Gaps in labour market stats a challenge for policymakers
PETALING JAYA: Bank Negara Malaysia (BNM), which is advocating finding a resolution for youth unemployment a permanent national agenda, said gaps in labour market statistics, particularly job creation, labour turnover and hiring trends present a significant challenge to policymakers looking to address the issue.
In its seven-page report on Youth Unemployment in Malaysia: Developments and Policy Considerations, the central bank highlighted five approaches in preparing the younger generation to contend with more self-reliant economic arrangements and even more job displacements.
One of them emphasised the need for conscientious implementation of various blueprints (ie Malaysian Education Blueprint (2015-2025) and programmes, as well as having a functional governance structure, effective monitoring and active enhancements to initiatives.
A critical piece of the puzzle is reliable information and statistics on the progress of specific programmes, training schemes and grants and performance of education and training institutions.
It said the Malaysia Bureau of Labour statistics announced in Budget 2017 would go a long way towards ensuring development of high frequency, reliable indicators on labour market and macroeconomic trends, key to planning and monitoring the progress of human capital development and labour market policies and facilitate responsive, evidence-based and timely policy making. BNM also stated the importance of having policies to tackle youth unemployment, reviewed from time to time.
Other recommendations included quality education, including an effective technical and vocational education and training sector, promoting meaningful industry collaboration in education and training, and a comprehensive social security infrastructure with active labour market policies (ALMP), which are specifically targeted towards youth and displaced workers. The objective of ALMPs is two-pronged: to increase employment opportunities and improve matching of workers to jobs.