site.btaBulgaria Needs to Improve Match between Education and Labour Market, Analysis Shows

The Bulgarian Council for Economic Analyses (BCEA) Thursday presented an analysis, according to which there is a need for a better match between education and demand on the labour market. The analysis is titled Trade Integration and Educational Choice in Bulgaria and is authored by BCEA members Teodora Tsankova and Yoto Yotov. The analysis examines whether and to what extent the choice of secondary education is influenced by changes in the local labour market driven by changes in goods exports. 

Deputy Prime Minister and Finance Minister Lyudmila Petkova, who attended the presentation, said that there is a need to ensure more flexibility and adaptability of the education system to business needs and industry’s development. In Petkova’s words, in order to make vocational training more attractive, changes are needed both in its content and in the way students and parents perceive it. The Minister also noted the regional context, adding that better planning of vocational courses in schools at regional level could significantly improve the match between the qualifications on offer and the needs of employers. It is important to base this process on a thorough analysis of the local labour market to achieve sustainable development and competitiveness of the Bulgarian economy, Petkova added.

The analysis reports that Bulgaria's trade integration has increased significantly since its accession to the EU, while many employers in export-related sectors point to the lack of an educated workforce as a major problem. The analysis authors point out that the shortage of skilled workers is one of the main challenges facing employers in Bulgaria.

According to data from the World Bank Enterprise Surveys’ latest survey, an inadequately educated workforce is the biggest obstacle for 22% of businesses in Bulgaria. The problem is more serious in industry, where the share is 33%. To address this problem, future education policies must provide training opportunities in the occupations and industries where this shortage is most pronounced, the analysis’s authors said.