Research Article: 2023 Vol: 27 Issue: 1
Sri Maryanti, Lancang Kuning University
Citation Information: Maryanti, S. (2023). Workforce planning for university graduates in riau province, indonesia. Academy of Accounting and Financial Studies Journal, 27(1), 1-09.
Purpose - This study aims to overcome the unemployment rate for college graduates, considering the large number of unemployed college graduates reach 14% of the existing workforce. It is ironic because one's goal to continue education is to improve the standard of living by obtaining a decent living through decent work. Design/methodology/approach - The method used is qualitatively using snowballs to obtain information from informants, namely alumni at a university who have completed their education, both those who have worked and those who have not found work. This research was conducted in Riau Province because Riau is an attraction for job seekers from various regions ranging from Sumatra Island to Java Island. This happens because Riau has a large industry spread across several areas. This research was conducted in Riau Province because Riau is an attraction for job seekers from various regions ranging from Sumatra Island to Java Island. This happens because Riau has a large industry spread across several areas. This study uses a qualitative approach which is considered very suitable to be able to obtain information to be able to answer the problems in this study, the snowball technique is used to be able to obtain information from informants where one informant will provide information through interviews and the author will obtain the following informants from previous informants until it is felt sufficient to meet the needs of this study. Findings -The results of this study indicate the high unemployment of college graduates is caused by several things: the curriculum presented is not by the needs of the labor market, making the development of learning models to see universities that have adapted, at least dialectically, to the demands of the labor market and education authorities to include competency-based learning in the university curriculum. Originality/value – This research is important so that every university and local government can prepare graduates that are needed in the world of work it is necessary to make a manpower plan for college graduates because so far both universities and industry have not synergized in utilizing job seekers because of the gap. between the demand for labor and the supply of labor. This research is important so that every university and local government can prepare graduates who are needed by the world of work it is necessary to make a manpower plan for college graduates because so far both higher education and industry have not synergized in utilizing job seekers because of the gap. between the demand for labor and the supply of labor. This research is important so that every university and local government can prepare graduates who are needed by the world of work it is necessary to make a manpower plan for college graduates because so far both higher education and industry have not synergized in utilizing job seekers because of the gap. between the demand for labor and the supply of labor.
Workforce Planning, College Graduates, Educational and Employment Suitability.
Education is important for a country because with education the quality of a country can be improved. Educated people are more productive when compared to uneducated people. Education is needed for the development of a nation because with education a person has knowledge, skills, attitudes that can determine the economic as well as social success of each individual. The indicator of labor demand in an area is the level of education because education has a positive correlation to the level of output produced and can reduce unemployment.
To be able to meet the demand for labor, many are studying up to a higher level, namely higher education. With more and more jobs requiring further education, a bachelor's degree is becoming very important to be able to get a better job. Education has the power to be able to change lives for the better.
Based on a study conducted by Danielle Gagnon from Southern New Hampshire University in 2022 on ten reasons why college education is important, it is important to mention that obtaining a bachelor's degree will be able to help have better earning potential, reduce unemployment, be able to feel greater job satisfaction, can increase the level of financial intelligence, live longer, can increase happiness, life becomes healthier.
There are many benefits of education, which require the government to prioritize education in economic development. Currently, of the 275.77 million Indonesian population in 2022, the number of people who complete education for the undergraduate level of S1 is 11.58 million people (4.25%), S2 education is 822.47 thousand people (0.03%) and S3 education is
59.17 thousand people (0.02%). Based on data from BPS, the unemployment rate in Indonesia in 2022 amounts to 5.83% of the total working-age population of 208.54 million people, of which 14% have an undergraduate education background (S1). This is certainly very ironic that many residents who received higher education are unemployed to get a decent job. Then the question is what causes college graduates to be unemployed? Is it just because of the narrowness of employment or the supply of labor that has not been able to adjust to the needs of the job market? Is it really because the resulting graduates do not have the skills required by the job market? Is there any planning for college graduates to enter the job market? How does the government make policies to overcome the problem of educated unemployment which is a problem in every province in Indonesia?
Based on previous studies Formal education is considered an effort to help avoid unemployment situations as studies conducted by (Pompei & Selezneva, 2019) mentions that education reduces the risk of becoming unemployed where formal education is likely to improve workers' ability to acquire company-specific knowledge and invest in training. In addition, additional years of education through training can reduce the risk of unemployment statistically significantly. The job market demands job seekers from young people with higher education and high skills.
By taking part-time education (training and skills) it is considered to be able to reduce the unemployment rate, but from the study (Blasques et al., 2021) part-time education is more negatively correlated with unemployment when compared to those pursuing full-time education. But unemployment for college graduates is very difficult to circumvent according to (Huu Tran Ai, 2022) there are 7 reasons why college graduates are unemployed in the following order and importance: (1) Quality of graduates, (2) Professional qualifications, (3) Inappropriate work, (4) Lack of career orientation, (5) Job skills, (6) Market conditions, and (7) Non-transparent recruitment. Han et al. (2022) to be able to contribute to the job market, the workforce should have a level of education, language fluency, and previous work experience.
Several things cause why unemployed people educated, especially college graduates, many are not absorbed by the job market, such as the study conducted (Quintini et al., 2012) mentioned that the unemployment rate among young people remains a problem even though the level of education is better than the previous generation because the skills acquired do not match the needs of the job market due to the length of the transition period from school to the world of work and the work initially obtained is considered a stepping stone to obtaining a better job. mentioned that the unemployment rate among young people remains a problem even though the level of education is better than the previous generation because the skills acquired do not match the needs of the job market due to the length of the transition period from school to the world of work and the work initially obtained is considered a stepping stone to obtaining a better job. According to (Xing et al., 2017) from a study conducted in China that unemployment of college graduates tends to increase due to the policy of expanding higher education in the country, namely by increasing the number of universities therefore the number of new students continues to increase. From a study conducted in China that unemployment of college graduates tends to increase due to the policy of expanding higher education in the country, namely by increasing the number of universities therefore the number of new students continues to increase.
Many parents in China still want to send their children to college even though the unemployment rate for college graduates in China is quite high as the study conducted by (Li et al., 2013) that the policy of expanding higher education can increase unemployment among college graduates and to overcome this, college graduates can improve its quality. But the effects of expansion policies could decrease if college graduates have more experience to enter the job market. If it is noticed that graduates of the college obtaining a job often do not match the educational background they are pursuing, such as studies conducted by (Abel & Deitz, 2015) that only 25% of working college graduates need a bachelor's degree and of those 25% only 5% work according to their educational background. that only 25% of working college graduates need a bachelor's degree and of those 25% only 5% work according to their educational background. That only 25% of working college graduates need a bachelor's degree and of those 25% only 5% work according to their educational background.
Based on data from the Central Statistics Agency (BPS) in February 2022, Riau province has a percentage of the Open Unemployment Rate of 4.40% where the Riau TPT is in the 14th lowest position nationally and the 4th position for the Sumatra region. The total labor force in Riau is 3.14 million people with a Labor Force Participation Rate (TPAK) of 0.17%. The working population is 3.01 million people and the average work in the transportation and warehousing sector is 1.55%.
This research is important so that every university and local government can prepare graduates that are needed in the world of work it is necessary to make a manpower plan for college graduates because so far both universities and industry have not synergized in utilizing job seekers because of the gap. Between the demand for labor and the supply of labor. This research is important so that every university and local government can prepare graduates who are needed by the world of work it is necessary to make a manpower plan for college graduates because so far both higher education and industry have not synergized in utilizing job seekers because of the gap. Between the demand for labor and the supply of labor. This research is important so that every university and local government can prepare graduates who are needed by the world of work it is necessary to make a manpower plan for college graduates because so far both higher education and industry have not synergized in utilizing job seekers because of the gap. Between the demand for labor and the supply of labor.
Meanwhile, previous research only stated the causes of unemployment for college graduates, one of which is the lack of skills and training possessed by students while in college and unemployment due to the existence of educational expansion policies or the government provides opportunities for the establishment of universities with the intention that residents in the country can continue their education because of the high public interest in being able to continue education to a higher level. The weakness of the previous study above is that it only provides solutions so that universities equip their students with skills and training to be able to enter the job market.
The advantage of the research that the author will present is that the author will make a workforce plan for university graduates both for the educational institution itself and the government as a decision maker and also involve the industrial world so that there is synergy between labor demand and labor supply.
Studies on employment have been widely conducted. However, the average study carried out does not discuss how labor planning is for college graduates. The study of education with work has been widely carried out. Teichler, (2015) examines the relationship between education and employment where work is determined not only by the educational function of preparing for learning but also by the fact that education chooses: in educational meritocracies, monetary resources and social recognition are largely determined by the level of educational achievement of individuals and their competencies that are cultivated during the learning process. However, the level and type of education is never 'matched' with professional positions and job requirements.
Other studies conducted by Okudaira, (2020) researching the labor market for college graduates in Japan, where by revising the guidelines where the revisions significantly increase the employment rate at graduation.
Higher education is not an absolute requirement to achieve success. But, at the very least, education can provide a guarantee for a person's life. The more intense the competition that occurs makes the role of education more important. We do not deny that most highly educated people are more intelligent in solving the problems they face. Education can also indirectly affect a person's mindset and behavior.
Riau province was chosen because Riau has always been an attraction for job seekers to pit their fate in Riau. Based on data from BPS, Riau province is the province with the highest number of job seekers in ninth place with a total number of job seekers of 58,397 people consisting of 38,260 men and 20,137 women. The number of people working in Riau in 2022 for university and diploma education levels is 13.23% where this figure shows a decrease of 1.86% from the previous year, the population working in Riau is still dominated by elementary school graduates and below by 33.50%. Most of the population working as full-time workers accounted for 59.58% and the remaining 40.42% became non-full workers. The open unemployment rate according to education completed in 2022 shows for universities at 4.69% and for diplomas at 3.86%.
College graduates were chosen as objects in this study because educated workers would be given better job positions or for skilled work and vice versa uneducated workers were more likely to be allocated to unskilled work College graduates were chosen as objects in this study because educated workers would be given better job positions or for skilled work and vice versa uneducated workers were more likely to be allocated to unskilled work (Carla Varona Cervantes Russell Cooperab, 2022). Career competence refers to knowledge and skills where career competence will increase if it is in line with the education of the worker (Grosemans & De Cuyper, 2021).
The purpose of writing this article is to obtain the right pattern for workforce planning for college graduates so that graduates produced by universities can be accepted in the job market.
This research was conducted in Riau province because Riau is an attraction for job seekers from various regions from the island of Sumatra to the island of Java. This happens because Riau has large industries spread across several regions.
This research was conducted in Riau province because Riau is an attraction for job seekers from various regions from the island of Sumatra to the island of Java. This happens because Riau has large industries spread across several regions.This research uses a qualitative approach that is considered very suitable to be able to obtain information to be able to answer the problems in this study, snowball techniques are used to be able to obtain information from informants where informant one will provide information through interviews and the author will obtain the following informants from previous informants until it is deemed sufficient to meet the needs of this study.
Riau province is still an attraction for neighboring provinces to find work. This is very reasonable considering that in Riau there is a lot of industrialization spread across several regions in Riau so that it is used as a fulcrum for job seekers to pit fate. Every year the graduates produced by universities in Riau continue to grow but jobs do not increase so that there is competition between job seekers to be able to get the job they want.
According to Becker (1975: 41), human capital is that human beings are not just resources but are capital that generates returns and every expenditure made in order to develop the quality and quantity of capital is an investment activity. While Payaman (2010: 58), Human capital has two meanings, the first is to contain the meaning of work business or services that can be provided in the production process, and the second is that it concerns humans who are able to work to provide services or work ventures.
Education System at the University
The curriculum has an important position in the implementation of the education system in Indonesia because the curriculum is a guide in the implementation of the educational process. The curriculum includes five things, namely: curriculum objectives, curriculum materials, learning strategies, curriculum organization and evaluation. So that the curriculum can affect the quality of education in one educational institution. In order for a country to support all existing economic sectors, it really needs knowledge, labor productivity, so access to skilled labor is needed. However, what is encountered is the low work ability of graduates derived from the general quality of higher education in a country. Therefore, to overcome this, it is necessary to design a curriculum that is right on target in accordance with work competencies.
The transformation of systems and institutions of higher education in some colleges in recent years has been characterized by an expansion in the number of students and graduates of universities (from the sixties onwards), the introduction of quality assurance policies and procedures (from the eighties onwards) and the adjustment of the university curriculum to the needs of the new economy and the labor market of today, especially with regard to the introduction of competencies (skills) as a goal fundamental learning in the course of study (from the nineties onwards).
There are deep reasons for these changes that relate to socioeconomic factors around the world related to technological developments, new production models and higher demands for skilled labor from organizations, among others. As a contributing factor, the literature on higher education highlights the democratization of education that has given students more access to the higher education system; greater pressure on universities for accountability of public expenditures invested in education; and pressure by production organizations and governments to improve the professional skills of the workforce as a means for social development in a modern and competitive knowledge-based economy. The pressure exerted by various representatives of the labor market has prompted universities to adopt policies and strategies that are in line with social demands.
Some examples of this trend are policies to improve employability (Claudia et al., 2006) government and university grants for innovative teaching, teacher training plans, incentives for curriculum adaptation to the new European Higher Education Area (pilot catalan government plan since the academic year 2004-2005), the demands of competency-based academic programs as a way for national quality assurance institutions to accredit new university degrees, the introduction of compulsory professional practice in the curriculum(Maros & Juniar, 2016) introduction of policies of certain departments and involvement of employers in the design and teaching of subjects (Mason et al., 2009).
The Existence of College Graduates in the World of Work
In the world of work, there are many criteria desired by the company. The criteria desired by the company are prospective workers. The skills and competencies of a graduate are not only obtained when studying but can also be explored outside the campus. The existence of university graduates in the world of work can be seen from the ease with which these graduates adapt to the work environment and can apply the knowledge gained during their studies.
Corominas et al. (2010) the university education model has evolved in recent years and should competencies be developed during undergraduate studies at universities. However this would be a matter of a) the conceptual and terminological definition of the construct "competence" and its classification, b) the ideological position regarding the objectives of higher education, which was discussed in the previous section; c) the priority of generic competencies versus specific competencies in each field of study; d) the actual possibility of teaching certain competencies in university classrooms; and e) the usefulness of various types of competencies in the workplace, among others.
The Compatibility between Education in Higher Education and Graduate Employment
One of the most important indicators of the performance of a higher educational institution is the degree of compatibility between the qualifications obtained by graduates and the characteristics of their work. All things considered, this is an indicator of the degree of consolidation of professional projects that they enter the university with and, in most cases, the achievement of professional expectations that they set themselves as undergraduate students.
One of the efforts made by universities as producers producing job seekers is to align the existing curriculum with the needs of the industrial world or the job market. Studies on the importance of curriculum in higher education for the world of education have also been carried out by Anderson dan Rogan (2011), namely the curriculum vision, operationalization of the curriculum vision, curriculum delivery, and curriculum evaluation. In particular, several studies have examined university curricula and provided evidence that supports their impact on employability competencies (Jansen & Suhre, 2015; Harry et al., 2018; Ahmed et al., 2018; Aguila et al., 2016). Kennedy dan Juliet (2013) using the theory of human capital to highlight the role of education in improving individual skills, states that in addition to specific and technical skills, graduates must also be able to function efficiently and effectively in the world of work by equipping themselves with the right work skills.
Johan (2015) found that one of the important performance indicators that indicate a college provides a quality education is the employability of its graduates. In parallel with this, a critical and indispensable component of teaching and learning that can improve the attributes that make a person more employable is the design of the curriculum (Nixon & Williams, 2014; Nguyen, 2014).
Anderson dan Rogan (2011) shows that the vision of the curriculum sets the tone for the learning outcomes of a particular curriculum design in college, especially when it comes to the competencies and skills needed to succeed in the employment landscape. As part of the vision of the curriculum, graduates must be competent in the workplace and meet the expectations of the employer. Factors affecting market demand should also be emphasized. Meanwhile, the operationalization component of the curriculum vision according to Johnson-Mardones (2014), includes the structure of human resources and teaching materials needed to deliver the course.
Johan (2015) found in his study that students have a better perception of lecturers who have had previous experience in the industry. Four key elements have been identified in the delivery of the curriculum, namely encouraging a deep learning approach, developing conceptual understanding, and instilling the ability to solve problems among students (Anderson & Rogan, 2011). Davies (2013) states that teaching focused on the development of creative and critical skills will give birth to the integration of conceptual knowledge on topics and issues related to focused interests and skill development. To further improve the development of graduates, it seems important to regularly assess the experiences of students and their observations of learning as part of the curriculum evaluation (Jansen & Suhre, 2015). In this way, the information obtained in the course evaluation can be used as feedback to improve other components of the curriculum, if needed (Anderson & Rogan, 2011).
Misni et al. (2020) found that curriculum design was directly correlated with work competencies, Curriculum vision, operationalization of curriculum vision, and curriculum delivery were all found to be positively correlated with workability competencies. However, curriculum evaluation does not have a significant effect on work competence. Universities need to incorporate a more practical approach, initiate analytical discussions, and apply interactive learning techniques as part of their curriculum to ensure that students are equipped with the skills demanded by employers. Generally, in the context of developing countries, in particular, the employability of graduates depends largely on student-related activities and the overall quality of the university. One of the key solutions to addressing today's employment problem is to ensure demand-driven curriculum education that is also responsive to real needs.
This study empirically proves that the design of the construction curriculum has a positive impact on work competence. These findings are consistent with the findings of a current study that also emphasizes the strong impact of the university curriculum on employability.
To be able to plan work intersections for university graduates, there are several things that must be of concern to the government and educational institutions, namely: First: educational institutions should design a curriculum that is in accordance with the needs of the job market, namely by involving industrial jurisprudence in the curriculum design process where in the delivery of the curriculum, namely encouraging a deep learning approach, developing conceptual understanding, To be able to plan work intersections for university graduates, there are several things that must be of concern to the government and educational institutions, namely: First: educational institutions should design a curriculum that is in accordance with the needs of the job market, namely by involving industrial jurisprudence in the curriculum design process where in the delivery of the curriculum, namely encouraging a deep learning approach, developing conceptual understanding, and instilling the ability to solve problems among students, secondly: college officials should equip their graduates with skills and expertise that are appropriate to the needs of the job market, three: encourage universities to adopt policies and strategies that are in line with social demands, four: make the development of learning models with the aim of looking at universities that have adapted, at least dialectically, to the demands of the labor market and authority education to include competency-based learning in the university curriculum.
On the other hand, it is also important to bear in mind that some graduates go to college, not with the aim of obtaining training professionally in order for them to be able to obtain a job, but to expand their knowledge and without a specific instrumental purpose, for reasons that allow that such graduates remain in their previous jobs that are not strictly related to the qualifications they acquire later.
Abel, J.R., & Deitz, R. (2015). Regional Science and Urban Economics Agglomeration and job matching among college graduates. Regional Science and Urban Economics, 51, 14–24.
Indexed at, Google Scholar, Cross Ref
Anderson, T.R., & Rogan, J.M. (2011). Bridging the educational research-teaching practice gap: Curriculum development, Part 1: Com- ponents of the curriculum and influences on the process of curriculum design. Biochemistry and Molecular Biology Education, 39(1), 68–76.
Indexed at, Google Scholar, Cross Ref
Blasques, F., Hoogerkamp, M.H., Koopman, S.J., & van de Werve, I. (2021). Dynamic factor models with clustered loadings: Forecasting education flows using unemployment data. International Journal of Forecasting, 37(4), 1426–1441.
Indexed at, Google Scholar, Cross Ref
Carla Varona Cervantes RussellCooperab. (2022). Labor market implications of education mismatch. European Economic Review, 148.
Indexed at, Google Scholar, Cross Ref
CLAUDIA M. VAN DER HEIJDE AND BEATRICE I.J.M. VAN DER HEIJDEN. (2006). A COMPETENCE- BASED AND MULTIDIMENSIONAL OPERATIONALIZATION AND MEASUREMENT OF
EMPLOYABILITY. Human Resource Management, 45(1), 127–145.
Indexed at, Google Scholar, Cross Ref
Corominas, E., Saurina, C., & Villar, E. (2010). THE MATCH BETWEEN UNIVERSITY EDUCATION AND GRADUATE LABOUR MARKET OUTCOMES (EDUCATION-JOB MATCH) An analysis of threegraduate cohorts in Catalonia (Firts Edit). Agencia per a la Qualitat del Sistema Universitari de Catalunya, barcelona.
Davies, M. (2013). Critical thinking and the disciplines reconsidered. Higher Education Research & Development, 32(4), 529-544.
Indexed at, Google Scholar, Cross Ref
Grosemans, I., & De Cuyper, N. (2021). Career competencies in the transition from higher education to the labor market: Examining developmental trajectories. Journal of Vocational Behavior, 128(March 2020), 103602.
Indexed at, Google Scholar, Cross Ref
Han, Y., Gulanowski, D., & Sears, G. J. (2022). International student graduates’ workforce integration: A systematic review. International Journal of Intercultural Relations, 86(November 2021), 163-189.
Indexed at, Google Scholar, Cross Ref
Huu Tran Ai, et al. (2022). The reason why the unemployment rate of college graduates is increasing?: Case study in Ho Chi Minh City, Vietnam The reason why the unemployment rate of college graduates is increasing?: Case study in Ho Chi. International Journal of Multidisciplinary Research and Development, 9(January), 19-25.
Jansen, E.P.W.A., & Suhre, C.J.M. (2015). Factors influencing students’ perceptions of graduate attribute acquisition in a multidiscipli- nary honours track in a Dutch university. Higher Education Research & Development, 34(6), 1138-1152.
Indexed at, Google Scholar, Cross Ref
Johan, K. (2015). Perception of Students Towards Lecturers Teaching Engineering Courses With Industry Experience: A Case Study In Malaysia Technical University. Procedia - Social and Behavioral Sciences, 195, 925-931.
Indexed at, Google Scholar, Cross Ref
Johnson-Mardones, D.F. (2014). Toward a Multidimensional Concept of Curriculum: Understating Curriculum as Phenomenon, Field and Design. European Journal of Curriculum Studies, 1(2), 172–177.
Li, S., Whalley, J., & Xing, C. (2013). China Economic Review China’s higher education expansion and unemployment of college graduates. China Economic Review, 71103019.
Indexed at, Google Scholar, Cross Ref
Maros, H., & Juniar, S. (2016). EEDUCADUCACIÓ SUPERIORCIÓ SUPERIOR II TREBALL A CATREBALL A CATALUNYALUNYA: AANÀLISI DELS FNÀLISI DELS FACTORSTORS DD’INSER’INSERCIÓ LCIÓ LABORAL. 1-23.
Mason, G., Williams, G., & Cranmer, S. (2009). Employability skills initiatives in higher education: What effects do they have on graduate labour market outcomes? Education Economics, 17(1), 130.
Indexed at, Google Scholar, Cross Ref
Misni, F., Nik Mahmood, N.H., & Jamil, R. (2020). The effect of curriculum design on the employability competency of Malaysian graduates. Management Science Letters, 10(4), 909-914.
Indexed at, Google Scholar, Cross Ref
Nixon, S., & Williams, L. (2014). Increasing student engagement through curriculum redesign: deconstructing the ‘Apprentice’style of delivery. Innovations in Education and Teaching International, 51(1), 26-33.
Indexed at, Google Scholar, Cross Ref
Okudaira, H. (2020). Regulating the timing of job search: evidence from the labor market for new college graduates.Labour Economics, 67, 101941.
Indexed at, Google Scholar, Cross Ref
Pompei, F., & Selezneva, E. (2019). Unemployment and education mismatch in the EU before and after the financial crisis. Journal of Policy Modeling.
Indexed at, Google Scholar, Cross Ref
Quintini, G., Martin, J.P., & Martin, S. (2012). The Changing Nature of the School-to-Work Transition Process in OECD Countries. SSRN Electronic Journal, 2582.
Indexed at, Google Scholar, Cross Ref
Teichler, U. (2015). Education and Employment. In International Encyclopedia of the Social & Behavioral Sciences: Second Edition (Second Edi, Vol. 7). Elsevier.
Xing, C., Yang, P., & Li, Z. (2017). The Medium-Run Effect of China’s Higher Education Expansion on the Unemployment of College Graduates. China Economic Review.
Indexed at, Google Scholar, Cross Ref
Received: 16-Oct-2022, Manuscript No. AAFSJ-22-12684; Editor assigned: 18-Oct-2022, PreQC No. AAFSJ-22-12684(PQ); Reviewed: 01-Nov-2022, QC No. AAFSJ-22-12684; Revised: 29-Nov-2022, Manuscript No. AAFSJ-22-12684(R); Published: 06-Dec-2022