Bandung, 30 January 2020 – Unemployment is still an important issue in the Indonesian economic movement. According to data from the Central Statistics Agency (Badan Pusat Statistik) as of August 2019, the numbers of unemployment reached a total of 7.05 million people, an increase of 3.3 percent from February 2019, which was resulted of 6.82 million people. The open unemployed rate is dominated by SMK (vocational school graduates by 10.42 percent, followed by high school by 7.92 percent, then diploma I / II / III 5.99 percent, universities 5.67 percent, SMP 4.75 percent, and SD 2, 41 percent.
The phenomenon of SMK graduates dominating the unemployment rate in Indonesia has occurred over the past few years. According to BPS data sources from 2015-2019, the average percentage of unemployed graduates from SMK level reached 11.4%. Responding to this, quoted from the Indonesia Development Forum website, the Minister of National Development Planning (PPN) / Head of the National Development Planning Agency (Bappenas) Bambang Brodjonegoro concluded that the main problem of vocational education is the competence of graduates who are not in accordance with the needs of business parties. The skills required from the business industry may be very different from the school teaching.
Since 2015, HSBC Indonesia with YCAB Foundation (Yayasan Cinta Anak Bangsa) has tried to overcome the problem of unemployment from SMK graduates by organizing an educational project called Anak Bangsa Ready to Work (ABSB). The five-year program aims to equip vocational students who come from underprivileged people with job readiness skills and entrepreneurial knowledge. There are two types of sub-programs in ABSB, namely Ready to Work which provides workforce readiness training, such as writing CV, handling job interviews and presentations. While Ready to Business provides entrepreneurship training in which participants learn financial management and are given venture capital to practice implementing business ideas. Within a period of five years ABSB has been implemented in various major cities in Indonesia, namely Jakarta, Medan, Bandung, Surabaya and Semarang.
“We support the ‘Anak Bangsa Siap Berkarya’ program to prepare Indonesia’s young generation to work after completing their education levels. This is a reflection of our commitment to build a long-term business. By contributing to the progress of society, HSBC Indonesia takes the role to advance the economic wheel,” said Nuni Sutyoko, Head of Corporate Sustainability at PT Bank HSBC Indonesia.
The ABSB program in Bandung was conducted from May 2017 to December 2019. This program has managed to reach 4132 young people from 42 vocational high schools. “During the two years of fostering vocational students in Bandung, we are very proud to have succeeded in reaching thousands of participants. HSBC and YCAB believe that empowering vocational students with ready-to-work skills that are in harmony with the industrial world is an important key to improve the quality of the country’s economic growth in order to embrace the Industry 4.0 era and demographic bonus in 2030,” said Veronica Colondam, CEO and founder of YCAB Foundation.
After going through the evaluation phase, 25 finalist participants were selected from the Ready to Work Program and 22 groups consisting of 96 people from the Ready to Business Program in the ABSB Bandung event. At the closing ceremony on 30 January 2020 at Favehotel Braga, Bandung, finalists of the Ready to Work Program presented their work plans and dream work. While the finalists of the Ready to Business Program will present business plans.
One of the Ready to Business groups that have received significant profits after receiving venture capital is the Kedai Sobat Maknyus Group from SMK Plus Al-Aitaam. They establish a culinary business with variety of menus, including karedok, fried meatballs, fried chicken. Sales are done at the school and online depending on the order with the price range of Rp 5,000 – Rp 10,000. After understanding business skills and utilizing the venture capital from October 2019, they regularly gain profit for Rp 50,000 per day of the sales. “We understand sales much better after learning about production strategy and marketing. We set the goal with more clarity and it really motivated us,” said Susilawati (16), grade 2 student of SMK Plus Al-Aitam.
HSBC and YCAB continue in committing to train the young generation with a variety of vocational skills. Starting in 2020, HSBC and YCAB will establish the Batik Learning House in Semarang, revitalize training centers in Central Java by building the capacity of trainers in BLK (Job Training Centers), LKP (Course and Training Institutions) and LPK (Work Training Institutions), providing improved technical curriculum and facilitated private sector participation in internships and work placements.
List of winners of ABSB Bandung 2020
Ready to Business:
- Selpi Jinja Daebak (SMK Pasundan 1)
- Chicken Wing, Velum, Chocolate Ball & Snow Donuts (SMK Handayani)
- Leugeunyeus – Lontong Crispy (SMK Baros KP)
- Maknyus Friend Shop (SMK Plus Al-Aitaam)
Ready to Work:
- Rizky Abid (SMK Handayani)
- Toni Yoga Ramadhan (SMK KP Baleendah)
- Sopia Alifah (SMK PGRI Cibaribis)
- Heru Wijaya (SMK KP Baleendah)