Reskilling and upskilling are key to meet the market demand after the pandemic

The disruptions caused by the COVID-19 crisis have accelerated the demand for skills that match the structural shift in labour markets. Chatib Basri, a senior economist, and former Finance Minister shared his views at the ILO’s event about the future trend of the world of work after the pandemic.

Feature | Jakarta, Indonesia | 17 November 2021
Chatib Basri
The lower-income workers, in particular the vulnerable ones, have been hit the hardest by the COVID-19 pandemic, compared to the middle and upper-income workers. They tend to work in the informal sector that is known for their low productivity and high exposure to health and safety risks, poor access to training as well as lack of income insecurity and lack of access to benefits from employment recovery.

“Without protection for the most vulnerable workers, the pandemic is deepening the consequences of social and economic inequality,” underscored Chatib Basri, a senior economist and former Finance Minister, during the ILO’s webinar held on 11 November under the title: “Future Trend of the World of Work and OSH after the Pandemic”.

With fast-changing technologies, providing employees with reskilling and upskilling pathways towards new employment, especially for the vulnerable ones, should be set immediately."

In this dynamic, Chatib emphasized the urgent need for workers across the industries to adapt to rapidly changing conditions of the world of work. Thus, he highlighted that the need for reskilling and upskilling the workforce to support robust economic recovery and post-pandemic future was a sine qua non.

“With fast-changing technologies, providing employees with reskilling and upskilling pathways towards new employment, especially for the vulnerable ones, should be set immediately,” he stated.

During the discussion, he stated that the COVID-19 has taught us about the need to address under-investment in the public health system, both in response to the virus and to improve the quality of healthcare after the pandemic. “Thus, a human-centred approach should be applied to the design of fiscal policy to advance a fully inclusive socioeconomic recovery,” he explained.

He also emphasized the need to provide greater access to social protection services, education, and health systems as well as digital literacy and infrastructure for all, particularly vulnerable groups. “This is the key for thriving in the post-pandemic future,” he added.

Social protection, he reminded, has to cover at least 70 percent of the total population in Indonesia and should concentrate on the vulnerable groups to progressively close protection gaps. Unlocking opportunities for small and medium enterprises (SMEs) with proper knowledge and skills to digitalization and financial literacy would also help Indonesia’s economy to return to growth.

No economic recovery can be completed if health issue is still left behind."

Chatib anticipated the recovery from COVID-19 could be eventually reached in 2023 where the country enters the endemic phase. However, if the pandemic continues, Indonesia should be expecting a W-shaped recovery, where the economy cycles in and out of recessionary periods.

In the end, he concluded that health and safety have to be the priority in the pandemic recovery. “No economic recovery can be completed if health issue is still left behind,” said Chatib. The pandemic has also shown the crucial role of occupational safety and health (OSH) in protecting workers' health to be functioning in society and in ensuring the continuity of critical economic and social activities.

The webinar was conducted by the ILO through its Enhancing COVID-19 Prevention at and through Workplaces project, funded by the Government of Japan. The project aims to enhance COVID-19 prevention measures at and through workplaces amidst the pandemic that will facilitate businesses’ re-opening, continuity, and expansion.