Publication: Toward a World-Class Labor Market Information System for Indonesia: An Assessment of the System Managed by the Indonesian Ministry of Manpower
Loading...
Published
2021-03-30
ISSN
Date
2021-04-05
Author(s)
Editor(s)
Abstract
Human capital development is at the top of Indonesia’s economic development agenda. The National Long-Term Development Plan (RPJPN 2005–2025) identifies human resource development as one of the key drivers of the eight national development goals to be achieved by 2025. As part of this push, the government of Indonesia has taken several steps to build a skilled and competitive workforce building on the country’s demographic strengths, strategic position, and sustained economic growth. An important milestone was the launch in 2016 of a national initiative known as Revitalization of Secondary Vocational Schools, which the Ministry of Education and Culture has updated recently. This initiative focuses on strengthening the quality and relevance of secondary vocational schools. Chapter one proposes a framework for defining an advanced LMIS that includes stakeholders, functions, key elements, key characteristics, and essential features that go well beyond those of an online job-matching platform. Chapter two discusses the current state of Indonesia’s AyoKitaKerja, which is the focus of the analysis, is the most developed LMIS function and is considered the building block of Indonesia’s LMIS. Chapter two also presents Indonesia’s LMIS-related initiatives in addition to AyoKitaKerja and introduces some comparison with LMISs in other countries. Chapter three focuses in more detail on the factors that are essential for building up the five key characteristics of a well-functioning LMIS. The analysis benchmarks AyoKitaKerja against Korea’s Work-net in each of these areas, with a particular focus on the job-matching function. Finally, chapter four provides a vision and action plan for developing a comprehensive LMIS.
Link to Data Set
Citation
“World Bank. 2021. Toward a World-Class Labor Market Information System for Indonesia: An Assessment of the System Managed by the Indonesian Ministry of Manpower. © World Bank. http://hdl.handle.net/10986/35378 License: CC BY 3.0 IGO.”
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication The Challenge of Establishing World-Class Universities(World Bank, 2009)There are many important questions to ask about the widespread push toward world-class status for universities around the world. Why is 'world-class' the standard to which a nation should aspire to build at least a subset of its tertiary education system? Might many countries be better served by developing the most locally relevant system possible, without concern for its relative merits in a global comparison? Is the definition of "world-class" synonymous with "elite Western" and therefore inherently biased against the cultural traditions of tertiary education in non-Western countries? Are only research universities world-class, or can other types of tertiary education institutions (such as teaching universities, polytechnics, community colleges, and open universities) also aspire to be among the best of their kind in an international perspective? To answer these questions, the report starts by constructing an operational definition of a world-class university. It then outlines and analyzes possible strategies and pathways for establishing such universities and identifies the multiple challenges, costs, and risks associated with these approaches. It concludes by examining the implications of this drive for world-class institutions on the tertiary education efforts of the World Bank, offering options and alternative perspectives on how nations can develop the most effective and relevant tertiary education system to meet their specific needs.Publication Indonesia's Higher Education System : How Responsive is it to the Labor Market?(Washington, DC, 2014-06)Indonesia is at a development crossroads. It successfully weathered the 2008 international financial crisis, and it has shown resilience in the current turbulent times. Its economy is now one of the largest 20 economies in the world and it has ambitious plans to achieve high-income status and join the G-7 by 2030. Yet the challenges it faces are daunting. As highlighted in the recent Indonesia Economic Quarterly report by the World Bank, the status quo may not be enough to maintain current growth rates in light of domestic and policy pressures. And even maintaining the current rates of growth will not bring the country to high income status by the target year. This paper is organized as follows. Section two presents a framework to look at incentives and argues that without the right system in place, the tendency of the education sector will not necessarily be to align its supply with the demands of the labor market. The section discusses some of key features of the system in Indonesia. Section three looks at the performance of higher education graduates in the labor market, their labor force participation, unemployment rates, the types of jobs they obtain and trends in the returns to higher education. Section four takes patterns in employment and returns to education, as well as employer surveys, to find signs of misalignment between supply and demand in the types of degrees of graduates, the sectors where they are employed and the skills they bring with them. Finally, section 5 concludes with some suggested policy directions and future research.Publication Assessment of the Labor Market Information System (LMIS) in the Lao People’s Democratic Republic PDR(Washington, DC, 2022)The Lao People’s Democratic Republic (PDR) has made substantial progress in poverty reduction even though its resource-based development pattern has historically limited the impact of growth on poverty reduction. The objective of the assessment is to support the Ministry of Labor and Social Welfare (MOLSW) in their planned reforms of labor market institutions and systems in Lao; in particular by supporting investments in a comprehensive Labor Market Information System (LMIS) for improved jobseeker data collection and analytics, jobseeker profiling, and assignment to various employment support programs such as vocational trainings and job search assistance. The target audience of this report is the technical staff and management at the department levels as well as the policy makers at the MOLSW, Ministry of Planning and Investment (MPI) as well as the Ministry of Finance (MOF).Publication Engendering Rural Information Systems in Indonesia(Washington, DC, 2005-06)There is still a long road ahead before all Indonesian's can benefit from the full potential of ICT. That road seems even longer to rural women. Despite some improvements in access and the rapid deployment of lower cost wireless technologies, not much has changed in rural areas of Indonesia. Infrastructure in rural areas is limited and existing services are expensive and practically outside of rural women's reach. Women still face enormous barriers and access to communications and information relevant to their realities is very limited. This report provides a gender perspective on the status of ICT in rural areas of Indonesia and presents the main findings of our gender analysis. The discussion is illustrated by case studies (see Appendices on p.42) developed by the core team responsible for the preparation of this report and based on the field research.Publication Education, Training and Labor Market Outcomes for Youth in Indonesia(World Bank, 2010-08-01)This report is part of the Analytical and Advisory Activities (AAA) program focusing on the engagement area of 'skills development, competitiveness, and knowledge economy' and is based on several background papers and technical notes written on the characteristics of youth employment and the role of education and skills in the school-to-work transition in Indonesia. The slow transition of graduates is explored in detail in section two, which pays special attention to differences by education levels. It highlights the difficulties of senior secondary school graduates in accessing good quality jobs and the high unemployment rate that they face upon graduation. Given these worrisome signs of young senior secondary school graduates (considered the lower tier of 'skilled' workers) and expected increases in the transition to senior secondary education (which are already rising rapidly), section three focuses on the senior secondary school level. Seeking to shed some light on the question of whether senior secondary education is providing the right skills for its students, the section explores the employment profile of vocational (SMK) vs. general (SMA) graduates and, drawing on a recent survey of employers, argues against a drastic increase in the proportion of vocational students, highlighting instead the need to adjust the skill base of senior secondary school graduates. Based on the findings, section four explores ways to meet the demand for skills through changes in senior secondary school, strengthening of the non-formal training system and providing targeted entrepreneurship programs. Finally, section five provides some overall recommendations going forward.
Users also downloaded
Showing related downloaded files
Publication Morocco Economic Update, Winter 2025(Washington, DC: World Bank, 2025-04-03)Despite the drought causing a modest deceleration of overall GDP growth to 3.2 percent, the Moroccan economy has exhibited some encouraging trends in 2024. Non-agricultural growth has accelerated to an estimated 3.8 percent, driven by a revitalized industrial sector and a rebound in gross capital formation. Inflation has dropped below 1 percent, allowing Bank al-Maghrib to begin easing its monetary policy. While rural labor markets remain depressed, the economy has added close to 162,000 jobs in urban areas. Morocco’s external position remains strong overall, with a moderate current account deficit largely financed by growing foreign direct investment inflows, underpinned by solid investor confidence indicators. Despite significant spending pressures, the debt-to-GDP ratio is slowly declining.Publication Lebanon Economic Monitor, Fall 2022(Washington, DC, 2022-11)The economy continues to contract, albeit at a somewhat slower pace. Public finances improved in 2021, but only because spending collapsed faster than revenue generation. Testament to the continued atrophy of Lebanon’s economy, the Lebanese Pound continues to depreciate sharply. The sharp deterioration in the currency continues to drive surging inflation, in triple digits since July 2020, impacting the poor and vulnerable the most. An unprecedented institutional vacuum will likely further delay any agreement on crisis resolution and much needed reforms; this includes prior actions as part of the April 2022 International Monetary Fund (IMF) staff-level agreement (SLA). Divergent views among key stakeholders on how to distribute the financial losses remains the main bottleneck for reaching an agreement on a comprehensive reform agenda. Lebanon needs to urgently adopt a domestic, equitable, and comprehensive solution that is predicated on: (i) addressing upfront the balance sheet impairments, (ii) restoring liquidity, and (iii) adhering to sound global practices of bail-in solutions based on a hierarchy of creditors (starting with banks’ shareholders) that protects small depositors.Publication World Development Report 2006(Washington, DC, 2005)This year’s Word Development Report (WDR), the twenty-eighth, looks at the role of equity in the development process. It defines equity in terms of two basic principles. The first is equal opportunities: that a person’s chances in life should be determined by his or her talents and efforts, rather than by pre-determined circumstances such as race, gender, social or family background. The second principle is the avoidance of extreme deprivation in outcomes, particularly in health, education and consumption levels. This principle thus includes the objective of poverty reduction. The report’s main message is that, in the long run, the pursuit of equity and the pursuit of economic prosperity are complementary. In addition to detailed chapters exploring these and related issues, the Report contains selected data from the World Development Indicators 2005‹an appendix of economic and social data for over 200 countries. This Report offers practical insights for policymakers, executives, scholars, and all those with an interest in economic development.Publication Argentina Country Climate and Development Report(World Bank, Washington, DC, 2022-11)The Argentina Country Climate and Development Report (CCDR) explores opportunities and identifies trade-offs for aligning Argentina’s growth and poverty reduction policies with its commitments on, and its ability to withstand, climate change. It assesses how the country can: reduce its vulnerability to climate shocks through targeted public and private investments and adequation of social protection. The report also shows how Argentina can seize the benefits of a global decarbonization path to sustain a more robust economic growth through further development of Argentina’s potential for renewable energy, energy efficiency actions, the lithium value chain, as well as climate-smart agriculture (and land use) options. Given Argentina’s context, this CCDR focuses on win-win policies and investments, which have large co-benefits or can contribute to raising the country’s growth while helping to adapt the economy, also considering how human capital actions can accompany a just transition.Publication Classroom Assessment to Support Foundational Literacy(Washington, DC: World Bank, 2025-03-21)This document focuses primarily on how classroom assessment activities can measure students’ literacy skills as they progress along a learning trajectory towards reading fluently and with comprehension by the end of primary school grades. The document addresses considerations regarding the design and implementation of early grade reading classroom assessment, provides examples of assessment activities from a variety of countries and contexts, and discusses the importance of incorporating classroom assessment practices into teacher training and professional development opportunities for teachers. The structure of the document is as follows. The first section presents definitions and addresses basic questions on classroom assessment. Section 2 covers the intersection between assessment and early grade reading by discussing how learning assessment can measure early grade reading skills following the reading learning trajectory. Section 3 compares some of the most common early grade literacy assessment tools with respect to the early grade reading skills and developmental phases. Section 4 of the document addresses teacher training considerations in developing, scoring, and using early grade reading assessment. Additional issues in assessing reading skills in the classroom and using assessment results to improve teaching and learning are reviewed in section 5. Throughout the document, country cases are presented to demonstrate how assessment activities can be implemented in the classroom in different contexts.