Unemployment among the graduates in Malaysia becomes an issue around the world. The Bureau of Labor Statistics defines unemployed people as those who are jobless and have actively looked for work in the past four weeks (AMADEO, 2017). Graduates refer to a person who has successfully completed a course of study or training, especially a person who has been awarded a first academic degree. Human capital is people who have specific skill in any field. Human capital resources is an important resource for a country. A country becomes weak as the lack of human factor that can initiate new initiatives in socioeconomic activities when without qualified human capital resources (Asmawati, 2009).The Department of Statistics Malaysia (2011) found that the unemployment rate in Malaysia had increased from 3.2 % in 2007 to 3.7% in 2009 (Hanapi & Nordin, 2014). The unemployment rate in Malaysia is considered low as compared but this issue cannot be neglected (Hanapi & Nordin, 2014). This is because graduates are human workforce that is vital and become the core for innovative and productive high-income economy. This study aims to identify the factor that influence the unemployment for undergraduates in Malaysia.
59000 graduates and diploma holders were unemployed and 30000 graduates worked in a field that do not match with their higher educational qualifications stated by Fong Chan Onn from reported by the Department of Human Manpower (Hanapi & Nordin, 2014). Although most of the female graduates in this country have excellent academic results but they were unemployed because they lacked the relevant skills required in the labor. The community have negative perception to the graduates and mentioned the graduates do not have any skill and suitable qualification with the needs of industry, it is the problem that affect the graduate cannot get a job. Quality of the graduates is one of the factors that contribute to unemployment problem, it is mentioned by Rahmah et al. (2011). The aspect of management, problem-solving, communication, leadership, creativity, critical thinking, proactive, self-confidence and interaction skills are ten primary weaknesses of Malaysian graduates mentioned by Ranjit (2009) (Hanapi & Nordin, 2014) .The graduates do not have the preparation for work and lack of experience. Another reason is lack of candidate, who are qualified for vacancy in working field. The graduates do not hire by industry due to they do not fulfil their requirement on vacancy.
SIGNIFICANCE OF THE STUDY
The importance for study this issues are important to evaluate the suitability of the implementation of a curriculum and to ensure the implemented curriculum can produce human resources, which are qualified, skilful and can fulfil the need of the industries and the current market (Hanapi & Nordin, 2014). It can maintain the human resource and increase the country’s economic productivity. This study aims to improve the quality of education in Malaysia, it is because nowadays the graduates only focus to get a good academic result and lack to improve their practical skills such as communication skills. It also can restructuring the educational system in order to increase the students’ achievements.
The main objectives of this research are as follows:
1. To investigate factors that lead to the unemployment problem among graduates
This study attempts to answer the following questions:-
1. What are the factors that lead to the unemployment problem among graduates?
2. What are the factors that significantly contributes to unemployment problem?
The excepted contribution for this study is to maintain the human resource in a country and increase the quality of education. The contribution is to raise an awareness among graduates about this issues, it also make them not only focus on academic and to increase their personal skills. Another contribution is to restructure the educational system in order to increase the students’ achievements. Another contribution is to increase the graduates’ skills and it can increase the marketability of the graduates. Another contribution is to restructure the labor market system and it can develop Malaysia as a high-income nation. The educational and training institutions should meet the current requirements of the employer in order to ensure the program is recognized by all parties (Hanapi & Nordin, 2014). It is difficult to know the suitable skills required by employers in the industry, it is stated by Bracey (2006). Therefore, the employer should cooperate with the educational institution parties in providing information related to the educational world.
Based on this study, the graduates’ attributes, lecturers’ competency and the quality of education are the factors that affect the unemployment among graduates. The graduates need have a good attributes towards the workplace. A good quality of education can produce the graduates who are educated and skilful before entering the working field. Besides, they also can have good working ethics, proactive and able to solve problems in working field. A graduate should always be prepare a better knowledge and working skills as compared to other candidates. This study can bring some benefit towards the society. When the unemployment rate will become low, the economic in the country will increase. The society will become more harmony, it is because the salary gap too big in between the rich people and poor people.
Hanapi, Z., & Nordin, M. S. (2014). UNEMPLOYMENT AMONG MALAYSIA GRADUATES:GRADUATES’ATTRIBUTES,LECTURERS’ COMPETENCY AND QUALITY OF EDUCATION . Social and Behavioral Sciences 112, 1056-1063.
Asmawati Desa (2011). Preservation of Human Capital Addressing Global Challenges. Selangor: Akademi Penyelidikan HALUAN
Fong Chan Onn. (2004). MEF Conference on Enhancing Malaysia’s Competitiveness in a Globalized Environment.
Rahmah et, al (2011). Employer Perceptions on Graduates in Malaysian Services Sector. Medwell Journals, 5(3):184-193.
Bracey, G.W. (2006). Research: The High Skills. Phi Delta Kappan, Vol. 88 No. 1, pp. 93-94.