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This chapter offers an ecological analysis of the overarching macrosystems of career development in New Zealand and the exosystem expression of these in the four broad areas of the country's (i) economy, (ii) poli ty, (iii) occupational i nfrastructure, and (iv) education and training system, alongside related areas of sociocultural traditions and international economy . Together, they constitute dimensions of the dark shaded ' outer circle' in Figure

3 . 1 .

A premise of this chapter is that advances in the provision of school-based career services depend partly on a systematic understanding of the ecological c ontext in which this provision has emerged and exists. Consequently, the discussions herein adopt an historical perspective, with most topics being e xplored within the chronological period from World War 11 to the present, although at times it has been necessary to examine important developments that occurred earlier this century also.

·· . · .. .. .. Family system Peer Guidance •• ·•• ·•• ••.

netwo�··· Adolescent\ group :' career \

School

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development l

environmen� quest /

'. Phil ._ b \ for direction" . / . Community .

'-. Policy • • ... �· mvolvements/ � / ····... -�/· ·.. . · ·. Figure 3.1

Macrosystem and exosystem features of adolescent career development in NZ

The analysis commences with the country' s economic infrastructure, the essence of which reflects changing needs in human resource development. Associated changes i n the role of the S tate are then explored alongside changes in the accompan ying phi losophical orientation of policy formul ation, the n ature of which exert considerable influence on career development initiatives in this country. These have been particularly profound in rel ation to the n ation ' s education and train in g system in recent years. The nature o f this system i s then examined, before moving on to trace emergent policy initiatives which recognise a greater role for career guidance services i n the post-reform era. These initiatives will be discussed more fully in the fol lowing chapter which expl ores the development and nature of career guidance services in the country ' s secondary schools.

3.2 The New Zealand Economy

New Zeal and is a relatively small advanced capital ist trading nation. From the ti me of European settlement in the mid-nineteenth century until the l ate 1 960s, the nation functioned as something of an offshore fann for Britain. An extensive supply of temperate pastoral l and, together with its small popu l ation, enabled the nation to export l arge quantities of pastoral products in exchange for the goods and services which m ade for an internationally comparable h igh standard of living ( Raynor &

Lattimore, 1 99 1 ). A protected economy was adopted as a means of fostering manufacturing development and employment, and maintaining external balance. The dominance of agricultural commodity exporting coupled with import controls led to the demand for a predominantly semi-skilled human resource base capturing assembly and processing skills (New Zealand Planning Council, 1 989). It also led to a low demand for professional and managerial personnel . In this context, early New Zealand was able to maintain high per capita incomes and ful l employment despite a relati vely undeveloped skill base. In his analysis of the country ' s involvement in the i nternational economy, Wooding ( 1 993) claimed it was likely that the nation had close to the high est material standard of living in the world during the first half of the twentieth century. This w as particularly evident during commodity booms such as that which occurred during the Korean war in 1 950-5 1 :

Helped by the wool boom generated by the Korean War, New Zealand gained a level of income per capita close behind the United S tates and Canada in 1 95 0 (Wooding, 1 993, p.93).

The international context began to change toward the close of the 1 960s . The changes had a considerable effect on New Zeal and's economic infrastructure and in the rel ated area of human resource development needs . Surpluses generated by the Common Agricultural Pol icy of the European Economic Community (EEC), coupled with B ritain ' s entry i nto the EEC in 1 973 (Hawke, 1 985), exposed the vulnerability of New Zealand' s tradi tional reliance on a narrow range of agricultural exports (Raper, 1 993 a). The combi ned i mpact on the country ' s economy of the 1 973-74 oil shoc k and the col lapse of the commodity price boom of earlier decades was dramatic, as i mport prices rose relative to export prices and the terms of trade (the quantity of i mports a given quantity of exports will buy) fel l (Gou ld, 1 982). Consequently, Raper ( 1 993a) aptly referred to this period as 'the end of the golden weather' in his discussion of the country ' s post-war economic history. The world recession of 1 974 can be seen as the crucial turning point for changes in the direction of New Zealand' s economy, separating as it did "an epoch of unprecedented growth and prosperity from an epoch of stagnation, decl ining incomes, and rising unemployment" (Raper, 1 993a, p. l ) . Raper was careful t o point o u t that this change paral leled the post- 1 973 trends o f all

advanced capital ist societies.

The 'oil shocks' in particular resu lted in an enormous redistribution of weal th and income from i mporting countries to the Organisation of Petroleum Exporting Countries (OPEC) . A consequence of this was that the cost of manufactured goods i ncreased fol lowed by a contraction in the size of markets. This contributed to the 'slowing down' (Wooding, 1 993) of the international economy. Although unemployment and inflation, two of the key i ndicators of economic performance, had been experienced by countries in varying degrees during the 1 960s, the exogenous shocks of the 1 970s, such as stagflation and the increased price of oil exacerbated existing conditions and precipitated a crisis internationally. As explained by Gamble ( 1 986), changing world circumstances provided an opportunity in politics "for both practical and ideological intervention" (p.3 1 ).

Following this 'end of the golden weather' , capitali st economies l ooked for new policies and the political agenda was open to new ideas. Thi s was manifest in New Zealand by a shift in the underlying analytical framework for pol icy-making, a shift which was to have an enormous impact on the role of post-compulsory education and training, and on the nature of resulting career development policy initiatives. The character of this policy shift and the impl ications for the country ' s human resource development is the focus of the next section. The present section continues with a discussion of the 'new' economic environment, an environment within which young New Zealanders are embedded and to which career development pol icy needs to be responsive.

3.2. 1 The Changing Economy

The essence of the ' new' econom1c environment was captured in the New Zealand Plann ing Counci l ' s publ ication , 'Tomorrow ' s Skills' (Hai nes & Cal lister, 1 989). The report has since become a key reference document in the restmcturing of post-compulsory education and training in this country. It detailed the changes occurnng m the country ' s econom ic environmen t, and stressed the necessity, educational ly as well as economical ly, for New Zealanders to adapt to them. It discussed the need to upgrade skills across the entire economy and identified potenti al growth areas in the occupational structure and the types of skills required to ensure that growth did occur. The New Zealand education system was impl icated in the process, and in the conclusion of the report Haines and Callister asserted that "it is in everyone's interest that 'tomorrow ' s school s' produce tomorrow ' s skil l s" (p.25).

At the core of Haines and Callister' s report is a picture of an economy that is now quite different from the past, with the most obvious change being increased exposure to the emergent global marketplace. The long-standing basis of previous New Zealand economic policy had been to protect local production and employment by isolating the domestic economy from overseas changes (Hawke, 1 987). A change in policy direction, which fol lowed the election of the fourth Labour Government in 1 984, encouraged the emergence of an economy more closely linked to international competition, trends and developments. According to Haines and Callister ( 1 989), the New Zealand economy could no longer rely on traditional markets for the bulk of its

agricultural products, and primary products and manufacturing were no longer the major export earners. The decl ine of traditional markets in Britain coincided with growth and development i n Pacific and Asian markets.

3.2.2 Changing Employment Patterns

These changes in the economy are reflected in changing employment opportun i t ies. In a separate report, Haines ( 1 989) noted that two major trends have emerged in the New Zealand economy. These are the growth of the service sector, which is in line with overseas economic trends (cf. , OECD, 1 990; Reich, 1 99 1 ), and the demand for more highly skilled workers.

The changed international context, and the reforms imposed in response to these changes, have had an incredible impact on human resource development needs. As many workers throughout New Zealand have discovered, formerly stable employment opportunities have undergone rapid changes, with the most visible signs being structural unemployment and a constricting job market. This has been particul arly evident amongst the young, the unskil led and ethnic minorities (Prime Ministeri al Task Force on Empl oyment, 1 994).

It is, as Handy ( 1 99 1 ) reasoned, the era of the 'Shamrock organisation ' , the Shamrock being the three-leaved clover-like plant which is Ireland's national emblem. By analogy, Handy ( 1 99 1 ) viewed the worl d of work as comprising three distinc t groups, or, leaves. The first is what Handy referred t o as the professional core, the 'essential' people, made up of qual ified professionals, technicians and managers. They are the smal lest yet the most powerful group:

Between them they own the organisational knowledge which distinguishes t h at organisation from its counterparts. Lose them and you lose some of yourself. They are, therefore, precious or should be, and hard to replace. Organisations increasingly bind them to themselves with hoops of gold, w i th high salaries, fringe benefits and German cars. In return the organisation demands of them hard work and long hours, commitment and flexibility. Not for these people are there still 40-hour weeks and 45-week years - few take all their holiday entitlements, few see their houses or their families in dayl ight. They are expected to go there, do this, be that, as the o rganisation requires. In return they are increasingly well-paid (Handy,

The second leaf of the workforce Handy ( 1 99 1 ) identified as the 'contract workers ' , the 'specialists' in 'non-essential' work within the organisation, who therefore "do it better for less cost" (p.73). Handy estimated that about

80%

of an organisation ' s was probably carried out by people outside the organi sation :

I t can get exotic: smart Londoners can now get their typing done more cheaply and as quickly in Taiwan as in London using the new communications technology, while the New York Insurance Company has located its New Jersey claims office in Casteisland in Co. Kerry, Ireland, where the people are clever but also cheaper than in New Jersey (Handy,

1 99 1 , p.74).

The third leaf of the Shamrock is the flexible labour force, "all those part time workers and temporary workers who are the fastest growing part of the employment scene" ( Handy, 1 99 1 , p.74). Th is, according to Handy, was a natural part of the 'switch' to a service-based industry. In New Zealand, this 'switch' has been wel l documented (Hai nes & Cal l ister, 1 989; New Zealand Planning Council, 1 989; Smith, 1 993a). In a report published by Statistics New Zealand, Smith ( 1 993a) identified one of the country ' s main employment trends in the past 30 years as the growth of people in part-time and casual work . In 1 96 1 it accou nted for five percent of all paid work. By 1 99 1 it had increased to

1 8 percent of the paid labour force, a trend that Smith

( 1 993a) described as being 'fuelled' by the expansion of the service sector which "employs two ou t of every three workers" in the country (p. l 7) . Alongside an increasing part-time l abour force, the report documented an emergent trend toward a preference for short-term contract work . Other forms of flexible working, such as casual and temporary contracts, flexitime, shiftwork and job sharing have grown m

tandem with the ongoing 'pruning' of permanent, full-time posts (Smith, 1 993a).

3.2.3 The Nature of Work

At the same time, the nature of the actual work force has changed in a number of ways. Rapid and comprehensive technological developments demand both higher level and broader ranges of skills. Alongside these 'visible' changes have been the changes in attitude. For Handy ( 1 99 1 ) these are evident in the l anguage we now use at work:

Organi sations used to be perceived as gigantic pieces of engineering, with largely interchangeable human parts. We talked of their structures and their systems, of inputs and outputs, of control devices and of managing them, as i f the whole was one large factory. Today the language is not that of engineering but of poli tics, with tal k of cultures and networks, of teams and coal itions, of influence or power rather than control, of leadership not management (Handy, 1 99 1 , p.7 1 ).

Many of the changes in the nature of work have been captured in a survey of the New Zealand financial service sector (MacPherson, 1 990), which also reflected the emergence of the 'Shamrock' organisation. In her survey, MacPherson di scovered that the pressures of technological change and international competition had resulted in maj or skill, organisational and labour force adjustments. Such adjustments i ncluded:

(i) the virtual elimination of low-skil led, low-level staff through the computerisation of routine, repetitive manual tasks;

(ii) an increase in the level of formal , preparatory education required for entry level positions, due to increased levels of cognitive skills and responsibi lity demanded of staff;

(iii) expansion of the tasks of middle management. Where this group formerly performed disti nct tasks on an individual basis under close supervision, they were now required to work together, share information and take initiatives;

(iv) movement towards a multi-entry point recruitment system as an alternative t o i nternal promotion;

(v) the shortening of hierarchical lines. The emphasis on an educated staff, capable of self-management had lessened the need for supervisors or assistant managers; and (vi) increased use of part-time or contract workers to cope with, for example, periodic

fluctuations i n the demand for services.

3.2.4 Links to Personal Development

Many of these characteristics mmor those throughout the Western world (OECD, 1 990). Taken together, changes in the occupational structure and resulting employment patterns have introduced a discernible sense of uncertain ty in human resource development across the entire occupational spectrum. The implications of these changes have created an analogous impact on personal career development. The

stable sense of self which accompanied the one-track career pattern of previous generations is now likely to be compromised by the need to engage in career exploration and decision-making throughout adul t life (Marshall & Tucker, 1 992). Likewise, many individuals are faced with the task of developing new careers in adul thood, as their skills and training become outmoded or their job prospects di sappear.

It is within this context that current career development pol icy for youth has emerged. Policy is formulated with particular purported desirable outcomes, such as an international ly competitive economy and self-confident and resourceful peopl e t o cope with that. It incorporates values and philosophies which are part o f i t s context. It is to the nature of this context that the discussion now turns, the intention being to describe the historical antecedents which have led to recent educational reform and thus, to an environment in which career guidance services in secondary schools have been recogni sed as key instmments in l i nking education to the economy.

3.3 The Nature of the State in New Zealand

One essential ingredient in understanding the nature of educational policy, including that of career development policy in New Zealand, is understanding the essence of the State . New Zealand had been regardect as a 'welfare state ' for much of this century (Oi i ver, 1 987), but more recently, the concept of wel fare has changed from one encompassing the social democratic philosophy of universal state provision, captured by Keynesian pol itics, to the 'safety net' model of New Right neoclassicism, where the State adopts a minimalist approach and considers itself responsible only for the 'deserving poor' (Wilkes, 1 993).

An awareness of these developments is i mportant in examining an ecological map of adolescent career development in New Zealand. Recent reforms in the nation ' s education and trai ning mirror this policy shift which, in turn, has challenged the traditional ethos aroun d the character and role of human resource development. Such change is evident in the language used in accompanying policy documents: an emphasis on reducing 'dependence on the State' , increasing 'personal responsibility ' (Ministry of Education, 1 993a, 1 993b) and the need for individual ' s to be 'self-steering' (Career Information and Guidance Review Panel, 1 995). The following discussion examines

the n ature of the State in New Zealand during the post-war period. A primary aim is to identify its changing role in the formulation of publ ic pol icy, the forum through which educational policy, and that of career development in particular, is generated.

3. 3. 1 Era of the Welfare State

The social democratic model of the State developed in New Zealand during the years following World War II (Wil kes, 1 993). The State' s responsibility to its citizens during this period was essential ly captured by three assumptions (Davidson, 1 989), which, importantly, then provided the 'mindset' for expectations of the S ta te in ensuing years. First, citizens were viewed as having a social right to an adequate standard of income, nutrition, health, housing and education . Second, as a consequence, the right to State assistance was given on the basis of citizenship. Third, the S tate provided the means for establ ishing an adequate standard of living for its citizens "through extraction (taxation or levies) and disbursement or expenditure, or by allocating such costs and benefits to other groups through legislation" (Davidson,

1 989, p . 1 1 ) .

3.3.2 The Role of Government

The government is perhaps the most visible ' face' of the State, yet, as Dale ( 1 982) pointed ou t, it is not the whole of the State, in as much as the State is able to keep functioning in the absence of, or during a change, of governments. Rather, the