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     Thailand Workshop Report

Executive Summary

for the National Workshop on Youth and Employment in Thailand

25 January 2002

Field Marshal P. Piboonsongkram Conference Room

Ministry of Labour and Social Welfare

 


Introduction

The Ministry of Labour and Social Welfare, in collaboration with the ILO and the Government of Japan, organized a workshop on youth and employment in Thailand on 25 January 2002 at Field Marshal P. Piboonsongkram Conference Room, the Ministry of Labour and Social Welfare.

The workshop was aimed at sensitizing the public to problems relating to youth employment and producing proposals for the development of a national strategy and action plan for youth employment in Thailand to be put before a regional conference on youth and employment to be held in Thailand in February 2002.

There was a total of 181 participants, including 104 government representatives, 18 employers’ representatives, 12 workers’ representatives, 17 representatives from non-governmental organizations, 9 academics, 6 representatives from international organizations and 15 youths.

At the opening ceremony, Mr. Ian Chambers, Director of the East Asia Multidisciplinary Advisory Team and ILO Bangkok Area Office, pointed out that youth unemployment is part of a larger picture of the labour force in Thailand. The situation of youths affects the wellbeing of families and communities and has an impact on the economic, social and political sustainability of the country. An example is the affect of youth unemployment on social security. The workshop would focus on four strategies adopted by the Millenium Summit. These included employability, equality, entrepreneurship and employment, which are at the heart of a sustainable policy. The workshop’s results would assist the preparation of the action plan.

Mr. Elawat Chandraprasert, Permanent Secretary of Labour and Social Welfare, delivered the opening speech on behalf of Prof. Dej Boon-long, Minister of Labour and Social Welfare. In a nutshell, the speech said that the Government of Thailand has attached great importance to the removal of unemployment. This has been reflected in its adoption of policies and urgent measures including financial measures to stimulate growth and alleviate social impacts, measures to encourage private investment and measures to strengthen the economy and society. For efforts to tackle youth unemployment to have a sustainable impact, the Permanent Secretary pointed to the need for systematic and ongoing action involving all parties concerned with an emphasis on proactive action to prevent problems and mitigate their severity. The Permanent Secretary viewed the workshop as a timely forum to discuss the policy and action plan to effectively address unemployment in a manner in which successes will be sustainable in the long term, where generation of decent work for youths has been set as a vital goal.

A power point presentation on youth and employment by the Ministry of Labour and Social Welfare

The United Nations has defined "youth" as a person between the ages of 15-24 years. For Thailand, "youth" means a person between 15-25 years of age. According to an ILO estimate, 60 million youths are unemployed worldwide, accounting for 41% of a global total of 160 unemployed people. It has been found that female youths are in greater difficulty than male youths. Unemployment negatively affects both the economy and the society. The international community should, therefore, strive to promote youth employment with a view to the eventual provision of decent work for young people.

A panel discussion about youth and employment in Thailand

Mr. Elawat Chandraprasert, Permanent Secretary of Labour and Social Welfare, said the Ministry of Labour and Social Welfare was aware of the importance of youth and the importance of preparing them both before and after their entry into the labour market. Accordingly, the Ministry had stressed the enhancement of youth knowledge such as their knowledge of foreign languages and their mathematical ability. There is also an emphasis on continuing education. Regarding the removal of youth unemployment, this requires the support of various parties. The Government views youth unemployment as a task demanding serious care in order to protect youths from exploitation and to promote their development into a quality workforce. On its own part, the Ministry of Labour and Social Welfare has to act swiftly on vocational guidance and the labour market.

Miss Maliwan Kulawanich, Expert on Youth Development from the National Youth Bureau, said the Child and Youth Development Plan for the period of the 9th National Economic and Social Development Plan has set a state policy of preparing youths in various aspects such as occupation, education, training, and occupational promotion. The Ministry of Labour and Social Welfare and other public agencies as well as the private sector have already been acting to implement this policy. In addition, the Cabinet approved on 15 January 2002 a national policy on modern wisdom, which aims to encourage more working people to engage in self-employment. This requires an educational system under which children will learn to think analytically and independently. The National Youth Bureau has been allocated a budget of 24 million baht out of which funding support will be given to youths including both those in school and those having left formal schooling. A list of occupations youths want to engage in most includes in order of importance animal husbandry, agriculture and shop keeping.

Mr. Vim Roongkrout, Deputy Director General of Industrial Promotion, Ministry of Industry, said that his Department was emphasizing the development of new entrepreneurs by providing them with knowledge of how to run a business and the development of computer programmers, which are much in demand by the labour market.

Mr. Sangchai Ekpatanapanich, Deputy Secretary-General of the Industrial Council of Thailand, said that all parties should strive together to improve the educational system so that it would work for the success in national development. In doing their business, entrepreneurs look at costs and benefits. Labour is one of the costs. Quality labour is ,therefore, demanded. In determining quality labour, entrepreneurs consider three factors. The first is educational achievement, especially knowledge of science, mathematics and foreign languages. The second factor is skills, in which area the Government should take a due interest in continuing development. The third factor is work ethics which include maturity and work attitude. He added that more action should be taken on technological exchanges and cooperation with foreign countries.

Assistant Professor Lae Dilokwitayarat, Director of the Center for Labour Development and Management, Chulalongkorn University, acknowledged the Government’ s contribution to employment generation. He pointed, however, to a lack of government policy aimed specifically to help youth employment. Youth unemployment, he said, led to economic and social problems and crime. In addition, unemployment and underemployment represent wasteful investment of the country.

Miss Apiwan Panraksa, Chairperson of the Nongkhaem District Youth Council, said that the Office of the Fund for the Society had organized training for youth leaders in communities in Bangkok with an emphasis on drug problems and unemployment. Later, the Nongkhaem District Youth Council formed an occupational group raising funds among its members to produce goods for sale to earn a supplementary income. Problems encountered have included inadequate importance accorded them by adults, their lack of skills required in producing goods, and their lack of learning for self-employment. What youth actually want now is funding support and training so that they can rely on themselves, which will contribute in time to the strength of communities.

During the time for questions and exchanges, Mr. Sripo Wayupak, representative from the Federation of Textile Industry Labour, expressed the view that efforts should be targeted specifically on youths who have completed their education and are looking for work. Part-time work should not be promoted lest part-time workers may replace full-time workers adding to the already large number of unemployed people. Mrs. Orachit Bamroong –sakulsawas, representative from the Office of the Fund for the Society, the Savings Bank, argued that a clear distinction should be made between employment in the formal sector and that in the informal sector. Importance should be attached to employment in the informal sector through organization of that sector, the establishment of a social safety net, community activities and promotional activities.

The Permanent Secretary of Labour and Social Welfare said in reply that the Ministry had charge of all aspects of the matter, especially how to ensure the survival of workers in the informal sector. Mr. Sangchai Ekpatanapanich responded that part-time employment would provide a good opportunity for youths waiting for full-time employment. Assistant Professor Lae said the Government should play more of a proactive role in employment service.

A presentation on wages and youth employment in Thailand by Dr. Kosa Areeya, Dean of the Faculty of Economics, Rangsit University

The rate of youth unemployment in Thailand is still high, double that among adults. The reasons include the size of youth population, mismatch of labour skill demand and supply, and an insufficient aggregate labour demand resulting from economic recession which has also contributed to the aggregate youth unemployment. Looking at wage rates, especially minimum wage rates enforced for social protection and distribution of growth benefits, it has been found that wage rates should be considered in relation to productivity. To enhance productivity, it is clearly necessary to tackle youth unemployment. What needs special attention is the development of youths so that they will gain work experience and undergo training. This is to be done through both formal and informal education. Youths are also to be inculcated with the concept of lifelong learning so that they will be able to make continuing improvement of their productivity.

Group discussions

The meeting was broken into 4 groups according to the wishes of the participants. The results of their discussions were as follows.

Group 1 on the theme of employability

The group produced the following views and recommendations.

1. The system of education and training

(a) The Government should expand educational opportunities by extending compulsory education and extending free education to the level of high certificates or diplomas.

(b) Public educational facilities should be sufficiently available to help remove the problem of youths going to private facilities where they have to bear high costs.

2. Integration of education, training and vocational training

(a) A focus should be on improvement of curricula especially to inculcate the idea of lifelong learning in youths.

(b) Knowledge of the labour market, market demands and professional skills should be provided to youths from their school days so that they will be able to choose their field of schooling according to their interest and have the opportunity to undergo vocational training alongside ordinary education.

(c) Youths who have completed education and are entering the labour market should also have the opportunity to enhance their knowledge and skills so that they will be able to make continuing improvement of their capabilities.

(d) Youths should be encouraged to learn and develop their skills for self- employment from their school days. This will help widen their aspirations to become entrepreneurs and not limit their ambition to the prospect of becoming a wage worker.

(e) Youths should undergo a widening of educational world view so that they will have an overall and integrated picture of educational and training processes.

3. The target groups and work approach

(a) The target groups

-Children and youths in the formal educational system including children undergoing primary, secondary, vocational and tertiary education. Curricula should be broadened to include knowledge of entrepreneurship and the use of IT. Practical English instruction is to be stressed so that youths will have a truly working knowledge of the language.

-Children and youths outside the formal educational system and underprivileged children. These children and youths are to be equipped with skills that go with market needs and to be prepared before entering into the labour market.

(b) The work approach

-Efforts should be taken to provide youths with opportunities to assist researchers since there is a market demand for trained researchers.

-Educational institutions should play a role in vocational training and guidance.

-Youths entering into the labour market should be equipped with necessary knowledge through, for example, personality development training and instruction of working English.

4. Capability enhancement for human resources

(a) The Government should attach importance to the instruction of foreign languages and the use of IT. The matter should be placed on national agenda on which action shall be taken for concrete results.

(b) All educational institutions should provide short-course or long-course training on foreign languages and the use of IT at not too high a cost or at no cost.

5. The role of workers’ organizations and of employers in the preparation of youths

(a) The role of workers’ organizations is to let employers know what they should do.

(b) The role of employers is to receive youths for training at their establishments under the concept of " transforming a school into a factory." This should be taken seriously by the Government, which may issue a law to oblige establishments to receive youths for training. The obligation is not to be of an optional nature as in the case of the employment of disabled persons where establishments may choose to pay money rather than take disabled workers.

(c) In the agricultural sector, employers who are themselves farmers may play a role in training of youths along the lines of the concept of the Project "Developing Youths for a New Life" of the Department of Public Welfare.

6. The role of the family

Parents should have a proper idea of how to bring up their children.

Group 2 on the theme of equality

The group came out with the following suggestions.

1. Reduction of discrimination against women : This requires expansion of access to resources, education, occupational information and skill development. Women and communities must also have more of a say in policy matters.

2. Promotional measures to help underprivileged youths including female youths

(a) education : Curricula are to be adapted to stress science, mathematics and foreign languages to respond to the needs of the labour market. Educational technologies are to be made equally available in urban and rural areas.

(b) skill development : The Government should conduct a survey of the needs of youths. The community and the local wisdom should be involved in the design of training courses. Care should be taken to strike a proper proportion between different groups of youths on training courses.

(c) labour market : On the part of workers in the formal sector, the proportion of women workers should be boosted. Conditions of employment, career progress and equality of opportunities for all jobs should be guaranteed for them. For those in the informal sector, the Government should allocate a budget to communities and provide vocational training.

(d) social measures : Values in society should be adapted to promote equality.

Group 3 on the theme of entrepreneurship

The group had an extensive discussion about what it takes to be a good entrepreneur. It then moved on to issues significant in the development of entrepreneurial capabilities.

1. Qualities of a good entrepreneur : These include a personality of creative thinking and being always on the lookout for new opportunities, possession of basic knowledge and professional know-how and monitoring and evaluating ability.

2. Conditions conducive to the development of entrepreneurial capabilities

    1. mechanisms favourable for entrepreneurship.
    2. an environment encouraging youths to learn and understand themselves.
    3. availability of information services and access to sources of information.
    4. prevalence of the use of IT.
    5. To develop themselves into entrepreneurs, youths need to have basic

knowledge and professional skills such as technical skills, managerial skills and a knowledge of relevant regulations.

(f) Advantage should be taken of the Project " One Tambon, One Product" and other projects that promote entrepreneurship.

(g) An "incubating" center should be established to provide facilitating services to new entrepreneurs at the startup of their businesses.

(h) financial support from sources catering specifically for youths.

(i) regulations governing the opening and closing of businesses.

(j) The family and the community should play an encouraging role in the promotion of youth entrepreneurship.

(k) A network of agencies and communities should be established for the promotion of youth entrepreneurship.

Group 4 on the theme of employment

The group put forward the following suggestions.

1. Generation of sustainable employment for youths : Action should be taken to

(a) provide vocational training and preparatory training before entry into the labour market.

(b) provide occupational guidance and information about sources of materials, funding and tools.

(c) provide guidance on continuing education.

(d) revise relevant legislation. For example, the Labour Protection law should be amended so as to provide that employers shall pay remuneration to youth trainees.

(e) other things : changes to the teaching approach at schools, promotion of parents’ and communities’ understanding and acceptance of youth employment, and etc.

2. Equipping youths with the skill of IT use : The following should be done.

(a) The educational curricula should be so revised as to place a stronger stress on skills in foreign languages, mathematics and the use of IT as well as in management. Youths also should learn work discipline.

(b) Cooperation should be sought from employers so that youths can have part-time jobs.

(c) A national policy should be adopted without further delay on the generation of sustainable employment.

(d) Cooperation should be sought from communities so that youths can be involved in community activities.

3. How to enhance the opportunities of underprivileged youths

(a) Every community (maybe through the Tambon Administrative Organization) should have a center which provides information about sources of employment and finance and occupational development training courses.

(b) Tighter controls should be introduced on foreign workers so that they will not replace Thai workers particularly in jobs where youths can be engaged as part-time workers.

(c) A focal-point unit should be designated to coordinate the efforts of agencies whose work is concerned with children, vocational training and guidance such as the Ministry of Labour and Social Welfare, the Ministry of Education, foundations and non-governmental organizations.

 


Updated by BS/TRS. Approved by RD. Last update: 25 March 2002