Skilled Workers and Academics are Essential for a Thriving Economy

For two decades, Chinese authorities have been attempting to establish a dual training system modeled after European practices, with only modest successes. When the government mandated that half of all middle school graduates attend vocational training centers four years ago, many parents in China were concerned that their children would no longer have access to a university education. Vocational training in China is still stigmatized compared to countries like Switzerland, Germany, and Austria, where it leads to well-paid and respected careers. In China, the focus is primarily on university education, with the aim of securing office and management positions, which are highly respected. The number of university graduates has nearly doubled in the last decade.

Despite the growing demand for skilled workers in China’s rapidly modernizing industries, there is a nationwide shortage of millions of well-trained workers. President Xi Jinping aims to transition China to a modern industry focused on high technology and innovation, leading to a greater need for skilled workers. The government has been trying to establish a dual training system similar to European models for over two decades, but it has faced challenges in implementation.

The lack of clearly defined training occupations, quality issues in vocational training programs, and the mismatch between education and labor market demand have hindered the success of vocational training initiatives in China. Some foreign-financed companies have implemented successful vocational training programs, but these projects alone cannot meet the demand for skilled workers. The government has expanded higher education significantly in recent years, but many graduates struggle to find jobs that match their qualifications.

President Xi Jinping’s suggestion that university graduates should move to the countryside to help farmers with their work has been met with skepticism by students. The employment rate for university graduates in China has remained low, indicating a mismatch between education and job market demand. Despite efforts to address the skilled worker shortage and unemployment among academics, significant challenges remain in China’s vocational training and higher education systems.