COVID-19 Op-ed

Hitting Rock Bottom During Covid-19: The Struggles of Young People in the Malaysian Labour Force

Written by admin

Ruthra Mary
Ramachandran
Student of Southeast Asian Studies,
Department of Southeast Asian Studies
Faculty of Arts and
Social Science, University Malaya

While we rightly think of vulnerable communities as the poor,
there is another form of insecurity being shaped during the Covid-19 crisis;
and it is the young people are be on the front lines to face this
brunt.Across the world, economies are being devastated by Covid-19 and
measures taken by governments to suppress it. The stark reality is that
millions will lose their jobs in this global downturn. Factories are already
folding up, many business has been closed down and perhaps some may not stand
back up again (Cheng, 2020).
According to a recent article released by Institute of Strategic &
International Studies (ISIS) Malaysia, Covid-19 will be especially damaging
nearly 6 million young Malaysians aged 15 to 29 in the labor force. It is
expected that many young people will face the highest risk of unemployment;
contraction of job market, and with their comparatively lower incomes, many
will even struggle to feed their families (Cheng, 2020).According to statistics,
teenage jobseekers (aged 15-19) in Malaysia are almost 1.7 times more likely
to be jobless than young adults (aged 20-24) – and almost five times more
likely to be unemployed than the overall labor force, (including those 25 and
over). This scenario is completely understandable because most of the young
workers from this age group are dropouts from the educational system which
makes them further inadequate to comply with the current demand of job market
and compete with others who have gained their degrees (Cheng, 2020).While, young graduates
typically first time labor market entrants, who have little opportunity to
build the necessary social and human capital networks also finds hard to get
a job compared to the overall population (Cheng, 2020). Various company surveys
shows that young graduates remains unemployed due to skill mismatches. This
issue has raised concern over the compatibility of education system in
universities with the skills needed in the marketplace (Cheng, 2020). Whatsoever, Covid-19
will only going to worsen the situation, exacerbating this gap between skills
and employment as the number of available jobs are expected to drop in the
post Covid environment.(Cheng, 2020)Harsh
economic realities of Covid 19 further push certain groups of youths to the
margins—such as persons with disabilities, migrants, geographically remote
communities, or those with less digital access into dire predicament. This is
why Malaysia needs to be thinking ahead about how to highlight equal
representation of youth’s need for demand as well as train young people for
the post-Covid environment.Subsequently Covid-19 pandemic further compounds
the economic vulnerabilities on youths which also includes some of the
preexisting challenges such as social problems among youths, mental health
issues, housing affordability, higher debt levels together with lower wages
and a decline in intergenerational social mobility (“Youth
unemployment,” 2020
).  Above all, the consequences of
youth economic vulnerabilities do not only affect the individual, but also
the family, society, and even the stability of the nation and region.Some key
recommendations were put forward by analysts to the government on how to
support youth in the new normal.

  • Government should
    strengthen public-private partnerships through incentives for job retention
    and training for advanced and low wage employees (Cheng, 2020). Besides this
    collaboration also needs to emphasize greater targeted job placement (Cheng, 2020). As mentioned earlier,
    the harsh economic realities of covid 19 is expected to increase youth
    unemployment, let alone those young workers who are in the less developed
    areas. Studies indicate significant disparities in the prospects of
    lower-income graduates and higher-income graduates – and between more
    developed and less developed states in Malaysia. Thus, these kind of
    collaborations are highly needed to ensure equal access to job among youths
    throughout the nation.
  • The growing need for remote
    interactions to overcome movement restrictions amid the coronavirus pandemic
    has highlighted a need to leverage technologies and digitalization. The shift
    to digital platform has helped to mitigate the productivity loss in the
    economy, current and future, as learning and work are facilitated remotely.
    However, the Higher Education Ministry in Malaysia has already been implored
    to address the fact that at least about 40% of students at varsity who may be
    back home right now do not actually have the necessary digital access (“Youth unemployment,”
    2020
    ). Government needs to think about how digitalized knowledge
    and opportunities reach the youths, especially those in rural areas, who have
    less digital access (“Youth unemployment,” 2020).
  • Government has to fully invest in deepening and expanding social
    safety net with prior concern towards creating a more inclusive and
    sustainable youth policies and relief strategies especially beyond one-off
    cash relief as money is only one part of any solution ahead (Cheng, 2020).
  • Many young people have dwelled upon platform work economy and
    other sorts of remote work to earn money. Thus, regularization of this type
    of flexibility in the labor market is really needed to ensure inclusive
    participation, job security for long-term gainful employment, and social
    benefits for young workers (Andreea Pop, 2019).

The
economic realities of Covid19 is expected to cause a surge in youth
unemployment. Economic vulnerabilities of youths potentially bring many
negative impacts not just to the individual but also to the family, society,
nation and region. In this scenario, policy responses and long term
structural reform should be taken to promote decent work and economic growth
for young people nationwide in order to ensure their resiliency in the post-
covid environment.

References:

Cheng, A. P. B. W. a. C.
(2020, 18 April 2020). Malaysia’s youth on the frontlines of the COVID
crisis, MalaysiaKini. Retrieved from https://www.malaysiakini.com/columns/521283Youth
unemployment. (2020). In T. Kaoosji (Ed.), Mid-day Update. Malaysia: Bernama
Tv. Retrieved from https://www.facebook.com/BernamaTV/videos/220840389170688/?vh=e&d=nNaidu,
S. (2018, 31st May). How Malaysia’s youth propelled Pakatan Harapan to power
– and are already keeping them in check, CNA Asia. Retrieved from https://www.channelnewsasia.com/news/asia/saddiq-syed-malaysia-youth-propelled-pakatan-harapan-power-10294912Andreea
Pop, B. K., Emmanuel Muller, John McGrath, Kenneth Walsh, Marjolein Peters,
Robert Girejko, Christophe Dietrich,ICON-INSTITUT Public Sector GmbH
(Germany). (2019). YUTRENDS – Youth unemployment: Territorial trends and
regional resilience (pp. 51): ESPON 2020 Cooperation Programme. Retrieved
from https://www.espon.eu/youth-unemploymentMarius
Olivier, P. (2018). Social protection for migrant workers in ASEAN:
Developments, challenges, and prospects Thailand. Retrieved from https://www.ilo.org/asia/publications/WCMS_655176/lang–en/index.htmSecretariat,
A. (2020). ASEAN Policy Brief (pp. 17): ASEAN Integration Monitoring
Directorate (AIMD) and Community Relations Division. Retrieved from https://asean.org/storage/2020/04/ASEAN-Policy-Brief-April-2020_FINAL.pdf

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