Lao workforce urged to prepare for AFTA
Lao workforce urged to prepare for AFTA
The Lao workforce should prepare for tougher competition when the country joins the Asean Free Trade Area (AFTA) in 2015, a senior economist has said.
Dr Mana Southichak made the comment yesterday after the Ministry of Planning and Investment and the German Agency for International Development unveiled survey findings which indicated that Lao businesses had little knowledge of the opportunities and challenges they will face when Laos joins the AFTA.
The Lao-American economist said businesses must make improvements ahead of Lao participation in the regional free trade bloc, and advised workers to follow suit. He cautioned that not only would goods and investment flow freely within the region, but also a large pool of skilled workers.
Dr Mana said that once the AFTA becomes operational in 2015, Asean member countries would have to open up their labour markets. While this would enable skilled Lao workers to find jobs in neighbouring countries, workers in other Asean countries will likewise have the opportunity to work in Laos.
But he warned that although Lao people would have the right to work in other Asean nations, it did not mean they would necessarily find jobs, and said they were at a disadvantage because of their lack of technical knowledge and poor English skills.
He said most Lao workers are unskilled while those with sufficient working skills cannot speak English, which is a barrier to finding work in other countries.
Dr Mana said the inflow of skilled and English speaking workers would increase in Laos due to the increasing foreign investment that could be expected when Laos joins the AFTA. He also said the influx of foreign workers would make it difficult for Lao workers to jet well paid jobs here.
He said that at present most Lao people could not be hired for key management positions in foreign investment projects due to their lack of technical skills, while their level of English was also insufficient.
“If Lao people cannot improve their technical knowledge and English skills, they will become second class citizens,” he warned.
When asked whether Laos would continue to partner with other Asean nations to establish the AFTA in 2015, Dr Mana said it was unreasonable for Laos to delay regional economic integration until job skills are improved.
He said that despite the challenges, the presence of more skilled foreign workers in Laos would benefit the country.
“Lao people can learn from foreign workers so that they can assume key management positions in the future.”
Dr Mana said one of the most urgent tasks was to increase awareness of the pending Asean economic integration and identify what Lao workers must do to compete in a tougher job market.
He said the government should take serious action to improve job skills and the standard of English so that the people of Laos will benefit from regional integration. He also advised people to apply themselves to study and broaden their knowledge so they are employable both in Laos and the region.
vientiane times
