Advancing social justice, promoting decent work
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Indonesia Labour Market Outlook 2016
Examining current labour and employment conditions of Indonesia
Indonesia is now considered as a middle-income country. Therefore, the country has reached a stage in its economic and social development where labour market institutions need to play a more central role in fostering a fair distribution of income through productive and decent work.
JAKARTA (ILO News) - Indonesia is now considered as a middle-income country. Therefore, the country has reached a stage in its economic and social development where labour market institutions need to play a more central role in fostering a fair distribution of income through productive and decent work. Promoting decent work can play an important role in strengthening the competitiveness, productivity, and job creation in Indonesia. Moreover, sound industrial dialogue will be a key ingredient to ensure harmonious relationship and mutual benefits for workers and employers.
The ILO’s latest Labour Market Outlook of Indonesia reveals that in 2016, the Indonesian labour force had reached 127.6 million with an overall total unemployment rate of 5.5 percent or equal to 7 million people who are without work. Over the years Indonesia’s labour market has continued to expand with the number of employed growing while unemployment rate has been steadily declining. However, the declining unemployment rate masks the overall employment situation in the country.
More than 50 percent of the workers are still engaged in informal employment. While the national unemployment rate is relatively low, unemployment among youth is as high as 17.8 percent. Educational attainment of the labour force is also low. For example, only 9 percent of the labour force has a university degree.
To further discuss the current labour and employment conditions of Indonesia, the International Labour Organization (ILO), in collaboration with Sonora Radio, a leading radio station in Jakarta, is organizing an interactive discussion on employment and labour market conditions in Indonesia on Wednesday, 15 September 2016 in Jakarta
The key speakers for this interactive talk include Sugiharto Sumas, Head of Research and Development of the Ministry of Manpower, Aviliani, Economic Observer, Harijanto, Chair of the Indonesian Employers’ Association (Apindo) and Owais Parray, Economist of the ILO in Indonesia. The talk show also provides an opportunity for the participants to raise questions and discuss the employment and labour market conditions and measures needed to promote decent work in the country.
