UNIVERSITI ISLAM ANTARABANGSA (UIA) THE ACTION PLAN OF FULL EMPLOYMENT FOR PERAK Action, Strategies, Programme & Projects Prof Sr Dr Khairuddin A Rashid Asst Prof Dr Mariana Mohamed Osman Asst Prof Dr Syafiee Shuib Introduction to the team of researchers Employment policies Tourism pangkor Effectiveness of local Public transport in authorities Kerian Prof Sr Dr Khairuddin A Prof Dato Dr Mansor Ibrahim Assistant Prof Dr Mariana Asst Prof Dr Syahriah Rashid (lead researcher) (lead Researcher) (tourism Mohamed Osman Bachok (PHD in Traffic (procurement and public planning and environmental Engineering) private partnership) resource management Assistant Prof Dr Mariana Assistant Prof Dr Mariana Associate Prof Dr Mohd Zin Asst. Prof Dr Mariana Mohamed Osman (Phd in Mohamed Osman Mohamed (local government and Mohamed Osman community development and Assistant Prof Dr Syahriah public administration) Governance Bachok Assistant Prof Dr Syafiee Muhammad Faris Abdullah Asst Prof Dr Syahriah Bachok Shuib (Phd in Affordable (Phd in GIS and land use Housing) planning Suzilawati Rabe (Phd Shaker Amir (Phd candidate in Nurul Izzati Mohd Bakri (MSBE) Zakiah Ponrohono (Phd Candidate in regional Tourism Economic) Nuraihan Ibrahim (MSBE) candidate in sustainable economic ) Anis Sofea Kamal (BURP) Tuminah Paiman (MSBE) transportation) Shazwani Shahir (Master of Siti Nur Alia Thaza (MSBE) Ummi Aqilah (MSBE) Built Environment Azizi Zulfadli (MSBE) Siti Aishah Ahmad (BURP) Siti Hajar (BURP) Sadat (BURP) EXECUTIVE SUMMARY P From 2000 until 2011: Malaysia unemployment rate averaged at 3.37%. R Rate of unemployed in Malaysia was at 3.3% in 2010 and reduced further to 3.1% in 2011. O In term of Perak the unemployment rate was at (27300) 3.0% in 2010 and further reduced to B (24900) 2.6% in 2011. L For Malaysia, a record low of 2.90% in March of 1998 and 2012 (Figure 1.1). E The figure of 2.9% and 2.6% respectively indicated that Malaysia and Perak is considered as in M full employment. Based on the figure, Perak unemployment rate (2.6%) is far below the national average (2.9%). S However unemployment issues is still need to be emphasised as this will effect the wellbeing T and the quality of life of the people. A T E M E N T Figure 1.1 Unemployment Rate in Malaysia (Year 1985-2010) Source: CIA World Fact book (2010) EXECUTIVE SUMMARY Figure 1.2 Strategic Location of Perak P R O B L E M S T A T E M E Source: Perak State Structure Plan N Perak is strategically located within the regional economic growth triangle of Indonesia- T Malaysia-Thailand Growth Triangle (IMT-GT) (Figure 1.2). Perak also located within the Northern Corridor Economic Region (NCER). This will give a value added to the economic development in the study area. EXECUTIVE SUMMARY P Table 1.2 Perak Census, 2008-2010 PERAK R 2008 2009 2010 O Population (million) 2.3 2.4 2.4 Average Annual Population Growth Rate (%) 1.3 1.4 1.4 B Gross Domestic Product (GDP) L GDP at constant prices (RM million) 28,786 28,536 30,167 GDP per capita at current prices (RM) 15,799 14,845 16,088 E GDP Growth (%) 6.7 (0.9) 5.7 M Employment Labour Force ('000) 892.6 923.7 905.9 Employed ('000) 858.9 891.6 876.7 S Unemployed ('000) 33.6 32.2 29.1 Labour Force Participation Rates, LFPR (%) 60.2 61.3 59.1 T Unemployment Rate (%) 3.8 3.5 3.0 A Source: Department of Statistics (2010) T The unemployment rate in Perak in 2008 was 3.8% and the rate was reduced to 3.5% in E 2009, 3.0% in 2010 and 2.6% in 2011(Jabatan Perangkaan, 2012) (Table 1.2) M Population in Perak for 2011 projected remained at 2.4 million. (Statistic Dept, 2012) E The government of Perak stated that all this was achieved after the state government N initiated numerous efforts, such as creating new sectors and industries that are able to T offer job opportunities to youths. This is in line with the increasing number of Gross Domestic Product from year 2009 to 2010. Executive Summary A Glance of employment data of Perak , (Statistic Dept, 2012) Items Year 2010 Year 2011 Total labor force in Perak 90,600 94,3200 Unemployment 27300 (3%) 24900 (2.6%) Male/ 16200 (1.7%)/ 12100 (1.26%)/ female unemployed 11100(1.3%) 12800 (1.34) Urban/ 17300(1.9%)/ 14600(1.52%)/ rural unemployed 10000 (1.1%) 10300 (1.08%) As for November 2012, a total of 9,466 (0.99%) of the unemployed has been registered with Pusat Kerjaya Amanjaya (PEKA), Perak. (PEKA, NOV 2012) This number is 0.99% of 2.6% (2011) from the total number of estimated unemployed in Perak for the year 2011. However, there are 16,952 vacancies registered under Peka until November 2012. (Peka, 2012) Therefore if these vacancies can be fulfilled by the unemployed people, the remaining of unemployed in Perak can be reduced drastically to 0.83% (7,948 person). (On the assumption the % of unemployed remain or even reduced in end 2012) EXECUTIVE SUMMARY P As for November 2012, a total of 9,466 Figure1.3 Status of Registered Unemployed with R (0.99%) of the unemployed has been PEKA in Perak (Nov. 2012) registered with Pusat Kerjaya Amanjaya O Working with various (PEKA), Perak. (PEKA, NOV 2012) 3,012 sector B Remain unemployed However, there are 16,952 vacancies in 6,454 L November 2012. (Peka, 2012) E Therefore the number of vacancies M exceeding the number of unemployment Figure1.4 Education Level of Registered Unemployed 7446 resumes are sent to various in Perak (%) (Nov, 2012) S industries and job sectors throughout SPM and STPM 15 T September until December 2012. 6,831 total vacancies are filled by the A 4 unemployed. Certificate T Although the number of placement is E Diploma 33 high, but there is a large gap between M number of vacancies and total registered Degree 48 E unemployed in Perak. (this clearly showed N that there is a miss-match between supply 0 10 20 30 40 50 T and demand of unemployment) Source: Pusat Kerjaya Amanjaya (PEKA), Nov 2012 R EXECUTIVE SUMMARY E The research aims to identify the action, strategies, programme and S R E projects in order to come out with the action plan of zero unemployment in Perak. E A S R E The objectives of this project are:- C A 1) To examine the existing policies and strategies for employment in H R Perak. C 2) To identify the unemployment factors and issues in Perak. O H B 3) To profile the unemployment characteristic, dispersion and pattern in Perak J Q E 4) To developed and proposed an action plan for zero unemployment in U Perak C E T S I T V I E O S N S R EXECUTIVE SUMMARY E S Research methodology is designed to achieve the research objectives & answer the research questions E Methods of Data A Variables in the study Collection Findings R C Secondary Data: i) Policies and strategies National Physical Plan, Perak H for employment in Structure Plan, Perak Local Objectives 1, Perak Plans, NCER programmes 4 M Primary Data: 203 unemployed (Semi- E structured questionnaire) ii) Unemployment T characteristic, H dispersion and pattern Objectives 3, in Perak 4 O Primary Data: 1) 203 unemployed (Semi- D iii) Factors & Issues of structured questionnaire) unemployment in 2) 36 stakeholders in Perak O Objectives 2, Perak; (questionnaire survey) L Based on socio- 4 economic factors – O educational background, G occupational skills, Y employment history R EXECUTIVE SUMMARY E S The population sampling and target population in the research: E Target Participation A Study method Population Respondents Group No. R Sampling Unemployed group: C a) Labour force: aged between 15-64 years old 203 400 respondents b) Respondents who are actively looking for H respondents job Quantitative c) Unemployed for at least more than a month M Stakeholders in Perak: 72 a) Local Authorities; and E 100 respondents respondents b) Non-Governmental Organisation (NGOs) T c) Private Sectors H Output: Secondary data on unemployment O Qualitative Literature reviews - Unemployment: definition, causes, D consequences, impact O - Policies and strategies for employment in Perak L O G Y EXECUTIVE SUMMARY R The study was conducted within five (5) months duration period: E Research activities 2012 S August September October November December E To conduct literature A review on action plan, unemployment, Action, R Strategies, Programme C and Projects for Economic Growth H To collect data with selected agencies T To collect Primary data – Questionnaire Survey I for socio-economic data M Focus Group Discussion (FGD) with stakeholder E and NGO L To analyses the data collected I To finalize the findings, N recommendations and conclusion E Final drafts The existing policies and strategies for economic and employment in Perak Distribution of Economic Activities in Perak “Dependency on certain economic activities created a unique economic structures and different focus areas. This scenario can be seen from the different characteristic and structure of economy in every state and thus resulted a disparity in state performance” (DOS, 2012). As shown in table below, services sector is the major contributor to the economy of Perak (65.9 percent) followed with the manufacturing activity (18.4 percent). Distribution and Types of Economic Activity in Perak: Kinta District The district of Kinta area encompassed of 15, 8813.77 hectare. Generally, the main land use in the Kinta is forestry covering 52.23 percent of the area followed with water body 19.70 percent.