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Jakarta Post

Workforce ‘unable to fill available jobs’

  • Hans David Tampubolon

    The Jakarta Post

Jakarta   /   Wed, November 7 2012   /  09:10 am

Indonesia must improve the quality of its local human resources so that more unemployed people can find jobs amid robust economic growth, a senior official says.

Deputy Finance Minister Mahendra Siregar told reporters here on Tuesday that the poor quality of the local workforce meant that people were unable to find jobs in the growing industrial sector.

A report from the Central Statistics Agency (BPS) published this month said that unemployment dropped by only 460,000 in August on a year-on-year basis, despite growth of at least 6 percent recorded in the same period.

Labor absorption to date has been far lower than government estimates, which have assumed that every 1 percent of economic growth can create 450,000 jobs.

Gadjah Mada University economist Tony Prasetiantono said that the disparity between government assumptions and realized growth could be attrib...