an average of nearly three projects per village. Annex Table 4.1 provides a full list of these projects and the number of villages that indicated that they had or were planning to have this kind of project as one of their top three priorities. Based on the

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number of villages indicating the presence of or desire for each kind of project, Figure 7.1 presents a list of the project types in highest demand. The type of project favored by the largest number of villages by far is the development of a sanitation and/or clean water system. Of the 122 villages, 103 (84 percent) were implementing, or hoping to implement, a project of this type. Sixteen villages reported that they did not have access to an RTC, whereas the majority (106) reported that they did have access but that the RTC was not providing the kinds of training services that they most need to support their community development plans. This finding suggests that RTC coverage is widespread and that they have the potential to increase their impact if their internal and external efficiency can be increased. The 122 surveyed villages identified 698 high-priority training needs. The study team concluded that these needs could be summarized under three main headings – the training needed to: (1) implement community projects; (2) increase the productivity of existing jobs and community activities; and (3) prepare (young) people to take advantage of existing wage-earning opportunities. Figure 7.1: Most Popular Village Projects in 122 Surveyed Villages

7

7

8

8

12

13

13

21

103

0 20 40 60 80 100 120

Church

Education facilities

Community raised bed gardens

Kindergarten

Livestock farming

Hydro/electricity generation

Community hall

Aid post/health clinic

Sanitation/water system

Number of villages implementing or planning to implement

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The village respondents identified a total of 118 separate sets of skills, and these are all listed in Annex Table 4.2. Annex Table 4.3 provides the same information sorted by frequency of responses from the villages in the sample. A full review of these skill sets (in Annex Tables 4.2 and 4.3) revealed that many of the skills are in three general areas of employment/income generation: (1) forestry/logging; (2) farming (plant and animal production); and (3) construction. Among the sample villages, there were 56 responses stating the need for forestry/logging-related skills, 144 for agriculture-related skills, and 208 for construction-related skills. (Details of these responses appear in Tables 7.1, 7.2, and 7.3 below.) When combined, these responses account for about 58 percent of all responses from all villages in the survey. The analysis in the tables does not tell the whole story of how skills training needs were perceived by the villages in the sample. The villages also exhibited strong demand for other skills that are known to be key ingredients in the nation’s future development but are in short supply across the country. For example, 63 villages specified their wish to have more teachers (of early childhood education, primary and secondary education, vocational and life skills, and literacy), which reflected the national shortage of teachers reported in Chapter 6 (see Table 6.4). Other critical areas include accounting, bookkeeping, and finance (33 villages said they needed more people with these skills) and administration/management (31 villages said they needed more people with these skills). Table 7.1: Need for Forestry and Logging Skills Training

Skill Area Number of villages listing need for this

skill Mechanic – hydropower equipment/chainsaw 29 Logging – mill operations and planting trees/surveying 14 Forestry (area unspecified) 5 Logging – skidder operator/truck driver 5 Land offers/surveys 2 Logging – log scaler 1

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Table 7.2: Need for Agricultural Skills Training

Skill Area Number of villages listing need for this

skill Fishing – general and improved methods 71 Food catering/cooking/baking skills/marketing of food products 32 Agriculture/livestock production/skills in cross-breeding/poultry farming 15 Bee keeping 7 Farming – cocoa, oil palm, coconut, including crushing for oil 4 Fishing – sewing fishing nets 4 Cocoa/copra buyers 4 Landscaping/floral arts 4 Farming – food crops/gardening/betel nut 2 Farming – seaweed/vanilla 1

Table 7.3: Need for Construction Skills Training

Skill Area Number of villages listing need for this skill

Construction - plumbing/water supply/sanitation 118 Construction engineering – water pressure/design/planning/hydropower 17 Construction - masons/bricklayers/painters/brick-makers 12 Construction – architect 7 Construction – carpentry 7 Truck drivers 7 Engineering – general 6 Mechanics – outboard motor/automobile 6 Construction – graders/loaders/bulldozer operators 6 Solar panel installation and operation 5 Machine operation/maintenance 4 Landscaping/floral art 4 Construction – road maintenance/drainage 3 Welding 3 Construction – sea walls/coral arts landscaping 2 Wiring 1

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Village Youth Survey

As a component of the CSP village survey, the team was able to get employment data on 4,047 young people (aged 15 to 29) in 100 villages in 10 provinces (see Annex Table 4.4). Although this survey covered only about 3 percent of all villages in the country, it is the opinion of the CSP and NSTP teams that the youth dataset is sufficiently representative of small villages across the nation. First, it can be argued, as mentioned above, that the surveyed villages are typical of rural villages throughout SI. It is true that 22 of the 122 surveyed villages (18 percent) returned no information on their youth populations, but there is little reason to believe that those that failed to respond were systematically different from those villages that did respond. If they had been, this would have meant that the analysis was subject to non-response bias. It seems simply that a few CSP field staff misunderstood, or chose not to follow, their instructions when it came to the youth survey (which was the most onerous of the several survey modules). Second, each village that did respond to the request provided information on an average of 40 young people. This number is close to the number of individuals between the ages of 15 and 29 that we would expect to find in an average-sized village (125 people) in SI.

Distribution of Young People in the Workforce

Figure 7.2, based on Annex Table 4.4, shows what the young people in the 100 villages were reported to be doing at the time of the CSP’s field survey. One out of four (1,024 out of 4,047) was still a student, attending either a school in the village or a training program (such as an RTC) or a formal educational institution elsewhere in the country. Only about 18 percent of the surveyed individuals were currently “employed” – with 144 (4 percent) working for the government, 249 (6 percent) working for wages in the private sector, and 332 (8 percent) self-employed in their own or family-run enterprises, often in farming, fishing, or petty trade. Clearly, most of those labeled as “self-employed” were working in SI’s informal sector – the gray world of small, unregistered, and (given their fluctuating and uncertain profit margins) transitory enterprises that can be found in all developing countries and are common throughout SI. Most of the self-employed workers receive no wages but share in whatever (cash or in-kind) income that the family can eke out of the work. A majority of young people in the survey (58 percent) fell into one of two categories that were about equal in size. Twenty-nine percent (1,139 individuals) was reported to be “not working.” To call this group unemployed, however, probably would be a misnomer. For this group of mostly rural young men and women, the distinction between being self-employed and being unemployed is bound to be blurry. Most if not all of those “not

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working” surely contribute in some fashion to household production and family income, in much the same way as those reported to be “self-employed.” For the remaining 1,161 individuals (also 29 percent), respondents in the village provided no information as to their current employment status. This is too large a group simply to ignore, and it would be rash to assume that their employment distribution is the same as that of the group whose employment status was reported. Some may be studying, or working for a private firm, or working for the government, but the research team’s assumption is that this group is not unlike the “self-employed” and “not-employed” groups. When a young person’s work is casual and in the informal sector, the village respondents may not have known how to answer the question about their employment status and so they gave no answer at all. If the research team’s assumption is correct, then the number of young people who are engaged in intermittent work in the informal sector is extremely large in percentage terms, perhaps as many as two-thirds (8 percent “self-employed,” 29 percent “not employed,” and 29 percent “unclassified”). With a quarter of young people still studying, this means that only one in ten young people in villages in SI is employed in a steady, wage-earning position (working for the government or for a private firm in the formal sector).

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Figure 7.2: Youth Employment in Rural Villages

Private6%

Otherwise not employed

28%

Student25%

Self-employed8%

No Information

Given29%

Government4%

Clearly there are very few wage-earning opportunities for individuals from small villages in SI, particularly for young people. Most young people in SI live in households that rely on the subsistence economy, in which income-earning opportunities are rare and unpredictable. In this environment, those with marketable skills clearly have an advantage, and given the uncertainty and changeability of market demand, those with multiple skills have an even greater advantage. This has clear implications for the kinds of training targeted to young people that should be encouraged in SI’s rural villages in order to increase productivity and family incomes.

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Skill Requirements of Young People in the Informal Sector

Respondents in the 100 responding villages provided information on the occupations of 2,177 of the 4,047 individuals covered in the youth survey (54 percent). The occupations

of the rest (46 percent) were not reported and are, therefore, unknown.

Figure 7.3: Village Youth Sample

Those identified by villagers as

unskilled or for whom no

information was given (n=2,329, or

58%)

Young persons with identified

skills (n=1,718, or 42%)

It is possible that villagers only report the occupations of those young people whose occupations and skills are clearly established and demonstrated. Thus, as a corollary of this assumption, those for whom no information is given (row 23 of Annex Table 4.4) can be lumped together for analytical purposes with those identified as “unskilled workers” (row 11 of Annex Table 4.4). Figure 7.3 shows a breakdown of the youth sample based on this interpretation of the missing information. The smaller slice (42 percent) comprises those individuals whose occupations or skill sets were identified by the village respondents. The larger slice (58 percent) is made up of those working as unskilled labor plus those for whom no information was given, who are counted here as unskilled workers as well. Figure 7.4 shows another breakdown wherein young people for whom no information was given (46 percent of the full sample) have been removed from the analysis, leaving only those actually designated as unskilled workers (11 percent) together with all others whose skilled occupations were reported (17 percent). This group, after students (25 percent) have been removed as well, amounts to 1,153 young people (28 percent of the

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full sample). Ten of the 21 occupational categories in Annex Table 4.4 account for 93 percent of the 1,153 individuals whose occupations were reported in the village survey. Other than those designated as unskilled workers (40 percent), the most frequently reported occupations were agriculture (15 percent), personal services including “home duties” (12 percent), and education (11 percent). Other occupations in the top 10 are construction (4 percent), fishing, trade, and police/security work35 (3 percent each), and health (2 percent). Figure 7.4: Main Occupational Categories of Village Young People in Workforce and Not Studying

(N=1,153)

Agriculture (#1)15%

Fishing (#8)3%

Construc- tion (#4)

4%

Education (#5)11%

Personal services (#14)12%

"Unskilled work" (#11 only, #23 not

included)40%

Trade (#21)3%

Police/security (#16 + #7)

3%

Health (#9)2%

ALL OTHER OCCUPATIONS

7%

Note: The numbers within parentheses right after the abbreviated occupational names in the figure refer to the numbers in Annex Table 4.4. Under each of the major occupational categories in Annex Table 4.4 are listed one or more occupational sub-categories, or job titles, as reported by the village respondents. Some occupations have very many sub-categories. For example, “other community, social, and personal service activities” has 13 sub-categories, “business-related services” has nine, “production of foods/manufacturing” has nine, and “agriculture” has seven. Across all 22 occupational categories, including “study,” there are 81 sub-categories of job titles. Figure 7.5 removes unskilled workers from the 1,153 individuals shown in

35 Two village youngsters were reported to be working for RAMSI, which is counted as an “extraterritorial body” (#7), and these two have been included together with the 33 individuals designated as working in “public administration, security, and defense” (#16).

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Figure 7.4 and presents the 11 most frequently reported job titles.36 Together, the 11 account for 83 percent of the 695 young people with identified job titles/skills. The most frequently reported job titles were “farmer” (20 percent of 695), “teacher” (18 percent), and “housekeeper/home duties” (16 percent). The others were “shopkeeper/market vendor” (6 percent), “carpenter” (6 percent), “fisherman” (5 percent), “police/security officer” (5 percent), “nurse” (2 percent), “mechanic” (2 percent), “chainsaw operator” (2 percent), and “timber miller” (1 percent).

Figure 7.5: Main Job Titles of Village Young People with Identified Skills

Teacher (#5.1)18%

Police/security (#16.1 + #16.2 + #16.3 + #16.4 +

#7.1)5%

Fisherman (#8.2)5%

Mechanic (#13.1)2%

Farmer (#1.3)20%

Carpenter (#4.2)6%

Chainsaw operator (#1.1)

2%

Timber miller (#1.7)1%

ALL OTHER JOB TITLES

17%

Housekeeper/home duties (#11.6 +

#11.7)16%

Nurse (#9.3)2%

Shopkeeper/market vendor (#21.2 +

#21.3 + #21.4)6%

Clearly, these 11 skill areas are in demand at the village level. Therefore, the most effective training policy for SI’s village areas would contain measures to enhance these skills as well as other skills not shown in Figure 7.5 but which may also be in demand (something that could vary by region of the country or from one village to another) and those not currently in high demand but for which demand can be expected to grow in the near future. . Policymakers devising an effective skills training strategy for village areas might also look for groups of skills that are complementary and can be taught together in well-designed training modules. Receiving multi-skills training of this sort should make it

36 Again, some reported categories that clearly overlap to a great extent (for example, “shopkeeper,” “storekeeper,” and “market vendor”) have been combined here for analytical purposes.

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easier for individuals to find work and also to adapt to future shifts in market demand. As an example from Figure 7.5, it would make sense to train some individuals in chainsaw skills, timber milling skills, and mechanical skills since a well-rounded and adaptable worker in the timber industry should have at least working-level knowledge of all three areas as well as of skills related to tree planting and reforestation. As another example, it probably makes sense to give all workers in villages (including teachers and nurses) some training in farming and fishing techniques, which they can use for themselves and also pass along to others (including their students and patients).

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CHAPTER 8: TRACER STUDIES

• The majority of government- and donor-financed scholarships should go to students aiming to

study subject areas relevant to occupations for which there is an identified economic/ development need in either the private or public sector. Sponsors of scholarships should identify these areas of study first and then issue an invitation for students to apply for scholarships in these areas.

• Scholarships should generally be awarded to the most highly qualified students. Sponsors

should focus on excellence in the awarding of scholarships but reserve some awards for students from poor families who have performed well and have shown particular potential.

Introduction This study has assessed the demand for skills in SI from the perspectives of the private and public wage sectors (Chapters 5 and 6 respectively) and the informal rural sector (Chapter 7). On the supply side, the study has looked at the systems of formal education and training (Chapter 2) and informal vocational training (Chapter 3) to see where and how skills are now being produced and at what cost (Chapter 4). This chapter examines the success or failure of graduates from tertiary-level education and training (the most advanced, selective, and expensive of the education programs attended by Solomon Islanders) in acquiring employment. From this information, the chapter goes on to assesses the extent to which the subject areas that the students choose to study match the demands of the market place. In light of the demand for specialized skills in SI and the high cost of education and training at the tertiary level, are there enough graduates of the technical courses offered by SICHE and the degree programs available abroad? Do students specialize in the right mix of subject areas to meet skill demand in SI or is the education and training system producing too few graduates with those sets of skills? Finally, does the quality of tertiary education and training meet the needs and the expectations of employers? One way to assess this is to start by evaluating the employment success of those who have graduated in fields that we identified in Chapters 5 and 6 as being in demand in the private and public wage sectors. Are graduates in these fields more likely than others to find employment and do well in their jobs (earning more money and moving more quickly into positions of responsibility)? If not, then the specific skills that these graduates have may not be the ones that employers are actually looking for, even if their general occupational labels appear to fit. In this case, the problem would lie with the quality of their skills training rather than with a lack of graduates with those skills. Finding and interviewing graduates, whether in face-to-face interviews or by other means (such as mail, e-mail, or telephone), is never an easy proposition, and it is even more difficult in SI than in most other countries. While it is true that the largest number of

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tertiary graduates live in the capital city, Honiara, nevertheless, a representative sample would need to include at least some graduates who live in remote rural areas. Many of these communities are located hundreds of miles from Honiara on small islands and are slow and expensive to get to by boat or plane and are difficult to reach by postal or telecommunication services (even if every individual’s exact location could be known at all times, which is never the case). Therefore, rather than trying to communicate directly with graduates, the NSTP team decided to try an alternative methodology that made use of the close ties among the small numbers of individuals who attended particular educational institutions at about the same time. For each cohort of students included in the study’s sample of graduates, the study team identified and assembled a small group of five to eight graduates to provide information on the rest of the graduates who studied at the same place at the same time. This approach proved to be remarkably successful. While precise information on earnings is difficult to obtain in surveys of any kind (and the NSTP team decided not to try to collect information on the earnings of graduates), nevertheless, we were able to obtain reliable information on other variables (such as each graduate’s current location, employment status, and level of job responsibility) on virtually all graduates in the sample.37 The sample comprised all 2003 and 2004 SICHE (technical college) and overseas (university) graduates whose names the team could obtain either from the institutions or schools at which they studied or from the agencies that financed their studies. The sample was close to but not quite 100 percent as a few Solomon Islanders who graduated in those two years were bound to have been missing from the list. It was not possible, for example, to get the names of privately sponsored individuals who studied at one of the overseas institutions that are infrequently attended by Solomon Islanders. Nevertheless, the team managed to obtain information on virtually every graduate on the long list, and the list was sufficiently representative to allow us to make meaningful inferences about all of the graduates who finished their studies in these two years. Table 8.1 below shows the numbers of SICHE and overseas students who graduated in each of the two years. As shown in Figure 8.1 below, we were able to analyze the sample in several different ways: (1) in terms of where they studied (SICHE graduates accounted for 80 percent of the two-year total and overseas graduates for 20 percent); (2) by year of graduation (58 percent of the total graduated in 2003 and 42 percent in 2004), or (3) by both (SICHE graduates in 2003 accounted for 49 percent of the total and in 2004 for 31.3 percent, while overseas graduates in 2003 accounted for 9.5 percent and in 2004 for 10.3 percent).

The study team cannot explain why institutions and sponsors gave them fewer names of graduates for 2004 than for 2003. There is no reason to think that tertiary enrollments are actually declining over time. The number of first-year university students studying in all overseas locations in 2005, for example, was 296 (see Table 2.5 in Chapter 2), and the

37 To assess the accuracy of the data, the team was able to cross-check the information provided by informants with information obtained directly from a small sub-sample of individuals who could be found and interviewed separately.

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number of first-year SICHE students in the same year was 1,089 (see Figures 2.16 and 2.18 in Chapter 2). Of course, some students drop out after their first year of study without ever graduating, but if anything, the long-term trend for students in tertiary education appears to an upward one. The only conclusion seems to be that there are a lot of unexplained, year-to-year fluctuations in enrollment figures in SI. For example, despite the 27 percent increase in preparatory-year enrollments between 2000 and 2005 (see Table 2.2 in Chapter 2), the number of preparatory pupils actually fell by 10 percent between 2002 and 2003. Similarly, there was a nearly 40-percent decrease in the number of Form 7 students between 2005 and 2006, at least according to the figures made available to the study team (see Table 2.4 in Chapter 2).

Table 8.1: Tertiary Graduates by Study Location and Year of Graduation Graduation year Study location 2003 2004 Grand Total Solomon Islands (at SICHE) 849 542 1,391 Outside (at a university abroad) 164 178 342 Grand Total 1,013 720 1,733

Figure 8.1: Tertiary Sample by Study Location and Year of Graduation

SICHE - 2003, 49.0%SICHE - 2004, 31.3%Outside - 2004, 10.3%Outside - 2003, 9.5%

Studied in Solomon Islands (at SICHE) - 80%

Studied outside (at a university abroad) 20%

Graduated in2003 - 58%

Graduated in2004 - 42%

The information on graduates was valid for the period June to July of 2006, the time when classmates were brought together to answer the questions posed by the NSTP team. This timing implies that the 2003 sample had graduated almost exactly three years earlier and the 2004 sample had graduated two years earlier. Because they had had an additional year to look for a job, the team predicted that the earlier graduates would have a higher

8-4

average employment rate. Figure 8.2 below (which is based on more detailed information in Annex Table 5.1) confirms this hypothesis, although the differences between the two sub-samples are not large. Ninety-three percent of the 2003 graduates hold jobs in the public or private wage sectors or, alternatively, are “self-employed” (meaning that they work in their own or family-run enterprises) compared with 91 percent of the 2004 graduates. A slightly smaller proportion of the 2003 graduates has continued studying in pursuit of advanced credentials (3 percent versus 2 percent). Only 5 percent of the 2003 group of graduates is “otherwise not employed” compared with 7 percent of the following year’s cohort. It should be noted that the status of “otherwise not employed” applies both to those who do not participate in the labor force (that is, are not looking for work currently) and to those who are looking for work but are currently unemployed.

Figure 8.2: Employment Status by Year of Graduation

93%

91% 3%

2% 5%

7%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

2003

2004

Employed Student Other not employed

Combining the two graduation years and comparing those who have earned technical certificates or diplomas from SICHE with those who have earned university degrees overseas, we again found only small differences (see Figure 8.3 based on information in Annex Table 5.2). The 1 percentage-point difference in observed employment rates is not statistically significant. The university graduates are about twice as likely as the SICHE graduates to be continuing their studies, and the SICHE graduates are about twice as likely to be either out of the labor force or unemployed.

8-5

Figure 8.3: Employment Status by Location

92%

91% 4%

2% 6%

4%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

SI (SICHE)

Outside SI


Of the 1,733 graduates in the full sample of graduates, 624 (36 percent) were female. This compares with the percentages of female enrollments at lower levels of education as follows – 47 percent in primary, 45 percent in lower secondary, and 40 percent in upper secondary (see Figure 2.8 in Chapter 2). In other words, the relative disadvantage of girls increases with each level of education including tertiary education. Of those who graduate, however, women are 5 percentage points more likely than men to be employed two to three years later (see Figure 8.4 below based on information in Annex Table 5.3). The male graduates are three times as likely still to be studying and are more than twice as likely to be out of the labor force or currently unemployed. Not surprisingly, SICHE graduates are much less likely than university graduates to be living abroad today. A few university graduates (who of course all studied abroad) have either not yet come home or came home and then returned abroad.

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Figure 8.4: Employment Status by Gender of Graduate

95%

90%

1%

3%

3%

7%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Female

Male


Ninety-eight percent of SICHE graduates are currently living (and working) in SI, whereas the same is true for only 84 percent of university graduates (see Figure 8.5 below based on information in Annex Table 5.4).

Figure 8.5: Current Residence by Study Location

98%

84%

2%

16%

0% 20% 40% 60% 80% 100%

Studied in SolomonIslands (at SICHE)

Studied outside (atuniversity abroad)

Now living in Solomon Islands Now living abroad

8-7

Graduates of Solomon Islands School of Higher Education This section focuses on the SICHE sub-sample – 1,391 graduates in 2003 and 2004 combined.38 Detailed information on their current employment (in other words, in the summer of 2006) is provided in Annex Table 5.5. Figures 8.6 and 8.7 (based on the information in Annex Table 5.5) show the employment status of SICHE graduates and, for those who are employed, the sector in which they are employed. Virtually all SICHE graduates from the Education and Nursing Schools are currently employed. One reason for this is that a very high proportion of those graduating in these two fields (100 percent of employed nurses and 79 percent of employed teachers) found jobs in the public service.

Figure 8.6: Employment Status by SICHE School

99%

99%

77%

79%

78%

1%

1%

23%

21%

22%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Education

Nursing

Fin. & Adm.

Ind. Dev.

Nat. Res.

SICHE Schools

Employed Not Employed

38 The list of graduates included no one who had graduated from the School of Marine and Fisheries Studies, the smallest of SICHE’s six schools (see Figure 2.16 in Chapter 2), and it included a small number (15 graduates) identified only as having been in “distance education.” These 15 graduates are excluded from much of the subsequent analysis.

8-8

Figure 8.7: Employment Sector of Employed Graduates by School

79%

100%

57%

36%

88%

21%

39%

52%

11%

4%

12%

2%

0% 20% 40% 60% 80% 100%

Education

Nursing

Fin. & Adm.

Ind. Dev.

Nat. Res.

SICHE Schools

Government Private firm Self-employed

In the case of graduates from SICHE’s other three schools, employment rates are much lower – 77, 78, and 79 percent for those who graduated from the Finance and Administration School, the Natural Resources School, and the Industrial Development School respectively. Most of those who are not currently employed are either out of the labor force (in other words, not currently looking for work) or unemployed. Of the 69 not currently employed individuals from the three schools combined, only 26 (or 27 percent) were still studying. Of the employed graduates, those who graduated from the Industrial Development School are the least likely (36 percent) to have jobs in the public sector and are the most likely to work for a private firm (52 percent) or to be self-employed (12 percent). Relative to other SICHE graduates, a high percentage of those from the Finance and Administration School work in the private sector. Of those now employed, 39 percent work for a private firm, and 12 percent work for themselves. The current jobs of employed graduates were graded by the survey respondents according to level of responsibility into three categories – “entry-level,” “middle-level,” and “executive.” The graduates in the NSTP sample had graduated only recently (in 2003 and 2004), and so, as might be expected, a high proportion (82 percent from all five SICHE schools combined) still work in entry-level jobs (see Figure 8.8 based on information in Annex Table 5.6).

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Figure 8.8: Job Level of Graduates by SICHE School

92%

2%

83%

84%

93%

82%

4%

97%

11%

12%

5%

14%

1%

4%

4%

3%

2%

6%

0% 20% 40% 60% 80% 100%

Education

Nursing

Fin. & Adm.

Ind. Dev.

Nat. Res.

All schools

Entry-level Middle-level Executive

However, their prospects do differ by their fields of study. Nurses seem to move very quickly (or perhaps directly after graduation) into the more responsible, middle-level jobs. Respondents reported that 97 percent of the nurses in the sample are in positions at the middle level, and nurses account for most of the 14 percent of all graduates working at that level across all fields of study. No more than 5 percent of the graduates from any of the other four schools are currently in middle-level jobs. At the same time, however, there appears to be a “glass ceiling” for nurses, given that only one nursing graduate in the NSTP sample has moved into what informants identified to be an “executive” position. This one nurse can be compared with 46 (4 percent) of those in the sample as a whole. Graduates who do particularly well in this regard are those who graduated from the Finance and Administration School (5 percent in executive positions), the Industrial Development School (3 percent), and the Education School (3 percent). Although very many SICHE graduates (39 percent) remain in Honiara (where the SICHE campus is located), graduates can be found living and working in all provinces of the country. A small number live outside SI altogether, some working and others enrolled in advanced technical courses (see Figure 8.9 based on information in Annex Table 5.7).

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Figure 8.9: SICHE Graduates by Current Place of Residence

39%

17%10% 9% 6% 5% 5% 4% 3% 2% 1%0%

10%

20%

30%

40%

Honiar

a

Mala

ita

Temotu

Guadalc

anal

Mak

ira an

d Ulaw

aIsa

bel

Centra

l

Rennell

and Bell

ona

Choiseu

l

West

ern

Outside c

ountry

However, as shown in Figure 2.22 in Chapter 2, very few students who enroll in SICHE programs (less than 1 percent) are originally from Honiara, suggesting that enrolling in SICHE may be a good way for children from poor families in remote areas to improve their socioeconomic status by moving to the capital city. Counted as SI’s tenth province, Honiara ranks last (1 out of 10) in terms of where SICHE students come from originally but first (10 out of 10) in terms of where they end up after graduation (see Figure 8.10). In this sense, Honiara gains workers from other provinces in the country. The difference between Honiara’s two rankings is 9 (10 minus 1). The only other two provinces that gain workers are Makira and Ulawa and Central. For all other provinces, the difference between the two rankings is either zero (in the case of Guadalcanal) or negative (the number of students sent to SICHE exceeds the number of workers received from SICHE), which is the case of the six provinces to the right of Guadalcanal in Figure 8.10. Even though many graduating from SICHE demonstrate their preference to remain in Honiara if possible, the employment rate of SICHE graduates is only 89 percent in Honiara, the lowest of all 10 provinces (see Figure 8.11). Only graduates now living abroad are less likely to be employed (55 percent), accounted for in part by those who go abroad to continue their studies. Ten out of 29 (34 percent) of those living abroad are studying compared with only 19 out of 1,348 (5 percent) of those still at living in SI. In all other nine provinces, at least nine out of ten SICHE graduates are currently employed. In Rennell and Bellona, all 2003 and 2004 SICHE graduates are currently employed (although Rennell and Bellona is a tiny province, and only seven of the SICHE graduates in the NSTP sample live there).

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Figure 8.10: Provinces Ranked by Number of Students Enrolled in SICHE and by Number of Graduates Now in Residence

1

43

7

2

9

5

8

66

4

1

8

3

5

2

9 2 1 0

-1 -1 -1 -2 -3 -4

10

9

10

7

-8

-4

0

4

8

12

Honiar

a

Mak

ira an

d Ulaw

a

Centra

l

Guadalc

anal

Mala

ita

Rennell

and Bell

ona

West

ern

Temotu

Isabel

Choiseu

l

Rank - students enrolled Rank - graduates in residenceDifference ("gain" or "loss")

Figure 8.11: Employment Status of SICHE Graduates by Current Location

55%89%91%93%94%95%95%97%97%97%98%100%

11%9%7%6%5%5%

3%3%2%

3%

45%

0% 20% 40% 60% 80% 100%

Outside country

Honiara

Isabel

ALL LOCATIONS

Central

Choiseul

Makira and Ulawa

Guadalcanal

Malaita

Western

Temotu

Rennell and Bellona

Employed Not employed

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Graduates of Universities Abroad The 342 individuals in the NSTP sample of 2003-2004 university graduates received their degrees from higher education institutions in six different countries (Fiji, Papua New Guinea, Australia, Japan, New Zealand, and Taiwan), but the lion’s share (218 or 64 percent) studied in Fiji, and most of these (188) at the Laucala Campus of the University of the South Pacific (USP) in Suva (see Figure 8.12). A sizable number (65 or 19 percent) studied in PNG in five different higher education institutions. A relatively small number (59 or 17 percent) studied in the other four countries.

Figure 8.12: NSTP Sample of 2003-2004 Overseas Graduates

188

23 7 36 16 9 3 151

6 1 10

50

100

150

200

USP

FSM

FIT

Uni

v. o

fPN

G

Uni

v. o

fT

echn

olog

y

Paci

ficA

dven

tist

Uni

v. o

fG

orok

a

PNG

Mar

itim

e

New

Zea

land

Aus

tral

ia

Tai

wan

Japa

nFiji (218) Papua New Guinea (65) Other (59)

The graduates with the highest rate of current employment are those who studied in Papua New Guinea (PNG). Ninety-seven percent are now employed, and the remaining 3 percent are studying for advanced degrees (see Figure 8.13 based on information in Annex Table 5.8). Those who graduated from higher education institutions in Fiji and the other four countries have employment rates of 91 and 86 percent respectively. Five percent of both groups are still studying. Another 5 percent of graduates from Fiji and 9 percent of those from the other four countries are currently not employed for other reasons.

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Figure 8.13: Employment Status of Overseas Graduates by Country of Study

91%

97%

86% 5%

3%

5% 5%

9%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Fiji

Papua New Guinea

Other


Figure 8.14: Employment Sector of Employed Overseas Graduates by Country of Study

68%

67%

64%

32%

32%

30%

2%

6%

0% 20% 40% 60% 80% 100%

Fiji

PNG

Other


8-14

The majority of all graduates from all six countries who are employed now work in government jobs (Figure 8.14). Of the 32 to 36 percent of graduates who do not work for the government, those who studied in Fiji are the least likely to work for themselves. For those in the NSTP sample, no one who graduated from USP, FIT, or FSM is currently self-employed. The graduates most likely to be self-employed are those who studied in Australia, Japan, New Zealand, and Taiwan (6 percent), but as this entire group is very small, 6 percent amounts to only three individuals. Only one graduate who studied in PNG is self-employed, and one who studied in Fiji. For SI’s economy to develop and grow rapidly in the future, it will almost certainly be necessary for more university graduates to find jobs in the private sector and/or to grow their own businesses. Figure 8.15 shows the major subject areas studied by the university graduates in the NSTP sample. Education is the most popular major of those individuals who recently returned from study abroad (17 percent). Of the next three most studied subjects (13 to 14 percent each), one is an applied subject (medicine), while the other two (the social and physical sciences) are more academic and less practical that generally require further study and/or work experience before the graduates can contribute significantly to the nation’s productivity.

Figure 8.15: Subjects Studied by Overseas Students Who Graduated in 2003 and 2004

12

46

81515

1720

2729

4347

4856

0 10 20 30 40 50 60

Industrial arts

Trades

Tourism and hospitality

Arts

Building and construction

Agriculture

Technology

Engineering

Administration

Law

Business and finance

Science

Medicine

Social sciences

Education

Number of Graduates

The next five subjects (4-9 percent each) are all applied subjects that directly contribute to the development and growth of the economy, with the possible exception of law. Lawyers are needed in SI, of course, as they are everywhere, but the addition of 10 to 15

8-15

new lawyers each year to the potential workforce may be too many for the growing needs of such a small population at this early stage in SI’s development process. Looking down the list in Figure 8.15, it is easy to conclude that the choice of subjects studied by Solomon Islanders who attend universities abroad is driven less by the development needs of the economy, and more by the desire of some students to pick subjects that they perceive to be easy options and avoid those that they believe to be more demanding. Figure 8.16 (based on information in Annex Table 5.9) shows the employment status of university graduates by their majors. Ninety-one percent of all graduates are currently employed. The subject areas in which graduates exceed the average are: administration (a skill that is particularly scarce in SI both in the private sector and in the public sector); medicine (a skill almost entirely absorbed into SI’s public service); education (in which the government also plays a big role); and four additional subjects (building and construction, tourism and hospitality, trades, and industrial arts), which, while all apparently, in great demand, are currently produced only in small numbers (fewer than 10 graduates in each of these subjects during 2003-2004). Figure 8.16: Employment Status of Overseas Graduates by Major Subject Studied

91%100%100%100%

83%100%

80%93%

88%100%

89%90%

84%98%

85%

13%

10%

96% 2%

4%

17%

7%

6%

4%

14%

8%2%

7%

4%

6%

2%

6%

7%

2%

0% 20% 40% 60% 80% 100%

ALL SUBJECTS

Industrial arts *

Trades *

Tourism and hospitality *

Arts *

Building and construction *

Agriculture

Technology

Engineering

Administration

Law


Science

Medicine

Social sciences

Education

Employed Student Other not employed * Fewer than 10

b ti Because the Solomon Islands are blessed with spectacular underwater scenery and an enviable diversity of fish species and sea vegetation (a dream location for divers), the country might be expected to have a well-developed tourist industry, employing large numbers of skilled hospitality workers. This is not, however, the case. One explanation is the poor state of communications (as demonstrated by the infrequency and unreliability of both international and domestic airline flights) and the paucity of luxury

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accommodations that high-end tourists expect and demand. However, another explanation is the scarcity of properly trained workers of the sort that underpin all successful tourist industries. These two causes undoubtedly reinforce one another in some kind of vicious cycle. Over the two-year period, only four SI graduates in the NSTP sample came home with university degrees in tourism and hospitality. Almost as bad and as surprising are the mere eight individuals who earned degrees in building and construction (a catch-all category, which includes architecture and a range of building skills). Figure 8.17 (which, like Figure 8.16, is based on information in Annex Table 5.9) shows the sector of employment of those university graduates who are currently employed. The vast majority of university graduates in SI still look to the public service for jobs when they return home. Fully two-thirds of recent graduates now work for the government. However, some subject areas are more oriented than others to jobs in the private sector. More than six out of ten graduates in building and construction work in private firms or for themselves, whereas only one in two graduates who studied the trades and tourism and hospitality do so. No other group has more than 50 percent in the private sector, but those who studied science (47 percent), business and finance (42 percent), and law (42 percent) come close. In all other subject areas, graduates occupy private sector positions only 20 to 40 percent of the time, except for graduates in medicine, who do so only 2 percent of the time (one graduate out of a total of 46).

Figure 8.17: Employment Sector of Employed Overseas Graduates by Major Subject Studied

50%50%

80%38%

67%64%

73%70%

58%58%

53%98%

61%67%

31%100%

50%50%

20%50%

33%36%

27%25%

42%35%44%

39%33%

67%

2%

8%3%

5%

13%

2%

0% 20% 40% 60% 80% 100%

ALL SUBJECTS

Industrial arts *

Trades *


Arts *


Agriculture

Technology

Engineering

Administration

Law


Science

Medicine

Social sciences

Education

Government Private Firm Self-employed * Fewer than 10 observations.

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The government cannot easily afford to employ two out of every three graduates who return from overseas study. It does so only by paying graduates very low wages, which in turn means that most graduates have little incentive to work a full day or to be very productive. To make ends meet, many are forced to take on second jobs often in areas unrelated to the subjects they studied at university. They do these jobs when they are tired, so their productivity in those jobs is likely to be even lower than in their government jobs. Compared with the SICHE graduates in the NSTP sample discussed earlier (see Figure 8.8 above), university graduates are more likely to have moved beyond “entry-level” jobs and to be occupying “middle-level” and “executive” positions even only two to three years after graduating. Forty-one percent of all recent graduates were reported to be in middle-level positions and 7 percent in executive positions (see Figure 8.18 based on information in Annex Table 5.10). Those in building and construction do the best in this regard (88 percent of them are in middle-level positions), followed closely by those in medicine (72 percent are in higher than entry-level positions). Unless they are interns or have been trained as medical technicians rather than as doctors, medical graduates spend little or no time as entry-level workers. Other professional groups that do especially well (more than 50 percent above entry-level) are those trained in business and finance, engineering, administration, and technology. This may be explained by the fact that graduates in these fields are more likely to be older employees who were sent abroad by their employers (or by the Public Service Department) to upgrade their qualifications and who then returned to take up more senior positions at home.

Figure 8.18: Job Level of Overseas Graduates by Major Subject Studied

100%100%100%

13%67%

43%33%35%

54%31%

69%28%

74%62%

41%

88%17%

57%67%

55%42%

54%25%

70%26%

20%

10%

15%

18%

52%100%

4%

6%2%

17%

7%

0% 20% 40% 60% 80% 100%

All major subjects

Industrial arts *

Trades *


Arts *


Agriculture

Technology

Engineering

Administration

Law


Science

Medicine

Social sciences

Education

Entry-level Middle-level Executive * Fewer than 10 observations.

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Those returning from abroad with only certificates or diplomas are slightly less likely to be employed (90 percent versus 92 percent) than those who have earned first degrees (see Figure 8.19 based on information in Annex Table 5.11). Three percent of both groups are continuing as students two to three years later, but the less educated graduates are more likely than the degree holders (8 percent versus 6 percent) to be otherwise not employed. Those who have earned postgraduate degrees are the least likely to be currently employed (only 86 percent). All the rest (14 percent) are still studying, presumably now for third degrees. These are SI’s perennial students, a breed recognizable from many other countries.

Figure 8.19: Employment Status of Overseas Graduates by Course Level

90%

92%

86% 14%

3%

3%

5%

8%

0% 20% 40% 60% 80% 100%

Certificate/diploma

First degree

Post-graduate degree


Figure 8.20, also based on information in Annex Table 5.11, shows the sector of employment by course level of those graduates who are currently employed. It is interesting that those holding postgraduate degrees are even more likely to be working for the government than those with lesser credentials (73 percent versus 66 percent in the case of first degree holders, and 69 percent for certificate and diploma holders). First degree holders are somewhat more likely to be working in a private firm or to be self-employed than to be working for the government.

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Figure 8.20: Employment Status of Employed Overseas Graduates by Course Level

61%

51%

47%

33%

42%

43%

6%

7%

10%

0% 20% 40% 60% 80% 100%

Certificate/diploma

First degree


Entry-level Middle-level Executive

Whereas the relationship between the level of qualification achieved by graduates and their sector of employment is nonlinear, the level of graduates’ qualifications and the level of their jobs turn out to be quite neatly correlated. For graduates who returned from overseas and who are currently employed, the higher the level of their qualifications, the higher the level of their present jobs (see Figure 8.21 based on information in Annex Table 5.12). Ten percent who hold postgraduate degrees had already moved into executive-level positions two to three years after returning home compared with 6 to 7 percent of those with lesser credentials. Six out of ten certificate and diploma holders still occupy entry-level positions compared with about half of those with degrees - slightly more than half for those with first degrees and less than half for those with advanced degrees. A majority (66 percent) of graduates who now live in SI after studying abroad can be found in the capital city, Honiara (see Figure 8.22 based on information in Annex Table 5.13). The next largest group (16 percent) consists of graduates who remain overseas or have returned there after coming home. The rest (18 percent) are scattered around SI but are concentrated in the more populous and wealthier provinces – Malaita (6 percent), Guadalcanal (4 percent), Western (3 percent), and Makira and Ulawa (2 percent).

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Figure 8.21: Job Level of Overseas Graduates by Qualification Level

69%

66%

73%

31%

32%

27%

2%

0% 20% 40% 60% 80% 100%

Certificate/diploma

First degree



Figure 8.22: Overseas Graduates by Current Location

66%

6% 4% 3% 2% 3%16%

0%

10%

20%

30%

40%

50%

60%

70%

Honiar

a

Mala

ita

Guadalc

anal

West

ern

Mak

ira/U

lawa

Other 5 p

rovin

ces

Overse

as

8-21

The province in which graduates who have come back to SI from abroad are least likely to be employed is Western (see Figure 8.23).

Figure 8.23: Employment Status of Overseas Graduates by Current Location

98%

95%

100%

90%

100%

100%

98%

2%

5%

2%

10%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Honiara

Malaita

Guadalcanal

Western

Makira/Ulawa

Other 5 provinces

All returned grads

Employed Not employed

(This finding is also based on information in Annex Table 5.13). Ten percent of graduates living there are currently not employed. Malaita is next with 5 percent of its returned graduates remaining not employed, and then Honiara with 2 percent. Although the number is small (a quarter of all returned graduates), those in the other seven provinces were all reported to be working when the survey was conducted in mid-2006. Figure 8.24 (likewise based on Annex Table 5.13) presents data on the sectors of employment of graduates of overseas institutions according to where they are living currently. Graduates now living and working abroad are the least likely to be employed by the government (53 percent). Those living in Honiara are the most likely (70 percent). Honiara residents, however, are the only graduates in the NSTP university sample willing to risk running businesses of their own. One out of 15 recent graduates living in Honiara and working in the private sector works in self-employment. No one in the sample who lives abroad or elsewhere in SI is self-employed. Instead, they all work as wage employees, if not for the government, then for private firms.

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Figure 8.24: Employment Sector of Employed Overseas Graduates by Current Location

70%

63%

53%

28%

37%

47%

2%

0% 20% 40% 60% 80% 100%

Living in Honiara

Living elsewhere inSI

Living abroad


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CHAPTER 9: SUMMARY, CONCLUSIONS, AND RECOMMENDATIONS In this chapter, the findings of the NSTP study are summarized. Some conclusions and recommendations are also provided.39

Financing of Education and Training Education and training accounted for about 25 percent of SI’s entire recurrent budget in 2005. This is high compared with other countries with which SI can reasonably be compared (such as other low-income counties and other island countries) and has even risen in recent years. However, this is the case only if New Zealand’s budget support for the sector is counted. When only the domestic budget is considered, education and training’s share actually fell from about 24 percent in 2004 to 20 percent in 2005. It is not easy to monitor allocations to sub-sectors within the education sector budget, but there is enough evidence to show that some reallocation of the budget is needed to increase the efficiency of public expenditures on education and training. In particular, tertiary education’s share has been growing and is now very high (19 percent in 2005, and this is estimated to have risen to 26 percent in 2006) in relation to student numbers (only 3 percent of total enrollments were at the tertiary level in 2005). Government spending on pre-school, basic (primary and lower secondary), and upper secondary education combined account for only just over half of the total education and training budget, despite the fact that 97 percent of enrollments are at these levels. About 20 percent of the education sector budget covers general items (such as central administration, curriculum development, and support for the National Library) not directly related to the delivery of educational services. Public spending on skills training is limited. Some of the total allocation for tertiary education supports the Solomon Islands College of Higher Education (SICHE), the centrally run institution that provides training at the post-secondary level, but the lion’s share supports scholarships for degree-level students, all of whom must go abroad to complete their degree programs. Nearly all lower-level training services in SI are run by church groups and NGOs and rely on funding from these organizations in addition to the fees that students pay, with no support coming from the central government budget. The education and training sector also receives funding from other sources. The Government of New Zealand’s support for education in SI, which is earmarked for improving the quality of and increasing access to basic education, has already been mentioned. The European Union also provides significant funding for education and training services. Finally, the fees paid by students account for a significant portion of 39 As required by the terms of reference for the study, the study team hosted a workshop for about 65 stakeholders at the Honiara Hotel in Honiara, Solomon Islands on December 11, 2006 funded by our study partners to discuss these recommendations. A brief overview of this workshop and its outcomes appears in Annex 6.

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the total funding for secondary education and for SICHE. Pupils in private (including church) primary schools also pay fees, but these pupils account for only about 20 percent of all pupils at the primary level. The Ministry of Education and Human Resources Development (MEHRD) regulates the fees that schools are permitted to charge, setting minimum and maximum limits that all schools are obliged to observe. Most students in degree programs (both overseas and at the USP’s Honiara Center where some student start their degree programs before transferring to institutions abroad) receive scholarships funded either by the government’s National Training Unit (NTU) or by an overseas donor. The biggest donors in higher education are Australia, Japan, New Zealand, Papua New Guinea, and the Republic of China. Only a small number of degree-level students pay the full costs of their study programs, since degree-level programs are very expensive relative to average family incomes in SI. Surprisingly, the allowances paid by the NTU to scholarship holders enrolled at the USP’s Honiara Center are virtually the same as those paid to those who are studying abroad, which is inequitable since most students attending the USP Center either live in Honiara or have relatives who do with whom they can live. When all sources of finance are taken into account across all levels of education, the government budget (including the budget support from New Zealand) covers 71 percent of the total spent on formal education and training, while families cover 24 percent and external donors (not counting New Zealand’s budget support) cover 5 percent. Ironically, the share financed by families is higher at lower levels of education (for example, 23 percent in primary education and 33 percent in community high schools) than it is for higher levels (only 19 percent in tertiary education). This is inequitable since, in general, those who reach tertiary education, especially overseas study, come from homes that are richer than the average home in SI. The various sources of financing for informal skills training are less readily known, but clearly families cover a much higher proportion of the costs of training than they cover in formal education and training. The government covers only a very small proportion, and the private sector (industry and religious and secular NGOs) covers the rest of training costs. Therefore, our recommendations regarding the funding of education and training in SI are as follows: • Some reallocation of the budget is needed to increase the efficiency of public

expenditure on education and training because at the moment tertiary education’s share is very high relative to enrollments at this level.

• To ensure access to tertiary education for bright children from poor families, a

program of needs-based scholarships is needed in which families with higher incomes would pay more than poorer ones via a system of variable pricing.

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• Public spending on skills training, while limited, is probably sufficient at this time. As for the costs of informal skills training, the government covers only a very small proportion, and the private sector (industry and NGOs) covers the rest.

• Scholarships issued by the government’s National Training Unit (NTU) need to be

reduced for students enrolled at the USP Center in Honiara because these students are currently paid the same amount as students who study overseas even though most of them live at home or with relatives.

Supply of Education and Training

Formal Education and Training In 2005, nearly 140,000 Solomon Islanders were enrolled in formal education and training, of whom 8 percent were in pre-school or kindergarten education, 71 percent at the primary level (21 percent in the preparatory year and 79 percent in Standards 1 to 6), 18 percent at the secondary level (69 percent in lower secondary and 31 percent in upper secondary), and 3 percent in tertiary and continuing education. Of those in tertiary education, 40 percent were studying at SICHE, 38 percent at the USP Center in Honiara (83 percent in non-degree programs and 17 percent in the first two to three semesters of degree programs that they would finish overseas), and 22 percent in universities abroad. Traditionally, primary education has been provided in local primary schools and secondary education in either provincial secondary schools (PSSs) or national secondary schools (NSSs). As of 2005, there were 538 primary schools, 15 PSSs (at least one in each province), and only 10 NSSs (with four of the ten provinces having no NSS) across the country. In the mid-1990s, however, a new kind of school was introduced – the community high school (CHS), a kind of hybrid that enrolls both primary and secondary (mostly lower secondary) school students. By 2005, there were 115 CHSs in SI, which accounted for 30 percent of all primary and 66 percent of all secondary students. Comparing student-teacher ratios among school types shows that CHSs operate more efficiently than traditional secondary schools. CHSs enrolled an average of 26.5 students per teacher in 2005 compared with 20.4 in NSSs and just 1.9 in PSSs (according to official statistics).40 Many small villages have no primary schools of their own, and children must travel every day to nearby villages to attend school. On average, primary schools are reasonably efficient (28.4 pupils per teacher), but there is great variation, with much lower pupil-teacher ratios, for example, in Rennell and Bellona, the province with the smallest population, and much higher ratios in Honiara, the capital city. Rennell and Bellona has 10 primary schools in total, and the average number of pupils is only 56 in all six grades (in other words, an average of just over nine pupils per grade).

40 Ministry of Education and Human Resource Development (MEHRD), Education Management Information System (EMIS).

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It is likely that more NSSs will open up over time, given that there are currently only 10 in the country and none at all in four provinces (Central, Choiseul, Rennell and Bellona, and Temotu). Despite their name, seven out of the ten NSSs are owned and managed not by the central government but by church groups.41 Net enrollment ratios (the percentages of school-age children enrolled in school) are low in SI in comparison with many other Pacific Island countries and low-income countries. SI’s net primary enrollment ratio (NPER) is just 78 percent compared with 87 percent in Myanmar, 93 percent in Vietnam, 94 percent in Vanuatu, and 96 percent in Fiji. SI’s net secondary enrollment ratio (NSER) is just 26 percent compared with 37 percent in Myanmar, 65 percent in Vietnam, 39 percent in Vanuatu, and 57 percent in Fiji. One reason for SI’s low enrollments, especially in secondary education, may be the limited number of school places. However, equally important may be how students flow through the school system. Repetition rates are high, especially in the preparatory year (over 10 percent), in all six primary education grades (7 to 10 percent), and in any grade where students take high-stakes examinations that are one important factor in deciding who progresses to the next level (Standard 6, Form 3, and Form 5). Because of these examinations, or because students just become frustrated when they cannot keep up with the pace of instruction or when their parents can no longer afford the private costs associated with school attendance, many students drop out of school (or are “pushed” out) before having completed a level of education that prepares them adequately for productive adult lives. Out of every 100 children enrolled in the preparatory year, only 44 ever reach Standard 6, only 23 reach Form 3, and only four reach Form 6. The Solomon Islands College of Higher Education (SICHE) offers certificate- and diploma-level courses for students who have completed at least primary education, with the majority entering after Form 3 or Form 6. Run by the MEHRD, SICHE is made up of six fairly autonomous schools – Education (the biggest, with 771 students in 2005), Finance and Administration (496), Industrial Development (188), Nursing (143), Natural Resources (118), and Marine and Fisheries Studies (40). Although it is located in Honiara, SICHE caters in particular to students coming from poorer parts of the country, offering some degree of upward mobility for individuals who have done well in school but not so well (nor having the necessary connections) to be awarded scholarships to study in degree programs abroad. About one-third of SICHE students are self-financed, and the rest are sponsored (at least in part) by the government, a foreign donor, or private industry. Students in Form 7 or in an equivalent university preparation program (the largest being the Foundation Program offered by the USP Center in Honiara) numbered 1,312 in 2005 and 801 in 2006. The difference in enrollment seems to reflect a fluctuation in market demand. USP’s Foundation Program acts as a kind of sponge, expanding or contracting from one year to the next to accommodate almost any student who does not earn a 41 One NSS is managed by one of SI’s ten provinces, and two NSSs are managed by MEHRD, the only educational institutions (other than SICHE) managed directly by the central government.

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scholarship place in a Form 7 program but whose family is willing and can afford to pay the Foundation Program fee (about SBD 3,150 in 2006). Students in Form 7 or an equivalent program follow either a science or an arts curriculum. Those in the arts outnumber those in science about two to one, and the ratio increased between 2005 (65 percent) and 2006 (69 percent). The larger number of arts students in part reflects the paucity of qualified science teachers and fully equipped science laboratories in secondary schools, but students may also see the arts stream as the easier option. There were 1,219 degree-level students in 2005, about one-quarter of whom (283) were studying at the USP Center (where many students do their first two or three semesters of university study before going overseas to finish their degree programs) and three-quarters of whom (936) were studying abroad. Of those studying abroad in 2005, the largest numbers were at the main campus of USP in Suva, Fiji (452 students in 2005); at two other higher education institutions in Fiji, the Fiji School of Medicine and the Fiji Institute of Technology (182 students); the USP campuses in Samoa and Vanuatu (99 students), and several colleges in Papua New Guinea (135 students). A relatively small number (68 in 2005) were studying in Australia, Japan, New Zealand, and the Republic of China. The study team estimates that the average time spent studying abroad is 3.2 years, the equivalent of nine to ten semesters of study. Given that a majority of SI students spend two to three semesters at the USP Center in Honiara before going abroad and given that the typical university degree program is eight semesters long, it seems that many students spend longer abroad than the minimum time necessary to complete their degrees. Gender differences can be found at all levels of formal education system in SI to the disadvantage of girls and women. The difference in primary education is relatively small (47 percent of primary pupils are girls), but the differences get larger as children move up the education ladder with only 40 percent of upper secondary school students being female. At SICHE, 45 percent of students are female, with a much higher percentage in nursing (78 percent) and a much lower percentage in industrial development (5 percent). The study makes the following recommendations regarding formal education and training in SI:

• Primary schools should use teacher-saving options such as multi-grade teaching in

areas with small school-age populations. • National secondary schools should focus on upper secondary education (Forms 4 to

6) and Form 7 (the transition class between secondary and tertiary education). • The government should continue to encourage the phasing out of provincial

secondary schools and the expansion of community high schools.

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• To ensure access to post-basic education for bright students from poor families, the government could consider introducing a program of needs-based scholarships.

• More resources should be devoted to remedial programs and the waiving of school

fees to help children from poor homes to complete at least the full nine years of basic education.

• Since SI’s future development will depend in part on the availability of workers with

strong science backgrounds, the government should look for ways to strengthen science teaching in both primary and secondary education.

• The government should find ways to reduce the average time that students take to

finish their degrees and/or should penalize those students who take longer than necessary to finish.

Semi-formal and Non-formal Skills Training Most semiformal and non-formal skills training is provided by rural training centers (RTCs), community-based training centers (CBTCs), and private training centers run by churches and NGOs. There is also some employer-based training for workers who already have jobs. RTCs enroll about 2,000 students a year and graduate about 1,200. These institutions are by far the most significant providers of skills training below the tertiary level in the country, and (with five new RTCs added in 2006) the system continues to grow. However, there are several problems with these institutions as currently constituted. They tend to be under-resourced, and the quality of the training that they provide is variable at best, with most being less than satisfactory. For the most part, they are supply-driven rather than demand-driven. Most RTCs only offer a limited range of courses and curricula, which tend to be quite inflexible, outdated, and not closely linked to employers’ needs. While most have monitoring and evaluation mechanisms, these tend to be variable in quality and relatively ineffective. Also, RTCs tend to be understaffed, often use teaching staff who themselves lack the necessary training for implementing high-quality training programs, and do not offer adequate in-service training to compensate for this. CBTCs, which numbered 32 at the time of this study and have a total enrollment capacity of about 760 students at any given time, are small by any definition. While many do have the capacity to provide short-term training in simple skills, most are not adequately funded, staffed, or equipped to provide training of the duration and depth of the RTCs, and the training that the CBTCs provide is generally of low quality. There are only a few private training institutions in SI. Most firms provide some training informally (on–the-job), and a small number of the larger firms provide more formal training through structured courses and a handful of apprenticeships.

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IPAM, with the capacity to train about 1,100 public servants a year, does not have the capacity to meet the assessed short-term training needs of the public service, and other public sector training, sponsored by individual ministries, tends to be poorly organized and resourced. Given these findings, the study makes the following recommendations regarding semi-formal, non-formal, and on-the-job skills training:

• RTCs have the potential to meet many skills training demands effectively, but many

of them need to be restructured so that the skills that they teach are in line with the needs of employers in the formal sector and with local needs in the informal sector.

• CBTCs have the capacity to provide short-term training in simple skills. The CBTCs

should be reviewed to ascertain the best way to improve the quality of their services, and the programs that they offer should be strictly limited.

• Employers have unused capacity to offer high-quality training programs to meet their

own firms’ needs and the general demands of the formal labor market. The government should encourage employers to participate in a national skills training scheme.

• The government should develop policies to encourage the creation of more private

training institutions focused on meeting the needs of both public and private employers.

• IPAM should be scaled up by 100 percent immediately and then gradually increased

to three times its current capacity and should be upgraded to offer a broader range of skills training.

• There is a need to bring together all of the various providers of semiformal and non-

formal skills training (including RTCs, CBTCs, churches, NGOs, employers, and the government) to help to devise a national skills training scheme.

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Demand for Skills Private Sector Demand There are significant gender differences in the work force. Overall, there are more than twice as many males as females in paid employment, whereas, in the informal sector, females outnumber males by about 25 percent. Also, males are more than twice as likely as women to be not working at all. SI’s large, formal sector firms have long suffered from significant levels of understaffing in critical occupational areas, and indicate that this understaffing is a major factor in the limited viability and productivity of many firms. Currently, these private firms report that they about 53 percent understaffed because they have difficulty in finding trained personnel to fill critical positions despite the large numbers of non-working adults across the nation. Of the total private sector demand for skilled labor, 31 percent is for administrators, 10 percent for managers, 22 percent for various kinds of professionals, 35 percent for vocational and technically skilled workers, and 2 percent for “others.”

Employers in the formal private sector have expressed a low regard for graduates of TVET programs. They view most TVET programs as essentially supply-driven and of very low quality. Only 40 vacancies identified in the April-May 2006 survey of 63 formal sector firms were for workers with credentials offered by TVET programs. Most employers expressed a preference for hiring secondary school graduates with good academic records and suitable work attitudes and then training them on the job or by sending them out to take short sandwich courses focused on specific skills. The training areas in greatest demand as expressed by the surveyed firms were: (1) customer services, sales, and marketing; (2) accounting/bookkeeping; (3) computing skills (MS Word, Excel, Access, and Outlook); (4) communications and planning; (5) machine shop skills (fitting, turning, and welding); (6) general management; (7) human resources management; (8) mid-level supervisory skills; and (9) clerical/secretarial/administrative assistant skills. The current rate of youth unemployment in SI exceeds 50 percent. (for the purposes of this study, youth unemployment is defined as the number of young people between the ages of 15 and 29 who are no longer studying and who are either not working or working only intermittently and in very low-productivity positions.) Given these circumstances, the study makes the following recommendations regarding private sector demand: • The government needs to investigate why there are such significant differences in the

participation rates of men and women in the labor force and to find ways to reduce these differences.

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• A strong and coherent training policy is needed to fill the numerous current vacancies in SI’s large, formal sector firms to achieve full employment and economic growth.

• Because the youth unemployment rate exceeds 50 percent, there is a need to establish

one or more employment schemes targeting this vulnerable group. • Private training institutions should be encouraged to ensure that their training services

meet employers’ needs by focusing on the nine key areas in greatest demand: (1) customer services, sales, and marketing; (2) accounting/bookkeeping; (3) computing skills; (4) communications and planning; (5) machine shop skills (fitting, turning, and welding); (6) general management; (7) human resources management; (8) mid-level supervisory skills; and (9) clerical/secretarial/administrative assistant skills.

Public Sector Demand As of the middle of 2006 when the NSTP study team was collecting information, the Public Service Department (PSD) had a total of 11,340 budgeted positions. Of these, about 83 percent were filled and 17 percent were vacant. Of the positions (just under 2,000) that were vacant, about three-quarters were in the following critical skill areas – teachers (to staff the nation’s schools), police, marine, and prison officers (to maintain public order and security), and qualified administrators (to manage public sector offices). There are also significant numbers of vacancies for jobs that have an important impact on public welfare such as doctors (21 vacancies in mid-2006) and paramedics (29 vacancies). Of the current vacancies, an analysis of job descriptions showed that 52 percent required pre-service education/training at the degree level. About 45 percent required post-secondary education/training at the certificate or diploma level, and only 3 percent required candidates with a secondary education or less. An earlier study of training needs in the public sector identified over 6,000 skill gaps among the 11,000 or more workers then employed in the public sector.42 It organized training needs into 18 critical skill areas, but IPAM, as currently constituted, could train only enough people to fill a fraction of these skill gaps within a reasonable period of time.

Therefore, the study makes the following recommendations regarding public sector demand: • Because about 75 percent of the total vacancies in the public service are in certain

critical skill areas including teachers; police, marine, and prison officers; and qualified administrators, training in these areas should be given high priority in the immediate future.

42 It should be noted that the same worker with two or more skill gaps might have been counted more than once.

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• Other skill areas should be given a high priority not because of large numbers of current vacancies but because of the impact they have on public welfare. Examples of these types of vacancies include doctors and paramedics.

• Research has identified over 6,000 skill gaps among the workers currently employed

in the public sector (some workers have multiple skill deficiencies), and yet IPAM currently has the capacity to train only about 1,100 people a year. Therefore, the capacity of IPAM needs to be expanded and/or the government needs to contract out this training to other training providers.

Informal Sector Demand In the informal sector, skills are required to: (1) implement one-time community development projects; (2) increase the productivity of existing jobs and ongoing community activities; and (3) prepare people, especially young people, for wage-earning opportunities in the future. Within the sample of 122 villages surveyed for the NSTP study, at least four out of five reported that they were currently trying to implement community development projects requiring specialized skills. The villages were asked to list the training areas most needed to raise subsistence production in the village and to help villagers (especially young villagers who are no longer studying and who have only recently entered the labor market) to compete for wage jobs in the economy. Three skill areas accounted for about 60 percent of their responses: (1) forestry/logging; (2) farming (plant and animal production); and (3) construction. The NSTP village survey included an enumeration of young people between the ages of 15 and 29. Unfortunately, most of them (about two-thirds of the 4,047 young people surveyed) seem to be working only intermittently as casual laborers. However, of those with identifiable occupations, over 80 percent were said to be working in the following 11 areas: (1) farmer, (2) teacher, (3) housekeeper/home duties, (4) shopkeeper/market vendor, (5) carpenter, (6) fisherman, (7) police/security officer, (8) nurse, (9) mechanic, (10) chainsaw operator, and (11) timber miller. The study makes the following recommendations regarding informal sector demand: • Because most of the villages surveyed are currently trying to implement community

development projects requiring specialized skills, mobile and highly flexible training units should be developed that could move into a village, provide skills training, technical assistance and community development support. In this scheme, the instructors would use local community projects as training sites. In doing so, they would ensure that the training was relevant and they would be able to assist the community to plan and complete their projects before moving on to the next village to begin a new training program.

• RTCs and other informal training providers should focus their resources on developing and providing high-quality training in these three crucial skill areas: (1) forestry/logging; (2) farming (plant and animal production); and (3) construction.

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• The few young people who are not working as casual laborers or not working at all

are in the following 11 areas: (1) farmer; (2) teacher; (3) housekeeper/home duties; (4) shopkeeper/market vendor; (5) carpenter; (6) fisherman; (7) police/security officer; (8) nurse; (9) mechanic; (10) chainsaw operator; and (11) timber miller. Therefore, RTCs and other organizations that provide training services in the informal sector should be encouraged to focus on teaching the skills relevant to these employment areas.

Tracer Studies The NSTP study traced the employment outcomes, as of 2006, of those who have graduated from higher-level education and training programs (SICHE diploma and certificate programs and overseas university degree programs) in order to answer the following questions:

• Are enough (or too many) students coming out of these programs? • Do students specialize in the right mix of subjects? • Does the quality of the education and training that they get meet the needs and

expectations of employers? It was possible to get information on virtually all 2003 and 2004 graduates whose names were supplied either by the institutions where they studied (for example, SICHE, USP, and UPNG) or by the agencies that sponsored them (for example, the National Training Unit and the Australian and New Zealand governments). The total sample of graduates numbered 1,733 individuals, which included more people who graduated in 2003 (58 percent) than had graduated in 2004 (42 percent). The survey showed that the earlier graduates are more likely to be currently employed than those who graduated a year later but only slightly (93 versus 91 percent). A small number of graduates (2 to 3 percent) from both cohorts are still studying somewhere (two to three years after the graduation event that put them in the sample). The remaining graduates (5 to 7 percent) are not employed for other reasons – either because they are “unemployed” (unable to find employment) or because they are “out of the labor force” (not currently looking for work). The sample included 1,391 graduates of SICHE and 342 graduates of overseas universities. The employment rates are nearly the same for the two groups of graduates (about 92 percent). Of those not currently employed, university graduates are more likely to be still studying (4 percent) than SICHE graduates (2 percent) and less likely to be “otherwise not employed” (4 versus 6 percent). The sample of graduates included almost twice as many males (64 percent of the total) as females (36 percent). Interestingly, however, female graduates are more likely than males to be currently employed (95 versus 90 percent). Male graduates are more likely than female graduates to be still studying (3 versus 1 percent) and more likely to be “otherwise not employed” (7 versus 3 percent).

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The university graduates are much more likely than the SICHE graduates to be living outside SI today (two to three years after graduating). Of the SICHE graduates, 98 percent are living in SI, with only 2 percent having moved abroad since graduating. By contrast, only 84 percent of university graduates are living in SI today, the remaining 16 percent having never come home after graduating or having come home and then returned abroad. There are more opportunities to find work or continue studying abroad for those who have ever studied abroad and who possess higher-level academic credentials. Within the SICHE sub-sample of 1,391 people, nursing and education graduates are much more likely (99 percent) to be employed than graduates of SICHE’s other schools (77 to 79 percent). This reflects the fact that virtually all those with credentials in nursing are employed in public health facilities where, at least to date, the demand continues to exceed the supply of graduates. In the case of teachers, only 79 percent of SICHE graduates work for the government, but those who do not have found jobs either in private schools or in jobs outside teaching. It would seem that education is a good field to study, whether one is interested in becoming a teacher or one wants a general education that can be used in a variety of occupational settings. Not surprisingly, the SICHE graduates most likely to be working outside the government, either in a private firm or in self-employment, are those who studied industrial development and finance and administration.

Having graduated only two to three years ago, most of the SICHE graduates in the sample are still working in entry-level positions (82 to 93 percent of those currently employed). The exception is nurses, 97 percent of whom are already in what the NSTP respondents saw to be middle-level positions. On the other hand, the nurses in the sample are the least likely to have moved into executive positions. While nurses move immediately or very quickly into middle-level positions, they then seem to hit a glass ceiling and find it difficult to move up from there. Although SICHE draws students mostly from the outlying provinces and islands (the number of students being inversely related to a province’s wealth), by far the largest number of SICHE graduates stay and look for work in Honiara. Enrolling in SICHE is apparently a good way for children from poor families in remote areas to improve their socioeconomic status by moving to the capital city. The sub-sample of overseas graduates included 342 individuals who graduated in 2003 and 2004. Those who graduated from higher education institutions in Papua New Guinea (PNG) are the most likely to be currently employed – 97 percent compared with 91 percent of those who graduated from any of the three USP campuses or the other two higher education institutions in Fiji and with 86 percent of those who graduated from higher education institutions in Australia, Japan, New Zealand, or the Republic of China. On the other hand, SI students who graduated from institutions in the latter four countries are the most likely to be working in the private sector (for themselves or in private firms) – 36 percent compared with 34 percent of PNG graduates and 32 percent of USP or Fiji graduates.

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The employment status of university graduates varies considerably depending on their field of study. Specializations with average employment rates at least four percentage points above the average for all fields (91 percent) are administration (100 percent), medicine (98 percent), and education (96 percent). 43 Specializations with average employment rates at least four percentage points below the average are agriculture (80 percent), science (84 percent), and the social sciences (85 percent). However, those with science degrees are much more likely (14 percent) than others (4 percent) to be continuing with their studies and thus in fact are only half as likely as the average graduate to be “otherwise not employed” (2 versus 4 percent). Fields where the “otherwise not employed” rates are at least four percentage points above the average for all fields are agriculture (17 percent) and business and finance (10 percent). Employed university graduates are somewhat more likely (33 percent) than SICHE graduates (21 percent) to be working in the private sector (for a private firm or for themselves). Fields with especially high private sector employment rates are science (47 percent), the social sciences (39 percent), business and finance (42 percent), and law (42 percent).44 As discussed above, graduates in medicine work almost exclusively (98 percent) for the government. Most recent university graduates (66 percent) currently live in Honiara. A much smaller number (18 percent) live in other provinces, and nearly as many (16 percent) are currently still overseas. Given the findings of the tracer studies, the study makes the following recommendations: • The vast majority of government- and donor-financed scholarships should be focused

on occupational areas where an economic or development need has been identified in either the private or public sector.

• Scholarships should generally be awarded to the most qualified students. While

excellence should be the main criterion in the awarding of scholarships, some awards should be reserved for students from poor families who have performed well and who have demonstrated particular potential.

43 The following specializations also met this criterion but are not listed because each of the sample groups comprised fewer than 10 individuals and so the estimates are not statistically reliable: building and construction (100 percent), industrial arts (100 percent), tourism and hospitality (100 percent), and trades (100 percent). 44 Private sector employment appears to be high also for those in industrial arts (100 percent), building and construction (63 percent), tourism and hospitality (50 percent), and trades (50 percent), but these fields are not listed because there were fewer than 10 people in their sample groups.

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Further Policy Recommendations In the following section, the study makes additional recommendations that are essential to the creation of an effective and sustainable national skills training plan. National Coordination At the national level, there are three key steps. First, the government should establish a National Skills Training Council (NSTC) by issuing an official decree or passing an Act of Parliament constituting the NSTC, defining its mission and powers, laying out procedures for selecting and compensating Council members and supporting staff, and establishing subcommittees, as needed, to deal with sector- and industry-specific issues. Second, with input from all relevant parties and from this study, the government should prepare a National Skills Training Plan. Third, it should set up a National Skills Training Fund funded by some kind of employment levy scheme and coordinated by the NSTC with the oversight and support of the Ministry of Finance, the Ministry of Education and Human Resources Development, and the Ministry of Labor. Private Skills Training The key recommendation in this area is to expand private skills training capacity by developing a policy framework and providing other incentives to encourage the establishment and operation of private skills training centers and programs. Employer-based Skills Training Again, the key recommendation here is to expand employer-based skills training capacity. There are several steps that could be taken towards this goal. First, the government should establish a competitive contract scheme for firms that wish to use their facilities and in-house training capacity to train young people in skills needed both by these firms themselves and by the wider economy. Second, another useful move would be to offer rebates to employers of part or all of their annual contributions to the National Skills Training Fund based on the amount and kinds of training that they do in-house both for their own employees and for others. Third, the government could encourage the spread of formal apprenticeship programs by making subsidies available to employers and apprentices who participate in such apprenticeship training, especially in skill areas prioritized by the National Skills Training Council.

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Youth Unemployment In the crucial area of youth unemployment, our overall recommendation is to set up a comprehensive and robust youth employment scheme. This scheme might include a Youth Community Service Corps in which unemployed young people would receive skills training and then be given stipends to work in villages to help to implement community projects. A National Alliance with Business and Industry could also be established wherein unemployed young people would be recruited and assigned to participating employers to fill the private sector’s employment needs. While working part-time, they would also receive structured training from their employers in programs vetted by the government. During the period of training, the employer would receive a subsidy from the government to compensate for any loss of production and for the direct costs of training. The employer would then be obligated to employ the young person for at least six months after the end of his or her training. Finally, a Small Entrepreneur Loan Program might be established wherein SI banks would offer micro-loans of the equivalent of a few hundred US dollars to individuals or groups of young people to enable them to set up informal businesses (as, for example, fishermen, farmers, or petty traders). The loans would be low-interest or interest-free, backed by the government to eliminate the risk to the banks, and carefully monitored to make sure that the young people use the money for the agreed purpose. PSD Staff Training There are two key recommendations in this area. First, the capacity of IPAM should be expanded to support the training needs of the public sector. The short-term goal should be to expand IPAM by 100 percent within two years and thereafter by 300 percent within five years. The aim of this expansion would be to increase its capacity to conduct short-term, in-service training of public sector workers, to coordinate the long-term training of public sector workers both inside SI and in overseas universities, and to provide technical assistance and pedagogical support to other ministries that conduct their own in-service training.

Second, policymakers need to identify critical skill areas to determine future priorities for government-funded skills training through both TVET at home and university training abroad. Under this policy, priority should be given to those individuals who are seeking training in areas where there is existing employment demand and in areas considered critical to public welfare and to the future economic development of the country. This study has identified these priority areas as being: teachers (to staff the nation’s schools); police, marine, and prison officers (to help maintain public order and security); and qualified administrators (who are desperately needed in both the public and private sectors).

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Public-supported Skills Training For the proposed National Skills Training Plan to work, the government needs to reform all public-supported education and training institutions in appropriate ways. In the first place, this would mean separating the provision of training from (lower and upper) secondary education by providing training in separate institutions, perhaps overseen by a ministry other than MEHRD. Also, training should be funded separately to eliminate competition for funding between the education sub-sector and the training sub-sector, and teachers in training institutions should be required to have occupational experience as well as advanced training in the skills that they teach. Moreover, the government should aim to increase equity in skills training by introducing targeted scholarships to help women and the poor to have careers in technical areas. As part of the reform of the education and training sector, the government should take steps to increase the institutional authority and accountability of all public training institutions. This can be done by allowing them to provide training to the employees of private sector employers that are willing to pay for training services and by allowing them to retain that earned income to be reinvested to the benefit of their students. The government should also require institutions to keep standardized records and to submit to annual audits and should strongly encourage the establishment of advisory committees with private sector participation. The government also needs to require RTCs to provide courses that are driven by demand, in particular for the documented short- to medium-term skill needs of villages trying to implement important community development projects. This study has established that most village-level demand is currently for skills in forestry/logging, farming (plant and animal production), and construction.

The government should identify those RTCS that have the capacity to become “monotechnics” and help them to specialize in providing high-quality, in-depth training in just one industrial area (or two or three closely related areas) for which there is clear ongoing demand or the potential for expansion in the future. For example, one monotechnic could be established to provide specialized training in animal husbandry and more advanced farming practices. Others might provide training associated with the fishing and the forestry/logging industries. This approach would concentrate scarce human and material resources, high-level technology, and a wide variety of related courses to students with similar employment goals. It might also prompt interested employers to sponsor some of this training as confidence in the quality of this training increased. Ensuring the most efficient provision of training in SI will require as much consolidation as possible to reduce the costs of training in public institutions. This will involve closing small, ineffective programs (based on established criteria) and spending the money saved by these closings on larger, specialized training programs or institutions. Clearly, having a large number of very small training institutions across the nation is a mistake given that resources are scarce. Another way to save money would be to introduce competency-

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based, modular instruction in the curricula of RTCs and other training providers. If used effectively, this approach could reduce the length of training courses and increase capacity without increasing budgets. Increasing the quality of training will require paying wages competitive with those paid by industry to technical-vocational teachers. If this is not done, it will be difficult or impossible to keep technical skills training institutions in the public sector fully staffed. Therefore, there may be a need to change the civil service guidelines, or as a last resort, remove the technical-vocational teachers from the civil service salary requirements. They could be paid by the local institutions through a pass-through grant, or placed under the authority of a well organized National Skills Training Council if, as a statutory body, it was authorized to pay salaries outside of the civil service guidelines. All public skills training programs must be subject to strong and regular monitoring and evaluation. Key evaluation criteria should include the percentage of students who graduate from the program and then find jobs and the extent to which their training is then used in those jobs. Any course or program that does not satisfy minimum performance criteria over a period of two years should lose its funds, which would then be available to support other, more effective courses and programs.

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Vocational Training Centers, Honiara, Solomon Islands.

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UNESCO Institute for Statistics, 2006. Education Counts: Benchmarking Programs in 19 WEI Countries, Montreal, Quebec, September.

Union Aid Abroad, APHEDA and Solomon Islands Association of Rural Training

Centers, 2003. A Rapid Needs Assessment of Community-based Training Centers in the Solomon Islands, Honiara, Solomon Islands, June.

A-1

Annexes

Annex 1: Semi-formal and Non-formal Skills Training

Annex Table 1.1: RTCs – Total Adjusted Training Capacity per Year

Long-term Skill Providers Student Training

Capacity Afutara 200 Airahu 150 Batuna 230 Divit 40 Don Bosco (Technical) 20 Don Bosco (RTC) 525 Garanga 106 Kaotave 647 Kastom Garden 20 Lauru 25 Luesalo 134 Manivovo 45 Nawote 20 Ngaligaragara 20 Pamua 329 St Anne's 9 St. Dominic's 60 St. Martin's 571 St.Mark's 8 Styvenberg 12 Suva 11 Tabaka 2,562 Taylor 30 Tebaeiha 30 USP 90 Vatu 80 Willies’ Electrics 30 TOTAL 6,004 Note: Capacity estimate based on 80 percent facility utilization rate.

A-2

Annex Table 1.2: RTCs - Student Training Capacity per Year by Skill Area Skill Areas Student Training Capacity Accounting 30 Agriculture 535 Business Studies 115 Carpentry 660 Computing 20 Economics 25 Electrical 150 English 65 Food Processing 25 Information Systems 25 Life Skills 350 Livestock 20 Mathematics 80 Mechanics 590 Secretarial Skills 17 Solar Energy 12 Welding 11 TOTAL 2730

Annex Table 1.3: RTCs - Total Number of Providers by Skill Area

Skill Area Number of Providers Accounting 1 Agriculture 23 Business Studies 4 Carpentry 21 Computing 1 Economics 1 Electrical 5 English 2 Food Processing 1 Information Systems 1 Life Skills 22 Livestock 1 Mathematics 2 Mechanics 18 Secretarial Skills 1 Solar Energy 1 Welding 1 TOTAL 106

A-3

Annex Table 1.4: RTCs - Total Number of Teachers/Instructors by Skill Area Skill Area Number of Teachers/Instructors Accounting 1 Agriculture 40 Business Studies 5 Carpentry 39 Computing 1 Economics 1 Electrical 9 English 3 Food Processing 4 Information Systems 1 Life Skills 38 Livestock 1 Mathematics 3 Mechanics 31 Secretarial Skills 1 Solar Energy 2 Welding 1 TOTAL 181

Annex Table 1.5: Short-term Training Providers by Course Offerings, Duration of

Courses, Enrollment Capacity per Course Cycle, and Staff Institute Skills Level Category Duration Capacity Staff

APSD Food & Nutrition Non-award CBTC 1 - 2 wks 30 1

Asimana Food Processing Non-award CBTC 1 - 2 wks 15 1

Belanimanu Agriculture Non-award CBTC 1 - 2 wks 30 1

BIP Basic Computer Skills Non-award Private 2 wks 12 2

Coast Watchers Diving Course Certificate Private 1 wk 5 1

DATEC Basic Computer Skills Certificate Private 3 days 5 2 Design and Technology Center Applied Science Certificate Private 2 wks 6 2 Design and Technology Center Basic Computer Skills Certificate Private 2 wks 6 2 Design and Technology Center Design Certificate Private 2 wks 6 2 Design and Technology Center Music Certificate Private 2 wks 6 2 Disability Support Center Basic Computer Skills Certificate NGO 2 wks 20 2 Disability Support Center Life Skills Certificate NGO 2 wks 20 2 Disability Support Center Special Education Certificate NGO 2 wks 20 2

Don Bosco Welding Certificate Church 20 wks 14 2 eWorld Technology (SI Ltd)

In-service Computer Skills ( Hardware) Non-award Private 1 wk 3 1

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Gizo Secretarial School Basic Computer Skills Certificate Private 2 wks 10 2

Gizo Secretarial School Secretarial Skills Certificate Private 2 wks 10 2

Gnowunafiu Special Education Non-award CBTC 1 - 2 wks 30 1 Gretek Business Training Center Basic Computer Skills Certificate Private 2 wks 20 2 Gretek Business Training Center Secretarial Skills Certificate Private 2 wks 20 2

Handicap Center Special Education Certificate NGO 2 wks 20 2

Hatakau Financial Management Non-award CBTC 1 - 2 wks 20 1

HH Sewing School Sewing Certificate Private 2 wks 20 2

IPAM Executive Personal Secretary Non-award State 4 wks 50 3

IPAM Human Resource Management Non-award State 4 wks 50 3

IPAM Public Finance Non-award State 4 wks 50 3

IPAM Public Service Appointments and Promotions Non-award State 4 wks 50 3

IPAM Public Service Disciplinary Procedures Non-award State 4 wks 50 3

IPAM Public Service Induction Non-award State 4 wks 50 3

IPAM Registry Procedures Non-award State 4 wks 50 3

IPAM Solomon Islands Law Non-award State 4 wks 50 3

JAP Basic Computer Skills Certificate Private 10 hrs 15 2

JAP Internet Use Certificate Private 10 hrs 15 2

JAP Basic MS Access Certificate Private 40 hrs 15 2

JAP Basic MS Excel Certificate Private 40 hrs 15 2

JAP Advanced MS Word Certificate Private 40 hrs 15 2

JAP Intermediate MS Word Certificate Private 40 hrs 15 2

JAP Basic MS Word Certificate Private 40 hrs 15 2

JAP Printer Setup Certificate Private 10 hrs 15 2

Kastom Garden Food Processing Certificate NGO 2 wks 20 4

Kavabiri Home Economics Non-award CBTC 1 - 2 wks 30 1

Kurakini Leadership Non-award CBTC 1 - 2 wks 30 1

Labukulila Coconut Oil Extraction Non-award CBTC 1 - 2 wks 30 1

Lambulambu Culture Non-award CBTC 1 - 2 wks 15 1

Lau Teaching Methodology Non-award CBTC 2 - 2 wks 15 1

Mana'abu Honey Project Non-award CBTC 1 - 2 wks 25 1

MIDA Basic Computer Skills Certificate Private 4 wks 18 4

MIDA Keyboarding skills Certificate Private 4 wks 18 4

MIDA MS Excel Certificate Private 4 wks 18 4

MIDA Advanced MS Word Certificate Private 4 wks 18 4

MIDA Basic MS Word Certificate Private 4 wks 18 4

MIDA Intermediate MS Word Certificate Private 4 wks 18 4

Nadai Bible Studies Non-award CBTC 1 - 2 wks 20 1

Nareabu Life Skills Non-award CBTC 1 - 2 wks 30 1

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Ngalikekero Health Awareness Non-award CBTC 1 - 2 wks 15 1

Ngukugasi Youth and Community Development Non-award CBTC 1 - 2 wks 20 1

Nolan Hot Water System Non-award CBTC 1 - 2 wks 30 1

PF Net Advanced Computer Skills Certificate NGO 2 wks 50 3

PF Net Basic Computer Skills Certificate NGO 2 wks 50 3

PF Net Intermediate Computer Skills Certificate NGO 2 wks 50 3

Police Academy Police Training Certificate State 16 wk 30 12

Red Cross Special Education Certificate NGO 2 wks 50 3

Robin Low Business Planning Non-award CBTC 1 - 2 wks 20 1

Saeka Bookkeeping Non-award CBTC 1 - 2 wks 30 1

Salanakusi Facilitators’ skills Non-award CBTC 1 - 2 wks 15 1

Sausama Early Child Development Non-award CBTC 1 - 2 wks 30 1

SBEC Business Planning Certificate NGO 4 mths 10 2

SBEC Customer Service Certificate NGO 3 mths 10 2

SBEC Financial Management Certificate NGO 5 mths 10 2

SBEC Small Business Certificate NGO 2 mths 10 2

Shepi Heupiri Literacy Non-award CBTC 1 - 2 wks 25 1

Sinaragu/WCBC Secretarial Skills Non-award CBTC 1 - 2 wks 15 1

St. Albert Outboard Motor Repair & Maintenance Non-award CBTC 1 - 2 wks 15 1

St. Cecilia (Verahue) Soap Making Non-award CBTC 1 - 2 wks 20 1

St. Theresa Youth Leadership Training Non-award CBTC 1 - 2 wks 20 1 Systek Business Computing Service Advanced Computing Skills Certificate Private 2 wks 8 1 Systek Business Computing Service Basic Computer Skills Certificate Private 2 wks 8 1 Systek Business Computing Service

Intermediate Computer Skills Certificate Private 2 wks 8 1

Takwa Fish Safety & Fishing Techniques Non-award CBTC 1 - 2 wks 30 1

Tanagai Chain Sawing Non-award CBTC 1 - 2 wks 30 1

Tarekumbo Basic Computer Skills Non-award CBTC 1 - 2 wks 30 1

Technisyst Advanced Adobe PageMaker Certificate Private 1 wk 12 1

Technisyst Basic Adobe PageMaker Certificate Private 1 wk 12 1

Technisyst Intermediate Adobe PageMaker Certificate Private 1 wk 12 1

Technisyst Internet Use Certificate Private 1 wk 12 1

Technisyst Introduction to Operating Systems Certificate Private 1 wk 12 1

Technisyst Advanced MS Access Certificate Private 1 wk 12 1

Technisyst Basic MS Access Certificate Private 1 wk 12 1

Technisyst Intermediate MS Access Certificate Private 1 wk 12 1

Technisyst Advanced MS Excel Certificate Private 1 wk 12 1

Technisyst Basic MS Excel Certificate Private 1 wk 12 1

Technisyst Intermediate MS Excel Certificate Private 1 wk 12 1

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Technisyst Advanced MS FrontPage Certificate Private 1 wk 12 1

Technisyst Basic MS FrontPage Certificate Private 1 wk 12 1

Technisyst Intermediate MS FrontPage Certificate Private 1 wk 12 1

Technisyst Advanced MS Outlook Certificate Private 1 wk 12 1

Technisyst Basic MS Outlook Certificate Private 1 wk 12 1

Technisyst Intermediate MS Outlook Certificate Private 1 wk 12 1

Technisyst Advanced MS PowerPoint Certificate Private 1 wk 12 1

Technisyst Basic MS PowerPoint Certificate Private 1 wk 12 1

Technisyst Intermediate MS PowerPoint Certificate Private 1 wk 12 1

Technisyst Advanced MS Publisher Certificate Private 1 wk 12 1

Technisyst Basic MS Publisher Certificate Private 1 wk 12 1

Technisyst Intermediate MS Publisher Certificate Private 1 wk 12 1

Technisyst Advanced MS Windows Certificate Private 1 wk 12 1

Technisyst Basic MS Windows Certificate Private 1 wk 12 1

Technisyst Intermediate MS Windows Certificate Private 1 wk 12 1

Technisyst Advanced MS Word Certificate Private 1 wk 12 1

Technisyst Basic MS Word Certificate Private 1 wk 12 1

Technisyst Intermediate MS Word Certificate Private 1 wk 12 1

Technisyst Advanced WordPerfect Certificate Private 1 wk 12 1

Technisyst Basic WordPerfect Certificate Private 1 wk 12 1

Technisyst Intermediate WordPerfect Certificate Private 1 wk 12 1

Toroa Bio Gas Non-award CBTC 1 - 2 wks 30 1

Turusuala Kerosene Making Non-award CBTC 1 - 2 wks 30 1

UNDP In–service Training Certificate NGO 1 wk 30 2

UNICEF In–service Training Certificate NGO 1 wk 30 1

USP Advanced Bookkeeping Non Award State 2 wks 15 1

USP Basic Computer Skills Certificate State 2 wks 14 1

USP Basic English Writing Skills Certificate State 2 wks 14 1

USP Basic Math Certificate State 2 wks 14 1

USP Basic Word Processing Certificate State 2 wks 14 1

USP Bookkeeping Certificate State 2 wks 15 1

USP Database Management Certificate State 2 wks 14 1

USP Electronic Spreadsheet Certificate State 2 wks 14 1

USP Intermediate Bookkeeping Non Award State 2 wks 15 1

USP Intermediate English Certificate State 2 wks 20 2

USP Keyboarding Skills Certificate State 2 wks 14 1

Vuranini Solar Power Non-award CBTC 1 - 2 wks 20 1

Ysabel Mothers Union Carpentry Non-award CBTC 1 - 2 wks 35 1

TOTAL 2,552 216

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Annex Table 1.6: Short-term Student Training Capacity by Skill Area per Course Cycle

Skill Area Student Training Capacity

Advanced Bookkeeping 15

Advanced Computer Skills 58

Advanced Adobe PageMaker 12

Advanced MS Access 12

Advanced MS Excel 12

Advanced MS FrontPage 12

Advanced MS Outlook 12

Advanced MS PowerPoint 12

Advanced MS Publisher 12

Advanced MS Windows 12

Advanced MS Word 45

Advanced WordPerfect 12

Agriculture 30

Applied Science 6

Basic Adobe PageMaker 12

Basic Computer Skills 208

Basic English Writing Skills 14

Basic Math 14

Basic MS Access 27

Basic MS Excel 27

Basic MS FrontPage 12

Basic MS Outlook 12

Basic MS PowerPoint 12

Basic MS Publisher 12

Basic MS Windows 12

Basic MS Word 45

Basic Word Processing 14

Basic WordPerfect 12

Bible Studies 20

Bio Gas 30

Bookkeeping 45

Business Planning 45

Carpentry 35

Chain Sawing 30

Coconut Oil Extracting 30

Culture 15

Customer Service 10

Database Management 14

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Design 6

Diving Course 5

Early Child Development 30

Electronic Spreadsheet 14

Executive Personal Secretary 50

Facilitators’ Skills 15

Financial Management 30

Fish Safety & Fishing Techniques 30

Food & Nutrition 30

Food Processing 35

Health Awareness 15

Home Economics 30

Honey Project 25

Hot Water System 30

Human Resource Management 50

In-service Training 60

In-service Computer Skills (Hardware) 3

Intermediate Adobe PageMaker 12

Intermediate Bookkeeping 15

Intermediate Computer Skills 58

Intermediate English 20

Intermediate MS Access 12

Intermediate MS Excel 12

Intermediate MS FrontPage 12

Intermediate MS Outlook 12

Intermediate MS PowerPoint 12

Intermediate MS Publisher 12

Intermediate MS Windows 12

Intermediate MS Word 45

Intermediate WordPerfect 12

Internet Use 27

Introduction to Operating Systems 12

Kerosene Making 30

Keyboarding Skills 32

Leadership 30

Life Skills 50

Literacy 25

MS Excel 18

Music 6

Outboard Motor Service & Maintenance 15

Police Training 30

A-9

Printer Setup 15

Public Finance 50

Public Service Appointments and Promotions 50

Public Service Disciplinary Procedures 50

Public Service Induction 50

Registry Procedures 50

Secretarial Skills 45

Sewing 20

Small Business 10

Soap Making 20

Solar Power 20

Solomon Islands Law 50

Special Education 120

Teaching Methodology 15

Welding 14

Youth and Community Development 20

Youth Leadership Training 20

TOTAL 2,567

Annex Table 1.7: Total Number of Short-term Training Providers by Skill Area Skill Area Total Providers





Advanced MS Excel 1






Advanced MS Word 3


Agriculture 1

Applied Science 1




Basic Math 1

Basic MS Access 2

Basic MS Excel 2

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Basic MS Outlook 1



Basic MS Windows 1

Basic MS Word 3


Basic WordPerfect 1

Bible Studies 1

Bio Gas 1

Bookkeeping 2

Business Planning 2

Carpentry 1

Chain Sawing 1


Culture 1

Customer Service 1


Design 1

Diving Course 1







Food & Nutrition 1

Food Processing 2

Health Awareness 1

Home Economics 1

Honey Project 1

Hot Water System 1



In-service Computer Skills ( Hardware) 1







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Internet Use 2


Kerosene Making 1


Leadership 1

Life Skills 2

Literacy 1

MS Excel 1

Music 1


Police Training 1

Printer Setup 1

Public Finance 1






Sewing 1

Small Business 1

Soap Making 1

Solar Power 1


Special Education 4


Welding 1



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Annex Table 1.8: Total Number of Short-term Teachers/Instructors by Skill Area Skill Area Number of Teachers/Instructors





Advanced MS Excel 1






Advanced MS Word 7


Agriculture 2

Applied Science 1




Basic Math 1

Basic MS Access 3

Basic MS Excel 3


Basic MS Outlook 1



Basic MS Windows 1

Basic MS Word 7


Basic WordPerfect 1

Bible Studies 1

Bio Gas 1

Bookkeeping 2

Business Planning 3

Carpentry 1

Chain Sawing 1


Culture 1

Customer Service 2


Design 2

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Diving Course 1







Food & Nutrition 1

Food Processing 5

Health Awareness 1

Home Economics 1

Honey Project 1

Hot Water System 1



In-service Computer Skills (Hardware) 1














Internet Use 3


Kerosene Making 1


Leadership 1

Life Skills 3

Literacy 1

MS Excel 4

Music 2


Police Training 12

Printer Setup 2

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Public Finance 3






Sewing 2

Small Business 2

Soap Making 1

Solar Power 1


Special Education 8


Welding 2



A-15

Annex 2: Costs and Financing of Education and Training

Annex Table 2.1: Education Expenditure Comparisons, c. 2005 GDP per capita Education expenditure, as % of: US$ Ranking a/ GDP Total govt budget Australia 26,900 21 4.9 13.3 New Zealand 20,310 26 6.7 15.1 Mauritius 4,640 56 4.7 15.7 Jamaica 2,900 73 4.9 9.5 Fiji 2,690 75 5.6 19.4 Vanuatu 1,340 103 11.0 28.1 Philippiines 1,170 110 3.2 17.2 Solomon Islands b/ 550 135 6.7 19.7 Solomon Islands c/ 550 135 8.5 25.2 Vietnam 550 135 4.0 18.0 Kenya 460 138 7.0 29.2 Madagascar 300 155 3.3 18.2 Sources: GDP per capita: World Bank, World Development Indicators 2005. Education expenditure, Solomon Islands: SIG, MOF, Year 2006 Approved Recurrent Estimates. Education expenditure, Vietnam: World Bank education team, Hanoi. Education expenditure, other countries: http://www.uis.unesco.org. Years GDP per capita: 2004. Education expenditure, Solomon Islands: 2005. Education expenditure, other countries: Latest available year (2004 or 2005). Notes:

a/ Ranking out of 171 countries listed in World Development Indicators 2005. b/ Expenditure financed from domestic budget only. c/ Expenditure financed from domestic budget and New Zealand budget support.

Annex Table 2.2: Total Unit Costs by Level of Education or School Type and Source

of Funding, 2005 (SBD) SIG a/ Self b/ Other c/ Total Primary Schools 802 240 -- 1,042 Community High Schools 526 254 -- 780 Provincial Secondary Schools 3,176 1,075 -- 4,251 National Secondary Schools 3,943 1,725 -- 5,668 Tertiary Education 17,036 4,861 4,532 26,429 Weighted averages, all levels/types 1,430 478 93 2,001 Notes: a/ Financed by MEHRD (including NZ budget support), another government ministry

or the National Training Unit. b/ Financed by students themselves or their families. c/ Financed by receiving institution, private industry or an external donor.

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Annex 3: Private Sector Demand

Annex Table 3.1: Occupations of NPF Members aged 15 and Older, 2005

Province

Number of

members

Total NPF contribution

(SBD)

Total annual

income (SBD)

Average income per member

(SBD) Occupations Unknown 63 24,260 194,080 3,081 Chemists 1 188 1,502 1,502 Geologists 2 4,250 34,001 17,000 Physical Science Technicians 2 475 3,802 1,901 Architects 1 1,838 14,707 14,707 Civil Engineers 2 3,693 29,543 14,772 Electrical Engineers 17 12,347 98,779 5,811 Mechanical Engineers 73 62,664 501,311 6,867 Other Engineers 17 22,759 182,075 10,710 Surveyors 82 32,226 257,809 3,144 Draughtsmen 3 4,781 38,246 12,749 Civil Engineering Technicians 1 1,647 13,175 13,175 Electrical & Electronics Engineering Technicians 12 17,989 143,911 11,993 Mechanical Engineering Technicians 39 28,425 227,396 5,831 Other Engineering Technicians 19 15,824 126,592 6,663 Aircraft Pilots & Navigators 5 10,295 82,359 16,472 Ship Deck Officers & Pilots 56 51,203 409,622 7,315 Ship Engineers (including Shore-based) 7 8,017 64,138 9,163 Life Scientists (Malaria) 8 5,468 43,740 5,468 Medical Doctors 1 8,610 68,880 68,880 Dentists 2 1,294 10,352 5,176 Dental Assistants 11 43,500 347,997 31,636 Pharmacists 5 19,917 159,334 31,867 Pharmaceutical Assistants 1 737 5,898 5,898 Professional Nurses 107 170,844 1,366,750 12,773 Nursing Aides 124 138,272 1,106,178 8,921 Student Nurses 10 13,662 109,298 10,930 Physiotherapists & Occupational Therapists 1 2,695 21,562 21,562 Medical X-ray Technicians 6 5,114 40,913 6,819 Health Inspectors 12 5,183 41,466 3,455 Economists 2 982 7,859 3,929 Accountants & Auditors 51 105,268 842,145 16,513

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Lawyers 3 8,873 70,982 23,661 Tertiary Education Teachers 44 41,810 334,479 7,602 Secondary Education Teachers 71 121,377 971,014 13,676 Primary Education Teachers 316 297,802 2,382,416 7,539 Pre-primary Education Teachers 36 14,509 116,073 3,224 Education Advisors 6 12,547 100,374 16,729 Ministers of Religion 19 34,677 277,414 14,601 Other Workers in Religion 11 6,949 55,592 5,054 Authors, Journalists, & Related Workers 4 2,804 22,432 5,608 Social Workers 35 29,163 233,301 6,666 Legislative Officials 2 3,789 30,316 15,158 Government Administrators 1 0 0 0 General Managers (including Bank & Finance Workers 8 4,910 39,280 4,910 Production Managers (except Farm) 9 56,316 450,532 50,059 Clerical Supervisors 6 5,413 43,307 7,218 Personal Secretaries 8 9,982 79,859 9,982 Stenographers, Typists, & Teletypists 26 14,035 112,280 4,318 Bookkeepers, Cashiers, & Tellers 58 42,775 342,201 5,900 Bookkeeping & Calculating Machinists 4 7,585 60,680 15,170 Telecommunications Supervisors 1 192 1,536 1,536 Transport Conductors 9 5,829 46,635 5,182 Mail Distribution Clerks 2 2,504 20,034 10,017 Stock Clerks 47 48,557 388,454 8,265 Correspondence & Reporting Clerks 4 6,734 53,874 13,469 Receptionists & Travel Agency Workers 68 75,903 607,221 8,930 Library & Filing Clerks 7 3,474 27,793 3,970 All Clerical Workers 794 1,005,136 8,041,085 10,127 Managers (Wholesale & Retail Trade) 11 15,917 127,333 11,576 Sales Supervisors & Buyers 17 11,264 90,114 5,301 Shop Assistants 1465 519,482 4,155,855 2,837 Managers (Catering & Lodging Services) 2 1,947 15,578 7,789 Housekeepers & Related Workers 279 124,625 997,001 3,573 Cooks 191 76,638 613,101 3,210 Waiters, Bartenders, & 215 90,969 727,755 3,385

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Related Workers

Computer Analysts 2 6,512 52,095 26,048 Maids & Room Service Workers (Domestic) 28 3,942 31,539 1,126 Building Caretakers & Watchmen 407 230,099 1,840,788 4,523 Launderers & Pressers 10 1,924 15,389 1,539 Firefighters 3 0 0 0 Policemen & Detectives 153 152,440 1,219,523 7,971 Other Protection Service Workers 20 8,912 71,297 3,565 Malaria Sprayers 1 0 0 0 Farm & Plantation Managers 2 240 1,920 960 Supervisors 28 54,683 437,467 15,624 Field Assistants 10 2,077 16,612 1,661 Copra Cutters 5 1,186 9,492 1,898 Field Crop & Vegetable Farm Workers 45 13,357 106,855 2,375 Piggery Workers 2 941 7,527 3,764 Farm Machinery Operators (including Tractor Drivers) 5 3,276 26,206 5,241 Loggers 251 137,877 1,103,018 4,394 Forestry Workers (except Logging Workers 92 42,848 342,788 3,726 Fishermen (including Crews of Fishing Vessels) 251 101,476 811,806 3,234 Other Agricultural Workers 13 4,695 37,561 2,889 Production Supervisors & General Foremen 8 13,090 104,724 13,090 Miners & Quarrymen 4 0 0 0 Wood Treaters 10 8,803 70,422 7,042 Sawyers 112 33,636 269,087 2,403 Millers, Pressers, & Related Workers 25 12,162 97,296 3,892 Butchers & Meat Preparers 9 7,810 62,483 6,943 Fish Preservers (including Canning Workers) 626 172,589 1,380,708 2,206 Bakers, Pastry Cooks, & Confectioners 39 13,237 105,894 2,715 Soft Drink Makers 3 5,234 41,875 13,958 Tobacco Preparers 6 5,476 43,809 7,301 Tailors & Dressmakers 13 4,171 33,364 2,566 Sewer Workers 7 1,869 14,948 2,135 Upholsterers & Rattan Furniture Workers 1 0 0 0 Produce Inspectors (Agriculture) 2 1,851 14,807 7,403

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Cabinetmakers 1 1,483 11,863 11,863 Woodmaking Machine Operators 4 1,105 8,843 2,211 Machine Tool Operators 125 32,774 262,188 2,098 Motor Vehicle Mechanics 120 65,414 523,310 4,361 Aircraft Engine Mechanics 2 4,378 35,025 17,513 Heavy Plant & Stationery Engine Mechanics 22 2,389 19,109 869 Electrical Fitters 13 8,672 69,373 5,336 Electrical Firemen 1 0 0 0 Telephone & Telegraph Installers 1 2,070 16,558 16,558 Electric Linesmen & Cable Joint Workers 10 12,265 98,121 9,812 Broadcasting Station Operators 22 23,256 186,044 8,457 Plumbers & Pipe Fitters 10 6,847 54,774 5,477 Welders & Flame Cutters 26 10,532 84,258 3,241 Structural Metal Preparers & Erectors 5 5,496 43,970 8,794 Rubber & Plastic Makers 1 1,410 11,280 11,280 Compositors & Typesetters 1 805 6,439 6,439 Printing Pressmen 21 13,880 111,043 5,288 Bookbinders 6 76 609 102 Photographic Darkroom Workers 4 3,031 24,244 6,061 Painters & Construction Workers 9 3,268 26,144 2,905 Blockmakers 12 7,788 62,307 5,192 Carpenters & Joiners 266 139,238 1,113,904 4,188 Dockers & Freight Handlers 6 1,526 12,209 2,035 Riggers & Cable Splicers 1 0 0 0 Crane & Hoist Operators 83 30,839 246,715 2,972 Earth-moving & Related Machinists 10 5,211 41,690 4,169 Lifting Truck Drivers 11 4,194 33,548 3,050 Seamen (Crew) 123 39,158 313,267 2,547 Marine Mechanics 16 6,129 49,028 3,064 Motor Vehicle Drivers 35 19,793 158,346 4,524 Other Laborers (including Grass Cutters) 2796 1,098,417 8,787,334 3,143 Laboratory Technicians 9 9,441 75,527 8,392 Computer Technicians 6 11,935 95,479 15,913 Total 10493 6,148,147 49,185,179 4,687

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Annex Table 3.2: Occupations of NPF Members by Number of People in Each Occupation

Occupation Number of members Other Laborers (including Grass Cutters) 2,796 Shop Assistants 1,465 All Clerical Workers 794 Fish Preservers (including Canning Workers) 626 Building Caretakers & Watchmen 407 Primary Education Teachers 316 Housekeepers & Related Workers 279 Carpenters & Joiners 266 Loggers 251 Fishermen (including Crews of Fishing Vessels) 251 Waiters, Bartenders, & Related Workers 215 Cooks 191 Policemen & Detectives 153 Machine Tool Operators 125 Nursing Aides 124 Seamen (Crew) 123 Motor Vehicle Mechanics 120 Sawyers 112 Professional Nurses 107 Forestry Workers (except Logging Workers) 92 Crane & Hoist Operators 83 Surveyors 82 Mechanical Engineers 73 Secondary Education Teachers 71 Receptionists & Travel Agency Workers 68 Occupation Unknown 63 Bookkeepers, Cashiers, & Tellers 58 Ships’ Deck Officers & Pilots 56 Accountants & Auditors 51 Stock Clerks 47 Field Crop & Vegetable Farm Workers 45 Tertiary Education Teachers 44 Mechanical Engineering Technicians 39 Bakers, Pastry Cooks, and Confectioners 39 Pre-primary Education Teachers 36 Social Workers 35 Motor Vehicle Drivers 35 Maids & Room Service Workers (Domestic) 28 Supervisors 28 Stenographers, Typists, & Teletypists 26 Welders & Flame Cutters 26

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Millers, Pressers, & Related Workers 25 Heavy Plant & Stationery Engine Mechanics 22 Broadcasting Station Operators 22 Printing Pressmen 21 Other Protection Service Workers 20 Other Engineering Technicians 19 Ministers of Religion 19 Electrical Engineers 17 Other Engineers (Specified on Form) 17 Sales Supervisors and Buyers 17 Marine Mechanics 16 Other Agricultural Workers 13 Tailors & Dressmakers 13 Electrical Fitters 13 Electrical & Electronics Engineering Technicians 12 Health Inspectors 12 Blockmakers 12 Dental Assistants 11 Other Workers in Religion 11 Managers (Wholesale & Retail Trade) 11 Lifting Truck Drivers 11 Student Nurses 10 Launderers & Pressers 10 Field Assistants 10 Wood Treaters 10 Electric Linesmen & Cable Joint Workers 10 Plumbers & Pipe Fitters 10 Earth-moving and Related Machinists 10 Production Managers (except Farm) 9 Transport Conductors 9 Butchers & Meat Preparers 9 Painters & Construction Workers 9 Laboratory Technicians 9 Life Scientists (Malaria) 8 General Managers (including Bank & Finance Workers) 8 Personal Secretaries 8 Production Supervisors & General Foremen 8 Ship Engineers (including Shore-based) 7 Library & Filing Clerks 7 Sewer Workers 7 Medical X-ray Technicians 6 Education Advisors 6 Clerical Supervisors 6 Tobacco Preparers 6

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Bookbinders 6 Dockers & Freight Handlers 6 Computer Technicians 6 Aircraft Pilots & Navigators 5 Pharmacists 5 Copra Cutters 5 Farm Machinery Operators (including Tractor Drivers) 5 Structural Metal Preparers & Erectors 5 Authors, Journalists, & Related Workers 4 Bookkeeping & Calculating Machinists 4 Correspondence & Reporting Clerks 4 Miners & Quarrymen 4 Woodmaking Machine Operators 4 Photographic Darkroom Workers 4 Draughtsmen 3 Lawyers 3 Firefighters 3 Soft Drink Makers 3 Geologists 2 Physical Science Technicians 2 Civil Engineers 2 Dentists 2 Economists 2 Legislative Officials 2 Mail Distribution Clerks 2 Managers (Catering & Lodging Services) 2 Computer Analysts 2 Farm & Plantation Managers 2 Piggery Workers 2 Produce Inspectors (Agriculture) 2 Aircraft Engine Mechanics 2 Chemists 1 Architects 1 Civil Engineering Technicians 1 Medical Doctors 1 Pharmaceutical Assistants 1 Physiotherapists & Occupational Therapists 1 Government Administrators 1 Telecommunications Supervisors 1 Malaria Sprayers 1 Upholsterers & Rattan Furniture Workers 1 Cabinetmakers 1 Electrical Firemen 1 Telephone & Telegraph Installers 1

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Rubber & Plastic Makers 1 Compositors & Typesetters 1 Riggers & Cable Splicers 1

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Annex 4: Informal Sector Demand

Annex Table 4.1: Planned or Ongoing Village Projects by Number of Villages Indicating Need

Project Number of Villages

Indicating Need Sanitation/water system 103 Aid post/clinic 21 Community hall 13 Hydropower/electricity generation 13 Livestock farming (pigs & exotic chickens) 12 Kindergarten 8 Community raised-bed vegetable gardens 8 Church 7 Poultry farming 7 Education facilities 7 Housing improvements 6 Transport 4 Weaving/carving/bakery for income generation 4 Fishing 4 Market house 4 Furniture making 4 Sea wall 3 Solar panel project 3 Building construction 3 Sewing 2 Awareness of conservation/over-harvesting 2 Beach erosion 2 Honey bee keeping 2 Women & kindergarten center (combined) 2 Food processing 2 Improved kitchen facilities 2 Coconut crushing mill 2 Fishery 2 Multi-purpose hall 2 Youth center 2 Business 1 Copra buyer 1 Copra shade 1 Home economics project 1 Home stay tourism (hosting by village-based families) 1 Road access/proper drainage 1 Tourism-related development 1

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Annex Table 4.1: Planned or Ongoing Village Projects by Number of Villages Indicating Need (continued)

Project Number of Villages

Indicating Need Transportation (canoes) 1 Vegetable farming 1 Women’s center 1 Brickmaking/joinery shop 1 New dock with fish processing area 1 Carving & weaving 1 Community solar power 1 Copra production 1 DME oil 1 Literacy 1 Nambo drier 1 Rest house 1 Retail shops 1 Rice production 1 Two-way radio communications 1 Village physical planning 1 Youth support 1 Agriculture development 1 Fish processing area 1 Reforestation 1 Concrete road construction to seaside 1 Seaweed farming 1 Solar panel for fishing 1 Total 286

A-26

Annex Table 4.2: Skill Needs Identified by Surveyed Villages

Skill Need

Number of Villages

Indicating Need

Accounting/bookkeeping/finance/ budgeting/costing 33 Administration/management/leadership/analysis 31 Agriculture/livestock production/cross-breeding skills/poultry farming 15 Bee keeping 7 Boat drivers and related skills/navigators 27 Business – general/ advice 9 Church pastor/priest/catechist 3 City council workers/town planner 2 Cocoa/copra buyers 4 Coconut crushing skills 3 Community organization and development/youth workers 5 Construction – architect 7 Construction – carpentry 7 Construction – grader/loader/bulldozer operator 6 Construction - mason/bricklayers/painter/brick-making 12 Construction - plumbers/water supply/sanitation 118 Construction - road maintenance/drainage 3 Construction - sea walls/ coral arts landscaping 2 Construction engineering – water pressure/design/planning/hydropower 17 Doctors 1 Engineering – general 6 Environmental specialists 1 Farming – cocoa, oil palm, coconuts, including crushing for oil 4 Farming – food crops/gardening/betel nut 2 Farming – seaweed/vanilla 2 Feasibility studies 2 Fishing – improved methods/related skills 71 Fishing – sewing fishing nets 4 Food catering/cooking/baking skills/marketing of food products 32 Forestry 5 Handicrafts (Commercial) – wood and shell carving 9 Health worker/health environment technician/first aid 4 Home economics (life skills) 6 Labor contracts 4 Land sale representative – offers and surveys 2

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Landscaping/floral arts 4 Law 2 Logging – log scaler 1

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Annex Table 4.2: Skill Needs Identified by Surveyed Villages (continued)

Skill Need

Number of Villages

Indicating Need

Logging – mill operations and planting trees/surveying 14 Logging – skidder operator/log truck driver/bulldozer operator 5 Machine operation/maintenance 4 Mechanic – hydropower equipment/chainsaw 29 Mechanics - outboard motor/automobile 6 Media (communication training)/computer operator/printing skills 8 Microscopic skills 2 Music skills 1 Personnel officer 1 Police/security 7 Road transport management 1 Screen printing 1 Secretarial 1 Sewing machine repair 1 Sewing techniques/pattern design (dresses/shirts)/tailoring/weaving 23 Small business holding/management/retailing/training 7 Solar panel installation and operation 5 Storekeeper/shop assistant/salesmanship 3 Teachers – literacy 1 Teachers - primary & secondary education 37 Teachers - technical and life skills 2 Teaching - early childhood education 23 Telecommunications tower operation/maintenance 1 Tobacco seller 1 Tourism/cultural performer 1 Tourism/dive guide 2 Tourism/hotel manager 2 Tourism/housekeeping/cleaning 2 Tourism/training 23 Truck driver 7 Welding 3 Wiring 1 Total 225

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Annex Table 4.3: Skill Needs by Number of Villages Indicating Need

Skill Need

Number of Villages

Indicating Need

Construction – plumbing/water supply/sanitation 118 Fishing – improved methods/related skills 71 Teachers - primary & secondary education 37 Food catering/cooking/baking skills/marketing of food products 32 Administration/management/leadership /analyst 31 Mechanic - hydropower equipment/chainsaw 29 Sewing techniques/pattern design (dresses/shirts)/tailoring/weaving 23 Teaching - early childhood education 23 Tourism/training 23 Construction engineering – water pressure/design/planning/hydropower 17 Logging – mill operations and planting trees/surveying 14 Business – general/ advice 9 Handicrafts - wood carving/shell money making 9 Construction – architect 7 Construction – carpentry 7 Small business holding/management/retailing/training 7 Truck driver 7 Construction – grader/loader/bulldozer operator 6 Engineering – general 6 Home economics (life skills) 6 Community organization and development/youth workers 5 Logging – skidder operator/log truck driver/bulldozer operator 5 Solar panel installation and operation 5 Cocoa/copra buyers 4 Farming – cocoa, oil palm, coconuts, including crushing for oil 4 Health worker/health environment technician/first aid 4 Machine operation/maintenance 4 Church pastor/priest/catechist 3 Construction - road maintenance/drainage 3 Storekeeper/shop assistant/salesmanship 3 City council workers/town planner 2 Construction - sea walls/ coral arts landscaping 2 Farming – food crops/gardening/betel nut 2 Feasibility studies 2 Law 2 Tourism/dive guide 2

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Annex Table 4.3: Skill Needs by Number of Villages Indicating Need (continued)

Skill Need

Number of Villages

Indicating Need

Doctor 1 Logging – log scaler 1 Personnel officer 1 Road transport management 1 Screen printing 1 Secretarial 1 Sewing machine repair 1 Telecommunications tower operation/maintenance 1 Tobacco seller 1 Tourism/cultural performer 1 Wiring 1 Total 11

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Annex Table 4.4: Employment Status of Young People aged 15-19

in 100 Selected Villages Employment Status

Occupational Govern- Private Self- Stu- Otherwise Missing Grand Adj.

Category Job Title ment firm Empl'd dent not empl'd info. total total

Agriculture Chainsaw operator 7 3 1 11 11 Cocoa labor 4 4 4 Farmer 1 1 101 3 41 147 106 Logging 1 1 1 Nursery 1 1 1 Oil palm worker 1 1 1 Timber miller 6 2 1 9 9 Sub-total 1 17 110 0 5 41 174 133 Business-related services Accountant 1 1 1 Administrator 1 1 1 Bank teller 2 2 2 Business 4 1 5 4 Clerk 1 1 2 2 Treasurer 1 1 1 Typist 1 1 2 2 Analyst 1 1 1 Manager 1 1 1 Sub-total 4 6 4 0 1 1 16 15 Computers and ICT equipment - sales, maintenance, and repair Computing 1 1 2 4 2 Pf Net Operator 1 1 0 Sub-total 0 1 0 1 0 3 5 2 Construction Bulldozer crew 3 3 3 Carpenter 21 10 4 6 41 35 Painter 1 1 0 Sub-total 0 24 10 0 4 7 45 38 Education Teacher 106 10 2 2 5 125 120 Sub-total 106 10 2 0 2 5 125 120 Utilities - electricity, gas, and water supply Electrician 5 1 6 6 Plumber 2 1 3 2 Sub-total 0 7 1 0 0 1 9 8

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Annex Table 4.4: Employment Status of Young People aged 15-19 in 100 Selected Villages (continued)

Employment Status



Extraterritorial organizations and bodies RAMSI 2 2 2 Sub-total 0 2 0 0 0 0 2 2 Fishing Diver 1 1 1 Fisherman 3 27 2 4 34 30 Sub-total 0 4 27 0 2 4 35 31 Health, social work, and veterinary services Doctor 1 1 2 1 Microscopist 1 1 1 Nurse 14 2 16 14 Orderly 1 1 1 Sub-total 16 1 0 0 0 3 20 17 Hotels and restaurants Barman 2 2 2 Cook 4 4 4 Hotel cleaner 1 1 1 Supreme Club 1 1 1 Waiting staff 2 2 2 Sub-total 0 10 0 0 0 0 10 10 Informal employment – housekeeping/unskilled work Casual 1 1 1 Housekeeper 1 1 1 Skilled worker 3 3 3 Unskilled worker 26 36 342 45 449 404 Worker 2 6 1 9 9 Home duties 2 12 1 29 47 91 44 Sub-total 2 35 50 1 374 92 554 462 Legal services Lawyer 1 1 1 Magistrate/clerk 1 1 1 Sub-total 0 2 0 0 0 0 2 2 Motor vehicles, motorcycles, and motorboats Mechanic 6 1 2 3 12 9 Sub-total 0 6 1 0 2 3 12 9

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Employment Status



Other community, social, and personal service activities Artist 2 2 2 Babysitter 1 1 1 Carver 6 1 7 6 Chief 1 1 1 Church worker 1 3 4 1 Housekeeper 4 1 12 17 5 Pastor 1 1 0 Priest 1 1 1 Security officer 1 1 0 Sewer 1 1 1 Sister of Melanesia 1 1 0 Tasiu 2 1 3 2 Clergy 2 2 0 Sub-total 0 8 11 0 1 22 42 20 Production of foods/manufacturing Baker 5 5 5 Fiber repair 1 1 1 Printer 1 1 1 Ring maker 1 1 1 Shell money maker 1 1 1 Solomon Taiyo 3 3 3 Weaver 1 1 2 1

Refrigerator mechanic 1 1 1

Engineer 1 1 0 Sub-total 0 5 9 0 0 2 16 14 Public administration, security, and defense; compulsory social security Officer 1 1 1 Police 1 1 2 1 Prison warder 1 1 1 Security officer 22 4 2 28 26 Sub-total 2 23 4 0 0 3 32 29 Real Estate Land guide 1 1 1 Sub-total 0 1 0 0 0 0 1 1

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Employment Status



Research and development/religious work Church worker 1 1 1 Sub-total 0 1 0 0 0 0 1 1 Tourism services Catering 4 4 4 Sub-total 0 4 0 0 0 0 4 4 Transport, storage, and communications Boat driver 1 1 1 Bus conductor 1 1 1 Driver 4 4 4 Patrick Logistic 1 1 1 Vehicle crew 1 1 1 Sub-total 0 7 1 0 0 0 8 8 Wholesale and retail trade Fuel salesman 1 1 1 Market vendor 8 1 9 8 Shopkeeper 17 2 19 17 Storekeeper 6 3 2 11 9 Sub-total 0 23 12 0 0 5 40 35 Student Student 2 1,022 1,024 1,024

Sub-total 0 2 0 1,022 0 0 1,024 1,024

Missing information 13 50 90 0 748 969 1,870 901

Grand total (including missing) 144 249 332 1,024 1,139 1,161 4,047 2,886

Adjusted total (excluding missing) 131 199 242 1,024 391 192 2,177 1,985

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Annex 5: Tracer Studies

Annex Table 5.1: Employment Status by Year of Graduation Graduation year Employment status 2003 2004 Grand Total Employed 938 645 1,583

Government 707 452 1,159 Private firm 217 181 398 Self-employed 14 12 26

Not employed 72 67 139 Student 24 20 44 Other 48 47 95

Missing information 3 8 11 Grand total (including missing) 1,013 720 1,733 Adj. total (excluding missing) 1,010 712 1,722

Annex Table 5.2: Employment Status by Study Location Study location

Employment Status Solomon Islands Outside Grand Total

Employed 1,275 308 1,583 Government 953 206 1,159 Private firm 301 97 398 Self-employed 21 5 26


Missing information 7 4 11 Grand total (including missing) 1,391 342 1,733 Adj. total (excluding missing) 1,384 338 1,722

Annex Table 5.3: Employment Status by Gender of Graduate

Gender Employment status Female Male Grand Total Employed 590 993 1,583

Government 445 714 1,159 Private firm 143 255 398 Self-employed 2 24 26


Missing information 4 7 11 Grand total (including missing) 624 1,109 1,733 Adj. total (excluding missing) 620 1,102 1,722

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Annex Table 5.4: Current Residence by Study Location

Study location Current Residence Solomon Islands Outside Grand Total Living in Solomon Islands 1,353 286 1,639 Living abroad 30 56 86 Deceased 6 6 Missing information 2 2 Grand total (inc. missing and deceased) 1,391 342 1,733 Adj. total (exc. missing and deceased) 1,383 342 1,725

Annex Table 5.5: Employment Status by SICHE School Finance & Industrial Natural Distance Grand Employment Status Education Nursing Administration Development Resources Education Total Employed 820 113 168 107 57 10 1,275

Government Sector 650 113 96 38 50 6 953 Private Sector 170 0 72 69 7 4 322

Private Firm 170 65 56 6 4 301 Self-employed 7 13 1 21

Not employed 8 1 51 28 16 5 109 Student 2 17 1 8 1 29 Other 6 1 34 27 8 4 80

Missing information 1 3 1 2 7 Grand total (inc. missing) 829 114 222 136 75 15 1,391 Adj. total (exc. missing) 828 114 219 135 73 15 1,384

Annex Table 5.6: Job Level by SICHE School Finance & Industrial Natural Distance Grand Employment Status Education Nursing Administration Development Resources Education Total Entry-level 757 2 141 90 54 5 1,049 Middle-level 35 110 18 13 3 4 183 Executive 28 1 11 4 1 1 46 Missing information 9 1 52 29 17 5 113 Grand total (inc. missing) 829 114 222 136 75 15 1,391 Adj. total (exc. missing) 820 113 170 107 58 10 1,278

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Annex Table 5.7: SICHE Graduates by Current Residence and Employment Status

Employment status

Employed Miss-

Current Govern- Private Self- Not employed ing Grand Adj.

Residence ment firm empl. Total Student Other Total info. total c/ Total

d/ Living in SI 940 299 20 1,259 19 70 1,348 5 1,353 1,348

Central 53 5 58 4 4 1 63 62 Choiseul 35 1 36 2 2 38 38 Guadalcanal 85 37 1 123 2 2 4 127 127 Honiara 328 141 13 482 17 40 57 3 542 539 Isabel 56 5 2 63 6 6 69 69 Makira and

Ulawa 56 19 75 4 4 79 79 Malaita 196 30 2 228 7 7 1 236 235 Rennell and

Bellona 6 1 7 0 7 7 Temotu 49 49 1 1 50 50 Western 76 60 2 138 4 4 142 142

Living abroad 13 2 1 16 10 3 29 2 30 28 Australia 1 1 0 1 2 1 Cook

Islands 1 1 0 1 1 Fiji 8 8 8 8 16 16 Kiribati 1 1 0 1 1 New

Zealand 1 1 1 1 2 2 Papua New

Guinea 1 1 1 1 2 3 3 Samoa 1 1 1 1 2 2 Vanuatu 1 1 2 1 1 3 3

Deceased 6 6 6 Missing information 1 1 2 1 Grand total a/ 953 301 21 29 80 7 1,391 1,384 Adjusted total b/ 953 301 21 29 73 6 1,383 1,377

Notes: a/ Including missing and deceased. c/ Including missing. b/ Excluding missing and deceased. d/ Excluding missing.

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Annex Table 5.8: Overseas Graduates by Country of Study and Employment Status Employment status Employed Miss- Grand Adj. Country of Govern- Private Self- Not employed ing total total study ment firm empl. Total Student Other Total info. b/ c/ Fiji 132 62 1 195 10 10 20 3 218 215 Papua New Guinea 42 20 1 63 2 2 65 65 Other a/ 32 15 3 50 3 5 8 1 59 58 Grand Total 206 97 5 308 15 15 30 4 342 338

Notes: a/ Other: Australia, Japan, New Zealand, Taiwan. b/ Grand total: Including missing. c/ Adjusted total: Excluding missing.

Annex Table 5.9: Employment Status of Overseas Graduates by Major Subject Studied

Employment status Employed Miss- Govern- Private Self- Not employed ing Grand Adj. Major subject a/ ment firm empl. Total Student Other Total info. total b/ total c/ Industrial arts * 1 1 0 1 1 Trades * 1 1 2 0 2 2 Tourism and hospitality * 2 2 4 0 4 4 Arts * 4 1 5 1 1 6 6 Building and construction * 3 4 1 8 0 8 8 Agriculture 8 4 12 1 2 3 15 15 Technology 9 5 14 1 1 15 15 Engineering 11 4 15 1 1 2 1 18 17 Administration 14 5 1 20 0 20 20 Law 14 10 24 1 2 3 27 27 Business and finance 15 9 2 26 3 3 29 29 Science 19 16 1 36 6 1 7 43 43 Medicine 45 1 46 1 1 47 47 Social sciences 25 16 41 4 3 7 2 50 48 Education 36 18 54 1 1 2 1 57 56 Grand total 206 97 5 308 15 15 30 4 342 338

Notes: a/ Asterisk (*) and shaded: Fewer than 10 observations. b/ Grand total: Including missing. c/ Adjusted total: Excluding missing.

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Annex Table 5.10: Job Level of Overseas Graduates by Major Subject Studied Job level Grand Adj.

Major subject a/ Entry-level Middle-

level Executive Missing total b/ total c/ Industrial arts * 1 1 1 Trades * 2 2 2 Tourism and hospitality * 4 4 4 Arts * 5 1 6 5 Building and construction * 1 7 8 8 Agriculture 8 2 2 3 15 12 Technology 6 8 1 15 14 Engineering 5 10 3 18 15 Administration 7 11 2 20 20 Law 13 10 1 3 27 24 Business and finance 8 14 4 3 29 26 Science 25 9 2 7 43 36 Medicine 13 32 1 1 47 46 Social sciences 31 11 8 50 42 Education 34 11 10 2 57 55 Grand total 162 126 22 32 342 310

Notes: a/ Asterisk (*) and shaded: Fewer than 10 observations. b/ Grand total: Including missing. c/ Adjusted total: Excluding missing.

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Annex Table 5.11: Employment Status of Overseas Graduates by Course Level

Employment status

Employed

Miss- Grand Adj.

Govern- Private Self- Not employed ing total total Course level ment Firm empl. Total Student Other Total info. a/ b/ Certificate/ diploma 25 11 36 1 3 4 40 40 First degree 158 75 5 238 9 12 21 4 263 259 Postgraduate degree 22 8 30 5 5 35 35 Missing 1 3 4 0 4 4 Grand total a/ 206 97 5 308 15 15 30 4 342 338 Adjusted total b/ 205 94 5 304 15 15 30 4 338 334

Notes: a/ Grand total: Including missing. b/ Adjusted total: Excluding missing

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Annex Table 5.12: Job Level of Overseas Graduates by Course Level

Job level Grand Adj.

Course level Entry-level Middle-level Executive Missing total

b/ total

c/ Certificate/diploma 22 12 2 4 40 36 First degree 123 100 17 23 263 240 Postgraduate degree 14 13 3 5 35 30 Missing 3 1 4 4 Grand total a/ 162 126 22 32 342 310 Adjusted total b/ 159 125 22 32 338 306

Notes: a/ Grand total: Including missing. b/ Adjusted total: Excluding missing.

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Annex Table 5.13: Overseas Graduates by Current Residence and Employment

Employment status Employed Miss- Govern- Private Self- Not employed ing Grand Adj.

Current Residence Ment firm empl. Total

Student Other Total info.

total a/

total b/

Living in SI 189 82 5 276 1 6 7 3 286 283 Central 3 3 0 3 3 Choiseul 2 1 3 0 3 3 Guadalcanal 4 9 13 0 13 13 Honiara 152 60 5 217 1 4 5 222 222 Isabel 3 3 0 3 3 Makira and Ulawa 5 3 8 0 1 9 8 Malaita 12 6 18 1 1 2 21 19 Rennell and Bellona 1 1 0 1 1 Temotu 1 1 0 1 1 Western 6 3 9 1 1 10 10 Living abroad 17 15 0 32 14 9 23 1 56 55 Australia 0 1 3 4 4 4 Cook Islands 1 1 0 1 1 Fiji 6 6 12 8 3 11 23 23 Hong Kong 0 1 1 1 1 Japan 0 1 1 1 1 Kiribati 2 2 0 2 2 New Caledonia 1 1 0 1 1 New Zealand 1 2 3 2 2 1 6 5 Papua New Guinea 6 2 8 1 1 9 9 United States 0 2 2 2 2 Vanuatu 2 3 5 1 1 6 6 Grand total 206 97 5 308 15 15 30 4 342 338

Notes: a/ Grand total: Including missing. b/ Adjusted total: Excluding missing.

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Annex 6: Solomon Islands Workshop on NSTP Study, December 11 and 13, 2006 In accordance with the terms of reference for the National Skills Training Policy study, the study team hosted a workshop for about 65 stakeholders at the Honiara Hotel in Honiara, Solomon Islands on December 11 and 13, 2006 sponsored by the study partners (NZAID, EU, AusAid, and the World Bank). The purpose of the workshop was three-fold. First, the aim was to review the study’s findings, conclusions, and proposed policy actions with representatives from the private sector, the public sector (including the government), the Study Steering Group, NGOs, and interested donors. Second, the workshop was held to solicit comments, suggestions, and proposals for changes from the stakeholders based on data that may not have been made available to the study team. Third, the team hoped the workshop would yield a consensus on a list of policy actions that would, in turn, become the basis of an action plan for establishing a National Skills Training Council and a National Skills Training Plan. The workshop was prepared and coordinated by the local study team led by Ms. Mia Rimon with the assistance of Mr. Jerry G. Strudwick, World Bank task team leader for the study, and Mr. Robert McGough, one of the principal investigators for the study. Mr. Barnabas Anga, Permanent Secretary for MEHRD and Chairman of the Study Steering Group, provided the keynote address and served as the senior representative from the Government of the Solomon Islands during the workshop. The findings of the study were well received, and the participants made several suggestions that were incorporated into the study where appropriate. The workshop participants were able to agree on a list of policy actions to be more fully developed by the planned National Skills Training Council. This list of policy actions is as follows:45 National Skills Coordination 1. Establish a National Skills Training Council (NSTC). 2. Establish an NSTC Secretariat. 3. Prepare a National Skills Training Plan with the approval of the government. 4. Establish a National Skills Training Fund.46

Public-supported Skills Training 5. Increase equity in skills training by introducing targeted scholarships at both the

tertiary and below-tertiary levels to help women and the poor to enter technical careers.

6. Require that RTC courses/programs be demand-driven.

45 This recommended list of policy actions was produced during the workshop and does not constitute a complete list of policy actions as recommended by this study. 46 The workshop participants recognized that this policy action was risky and that may not be appropriate to implement it in the Solomon Islands. It was placed in this list with a recommendation that it be carefully considered before approval by the NSTC and the government.

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7. Identify a few of the stronger RTCs and convert them into “mono-technics” or post-secondary technical institutes designed to provide advanced-level skills training in one to three closely related occupational areas.

8. Set up a pilot program of mobile skills training for young people and adults in villages based on community needs and on ongoing or planned community projects.

9. Increase the institutional authority and accountability of all public training institutions by:

a. Allowing publicly funded skills training institutions to accept students funded by private employers that wish to pay for training services;

b. Allowing the institutions to retain earned income to spend to the benefit of their students (for example, on local scholarships), to strengthen their programs, or to expand their enrollment;

c. Requiring or strongly encouraging the establishment of advisory committees with representatives from companies in the relevant industry;

d. Requiring the institutions to maintain standardized records; and e. Requiring annual audits.

10. Separate skills training programs and institutions from (lower and upper) secondary education by:

a. Providing training in separate institutions that have the single goal of providing skills training for employment; and

b. Funding training and education institutions separately to eliminate competition for funding.

11. Require that all teachers/trainers in skills training institutions must have (or acquire) occupational experience as well as advanced training in the skills that they teach.

12. Consolidate skills training institutions/programs, where possible, to reduce the cost of training in public institutions by:

a. Closing small ineffective programs (based on established criteria); and b. Re-allocating cost savings to larger, specialized training programs/

institutions.

13. Wherever possible, introduce competency-based, modular instruction into the curricula of RTCs and other training providers.

14. Establish a policy to pay vocational-technical teachers wages competitive with those paid by industry.

15. Require strong monitoring and evaluation of all (public) skills training programs based on established performance criteria – such as the percentage of students who graduate and find paid or unpaid employment in jobs related to their training.

16. Require that courses/programs that do not satisfy minimum performance criteria over a period of two years will have their government authorization and/or funding withdrawn.

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PSD Staffing

17. Expand the capacity of IPAM and/or SICHE’s School of Finance to support the

public sector’s training needs.

18. Identify critical skill areas to determine future priorities for government-funded skills training at home and abroad, giving priority to individuals seeking training and employment in areas where there is existing demand and areas considered critical to the quality of life and to the future economic development of the country.

Youth Unemployment

19. Set up comprehensive and robust youth employment/training scheme(s), perhaps

to include: (1) a Youth Community Service Corps (youth-employment scheme); (2) a National Alliance with Business and Industry (a partially subsidized private sector employment scheme); and (3) a Small Entrepreneur Loan Program (to make micro-loans).

Employer-based Skills Training

20. Expand the capacity of employer-based skills training by establishing a

competitive contract scheme for firms that wish to use their facilities and in-house training capacity to train young people in employment skills to satisfy both the internal demands of these firms and the general demands of the economy.

21. Establish a small, well-managed, formal apprenticeship program to promote the acquisition of skills needed for the higher-level, technical skilled occupations deemed critical by the National Skills Training Council.

Private Skills Training

22. Expand the private sector’s skills training capacity by developing a policy

framework and providing other incentives to encourage the establishment and operation of private skills training centers/programs.

Sector Reports

Human Development Sector Unit East Asia and Pacific Region

The World Bank

Philippines Education Policy Reform in Action: A Review of Progress Since PESS and PCER, May 2004. (Report No. 28063-PH). Vietnam Reading and Mathematics Assessment Study (Volume 1): How Measuring Achievement Distribution Informs Education Policy Development, August 2004. (Report No. 29787-VN, volume 1). Vietnam Reading and Mathematics Assessment Study (Volume 2): Study Results, August 2004. (Report No. 29787-VN, volume 2). Vietnam Reading and Mathematics Assessment Study (Volume 3): Study Methodology, August 2004. (Report No. 29787-VN, volume 3). Timor-Leste Education Since Independence From Reconstruction to Sustainable Improvement, December 2004. (Report No. 29784). Decentralization in Indonesia’s Health Sector: The Central Government’s Role, October 2004. (Report No. 30449). Education in Indonesia: Managing the Transition to Decentralization, August 2004. (Report No. 29506, volumes 1-3). Philippines Out of School Children and Youth in the Philippines: Issues and Opportunities, September 2003. (Report No. 23132-PH). Cambodia Quality Basic Education For All, January 2005. (Report No. 32619-KH). Cambodia Public Expenditure Tracking Survey (PETS) in Primary Education, December 2005. (Report No. 34911-KH). Getting Girls Into School: Evidence from a Scholarship Program in Cambodia, March 2006. (Report No. 36727-KH). Public Financing of Education in Mongolia: Equity and Efficiency Implications, September 2006. (Report No. 36979-MN). Children’s Work in Cambodia: A Challenge for Growth and Poverty Reduction, December 2006.(Report No. 38005).

Documents

SOLOMON ISLANDS - World Bankdocuments.worldbank.org/curated/en/989891468759560059/pdf/393170... · SINTA Solomon Islands National Teachers Association SIPS Solomon Islands Public