Local Economic and Employment Development (LEED Programme)

Indicators on skills, mobility and job quality and the adaptability of labour market policy


A LEED project for 2011-2012


The project is conducted in collaboration with the Directorate for Employment, Labour and Social Affairs (ELS) and the Directorate for Education (EDU) and is a key output within the OECD Skills Strategy


Objective / Rationale / Issues / Methods / Participation / Outputs / Contact



The project aims at providing OECD Members with a statistical tool for better understanding the relationship between skills, mobility and job quality at the local level.



In order for policy makers to raise skills and invest in human resources in the context of the knowledge economy, it is important that they better understand how the balance between the supply and demand of skills varies between local economies. Even if localities invest in the supply of skills through improving educational attainment, local employers do not always use skills effectively, leading to a labour market dominated by poor quality jobs.

Such situations can lead to high mobility as skilled people seek better quality jobs elsewhere. By providing a better understanding of how the skills context differs between different local economies, this output will help policy makers to fine-tune their policies so that they better reflect the challenges facing local labour markets. 


Issues to be addressed

The statistical tool will highlight how different sub-regions compare when it comes to the overall balance between the supply and demand for skills locally.


Which local economies are in low-skilled equilibrium?


Where there are problems of skills surplus?


Which local economies are facing skills gaps?

By looking at additional factors, such as employment rates and mobility, the research will explore the impact of a mismatch between supply and demand on local economies.



As part of its 2009-10 Programme of Work, LEED has piloted a new statistical diagnostic tool in three countries (Canada, Italy and the United Kingdom) to better understand the balance between skills supply and demand at sub-regional level.

In 2011-12 this tool will be applied in a broad set of countries, drawing on available data at TL3 level (i.e. populations of roughly 800 000 or below) to produce composite indicators of supply and demand.

Data will be collected for a number of indicators including qualification levels, productivity, occupational structure, wages, unemployment and migration at sub-regional level and analysed by the Secretariat.




Countries are invited to participate in the activity. They can provide the Secretariat with relevant data to be analysed against the statistical diagnostic tool in their country and/or support the effort overall.




An interim report to the OECD Ministerial in 2011 as part of the OECD Skills Strategy.


Final report analysing the relationship between the supply and demand of skills at the local level (TL3) in selected countries and the implications for policy development, as part of the OECD Skills Strategy.


Mapping of skills demand and supply by sector and local labour markets using comparative benchmarks for each country participating.



For further information about the project please contact the OECD Secretariat.


Related Documents