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Strengthening the Capacity of APINDO
to Promote Employability of Youth in Indonesia (April 2007 - December 2008)

A lack of experience in the labour market has resulted in a gap between the skills available and the skills in demand in Indonesia. This is not a big problem for large corporations that can rely on in-house training facilities to bring employees up to speed, but for the vast majority of businesses, it means relying on the skills that are available- even if those skills do not quite match the demand.
To help address this situation, the Indonesian Employers' Organization, APINDO, in partnership with the ILO and funded by the Norwegian Government, initiated a project on "Strengthening the Capacity of APINDO to Promote Employability of Youth". The project had three key components:
- To improve APINDO's research capacities in an effort to influence the education and training systems at the national and sectoral level in order to enhance their relevance to the employability and productivity of young men and women.
Under this component, a study was conducted on the "Relevance of Education and Training Systems from an Employers' Perspective". The final report on this study was completed in May 2008 and it confirmed that the retail and automotive sectors would be suitable to absorb labour and create job opportunities for both young men and women.
- To increase APINDO's capacity to forge effective links with local vocational training institutions in selected provinces and strengthen industry.
This objective was met with assistance from APINDO's members in the automotive and retail sectors who conducted training courses for young people based on industry demands. The training had an immediate effect and resulted in more than 120 young people being recruited for jobs in the retail and automotive sectors. A television program was also developed with a focus on youth employment and women entrepreneurship.
- To expand APINDO's Women Entrepreneurship Development Programme (WED) to test entrepreneurship development approaches to enhance employment of young women.
The WED training programmes were carried out in 2007 and again in 2008. These programmes aimed to develop the type of skills that would help women engage in small and medium sized enterprises. In the future these programs will become entrepreneurship courses focused on the development of women and will be offered on a regular basis.
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