Key Takeaways:
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Millions of young Indonesians are struggling to find jobs.
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This is due to a mismatch between the skills they have and the skills employers need.
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The economy is changing, and young people need more tech skills and soft skills.
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Businesses need to offer more training and better job opportunities for young people.
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The government can help by investing in education and training programs.
Indonesia’s young generation is struggling with unemployment due to a skills gap and a mismatch between education and job opportunities.
Nearly 10 million Gen Z Indonesians, those born between the late 1990s and early 2000s, are neither working nor enrolled in education or training.
Experts warn this situation could lead to lower income and higher crime rates.
Several factors are contributing to this problem. The Indonesian economy is shifting from manufacturing to service industries, which require different skill sets.
The COVID-19 pandemic has also disrupted the job market. Many Gen Z graduates lack the technological skills employers are looking for, such as coding, data analysis, and digital literacy.
Soft skills are another concern. Some Gen Zers struggle with communication, teamwork, and presentation skills, which are essential in most workplaces.
Unequal access to education and technology further disadvantages some young people.
Employers are also partly to blame. Many businesses offer jobs that don’t match the qualifications of Gen Z graduates, and there’s a lack of opportunities for higher-skilled positions, especially outside major cities.
Businesses are also hesitant to invest in training young employees, particularly because of a perception that Gen Z workers are more likely to job hop.
There are solutions, however. The government is launching programs to encourage investment in labor-intensive sectors and provide upskilling and reskilling opportunities for Gen Z.
Experts suggest collaboration between businesses, the government, and educational institutions to ensure young Indonesians have the skills they need to succeed in the digital economy.
They point to Singapore’s focus on preparing its workforce for digital jobs as a potential model.
Indonesia’s Gen Z generation has the potential to be a valuable asset to the economy, but they need the right support and opportunities to thrive.
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