Graduate Unemployment in Malaysia

Unemployed graduates have become a cause of concern in Malaysia. The findings of a Graduate Tracer Study in 2006 involving 132 900 graduates from institutions of higher skill all over Malaysia indicated that 30.7% of graduates remained unemployed six months after graduation, while 5.7% were still awaiting job placement (Tan, 2007). The Minister of Human Resources revealed that more fe virile graduates in this unsophisticated were unemployed because they lacked the relevant skills required in the labor market despite having excellent academic results. The number was much higher in comparison to male graduates (Nor Hartini, 2007). As there are so many unemployed graduates at present, we need to find out why this problem exists and what can be through with(p) to overcome it.One reason for this problem is that the focus of higher education institutions and the needs of the labor market for graduates are not as compatible as they were twenty years ago. The labor market is now more comp etitive and volatile. As a result, graduates, face difficulties in getting jobs because they are not ca-ca for the industry (Tan, 2007). For instance, the knowledge of Information and Communications Technology (ICT) acquired by students does not quite meet the expectations of the industry.Lack of invite and skills are also causes of graduate unemployment. Generally, almost organizations prefer to employ graduates with experience. Furthermore, in Malaysia, the private sector today is not interested in recruiting local graduates because they lack essential skills, such as technique in English and interpersonal skills (Nor Hartini, 2007). There appears to be a disparity between what employers require and what skills graduates have.In view of this, the government has implemented several measures to geld the problem of graduate unemployment. One such measure is the introduction of several training programmes for fresh graduates. For instance, the Ministry of Human Resources, through their training agencies, has introduced the Unemployed Graduates Training system of rules in order to equip graduates with certain skills and experience (Chapman, Chew & Tan, 2007). The Domestic Trade and Consumer Affairs Ministry, likewise, has initiated a programme where established retailers have started recruiting graduates and diploma holders as management trainees. This scheme aims to not only provide employment opportunities for fresh graduates but also to expose them to fields in the private sector separate than the ones they specialized in (Chin, 2007).Another measure involves a review of the third education system. Soft skill development should be incorporated into the education political program where students can participate in extra curricular activities to enhance sonant skills such as personal qualities, interpersonal skills and critical and creative thinking (Nor Hartini, 2007). These soft skills should be acquired through participation in extra curricular activi ties while they are studying for their degrees. A lecturer, for instance, can develop students skills and knowledge by touch their minds with discussions and case studies. According to Nor Hartini, these skills will enable them to communicate effectively, manage relationships, lead a team, solve problems and succeed in the job market.Thus, it is evident that lack of skills and experience are the main causes for graduate unemployment. To overcome this problem, the Ministry of Higher Education must ensure that the tertiary education system is relevant and up-to-date. It should continually evaluate the tertiary programs to help produce quality graduates who meet the needs of industries. Also, industries need to play their part by providing more opportunities for training fresh graduates while the graduates themselves need to be more open and take up these offers.