OREANDA-NEWS. August 30, 2011. Although the latest DnB NORD Latvian Barometer study finds that local residents are a bit more positive about the overall situation in the country, the material status of their families and their abilities to find a good job than they were last month, 71% of respondents still think that the country is developing in the wrong direction.  Because of ongoing political events, moreover, people have become more critical about the government's work, reported the press-centre of DnB NORD.
 
The study this time also looked at people's views about the importance of education in the labour market.  The results show that most residents believe that education is quite important, but it is not the decisive factor in gaining achievements in one's professional life.  One-third of respondents, moreover, said that their education has not helped them in their career.  A bit less than one-half said that for various reasons, they are not working in the area of specialisation which they studied at one time.

Overall mood indicators in the study show that in June, as in May, 71% of respondents were critical about the situation in the country.  Positive statements, however, were made a bit more often than previously – 13% of respondents think that the situation in Latvia is moving in the right direction.  That is 2% more than in May.

Both in May and in June, 79% of respondents said that the economic situation in the country at this time is bad.  When asked about economic development, fewer respondents in June than in May said that it is worsening (42% in May, 38% in June).

When asked about the material situation of their families in June, respondents had similar responses than in May – 47% said that their family situation is a poor one (46% the month before).  Asked about possible changes in this regard, a larger percentage of respondents said that they expect their material situation to improve gradually – 15% in May and 17% in June.  The number of respondents who believe that their material situation one year from now will be worse, moreover, declined by 2%.

Compared to the last DnB NORD Latvian Barometer study, public opinion has improved a bit when it comes to finding jobs.  Fewer respondents said that it is difficult to find a job in Latvia than was the case in May, though the decline was insubstantial – where 82% thought so in May, 80% said so in June, and that remains a very high percentage.

Public opinion has become more critical as to the quality and effectiveness of the government's work.  The percentage of respondents who are dissatisfied with the government rose by 4% from 83% to 87% on the month.

The second section of the DnB NORD Latvian Barometer study focused on the role of education in the labour market, professional achievements and career development.  People were also asked about the quality of professional and higher education in Latvia and the factors that should be taken into account in setting education priorities, the distribution of state-financed study slots at educational institutions, etc.

Asked about the most important factors which employers take into account in looking for new employees, most respondents spoke of experience in the relevant area (64%).  Nearly one-half (49%) spoke about education and professional abilities and skills (43%), and the age of the applicant was cited by fully 40%.

Asked about the effects which education has on doing well in the job market, 24% of respondents said that it is of decisive importance. Most respondents (58%) disagreed, and 13% said that education is of no importance at all in this regard.  When asked whether their education helped the in finding a job and ensuring career growth, however, most respondents said that yes, their education has provided them with certain advantages.  37% said that their knowledge gave them advantages, while 27% said that the most important element was the diploma which offered confirmation of their education.  Approximately one-fifth of respondents also said that contacts among colleagues which they obtained during their educational process have been of assistance in their professional life.  It does have to be said, however, that 28% of respondents said that their education did not offer them any fundamental advantages in terms of their career.

DnB NORD Bank economics expert Peteris Strautins says that the views of local residents about the role of education in achievements is quite pragmatic and logical:  "I agree with these views, because even the very best education will not prepare people for their duties in real life.  There's no question that education is important, but its role can be exaggerated."

Respondents were also asked about what they would be prepared to do in the near future to get a better job or a promotion.  20% said that they would invest time and money in education, while 17% would be prepared to look for a new job in their area of specialisation.  20% of respondents said that they would be prepared to move to a new location for this purpose.

Elina Egle, an advisor to the Latvian President in the area of the economy, entrepreneurship and employment, argues that labour force migration does not have to be viewed critically at all times:  "When people seek to become more flexible and mobile to find a job in a new place, that is a positive thing.  People are ready to learn and move to a new location, which has been a long-lasting problem.  People are more often to move from Daugavpils to Dublin, as opposed to accepting a job in Liepaja."

It is important that nearly one-half of respondents in the DnB NORD Latvian Barometer study said that they are not working in the area of specialisation which they studied.  31% do not do so at this time, though in the past they did do, and 12% have never worked in the relevant area.  Only fewer than one-third of respondents currently have a job in their area of specialisation.

When asked why they do not work in their area of specialisation, 23% of respondents said that there was no specific reason why they found work in another area, and 22% said that it is hard to find a job in their area of specialisation.  12% of respondents said that wages are comparatively low in their area of specialisation, and 10% said that their profession is out-of-date and no longer necessary today.

Asked whether their employer financed job-related training at any point over the lats 10 year, one-third of respondents said now.  21% said that there was training on the job and that the employer provided other opportunities to develop qualifications.

Most respondents said that professional and higher education institutions in Latvia train young specialists for the labour market in a good way.  57% of respondents praised higher education in this regard, and 51% said the same about the investment which secondary professional education institutions make in preparing young specialists.  34% of respondents, however, think that secondary professional education institutions do not train students for the labour market very well at all, and 26% said the same about higher education institutions.

The deputy board chairman of the Turiba School of Business, Aldis Baumanis, says that these data must be treated cautiously, because "overall it suggests that people trust higher education more than the secondary professional education system, where the indicators are more critical.  These views exist despite the fact that the professional education system should be focused directly on the labour market."

Asked to forecast those areas in which there will be the greatest demand for educated employees 10 years from now, people pointed to information technologies (45%), health care (41%) and engineering (36%).

Finally, people were asked to say what needs to be taken into account in dividing up educational financing.  53% said that the important thing is to decide on which areas will need the largest number of employees in future, while 50% said that suggestions from employers should be considered.  Meanwhile, nearly one-quarter of respondents said that one of the guidelines in this regard must relate to the priorities which the government has set out in terms of economic sectors – those with respect to which new specialists must be trained.

The DnB NORD Latvian Barometer is a widely recognised sociological study in Latvia.  It is conducted once a month to study important aspects of public affairs at any given time.  There are also questions which are posed every month so as to monitor the mood of Latvia's residents on an ongoing basis.