Laos to develop labour skills to meet market needs

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Laos to develop labour skills to meet market needs

Sunday, 28 March 2010 22:02 Sounay Phothisane

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Laos will focus on developing vocational skills in accordance with market demand, to fulfill the growing requirements of the country's economic development.

In preparing the Strengthening Technical Vocational Education and Training Project, a labour market assessment was recently conducted in eight provinces to identify the trends in labour market demand.

This was done with a view to improving the technical vocational education and training (TVET) system to produce skilled graduates and workers to match the labour market demands of industries and enterprises.

The main findings of the assessment were disclosed at a workshop held in Vientiane on Friday.

“The objective of the labour market assessment was to identify those sectors with the greatest skill deficits so that steps to address skill shortages could be targeted to sectors where they would have the greatest impact on the economy,” Deputy Minister of Education Lytou Bouapao said in his opening remarks.

He said the findings will be a reference for the relevant sectors to devise strategies, policies and plans to develop the TVET system, so as to develop the skills of workers to meet the socio-economic development requirements of the country.

“It will also integrate our workers' skills with regional and international labour market standards,” Mr Lytou said.

The study was commissioned by the Asian Development Bank (ADB) and conducted by the consulting firm Hifab International AB under the supervision of the Ministry of Education and Ministry of Labour and Social Welfare.

Without proper reference, development of skills for workers at various vocational schools and training centres does not match the labour market demand, so that new graduates are having difficulty finding jobs.

The study, entitled “Lao PDR: A Labour Market Assessment”, concludes there is a high demand for skilled workers in Laos.

The sectors with particular need are the furniture sector with a need for about 3,000 new skilled workers. Additionally, demand for skilled workers in construction, mining, hydropower and machine repair, as well as in the maintenance of vehicles and machinery used in other sectors, is also increasing.

The study noted that the absence of up-to-date labour market information is a fundamental weakness in Laos and represents a constraint to economic planning and the effective operation of the TVET system.

Education specialist in the ADB's Southeast Asia Department, Mr Norman LaRocque, said in a press statement that an effective labour market information system is necessary if the TVET sector in Laos is to deliver skills that are relevant to the needs of the growing Lao economy. The study was conducted with funding from the Japanese government as part of the preparation of a proposed US$23 million grant to Laos to strengthen the TVET system.

Mr Lytou requested about 100 participants from the government and public sectors including development partners to comment on the study and to make the best use of the information to improve coordination and strengthen collaboration among the key stakeholders from the private and public sectors.

The workshop was co-chaired by Mr Lytou Bouapao and Deputy Minister of Labour and Social Welfare, Mr Bounkhong Lasoukanh.

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