Recognition of skills is increasingly seen as a tool on how to improve matching of skills and jobs. Systems that help individuals to assess and recognize their skills become important instruments in employment and skills development policies. They emerge on national, regional or sectoral levels.

Reasons for which these systems are developed and implemented are diverse. If successful, they can bring significant value to individuals and employers alike. But the evidence of their real, direct labour market impact for target groups is difficult to obtain. The objective of the current ILO initiative is therefore to analyse this impact of skills recognition systems as well as factors that may influence it.

The logic here is that the recognition of skills as a process does not end with the issuing of a formal document or certificate. Even certified skills must be then recognized by those who can use them, who value them and are willing to pay for them – the employers. The real recognition of the skills takes place in the labour market. It is their practical value that makes the difference – in hiring, career and educational pathways, promotion and remuneration.

With regard to this, the research is looking for answers to two major questions:

• What is the market value of recognized skills and how can we measure it?
• How can we build a recognition system that is likely to achieve a strong labour market impact of the recognized skills?