Apprenticeships are good for business

ILO is supporting the Indonesian government’s goal to enhance the competence and competitiveness of human resources by highlighting the benefits of apprenticeship programmes for workers and businesses alike.

News | Jakarta, Indonesia | 25 June 2021
Starting as a welding apprentice 15 years ago, Yuliyan Suryo now serves as R&D Section Head of PT Arkananta Apta Pratista in East Kalimantan. “I am a living proof of the benefits of the apprenticeship programme to the industry,” shared Yuliyan during a webinar entitled “The Benefit of Apprenticeship Programmes for Industries” held on 22 June 2021.

The apprenticeship programme of PT Arkananta Apta Pratista
Yuliyan is also the trainer and master of the apprenticeship, supporting his company’s industrial apprenticeship programme. PT Arkananta has conducted an apprenticeship programme since 2012 and has subsequently implemented a blended learning programme in the post of COVID-19 outbreak. “For this year, we have added a content creator programme following the current trend of technological advancement,” he added.

The majority of the apprentices, around 88 percent, were absorbed and recruited as employees. From the apprenticeship programme, the company is able to recruit workers with qualities of high working spirit, adaptive, familiar with technology and well understand the company’s “DNA”.

The super tax deduction from the government’s apprenticeship programme have benefited us Rp 500 million."

Renata C. Yuliantanti, Training and Human Resource Development of Indonesian Employers’ Association (Apindo)
Not only benefiting from employing high competent workers, Renata C. Yuliantanti, Training and Human Resource Development of Indonesian Employers’ Association (Apindo), said that the company can also take advantage of the tax deduction programme. “The super tax deduction from the government’s apprenticeship programme have benefited us Rp 500 million,” she said.

Renata also explained that the key for successful apprenticeship programme was the creation of the enabling environment at the company level. Involvement of trade unions were also needed to ensure that the apprenticeship programme benefits both the company and the apprentice.

Apprenticeship programme at the automotive sector conducted by PT Toyota Motor Manufacturing Indonesia
Meanwhile, Muhammad Ali, Director Vocational Training and Apprenticeship of the Ministry Manpower, appraised the efforts taken by the private sector to support the governmental programme to promote the enhancement of Indonesian human resources through the apprenticeship programme. “This will help to reach out the target of the Indonesian government of 50 thousands apprentices.”

This [industrial apprenticeship] will help to reach out the target of the Indonesian government of 50 thousands apprentices."

Muhammad Ali, Director Vocational Training and Apprenticeship of the Ministry Manpower
He also explained about the revision of the Manpower Ministerial Decree on Apprenticeship, providing better protection to the apprentice. The revised Decree allows apprentices to work in shift and sanction can be given to companies that do not provide an apprenticeship agreement.

The webinar, conducted by the ILO through its Industry Skills for Inclusive Growth Phase 2 (InSight-2), marked the kick off of a series of webinars on quality apprenticeships for industries. The series will be held until mid of July, and aims to promote the importance of apprenticeship programmes for improving the competency of Indonesian human resources.
The webinars will be followed by virtual workshops on practical steps and hands on information for industries to implement apprenticeship programmes. The workshops will be jointly conducted until September by the ILO and the Ministry of Manpower.

Tauvik Muhamad, ILO’s Project Manager of InSight-2, highlighted that the apprenticeship programme could be a key to solve skills mismatches and to tackle youth unemployment and underemployment. “The involvement of industry will smoothen the transition from school to work and benefit the return of investment in which, in turn, accelerate the economic recovery and growth,” he said.