Youth unemployment and the skills gap in Pakistan are some of the burning issues that, if not

addressed soon, shall significantly jeopardize economic development and worsen social inequalities.

ARTICLE:

“Youth unemployment and skills mismatch in Pakistan economy”

By Tuba Imran

Tuba imran

Youth unemployment and the skills gap in Pakistan are some of the burning issues that, if not

addressed soon, shall significantly jeopardize economic development and worsen social inequalities. Recent research and interviews on these issues analyzes the root causes and presents

potential solutions based on interviews with an entrepreneur, a psychologist, and data of various stakeholders. This paper presents the detailed survey findings and calls on multifaceted policy measures and joint efforts necessary to address these critical issues.

Youth unemployment in Pakistan is consistently at an alarmingly high rate. Data from the

Pakistan Bureau of Statistics indicates a youth unemployment rate close to 9.69%. This shows

that the job search process encounters high constraints and dilemmas for youths. On top of this, the mismatch of education and employer needs further complicates the issue profoundly. Entrepreneurs in Pakistan find it hard to access quality labor. An entrepreneur in search of solutions toward this talked about the hard time in accessing capital and markets, and most importantly, in locating labor with the skills he was always in need of. Starting a business in Pakistan was tough but rewarding. Initially, it was difficult to obtain funds; when the new venture is up, most banks were “shy” in lending. Finding skilled labor, especially in specialized fields like technology and marketing, was also a challenge. He also pointed out the importance of entrepreneurship for job creation and economic growth.

Entrepreneurship assumes a significant role in the economy by creating job opportunities,

fostering innovation, and driving economic growth. As entrepreneurs, there is an opportunity to point out where the gap is, provide solutions to problems, and generally contribute to the overall

The businessman emphasized that resilience, adaptability, and continuous learning should be

instilled in the employees. This, to him, would best be done through mentorship and on-the-job training. In the employee recruitment process, he hires people who are passionate, adaptable, and have a learning attitude. While he insists on technical skills, the mastery of soft skills, such as communication and teamwork, is also imperative. Sometimes, the author's on-the-job training

and mentorship are critical in addressing the young job seekers' deficiency in the skills sets. Now this can also be related to the psychological burdened unemployment youth carry. A clinical psychologist shared much-needed insights into the emotional and psychological impact

of unemployment. Unemployment is very devastating to a youth. Many of her clients usually express great despondency and frustration. Most of the time, job seekers have experienced extreme anxiety about the future and financial independence.

Long-term unemployment erodes the self-esteem and identity of the youth. It was apparent that many young people feel like failures or inferior since they allegedly cannot secure job opportunities. For high-functioning psychologist suggests: young people keep themselves busy

with hobbies or doing voluntary work and managing to get psychosocial support from their

family and friends. She also talked about the psychological factors that add to the skills mismatch. The mismatch

between skills supply and skills demand is a problematic issue. When young people are not

capable of tapping a proper job based on their skills, they often feel stuck in their life and

confused about the future. It can be feelings of inadequacy and frustration. A stakeholder survey undertaken as part of the study showed situations of disgruntlement at large with the measures the government was taking to reverse the trend of youth unemployment. Moreover, 70% of the stakeholders thought that the demand for these skills in the market does not meet the supply. Another major concern flagged by 65% of the stakeholders is the ineffectiveness of current

vocational training programs. 80% of the stakeholders emphasized the importance of close collaboration between educational institutions and industries in bridging the gap between the educational curricula and market demand.

The primary recommendations derived from the data obtained from the interviews and the

survey are as follows: Vocational training programs have to become market-demanded. This

means updating the curricula content, introduction of practical skills development, and

employment of industry professionals in the design and delivery of such programs. In the

contemporary labor market, digital skills are indispensable. Educational institutions should use their curricula to promote digital literacy and develop advanced IT skills in order for the current emergence of learners to become more prepared for the modern job market. Unemployment is a

mental health issue that needs to be addressed urgently. Expansion of access to mental health care through the provision of cognitive-behavioral therapy (CBT) and psychosocial groups can support young people in dealing with the stress associated with unemployment. Entrepreneurial support has the potential to create new entrepreneurial possibilities and encourage economic growth. This includes the provision of more accessible financing, the reduction of administrative obstacles, and the mentoring and training of potential entrepreneurs.

Skills gaps can more closely be bridged through public and private sector interaction. It needs joint initiatives for matching educational curricula with certain skills of industry requirements, as well as internships and apprenticeship programs for youngsters. Policy reforms are comprehensive and cover a wide policy spectrum regarding creating an enabling environment for job creation, reducing regulatory barriers, providing incentives to recruit young people, and investing in high-growth potential sectors.

Youth unemployment and a mismatch of skills are critical issues facing Pakistan. The results of this study suggest taking critical policy measures combined with cooperative efforts of the government, educational institutions, and the private sector. By developing vocational training programs and enhancing them, developing digital skills, supporting mental health, fostering entrepreneurship, and increasing public-private partnerships, a brighter and more prosperous

future for the youth of Pakistan will be created. Tackling these issues is not just the need of the

hour for the country to burgeon economically but also for the well-being and empowerment of its youth.

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