Title: Higher Education Reform in Korea
1Higher Education Reform in Korea - Policy
Responses to a Changing Labor Market -
February 13, 2007
Moon Hee Kim Ministry of Education Human
Resources Development Republic of Korea
2CONTENTS
1
Overview
2
The Change of Labor Market
3
HE Policy Responses to Labor Market Change
31.
4Number of Students Schools, HE
ltAs of April 1, 2006gt
5Economic Development
6Sequential Expansion of Education
- Step-by-step attainment of universal education
primary ? secondary ? higher education
Elite
Mass
Universal
? Trow, Forms and Phases of Higher Education
Elite ? Mass ? Universal
7Policy Foci for Economy and Education
82.
The Change of Labor Market
9Changes in Industrial Structure
lt Employment Structure gt
? 2015p Agriculture 5.5, Manufacturing
Construction 18.3, Service 76.2
10Demographic change
Low Fertility
Ageing
Demographic structure age group
Total fertility rate No. of birth
11Youth Unemployment
- Youth(1529?) Unemployment(06.11),
7.5(34.3mil.) 2.3times greater than the overall
UR
Unemployment rate()
12Skill Mismatch / Low Satisfaction
- Skill Mismatch in labor force
Supply
Lack of qualified core talents
Demand
Youth unemployment (343,000)
Labor shortage at SMEs (197,000)
- Low level of satisfaction towards university
graduates
? Ranked 50th out of 61 countries in terms of
university education meeting economic
demands(IMD, 2006)
13Wage gaps / Wage premium
- Increasing non-regular employment ? widening a
wage gap. - University premium decreased until mid-90s but
143.
HE Policy Responses to Labor Market Change
15Vision and Goals
Globally Competetive Higher Education
Industrial engineers (Junior Colleges )
Restructuring competition
Selected funding for specialization
LB information
Partnerships
16Major strategies
- Improvement of HE/labor market information
- - manpower forecasting and assessment of
skill requirements - Promotion of restructuring and competition
through - market discipline
- - use of various incentives and disincentives
- Funding based on selection and concentration
- - targeted funding for specialization and
regional parity - Financing learners rather than providers
- - learner-oriented/demand-side financing
(student loans) - Enhancement of networking and partnerships
- - with local governments and business community
17HE Reform Initiatives
- Strengthening graduate programs in high
value-added service areas medicine, law,
international finance, MBA, etc - Introduction of a new HE quality assurance system
- - Establishing the new quality assurance
agency including the - accreditation and certification process
with global standard - - Financial provisions aligned with
institutional evaluations - Clearing HE information
- - Inputs measures PT ratio, unit
expenditure, occupancy/ enrollment rate - - Process/Outcome measures
persistence/graduation rate, employment - rate, customer satisfaction, etc.
- Financial incentives for reform and restructuring
HE Inst. - - Subsidies linked to amalgamation among
institutions
? Reducing enrollment by 50K students by 2009(18
inst. merged into 9, as of 2006)
18Major Programs to enhance the Quality
(1US 1,000KRW)
? 1st-Phase Brain Korea 21 (19992005, US
1.4billion) ?Enhanced university research
capacity induced competition ? Number of
BK21 science tech SCI-level papers 3,765(1998)
? 7,947(2005) ?Produced scientists of
international competence ? Number of
doctors in science tech(19992005) 6,602 ?
2nd-Phase Brain Korea 21 (20062012, US
2.3billion) ?Cultivate 20,000
graduate-level best brains per year ? 74
universities, 244 project units, 325 project
teams(2006, US 290million) ? New University for
Regional Innovation (20042008, US 1.2billion)
?Specialize local universities nurture human
resources readily adaptable to the
industry ? 109 local universities, 130
project units ? Connect Korea
Project(20062010, 150million)
?Strengthening partnership b/w universities and
industry ?Establishing Consortium b/w TLOs
(Technology Licensing Offices) in univ.
19Government Role
- Coordinate HRD/VET polices among different line
ministries. - - Ministerial Committee on HRD (chairperson
DPM) - - The Committee is composed of 14 Ministers
20Thank you
mhk3333kim_at_moe.go.kr