The measurement of training opportunities course outcomes: an effective policy tool?

Abstract

Training Opportunities is an active labour market policy initiative, and part of a response to the entrenched problems of unemployment in Aotearoa New Zealand. The funding and implementation of Training Opportunities are determined in part by a particular system for measuring course outcomes. This paper argues that this measuring system should not be used for policy development, due to measurement errors and problems assigning causality to the intervention. Consequently, various disincentives arise that contradict the objectives of Training Opportunities. While accountability is important, the over-reliance on the narrowly defined Training Opportunities outcomes undermines the ability of providers to assist the unemployed, and thereby contribute to the policy goals of reducing unemployment and labour market disadvantage in New Zealand.