In light of the latest report by Bank Negara shows jobless youth on the rise that out of the 10.7% youth unemployment rate found in 2015, 23% of those are university graduates, it is worrying and needed to be addressed immediately.
In accordance with the report which shows youth unemployment rate rose from 9.5% to 10.7%, out of national unemployment rate rose from 2.9% to 3.1%.
On top of that, among the crowd of youth between 15 to 24 years old, only 16% of which have received high education, the remaining 84% are only Secondary school graduates.
Notably, 23% of the university graduates are unemployed, in which Bank Negara justified that this is due to the increase in low and mid-skilled jobs within the country, and at the same time local industries are heavily relying on cheap labour that leads to low cost production. These, Bank Negara says that are the reasons despite university graduates are equipped with the skills and knowledge for such industries yet it is difficult for them to find a suitable job.
If such scenario continues, braindrain and the income gap between rich and poor will continue to be worsened, which in the long run the country will lose its competitive capability.
Despite several transformation programs carried out by the government yet no significant changes can be seen, which leads to hope lost among youths.
As local industries heavily rely on cheap labours who consisting of large group of foreign labours, by which job opportunities created need not to be high skilled profession, it is the main reason why braindrain continues to fracture the country’s youth development.
I suggest that it is necessary for our country to undergo industrial upgrading whereby high-skilled jobs can be created and high value productions that university graduates will have opportunity in the country.
In order to install hopes among youth industries, the practice of heavy reliant on low skilled cheap labour has to be put a stop, this is the only way our country could achieve its innovative upgrades in order to produce world class productions, and someday we might even get the chance to have our own Nobel prize receiver, and lead the country to its highest potential.