The Department welcomes the recommendations but notes the appreciation of the current constraints on public sector finances. The Department is committed, with the other sponsoring Departments, to securing adequate funding to develop this important area of work.

3.1.8 Developing the enterprise culture

The Department supports this recommendation and will seek to work, cross-departmentally, towards the completion and effective implementation of the Strategy's recommendations.

Additional funding for university R&D is subject to competing priorities and can only be raised in the Spending Review.

This will be a matter for the Executive as a whole.

This will be a matter for the United Kingdom HE sector as a whole.

Additional funding of this kind is a matter for DETI.

The Committee welcomed the response to the recommendations made by the Department for Employment and Learning. It was pleased with the broad terms of the response, which indicated wide areas of agreement. There were, however, a number of areas where the Department's response fell short of that which the Committee was seeking. A meeting to clarify these issues was held on the 9 May 2002, details of which are presented in the Minutes of Evidence of this Report.

The Committee is pleased to learn that the Department for Employment and Learning is either already taking action, or is proposing to take action shortly, in accordance with many of the Committee's recommendations. The Committee wishes to pay tribute to the Department for the work that it is currently engaged in, in the area of education and training for industry, and wishes it to further its efforts in this field. The Committee would therefore wish to highlight those areas where it appears that the Department has not agreed to fully implement the recommendations of the Committee, in order that further progress will occur. In some cases, the Committee is seeking to ascertain the timescales for proposed action; in other cases, the Committee would like some explanation as to why recommendations have not been translated into policy actions or definite plans for action.

Each recommendation is discussed below in terms of the eight areas into which the original Inquiry fell.

4.1 Skills

Recommendations 1 to 8 are concerned with skills, including basic (essential) skills, retraining and reskilling, ICT skills, and the training requirements of SMEs.

The Committee acknowledges the work of the Department in the area relating to Recommendation 1, namely that of basic skills. The creation of the Basic Skills Unit, enhanced FE funding for adult Basic Education, and the preparation of a comprehensive adult literacy strategy are all to be welcomed. The Committee would have liked earlier publication of the Essential Skills for Living Strategy; but now wishes the Department to ensure no further slippages occur, indeed we would like to see more rapid progress.

Recommendation 2 addressed the need for research into developing effective models of workplace basic skills and the effective sharing of best practice to be initiated and funded. The Committee therefore welcomes the eight projects, funded by the Department, that have been set up, with employers, to look for ways of developing skills in the workplace. The Committee hopes that the initiative remains on schedule, and will look forward to reading the outcomes of the projects in the action plan to be published in September 2002. The Committee will follow with interest the pilot scheme on workplace development initiatives in Great Britain.

The Committee was pleased that DEL has learnt from the experience of redundancies at Mackies and at Harland and Wolff. Committee members would be interested to learn of the outcome of the training strategy that DEL put in place regarding these. Nevertheless they consider that this initiative may fall some way short of Recommendation 3, which called for the development of flexible and dynamic policies to deal with retraining and reskilling in a range of situations, including redundancies.

The introduction of a fast-track programme in maths and science at the North West Institute of Further and Higher Education is welcomed by the Committee, which had, in Recommendation 4, stressed the need for more people to study mathematics and sciences at secondary and tertiary level. The Committee would like to know when this programme, which is a pilot study, will be evaluated, and whether and when similar programmes will be initiated.

The Committee is disappointed that DEL feels that it is unable to make progress on the review of the 16-19 curriculum until the Burns review is completed. Very necessary work in this Department cannot be repeatedly delayed because of activities in another Department.

The Committee would have liked evidence of conversion courses in mathematics, the sciences and Information and Communication Technology that reflect the needs of industry, as set out in Recommendation 5, in addition to the fast-track programme referred to above.

The Committee appreciates that the focus of the first pilots were in ICT and ICT-related areas. Committee members would be interested to know how successful or otherwise foundation degrees are proving to be. They would therefore like to know when the foundation degree pilot will be evaluated, and would like to express their surprise at the decision of DEL to commit to a 50% increase of the programme prior to its evaluation.

The Committee welcomes DEL's statement that ICT and ICT-related areas are, and will remain, a priority skill area. It acknowledges that the provision of teaching in three key skill areas (computing, electronics, and software engineering) attracts additional financial weighting and incentives.

DEL reported that Further Education Colleges have received £10m investment (over the last three years) to develop ICT infrastructure and ICT staff development. The Committee is unclear as to what proportion of this funding has been specifically earmarked for community education and outreach programmes, as recommended in Recommendation 6.

The Committee welcomes DEL's unqualified agreement with Recommendation 7, to rationalise and develop existing initiatives such as the Skills Task Force, Executive Recruitment Watch and the Priority Skills Unit. It looks forward to seeing developments in this area.

The Committee welcomes DEL's unqualified agreement with Recommendation 8, to develop appropriate mechanisms to support the training requirements of Small and Medium-sized Enterprises (SMEs). It would welcome more information on what support structures for SMEs have been developed in the further education sector, and how these will be further developed.

4.2 Further Education

Recommendations 9 to 19 deal with further education. The recommendations include issues to do with the strategic review of the sector, its funding, support services, curriculum, and the development of centres of excellence.

The Committee stressed the need in Recommendation 9, for the urgent completion and implementation of a further education strategy that would include a 3-5 year strategic plan. The Committee is content with the scope of the proposed strategic review. It will monitor its progress with interest, and appreciates DEL's commitment to keep the Committee informed at key stages of its development. It is vital this project is kept on time and there is full consultation with the main players in the sector.

The Committee expressed the wish, in Recommendation 10, that decisions regarding the development of centres of excellence at individual colleges should stem from the overall strategy for the sector. The Committee understands that several centres of excellence have been developed at the universities through Industrial Research and Technology Unit funding. It also has learnt that Invest Northern Ireland is targeting around 20 centres of excellence for inward investment and economic activities. The Committee is pleased that DEL plans to enter into discussion with Invest Northern Ireland regarding centres of excellence. It will look forward to hearing the outcome of this discussion, and hopes that this will take place soon.

The recommendation regarding the co-ordination and harmonisation of support services - Recommendation 11 - reflected the Committee's concern that standardisation of procedures across Further Education Colleges would be desirable in itself and could produce cost savings. DEL reported that it has supported a common Internet solution for all colleges, via SUPERJANET. It has also undertaken a review of support structures for curriculum and staff development across the sector. The Committee would like to know more about the findings of the review.

The existing management information system used by the further education sector can no longer deal with the scale and complexity of the provision. For this reason, Recommendation 12 stressed the need for the provision of a vastly improved common statistical database on students and staff, to reflect trends in personnel issues and record the outcomes for students attending FE courses. The Committee welcomes the news that DEL began to pilot modules of management information systems in September 2001. It acknowledges that there are limits as to what information can be collected due to data protection legislation. It will monitor the development of a new management information system as a matter of priority.

The Committee welcomes DEL's agreement with Recommendation 13 on the need for effective training on the roles and responsibilities of governors. However, members of the Committee were still disappointed that the community and voluntary sector was still not adequately represented in the new appointments to governing bodies. Consequently the Committee looks forward to seeing this matter being adequately addressed in the forthcoming strategic review.

The Committee is pleased to have learnt that DEL is now taking steps to address the issue raised in Recommendation 14, namely the question of the resolution of disputes. The Committee's recommendation is that Further Education Colleges should come under the remit of the Assembly Ombudsman, and is unaware of any compelling reasons why this should not be the case. DEL has initiated contact between unions, governors and managers to decide on the most appropriate arrangement. The Committee will follow developments with interest and hopes for a speedy conclusion, while remaining convinced that its own recommendation offers the best solution.

In Recommendation 15, the Committee suggested that funding to the further education sector be increased. The Committee welcomed the recent financial support improvements for FE students. However, it also made the point that the current funding mechanism needs to be changed if it is to achieve its objective of delivering high-class vocational training (Recommendation 16), that is regarded as on a par with academic qualifications. The Committee is aware that funding for further education forms part of the strategic view. It will, therefore, monitor the progress of funding decisions during the review.

The Committee considers that it may be unfortunate that DEL considers that it is unable to implement a number of the recommendations made by the Committee regarding further education because these are currently being addressed in the strategic review. The Committee hopes that the strategic review will address the issues thoroughly, and look forward to examining its outcomes.

The Committee acknowledges DEL's support for closer links between the further education sector and local industry and industrial development organisations, as suggested in Recommendation 17. The Committee acknowledges that up to 40 lecturers annually enter industry for periods of up to 12 weeks, and that this scheme has also been extended to technician staff. It will monitor developments of this scheme with great interest and expect higher levels of industrial placements.

In response to Recommendation 18, DEL stated that it has given priority and incentive funds to providing courses leading to qualifications in ICT. The Committee welcomes this and would like to continue to see an increase in the availability of places on Higher National Diploma/Higher National Certificate and other courses which lead to professional qualifications in ICT.

The Committee welcomes DEL's agreement with Recommendation 19 that all students in further education (both full and part-time) should develop skills in ICT. The Committee would like to know the outcome of the cross-college curriculum development project to determine the content of a common curriculum (including ICT skills) for all full-time students of further education. The Committee would welcome evidence that DEL proposes to include an ICT module on all further education courses.

4.3 Higher Education

Recommendations 20 to 24 address issues to do with Higher Education, including funding, student numbers, and links between the sector and business.

The Committee is supportive of DEL's focus on university research and learner support, as stated in its Position Report on the Budget 2002 Process. In Recommendation 20, the Committee called for an increase in funding to the university sector to ensure that quality staff are attracted and retained, and to develop the research base of the universities. It pointed out that this should include increasing and developing matched private sector funding for initiatives such as the Support Programme for University Research (SPUR).

Clearly, one aspect of the development of the research base of the universities is that there should be at least adequate, if not excellent, facilities such as well-equipped laboratories and well-provisioned and serviced libraries. The Committee therefore supports DEL's bids to address the backlog in capital investment for both maintenance and new-build projects.

As indicated in Recommendation 21, the Committee regards the development of links between higher education and business as of considerable importance. The Committee supports DEL in its proposal to continue to promote such links. It would welcome specific information as to whether the following initiatives will be further developed: the Teaching Company Scheme; industry and charity sponsored professional chairs; technology incubation units; science parks; spin-off companies; and the encouragement of entrepreneurship through innovative approaches to programme design and specialist postgraduate programmes.

The Committee would like to know more of DEL's role in the inter-departmental Working Group, which was established to develop a co-ordinated approach to the Government's support of research, and would thereby facilitate the contribution made by universities to economic development through improved R&D and knowledge transfer.

Recommendation 22 called for a continued increase in the number of university places, especially in areas of skill shortages (in line with the Committee's recommendation in its Report on Student Finance, October 2000). The Committee welcomes DEL's initiative to expand the provision of Higher Education over the period from 1999 to 2005, whereby there will be an increase of 5,500 places.

The Committee is keen that all initiatives (not only those funded by Government), which aim to increase access to higher education, be co-ordinated, as suggested in Recommendation 23. The Committee welcome DEL's activities in the field of widening access, such as additional funding to assist universities in widening participation, the increase in domestic HE places, the development of NICATS, and the development of Springvale. It particularly welcomes the reintroduction of grants, from September 2002, for people on low incomes. The Committee wishes to monitor the progress of the various initiatives undertaken by DEL in this area and looks forward to the evaluations of these initiatives in 2003/04. The Committee remains unclear as to whether, or how, the various initiatives are co-ordinated, in order to avoid duplication and to ensure effective action.

The Committee will look forward to learning of the outcome of the primary assessments of the student support arrangements, to be conducted in 2004 and 2006. It is interested in the effectiveness and equality impact of the new measures (as stated in Recommendation 24), and will continue to monitor the progress of the arrangements until the full evaluation in 2008.

4.4 Other education and training providers

Four recommendations fell into this section.

The Committee looks forward to the outcome of the 16-19 Review for its consideration of further developing partnerships between the education sector and private training providers, as suggested by the Committee in Recommendation 25.

The Committee welcomes the agreement of DEL to develop an improved, more comprehensive, streamlined and effective National Training Organisation and Sectoral Training Council structure, as set out in Recommendation 26.

The next recommendation made by the Committee, Recommendation 27, was that Modern Apprenticeships should be continuously monitored and developed to meet changing labour demands. The Committee is pleased that an evaluation of the programme of Modern Apprenticeships has just been commissioned. The Department plans to act in advance of completion of the evaluation, to incorporate the concerns of some principals of colleges of further education. In autumn 2002 it hopes to produce an approach to Modern Apprenticeships that will complement the future approach to Jobskills. The Committee will look forward to learning the details of this.

New Deal is considered to be the flagship of the Government's welfare to work programme. As such, it is an ambitious and far-reaching scheme, and one that has received both praise and censure. The Committee suggested, in Recommendation 28, that New Deal be continuously monitored, evaluated and improved in order that it achieves its employment outcomes in the most cost-effective manner. The Committee further recommended that the Department consider other training schemes, which might better address the equal opportunities issues surrounding the availability of training. The Committee therefore welcomes the changes that have been initiated in New Deal. The Committee appreciates that New Deal for 25+, about which there had been the most stringent criticism, has been enhanced. Preliminary evidence suggests that the enhanced programme is more successful than its predecessor was; however, the Committee would like to see an objective evaluation to back this up. The Committee welcomes the increased training of New Deal Personal Advisers, and the increased liaison between New Deal staff and agencies that have an expertise in dealing with people with multiple barriers to employment. The commencement of a review of New Deal 18 to 24 is welcomed. The introduction, in October 2001, of Focus for Work, which is a voluntary programme for both benefit and non-benefit recipients, goes some way to addressing the concerns of the Committee regarding equality issues.

4.5 Qualifications and the curriculum

The Committee recommended that the Department support the continuing development of the Northern Ireland Credit Accumulation and Transfer System (NICATS) initiative. The Committee welcomes the Department's response to Recommendation 29 in support of NICATS and DEL's funding of three separate NICATS projects. The Committee will look forward to learning of the outcomes of the projects in due course.

The Committee acknowledges that many HNDs and HNCs include qualifications such as the European Computer Driving Licence (ECDL) and Microsoft Office User System (MOUS). However, it remains unclear as to whether the Department plans to include international industry-standard qualifications as a component of vocational qualifications, as suggested in Recommendation 30, so that ultimately all vocational qualifications will be related to the needs of industry, and recognised as such internationally.

The Committee acknowledges that there are a number of reviews yet to be completed that address the issue raised in Recommendation 31, namely to facilitate inter-departmental focus on parity of esteem for vocational and academic qualifications. The Committee will monitor with interest the progress of DEL's discussions with the Department of Education and the Council for the Curriculum, Examinations and Assessment on this matter.

Due to their concerns about vocational training and qualifications, Committee members recommended that a research project be initiated and funded to evaluate the three types of vocational qualifications, namely HNDs, HNCs and foundation degrees (Recommendation 32). While the Committee is aware of the ongoing reviews that impinge on this area, it would like to know when the Department will decide whether to implement this recommendation.

4.6 Removing barriers to education

The UK Skills Task Force recommended that learning to level 3 (craft/technician level) should be free of charge to all up to their twenty-fifth birthday. Recommendation 33 asked the Department to determine the feasibility of implementing this for Northern Ireland. The Department has responded that policies are already in place regarding fee remission for full-time students aged under 19, and full-time students aged 19 and over on vocational FE courses. It will consider how to further address the issue in Northern Ireland, after the report of the review into workforce development in the UK is published. The Committee will continue to monitor progress in this area.

In Recommendation 34, the Committee called for the development of the Individual Learning Accounts scheme. The scheme, which is currently suspended, is due to be reintroduced by September 2002 (DEL). The Committee awaits its reintroduction with interest. In particular, the Committee will be interested to see whether the new scheme can offer greater targeting and financial support for those in most need without creating excessive administrative costs.

The Committee recommended the further development of initiatives to assist with childcare and those with educational special needs and disabilities in order to facilitate increased access to all education and training - Recommendation 35. The Committee welcomes the actions of the Department that are designed to widen access to education by students with learning difficulties and/or disabilities (SLDD). The Committee has been looking forward to reading the details of the forthcoming Special Education Needs and Disability Bill, and is, therefore, disappointed that the Bill is not yet out for consultation. It will continue to monitor this situation. The Committee welcomes the introduction of childcare grants for students.

4.7 Careers education and guidance

The three recommendations in this section address the urgent need for an improved careers education and guidance service, and the need to develop the role of the Northern Ireland Business and Education Partnership (NIBEP).

The Committee appreciates that the review of the Burns Report is impinging on other reviews, including the revised Fulton Report on Careers Education and Guidance. However, such is the seriousness of the issue that we expect at least key actions to be taken as an interim measure which then can be further enhanced rather than take no action at all. The Committee highlights the recent acknowledgement by the Department that some areas of the revised Fulton Report need to progress very soon rather than be delayed any longer. The Committee has yet to see any recommendations from the revised Fulton Report. It is keen to see whether its own recommendation (Recommendation 36), to implement an enhanced independent, comprehensive and up to date careers education and guidance service based on best practice and extensive use of ICT, is to be followed.

The Committee called for greater work-related experiences for all teachers, students and lecturers for substantive periods based on the Northern Ireland Business and Education Partnership model (Recommendation 37). It is therefore pleased that NIBEP's remit now extends to further education, and that the 'Lecturers into Industry' scheme is continuing and developing. The Committee would wish to see further development in this area.

Recommendation 38 is closely linked with Recommendation 37 in its call for increased funding for NIBEP, so that it can further its work in developing links between business and education. The Committee welcomes the increased funding received by NIBEP but regrets that it receives significantly less than its counterparts in other areas of the UK.

4.8 Developing the enterprise culture

The final five recommendations in this section focus on the need for a Research, Development and Innovation Strategy, and on links between businesses and universities.

In Recommendation 39, the Committee called for the urgent completion and effective implementation of the Research, Development and Innovation Strategy for Northern Ireland. The Committee is disappointed that there is no sign of this policy. The Committee considers that DEL and the other departments with which it is working on this matter, need to expedite the policy with some urgency.

There is considerable and increasing disparity of funding for Research and Development between Northern Ireland, the rest of the UK and elsewhere. Consequently, the Committee's next recommendation, Recommendation 40, set out the need for a substantial increase in funding. It further argued that 10% should be earmarked for research that is of particular relevance to Northern Ireland. The Committee is pleased that university research is one of three main strategic issues identified by the Department in its Position Report on the Budget 2002 Process. The Committee will watch this situation as it wishes to ensure both an overall increase in funding and specific allocation of funds to research that is particularly relevant to Northern Ireland.

In order to further the development of quality research in Northern Ireland, the Committee recommended that a single unit to co-ordinate and promote Government-funded R&D in Northern Ireland be established. Recommendation 41 also suggested that this unit should handle individual bids for Research and Development for all Government departments. In addition the unit should have a role in developing well- designed research collaboration and technology transfer schemes with other countries. The Committee was disappointed with the response of the Department that this is a matter for the Executive as a whole. It considers that DEL, as the Department with responsibility for research and development in Northern Ireland's universities should be pursuing this matter.

In order to assist the development of an enterprise culture, Recommendation 42 called for academic staff to be given the incentives and flexibility to take research ideas (including company start-ups) to commercial fruition. Again, the Committee was disappointed that the Department's response was to assert that the responsibility for this lay elsewhere. The Committee does not fully accept that this is, as DEL stated, 'a matter for the United Kingdom HE sector as a whole', and that therefore, by implication, there is no initiative that can be taken by DEL. Rather, the Committee considers that DEL, as the universities' main funder, has a major role to play in terms of what it can facilitate and encourage the University of Ulster and Queen's University Belfast to develop in this area.

The final recommendation of the Committee, Recommendation 43, raised the issue of matching research funding. The Committee would like to know the outcome of DEL's discussions with the Department of Enterprise, Trade and Investment regarding the possibility of matched funding for initiatives such as the Higher Education Reach Out to Business and the Community (HEROBC).

The Committee is appreciative of the work undertaken by DEL in the area of education and training for industry. This includes work that was already underway at the time of the Inquiry, as well as work that has been initiated since the Inquiry and that has followed on from its recommendations.

It is not surprising that an Inquiry into an area of such importance to the economy and the people of Northern Ireland should have produced a relatively large number of recommendations. It is also not surprising the DEL has not been able to implement all the recommendations by this stage. This Report has identified the recommendations that have not yet been followed, and identified the areas where more action is needed.

In particular, the Committee would like to highlight the following:

• Essential Skills for Living Strategy (implementation).
• Foundation Degrees (evaluation).
• Support for SMEs (information on what support has been developed in the further education sector).
• Centres of Excellence (information on outcome of DEL's discussions with Invest Northern Ireland).
• Governors of FECs (that they be appropriately experienced and trained).
• Disputes in FECs (decision on Ombudsman).
• ICT module on all FE courses (implementation).
• Co-ordination of initiatives to improve access to higher and further education.
• New Deal (evaluation of New Deal 18 to 24, and evaluation of Enhanced New Deal 25+).
• Industry-standard qualifications on vocational courses (implementation).
• Careers Education and Guidance (implement Recommendation 36 as a matter of priority).
• Research and Development and Innovation Strategy (produce as soon as possible).
• Unit responsible for Research and Development (reconsider response to Recommendation 41).
• Increase funding for Research and Development (particularly in the universities).

The Committee is keen to promote policies that it considers are in the best interests of industry in Northern Ireland. To that end, it will continue to scrutinise the work of the Department in this area with great interest.

MINUTES OF PROCEEDINGS OF THE COMMITTEE RELATING TO THE REPORT

MINUTES OF PROCEEDINGS
THURSDAY, 27 JUNE 2002
ROOM 152, PARLIAMENT BUILDINGS

Present: Dr Esmond Birnie MLA (Chairman)
Mr Mervyn Carrick MLA (Deputy Chairman)
Dr Ian Adamson MLA
Mr John Dallat MLA
Mr David Hilditch MLA
Mr Roger Hutchinson MLA

In Attendance: Dr Andrew Peoples
Mr Colin Jones
Mr Paul Stitt

Apologies: Mrs Joan Carson MLA
Mr Arthur Doherty MLA
Prof Monica McWilliams MLA
Mrs Mary Nelis MLA

Members considered extracts from their draft Report on DEL's response to the forty-three recommendations in the Committee's Inquiry into 'Education and Training for Industry.' Minor amendments were agreed and it was also agreed that the complete draft Report would be considered again at the next meeting. Members agreed to delay release until September 2002 and to submit a motion to debate the Report in the Assembly.

DR ESMOND BIRNIE MLA
Chairman, Committee for Employment and Learning

Present: Dr Esmond Birnie MLA (Chairman)
Mr Mervyn Carrick MLA (Deputy Chairman)
Dr Ian Adamson MLA
Mr John Dallat MLA
Mr David Hilditch MLA
Mr Roger Hutchinson MLA
Mr Barry McElduff MLA

In Attendance: Dr Andrew Peoples
Mr Colin Jones
Mr Paul Stitt
Mr Michael Meehan
Mr David Douglas

Apologies: Mrs Joan Carson MLA
Mr Arthur Doherty MLA
Ms Michelle Gildernew MLA
Prof Monica McWilliams MLA

Members carried out the final reading of their Report on the Department for Employment and Learning's Response to the Committee's Report on the Inquiry into 'Education and Training for Industry'.

The Committee ordered the Report to be printed and laid in the Business Office.

Members agreed to embargo the Report until it was debated in the Assembly but to forward copies to the Minister once it was finalised.

Members agreed that the Report should be sent to all organisations and individuals who gave oral or written evidence to the Inquiry into Education and Training for Industry and also the Press. The Committee authorised the Clerk to make any minor amendments necessary to the agreed Report.

DR ESMOND BIRNIE MLA
Chairman, Committee for Employment and Learning

MINUTES OF EVIDENCE OF THE COMMITTEE
RELATING TO THE REPORT

Thursday 9 May 2002

Dr Birnie (Chairperson)
Mr Carrick (Deputy Chairperson)
Dr Adamson
Mr Dallat
Ms McWilliams
Mrs Nelis

Mrs C Bell ) Department for Employment
Mr M Caher ) and Learning
Dr R Davison )
Mr T Scott )

1.

The Chairperson: I welcome Mrs Catherine Bell, Mr Martin Caher, Dr Robson Davison and Mr Tom Scott from the Department for Employment and Learning (DEL) to this meeting.

2.

The Minister for Employment and Learning had hoped to be here, but the Executive is meeting and she is unable to attend. This briefing was due to take place in March 2002, but had to be postponed. The Committee was pleased with the broad terms of the response that the Minister submitted in writing, which indicated wide areas of agreement between her thinking and that of the Committee.

3.

Dr Davison: The Minister offers her apologies as she is in Derry for the Executive meeting. We have postponed once or twice previously, so I thank the Committee for the opportunity to come here today. We shall start with a short presentation.

4.

The Minister has welcomed the Committee's report, and the Department has sent a detailed and considered response to each of the report's 43 recommendations. As Mrs Bell and I indicated on our last visit to the Committee, we have already put some of the recommendations such as those on the further education strategy into effect. It is important to note that we are about to engage in a debate on the spending review. Many of the report's recommendations carry funding implications, and we have already submitted a position report to the Committee on the spending review.

5.

Several contextual matters, which will have an impact on the report include elements such as the employability task force, the consultation on the essential skills strategy, and some matters that are emerging from FE strategy work in Great Britain, which are not yet complete. Many questions come into the debate on the issues raised in the report.

6.

The Chairperson: Are you happy to answer questions?

7.

Dr Davison: Yes. Mrs Bell will cover the further education questions, Mr Scott will cover training, Mr Caher will cover New Deal, and, I will cover higher education.

8.

Mr Carrick: Recommendation 9 deals with the further education sector. We recently discussed the scope of the further education strategy. How will that strategy raise the status of technical and vocational education?

9.

Mrs Bell: The Department for Employment and Learning and the Department of Education are looking at the implications of the Burns Report as part of the reconsideration of the further education strategy. A recommendation in that review was to give parity of esteem between the academic and the vocational side. Part of the work on qualifications involves the review of curriculum 2000, which includes the academic and vocational qualifications - several things are working at the same time.

10.

Qualifications are put together in units. Straight A levels and the advanced vocational certificate in education - or vocational A levels - are all equivalent, but a review will not raise the esteem. The esteem would be raised if we could show the value of vocational education, and we are working with the Department of Education on that. The work at age 14, where young people go to college or training organisations one or two days a week and do units of vocational programmes, is helping to show that vocational education is not just for the less able. It is an alternative route to higher education and employment. We will include that as part of the review of the strategy, when we are looking at ages 16 to 19. However, other things must be done to raise the esteem.

11.

We must try to make clear to the public the difference in vocational qualifications. There is a perception that vocational education is for the less able, or is a craft where people work with their hands. We need to get the message across that vocational education - particularly vocational A levels - have the same amount of knowledge content as traditional A levels. There is vocational education, vocational skills, including crafts, and traditional qualifications.

12.

Mr Carrick: I am pleased to hear about your plans for co-ordinating those initiatives, which should have a sharper focus on the outcome of technical and vocational training. How will the strategic restructuring funding be extended, and how will that assist colleges of further education to align their provisions with the needs of the economy and local industry?

13.

Mrs Bell: We are looking at all aspects of funding as part of the review. At present we give additional funding to priority skill areas of vocational courses. We give colleges additional funding if they encourage young people to take courses in the six priority skill areas, or encourage young people to include several areas. For example, too many young people are doing business studies. If a college encourages a young person to do business studies along with information and communication technology (ICT) or engineering, we would give those colleges additional funding.

14.

At present we use the funding mechanism, but we hope that when a young person comes into a college they would be given careers and selection advice to help them choose an appropriate course. We are working with the software industry to produce material so that a young person going to college gets the opportunity to see the range of opportunities that are available in the ICT industry, and we also want them to have the opportunity to look at the different pathways and the mix and match of qualifications. We must encourage funding, and to raise the profile of vocational education we must publicise and inform young people.

15.

Dr Davison: One of the key questions at the heart of the strategy relates to funding, as well as the sector's broad remit, which you touched on. It is a question of how you bring together the Executive's strategic objectives, local economic needs, and individual student choice in a voluntary, post-compulsory education sector; this is a tough nut. When I have debated this issue with college principals, they say that they face large numbers of young people coming forward to do subject X, whereas the Government's strategic objectives promote vocational area Y. They have to persuade those young people that perhaps it is in their interests, as much as in the interests of the region as a whole, to do subject Y rather than subject X.

16.

Dr Adamson: Recommendation 3 of the Committee's Report on the Inquiry into 'Education and Training for Industry' aims to

"Develop flexible and dynamic policies to deal with retraining and reskilling in a range of situations, especially large-scale redundancies."

17.

How will the Department adjust programmes to minimise unemployment, and how will it know when, and if, that is necessary? Has a strategy been developed to address the problems of medium and large-scale redundancies in the light of recent events at Harland & Wolff and Shorts?

18.

Mr Scott: There are two types of unemployment - long-term and dynamic, and you touched on both in your question. The employability task force seeks to address some of the policy issues connected with long-term unemployment and how to deal with that unemployment structure, which is an economic and social issue for us all.

19.

However, most of your question was about short- term employment, and focused on those who have previously been employed and who come into the labour market facing change. We have learnt a lot from our studies of the redundancies at Mackies and Harland & Wolff. We tried to find out how people reacted to redundancy, and how they found alternative employment. For those facing short-term unemployment, we put in place employment service and signposting provision in the company because there was a long period of notice for those redundancies, and introduced some retraining, particularly for some semi-skilled operatives in Shorts. We trained two types of people: those whom the company might retain because the workload was switching from one area to another, and those who would be leaving the company. The training for those going to stay has been successful, and the company has retained approximately 80% of those people. We are still doing some follow-up studies to find out what happened to those who left.

20.

In looking at preventing unemployment, the skills task force has undertaken a range of research about the labour market, looking at where vacancies occur and where economic growth might take place. We are trying to match our programmes to those skill areas. For example, further education, Jobskills, and so forth, have been built to include the areas where there might be growth in the more traditional skill areas. As Mrs Bell said, we have put premium funding into where we see the growth areas, and that has been our strategic approach. We want to enhance the areas where there will be growth, and have less support for areas that will contract. That is not to say that those are less important, it is just that we know where the emphasis ought to be.

21.

Mr Dallat: I welcome everything that has been said. Great strides have been made in the past four years to address the problem of basic skills. I listened to Mrs Bell, and I have heard the same story for thirty years - the argument about vocational education being second choice to academic education, which is considered more superior. I am not sure if this problem is peculiar to Northern Ireland - it may also exist in the Republic. Germany addressed the problem three decades ago, though I am not sure how successful that was. Can the Department for Employment and Learning take any additional steps - through career guidance, television advertising, and other media - to educate young people that vocational education is equal to academic education, and get beyond the fire-fighting approach that accommodates people for a short time but does not change the overall picture?

22.

Mrs Bell: The recognition and acceptance of vocational education as an alternative means of entrance by universities and teacher training colleges has contributed towards that. However, there is still a long way to go. A large number of post-16 secondary schools have introduced vocational education, but there is a downside because they concentrate on areas such as business studies and health and social care. Nevertheless, the profile and esteem of vocational education has been raised. Part of the difficulty is changing people's perception. This is going to be a long haul, and can only happen when people who have come through the vocational education system start to put value on it. The debate on the Burns Report is also helpful. If the focus of the debate is moved from selection to the choices that young people make at age 14, and the results of what the Council for the Curriculum, Examinations and Assessment (CCEA) has recommended with emphasis on employability could be seen, it would be more beneficial. However, it will take a long time.

23.

It is frustrating when people talk about "the gold standard" A level, when the vocational A-level is just as rigorous. The emphasis is always on making vocational qualifications as good as academic qualifications, and a grammar school principal recently asked why the good aspects of vocational qualifications could not be deployed to more academic disciplines. It will take time, and it is simply a matter of sticking at it. We are looking forward to the result of the software development. The software engineering industry is working with us to examine the content of the curriculum at levels 3 and 4. They are also looking at and developing web-based materials for us, which can help any young person find their way through vocational education and the types of career opportunities that are available. Hopefully, through that, and materials that we will give to schools and people more generally, they will be able to see the value of vocational education. We must show that good jobs are out there, and that well paid careers are possible with vocational education. That will make a difference, but will take a long time.

24.

Mr Dallat: I agree totally with everything that Mrs Bell has said, and I marvel at her sincerity. However, in the delivery of those aspirations should more be done to ensure that there is no unnecessary competition between learndirect and the colleges of further education? Are the colleges of further education firing on all four cylinders? Is more streamlining needed so that the policies and strategies that you aspire to, and have progressed, are going to be delivered uniformly across Northern Ireland?

25.

Dr Davison: Broadly speaking, we need to see where the strategy takes us on the issues of size, structure, duplication, and so on. Repeating what I said earlier, there is a conundrum at the centre of the strategy around what is strategic and in the Executive's interest, what people perceive as their individual interest, and what are local interests - how do we get a balance in those three areas? When we talked earlier about the strategy, I said that you cannot sit in Adelaide Street and know what Coleraine, Portadown or anywhere else needs, and we must find a way of working through that.

26.

Mr Scott: There are three areas in which we try to help people to redirect their skills or career aspirations in adult life. Further education is one, learndirect is another, and, until recently, individual learning accounts was the third. It is important that we have a strategy that takes account of all those issues. Learndirect is very much about introducing people to learning. Much of it is short, sharp learning - bite-sized learning - to help people get back into learning mode. The natural consequence of that will be to go on to further education, and a more structured form of learning. The balance between academic and vocational in that area is clear. It is clearly vocational and less academic, with an introduction to learning.

27.

Ms McWilliams: I have some questions on further education, and the rest are on careers and 16- to 19-year-olds. We have already been looking at the review of further education, and given some of the concerns that emerged recently on the funding mechanisms, can you put it on record that this will be part of the future review?

28.

Mrs Bell: The review of funding is one of the key parts, and we have already started that process.

29.

Dr Davison: We want to start the review by looking at the sector's role and objectives. At present, we think we know the role, and we have got objectives. However, we want to establish if there is a strong consensus around these. We want to start our consideration in that area. If we can establish a strong consensus around these, perhaps the question that we must ask is: how do we develop a funding mechanism that achieves those objectives and that role much more clearly?

30.

Ms McWilliams: Part of the problem is that different people were doing different things. It was retrospective, and the legacy was there. A real concern is that we are coming at this quite late in the day, and I am concerned that a management information system was never put in place across this sector. It is going to take another year - why so long?

31.

Dr Davison: There is a management information system in place across the sector. It is called CIMFENI, which stands for computerised information management for further education in Northern Ireland, and has been in place for several years. The existing management system can no longer deal fully with the growing complexity of the provision in the further education sector, and we must re-examine that. It is not that there was no management information system in the sector.

32.

Mrs Bell: It was introduced at course level, and is predicated on information at course level. We need information at student level so that we can track students. We start piloting several of the modules of the management information system in September, so we are fairly far down the road with that system.

33.

Ms McWilliams: My concern was that there was no attempt to get information on the student base and where those students are coming from - many come from the community sector and the types are crucial.

34.

Dr Davison: We must draw the Committee's attention to the key issue at the heart of many management information concerns in higher and further education. If we were to approach this in a purely logical and rational manner, the solution would be a student identifier that would enable students to be tracked throughout their education. In fact, taking that concept to its logical conclusion, the student identifier would begin when children enter the primary school system. However, that involves data protection issues, and we must be careful to tailor a system that does not contravene data protection laws.

35.

Ms McWilliams: You conducted a review of the Department for Employment and Learning programmes for 16 to 19 year-olds, which was due to be completed a few months ago.

36.

Mrs Bell: We have completed the scoping study and collected all the statistical information. At present, we are considering the implications for DEL policies for 16 to 19 year-olds. The exercise will be completed in September, and will include recommendations for changes that must be made in mainstream further education and Jobskills. At the same time, we are working with the Department of Education to examine school provision for 16 to 19 year-olds. One of the Burns Report's helpful recommendations was that there should be joint planning, management and funding for 16- to 19-year-olds. However, we must get our own house in order. The scoping study was an illuminating exercise, which has been useful in the debate with the Department of Education. Between 52% and 53% of 16 to 19 year- olds are in further education, Jobskills or employment, which are the responsibility of our Department.

37.

Ms McWilliams: Do we have to wait until September for the final results of these programmes?

38.

Mrs Bell: There is no problem providing the Committee with the scoping paper, but we must now consider the policy implications of the programmes and decide what changes we need to make.

39.

Dr Davison: The link with the Burns Report is central, and the way in which that is taken forward is not in our hands. We wish to work closely with the Department of Education, but it has control of the timetable.

40.

Ms McWilliams: I expected the whole process to have been completed by March.

41.

Dr Davison: Even if we had completed the internal work by that time, we would still have had to work with the Burns Report. The Department of Education cannot make decisions about 16 to 19 year-olds without having an impact on the Department of Employment and Learning's provision.

42.

Ms McWilliams: I understand that, but it is difficult to know how to proceed without knowing the outcomes of the programmes with regard to scoping and policy implications. I thought that those would be ready by March.

43.

My next question is on careers. Recommendation 36 is on the Fulton Review, and this will have to be a major element if we are to include everything in the field. I am concerned that we do not have much material on the careers service and careers education, which emerged as one of the major areas of concern in our inquiry. I understand that the Fulton Report has been revised, so what is its current status?

44.

Dr Davison: The Fulton Report has been revised, and is being discussed by the Department of Employment and Learning and the Department of Education. Again, this has become caught up in the Burns Report, because one of the recommendations of that report is that post-16 careers should be passed over to the proposed new collegiates. That was not part of the thinking in the Fulton Report; therefore DEL and the Department of Education will have to consider that report together with the Burns Report otherwise there may be some contention. Again, it is an issue that has arisen because of the Burns Report.

45.

Ms McWilliams: I am beginning to think we should wait until the Department of Education makes a decision on the Burns Report. However, this is such a serious issue, and everything cannot wait on a decision being made on the Burns Report.

46.

Dr Davison: I take your point and, to a degree, we share some of your frustrations. However, Burns does not just make recommendations about the 11-plus; he makes serious recommendations about the entire structure of post-16 education, including careers education and guidance. I should not speak for the Department of Education but I suspect that initial public focus is on Burns's recommendations on the 11-plus. Essentially the debate is likely to move much more strongly towards education for the 14-plus age group, where careers guidance is such a crucial element. If we are to achieve change as a result of the reports, we must consider our course very carefully because they have not necessarily been written from the same standpoint.

47.

Mrs Nelis: Last week's presentation on widening access to higher education was very good. Damian O'Kane presented a very good model of a step-up programme that would address the decline in the numbers of students taking up science subjects. How will the Department address that decline, and could it encourage, or fund, Damian's model?

48.

Mr Davison: I have been very interested by Damian's work. I have been to the University of Ulster to see pupils from the Derry schools working there, and was very impressed. I made the point at the Committee's discussion on Access to Higher Education that we are introducing a number of policies, and we need to evaluate the work that is taking place. Damian's project, together with those at Queen's University have only been operating for two out of the three years that they are due to run. Therefore it is too early to evaluate formally the results of Damian's work. We will want to see what happens to those young people with regard to accessing university education. Damian presented some figures, but we will want to see the end results. We wish to evaluate the work that is going on at the University of Ulster and at Queen's University, both of which have been funded through DEL.

49.

We have to examine other elements also. For example, we are supporting a student mentoring project being run by the National Union of Students. Again, it is too early to decide if that is the route we should follow. They are using further and higher education students to mentor schoolchildren in local areas. This may well offer us another route, additional to that being offered through Damian's work and that of Queen's University. We are also funding premiums to universities for students who do not pay fees.

50.

There are several policy elements contributing towards greater access to higher education. In September, grants for people on low income will be reintroduced and that will add another dimension. The real question is: when do you start to get a clear picture of what elements of policy are working better than others? At present, it is too early to call, and it will probably be next year before we will be able to assess the situation. By then there will have been three years of the step-up programme; three years of the Queen's University work; one year of the new student support arrangements in higher education; three years of premiums; and two years of the work of the National Union of Students. There are several irons in the fire, and it is a matter of judging when to pull the message together. If you go in too early you are not likely to get the whole message, and that is where we are now.

51.

Mrs Nelis: Student support evaluations are due to take place in January 2008, with preliminary assessments in 2004 and 2006. What is the scope of the preliminary assessment? I am concerned that no matter how we encourage widening access, there could still be a bar to students from less well-off backgrounds being assisted financially to go on to third level education. I am not sure when the Labour Government's review on student finance will report back, but will that have any effect on the evaluation?

52.

Dr Davison: The student support evaluations in 2004 will be our first look at the impact of the whole package. We will look at it again in 2006, but the main evaluation is in 2008. These are long-term policies, and judging them too soon would not be the right way to go. We will be looking at the impact of the student support package in 2004.

53.

We will probably evaluate the access implications in 2003-04. Our business plan is set for this year, and we will work out the best way to evaluate them, and do the evaluation in 2003-04. There would be more evidence to draw from at that stage.

54.

Finally, you mentioned the review by the Department for Education and Skills (DfES). Like everybody else, we will have to wait and see what emerges. At the moment there are no indications of what is likely to emerge. There might be implications for us but it is too early to call.

55.

Mr Dallat: I want to go back to something that Mrs Nelis said. I was at the University of Ulster yesterday, where the step-up programme was endorsed by the vice chancellor and the provost as one of the vehicles that helped to deliver the vastly improved percentages of people from less well-off backgrounds going to university. That percentage now stands at 38%, which is not bad, considering that only 1% from the Shankill or east Belfast go to university. During the past 30 years we could do very little. Is it always necessary to have such long timescales for recognising something that is endorsed by a university, and is deemed to be a route that you could go down safely? I am only talking about that one in particular.

56.

Many people turned up in the Long Gallery last week, and teachers from secondary schools said to go for it. The step-up programme is not the only way, and perhaps it would not work as well in other areas, but it does not have to stand still until a certain time has lapsed. Good improvements have been made, and although they are not yet at the level where we would want them, they are much better than they were.

57.

Dr Davison: There are several policies involved in widening access, and significant sums of public money. Therefore, it is extremely important to get a clear picture of what works and what does not work when it comes to allocating money.

58.

I have seen the work of that project. The officer who runs it, Damian O'Kane, is energetic and he has progressed it in an extremely impressive way. However, if you roll this beyond a project, you cannot be sure of having 100 Damians. He works with a small group of academics but, with due respect to Dr Birnie and Prof McWilliams, not all academics may want to engage as actively as those who have engaged with Damian. There may be specific factors at work here, and we need to ensure that we separate out what can be done universally from what works as a project.

59.

You said that it is a long timescale, but we need to see three years of the step-up and three years of the work that Queen's University is conducting. It is not as if we want to examine it at some time in the distant future. We need to see what can be done, and what we can separate out as being applicable on a much wider scale. That is our argument. However, there is no doubt that step-up is extremely impressive.

60.

Mr Carrick: I would like to take you back to careers education and guidance and recommendations 37 and 38 in respect of the Northern Ireland Business Education Partnership (NIBEP). I have noted the Department's response with regard to the current constraints in the public sector, and I can understand that. However, unless advisers and lecturers are at the coalface of industry to experience, at first hand, the challenges that the environment is throwing up and the skills that it is demanding, they will fall short. What are the major changes in NIBEP's revised strategic plan? Will it address the fact that more funding is being allocated in other parts of the UK? Will Northern Ireland lag behind?

61.

Dr Davison: We have tried to find some additional money to help NIBEP to extend its range of activities across schools and, more specifically, from the Department's perspective, across the further education sector. I cannot give you the specific changes in their strategic plan.

62.

Mrs Bell: I am delighted that NIBEP's remit now covers further education because of the 16 to 19 year-olds. Some of its suggestions for pilot work in FE were very imaginative. If it turns out to be as good as we hope, we will want to see it rolled out across further education colleges. We have also invested heavily in the skill areas where lecturers go out into industry for up to 12 weeks. When they are there, they carry out a major piece of work for the company. We have shown that that work is sustained. Therefore, when the lecturer returns, the contact with the company is retained. Students benefit because the lecturer will translate what he or she has learned back into the classroom. We have extended that year on year, and now up to 40 lecturers every year go out into industry for up to 12 weeks. That is additional to colleges' investment for lecturers going out. We have also extended the scheme to allow technicians to return to industry because technical staff support the lecturers.

63.

I am delighted that NIBEP has extended into further education, and we look forward to the results of the pilot work.

64.

Dr Davison: In response to the recommendation, we have increased its funding for 2002-03 by around £350,000. I do not have the figures to hand, but I believe that we have also bid for additional resources in the spending review. We recognise its central importance in the system.

65.

Mr Carrick: Perhaps I might return to Mrs Bell. Will the development become an integral part of the ethos of further education?

66.

Mrs Bell: Absolutely. For a long time further education was disadvantaged by its not being part of NIBEP, since the latter had built up such strong relationships with local employers. Colleges were not part of that, and it is important that they take part. We are keen to see entrepreneurship become an integral part of a young person's curriculum. They can learn about aspects of it through activities provided for them by NIBEP.

67.

Dr Adamson: Perhaps I might direct you to recommendation 28, which deals with the continuous monitoring and evaluation of New Deal. It mentions employment outcomes and cost-effective planning. As a former chairman of an ACE provider programme, I was disappointed by New Deal from its inception. I gave it a chance, but I still feel it is failing the long-term unemployed, especially those with multiple barriers to employment. How does the Department propose to address the problem?

68.

Mr Caher: New Deal is still a relatively new programme. The programme for people who are over 25 years of age, which caters for the long-term unemployed, has only been in place since November 1998. It is fairly young, and we are changing it as much as possible. It has had an effect on the long-term unemployed, and the latest statistics show a 73% decrease in the claimant count for that group since the introduction of the programme for 25 to 49 year-olds. Everyone on New Deal 25+ is long-term unemployed. They have all been unemployed for at least 18 months, and in many cases for far longer. The average person on New Deal 25+ has been unemployed for eight years. If they find employment, that is a great success.

69.

However, we continue to try to improve the programme. We carried out large-scale consultation in 2000-01 and introduced an enhanced New Deal 25+ in April 2001. It is still bedding in, since our providers, personal advisers and even the participants must come to terms with the new rules and regulations. Although it has not been evaluated formally, anecdotal evidence shows that improvements have been made and that participants are happier with the new arrangements.

70.

Everyone agreed that the intensive activity period of 13 weeks was simply not long enough, so that has been doubled and short, accredited courses have been introduced from which people can gain qualifications. Improvements have been introduced whereby they can move onto the employer subsidy alternative after one of the other options. An employment history and experience allow them to take advantage of the employer subsidy, and we have found that very effective. We continue to make improvements and to keep tabs on various pilots run in Great Britain. The New Deal has had an effect, and we are continuing to make changes to make it even more effective.

71.

Dr Adamson: I know that the old ACE programme has provided us with at least five Assembly Members. Perhaps New Deal will provide us with more. When will the employability task force's action plan be ready? How will the work be addressed?

72.

Mr Caher: It is being drafted as we speak, but the Minister is keen to get it right rather than meet a deadline, although I know she has her deadlines in mind. It is being drafted and redrafted continuously.

73.

Ms McWilliams: A major part of our inquiry was the operation of New Deal and any proposals for change. We took evidence from one man who had been through New Deal and who had many concerns about it. I have since met him in my constituency office. He is working his way around the system trying to find a course on plumbing. He cannot find such a course. That is an issue that should be examined, because it speaks volumes about the inquiry into skills. This man is ready and desperate to find employment, but he keeps coming up against barriers. He has been through New Deal and decided to retrain, yet he cannot find anything in the college in this skill area.

74.

I am not sure what the timeline is on the proposals for 18 to 24 year-olds. However, you have had several evaluations and there are proposals for October, when you hope to address this concern. Do you have any idea what the proposals will be?

75.

Mr Caher: They are currently with the Minister for implementation later this year. I cannot go into the details. However, the proposals result from evaluations and consultation with employers, participants on New Deal and our personal advisers.

76.

Ms McWilliams: If you cannot give us the solutions, will you tell us about the problems?

77.

Mr Caher: Evaluations have shown that the employer's subsidy is the most successful part of New Deal. We should try to get more people involved with that, and to this end we are trying to make it more flexible. However, not everyone is work ready and it would be counterproductive for us to send people to employers without training and work experience. We are trying to get work experience and qualifications for people first, and then add on the employer's subsidy. We are trying to get employers more involved. We are taking the lessons from the evaluation and trying to build it into the policy.

78.

Dr Davison: I am stunned that someone cannot find a plumbing course, since construction is one of the key skill areas identified to draw down more funding. Perhaps, Ms McWilliams, you and Mrs Bell could discuss how to chase that up.

79.

Ms McWilliams: It is helpful that the same man gave evidence to the Committee. It may be useful for us to talk about what happens after people have completed New Deal and are on their own again, as he is. Can you tell us something about the personal assistance?

80.

Mr Caher: We recognised that the personal advisers required more training because New Deal is complicated. There are seven different New Deals, each with its own eligibility rules, and it is difficult for the advisers to keep up. Therefore we have four dedicated trainers who go all over Northern Ireland training the personal advisers. That has been very helpful and it will continue. We have also contacted all the statutory and non-statutory agencies that deal with people with multiple barriers, such as the Northern Ireland Association for the Care and Resettlement of Offenders (NIACRO) and the Simon Community. We are trying to form greater liaisons with the agencies, so that our advisers have an expert to go to for advice if they have a problem. We do not expect them to be social workers - that would be unfair. However, they must be guided when advising people. That has happened and will be increased.

81.

Ms McWilliams: Does anyone keep a watching brief on the vacancies in job markets? The man who gave evidence makes many phone calls about vacancies, and is often told that the job should not be in the job market any more as it is already filled.

82.

Mr Caher: It is up to the manager of the job centre and the staff to ensure that that does not happen.

83.

Ms McWilliams: It has happened to more than one person, and it is causing dissatisfaction.

84.

Mr Caher: I understand that, and it should not happen.

85.

Ms Mc Williams: It happens quite frequently that the vacancies in the job market are outdated.

86.

Dr Davison: If you identify the job centres where this happens, we will pursue it.

87.

Mrs Nelis: Further to points raised by Monica McWilliams, the Committee's recommendation 28 is that the Department consider other training schemes that would better address the issue of equal opportunities. That could relate to a place such as Derry - and thank you for sending the statistics. Unemployment is at 13%, so there are very few jobs to go round. New Deal places people with employers. Have any other training schemes been considered?

88.

Mr Caher: Focus for Work was introduced last year, and although these things take time, it is gaining ground. It is open to people who are in receipt of benefit and also to those who are not; it is voluntary and there is no compulsion. It can help people with further training and introduce them to the job club network, which has been extended. It is a preventive measure to help people before they drift into long-term unemployment. We hope that it will be effective, but it is early days for the programme.

89.

Mrs Nelis: Returning to recommendation 27 on modern apprenticeships, the Committee passed on to the Department concerns raised by the principal of the North West Institute of Higher and Further Education, who is unhappy about the modern apprenticeship scheme. There was a review, but I do not know how that has affected the Department's policy for the evaluation of modern apprenticeships. Has the Department any plans to carry out its own evaluation with remedial action?

90.

Mr Scott: On foot of a major review of modern apprenticeships throughout Great Britain, an evaluation of the programme as it operates in Northern Ireland has just been commissioned. Northern Ireland did not follow Great Britain slavishly; we have had our own system of modern apprenticeships. I have twice met college principals to discuss our approach and have taken their concerns on board. The review is under way but is not yet complete. We will do something in advance of the evaluation because, as was said earlier, we cannot always wait for a full evaluation.

91.

We do not always agree with the concerns of further education but we recognise them. They centre on the fact that modern apprenticeships require an employer. That reflects Monica McWilliams's point about the plumber. Quite often some of the learning and skills teaching required can be obtained, but it is not possible to break into the job because of the way in which apprenticeships are set up. However, we are examining that.

92.

At present the upper age limit for apprenticeships is 25, and we provide funding until that age. That too is being examined, because certain sectors of industry might be willing to train older people in particular skills. There is a wide range of issues to address in apprenticeships. Furthermore, the possibility that the apprenticeship approach might apply to lower skill levels - NVQ level 2, rather than level 3 - is under investigation.

93.

Employer-led apprenticeships are the main concern of colleges. Those have provided successful results. The ongoing argument, however, is that not everyone can be accepted for them. The colleges feel that those programmes provide insufficient funding. We have taken that on board, are examining the funding mechanisms, and are discussing the wider issue of 16 to 19 year olds with Catherine Bell. In the autumn we hope to produce an approach to modern apprenticeships which will complement our future approach to Jobskills. It is to be hoped that in working with colleges, we will get it right.

94.

Mrs Nelis: How are employers monitored?

95.

Mr Scott: There are three ways of doing that. Employers are required to carry out and record an internal assessment of those on modern apprenticeships, and the NVQ-awarding bodies carry out external assessment. The Education and Training Inspectorate and others help us to determine the quality of input to the apprenticeship programme.

96.

To date we have had no real problems with the quality of input and output to and from modern apprenticeships. They have grown quickly of late. There are now over 5,000 young people in employment on modern apprenticeship programmes, which is a huge advance. We must ensure that the quality of that growth is sustained.

97.

The Chairperson: I have several questions about recommendations 1 and 2, which relate to essential skills. As well as the report, your consultation document places great emphasis on qualifications in foundation key skills at entry level. Can you go into more detail about the characteristics of those qualifications? In recommendation 2, you identify the workplace as a crucial area for delivering essential skills. How will that be achieved?

98.

Mrs Bell: The old basic skills qualifications were fragmented and had no real perceived value. We are trying to develop a strategy in which essential skills qualifications can be accessed at entry level and will have value. There will be a seamless progression from entry level to key skills at level 1, because key skills at levels 2 and 3 are valued. A-level students take key skills at level 3. If the essential skills qualifications can feed into key skills, the stigma will be removed and a ladder of progression is provided.

99.

We know that we must get employers on board. We have funded at least eight projects with employers, some of which involve employers working together in consortiums with councils or colleges. The purpose of the funding is to look for innovative ways of developing essential skills in the workplace. The pilot phase runs until the end of August 2002, when it will be evaluated with a view to inclusion in the action plan in September. However, we realise that employers are crucial. It is to be hoped that they will champion the initiative and lead the way. We have spoken to the Confederation of British Industry (CBI) and the Institute of Directors (IOD), and Mr Scott has spoken to chambers of commerce about the importance of their involvement. A promotional campaign will also be targeted at employers.

100.

Mr Scott: I have been following workforce development initiatives in the UK. In his pre-Budget statement last autumn, the Chancellor of the Exchequer talked about workforce development, after which the Cabinet Office published a comprehensive paper on the subject. In his most recent Budget statement, the Chancellor announced pilot schemes for basic skills learning in the workplace up to NVQ level 2 or equivalent. Approximately £30 million was invested in those pilot schemes.

101.

Alongside that announcement, the Treasury published a paper on workplace learning at the lower level. The pilot schemes will test the idea of people being given time off to learn basic skills up to NVQ level 2. Employers will be compensated at a particular rate for that time off. From reading the papers, it would seem that that is being tested to see whether a tax credit system to compensate employers would work. If that happens, it becomes a UK issue. If it takes the form of a grant, then the matter is devolved. We will watch that carefully to see what transpires. We will learn much from the English experience.

102.

The Chairperson: We sincerely hope that it is a tax credit because then it does not have additional costs. However, if it is a grant we have the option of taking it up, but we have to pay for it.

103.

Mr Scott: It depends on whether you see yourself as a centralist or a devolutionist.

104.

The Chairperson: That is a good point, but the bottom line is that it is out of our hands. I would like to ask you about recommendations 10 and 14, which are related to further education. Recommendation 10 is about centres of excellence at further education colleges. Invest Northern Ireland is targeting about 20 centres of excellence for inward investment and economic activities. How will that be married with your development in further education? There should be some harmony between the two.

105.

Dr Davison: It is not just on the further education side, it is also on the higher education side. Under the funding from the Industrial Research and Technology Unit (IRTU), several centres of excellence have also been developed at universities. We want to get into discussion with Invest Northern Ireland about those matters. We have awaited its gestation with interest, but it has only been up and running since 1 April. We will discuss those issues and a raft of others soon.

106.

Mrs Bell: The inspectorate examined the centres of excellence that were established after the last round. It produced an incredibly positive report, and the spin-off for attracting employers to work with colleges has been phenomenal. That is why we are going out with a second bid, but this time it is targeted specifically at construction and the built environment, where we do not have any centres of excellence, and software engineering. We have done much work on software engineering with the colleges.

107.

The Chairperson: We will move on to recommendation 14, which concerns the extension of the Assembly Ombudsman's remit to include further education colleges.

108.

Dr Davison: We accept the basis of that recommendation, which is that in cases of real difficulty involving governing bodies we need some form of recourse to a third party. We are bringing together the unions, governors and managers to see what would be the most appropriate arrangements to deal with those issues. When the discussion takes place we will see whether the Ombudsman or something else is recommended.

109.

Mrs Bell: I spoke to the union this morning in order to start the process, and letters have been sent out to the colleges.

110.

Ms McWilliams: Another concern was equal opportunity issues that were raised by New Deal compared to ACE. However, Focus for Work is in there. Does that address some of those issues?

111.

Mr Caher: Anyone can apply for Focus for Work, and you do not have to be on any benefit. However, if women returners want to join New Deal they can do so, and they simply have to register for jobseeker's allowance. They do not even have to meet the eligibility criteria. We have tried to tackle it in two ways. We have tried to make New Deal more accessible, and we also have the new programme for people such as women returners.

112.

Ms McWilliams: Is that working?

113.

Mr Caher: It is early days, but it appears to be working.

114.

Ms McWilliams: We have a figure of 2,000 applicants.

115.

Mr Caher: It is very early days, and it is voluntary.

116.

Mrs Nelis: I was disappointed that no one from the community and voluntary sector was included in the Minister's press announcement when she was requisitioning appointments for the governing bodies. I wrote to her about that.

117.

Mrs Bell: The constitution of the governing bodies is based on the Further Education (Northern Ireland) Order 1997. When the legislation was made, it was felt that the education and library boards would represent the community and voluntary sectors. We have received several representations about governing bodies, which is why we gave an undertaking to review governance arrangements. This matter will be included in the review.

118.

Mr Dallat: When will the individual learning accounts (ILAs) that were suspended be replaced? Will that be done in a way that will target the people who will benefit most?

119.

Mr Scott: As you know from recent statements and answers from the Minister in the Assembly, the Programme for Government sets out a target of replacing the ILAs by September, and we are keen to meet that target. The Minister is also keen to ensure that whatever we introduce to replace the ILAs will target those with learning disadvantages or social disadvantages that are linked to learning problems.

120.

The Chairperson: Thank you. The discussion has been helpful. We may require written clarification of a few points, but you have covered many of our questions.

Dr Esmond Birnie MLA
Chairman
Committee for Employment and Learning
Northern Ireland Assembly
Room 283
Parliament Buildings
Stormont
BELFAST
BT4 3XX

23 January 2002

Dear Esmond

Thank you for your letter of 10 October and the enclosed Report of your Committee on its Inquiry into "Education and Training for Industry". I regard it as a most helpful and considered contribution to this important debate about the future.

I am very grateful to the Committee for a number of reasons. First of all, the recommendations are broadly in line with the Department's overall aim and its contribution to the Programme for Government. Secondly, the recommendations are extremely wide-ranging and will provide a sound basis for a continuing dialogue. Thirdly, the Committee recognises the current constraints in public sector finances. The Committee will understand, therefore, that where the recommendations require or call for additional spending I can only respond by pointing out that my Department has to compete for resources against a raft of other spending priorities. I have my doubts that improving management practices or introducing more innovative financial solutions will produce the amount of funding required. However I will certainly be looking for savings wherever possible.

I have attempted, in the attached response, both to group the recommendations and to reply to each of the Report's individual recommendations by illustrating existing actions and my Department's intended response. I will be delighted to meet with the Committee to discuss the recommendations and my response to them and to develop an appropriate dialogue when you have had the opportunity to consider.

Thank you again for your Report. I look forward to working with you in the best interests of education, training and the wider community.

Yours sincerely

MRS CARMEL HANNA MLA
Minister for Employment and Learning

The Committee for Employment and Learning has made a series of recommendations to the Minister and to the Assembly, following completion of their Inquiry into this issue.

The Department has considered carefully the overall Report and each individual recommendation in the light of the Department's contribution to the Programme for Government, its aims and objectives, its Corporate and Business Plans and its existing policies.

The Department is broadly in accord with the directions set out in the Committee's report though clearly many of the recommendations have resource implications which are a matter for the wider consideration of the Executive and the Assembly in the drawing up of Departmental budgets and others are dependent on the support or agreement of other Departments which can only be the subject of further discussion.

The Department has set out its positive response to the recommendations in the papers below.

The recommendations in the report can be classified into a number of groups:

(i) Those requiring, explicitly, additional resources - since the Budget for 2002-03 is agreed, further discussion of these areas must, in the main, await Spending Review 2002. These include recommendations 1, 2, 6, 15, 18, 20, 22, 33, 35, 36, 37, 40.

(ii) Those requiring policy or structural developments or changes which are either underway or will be considered. These include recommendations 3, 7, 11, 13, 14, 17, 23, 25, 26, 28, 29, 34, 38,42.

(iii) Those requiring discussion or actions which involve other Departments and which will, therefore, require an inter-Departmental response. These include 4, 21, 31, 39, 41, 43.

(iv) Those requiring changes in curricular or other provision which are either being considered with the relevant bodies or which will be considered. These include 5, 8, 19, 27, 30, 32.

(v) Those requiring the publication of FE strategy and actions flowing from it. This work is underway. These include 9, 10, 16.

(vi) Those requiring work on a statistical response, where action is underway. These include 12, 24.

Further additional funding and resources should be made immediately available to support literacy and numeracy development schemes to correct the poor levels of adult basic skills in Northern Ireland. These schemes should include provision for both personal development and social skills training.

Initiate and fund research into developing effective models of workplace basic skills development and the effective sharing of best practice.

Improving adult literacy and numeracy skills is one of the Department's key goals - it impacts directly on both economic development and social inclusion. Additional funding is a matter for consideration within the Spending Review.

The Department has already embarked on a number of key policy actions in this field:

• the creation of a Basic Skills Unit (BSU) to provide advice to the Department and to act as an advocacy body and to promote adult literacy and numeracy initiatives;
• support for a significant number of adult literacy and numeracy students across DEL programmes;
• enhanced FE funding for Adult Basic Education students and the creation, within the BSU, of innovation funds to support community and workplace initiatives;
• preparation of a comprehensive Adult Literacy Strategy for publication and consultation; and
• securing of additional funding under EPF and EU funding for the next 2 and 3 years respectively.

Basic skills has a high priority within the Department. The Draft Strategy currently being prepared will set out the Department's proposals for adult literacy and identify how it intends to support and develop new provision. It will include recommendations in relation to standards, curriculum, assessment and the dissemination of best practice across all programmes, including in the workplace. Additional resources can only be discussed within the context of the Spending Review.

Develop flexible and dynamic policies to deal with retraining and reskilling in a range of situations, especially large-scale redundancies. These should include fast-track training programmes to address particular sectoral, or geographical areas, of skill shortages.

The NI Skills Task Force has published a report with wide ranging recommendations. Identified skills shortages are being researched and responses addressed. Where current provision is inadequate to deal with redundancies (eg early entry to New Deal) the Department will seek to respond positively.

The Department is continually reviewing initiatives to ensure the needs of employees are met. Recent redundancies, especially following September 11, are being addressed with the companies most affected and, if necessary, the Department will adjust programmes to seek to minimise unemployment.

Serious consideration must be given in the current review of 16-19 curriculum, as to how the relative and/or absolute decline in students studying quantitative and scientific subjects can be reversed, in order to ensure that more people, at secondary and tertiary level study mathematics and sciences.

The Department is currently undertaking a review of 16-19 provision within DEL supported programmes. DEL would wish to see increased levels of provision in science and maths subjects, as these facilitate progression to the vocational areas such as engineering where the NI Skills Taskforce has identified a skills need. This year, DEL is supporting an innovative pilot in the North West Institute aimed at providing young people who have not followed a maths or science route, at level 3, with a fast-track programme to develop those competencies. This will facilitate progression into higher level vocational courses where maths and science is an entry requirement and a key component of the programme.

The 16-19 curriculum spans the responsibilities of DEL and the Department of Education (DE). DEL will engage actively with DE on this area, particularly, as DE begins to explore the recommendations of the Burns' Review of Post Primary Education.

The Department acknowledges that the education and training provision for 16-19 year olds is an issue which should receive consideration. The specific recommendation made by the Committee is, however, an area that rests mainly with the Department of Education since decisions on curriculum choices are often made at an earlier age. The Department will raise the issue with DE within the context of the Key Stage 3 and 4 curriculum review and of the post- primary review.

Develop appropriate conversion courses in mathematics, the sciences and Information and Communication Technology (ICT) that reflect the needs of industry.

The Department is supporting the development by the North-West Institute of Further and Higher Education of a pilot programme for students over age 18 who lack competences in maths and science with a fast-track programme in these competences. In addition to this, FE colleges are key players in the delivery of Foundation Degrees, introduced on a pilot basis in this current academic year. Foundation degrees have been developed, conjointly, with higher education institutions and employers. They are intended to provide an appropriate route for learners to develop the skills and experience demanded by employers. The focus of the first pilots is ICT and ICT-related areas.

The Department agrees that courses in maths and science and ICT need to reflect the needs of industry. The Department will evaluate the pilot in the North-West Institute and will consider the appropriateness of the conversion course offered in maths and science. The Department will continue to offer and develop appropriate provision in ICT.

Greater government support for workplace development, community education and outreach programmes aiming to improve ICT skills, to enable everyone to operate within the ICT driven economy.

ICT is a priority at all levels. Mainstream programmes all address the issue. Extra places have been agreed at HE, FE and vocational training levels. Computing, electronics and software engineering are three key areas of skills need and provision within the FE sector which attract additional financial weighting and incentives. The work of the FE sector is complemented by learndirect provision. The Department recently issued circular FE 19/01 Training for Employers/Work-based learning. This sets out how the Department intends to fund such training through the further education funding formula. All eligible training must support the economy; be above legal requirements; be additional; and, where possible, provide a recognised transferable qualification.

Increasingly the focus of college activities, in outreach, is on ICT based learning with mobile ICT units taking this expertise further into the community. The colleges have received a £10m investment, over the last three years, in their ICT infrastructure and in ICT staff development.

The Department will continue to focus and provide additional funding to ICT to widen access and to support economic development. ICT and ICT related areas will remain a priority skill area for the Department.

Rationalise and develop existing initiatives such as the Skills Task Force, Executive Recruitment Watch and the Priority Skills Unit.

The NI Skills Task Force oversees the research programme of the Priority Skills Unit in NIERC, and Skills Unit in DEL. The Recruitment Watch Survey is part-funded by the Skills Unit.

Agreed. The NI Skills Task Force sets the research agenda for the Priority Skills Unit within NIERC and agrees the funding available for surveys supplied by DEL such as Executive Recruitment Watch.

Develop appropriate mechanisms to support the training requirements of Small and Medium-sized Enterprises.

SMEs are one of the priorities for workforce development policies in the Department.

Agreed. Work is underway to better target SMEs, especially in FE and through learndirect.

The overall further education strategy should include a 3-5 year strategic plan, be urgently completed and implemented for the further education sector. The Strategy should address the key issues of the optimum number of further education colleges in Northern Ireland, and their individual remits, and how to deliver on the objective of acquiring parity of esteem between vocational and academic qualifications (see Recommendation 31).

Colleges were incorporated in April 1998. At that time, management and responsibility for staff, premises and meeting local further education needs passed from the Education and Library boards to the 17 colleges.

The initial strategy for the Further Education sector was set out in the document, "Lifelong Learning: A New Learning Culture for All", published in 1999. It set the direction for the Further Education sector to:

• meet the skills needs of the NI economy;
• widen access and increase participation in education and training;
• develop flexible education and training provision, and provide opportunities for student progression; and,
• improve quality and raise standards.

The Department will set out, in detail, the strategy for the future development of the sector.

Decisions regarding the development of centres of excellence at individual colleges should stem from the overall strategy for the sector. This should be underpinned by a commitment to innovative schemes, which increase access and support a geographical spread of provision across Northern Ireland.

The centres of excellence initiative is one of a range of initiatives whose purpose is to advance the Department's key strategic objective of supporting the NI economy. It was one part of the Strategic Investment Initiative, which included the promotion of greater collaboration between colleges and the better matching of college staffing to areas of highest skills need.

The assessment criteria to establish centres of excellence in the key priority skill areas required colleges to demonstrate for the vocational area in question, a high quality of teaching and learning through inspection reports, good public examinations results, significant investment by the college itself, a spread of course provision, and close working relationships with local businesses. The initiative aimed to recognise high achievement levels and relevance to business and industry.

The development of centres of excellence remains a key element in promoting the sector's support for the regional economy. This will be reflected in the published FE strategy.

Where appropriate, support services should be co-ordinated and harmonised to produce cost savings and standardisation of procedures.

The Department has set in place a range of reviews and initiatives to support co-ordination and harmonisation. DEL is working with the colleges, for example, to take forward the development of a common Management Information System and has supported a common Internet solution for all colleges, via SuperJanet;

On the academic and curriculum side DEL has undertaken a review of the support structure for curriculum and staff development across the sector. Consultation on proposals will be undertaken in the near future.

The Department will continue to work with the sector to develop, where appropriate, common solutions and support services to provide best value for money and to avoid duplication of effort.

Urgent need for the provision of a vastly improved common statistical database on students and staff, to reflect trends in personnel issues and record the outcomes for students attending FE course. The information produced must be consistent across all colleges.

There are existing systems to collect the most important data. The information needs of colleges are significant, however, and will continue to grow. The colleges have developed an Outline Business Case for a new management information system and a Project Board has been established to take this work forward. There are, however, considerable financial, technical and administrative difficulties in these areas. The tracking of students and staffing in the FE sector must take account of the very flexible nature of the provision. The Department, in conjunction with the sector and the Education and Training Inspectorate is identifying the performance indicators and the management information requirements.

The Department is actively pursuing the development of an improved management information system in colleges.

Members of Boards of Governors must receive effective training on their roles and responsibilities. The composition of Governing Bodies should reflect the communities which the colleges serve.

The term of the present Governing Bodies expires on 31 March 2001 and the re-constitution process has commenced to allow the new Governing Bodies to be appointed on 1 April 2002. The composition of the Governing Bodies is set out in the Further Education (NI) Order 1997; any change to the specified composition would require an amendment to the Order. The Department has consulted colleges on the arrangements and advertisements have been placed in the Press inviting applications for the 'business, industry and professions' category of membership. The other members e.g. staff and student representative(s) and Education and Library Board nominees, will be taken forward in time for appointment on 1 April 2002.

When the members have been identified, training will be arranged as soon as possible thereafter. This will include training on the roles and responsibilities of the Governing Body and its relationship with the staff of the college. Governors will also receive a range of information including copies of the Guide for Governors and their Institute's Articles and Instruments of Government.

The Department agrees on the need for effective training on the roles and responsibilities of Governors. Significant focus will be given to training Governors, especially in relation to accountability, as soon as the new Governors are appointed.

Further Education Colleges should come under the remit of the Assembly Ombudsman.

All colleges are required to have in place a procedure for handling complaints; the final responsibility for the complaints is the Board of Governors of the College.

The Department will consider the need for changes to the existing complaints procedure.

Increase the overall student per capita funding to the further education sector, bearing in mind equality considerations between the different educational sectors. We welcome the recent financial support improvements for FE students. The current funding mechanism needs to be changed if it is to achieve its objective of delivering high-class vocational training, that is regarded as on a par with academic qualifications.

The Department has and will continue to bid for an increase in the overall level of funding for the further education sector.

The Department will consider a review of the funding mechanism to ensure that it supports the Department's objective of delivering high-class vocational education to support economic development. Any increase in funding for FE can only be discussed within the context of the Spending Review.

The allocation of funding should be guided by an overall strategic plan for the sector. This will address the issue of funding for centres of excellence, the support of Research and Development, (more likely to be product and process development) and the funding of part-time courses.

The Department allocates funding to the FE sector on the basis of supporting its strategic objectives of:

• supporting the economy;
• widening access and increasing participation; and
• improving quality and raising standards.

In the last two years funding has supported centres of excellence and a pilot project to test out technological and other support for SMEs.

The current funding arrangement provides enhanced funding to colleges for the delivery of part-time provision.

The allocation of funding is guided by the overall strategic objectives for the sector. Any review of the funding mechanism will be closely related to the strategy for the sector.

Closer links with local industry, industrial development organisations, including increased staff participation in the Lecturers into Industry initiative (see Recommendation 37).

• The Lecturers into Industry initiative covers four key areas in the current academic year (engineering, hospitality and catering, software engineering and construction), with 40 lecturers taking up placements in local business/industry.
• A pilot initiative aimed at increasing links between the FE and SME sectors will be introduced in 2001/02 with funding for three pilots over a twelve month period.
• The Partnership Fund for the FE sector continues to support activities aimed at establishing/strengthening links with local key players, including business and industry, in order to drive up the demand for learning and to put in place the necessary infrastructure to address increased demand.
• The reconstitution of FE college Governing Bodies scheduled for 2002 will again adhere to the 50% representation of Governors from business/industry.

The Department supports closer links between FE and Industry. It is examining, currently, how the Lecturers into Industry can be extended to other vocational areas and also include employers working in colleges.

Increase the availability of places on Higher National Diploma/Higher National Certificate and other courses which lead to professional qualifications in Information and Communication Technology (ICT).

ICT and ICT-related areas are given priority. The 600 additional, full-time places provided through funds to support Lifelong Learning were targeted in six priority skill areas. An additional 100 places were allocated to software engineering. The new Foundation Degree courses are all in ICT and ICT-related areas. There is no restriction on part-time HE provision (indeed part-time provision is more appropriate to those already in employment). FE colleges are ideally placed to meet the identified training needs of company employees where an increase in ICT-related skills are required.

The Department has given priority and incentive funds to providing courses leading to qualifications in ICT.

Include an ICT Module on all further education courses. All full-time students should ideally have achieved the ICT competence of the ECDL by the time they complete their course.

While there is no statutory curriculum in the FE sector and course choice is selective rather than compulsory, the Department agrees that FE students, whether full-time or part-time should develop ICT skills. For this reason the Department has invested heavily in ICT equipment to ensure that all colleges have a minimum student PC ratio of 5:1. In terms of the curriculum the Department supported fully the introduction of Curriculum 2000 for all full-time FE students aged 16-19, a key element of which is the key skill of ICT. In addition, the Department is also supporting a cross college curriculum development project this year to determine the content of a common curriculum for all full-time FE students, including developing ICT Skills.

The Department will consider the place of ICT within the curriculum for full-time students.

Increase funding to the university sector to ensure that high quality staff are attracted and retained, and to develop the research base of the universities. This should include increasing and developing matched private sector funding initiatives such as the Support Programme for University Research (SPUR).

In 2001-02, £1.8m additional funding has been provided to NI universities and university colleges aimed at addressing staff recruitment and retention in higher education institutions. Further funding will be included to sustain the initiative into 2002/03. This additional funding will underpin strategies developed by the institutions to recruit and retain staff. The £40m SPUR initiative, for the period 2001-05, was announced in June 2000 and will aim to develop the universities' research strategies and capacities and their contribution to local economic development. Successful projects were announced in December 2000 following evaluation by an international panel.

This recommendation requires additional resources which can only be sought in the Spending Review.

Further develop links between higher education and business. This includes developing initiatives such as the Teaching Company Scheme; industry and charity sponsored professional chairs; technology incubation units; science parks; spin-off companies; encouraging entrepreneurship through innovative approaches to programme design and specialist postgraduate programmes.

The universities draw on a wide range of public funds for the initiatives covered by the recommendation, including UK funding through DTI and the Research Councils, and through DETI and IRTU. In January 2000, the Department introduced the Higher Reach Out to Business and the Community Fund to encourage the universities to be more responsive to the needs of business and industry. It complements the existing grant for teaching and research, to help recognise the importance of working with business and develop the capability in universities to respond to business needs. Originally, funding of £2.2m was made available to the universities for the academic years 1999/2000 -2002/03. This has been supplemented this year by an additional £200k to develop activities already initiated. Both universities are undertaking a range of initiatives under the programme. However, of central importance has been the establishment of an office within each institution which acts as a focus for all collaborative work with industry and the community. As part of its activity, the University of Ulster, during 2000/01, introduced a module in entrepreneurship which was piloted in 3 of its six faculties. It is the University's stated ambition to embed relevant aspects of entrepreneurship in all courses by 2005, and to achieve this, a set of generic learning outcomes, which can be tailored by subject specialists within the respective disciplines, has been identified.

The introduction of Foundation Degrees which are a new, vocationally oriented higher education qualification, is another way in which degree programmes are being integrated with the world of work.

Finally, following the publication last year of a Northern Ireland Economic Council report which was critical of the present system and level of funding, an Interdepartmental Working Group was established to develop a co-ordinated approach to Government's support of research to ensure that the capacity of our universities to contribute to economic development through improved R&D and knowledge transfer is maximised.

It is intended that this strategy will lead to an increase in number of the type of activities listed.

The Department will continue to promote links between HE and industry. This work will also fall to DETI and to DTI, in Whitehall.

A continued increase in the number of university places especially in areas of skill shortages, in line with the Committee's recommendation in its Report on Student Finance, 12 October 2000.

The period 1999 to 2005 will see a marked expansion in HE provision. Some 5,500 additional places (FTE's) will be created through a number of measures. The priorities for the allocation of these places are to increase participation and to meet the skills needs of Northern Ireland.

Included in the 5,500 places are an additional 1,000 higher education places introduced as a result of the Student Support Review. These will be created in the three years, commencing 2002/03, and are intended to widen participation and, in part, to address skill shortages.

Foundation Degree pilots have now commenced. Foundation Degrees are intended to address the skills requirements of the economy at technician and associate professional level. There are 100 Full-Time Equivalent places in 2001/02 and a further 100 FTE places in 2002/03.

An increase of 5,500 in HE places is planned in the period up to 2005. Further expansion would depend on competing public expenditure priorities.

Co-ordination of all initiatives, not only those funded by Government, which aim to increase access to higher education. This should have a particular focus on the outreach projects which link the universities to the community.

The Department is addressing the issue of widening access to higher education through a number of broad policy directions including:

• increasing the number of domestic HE places;
• introducing changes to student support;
• providing funding premia to assist the higher education institutions in widening participation of those from groups which are currently under-represented in the HE sector;
• funding special projects in the universities aimed at promoting their strategies and approaches to making access to HE available to under-represented groups;
• funding the development of a Northern Ireland Credit Accumulation and Transfer System; and
• the investment of £40m of public sector funds in the Springvale Campus project which will considerably enhance the access to third level education of the people of North and West Belfast.

The Department also has an obligation to monitor the impact of the Widening Participation Strategies developed by the HEIs and the success of the institutions in achieving the targets set in the resultant Action Plans.

Widening access is a high Departmental priority. The range of current initiatives will be evaluated in due course.

Monitor the effectiveness and equality impact of the new measures for student financial support.

The Department is working to identify the information requirements and data sources for evaluation.

The Department is committed to completing an evaluation of the new student support arrangements by January 2008 and conducting preliminary assessments in 2004 and 2006.

Further develop partnerships between the education sector and private training providers.

The delivery of Jobskills, through private training providers including employers, relies on a partnership with FE. The Partnership Fund is intended to assist FE colleges establish/strengthen relationships with all key interested parties which might include other education and training providers in both the statutory and private sector.

The Department accepts that a partnership between private training providers and statutory providers is advantageous. Jobskills relies in large part on such partnerships eg in the delivery of the employer led Modern Apprenticeships. The current review of 16-19 review will include consideration of this issue.

An improved, more comprehensive, streamlined and effective National Training Organisation and Sectoral Training Council structure in Northern Ireland to enhance its role in developing a highly skilled workforce.

The national response to a consultation exercise on the future of NTO's is being published. Consultation with the sectors in NI underway.

Agreed. Building on the work of a national policy on sector development, agreed in UK and devolved administrations, the Department is consulting, locally, on the interface between UK-wide sector organisations and NI infrastructures.

Continuously monitor and develop Modern Apprenticeships to meet changing labour demands.

Modern Apprenticeships will be reviewed in the light of our working experience and the recent review of Modern Apprenticeships in England by Sir John Cassells.

Agreed. In the light of the recent review of Modern Apprenticeships by Sir John Cassells the Department will review experience in Northern Ireland.

Continuously monitor, evaluate and improve New Deal so that it achieves its employment outcomes in the most cost-effective manner. We welcome the Needs and Effectiveness Evaluation of Training and Vocational Education initiated by the Northern Ireland Executive. We also welcome the inter-departmental TaskForce on Employability and Long-term Unemployment. The Committee further recommends that the Department considers other training schemes, which would better address the equal opportunities issues surrounding the availability of training.

• Publication of two New Deal evaluation reports detailing the results of a survey of 1560 New Deal participants.
• Ongoing implementation of the enhanced New Deal 25+ programme (introduced 9 April 2001).
• Taking forward the recommendation of the Basic Skills Working Group and the Multiple Barriers Working Group.
• Commencement of New Deal 18 to 24 review.
• Introduction of a self-employment route within the New Deal for Lone Parents.
• Introduction of the Focus for Work programme on 1 October 2001.

The Department has an extensive programme of evaluation into the effectiveness, efficiency and equity of the New Deal initiatives which informs the development and delivery of the New Deal programmes. Two reports detailing the results of the first stage of a major independent survey of over 1,500 New Deal participants were published on 15 November 2001.

Following a wide-ranging consultation exercise an enhanced New Deal 25+ programme was introduced on 9 April 2001 with improvements at every stage of New Deal participation. The Department is taking forward the recommendations of the Basic Skills Working Group and the Multiple Barriers Working Group. These include the use of a Basic Skills Tool Kit which was recently introduced to assist Personal Advisers identify basic skills indicators and the implementation of standard assessment arrangements to be used by Basic Skills providers.

The Department is also committed to a Continuous Improvement policy in relation to the New Deal initiatives. This policy has previously resulted in the decrease in the number of administration forms and the introduction of short accredited vocational training courses. A review of the New Deal for 18-24 year olds programme, which will include consultation with interested parties, has recently commenced.

Following an internal review of the Department's provision for unemployed adults the Focus for Work programme was introduced in October 2001. Focus for Work is a voluntary programme open to both benefit and non-benefit recipients which includes provision for training (Training for Work) lasting up to 26 weeks leading to accredited qualifications.

It is expected that Training for Work will particularly appeal to returners to the labour market, most of whom will be women as entry is not based on receipt of Jobseeker's Allowance or any Social Security benefit.

Support the continuing development of the Northern Ireland Credit Accumulation and Transfer System (NICATS) initiative.

The Department continues to support the development of the Northern Ireland Credit Accumulation and Transfer System. The Department is funding three separate NICATS projects as follows:

(i) the development of the specifications for the NI credit framework and how to embed credit within the NI further and higher education curriculum;

(ii) the assignment of credit equivalence amounts to qualifications, and their constituent units, included within the QCA National Qualifications Framework; and

(iii) research into the architecture of a credit-based funding system and the capacity of the institutions to manage data and to track students within such a system.

The Department is supportive of the NICATS project.

Include International industry-standard qualifications as components of vocational qualifications

Occupational standards which give rise to NVQs and which reflect industry's needs are set at UK level. Many of the current Higher National Diplomas/Certificates include qualifications such as ECDL or MOUS.

The Department agrees that vocational qualifications should reflect the needs of industry.

Facilitate an inter-departmental focus to ensure parity of esteem for vocational and academic qualifications.

The Department supports improving not only parity of esteem between the vocational and the academic, but also widening choice and encouraging young people to be able to mix the academic and the vocational. For this reason the Department supports Curriculum 2000, which puts in place a qualification infrastructure which not only clearly demonstrates the parity of qualifications, but also provides opportunities for young people to experience and undertake programmes of study that allow greater depth and variety.

This is an area where there are number of important reviews underway including a review of post 16 provision in FE and training and the Post-Primary Review. The Department will engage actively with DE and CCEA to explore this issue further. (See also recommendations 4 and 9.)

The Department will engage actively with DE and CCEA in the forthcoming year and will take forward its own review of the provision for 16-19 year olds.

Initiate and fund, as a matter of urgency, a research project to evaluate the three types of qualifications.

The NI Council for Curriculum, Examinations and Assessment is currently undertaking a review of Curriculum 2000. The Inspectorate is also currently evaluating the outcomes of Curriculum 2000. The review of 16-19 provision will also provide the Department with information about the range of qualifications available across the three pathways.

As part of the review of 16-19 provision, the inspection and CCEA's evaluation, the Department will evaluate the need to initiate further research to evaluate the three types of qualifications.

In principle, the Committee supports the UK Skills Task Force recommendation that learning to level 3 (craft/technician level) should be free of charge to all up until their twenty-fifth birthday, and asks the Department to provide costings in order to determine its feasibility.

The Department requires all colleges to remit fees for all students undertaking a full-time FE course who are aged under 19 on 1 July for the academic year.

In addition, following on from the review of student support arrangements, the Department recently issued guidance on students aged 19 and over on full-time FE vocational courses eligible for tuition fee, course registration and examination fee remission.

The Department is also co-operating with PIU Cabinet Office on a study of workforce development which is addressing this issue.

The Department already has in place policies in relation to fee remission for full-time students aged under 19 and full-time students aged 19 and over on vocational FE courses.

The UK recommendation is the subject of a review of workforce development in the UK to which the Department is contributing. Following publication of the initial report, the Department can consider how best to address further the issue in Northern Ireland.

Continue to develop the Individual Learning Accounts scheme with greater targeting and financial support for those in most need without creating excessive administrative costs.

ILAs have been suspended.

Agreed. ILAs are currently under review and the Assembly Committee recommendations will be fully taken into account.

The Committee supports the further development of initiatives to assist with childcare and those with educational special needs and disabilities in order to facilitate increased access to all education and training.

Significant action has already been taken by the Department to improve the rights of and access by those with learning difficulties and/or disabilities (SLDD) to education and training. These include:

• Article 13(2) of the Further Education (NI) Order 1997 sets out the statutory obligation placed upon the FE sector to have regard to the requirements of SLDD students and as a condition of grant each college must also publish a disability statement.
• In April 2001, at the recommendation of the Minister, the tertiary education sector institutions were designated as public authorities under Section 75 of the Northern Ireland Act 1998 placing upon them a statutory duty to promote equality of opportunity between identified priority groups including persons with a disability.
• In addition, the Department, in conjunction with the Department of Education, is taking forward the Special Education Needs and Disability Bill in NI. The new legislation will introduce enforceable rights for SLDD students in education on a par with the rest of the UK in order to protect them from unfair discrimination.
• A broad range of policy initiatives are already in place designed to promote access including increased financial weightings for SLDD students; additional funding for necessary support functions; and advice on good practice in addressing SLDD students' needs.
• DEL also provides core funding for SKILL (NI): the National Bureau for Students with Disabilities in support of its activities in relation to the development, co-ordination and provision of information on opportunities and provision for SLDD students.
• Colleges have utilised funding available under the Access Fund to test out innovative approaches to widening access from a range of groups with proposals that address the identified needs of under represented groups including SLDD students.
• The Department has secured additional funding of £3.0m in the current financial year and a further £2.0m in 2002/03 that will enable Higher and Further Education Institutions to improve physical access for disabled persons.

In March this year the Minister announced a package of proposals following the Review of Student Finance in Northern Ireland. One of the main recommendations was the introduction of a childcare grant worth up to £114.75 per week for one child or £170 per week for two or more children for students on low incomes with dependant children.

Widening access to and increasing participation in further and higher education is a key departmental aim with a particular focus on students with learning difficulties and/or disabilities (SLDD). A wide range of interventions are already in place and will be supplemented by the introduction of the forthcoming Special Education Needs and Disability Bill being taken forward in conjunction with the Department of Education.

The Department must give priority to the implementation of an enhanced independent, comprehensive and up-to-date careers education and guidance service based on best practice and extensive use of Information and Communication Technology.

In response to the recommendation in Strategy 2010 that: "the current system of careers guidance should be enhanced", this Department and the Department of Education commissioned a review of careers education and guidance chaired by Professor Sean Fulton of Queens University Belfast. The review group concluded its initial report in February 2001 and both Departments have asked Professor Fulton to conduct additional research in four key areas namely: (a) guidance in the FE Sector; (b) comparative study of UK guidance services; (c) use of ICT in guidance; and (d) the role of the Careers Service. The Report has been submitted to DEL and DE and is, currently, under consideration. It is anticipated that the Report's recommendations will fully complement the essence of this recommendation (36).

The Department's Careers Service is currently negotiating with the University of Ulster (Magee) to introduce the new Qualification in Careers Guidance (QCG) from September 2002. This will play a significant role in addressing the difficulties experienced by Careers Service in recruiting suitably qualified guidance professionals.

The Department's Careers Service is currently implementing the Guidance Council. DfES Quality Standards to enhance careers guidance service delivery.

The Department's Careers Occupational Information Unit has introduced its careers information onto the Training and Employment Agency's website. This is a first step towards a more extensive use of ICT in Careers Guidance.

The Department welcomes the recommendation and will await the outcomes of the Review of Careers Education and Guidance before building on existing policy actions to meet the challenge of implementing an enhanced guidance service. Funding implications may have to be considered in the Spending Review.

Greater work related experiences for all teachers, students and lecturers for substantive periods based on the Northern Ireland Business and Education Partnership (NIBEP) model.

Increase funding to NIBEP in order that it can further its work in developing links between business and education.

NIBEP is now sponsored by three Departments, namely Department for Employment and Learning (DEL), Department of Education (DE) and Department for Enterprise, Trade and Investment (DETI).

This year's budget allocation for NIBEP has been increased significantly (to £461k) by this Department to assist NIBEP in developing its business plan activities.

All three sponsoring Departments are currently working closely with NIBEP to secure European funding to extend NIBEP's remit and activity range.

The Department welcomes the recommendations but notes the appreciation of the current constraints on public sector finances. The Department is committed, with the other sponsoring Departments, to securing adequate funding to develop this important area of work.

Urgent completion and effective implementation, at the inter-departmental level, of the Research, Development and Innovation Strategy for Northern Ireland.

DEL is participating in an Inter-departmental Working Group established to develop a Research, Development and Innovation Strategy for Northern Ireland. A commitment to produce, by March 2002, the NI strategy with supporting individual Departmental strategies, is contained in the Programme for Government.

The Department supports this recommendation and will seek to work, cross-departmentally, towards the completion and effective implementation of the Strategy's recommendations.

Substantial funding increases for Research and Development (R&D) to counteract the current and previous low levels of financial support in comparison to our international competitors. Whilst the majority of university R&D funding should be linked to the university Research Assessment Exercise, 10% as recommended by the Northern Ireland Economic Council, should be earmarked for research that is of particular relevance to Northern Ireland.

A review of the Department's policy in respect of R&D in the universities is nearing completion. It is likely that the outcome of this review will point towards the bulk of the Department's funding continuing to be used on the maintenance and improvement of the universities' research base, and determined largely by quality.

The Department recently bid for £4.5m additional funding for University research from Executive Programme Funds and sought a similar amount from budget 2002/03. Both bids failed.

There is a sense, however, from this recommendation that the onus for increasing Northern Ireland's R&D spend for economic growth lies with the public sector. Public sector R&D may benefit from further funding, but an enterprise economy is ultimately built on private sector R&D. While the recommendation raises the important issue of under-funding in public sector R&D comparative to other regions, the private sector's poor record in contributing to the R&D spend in Northern Ireland is also a pressing problem.

Additional funding for university R&D is subject to competing priorities and can only be raised in the Spending Review.

Establish a single unit to co-ordinate and promote government funded R&D in Northern Ireland, including individual bids for Research and Development for all government departments, and develop well-designed research collaboration and technology transfer schemes with other countries.

This will be considered in the current inter-Departmental consideration of the Research and Development and Innovation Strategy for Northern Ireland.

This will be a matter for the Executive as a whole.

Implementation of a clear structure to give academic staff sufficient incentives and flexibility to take research ideas, and even company start-ups, to commercial fruition.

This will be a matter for the HE sector across the United Kingdom. The Department is not involved in determining pay, conditions or academic structures within HE. The Department will, however, monitor the issue.

This will be a matter for the United Kingdom HE sector as a whole.

The Department for Enterprise, Trade and Investment to match, at least in part, any research funding raised by higher education from the private sector through business-university links, as an incentive to promoting closer links between higher education and industry.

DETI, through IRTU, already provides significant project-based funding for University research. DEL is exploring with DETI, as the NI counterpart of DTI, the scope to match/complement DEL funding for initiatives such as HEROBC which happens in England but not in NI.

The Recommendation is similar in principle to the Support Programme for University Research (SPUR), a £40m public/private partnership programme, over the period 2001-05, announced last June which will aim to develop the universities' research strategies and capacities and their contribution to local economic development.

Additional funding of this kind is a matter for DETI.