ERIC Number: ED565189
Record Type: Non-Journal
Publication Date: 2012-Jul
Pages: 133
Abstractor: As Provided
ISBN: 978-0-920588-51-2
ISSN: N/A
EISSN: N/A
Investing in Upskilling: Gains for Individuals, Employers and Government. In Focus: Benefit Receipt Payments
Murray, Scott; Shillington, Richard
Canadian Literacy and Learning Network
Examining costs and savings associated with moving every Canadian with a Literacy Level 1 or 2 (on the international literacy scale) to Level 3, this analysis is based upon statistically matched data from the "2003 International Adult Literacy and Skills Survey and the 2005-2009 Surveys of Labour and Income Dynamics." The methods provide a mechanism to explore the relationships between benefit receipt and literacy skill. As champions for literacy and essential skills, we know that literacy is a key factor in determining an individual's labour market outcomes--and we set out to prove it by looking at linkages between benefit programs (Employment Insurance, Workers' Compensation and Social Assistance) and literacy levels. Key findings are: (1) National and international literature confirms the correlation between literacy proficiency and individual earnings, as is the common belief within the field, and that the impact of literacy on earnings varies from country to country yet is strongest in North America; (2) Those Canadians who do not complete high school are more than three and a half times as likely to be on social assistance; (3) Social Assistance rolls across Canada would be reduced by 84,000 people, if Canadians' literacy level was increased to OECD recommended standards for internationally competitive productivity; (4) Direct annual savings resulting from an assumed one-time $29 billion investment in upskilling Canadian adults 16 and older would be $2.92 billion: $330 million on Employment Insurance, $2.1 billion on Social Assistance, and $490 million on Workers Compensation; (5) Investment in upskilling Canadians would increase earnings by $85.25 billion or an average of $3,244/worker annually; and (6) Tax revenue and program savings would increase annual fiscal return for governments in Canada by 425%. Three annexes are included: (1) References to Research; (2) Statistical Tables; and (3) Methods Employed to Link the Survey of Labour and Income Dynamics (SLID) and International Adult Literacy and Skills Survey (IALSS) (IALSS) Datasets.
Descriptors: Foreign Countries, Costs, Income, Adult Literacy, Welfare Services, Reading Skills, Competence, Best Practices, Educational Quality, Skill Development, Economic Impact, Surveys, Correlation, Educational Finance, Expenditures, Outcomes of Education, Statistical Analysis, Educational Attainment, Taxes, Government (Administrative Body), Workers Compensation, Unemployment, Gender Differences, Regression (Statistics)
Canadian Literacy and Learning Network. 342A Elgin Street, Ottawa, ON K2P 1M6. Tel: 613-563-2464; Fax: 613-563-2504; e-mail: clln@literacy.ca; Web site: http://www.literacy.ca
Publication Type: Reports - Research; Numerical/Quantitative Data
Education Level: Adult Education
Audience: N/A
Language: English
Sponsor: N/A
Authoring Institution: Canadian Literacy and Learning Network
Identifiers - Location: Canada
Identifiers - Assessments and Surveys: International Adult Literacy Survey
Grant or Contract Numbers: N/A