New graduates failing to fulfil employers' needs
New graduates failing to fulfil employers' needs
Laos is now in a situation where many people can't get a job, but the private sector is suffering from a shortage of employees, according to the Labour and Social Welfare Ministry's Skill Development and Employment Department.
“We are in this situation because most people want to take courses at universities and colleges rather than learning practical skills at vocational training centres,” Department Director General, Mr Phouvanh Chanthavong, told the 8th Lao Business Forum held in Vientiane recently.
Mr Phouvanh said young people prefer to study at universities and colleges because they want to get a job with government.
But the public sector only has openings for about 8,000 people each year, while some 50,000 are graduating annually.
“This means there are 40,000 people who'll have to wait a while before they can get a job,” he said.
It's a different story in the private sector as companies tend to locate their operations in the larger towns where there is good infrastructure.
“But these towns have a limited labour pool. At the same time there are too many people in the suburbs chasing jobs and there are no opportunities for them,” Mr Phouvanh said.
Another reason people can't get jobs is because vocational training centres are teaching courses that students ask for, “but in fact these do not match up with the needs of the job market,” he added.
“So when they graduate they find there are no jobs that require their skill set. That's why so many people are unemployed.”
A handout distributed at the Lao Business Form stated that at present there are 187,750 people available to work in the business sector, but current requirements call for an additional 31,130 workers.
These extra workers are needed by the garment industry, processing industry, tourism, a steel rod production group, a furniture production association, construction group, KP industry group, and the Nikon and Essiloz companies in the Savannakhet economic zone.
This does not include the labourers required by two sugar companies in Savannakhet province and those required to harvest latex on rubber plantations.
Meanwhile, there is a large exodus of over 100,000 migrant workers seeking employment in other countries each year.
vientiane times