PUBLIC EMPLOYMENT SERVICES IN INDONESIA. Ir. Abdul Wahab Bangkona, M.Sc
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1 PUBLIC EMPLOYMENT SERVICES IN INDONESIA Ir. Abdul Wahab Bangkona, M.Sc SECRETARY GENERAL MINISTRY OF MANPOWER AND TRANSMIGRATION REPUBLIC OF INDONESIA THE FIRST MEETING OF PUBLIC EMPLOYMENT AGENCIES OF THE OIC MEMBER COUNTRIES ANKARA, APRIL
2 OUTLINES INDONESIA OUTLOOK ISSUES AND CHALLENGES POLICIES AND REGULATIONS STRATEGIES & BEST PRACTICES CONCLUSION
3 Indonesia s Natural Resources 34 Provinces Island : Municipals/Districts Area : 9.8 Million km2 Land : 1.9 Million km2 Sea : 7.9 Million km2 Coastal Line : km2 238 million populations fourth most populous country
4 LABOR MARKET CONDITIONS IN INDONESIA 2013 Working People Age (>15) 176,62 Million Labour Force million (66.90%) Primary Sch: % Junior High : % Senior High : % Vocational : % Dipl/Academ: % University : % Working People 112,80 Million (69,66%) Agriculture : % Industry : % Construction : 6,27 5,66 % Trade : ,42 % Transportation : 5,04 4,55 % Finance : 2,91 2,63 % Services : ,44 % Etc* : 1,42 1,28 % * Mining, Electricity, Gas, Water Less than 35 hours /week Million (33,22%) Underemployment : % Part timer : % Instead of The Labor Force Million (31.1%) Attending School : % Household : % Others : % Unemployment 7,38 Million (6,25%) Primary Sch : % Junior High : % Senior High : % Vocational : % Diplo./Academy : % University : ,37 % LABOR MARKET IMBALANCES IN INDONESIA Source: Statistical Indonesia (BPS) August
5 ISSUES AND CHALLENGES
6 Labor Market Problem in Indonesia (Labor Market Issues in Indonesia Quality of labor force; Relatively high unemployment rate The rapid advancement of technology; Globalization, democratization and regional autonomy.
7 Labor Market Issues in Indonesia The changes of industrial (sector) structural in economics; Informal Sector Expansion; Limited Employment Opportunities.
8 POLICIES AND REGULATIONS
9 EMPLOYMENT AUTHORITY POLICY Ministry of Manpower & Transmigration 34 Provinces 519 Municipalities/Regencies
10 MASTER PLAN FOR THE ACCELERATION AND EXPANSION OF INDONESIA S POVERTY REDUCTION PRO GROWTH PRO JOB (employment opportunities) PRO POOR (impact on welfare)
11 Action Plan on Job Creation and Labor Force Skill Development 1 Information and employment services 2 Promoting the skill and competence of labor force 3 Micro Medium Scale Business Development 4 Labor intensive program and infrastruct ure 5 Job Creation Program 11
12 Action Plan on Job Creation and Labor Force Skill Development 1 Information and employment services 3 in 1 Identification of the needs of manpower competency Promoting capacity and quality of job exchange conducted by regional offices of MoMT 12
13 REGULATIONS Indonesian Constitution 1945 The Act of Republic Indonesia Number 13 Year 2003 concerning on Manpower Presidential Decree Number 36 Year 2002 concerning on Ratification of ILO Convention 88 regarding Organization of the Employment Service Ministrial Decree Number 07 Year 2008 concerning on Employment Placement
14 STRATEGIES & BEST PRACTICES
15 STRATEGIES Up-dating regulations and standards Capacity building which covers: institution, human resources, and labour market information/infrastructure Improving accessibilty in employment services Strengthening networking among stakeholders
16 BEST PRACTICES Establishing KIOS 3 IN 1 (integrated information of training, certification, and placement) Conducting job fairs and expo at national and regional levels in order to facilitating all job seekers and users. IT Based on employment services (public and private)
17 CONCLUSION Public employment services has a vital role to facilitate matching of job seekers and job vacancies. In order to address the employment situation of unemployment in Indonesia, particularly on youth, PES should be improved and strengthened through introducing such services as conducting job counseling for job seekers, positive job canvasing, utilizing labor market information or database concerning job seekers and job vacancies, improving the expertise and the motivation of each staff by training, developing well managed job matching system through using information technologies, etc. It is expected that this delibaration would be productive in resulting some new approaches and implementative concepts in order to enhance the effectiveness and efficiency of the public employment services
18 THANK YOU
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