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EDUCATION

Graduate pay gap hits record level

The gap in pay in Germany between those with a degree and those without has increased massively since 2000, according to a report released on Tuesday, which found levels of education were largely dependent on your parents' education.

Difference in wages between more and less educated workers has increased worldwide but the gap has widened particularly drastically in Germany, the OECD education report found.

Today, workers with a degree earn 74 percent more than those who did not go to university. In 2000, the pay difference was 45 percent. The OECD average is 59 percent.

A gender pay gap also still exists even between people with the same level of education. Women with a university qualification are paid only 72 percent of the earnings of a similarly-educated man.

The report praised Germany’s education system but highlighted worrying trends, including “downward mobility” – when children achieve a lower education level than their parents. This applies particularly to young adults.

“Among 25-34 year-olds in Germany, educational upward mobility is less common than downward mobility,” the report found. "Among non-students of this age, only 19 percent have higher educational attainment than their parents, while 24 percent have a lower attainment."

A person’s education success was strongly linked to their social background – 58 percent of adults have the same level of education as their parents. 

The report, which compared the education systems of the 30 biggest industrial countries, also noted that German adults were less literate than their counterparts in other countries.

The 2012 Survey of Adult Skills found the average mean literacy score of adults was below the OECD average.

But the report praised Germany for trying to get more young people into university and for increasing education funding, although at 5.1 percent of GDP it remains below the OECD average of 6.1 percent.

SEE ALSO: German students fail to graduate in time

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EDUCATION

Sweden’s Social Democrats call for ban on new free schools

Sweden's opposition Social Democrats have called for a total ban on the establishment of new profit-making free schools, in a sign the party may be toughening its policies on profit-making in the welfare sector.

Sweden's Social Democrats call for ban on new free schools

“We want the state to slam on the emergency brakes and bring in a ban on establishing [new schools],” the party’s leader, Magdalena Andersson, said at a press conference.

“We think the Swedish people should be making the decisions on the Swedish school system, and not big school corporations whose main driver is making a profit.” 

Almost a fifth of pupils in Sweden attend one of the country’s 3,900 primary and secondary “free schools”, first introduced in the country in the early 1990s. 

Even though three quarters of the schools are run by private companies on a for-profit basis, they are 100 percent state funded, with schools given money for each pupil. 

This system has come in for criticism in recent years, with profit-making schools blamed for increasing segregation, contributing to declining educational standards and for grade inflation. 

In the run-up to the 2022 election, Andersson called for a ban on the companies being able to distribute profits to their owners in the form of dividends, calling for all profits to be reinvested in the school system.  

READ ALSO: Sweden’s pioneering for-profit ‘free schools’ under fire 

Andersson said that the new ban on establishing free schools could be achieved by extending a law banning the establishment of religious free schools, brought in while they were in power, to cover all free schools. 

“It’s possible to use that legislation as a base and so develop this new law quite rapidly,” Andersson said, adding that this law would be the first step along the way to a total ban on profit-making schools in Sweden. 

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