The Skills-First Talent Recognition sub-index assesses how effectively skills are signalled, recognised, and rewarded. It looks at the use of skills signalling mechanisms and the implementation of recognition of prior learning processes, while also examining the extent to which employers support skills-first hiring practices. Finally, it considers whether skills translate into tangible labour market outcomes, such as better employment opportunities and higher wages.
Skills-First Readiness and Adoption Index
The Skills-First Readiness and Adoption Index is a multi-dimensional index that captures employer practices, policy alignment, education and training systems, and individual experiences to offer an actionable picture of the degree of skills-first readiness and adoption across countries. It has been co-developed by the OECD Directorate for Employment, Labour and Social Affairs, in collaboration with the Centre for Skills-First Practices at the Singapore University of Social Sciences-Institute for Adult Learning (SUSS-IAL).
Skills Signalling
Existence of government-led skills signalling initiatives
Score based on existence of national initiatives to improve skills signalling (e.g. skills passports), 0 (no initiatives) to 1 (national initiative implemented)
Skills signalling by individuals
% of LinkedIn users who add skills to their profile
Recognition of Prior Learning
Existence of established national recognition of prior learning systems
Extent to which systems for recognition of prior learning and validation of skills have been implemented nationally, 0 (not at all) to 1 (universally implemented)
Skills-First Hiring Practices
Prevalence of field-of-study-mismatch among workers with adequate skills
% of workers with adequate skills for their job but whose occupational field differs from their field of study
Prevalence of workers with adequate skills, but who are under-qualified
% of workers with adequate skills for their job but whose qualifications are lower than what would be required to obtain a similar job today
Employer openness to skills-based hiring
% of employers who agree that removing degree requirements and conducting skill-based hiring will increase talent availability
Employers’ focus beyond degrees
% of employers who do not report prioritising “completion of a university degree” when assessing skills in hiring
Rewarding Skills
Comparative returns to skills vs. qualifications
Ratio, % increase in wages for an increase of skills vs. for an increase in years of schooling
For a small subset of countries, data for some indicators are not available. Detailed information on the derivation of each indicator can be found in the Methodological Note. To request the full dataset, please contact the OECD team at ELSSkills1@oecd.org.
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