COVID-19 will worsen the labour market for Indonesia’s young graduates in three ways: higher barriers of entry into the job market, long lasting lower income levels, and worsening labour conditions.
Being flexible about both location and the nature of employment will help youth make the most of the current challenging labour market situation due to COVID-19.
For families, the HILDA report has little good news – childcare costs, poverty and anxiety are rising, all while women are more involved in the labour market. But there is some reason to hope.
A fast growing economy that creates jobs will not automatically reduce youth unemployment due to systemic barriers faced by young people, including skills shortages and malfunctioning labour markets.
While government payments and programs go some way to reducing inequality, the transformation of the labour market and its institutions has cut workers’ share of the pie to historic lows.
With most new jobs going to women, their workforce participation rate is growing at nine times the rate for men. But, while participation is on track for parity in a decade, pay is another matter.
There is very little evidence that overall labour market insecurity is getting any worse. Trends are stable for rates of casualisation, churn, self-employment and multiple job holders.
A two-year study finds dissatisfaction with current arrangements, but also identifies small changes that can make a big difference in helping to find suitable jobs for older workers.