Employment and Skills Strategies in Indonesia
This report comes at a time when policy makers are challenged by the COVID-19 crisis that is generating a profound reflection on economic and social well-being. Before COVID-19 hit, Indonesia had experienced remarkable economic growth, making substantial progress in poverty reduction and gains in employment. However, there are large differences in outcomes across Indonesian provinces, which often reflect the quality of local infrastructure, services, education, and jobs. This joint Asian Development Bank (ADB) and Organisation for Economic Co-operation and Development (OECD) study sheds light on challenges and opportunities to promote employment and skills outcomes at the local level in Indonesia. The analysis presented in this OECD/ADB report shows the importance of strengthening local institutions managing and delivering employment and skills policies.
Fostering local approaches to skills in Indonesia
Indonesia has achieved substantial progress in increasing access to education and skills development. That being said, there are large disparities in terms of access and relevance across Indonesian provinces. In some rural and remote areas, literacy rates are substantially lower than the rest of the country. Disparities in education outcomes risk being exacerbated by the ongoing COVID-19 crisis, as rural and remote provinces may lack the infrastructure needed to ensure access to education. This chapter outlines trends as it relates to skills outcomes across Indonesian provinces. A special focus is given to looking at local vocational education and training opportunities that provide people with skills training that directly leads to a job.
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