Description

Country
Focus area
The state Public Employment Service (SEPE) holds a department called the Observatory of Occupations. The Observatory of Occupations identifies the skills that are demanded for a set of occupations of growing demand in the labour market. In addition, the Observatory carries out in-depth research in this field for concrete sectors of economic activity. The outputs of the Observatory are presented in reports published by SEPE, which serve to guide the ALMP provision, especially the training supply. The Observatory collaborates with other institutions of the skills governance system in Spain, such as INCUAL and Sectoral Joint Committees.
Implementation level
At what level is the initiative implemented?
National
Starting period
TIMESPAN: In what year did the initiative commence?
The identification of training needs of occupations is summarized into an annual report on forecasting and identification of skill needs (Informe annual de prospección y detección de necesidades formativas). This report has been published since 2015. However, the Observatory of Occupations was created in 1988, with the name of Permanent Observatory of the Occupations Evolution (Observatorio Permanente del Comportamiento de las Ocupaciones)
Perspective
PERSPECTIVE: is the initiative based on evidence derived from skill forecasts or foresight activities?
Approximately 200 occupations that are growing at a quick pace are selected every year, using quantitative data on contracts. Other occupations are selected as well following sectoral research reports carried out by the Observatory. The skill gaps of these approximately 200 selected occupations are analysed by regional groups of the Observatory, who contact experts from the observatory provincial network. In each province there is a network of around 70 experts. These experts include: employers, HR managers, trade unions' and business associations' representatives, high skilled workers, excellence centres of VET training and universities. At least three experts are interviewed to define the skills gaps of each occupation.
Policy area
To which POLICY AREAS(s) does the initiative apply?
The instrument consists mainly of qualitative research, in order to identify the skills that are demanded for concrete occupations in the labour market.
Funding
How it is funded?
Funded by national government
The Observatory is funded directly by the state PES (SEPE) through the Ministry of Work and Social Economy.

Skill mismatch

Skill mismatch target
What type(s) of skills MISMATCH does the initiative aim to addresses?
Underqualification (individuals' qualifications/credentials are below their job's needs)
Skill underutilisation (individuals' skills are not well used in their jobs)
Skill shortages (employers cannot fill their vacancies due to a lack of skills in the labour market)
Skill gaps (worker's skills are below the level of proficiency required by their employers and jobs)
Skills obsolescence (some or all of an individual's skills are no longer relevant to the current employer or in the labour market generally)
Skills matching focus
How does  the initiative address skills mismatches?
Note: The outputs of the process of identification of skill needs serve to guide the ALMP provision, especially the training supply. This serves to address skills mismatches. In addition the skill gaps identified should also be taken into account by other institutions of the skills governance system in Spain, such as INCUAL (VET system) and Sectoral Joint Committees (training for employed workers system).
Graduate VET courses are better designed as the Observatory outputs are used by in the VET system.
Young graduates who might experience problems to transition to employment might benefit from better tailored training after graduation.
Adults already in employment participate in training provided by FUNDAE, which makes use of the skills identified by the Observatory.
The Observatory outputs are used to define the training for unemployed provided by regional PES.
Training for employed and unemployed workers facilitates career transitions, especially of those who need an adaptation of their skills to changing labour market demands.
The training provided to respond to skill gaps identified by the Observatory serves to address sectoral and ocupational skill shortages.
Skills identified by the Observatory serve to better design training for unemployed, employed and future workers (VET students).

Methods

Methods
What methods of undertaking skills assessments and / or skills anticipation does the policy instrument utilise?
Skills forecasting
The Observatory selects yearly around 200 occupations to be researched in depth. This selection focuses on occupations that are growing at a quick pace, based on quantitative data on contracts registered with the Social Security and the Labour Force Survey.
Employer surveys
Employers and HR managers participate in the network of experts of the Observatory.
Skills foresight
Around two sectoral reports are yearly carried out with the aim of researching in depth the evolution and trends of concrete economic sectors, its related occupations and its skills gaps.
Expert panels
The skills gaps of the selected occupations are researched by regional experts: employers, HR managers, trade unions' and business associations' representatives, high skilled workers, excellence VET centres and universities.
Vacancy surveys
The Annual Report on the forecasting and identification of training needs includes a description of the situation with regard to vacancies.
Real-time labour market information (e.g. big data analysis of job advertisements, CVs)
The Observatory collects also information on job offers published at the Internet for these occupations to contrast the information obtained from expert panels.
Use of skills intelligence
How is labour market information / skills intelligence used within the initiative?
Outputs of the Observatory are used to define the Catalogue of Training Specialities (Catálogo de Especialidades Formativas), which defines the training provision for employment, and the National Catalogue of Professional Qualifications (Catálogo Nacional de Cualificaciones Profesionales), defined and managed by INCUAL.
The content and design of training provided by regional PES to unemployed must take into account the Annual report published by the Observatory, the multi-annual scenario, as well as and the catalogue of training specialities.
The Catalogue of Training Specialities (Catálogo de Especialidades Formativas) is used to define profesional certificates and for validation of professional competences.
Training provided by regional PES take into account the Annual report published by the Observatory, the multi-annual scenario, as well as and the catalogue of training specialities.
The identification and forecasting of skill needs are also used to better define guidance services provided by regional PES counsellors.
The identification and forecasting of skill needs are also used to better define guidance services provided by regional PES counsellors.

Stakeholders

Main responsible body
Main body or organisation with overall responsibility for the initiative.
National ministry
The Observatory is embedded in the state PES (SEPE), which is part of the Ministry of Work and Social Economy.
National PES
The Observatory is embedded in the state PES (SEPE), which is part of the Ministry of Work and Social Economy.
Other involved organisations
Which other organisations have a role in the initiative?
Regional ministry
Regional ministries are responsible of the management of regional PES, which take into account the recommendations of the Observatory for their training response.
National agency
INCUAL, responsible for identification of skills within VET system, collaborates wtih the Observatory.
Social partner: employer organisation
Employer organizations are part of the network of the Observatory and thus participate in the identification and forecasting of skill demands.
Social partner: trade union
Trade unions are part of the network of the Observatory and thus participate in the identification and forecasting of skill demands.
Regional PES
Regional PES take into account the recommendations and the skills gaps identified by the Observatory to design the training for unemployed workers.
Training Providers
Training providers for unemployed workers adapt their offer to the decisions of regional PES, which are aligned with the Observatory recommendations.
Research centres, universities
Research centres and universities collaborate as part of the network of the Observatory and in the ellaboration of sectoral reports.
Other
National Reference Centres of VET (CRN) collaborate with the Observatory to identify skill gaps.
Beneficiaries
Who are the intended beneficiaries?
Note: outputs of the Observatory are used by the training system for employed workers (through FUNDAE), unemployed workers (through regional PES) and VET students. Minority and under-represented groups and people with disabilities benefit as well, although the Observatory actions are not specifically designed to target these groups.
Young people making the transition from education into work
They benefit from better designed VET training and from additional training offer, for employed and unemployed workers.
Young people with low levels of basic skills /early leavers from education or training
They benefit from training for unemployed, including professional certificates, plus VET.
Adults with low basic skills
They benefit from training for unemployed, including professional certificates
Adults in employment with upskilling potential
Training for employed workers through FUNDAE.
Adults in employment with reskilling potential
Training for employed workers through FUNDAE.
Employed adults at risk of job displacement
Training for employed workers through FUNDAE.

Sustainability

Success factors
SUCCESS FACTORS in the implementation
The participation of a broad set of interviewed agents who provide qualitative information; the relevance of the experts that provide qualitative information; the use of a homogeneous methodology, which enables comparisons across time and between regions; the information obtained is checked with job offers published on the internet; and the connection of the Observatory with other authorities within the Government, who can make a good use of the findings of the Observatory.
Barriers
BARRIERS in the implementation
The dissemination of results and the information found by the Observatory. Although the law states that this information must be taken into account by employment and VET institutions, it is not clear to what extent it is considered in the training design and delivered to employment counsellors, teachers or unemployed. The information is not used in guidance at schools nor in universities, limiting its potential to guide students' decisions in education.
Monitoring and evaluation
MONITORING and EVALUATION: Is progress measured regularly? What are the indicators used to measure progress of the policy instrument? Have any evaluations been conducted?
The main indicator is the number of occupations studied every year. This is around 200 occupations per year. Reports are published on a regular basis. However the information on the extent to which this information is used by training system is limited, including training for unemployed provided by regional PES.
Updates
UPDATES: whether there have been any major updates of the initiative since it has been implemented?
Yes
The Catalogue of Training Specialities (Catálogo de Especialidades Formativas) has been better defined and improved by Order TMS/283/2019, of 12th of March, that regulates the Cataloge of training Specialities in the framework of the VET system for employment. Cooperation with INCUAL (VET system) has been strenghtened by Order PCI/18/2020.
Effectiveness
EVIDENCE ON EFFECTIVENESS: How effective is the policy instrument?
No evidence of the effectiveness and impact of the instrument is available, as no effectiveness study has been carried out. There is no information about the extent to which the findings made by the Observatory is applied by employment counsellors or to which degree they are taken into account in the design of the contents of training courses. Similarly, there is no feedback to know with certainty to what extent the information found has an impact on employment indicators.
Sustainability
SUSTAINABILITY: How sustainable is the policy instrument? Do you expect the instrument to continue over the next few years and why?
The instrument is permanent and has a central role in the system of identification of skills needs in Spain.

Other instruments in Spain