This report presents a detailed analysis of the institutional framework and policy learning process
regarding school to work (STW) transition, youth employment, and the vocational education and
training (VET) system in Turkey. The report is based on a desk study and a qualitative fieldwork
which included 11 in-depth elite interviews with key personnel from several ministries, representatives
of civil society organizations, one major corporation, and representatives of international agencies.
Turkey’s working age population will expand by over 800,000 every year during the next decade and
will reach 68.6% of the population in 2023. The increase in the productive population will either lead
to a demographic advantage or a threat of youth unemployment. Despite the potential of labour
capacity with a significant proportion of the population below age 15 compared to other OECD
countries; quality and equity remain as challenges for youth’s further education and employment. In
the field of STW transition, Turkey has various issues to solve, including improving equity between
regions and urban and rural areas; addressing the needs of disadvantaged students; preparing
quality teachers and school leaders, improving access to and completion of upper secondary
education, VET and tertiary education; strengthening links to the labour market and adequately
funding the education system.
Regarding the labour market, the employment rate for the working age population (15+) is around
45%, significantly lower than the OECD average of around 55%. The low level of female LFP lies
behind Turkey’s low employment rates. While male LFP was recorded as 76% in 2012, female LFP is
only 30%, less than half of the average of OECD countries. The unbalanced relation between
Turkey’s employment protection legislation (EPL) and job quality has been one of the main
controversial issues which shapes Turkey’s labour market. Turkey’s employment protection rules are
still one of the most rigid among OECD countries in terms of temporary employment, employment
through work agencies and severance pay. On the other hand, Turkey performs poorly among the
OECD countries in three job quality dimensions: earnings quality, labour market security and quality
of the working environment. Furthermore, Turkey still has the highest proportion of NEETs among 15
to 29 year-olds across OECD countries: 29.2% compared with the OECD average of 15%. Under
these conditions, policy learning is a major issue in terms of implementing structural changes.
Since 2004, the EU accession negotiations process has left a big mark on Turkey in terms of policy
making and projects. The conditionality for the EU accession process has shaped policy frameworks
in diverse fields in Turkey, leading to legislation in line with the EU acquis. However, in the past few
years, EU’s impact on Turkey’s political agenda has slowed down, which is also reflected in policy
making on employment-related issues. EU-funded projects are still actively operated by state bodies,
whereas the EU’s agenda setting role is diminishing. Rather national programs/projects, originally