Global Academic Research Institute Colombo, Sri Lanka

GLOBAL ACADEMIC RESEARCH INSTITUTE COLOMBO, SRI LANKA

GARI International Journal of Multidisciplinary Research

ISSN 2659-2193

Volume: 05 | Issue: 04

On 31st December 2019

http://www.research.lk

GRADUATE UNEMPLOYMENT IN SRI LANKA: CAUSES AND POSSIBLE CORRECTIVE ACTIONS

R.H.R.S. Wijayawardhana Lanka Nippon BizTech Institute, Sri Lanka [email protected]

ABSTRACT

In order to meet the rising demand for education in Sinhala and Tamil languages higher education in Sri Lanka, both the in 1959. public and private sector higher education Although the Ceylon Medical College providers have increased their provision was established in 1870, the beginning of resulting in acute graduate unemployment the university education in Sri Lanka and under-employment situation. Given marks with the establishment of the this context, the main objective of this University College in 1921, and it gave an paper is to examine the principal causes opportunity for the students to sit for the contributed to this and possible corrective external degree offered by the University actions for the mitigation of the crisis. of London. The University of Ceylon was Attention is primarily drawn to understand established in 1942 by expanding the a) the education mismatch and skills University College. The number of mismatch, b) insufficient attention given students enrolled at the University College to quality and relevance of study in 1921 was 166 and that was gradually programs. c) poor attention given to increased to 338 in 1929 and 664 in 1938 existing job opportunities and new jobs (Warnapala, 2011). The University of being created in the international job Ceylon had only four faculties offering market and d) heavy dependence given to degrees of BA, BSc and MBBS and the the public sector as the job creator. medium of instruction was English. The Keywords: skills mismatch, graduate language policy adopted in 1959 regarding unemployment, under-employment university education resulted in getting students from a wide range of socio INTRODUCTION economic backgrounds and the demand for higher education increased Sri Lanka’s economic history after tremendously (Samaranayake, 2016). about 1960 had a unique position among With a view to meet the increased demand, developing countries where there is low the government first elevated two per capita income on the one hand and the Buddhist Pirivenas (Buddhist monastic higher Human Development Index (HDI) educational institutes) namely Vidyodaya on the other. This was mainly attributed to and Vidyalankara Pirivenas into two the free of charge provision of health and universities as Sri Jayewardenepura education of the country. The major social university and Kelaniya university. Then reforms were facilitated with the granting three affiliated colleges namely Rajarata, of universal franchise in 1931, Wayamba and Sabaragamuwa were introduction of free of charge education in elevated to universities. By 1978 there 1945 and the introduction of university were seven universities in Sri Lanka.

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During the academic year 2017/18, the number of students admitted to universities under the University Grants Commission (UGC) except the open university was 31,415 out of 163,160 students qualified to enter the university. (a) Include both Engineering (UGC Statistical Bulletin 2018). The Technology and Bio Systems Technology rapid growth of student enrolment to (b) Some odd subject combinations universities after the introduction of Source: UGC Statistical Annual Report Sinhala and Tamil language streams in 2018 1959 changed the socio economic The above table has highlighted the composition of students in universities following features in the university noticeably where a substantial proportion admission. of students has tended to come from lower (i) Almost 2/3 of university students are middle class families and poor agricultural females backgrounds. As a result, these students have mainly sought to enter to the faculties (ii) Admission to Arts stream has come of Arts, Social Sciences & Humanities, down to about 32% of all students Commerce and Management (De Silva, (iii) Admission to Commerce stream is 1979). around 20% while Arts and Commerce There was a high concentration of taking together comes to little over 51%. students in degree programs of Arts and (iv) Students admitted to Physical Humanities during 1966 and 1970. The Science, Bio Science, Technology and following statistics show the concentration other streams come to about 49%. of students in those degree programs of the Although university enrolment total intake (Warnapala, 2011). expanded rapidly over the past two 1966/67 77% decades, the demand for higher education 1967/68 76% appears to be much higher. For instance, the university admission in the academic 1968/69 73% year 2017/18 was 31,415 out of 163,160 1969/70 70% qualified students to enter university, Situation has gradually changed over which is only 19.25%. Owing to the time and the dominance in the Arts & limited places available in the universities Humanities gradually slowed down in under the UGC, non-state higher recent years. One of the main decisions education providers have come to offer taken by the government regarding the different degree and diploma programs. In introduction of new courses came with the 2015, there were 16 non-state degree admission of students to the Technology awarding institutions registered under the Stream in the academic year 2015/16. Ministry of Higher Education offering 64 Table 1 below shows the composition of degree programs. There were 8,892 student admission in the academic year students at these institutions registered for 2017/18 to Government Universities and degree programs. There are some non- institutions (except the Open University of state unregistered higher education Sri Lanka) under UGC. providers offering degree programs as affiliated higher education institutes of foreign universities and they had 4,518 students registered for degree programs in 2015. In addition, a large number of students were registered for Diploma

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programs. It is also estimated that about However, with the expansion of university 12,000 students leave the island for higher education, this situation has changed and education in other countries annually. All many graduates who had obtained degrees these numbers add to the graduate output in the stream of Arts and Humanities left aggravating the graduate unemployment. unemployed for few years (Lakshman, The Table 2 below provides key 1998). information regarding the higher Apart from internal students of the education sector, according to which new universities, there is a large number student admission has increased more than registered for external degrees 4.3 times from 1990 to 2018 while the compromising the quality of the graduate. graduate output increased more than 5.8 Warnapala (2011) noted that “the poor times during the same period. Although quality of the graduate is due to a variety the student admission and the graduate of reasons; the primary reason is the output increased rapidly, expenditure on absence of proper facilities for them to university education as a percentage of acquire knowledge and skills. At present, government expenditure increased by only the advice and guidance given by 1.9%. universities to external students is limited to administrative matters and examination regulations. The existing external degree programs cover 11 universities, and the number of students registered for external degrees with universities is 206,152 and this in effect means that the total number of students, who sit the A/L examinations annually, enter the external degree programs. … The quality of the product has virtually declined and no employer,

except the government, wants to provide

employment to external graduates.’’

The objectives of the study Job creation for the youth and Graduate unemployment was not an unemployed graduates has been a major issue until about 1960 mainly due to the challenge to every government elected for fact that the number coming out from the the last several decades. The issue of universities was not very high and they unemployment would generate two major were able to be absorbed to both the effects on the economy and society in private sector and public sector positions. general. The first is the unrest among In fact, in early years, a sizable portion of unemployed youth which at times them were able to getting to the private destabilize the whole affairs of the sector positions through the relations their country. That is why the youth parents had with the private companies insurrections that took place in 1971 and while the balance was absorbed to the 1988 in Sri Lanka were claimed to have public sector for such posts as medical direct links to youth unemployment as officers, engineers, lawyers, officers in the well. The second is the waste of valuable administrative services, academic staff in human resource for the development of the universities, secondary school teachers country. Situation is further worse when it and various positions in other sectors. comes to unemployed graduates as a huge cost in terms of free education was already

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incurred on them by the government. job market. A study by Senarath,S.A.C.S. Given this context, every government is et al.( 2017) has confirmed the hypothesis pressurized to provide jobs, particularly that education mismatch is visible in the for the unemployed graduates on urgent graduate labor market in Sri Lanka. This basis. In view of the above situation, the situation would generally create lower main objective of this study is to productivity in the work place and lower understand the principal causes for the level of job involvement resulting high graduate unemployment in Sri Lanka and rates of employee turnover. On the part of try to suggest possible solutions for the employer, he has to bear extra costs on mitigating the same. The arguments and screening, recruiting and training new conclusions were tried to make on the employees. Another problem associated basis of empirical surveys and studies with both the general education and higher conducted earlier. Having discussed the education in many countries including Sri background of the study in the first Lanka is the skills mismatch, which is section, thematic areas of skills mismatch, defined as the gap between a worker’s relevance and quality of degree programs, skills and the demand in the job market. international job market, and the The Annual Report of the Central Bank of dependency on the government as the job Sri Lanka (2018) states that skills creator were discussed from section 2 to mismatch has resulted in a labor shortage section 5. Section 6 was devoted to for some industries in Sri Lanka requiring summarize the main contributory factors to import labor. Construction industry is a for graduate unemployment while section case in point and the authorities are 7 provided some observations and compelled to import labor from China, suggestions. India, Nepal and Myanmar. This situation undermines the productivity and forces a 2. Education mismatch and skills challenge to growth ambitions of Sri mismatch Lanka. The education mismatch occurs when A large share of employers in the the required level of education for a job private sector is reported to have varies from the level of education of the complained with the types and levels of employee. The employee’s education output given by both the Technical and could be higher than that needed for the Vocational Education Training (TVET) job, in which case he is over-educated. If system and the universities in Sri Lanka he has got lower level of education than except a few areas. Annual Report of the required, he is under-educated. Basically, Central Bank (2014) noted that there is there are three different ways by which the significant shift in sectoral contribution to variance from the required level of GDP over the years; agriculture share of education is measured. The first is based GDP declined from 20% to 11% between on the information included in the job 2000 and 2013 while industry share descriptions while the second method increased from 27% to 33% and service relies on the worker’s assessment about sector from 53% to 57% during the same the education requirements for the job. period, showing substantial shifts in labor The third is a statistical method that uses and skills requirements. “The school data on realized matches (Piracha,M. & leavers and graduates with basic degrees Vadean,F. 2012). Education mismatch in Sri Lanka seem to have a good subject mainly occurs due to the demand side knowledge, but their suitability for the job deficiencies of the economy. In other market is a question when one considers words, it is the lack of job creation in the the skills gap or the mismatch between the economy to absorb educated youth to the

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education system and the employability in the reform proposals include the the country” (Grero, M.L, 2018 p.9). following; As per the results of the UGC tracer (a) Diversification of university courses study (2018) about 74% of employers and curricula were of the view that finding graduates (b) Develop undergraduates to interact with relevant soft skills particularly with the private sector and the industry competency in the English language, introducing in-plant training courses and communication and inter-personal skills, placement procedures leadership and influencing skills are the (c) Developing skills in graduates greatest challenge. When considering the relevant to employment opportunities field of study for graduate recruitments, (d) Introducing new courses with more graduates in social science and humanities concern towards technological, cultural have got only 11% of chances for and science based contents employment in the private sector while (e) expanding external degree programs graduates in business management & and distance learning processes economics, engineering, and ICT have (f) Upgrading of physical infrastructure obtained 74%, 62% and 60% chances. including plants and laboratories, and The rate of unemployment reported by developing human resources Annual Labor Force Survey (ALFS) 2017 (g) Establishment of career guidance for Sri Lanka is 4.2% while the under- units at all universities employment is 2.8%. However, the rate of With a view for university graduates to unemployment among the educated, i.e. effectively contribute to economic and group representing A/L & above, is social development of the country, a reported as 8.1%. Considering the visible project with the World Bank funding was under-employment situation in terms implemented by the Ministry of Higher insufficiency of the volume of work, Education in collaboration with the UGC particularly among some graduate from 2003 to 2009 under the title employment, it should be a much higher “Improving Relevance and Quality of rate of under-employment. Development Undergraduate Education” (IRQUE). The Officers attached to Divisional Secretariat project was implemented addressing the Divisions (generally more than 100 above issues in the public sector graduates in each secretariat), is a case in universities. point. The UGC tracer study (2018) reported that approximately one in every With respect to the issue of relevance ten employed graduates was under- and quality of graduates, it is common to employed, without utilizing his education see that the blame has been put on the to job roles. universities for producing a mass of unemployable graduates without skills to

the labor market. Another factor 3. Relevance and Quality of Study highlighted during the entire period since Programs 1960s was the relationship between the Improvement of the quality of youth unrest and graduate unemployment. education in both general education and However, graduate unemployment varies university education is in the education from time to time because of the reform agenda for decades. Presidential introduction of special graduate Task Force on university education, which recruitment programs by the government. was formed in 1997 identified many There is widespread belief that the present aspects of improving quality and graduate, especially in Arts, Social relevance of university education. Some of Science and Humanities, is unable to meet

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the current labor market requirements. Lanka, which semi-skilled and skilled Hence, they become the largest contingent workers constituted only 25% of migrants of unemployed graduates (Warnapala, of all foreign employment. 2011). Further, the incidence of Foreign employment becomes the unemployment is prevalent among second largest source of foreign exchange graduates in Social Science and earnings in Sri Lanka during the past few Humanities who have passed “General years. In the year 2016, the total workers’ Degrees” and external degree programs. remittances accounted for a sum of Rs. The UGC in its tracer study (2018) 1,091,972 million and it was 8.2% of GDP noted that “Irrespective of the disciple, our of the country. Statistics on foreign universities will have to think of revising employment shows that there has been a their curricula together with methods of continuous decline in departures for teaching, learning and assessments for foreign employment since 2014 and it can students to be equipped with knowledge, be mainly attributed to the policy actions skills and values so that learners could taken by the government to minimize the achieve their full intellectual, personal, departures for employment of unskilled emotional and social potential. Teaching- labor. As per the Corporate Plan 2017- learning progression and assessment 2021 of the Sri Lanka Bureau of Foreign methods at the university should Employment, “the strategy for the five- encourage and facilitate learners to acquire year period is to reduce the number of total and practice skills that will assist them to departures, but to increase the number of become effective in responding to future departures of skilled male workers. challenges in their lives and to play active Special attention is given in reducing and responsible roles in society after female domestic workers as they are more graduation”. vulnerable”. The following table provides information with regard to the current 4. International Job Market foreign employment situation in Sri International migration of people has Lanka. increased over the years and such movements for employment purposes have also increased in some regions than the rest of the world. For an example, people of the countries in the South Asian region have been migrating to Middle Eastern countries for employment for many decades now. Over 1.5 million people from Sri Lanka have found employment in this region at present. The history was such that they mainly The above table highlights the dominant demanded housemaids or unskilled labor position taken by the Middle East such as domestic helpers, construction countries for the migrant workers of Sri workers, drivers etc. However, there is Lanka for taking a share of 78.7% of all some change to absorb other job migrants for employment in 2018. Males categories such as Quantity Surveying represent 61.4% of all migrant workers officials, skilled workers in hospitality and while the balance 38.6% for females in the hotel industry, banking and financial same year. Some point out that unless the sector professionals, engineers etc. In salary offered is about thrice the wage in 2012, housemaids and unskilled workers Sri Lanka, there is no real incentive for made up 64% of migrants from the Sri workers to go abroad for employment. In

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that sense, the salaries offered by Middle (vi) Service industry worker – East market and some emerging markets opportunities are there with polite such as Malaysia, particularly for Japanese language skills unskilled and semi-skilled workers are not (vii) Professional in many fields – sufficient. expertise of foreign professionals is Sri Lanka Bureau of Foreign sought when Japanese companies are Employment (2017) highlighted the fact expanding globally that vocational and professional training (viii) Research opportunities and system should match the international Professorships standards so that employment opportunities in higher skilled categories in existing markets and new markets in developed countries can be secured. New destination countries such as Japan, New Zealand, Turkey, Rumania, Uganda, Fiji, and Papua New Ginia have concentrated their recruitments in skilled categories. Japan is one of the countries that hires foreign job seekers not only as semi- skilled workers but as skilled professionals in many a field. People aged When looking at employment 65 years and older in Japan consist of a opportunities in the international labor quarter of its total population and it is market, it is necessary to review our estimated to reach one-third by 2050. The curricula and syllabi taught in the rapidly aging society and the incidence of university. Since jobs in the international low birth rate have been changing the market has become one of the main demographic structure of Japan and its important sources for lucrative jobs, population is expected to decline from particularly for our high quality graduates about 127 million in 2019 to about 88 with the competency of foreign languages, million in 2065 as predicted by the universities should try to introduce new National Institute of Population and Social courses aiming at providing required Security in Japan. This situation among knowledge and skills for such vocations. others has affected to hire international labor into Japan. Following are the main promising job categories for foreign job 5. Dependence on the Government as seekers in Japan. Job Creator (i) Engineers – electronics, automotive Sri Lanka history was such that people and heavy manufacturing industries depended on subsistence agriculture until (ii) Information technology the time of European colonial domination, professionals after which a new agriculture was developed aiming at exporting the (iii) Workers for investment banking produce. With this dual economy having careers its subsistence agriculture and export (iv) English teacher – though agriculture, service sector gradually opportunities are high for native English expanded with the public service speakers, there are opportunities provision at the center. At the time of (v) Office worker – many opportunities gaining independence in 1948, the if there is Japanese language skills provision of free of charge education and health services was seen as an important

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duty of the government. Therefore, the females, showing 81% for state university employment in the public sector has male graduates as against 76% in non-state increased gradually. The following table sector. Graduates produced by the Arts provides information regarding and Performing Arts stream of the state employment in 2017. universities had low employment rates of 45.6% and 37.1% respectively. Non state sample in the study represents only management, engineering, IT and law streams and the highest employment rate of 83.8 was recorded in management stream graduates. According to the same study, 46.2% of graduates were employed in the private sector while 44% were in the public sector. Although the majority of the graduates Out of the total employment of were employed in the private sector, that 8,208,179 persons 14% of them are in the percentage is very much low when public sector and it is a big number to the comparing to 75% of employees population (21.44 million in 2017) calculated for the employees in the private showing that there is one employee in the sector to both private and public sector public sector for every 18 citizen of the employees for the whole economy for country. Of the people work in the public 2017 given in table 5. Though the public sector, 55% are males and 45% are sector employs 44% of graduates, their females. However, considering the total productivity is questioned on several employed population in 2017 male grounds. First, government provides participation comes up to 64.3% while the employment for graduates from time to females are 35.6%. Out of the total time not necessarily for the need of employees of 4,734,031 in the public and specific labor requirement but to easy the private sector, private sector represents unrest of the unemployed graduates 75% while the balance 25% is in the public highlighted by various demands and sector. Provision of university education protests by them. Second, the education is a state monopoly. According to UGC, sector absorbs 34.4% of the graduates, 72% of the annual enrolment of indicating the highest percentage. A undergraduates takes place under 14 higher percentage of Arts (55.1%), conventional universities which are under Agriculture (40.4%) and Science (39.3%) UGC. Annul enrolment into other Higher graduates were employed in the education Educational Institutes (HEI) outside the sector, mainly as teachers. Third, the conventional universities is about 12,000 governments in power for the past several at present. These are students entering into decades implemented graduate 5 universities set up outside UGC, locally recruitment programs mainly to ease the recognized degree programs by different unrest of unemployed graduates, who put HEIs but excluding external degrees and the blame entirely on the government for degrees offered by the Open University of their being unemployed. In view of the Sri Lanka. foregoing it is clear that there is over The UGC tracer study (2018) reveals dependence on the government as the job that the overall employment rate of state creator. It is essential to appreciate that a university graduates is 65.5% as compared sustainable solution to graduate to 66% in non-state sector. In both sectors, unemployment lies in the level of employment rate of males is higher than economic development of the country,

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which in turn determines the capacity of particularly after 1990. Further, a sizable the economy to absorb unemployed youth portion of them (1/3 or above of the total) on the one hand and the ability of the came from the Arts stream, where they universities to produce graduates who are have the least employable skills, according of right quality and relevant to employers to private sector employers. The situation in the job market on the other. However, has further worsen owing to the addition the perception of the graduates and their of external degree recipients mainly in the parents is that only the government is Arts stream. responsible for the issue of graduate unemployment and they pressurize the (b) Inadequate investment in government to provide jobs. education resulting set-back in quality. 6. Factors Contributing to Graduate The table below shows that there is Unemployment comparatively low rate of government Graduate unemployment is a major expenditure on education in Sri Lanka topic of discussion since 1960s as it has when compared to the situation of some gradually increased over time. This has selected countries in the Asian region. been cited as one of the principal causes for youth insurrections in 1971 and 1988. Therefore, the governments in power wanted to address this issue by way of implementing graduate recruitment schemes from time to time. Either unemployment in general or graduate Education expenditure consists of both unemployment in particular can be the expenditure on general education and attributed to a host of factors. Slow the higher education. Except for economic and industrial growth, lack of Bangladesh, the government expenditure investments, skill mismatch etc. are incurred on education as a percentage of commonly cited as contributory factors for GDP is the lowest in Sri Lanka. There has unemployment. Among others described been a strong demand and protests from below are some major contributory factors university academics in Sri Lanka for for graduate unemployment in Sri Lanka. some time now for increased allocation of

expenditure. According to Table 2 above (a) Increase of enrolment in degree for the period from 1990 to 2018, student programs including external degrees admission for the universities under UGC The discussion in the early part of this increased more than 4 times and the paper has shown that the ever increasing graduate output more than 5 times but the number of graduate output owing to the expenditure on university education as increase of graduate enrolment in public percentage of total government universities and university institutions in expenditure increased only less than 2%. the private sector has made it This situation would have affected the unmanageable resulting in noticeable quality of education by way of not having graduate unemployment over the years. sufficient physical infrastructure facilities Table 2 above has indicated that the including space, equipment, plants and lab graduate output from 1990 to 2018 has facilities, library facilities with quality increased from 4,476 to 26,026, which is reading materials and also the trained more than five times. Therefore, it is clear human resources. Private sector that the principal factor behind unresolved employers often complain of the poor graduate unemployment is the rapid quality of graduates in some streams, increase of graduate enrolment,

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particularly of their poor competency in terms of finding employment could be English and practical understanding of the improved. This is particularly important as theory they learn at universities. a large percentage of students is admitted to Arts stream of the conventional (c) Skills mismatch universities and that is 32% of all students Skills mismatch is a common factor for in 2017/18 academic year. unemployment in many countries and this is one of the main factors for graduate (d) Attitudes of graduates unemployment in Sri Lanka too. In Aggestam & Hallberg (2004) state that relation to skills mismatch, many studies queuing behavior for “good jobs” is a have focused mainly on the technical skills contributory factor for the unemployment and socio-emotional skills or what we problem in Sri Lanka. They were of the commonly refer to as soft skills. The UGC view that the problem of unemployment is tracer study (2018) has considered 11 not due to the shortage of job opportunities areas of skills and competencies valued by as such, but rather there is segmentation employers in recruitment of graduates. between jobs that are of greater demand They are the skills relating to (“good jobs”) and those which are not in communication, team work, good reading demand (“bad jobs”). Larger majority of & writing skills, ability to adapt to new graduates due to a host of reasons such as situations, analytical & problem solving employment security even having pension ability, effective use of IT, English rights after retirement, lower work effort, language competency, good decision flexible work environment, non-wage making, sector specific skills, good with benefits etc. wish to have public sector numbers and planning & organizational jobs than the private sector jobs. The skills. According to this study 84% of government recruited a massive number of employed graduates agreed that soft skills 42,000 graduates in 2005, who claimed were instrumental in securing the current themselves as unemployed. According to job. Competency in English language and Samarasinghe (2003) the estimated some experience in to the work unemployed graduates were around environment are also found to be very 20,000 in 2003. Therefore, a high useful in finding employment. Although proportion of graduates recruited in 2005 the overall employment rate of Arts stream should have been working either in the graduates is at low percentage of 46, the private sector or doing some self- percentage among English Medium Arts employment by that time. This shows the graduates is at satisfactory level of 71.9. attitude of graduates for employment in Employers of the private sector the public sector. complain that the Arts degree offered by Annual Report of the Central Bank of the university is mainly concerned with Sri Lanka (2018) noted that in addition to the production of academic knowledge, skills gap, there is a large gap between job often without consideration of applied seekers expectations and the job skills or learning. There is no component requirements where the younger in it towards skills developments, generation prefers non-routine and vocational training, etc., and the results of cognitive jobs over routine and manual which would lead to unemployed jobs. According to the UGC tracer study graduates. It is therefore suggested that (2018), 40% of private sector employers in study curricula be revisited together with the sample stated that it is difficult to find the industry representatives to understand graduates with “right attitudes” for and incorporate employability skills so employment. Moreover, lack of that the relevance of the degree program in commitment and lack of ethical

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considerations were highlighted by 21% graduates from Humanities and social and 17% of employers respectively. sciences. Private sector employers further say that these graduates have problems OBSERVATIONS AND with soft skills including Communication SUGGESTIONS skills, English language competency and commitments towards work. Although the industry tries to bridge this gap, it is said There is s steady increase of student to be expensive. To get out of this situation admission to conventional universities it is necessary that universities map their under the UGC over the past three academic programs considering the decades. In addition, student admission to requirements of the potential employment non-state higher education institutes and opportunities in the industry. In short, admission to external degree programs university academics should regularly have been on the rapid increase. All these review their programs with industry have created a scenario where there is ever representatives on regular basis so that increasing graduate output. Therefore, the industry suggestions could be suitably governments in power have been incorporated in to the curricula enhancing pressurized to provide employment for the the employability of graduates. graduates, particularly for those graduates who are not demanded by the private Universities under UGC still admit a sector. As per the tracer study (2018) by sizable portion of students to the Arts UGC, the private sector has provided stream (32%), though there is very high employment to 46% of graduates while the incidence of unemployment if there are no public sector to 44% of graduates. government programs to recruit them. Looking at the study disciplines, Arts and Therefore, it is suggested that student Performing Arts graduates in the survey numbers to particular subject areas be reported the lowest employment rates of discussed and decided considering the 46% and 37% respectively. These employment opportunities and sufficient graduates constitute the majority of awareness to students. It may be possible unemployed graduates and governments to come out with better subject in power have implemented various combinations to enhance employability, if recruitment schemes for them. However, relevant university academics and industry one should ask a question as to how the representatives conduct discussions. government provides employment in Labor mobility has been increasing over increasing numbers in the future as well. time. Therefore, our graduates should be Some are of the view that it has come to its prepared to develop the characteristics that limits. Signals are already there as there is are required to become global graduates. some under-employment among those High standard communication skills, graduates recruited to the state sector. In leadership and English language this situation, the answer has to be found competency at higher level, interpersonal in the private sector. Targeted action is skills etc., in addition to subject specific called for to encourage the private sector knowledge and skills are to be developed. employers to recruit more graduates to Universities should create an environment their industries, after providing training if where graduates during their learning can required. be informed of the employment If one looks to the perception of the opportunities abroad so that talented private employers, it is very clear that graduates can compete and secure there is some skills mismatch. That is why opportunities. only about 11% of employers recruited It is observed that in addition to subject specific knowledge, the employability of

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graduates enhances with soft skills IZA Discussion Papers, No. 6414, Institute for including English language competency the Study of Labor (IZA), Bonn and also some kind of training or Seers,D (1971) Matching Employment experience in the relevant field. It is Opportunities and Expectations: A Program therefore suggested to have internship for Action for Ceylon, International Labor Office, Geneva programs as much as possible to arrange Senarath,S.A.C. Patabendige S.S.J. and with the industry to give them a valuable Amaratunga, S. “Sri Lanka Graduate Labor training. Student community should be Market: A Study Mismatch” Journal of encouraged to understand the value of Econimcs, Business and Management, Vol.5, English competency and provide No.1, University of Kelaniya resources for their use. Samaranayake, G. “Expansion of It is valuable to inculcate an University Education, Graduate entrepreneur culture in to university so Unemployment and the Knowledge Hub of Sri that some graduates can start their own Lanka” Social Affairs: A Journal for the Social business ventures. Instead of being Sciences, Vol.1, No.4, pp15-32, 2016 employed under someone, one can be Samarasinghe, M. (2003), Career Guidance Training for over 10,000 Unemployed proud of his own business providing Graduates, Department of Information, employment opportunities to others. If Colombo young graduates are supported to start new Sri Lanka Bureau of Foreign Employment, ventures, there is high chance that they Annual Statistical Report of Foreign will succeed as their commitment is Employment 2017, Colombo naturally high at this time. Sri Lanka Bureau of Foreign Employment, Corporate Plan 2017 – 2021, Colombo REFERENCES University Grants Commission, Sri Lanka University Statistics 2018, Colombo Aggestam, J. and Hallberg, A. (2004) University Grants Commission (2018), Unemployment in Sri Lanka: Explanations, Tracer Study of Graduates; Universities of Sri Constraints and Prospects for the Future, Lanka School of Economics and Management, Lund Warnapala,W.(2011), The Making of the University System of Higher Education in Sri Lanka: An Ariyawansa, R.G. “Employability of Evaluative Study, The Associated Newspapers Graduates of Sri Lankan Universities”, Sri of Ceylon Ltd, Colombo Lanka Journal of Human Resource Management, University of Sri Jayewardenepura University, Vol.2 No.1, 2008 Central Bank of Sri Lanka, Annual Report 2018, Colombo Grero,M.L. (2018) Mismatch between the Education System and the Job Market in Sri Lanka with Special Reference to Soft Skills, A Dissertation, Colombo. The Island “Assessing Labor Markets Abroad”, Oct. 26, 2014, Colombo Lakshman, W.D. (1998), University Education in Sri Lanka at the Golden Jubilee of the Country’s Independence: Achievements, Challenges and Opportunities, University of Peradeniya Piracha,M. & Vadean,F. (2012) Migrant Educational Mismatch and the Labor Market,

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