This chapter describes how Finland can optimise its vocational education and training (VET) qualifications to meet labour market needs emerging from the green transition. It outlines the Finnish vocational qualifications framework, explaining how qualifications are developed and updated, and identifies challenges posed by the green transition for VET qualifications. The chapter also provides recommendations for ensuring vocational qualifications can be updated in a timely and comprehensive way, expanding the use of micro-qualifications, and enhancing the monitoring and management of qualifications.
Vocational Education and Training and the Green Transition in Finland
Abstract
Finland has established highly ambitious environmental objectives, as discussed in Chapter 2, and achieving them will need a well-qualified workforce. This will require updating the skills of workers whose jobs are evolving, as well as preparing a workforce for new positions created because of the green transition. Finland’s plans to reduce reliance on fossil fuels and invest in renewable energy sources will drive increased demand for workers in corresponding sectors, such as professionals with expertise in offshore wind power. VET programmes must be timely updated to include green competencies, ensuring that workers are equipped to meet the evolving demands of the labour market (Kuusela et al., 2023[1]). As discussed in Chapter 2, such green competencies include occupation-specific competencies (often technical in nature), as well as more transversal sustainability skills.
To respond to and anticipate evolving skill demands and avoid potential associated shortages, a flexible qualification structure that can quickly adapt to changing labour market requirements is essential. These goals can be achieved through strategies such as modularising VET qualifications into units and employing various tools, such as labour market intelligence and local initiative to create and update qualifications.
Finland already has a modular VET system with VET institutions defining locally parts of qualifications, as briefly explained in Chapter 2. To strengthen its robust system and ensure the VET framework leads to strong labour market outcomes while supporting the green transition, Finland should make effective use of the flexible nature of its VET qualifications to ensure that VET qualifications remain up to date and aligned with the skills demanded by the green transition. This requires regular revisions, including the removal of outdated units and the addition of new ones aligned with emerging skill requirements.
Flexible and modular VET qualification system
The Finnish VET qualification system is highly flexible and modular. This section delves into the structure of Finland’s vocational qualification system, examining the roles of qualifications and the units they are composed of. It also offers a comparative perspective with other OECD countries, particularly in the context of the green transition, highlighting Finland’s unique strengths and areas for further development.
In Finland’s competence-based VET system, qualifications and their components are designed to be flexible and adaptable to learners’ needs. The main elements of this structure are:
Units of Qualification: the smallest component of a VET qualification that covers specific competencies aligned with job tasks or skills. Learners can complete individual units based on their personal competence development plan without needing to complete an entire qualification. Each unit is composed of competences points, with a unit typically having around 15-60 competence points. 60 competence points correspond to one year of study. Units can be developed either nationally or locally, although the majority are defined at the national level. For example, in the USVQ system, out of 180 competence points, a maximum of 15 can be allocated to locally developed units. In 2024, a total of 3 200 nationally defined qualification units were offered. The exact number of local qualification units is not specified, as these units are created based on local demands that can vary over time, and because not all local units are reported.
Full Qualifications: A full qualification consists of a complete set of units that certify the learner’s ability to perform a broad range of job functions and continue to higher levels of education. Vocational qualifications are structured to include both compulsory and optional vocational units. According to the Act on Vocational Education and Training (531/2017), each qualification, or any competence area within a qualification, must comprise at least one compulsory vocational unit and at least one optional vocational unit (Finnish Ministry of Education and Culture, 2017[2]). Full vocational qualifications range between 120 and 180 competence points, depending on the type of vocational qualification, and they usually consist of 4 to 6 units. Learners can achieve these qualifications by competence-based pathways, irrespective of how and where they acquired their skills, or by attending VET programmes.
Micro-qualifications:1 In the Finnish context, micro-qualifications refer to the partial qualification obtained after completion of one or more qualification unit. Micro-qualifications are shorter than a full qualification and are designed to prepare individuals for specific job tasks. They can consist of one or more national units from one or more qualifications. For example, the elderly care assistant micro-qualification comprises two units from the initial upper-secondary VET (USVQ) programme in social and health care. This micro-qualification has recently been developed and promoted to address labour shortages in the sector, particularly by attracting employees, including immigrants educated outside Finland, to join the workforce. Other countries may use the term ‘microcredential’ to describe concepts similar to Finnish micro-qualifications. In the remainder of this report, the term ‘microcredential’ will be used when referring to contexts outside of Finland.
A modular and flexible VET system is gaining ground in many countries, in recognition that learners have diverse preferences and needs, as well as varied educational trajectories. Finland undertook a major VET reform VET (2018) to increase flexibility and provide personalised learning pathways that accommodate students’ diverse backgrounds and needs. Micro-qualifications, which enable the development and completion of partial qualifications, are an integral part of this system. In Finland, micro-qualifications, composed of units of qualifications, are embedded within the national qualifications frameworks (NFQs). The aim of Finnish micro-qualifications is to offer shorter, targeted training and facilitate the recognition of prior learning, enabling individuals to address specific skill gaps and adapt to labour market changes. Information on some micro-qualifications is centrally available via the ePerusteet platform.
The term microcredential is becoming more prevalent in VET in many countries, and, depending on the country, can be used as a synonym for units/modules or a package of them such as micro-qualifications in Finland. Not all countries explicitly define microcredentials, even when they have qualification types that serve similar purposes to those recognised in Finland. Microcredentials share similarities across countries but also differ in how they are integrated into qualifications frameworks, their aims, and their tools for accreditation. While some countries embed microcredentials directly within their NQFs, others use distinct systems or tools to accredit and recognise them. Box 3.1 provides examples of microcredentials in VET in selected OECD countries.
According to CEDEFOP, microcredentials are generally understood as short, targeted learning experiences designed to meet specific skill needs (Cedefop, 2022[3]). They are commonly used for upskilling and reskilling and can complement traditional qualifications without replacing them. In the examples presented in this box, microcredentials serve as short, modular, flexible learning programmes that address specific skill needs, align with industry standards, and support lifelong learning. However, the scope, duration, and formal recognition of microcredentials vary depending on the country context.
Integration into NQFs: New Zealand and Ireland
In some countries, microcredentials are integrated into standard qualifications frameworks. In New Zealand, they are part of the National Qualifications Framework (NQF), ranging from 5 to 40 credits (NZQA, 2024[4]). Assessed annually to align with industry needs, these microcredentials are offered by universities, polytechnics, industry training organisations, and professional bodies (Allais, 2017[5]). With 120 credits equivalent to one year of study, these short units are stackable toward full qualifications.
In Ireland, microcredentials also align with the National Framework of Qualifications (NFQ) and typically take the form of minor or supplemental awards that update or extend existing qualifications. For instance, the Training in Nearly Zero Energy Buildings (NZEB) programme offers short, flexible courses for energy-efficient construction, developed collaboratively with industry and government to address emerging regulatory and technological needs.
Unique tools for crediting microcredentials: The Netherlands
Some countries use specific tools for accrediting microcredentials rather than integrating them directly into NQFs. In the Netherlands, the edubadges system provides digital certificates that validate learning outcomes (Sargent et al., 2023[6]). Edubadges are issued on a secure platform, allowing learners to share their credentials with employers or educational institutions.
The edubadges system and respective platform was launched in 2020 and is currently used by 38 public educational institutions, including 4 secondary vocational institutions, 22 universities of applied sciences, and 12 research universities. In total, more than 8 500 learners hold edubadges, and 13 000 edubadges have been issued.
One type of edubadge functions as a microcredential when it meets the quality standards of a nationally or internationally recognised framework. These microcredentials typically represent short units, such as minors or modules, lasting less than six months. SURF, the ICT co‑operative of Dutch education and research institutions, processes the issuance of edubadges and microcredentials (SURF, 2024[7]). Initially focused on higher education, edubadges are now being piloted in VET fields like medical mathematics, enabling lifelong learning by allowing learners to accumulate badges toward full qualifications.
Source: CEDEFOP (2022[3]), Microcredentials for labour market education, www.cedefop.europa.eu/en/publications/5587; NZQA (2024[4]), Micro-credentials in New Zealand: Policy and Implementation Guide, www2.nzqa.govt.nz/assets/Tertiary/Approval-accreditation-and-registration/Micro-credentials/Guidelines-for-micro-credentials-January-2024.pdf; Allais (2017[5]), Labour market impact of National Qualification Frameworks in six countries, www.ilo.org/publications/labour-market-impact-national-qualification-frameworks-six-countries; Irish Government (2023[8]), Nearly Zero Energy Buildings (NZEB) Training Programmes - Information Booklet, http://nzeb.wwetbtraining.ie/page/nzeb-course-information-booklet; Sargent et al. (2023[6]), Investigating the Views and Use of Stackable Microcredentials within a Postgraduate Certificate in Academic Practice, https://doi.org/10.5334/jime.805.
The role of national and local qualification units
The VET qualification system in Finland is structured across three levels. Each qualification consists of multiple units. While Chapter 2 provides a general overview of these qualifications and their unit structure, this section specifically examines the distinction between national and local units. The latter enable rapid adjustments of the qualifications content in response to changing regional labour market demands.
In Finland, VET qualifications are composed of national units and can also include local units (up to 8% of the qualification content) providing a balance between standardisation and flexibility. Local qualification units are developed by VET providers to address the specific competence needs of regional or local working life. These units are designed to deepen the field-specific competencies included in the national qualification requirements or to offer new skills and solutions in response to rapid changes in the regional labour market. In 2023, approximately 20 400 students completed local units, down from 21 700 in 2022 (National Agency for Education (OPH), 2024[9]).
Local units typically supplement the curriculum, providing additional skills relevant to local industry demands, but they do not substitute the core compulsory units mandated nationally (Eurydice, 2024[10]). They can be taken as part of a full qualification but cannot exceed a set percentage of the total qualification, maintaining a balance between regional adaptability and national coherence.
The development of local units is often favoured by VET providers due to a more streamlined approval process compared to the establishment of new national units. This approach allows for rapid adaptation to changing local labour market conditions while maintaining the integrity and coherence of the national qualification framework.
Locally adjusted content of VET programmes is a common feature of many countries (see Table 3.1), with local flexibility depending on the country context and its level of decentralisation. The exact way in which this local or regional flexibility is given and the share of the curriculum that is flexible differs strongly between countries. Often, VET qualifications that are defined nationally can be completed with local units or electives to better match local labour market needs. In countries where VET is primarily delivered through apprenticeships, such as Germany, Switzerland, and Luxembourg, VET institutions have limited ability to adjust qualification content, as this is happening directly within the companies providing the training.
Note: Only countries that have participated in the survey and provided an answer to the question “How much of the curriculum is defined locally” are included in this table. Local curriculum definition may encompass all development carried out at the training provider level or within any subregional context.
Source: OECD (2024[11]), VET and the green transition background questionnaire.
Accounting for the green transition in VET qualifications
Following our definition (see Chapter 2), the green transition can be incorporated into VET qualifications in two ways: by integrating transferable sustainability content and by providing skills for green occupations specifically.
Integrating sustainability content involves providing students with information about climate change and its consequences, as well as promoting environmentally responsible behaviours that minimise negative impacts on the environment. Finland sustainability issues are integrated in all subjects but also available as a separate subject. In 2022, Finland included a separate mandatory unit ‘Promoting Sustainable Development’ covering sustainability issues in USVQs qualifications (Ministry of Education and Culture of Finland, 2023[12]). USVQs also provide opportunities to develop other sustainability skills for the green transition through optional units. For example, the optional vocational unit ‘Working with climate responsibility’ focuses on sustainability practices, with a scope of 15 competence points (ePerusteet, 2024[13]). Recent initiatives in this area include the development of the optional units related to the green transition and digital competence in further vocational and specialist vocational qualifications. This for example includes an optional unit on ‘Promoting the green transition’ in FVQs and ‘Developing circular economy operations’ in SVQs (ePerusteet, 2024[14]).
Most OECD countries provide sustainability skills to VET students, but this provision may vary by programme or students’ characteristics. For example, in Norway, similarly to Finland, sustainability content is mandatory in initial VET (IVET) but voluntary in continuing VET (CVET). In the Netherlands its provision differs across institutions and programmes. Sustainability skills can be provided as a separate subject or integrated into VET subjects (e.g. students learn about global warming and its consequences in science classes, and about recycling technologies and methods during their VET courses in car mechanics or public health). For instance, Switzerland embeds sustainability across all VET subjects, ensuring that environmental considerations are a fundamental component of vocational training (Koch, Käslin and Fischer, 2024[15]). Table 3.2 describes countries’ practices regarding inclusion of sustainability skills in VET qualifications.
Another way to integrate the green transition into VET qualifications is through the provision of training focused on skills for green occupations. These skills encompass a range of competencies, including green transversal skills (higher-level technical skills and soft skills – see Chapter 5 for more information on the skills taxonomy) and the core competencies that underpin them such as numeracy and literacy. They also include job-specific skills, such as those required for tasks like solar panel installation and maintenance. Some VET qualifications, such as those in Natural Science, Technology, and Agriculture, include more green job-related content and are, therefore, more likely to lead to employment in green jobs. 82 out of the 165 VET qualifications in Finland fall under these categories of Natural Science, Technology, and Agriculture.
How Finland develops and updates VET qualifications
The green transition is driving significant and rapid changes in the labour market in certain areas, presenting a challenge for the development and updating of VET qualifications. For example, emerging sectors, such as the green hydrogen industry, are likely to create entirely new job roles (Ministry of Education and Culture of Finland, 2023[12]). Adapting the qualification framework and the ways the qualifications are managed to address these evolving needs will be essential to support Finland’s transition to a sustainable economy. By leveraging its collaborative approach and mechanisms such as pilot programmes, Finland’s VET system is well-positioned to respond to these challenges and opportunities.
Development of national vocational qualifications
The development of vocational qualifications and their national units is a structured, collaborative process designed to align the VET system with the evolving needs of the labour market. The Ministry of Education and Culture is responsible for determining which qualifications are included in the national VET system and issuing decrees regulating their scope (Ministry of Education and Culture of Finland, 2017[16]).
The Ministry of Education and Culture established the National Forum for Skills Anticipation to provide long-term foresight and analysis for education and workforce needs. The Forum comprised nine sectoral groups representing industry, vocational and higher education providers, teachers, and education administrators. These groups analysed data from the perspectives of work and education, produce outlooks, and share them with those responsible for education development (Ministry of Education and Culture of Finland, 2019[17]). Foresights produced by the Forum were published on the Vipunen website. The Forum ended in 2025 and a new approach to skills anticipation is currently being prepared.
The Finnish National Agency for Education (EDUFI) plays a pivotal role in VET qualifications development by preparing proposals for changes to the qualification structure and setting the qualification requirements for all qualifications (National Agency for Education (OPH), 2024[18]). EDUFI maintains an ongoing dialogue with education providers and the world of work to keep the national qualification requirements up to date and to anticipate future changes in a timely manner.
The Agency co‑ordinates the work on the skill needs anticipation. It employs a variety of foresight tools, feedback mechanisms, and statistical analyses to ensure that qualifications remain relevant (Education Evaluation Centre (FINEEC), 2024[19]). The core tools of skills anticipation in Finland are the VATTAGE and MITENNA models. The VATTAGE model produces long-term employment forecasts (updated every five years, each time looking ahead with a fifteen-year horizon), while the MITENNA model estimates the education and training requirements needed to address labour market demands (also with a fifteen-year horizon). In recent years, various data repositories such as Koski and VIRTA have been developed, increasing the possibilities for using information such as registers, statistics and forecasting data in the development of the qualification system.
EDUFI plays a role in the development and maintenance of qualifications. As part of this work, sector-specific experts from the Agency engage in discussions with Working Life Committees about emerging needs for updates. Working Life Committees are statutory bodies of elected officials, appointed by the Finnish National Agency for Education and contributing to the development of qualifications. A maximum of nine members may be appointed to each working life committee, who must represent employers, employees, teachers and, if self-employment is common within the sector in question, independent self-employed professionals (Eurydice, n.d.[20]). While the main role of the Working Life Committees is to ensure quality in the assessment of competences they also provide feedback on drafts of new qualification requirements (Education Evaluation Centre (FINEEC), 2024[19]). EDUFI organises launch events where new qualifications and the rationale behind the development of the qualifications are presented. However, it is the responsibility of education providers to design the implementation on new qualifications within their own organisations.
To support the development and refinement of qualifications, Finland also employs temporary pilot programmes and experiments lasting up to six years (Finnish National Agency for Education (OPH), 2019[21]). These pilots, regulated by decrees from the Ministry of Education and Culture, allow for testing new qualifications or training programmes under controlled conditions. EDUFI oversees these pilots, defining their goals, content, and requirements to ensure they align with educational standards and professional requirements.
In addition to national forecasting, skills and training needs are also anticipated at the regional level, led by Regional Councils and Centres for Economic Development, Transport and the Environment (ELY Centers). Regional Councils address both long- and short-term skills needs, with a particular emphasis on co‑operation with employers, VET providers, and higher education institutions. ELY Centres, which primarily focus on short-term needs, support the Regional Councils’ work, particularly in labour market training, and co‑operate with VET providers to align skills with current demands. Each of the 15 ELY Centres produces regular qualitative forecasts for around 200 occupations through the “Occupation Barometer”, which is published twice a year, and based on employer interviews and data. Both Regional Councils and ELY Centres are essential in ensuring that regional forecasts are accurate and relevant, supporting effective decision-making to meet local skills needs (Ministry of Education and Culture of Finland, 2019[17]; Ministry of Economic Affairs and Employment of Finland, n.d.[22]).
Developing qualifications that meet the diverse needs of learners and employers takes time – usually several months, as it requires involving a wide range of stakeholders to ensure the qualifications address the needs of both employers and students. In Finland, it usually takes up to two years to develop a full qualification and several months for individual units. Among a sample of 28 OECD countries and subnational entities, the average development and update process for full qualifications ranges from nine months to up to three years, with the median timeframe across countries usually falling between one and two years for qualification updates (OECD, 2024[11]). For example, in Latvia and Estonia complete VET programmes are developed within nine months to one year, in Quebec (Canada) within 18 months on average, whereas in Luxembourg and Francophone Belgium it can extend to three years. Countries have reported that this process can often exceed the intended timeframe due to various challenges, such as complex bureaucratic procedures, limited financial and human resources, lengthy approval processes, insufficient employer involvement, and the difficulties of incorporating rapidly advancing technologies into qualification content (OECD, 2024[11]).
Development of local units
In addition to national units, VET qualification can have a local component developed by VET institutions. These local units offer greater flexibility, as their creation bypasses the lengthy approval process required for national units. The validation of a local unit requires only an existing provider’s operating license. However, local units must theoretically adhere to the national framework’s professional competence requirements and are limited to a set proportion of the overall qualification (15 competence points).
The processes for developing local and national qualification units share commonalities, such as aligning with labour market needs and involving stakeholders in their design but the development and delivery of local units are significantly faster than those of national units. For example, in the vehicle programme, ‘Electric Car Maintenance’ has been provided as a local element to quickly address the need for car mechanics to work with electric cars (Finnish National Agency for Education (OPH), 2024[23]). Some local units signal emerging skill need in a sector not only regionally but nationally. In such cases these units can be elevated to national ones.
Development of micro-qualifications
The creation of micro-qualifications in specific areas, such as solar technician training, represent another approach that allows for a swift provision of training addressing urgent labour market shortages. Similarly to local units, micro-qualifications are developed by VET providers in collaboration with local employers. Despite the growing prevalence of micro-qualifications, comprehensive information on the criteria used by VET providers to develop them remains limited at this time.
A recent FINEEC study reports that 58% of surveyed VET providers offered micro-qualifications in the previous year. Most of these micro-qualifications were available in fields such as services, hospitality, and business administration. Micro-qualifications related to sectors associated with green jobs, such as engineering manufacturing, construction and agriculture, accounted for 22% of all the micro-qualifications offered but the VET providers participating in the study (Education Evaluation Centre (FINEEC), 2024[19]). Examples of such micro-qualifications include those in electric vehicle maintenance and log construction.
The Finnish VET system comprises qualifications made up of units developed at the national level, with additional flexibility provided by locally developed units and the use of micro-qualifications, as described above. Effective management and use of these elements is crucial for ensuring coherence, avoiding redundancy, and maintaining responsiveness to evolving skill demands, particularly in areas related to green occupations. However, several challenges hinder this process, including misalignment and redundancy across qualifications, as well as update mechanisms that may be too slow to address the rapidly changing needs of green occupations.
Limited reporting of local units and micro-qualifications contribute to a lack of transparency
Finland has been working to reduce the number of full qualifications to streamline their overview and revision process. However, there is still room to reduce overlap across qualification units both at the national and local levels and between those levels. For example, in USVQs, the Vehicle Engineering Qualification includes two units: ‘Pre-treatment of End-of-Life Vehicles’ and ‘Recovery of Recycled Parts,’ each worth 15 credits. These two units significantly overlap, as nearly all competencies from the ‘Pre-treatment of End-of-Life Vehicles’ unit are included in the ‘Recovery of Recycled Parts’ unit (ePerusteet, 2022[24]).
While all national and local units are prepared to feed into specific qualifications, they follow different development processes. Furthermore, not all local units are reported. Shared platforms like eRequirements (ePerusteet) make the local unit visible to other providers and employers, but the posting of local units by VET institutions is not mandatory (Education Evaluation Centre (FINEEC), 2024[19]). This lack of comprehensive reporting makes it difficult to fully understand the scale of qualification adjustments at the local level and the content they cover.
Limited reporting, along with the way local units are developed, contributes to overlaps between local and national units, as well as between local units independently created in different regions. Such fragmentation increases the complexity of integrating local units into the national framework (Education Evaluation Centre (FINEEC), 2024[19]). For example, a local unit designed to provide skills for a new green occupation might address growing demand in one region, but if it is not reported, other VET providers in areas with similar needs may either lack the opportunity to adopt the content or be forced to develop it independently.
In occupations affected by the green transition, where new job roles emerge, and existing ones undergo significant changes, local units can act as a barometer, flagging new skill requirements in a timely manner. EDUFI provides a mechanism to elevate widely adopted local units to the national level. For instance, local units focusing on the international work environment, which were developed locally by many VET institutions in response to rising demand for such competencies, were incorporated as an optional module in all USVQs starting in 2022 (Education Evaluation Centre (FINEEC), 2024[19]). However, for such practices to occur more systematically, information on all local units should be collected, and ideally, all local units should follow standardised formats to enable easier comparison.
Fragmentation within the system poses challenges for learners, employers, and VET providers alike. Learners may struggle to navigate a cluttered landscape of qualifications when multiple units cover overlapping competencies without clear distinctions. Employers, in turn, face difficulties understanding and recognising the value of specific qualifications, complicating the hiring process and workforce development.
In the case of micro-qualifications, which are relatively new and are currently being developed in Finland, it is even harder for employers and (prospective) learners to navigate the offer, as information about these credentials remains limited at this stage. While this is to be expected during the early phases of implementation, if this situation persists, it could hinder their provision by VET institutions and their adoption by individuals and employers, who may be uncertain about their value.
While the issues presented are not exclusive to units and micro-qualifications preparing for green occupations, they are particularly relevant to how well the corresponding programmes align with the green transition and address new job requirements. In USVQs, which account for the majority of VET enrolment, local units are most frequently used in programmes in engineering, manufacturing and construction field, many of which prepare for green occupations - 28% of students completing local units, were in these fields (Education Evaluation Centre (FINEEC), 2024[19]). A large number of local units in green related fields of study suggests that the needs of local employers in these fields are not adequately met by national qualifications, necessitating adjustments at the local level.
The process and timeline for the development and revision of qualifications and units may not match changing green job requirements
The process for updating qualifications and units in Finland is inclusive and consensus-driven, involving key stakeholders such as social partners represented in Working Life Committees. This approach ensures relevance, fosters broad stakeholder agreement, and is well-received by both VET institutions and social partners. However, for occupations undergoing rapid changes, such as those impacted by the green transition, this approach may not address emerging skill needs in a timely manner. For example, jobs related to hydrogen, such as hydrogen fuel cell technicians, require workers to regularly update their skills and knowledge. Hydrogen is a rapidly growing field with emerging applications in transportation, energy storage, and industrial decarbonisation. However, it remains a maturing industry, with standards, safety protocols, and technologies evolving frequently, often on an annual basis. While reliance on social partners is crucial for revising VET qualifications, it may not be sufficient in addressing the specific needs of some green occupations.
Employers are at the forefront of changes taking place in their industries and know best about changing skills requirements. However, according to (Education Evaluation Centre (FINEEC), 2024[19]), the involvement of Working Life Committees in VET varies significantly across sectors and corresponding VET programmes, depending on how well-informed and mobilised the social partners in each sector are.
At the local level, around 30% of employers report collaboration with VET institutions (Figure 3.1, Panel A), and among those, 40% have established educational collaboration referring to development and design of educational programmes (Figure 3.1, Panel B). This involvement depends on the sector, as illustrated by the figure below, as well as company characteristics. Startups and small companies, including many in sectors driving the green transition, 2 may be less likely to collaborate due to limited resources and time. In emerging occupations driven by the green transition, social partners may not yet be organised, posing additional challenges.
In Finland, the challenge thus lies in accelerating the revision of qualifications, especially in areas where social partners’ involvement is limited and frequent updates are needed, while preserving successful elements of the existing process.
Note: In Panel A, the remaining share refers to the proportion of SMEs that do not collaborate with third-party institutions. This does not include collaborations with universities and research centres. In Panel B, the sum of the proportions by type of collaboration within each sector can exceed 100% due to multiple choice options. The category educational collaboration (educational collab) refers to developing or designing educational programmes.
Source: Yrittäjät, Finnvera & MEE (2024[25]), SME barometer 2/2024, www.yrittajat.fi/ajankohtaista/tutkimukset/pk-yritysbarometri-2-2024/.
The development of micro-qualifications for the green transition can be improved
Finland’s modular VET system provides a strong foundation for the development of micro-qualifications, as VET qualifications can be broken down into smaller elements – units – and are supported by a well-functioning skills assessment system that recognises competencies regardless of where they were developed.
The economic context in Finland provides a clear rationale for the introduction of micro-qualifications. In Finland, 43% of employers report acute skills shortages, slightly above the EU average of 40% (Eurofond, 2019[26]). Micro-qualifications offer a practical solution to address these shortages by providing targeted training that is shorter and more focused than full qualifications. A survey of VET providers confirms this need, with 50% of respondents indicating there is a need, or a significant need, for micro-qualifications (Education Evaluation Centre (FINEEC), 2024[19]).
Micro-qualifications in Finland allows for the combination of units from different qualifications and levels, creating a flexible tool to address labour market needs that require a variety of cross-disciplinary skills. This flexibility is especially beneficial for retraining current workers who need to develop new competencies in green technologies or transition to greener jobs often requiring cross filed competences. However, most micro-qualifications currently offered are in services and business fields, with few available in areas associated with the green transition. Before, micro-qualifications are extended to other fields of study, it is important to assess in which technical fields micro-qualifications can be successfully developed, as full qualifications may be necessary in some areas to meet all job requirements.
Micro-qualifications are not yet widely known among students and employers in Finland. Furthermore, the lack of reporting on available micro-qualifications, as discussed above, further contribute to their low visibility and diminishes their perceived value in labour market. Overall, limited reporting and visibility of micro-qualifications represent a serious barrier to their further development.
This section explores key policy discussions on how to refine and develop VET qualifications to support the green transition effectively. It focuses on four critical areas: improving the monitoring and management of qualifications and their units to ensure coherence and transparency; implementing timely and comprehensive updates to qualifications and units to meet emerging skill demands; promoting collaboration across VET providers and different levels of education; and expanding the use and recognition of micro-qualifications to support targeted upskilling and reskilling in green sectors. These options aim to provide actionable strategies for enhancing the responsiveness and relevance of Finland’s VET system in driving the green transition.
Monitoring and management of qualifications and units of qualifications
The Finnish VET system faces challenges in managing qualifications and their units, including overlaps between and insufficient reporting of local units. These issues complicate updates, reduce transparency, and hinder coherence between national and local qualifications. Addressing these challenges is essential to streamline processes, reduce redundancy, and better respond to evolving skill demands.
Define an appropriate revision timeline for different types of qualification units
To improve the monitoring and management of qualifications in Finland’s VET system, a structured categorisation of qualification units into three levels – Basic Competences, Broader Professional Competences, and Specific Occupational Competences – could enhance the clarity and responsiveness of the system. Such an approach is influenced by frameworks like those proposed by Kuusela et al. (2023[1]), GreenComp (2022, p. 51[27]) and Rutzer, Niggli and Weder (2020[28]), which emphasise the need for a balance between foundational knowledge, transferable skills, and specialised technical expertise.
Units of Basic Competences: Fundamental skills such as mathematics and national languages (e.g. Finnish/Swedish), which are foundational across all sectors and roles. They would typically correspond to ‘common units’ provided within USVQs.
Units of Broader Professional Competences: Skills that span multiple sectors and occupations, providing workers with versatility and adaptability in the labour market.
Units of Specific Occupational Competences: Specialised skills directly tied to particular occupations, ensuring individuals are equipped with the technical expertise required for specific roles.
This categorisation would provide a framework for tailoring the frequency of qualification reviews and updates to the type of skills/competences they provide. Specific Occupational Competences, being closely tied to technological advancements and dynamic industry demands, would require the most frequent updates to ensure their relevance. Broader Professional Competences, which are applicable across multiple sectors, could be updated less often, as their applicability is not as immediately affected by changes in specific industries. Finally, Basic Competences, which remain relatively stable over time, would require the least frequent revisions, ensuring a sustainable balance between adaptability and resource allocation in maintaining up-to-date qualifications.
A relevant example of qualification reform to enhance the management of qualifications based on their content and objectives can be found in Australia, where Industry Skills Australia, the Jobs and Skills Council for Transport and Logistics, has initiated projects to test a purpose-driven model for qualifications (see Box 3.2).
Australia is testing a purpose-driven model to enhance the clarity, responsiveness, and relevance of qualifications by aligning them with industry needs. This model is composed of two complementary initiatives.
The first initiative involves categorising qualifications by their purposes. These categories include:
Purpose 1: Qualifications leading to a specific occupation (e.g. licensed trades).
Purpose 2: Qualifications preparing learners for multiple occupations within an industry.
Purpose 3: Qualifications developing cross-sectoral or foundational skills applicable across industries or leading to tertiary education pathways.
By conducting a stocktake of existing qualifications, the project identifies opportunities to simplify and harmonise qualifications across sectors. A final report is expected to provide recommendations for improving the categorisation process and ensuring that qualifications better serve industry and learner needs.
The second initiative, a “Demonstration Project”, focuses on developing a qualification that supports worker mobility and skill transferability across various transport occupations, including road transport, logistics, ports, aviation, maritime, and rail. This initiative explores how qualification units with basic and specialist skills can be effectively packaged to achieve targeted outcomes. It also provides guidance on how to deliver basic skill unit depending on the workplace contexts.
Source: Industry Skills Australia, (n.d.[29]), VET Qualification Reform, www.industryskillsaustralia.org.au/vet-qualification-reform.
Classify skill requirements associated with the green transition
The categorisation of units based on the specificity of skills they provide, as described earlier, can be further integrated with a classification of “skills for the green transition”. In this approach, skill requirements within the units would be identified as green if they align with the demands of the green transition. A relatively simple method for classifying skills or requirements as green would involve matching the VET qualification content with the EU’s ESCO green skills classification (see Box 3.3).
ESCO introduced the green skills labelling in January 2022 to support the European Union’s goal of achieving climate neutrality by 2050. The labelling is based on the definition provided by Cedefop: “the knowledge, abilities, values, and attitudes needed to live in, develop, and support a society that reduces the impact of human activity on the environment” (Cedefop, 2012[30]).
The process for labelling green skills in ESCO follows a three-step methodology: manual labelling, the application of machine learning (ML) algorithms to classify green skills, and the comparison and manual validation of the results. In the first step, concepts related to skills and knowledge are manually labelled based on their definitions to determine if they align with the green skills criteria. The second step involves using an ML classifier, which is trained on a dataset of green, non-green, and brown skills, to categorise the concepts accordingly. Finally, the results from both methods are compared and validated to ensure consistency and accuracy in the labelling process.
In total, 571 skills and knowledge concepts have been labelled as green in ESCO, including 381 skills, 185 knowledge concepts and 5 transversal skills. These labelled concepts are valuable for public employment services, private companies, human resources departments, research institutions, and vocational education and training providers, helping to forecast green skills demand and identify potential gaps.
The data on green skills is available for download from the ESCO portal, where users can easily filter the concepts by applying the “Green Label” tag.
Source: ESCO, (2022[31]), Green Skills and Knowledge Concepts: Labelling the ESCO classification, https://esco.ec.europa.eu/en/about-esco/publications/publication/green-skills-and-knowledge-concepts-labelling-esco; Cedefop, (2012[30]), Green skills and environmental awareness in vocational education and training, www.cedefop.europa.eu/files/5524_en.pdf.
However, tailoring the list of skills for the green transition to Finland’s specific context would require a more intensive effort. Beyond matching skill requirements to ESCO green skills, this process could include analysing labour market trends and consulting social partners and experts in relevant areas. Such consultations would help identify key jobs for Finland’s green transition. This analysis could identify skills that are required by Finnish employers but are not included into the ESCO green skills catalogue. It could also reveal job roles that do not yet exist in Finland and may not be captured in the ESCO classification but are likely to emerge due to planned investments in green technologies. For example, if aviation, shipping, and heavy-duty transportation sectors shift to hydrogen-powered engines, the hydrogen sector will require specialists in hydrogen vehicle conversion – a job that is not common in Finland yet.
In the proposed approach, skills for the green transition would be matched to the qualification requirements listed on the ePerusteet website. This would enable an easy assessment of whether current qualifications meet the requirements of green jobs and identify any areas needing a fast revision. However, the current presentation and formulation of requirements on ePerusteet vary across the three types of VET qualifications (USVQ, FVQ and SVQ), making comparisons complex and time-consuming. Standardising the content and structure of skill requirements across different qualifications and units would streamline and accelerate the process of matching qualification requirements to the proposed classifications.
Improve reporting of local units
For local units, insufficient reporting and inconsistent descriptions are significant barriers to their integration with the broader system. A common framework and mandatory reporting of all local units to a shared platform, such as the ePerusteet service, would enhance comparability across local units and with national units. Local units could then serve as indicators of regional skill demands, providing valuable input for national qualification updates (Education Evaluation Centre (FINEEC), 2024[19]).
However, mandatory reporting may create an additional burden for VET institutions. To address this, a simplified reporting framework with predefined categories could ease the task. EDUFI is already providing guidance and training to VET providers on local provision, and these new elements could be seamlessly integrated into existing training programmes (Finnish National Agency for Education (OPH), 2024[23]).
Timely and comprehensive update of qualifications and units
Augment the processes of identification of emerging skill needs and development of qualifications with the use of innovative tools and methods
The pace of updating VET qualifications may not keep up with the rapidly evolving needs of green occupations. While consensus and involvement of key stakeholders in the revision process are essential to ensure that the skills provided meet the needs of both learners and the labour market, enriching this process with tools that offer up-to-date information on changing job requirements would enhance the VET system's responsiveness to the dynamic demands of green jobs.
Other countries face similar challenges in adapting the professional qualifications system to the rapidly changing labour market. To address this challenge, Estonia, for example, launched a national project to integrate jobs and skills forecasting (OSKA) with the professional qualifications system, creating a more flexible and responsive system called OsKuS. As part of the reform, the existing profession-based qualifications will be replaced by skills profiles, allowing for a more adaptable and skills-oriented approach. The project also includes the development of OSKA methodology, which will incorporate region-based forecasts and big data mining for more accurate predictions. Additionally, digital solutions will be created to manage skills registers, professional qualifications, and skills assessments. The reform is supported by funding from the European Social Fund and is set to run from 1 August 2022 to 31 August 2029 (ReferNet Estonia and Cedefop, 2023[32]).
Leveraging innovative methods, such as AI, machine learning, and big data analysis, offers a transformative opportunity to improve the responsiveness, efficiency, and alignment of Finland’s VET system with labour market demands. For example, AI-supported big data analysis can detect the growing need for green roles, while pinpointing specific regions or sectors experiencing these demands. It can also provide a nuanced understanding of job market dynamics, helping identify not only the jobs but the precise skill sets needed, such as expertise in electric vehicle programming or knowledge of circular economy practices. By collecting and analysing data from a wide array of sources – such as job market platforms, social media, or industry-specific databases – big data methods offer a comprehensive view of trends across multiple sectors (Cedefop, 2020[33]). This enables policymakers to identify regional disparities, sectoral imbalances, and emerging needs across entire economies. Big data can also reveal shifts in workforce demographics, helping identify groups that are underrepresented in green sectors and guiding efforts to make training more inclusive. By analysing this data, AI enables VET systems to make informed, strategic decisions about training programmes to be prioritised, ensuring they align with the most pressing industry needs. Similarly, machine learning can improve this process by continuously refining the analysis, enabling the system to better predict future trends based on historical data. This method can uncover hidden patterns, making it possible to identify emerging skill sets even before they become mainstream in the market. For instance, machine learning could highlight niche green technologies that will require highly specialised training, allowing VET systems to adapt quickly and stay ahead of market shifts.
These innovative methods would complement, rather than replace, existing structures for developing and updating qualifications. They provide additional insights from expansive, timely data sets, enhancing decision-making processes and ensuring that training systems remain responsive to rapid changes in the labour market.
Some countries are already using innovative methods in the identification of skill needs and associated development of VET qualifications. In Luxembourg, for instance, big data is being used to assess current skill needs and anticipate future demands, particularly through the analysis of textual data using natural language processing (NLP) tools. This approach offers some advantages over traditional methods, as it allows for the processing of vast amounts of unstructured data from multiple sources (e.g. job postings, industry reports, and social media) in real time. In Luxembourg, this big data analysis goes hand in hand with the National Employment Agency's use of descriptive statistics, stock taking, and foresight techniques, including experts’ workshops, meetings, and panels.
Another possible valuable application of AI and big data analysis is to support the integration of local qualification units into national frameworks. By analysing adoption patterns, skill relevance, and alignment with broader market trends, big data and AI could identify local innovations with strong potential for national adoption. For example, a local unit addressing green building techniques might demonstrate value across regions, warranting its elevation to the national level. This process ensures that local needs are lifted to the national level and successful local initiatives inform and strengthen the overall qualification system. This would require strengthened reporting of local units, as described above.
… and to assess overlaps and redundancies in qualification units
Innovative methods could also be used to identify and address redundant units within the qualification system in Finland. As described above, there is some overlap among qualification units at both national and local levels, leading to duplication and complicating the revision process. AI could facilitate the detection of redundancies by comparing content across local and national units, identifying overlaps that hinder system coherence. By identifying and eliminating redundant units, AI would enable a more precise evaluation of unit completions and the associated skills, and the reduction of the number of units thereby improving overall system management. As already mentioned, this process would require harmonisation of how VET qualifications are structured and how their content is reported across different types of qualifications.
Collaborative approach to identify sectoral needs linked to the green transition
Leverage institutional expertise to address green transition needs
Some VET institutions located in regions with a strong exposure to the green transition (e.g. because of their sectoral composition), or VET institutions specialising in specific sectors may be more advanced in identifying sectoral skill needs and providing education and training for green occupations. For example, VET institutions located in areas with a high concentration of companies specialising in energy technology are likely to have developed strong expertise in relevant fields, such as machine installation and maintenance, production, and electrical engineering. Given their specialised knowledge and existing collaborations with local employers, these institutions may be best positioned to take the lead in developing programmes and training initiatives within their areas of expertise. Sectoral expertise could then be shared across other interested institutions and used to inform the process of qualifications update and revision. Their expertise and experience can play a crucial role in informing and revising qualification content, as well as identifying the most effective methods for delivering corresponding skills to students. As described above, analysing local units and elevating some of them to national qualifications already serves this purpose in Finland (with scope for improvement).
Finnish VET institutions already collaborate actively to develop a national sustainability roadmap for the VET sector. The initiative, called the VASKI project, which has just ended, involved 61 institutions working collaboratively on different sustainability themes. Activities in the pedagogy and learning theme supported institutions in integrating sustainability competences (e.g. climate responsible operations, circular economy) in different professional fields and across different learning contexts (e.g. on line, within the institution, outdoors, and in the workplace). It also aimed to develop sustainability expertise and promote environmentally responsible behaviour in working life at different levels (employees, supervisors and management) (VASKI, 2024[34]). Following the completion of the VASKI project, it remains important for VET institutions to have platforms to exchange expertise on the green transition.
Some countries, such as Denmark, take this a step further by designating specific VET institutions as leaders in green-related sectors. The Danish government allocates additional funding and assigning selected institutions specific responsibilities related to the green transition, positioning them as leaders in their respective sectors. The expertise of these institutions in specific areas can then be shared and emulated by others (Box 3.4).
The Government of Denmark designated three VET institutions as new Climate Schools: Rybners in Esbjerg, TEC in the capital area and Herningsholm, and Vocational College & Upper Secondary School in Herning. The schools specialise respectively in the following areas: restructuring of the energy sector, agriculture and sustainable construction, and green transport.
The schools are expected to serve as driving forces for innovation and development across all vocational schools and training providers, sharing new knowledge nationally in their areas of expertise. They will help develop and disseminate new teaching courses, initiate experiments with the development and testing of new vocational and labour market training programmes and subjects. In the future, students from other schools will also have the opportunity to participate in specialised courses developed by the three climate schools. These courses can be delivered either at the student’s own school or directly at one of the climate schools.
Specific initiatives in green areas include:
In the energy sector, the school will have the opportunity to develop and offer teaching in special technologies in the energy field, where new knowledge is constantly being developed, for example in wind energy, heat pumps and solar cells.
In construction, the school should work with new technology and develop teaching methods in areas such as 3D printing of houses, recycled building materials, renovation, natural materials to reduce construction damage and material waste. In the field of agriculture, the school will have the opportunity to work with new robotics, automation and drones in precision agriculture, better use of agricultural land and regenerative agriculture – a sustainable agricultural practice with a focus on rebuilding and strengthening soil health and biodiversity.
The VET climate school specialising in green transport has recently opened the “Center for Transport Technology” – an innovation centre for green transport, which will house the country’s first vocational training for electric car technicians. The school will act as a development centre for the entire industry so that relevant professions such as mechanics, aircraft technicians and drivers, are better equipped to handle future demands for green transition and sustainability. The school will also work strategically to create new collaborations with companies, research and key players in green transport.
To set up this initiative and help the school to achieve these various objectives, the government is allocating EUR 14 million annually between 2024-2028 and approximately EUR 4 million thereafter.
Source: Denmark Ministry to Children and Education (2024[35]) Regeringen udpeger tre nye klimaerhvervsskoler, www.uvm.dk/aktuelt/nyheder/uvm/2024/sep/240913-regeringen-udpeger-tre-nye-klimaerhvervsskoler.
Involve universities of applied science and universities into development and revision of VET qualifications
Green jobs require a diverse range of skills. The car industry is an example of a sector undergoing a green transition, impacting various job types, including those linked to upper-secondary VET and post-secondary education. As hybrid and electric car engines become more widespread, car mechanics must acquire skills to work on vehicles equipped with electric batteries. The green transition also creates new and emerging roles in the car industry typically requiring higher-level education, such as engineers developing advanced car engine technologies. Within a specific sector, all types of skills are interconnected and essential. Engineers are needed to design car engines that emit less CO2. However, without skilled technicians able to assemble, inspect, and repair these cars, the market for vehicles with less polluting engines cannot effectively grow.
To deliver the range of skills needed to support the green transition within specific sectors, an approach that spans all levels of education and involves diverse stakeholders – such as representatives from industry, research institutions, and VET providers – would be most effective. In France, the Campus des métiers et des qualifications initiative represents an example of such an initiative. These campuses serve as innovation hubs where stakeholders co-develop curricula, implement advanced training methods, and ensure qualifications meet the specific requirements of local labour markets. Green consortia in Estonia representing universities, VET institutions and social partners play a similar role. They are responsible for revising and developing content of training programmes and qualification. Box 3.5 provides more detail about these two initiatives.
These collaborative models highlight the potential for similar initiatives in Finland to better align qualifications with labour market needs, particularly in the green sector. In particular, collaboration between VET providers and universities could be strengthened in Finland. While some VET providers may have established local collaborations with universities of applied sciences, VET institutions and UAS and research universities generally operate in silos. Stronger sectoral collaboration between the university sector, especially universities of applied sciences, and VET institutions could not only help update qualification content but also create seamless pathways between VET qualifications and higher-level degrees. For example, such pathways would enable graduates of VET qualifications in car mechanics to build on their knowledge and experience, transitioning into mechanical engineering programmes at a higher level, as will be discussed in Chapter 4.
France's Energy Transition and Eco-Industry Campuses
France’s one hundred and twelve Professions and Qualifications Campuses (Campus des Métiers et des Qualifications - CMQ) system demonstrates an innovative approach to bridging education, industry, and research in the context of the energy transition and eco-industries. These specialised campuses, located across France, focus on equipping learners with the skills required for emerging green sectors, while addressing regional economic demands and supporting national sustainability goals.
One exemplary initiative is the Smart Energy Systems Campus in the Auvergne-Rhône-Alpes region. This campus operates across the entire energy transition value chain, including renewable energy production, energy efficiency, smart grids, and hydrogen technology. By fostering collaboration between over 100 partners – including educational institutions, major corporations like Schneider Electric and EDF, start-ups, and research organisations – the campus aligns its training offerings with the needs of local industries. Its programmes range from vocational certificates (CAP) to doctoral studies, covering areas such as renewable energy installation, energy demand management, and intelligent infrastructure systems. The campus also develops innovative training modules and addresses regional labour market challenges through a combination of technical expertise and applied research.
The campuses also prioritise innovation and employability through initiatives like creating shared training platforms, enhancing digital learning tools, and facilitating international mobility for students. For instance, the Smart Light and Sustainable Lighting Solutions Campus in Lyon operates the Lumen City of Light hub, a European centre for research, training, and economic collaboration in the lighting sector. It develops new competency frameworks and training modules tailored to technological advancements in energy-efficient lighting.
Green Consortia in Estonia
Estonia launched a EUR 15 million initiative promoting green transition in companies, which will run until June 2026.
The purpose of the investment is to create flexible continuing education and training opportunities that facilitate the green transition of companies. The initiative involves a range of stakeholders representing five ministries, governmental agencies and social partner organisations representing both large companies and SMEs.
As part of the initiative, Green Consortia – sectoral working groups, develop curricula for higher and vocational education to support the green transition. There are nine consortia corresponding to nine industry sectors. The consortia members include HE institutions, VET institutions and social partners associations. For example, three universities, three VET institutions and nine social partner bodies representing a range of professions are part of a consortium on electricity and energy.
The consortia first identify skill needs for the green transition, followed by a review of existing qualifications to identify qualifications requiring revision and updates. This process may lead to the development of new units and modules. Finally, the consortia assess the training needs of teachers and other pedagogical staff to ensure they can deliver the updated or newly created content.
Following the work by the consortia, new education and training is implemented. The implementation stage involves:
Development of educational materials and methodological instructions (digital materials) to support the teaching of green skills.
Piloting of upskilling and reskilling training including new green modules/subjects (this may include microcredentials).
The initiative resulted in at least 2 830 employees participating in trainings with the duration of training courses 40-120 school hours. The new goal is train about 6 000 employees (around 1% of the employee population). The initiative also increased enterprises and workers awareness about learning opportunities in green transition related areas.
Source: MENESR (2025[36]), Transition énergétique / éco-industrie : les Campus des métiers et des qualifications, www.education.gouv.fr/transition-energetique-eco-industrie-les-campus-des-metiers-et-des-qualifications-9581; Drenkhan (n.d.[37]), Green skills to support the green transition of companies -activities in Estonia.
Expanding the use of micro-qualifications
Micro-qualifications are a strategic tool for addressing Finland’s critical skills shortages, particularly in sectors pivotal to the green transition. By complementing traditional qualifications, micro-qualifications provide a flexible and targeted approach to meeting urgent skills demands while aligning with Finland’s broader economic and sustainability objectives (Education Evaluation Centre (FINEEC), 2024[19]).
Develop micro-qualifications for the green transition
As a relatively new concept in Finland, several issues surrounding micro-qualifications still require clarification. Challenges inherent to VET qualifications, such as the lack of systematic reporting and harmonisation at the national level, are equally, if not more, relevant to micro-qualifications. Key questions remain regarding their governance and implementation: should micro-qualifications be defined nationally or locally and how can awareness and acceptance of micro-qualifications be increased among learners and employers?
Local development of micro-qualifications offers flexibility to address specific regional needs but risks creating overly tailored offerings designed for individual employers. This could lead to a proliferation of locally defined micro-qualifications with overlapping content, which may dilute their overall value. Conversely, national recognition ensures standardisation and coherence but risks slowing down the development process and failing to address local labour market needs effectively.
To strike a balance, systematic reporting and the collection of information on micro-qualifications should be prioritised. This process could help identify and remove redundant offerings, improving their quality and relevance. In the long term, micro-qualifications should be included in Finland’s KOSKI platform, a central database accessible to VET providers, learners, and employers.
Some countries have an official registry of recognised microcredentials (that share similarities with the Finnish micro-qualifications). In France, the Répertoire Spécifique des Certifications et Habilitations provides an official registry of validated microcredentials, ensuring they meet predefined skill requirements and industry relevance following a rigorous validation process (France Competence, 2023[38]). Similarly, in Canada, the Ontario Microcredentials Portal includes microcredentials that have been vetted and aligned with industry standards, ensuring their reliability and value both for learners and employers (Government of Ontario, 2023[39]).
Another significant challenge is to overcome resistance to micro-qualifications, as full qualifications remain well-recognised and highly valued in the Finnish labour market. In this context, it is important to identify a market for micro-qualifications and areas where they can have an impact. Large firms, which are generally more productive and tend to attract candidates with higher skill levels may still prefer full qualifications (Håkanson, Lindqvist and Vlachos, 2015[40]; Criscuolo et al., 2020[41]; OECD, 2024[42]). However, SMEs and startups, which often struggle to attract talents due to their smaller scale and perceived lack of job security, could benefit significantly from micro-qualifications. These credentials can expand their talent pool by providing a targeted means of equipping workers with the specific skills needed for their operations. Finally, sectors experiencing acute labour shortage may also be more open to employing workers without full qualifications. Moreover, micro-qualifications cannot only be seen as an alternative to full qualifications, but also as complementary, e.g. to top-up a full qualification with specific (new) expertise.
Engage social partners in the development of micro-qualifications
A social partner-driven approach to micro-qualifications is particularly effective in rapidly changing sectors such as those linked to the green transition. Designed in direct collaboration with industry stakeholders, these credentials address specific labour market needs, ensuring their immediate applicability and value for both workers and employers. This collaborative model also fosters trust among employees, who see these micro-qualifications as directly enhancing their work, and among employers and VET providers, who recognise their role in addressing skills gaps.
A green skills label validated by employers and key stakeholders across green industries can serve as a quality mark. This would ensure that certified micro-qualifications meet industry standards and address essential skill gaps required for the green transition. In the United Kingdom, the National Cyber Security Centre (NCSC) offers a Certified Training scheme that assures the quality of both the content and delivery of cyber security training courses (NCSC, 2024[43]). Training providers can apply for this certification, and once approved, they can display the NCSC Certified Training logo on their courses, signalling to employers and learners that the training meets the NCSC’s rigorous standards. While the UK example focuses on micro-qualifications in the cybersecurity sector, similar initiatives could be developed in fields related to the green transition, particularly in areas where employment is rapidly growing.
In addition to defining their needs to be addressed through micro-qualifications, social partners can also contribute to the provision of training leading to these credentials. Their involvement may include financial contributions as well as the management of training schemes, such as selecting training providers. A prime example of this approach is Luxembourg’s Centre de Compétences en Efficience et Transition Énergétiques (see Box 3.6). The Centre develops specialised training programmes to equip workers with green competencies such as in renewable energy technologies and to support Luxembourg’s energy efficiency and sustainability goals. By addressing specific industry demands, the Centre ensures these credentials are both practical and widely recognised, fostering trust among employers and employees alike.
Centres de Compétences de l'Artisanat advances vocational training in Luxembourg, with a strong emphasis on supporting the green transition. The Centre was founded in 2015 by employer associations and trade unions representing the building and construction industry. It is funded by member companies through contributions equivalent to 0.5% of total wage costs. The Centre offers 1 000 training modules across 50 professions and has 2 000 contributing member companies. To compare, in 2023 there were 4 570 companies in the construction sector in Luxembourg. In 2022, 11 615 employees were trained by the Centre.
One of its recent initiatives is the Centre de Compétences en Efficience et Transition Énergétiques (CdC ETE) established in 2023 to address the growing demand for skills in energy efficiency and sustainability among craftsmen, small and medium-sized enterprises (SMEs), engineers, architects, and local and national administrations. The training programmes combine practical and theoretical learning, ensuring training is aligned with current industry needs. Training is delivered at the Krakelshaff Training Centre, combining state-of-the-art facilities with expert-led instruction. Key features include:
Focus on Energy Efficiency and Renewables: Advanced training in energy efficiency, sustainable development, and renewable energy technologies.
Comprehensive Pedagogical Framework: Training programmes are structured around the European Qualifications Framework (EQF), ensuring alignment with EU standards for skill recognition.
Public Awareness Campaigns: Practical workshops, communication campaigns, and participation in fairs and events to raise awareness of energy issues and promote sustainable behaviours.
The provided training varies in difficulty, spanning multiple EQF levels to address a wide range of needs. It includes both general principles of the green transition and highly specialised training in specific technologies. The training can consist of one or multiple units, depending on the topic and required depth. For example, the “Introduction to Intelligent Energy Management” course, classified at EQF level 5, has a duration of 8 hours and is designed for company owners, architects, and other professionals in the construction sector who have a qualification of at least EQF level 4. The “Refrigerant Fluids Certification – Category 1” is delivered over 40 hours at EQF level 3 and is aimed at semi-qualified workers holding a qualification equivalent to EQF level 2. The training modules count towards a full qualification. Training costs are fully or partially covered for contributing companies.
The CdC ETE collaborates with other international vocational training centres specialising in energy efficiency to ensure training remains aligned with global best practices and innovations. The CdC ETE is supported by the Ministry of the Environment, Climate and Sustainable Development, the European Social Fund, and the Technical Building Engineering Competence Centre.
Source: MECDD (2024[44]), Centre of Competence in Energy Efficiency and Transition - CDC GTB/PAR, www.cdc-gtb.lu/cdcete/; Les Centres de Compétences de l’Artisanat au Luxembourg (n.d.[45]), Au Coeur des Compétences, https://fonds-europeens.public.lu/dam-assets/publications/fse/autres-documents/prsentation-centres-de-comptences.pdf?utm_source=chatgpt.com; Statistiques Luxembourg (2022[46]), Population of active enterprises by branch (NACE Rev. 2) (number, relative shares, evolution), https://lustat.statec.lu/vis?lc=en&pg=0&snb=1&df[ds]=ds-release&df[id]=DF_D1300&df[ag]=LU1&df[vs]=1.0&dq=..A&pd=2015%2C2022&to[TIME_PERIOD]=false.
Finally, cross-country collaboration in the development of micro-qualifications in green sectors offers numerous benefits. It facilitates the exchange of expertise in fields often involving emerging technologies and helps assess their potential impact on skill requirements. For instance, a country like France, with its extensive experience in nuclear energy, could provide valuable insights to a country with limited expertise but looking to expand its nuclear sector. One key spillover of such collaboration is the transfer of know-how among companies. The MASTERY project, an Erasmus+ funded initiative in the European Union, exemplifies this approach. By actively engaging various stakeholders, it develops and pilots green micro-qualifications in sectors such as agri-food, construction, wood, and manufacturing (see Box 3.7). Finland is already participating in this initiative and, if successful, could expand a similar approach to other industries.
The MASTERY project, funded by the Erasmus+ Programme, is a forward-looking initiative that brings together VET providers, research and development centres, business support organisations, and public authorities across Europe to make the green transition a driver of development for businesses and communities. Coordinated by Sistemi Formativi Confindustria SCPA (Italy) and implemented in Finland by the Pyhäjärvi Institute (PJI), MASTERY focuses on fostering collaboration between vocational education and industry, transforming how training needs in green skills are addressed through innovative approaches in micro-credential validation and transferability.
MASTERY focuses on micro-credentials tailored to green skills in high-demand sectors, such as Agri-food, Construction, Wood, and Manufacturing, with an emphasis on sustainable management competencies. By targeting specific, short-term educational units, these micro-credentials deliver flexible, focused learning while ensuring the assessment of learning outcomes and certification of competencies.
A key component of the project is the piloting phase (2024‑26), during which MASTERY will test micro-credential solutions on the ground to assess their impact and applicability. This phase involves 13 pilot projects across Italy, Spain, Finland, Bulgaria, and Belgium, targeting 100 workers or students and focusing on three key green skills in each sector. The pilots are supported by multi-actor groups that include training institutions, labour market representatives, and public and private sector stakeholders. These pilot groups consolidate experiences from the micro-credential rollout, ensuring that the lessons learned contribute to broader applicability and portability of these credentials across Europe.
MASTERY’s outcomes are expected to inform policy recommendations for transnational micro-credential applications, particularly to enhance life-long learning options and provide clear pathways for skill portability and flexibility. By piloting green micro-credentials in strategic sectors, MASTERY aims to guide vocational training systems toward a greener economy and promote the widespread adoption of circular economy principles across Europe.
Source: EU (2024[47]), MASTERY – Micro Credentials Reliability Unleashing Green Economy, https://mastery-microcredentials.eu/what-is-mastery/.
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← 1. This concept defined here as “micro-qualification” has been recently developed in Finland and there is no specific name to designate it. The term ‘micro-qualification’ is used for the purpose of this study and my differ from the terminology used in Finland.
← 2. In the United States small firms were more likely than larger firms to have green technology as a core part of their business (Breitzman and Thomas, 2011[48]).