Digital Technology, Expectations Unravel Unemployment

Digital technology increasingly closer to human life...

Digital technology increasingly closer to human life. That way, who are not ready to face it could be lost by civilization.

Take for example, retail sector shocks. Throughout 2017, a number of retailers collapsed. Superpower like the United States did not escape the phenomenon. It is estimated that at least 100,000 retail jobs have been lost by 2017.

Sales in retail stores are getting less enthusiastic. Mall is no longer the only choice of people in shopping due to the increasing popularity of online business or in the network (online).

Like the United States, Indonesia also experienced the same thing. News falling retail outlets become trending topic in a number of occasions.

Behind the fall of conventional retail, there are also new opportunities. Online businesses are increasingly uphill. The Ministry of Communications and Information Technology projected by 2020, the digital economy in Indonesia to grow to 130 billion US dollars or about IDR 1,700 trillion. The projection figure reached 20 percent of Indonesia's total gross domestic product (GDP).

The estimate is actually an opportunity for Indonesia to become the top country in the world. Digital technology can also be the answer to reduce the high unemployment in the country. Central Bureau of Statistics (BPS) recorded the number of unemployed Indonesia as of August 2017 of 7.04 million people. That number rose by 10,000 from 7.03 million in August 2016. More sadly, the number of young people aged 15-24 years who are unemployed is quite dominant. The proportion touched 20 percent range.

Today, the whole world is in an era of competitive competition. Global investment flows are going nowhere. At the same time, digital technology is growing rapidly and changing the industrial landscape, including jobs, "says the International Labor Organization (ILO) Jakarta.

According to them, the biggest challenge facing Indonesia in this digital era is how to improve the quality of workers' skills. As an analysis of the Asian Development Bank, one of the causes of Indonesia's high unemployment rate is the mismatch of workers' competence with the industrial needs (major skill gap).

As a result, young labor is difficult to be absorbed by the market and eventually continue to bring new unemployment. The condition has been realized by the government and other stakeholders. The government continues to encourage higher education schools to provide the best education system.

It is crucial that university graduates have competencies that are in line with market needs.

Moreover, the competition of the working world is getting tighter. Like Charles Darwin's theory, it is the strong that can survive in the competition (survival of the fittest).

Recognizing the increasing challenges of the labor industry in the future, universities continue to polish the teaching system.

Supported by an integrated education system and an international curriculum focusing on science, technology, engineering, arts, and mathematics (STEAM), the opportunities and future of the students are certainly much more open.

As a result, students can develop communication skills, creativity, critical thinking, and collaboration in the workplace.

Students are also always encouraged to collaborate with the lecturers who mostly hold doctoral and reliable in their respective fields, both in running projects and other academic activities.

That way, since the beginning of the lecture, students can get used to the situation of the future world of work. Their opportunities are absorbed by the needs of the "era" industry is more open.

Simple questions that can be explored.

In the future, can digital technology erode unemployment rates?

Only time can answer that.