Apprenticeship as a model for success

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written by Nicolas Jutzet · October 8, 2016 · 0 comment

It’s rare for diplomatic visits focused on education to end any other way than with a flood of praise for our education system. Remember the promise made by our dear François Hollande, who was suddenly very enthusiastic upon his return from a short trip to our region: «We are going to launch an initiative to support apprenticeships.» We should also note the establishment of «Swiss-style» apprenticeships around the world, whether in the U.S. or India; in short, on the international stage, our vocational training is enjoying widespread success.

It’s obviously flattering that our larger neighbors are following the example of a small country like ours, but do we truly understand what it is about the way we support young people as they enter the workforce that is so appealing? Are we still aware of the factors that make our system a success envied around the world? And what does the future hold for it?

«Vocational training enables young people to gain a foothold in the workforce and ensures the next generation of workers by training qualified professionals and executives. It is labor-market-oriented and integrated into the education system.» In Switzerland, two-thirds of young people—an overwhelming majority—choose this path. It allows students to move into practical work after completing a compulsory education that is more theory-based. By combining days on the job with ongoing training at vocational centers, it enables each individual to acquire the skills that will make them a qualified worker capable of finding their way and their place in the workforce.

In fact, this vocational training system enables Switzerland to rank among the best in terms of youth unemployment. In the 18- to 25-year-old age group, Switzerland (unemployment rate of 8.6 % as defined by the ILO, 2015 annual average) ranks second in Europe, just behind Germany. It is worth noting that in our country, young people enjoy a competitive advantage in the labor market compared to the older segment of the population. In fact, the older one gets, the higher the contribution rate to the second pillar becomes (occupational pension plans, for which half the contributions are paid by employees and half by employers, according to the following principle: the total employer contributions must equal the total employee contributions).

Men/Women                      Percentage of insured earnings
Ages 25 to 347 %
Ages 35 to 4410 %
Ages 45 to 5415 %
Ages 55 to 64/6518 %

This policy decision helps young people enter the workforce by mitigating the natural lack of experience among new entrants. Despite this «preferential treatment,» youth unemployment remains significantly higher than that of other age groups in the country.

Age groups, unemployment rates as defined by the ILO

Ages 15–24Ages 25–39Ages 40–54Ages 55–64
8.6 %4.6 %3.7 %3.9 %

International Comparison

The large-scale entry of the younger generation into the workforce is the main reason for the keen interest other countries have shown in us. In some neighboring countries, youth unemployment is a real scourge. There are extreme cases where the rate approaches 50 % (Greece, Spain). Already widespread before the 2008 financial crisis, the phenomenon has worsened there, dragging half a generation into a downward spiral. This shift partly explains the rise of populist parties such as Syriza and Podemos, which capitalize on popular discontent by promoting simplistic, populist ideas capable of winning over this neglected segment of the population. The same phenomenon looms over France, where young people are voting overwhelmingly for the National Front, even though youth unemployment there is still «relatively» manageable (24 %).

It is therefore primarily to preserve a certain degree of social peace—and thus their hold on power—that many leaders wish to adopt our education system. But is that really possible? Unfortunately, no!

Why Our Model Cannot Be Applied Elsewhere

As mentioned above, in Switzerland, every effort is made to integrate young people into the workforce. One could say that this is a policy that favors «outsiders» at the expense of «insiders.» However, there’s a small problem: in all countries with high unemployment, the opposite approach is taken. They protect what they already have, even if it means double-locking the front door and creating de facto structural unemployment. Only a liberal labor code allows for the «smooth» integration of the next generation. Otherwise, it is difficult to make room for apprenticeships, which require a transition phase during which the newcomer is a burden on the company before gradually becoming a productive member of the team. Furthermore, unlike in most countries with an apprenticeship system, here apprentices are strongly confronted with the realities of the working world. Theory is linked to practice. This link ensures that a graduate apprentice has acquired real-world skills and makes them a ‘ready-to-work« asset when applying for a »real« job upon completing their training.

Federalism, so dear to Switzerland, also permeates its education system. No educational path is a dead end; for each one, there is an opportunity to take a bridge program to advance to the next level. Thanks to this interconnectedness of the various programs, no one is indefinitely «pigeonholed.» This flexibility allows everyone to find their own path, correct a misstep along the way, or simply change direction. This fluidity stems from a cultural and historical process that, with the exception of Germany, is lacking among neighboring nations. Merely proclaiming one’s love for the Swiss model through grand speeches will not suffice; a comprehensive shift in mindset among the population will also be necessary to achieve a satisfactory outcome.

The Future in Switzerland

Although the current situation seems idyllic, we must remain vigilant. Several dark clouds are visible on the horizon. In recent years, we have seen a radicalization of political parties representing the left-wing youth, which, through populist initiatives (the 1:12 initiative, flat-rate taxes, minimum wage, basic income, etc.), is undermining the economic fabric. The next step could be an attack on apprenticeships, which are denounced as a form of exploitation of young people by unscrupulous employers seeking cheap labor.

On the other hand, an increasing number of apprenticeship positions remain unfilled: 8,500 in 2015, which is three times as many as in 2007. We are seeing that certain professions considered «difficult» are no longer as popular as they once were. At the same time, the number of commercial apprentices is far too high. Add to this the fact that this sector will undergo significant changes in the coming years, in connection with the 4thème Industrial Revolution. Not exactly encouraging. Furthermore—and the growing disinterest among young people confirms this—an apprenticeship is becoming a respectable path… for the neighbor’s son. Ours, following our insistent advice, will instead go to high school and then college. If this trend continues, it risks undermining the balance we currently see.

Another trend threatens apprenticeships: the absurd increase in administrative tasks that training companies must complete. Mandatory reports, training courses for trainers, and academic monitoring place an insurmountable burden on many very small businesses and small and medium-sized enterprises. We must put a stop to this trend, which jeopardizes the appeal of dual training.

The coming years will be crucial; our goal is to make Switzerland a country that, thanks to its model grounded in real-world realities and the bonds that unite its various partners, will have successfully adapted to the structural changes brought about by digitalization. Let’s look forward to creating an “Apprenticeship 2.0” that will continue to attract visitors with the stability it brings to our country. And let’s let our children decide for themselves what career path to take!

Cover illustration: © House of Switzerland

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Nicolas Jutzet
Nicolas Jutzet

Co-founder of the Liber-thé media, Nicolas Jutzet is vice-director of the Institut libéral in Switzerland.

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