How does educational attainment translate into skills and jobs?

In recent decades, educational attainment has risen significantly in OECD countries, with a declining share of young people leaving school without qualifications, the near universalisation of upper secondary education and the rapid expansion of tertiary education. This progress has been accompanied by better integration of young adults into the labour market, particularly the less well qualified, who have seen unemployment rates fall sharply. However, these advances have not always translated into stronger skills. PISA, which assesses 15-year-olds, has seen average performance in reading decline since 2012, while the 2023 Survey of Adult Skills found that even among those with upper secondary and tertiary attainment, a small but non-negligible share of 25-34 year-olds demonstrated limited literacy and numeracy skills. This paradox – improvements in attainment, but not necessarily in skills – raises questions about the relationship between education systems, the labour market and skills development throughout life, and more broadly about the overall quality of education.