Plan Indonesia
Term of Reference
Baseline Survey for Auto Mechanic Skills to Empower Indonesian Project
Background
Indonesia has enjoyed strong economic growth over the past 15 years, which has contributed to improved educational and health indicators. Indonesia now has near universal access to primary education and youth literacy rates near 100%.[1] Indonesia is also producing more high school and university graduates, and has made education compulsory and available to all children through grade 9, although financial constraints still force millions of Indonesian youth to curtail formal schooling, usually during the final years of primary school and during the Jr. Secondary (years 7-9) cycle.[2] Indonesia is also experiencing a demographic dividend through 2025, during which its ratio of workers to non-economically active people will increase.
However, many Indonesian youth are not leaving formal education with the requisite skills and education to obtain work in the formal sector. More than half of employers interviewed in a recent study viewed this as the major constraint to employing youth in Indonesia.[3] This situation contributes to levels of youth unemployment estimated at 19%, which is three times higher than the adult unemployment rate.[4] This and other factors force millions of young Indonesians, particularly women, to migrate to other countries[5] or to seek work in the informal sector- it is estimated that 70% of the economically active population works in the informal sector. This also contributes to increased crime, depression, and hopelessness among unemployed youth.
One alternative to working in the formal sector is to become self-employed by setting up a microenterprise. More often than not youth looking for jobs would prefer to work for the government or a multi-national company but despite this, 78% of youth realize that self-employment and entrepreneurship is their best employment option[6]. The youth are correct in thinking this because 99% of all businesses in Indonesia are small or medium enterprises[ 7]. Youth often do not have the knowledge or skills to start a business and are not confident to do so. They face serious challenges getting help because of the lack of business development services available. Some service providers do exist but there are not enough of them, particularly in more remote areas. Youth also lack access to microfinance which is critical for the establishment of a business. The lack of microfinance was found to be the biggest obstacle mentioned by youth in starting a small
business.[8]
In response to the youth unemployment issues, Plan Indonesia has implemented Youth Economic Empowerment (YEE) program since 2009. YEE is a global program developed by Plan International. The program has the objective to create opportunities and attract investments for youth empowerment and employment. This is done with a clear end-to-end approach in place consisting of four phases: pre-employment, selection, placement and post placement. The program in Indonesia is a first pilot (together with El Salvador) aiming for incorporating key learning and then scaling up the program to other Plan International offices around the world.
YEE particularly target disadvantaged youth and focuses on gender (target: 80% female participants) providing young women aged 15-24 with knowledge and skills to have the ability and confidence to either enter the labour market or run their own business.
The key principles for the program include partnership in order to allow for learning, scale-up, improved technical expertise, and sustainability; sustainability through market driven interventions, evidence based programming, and partnership; scale-upto make a wide impact for disadvantaged youth; gender and inclusion to ensure that young women, child workers, and the marginalized are economically empowered; and youth participation so that youth can have their voices heard.
The program consists of four major components including pre-employment competencies; technical and vocational education and training (TVET); microenterprise development (MED); and microfinance. The components will be implemented in an integrated, inclusive and multifaceted manner that utilizes the life-cycle approach recognizing the capacity of various age cohorts. The first three components of program will be implemented and managed by a core partner and consists of:
a) An initial capacity building for youth in the area of life skills, basic rights, literacy/numeracy, financial education and career counseling (pre-employment competencies) . Following this, youth will choose whether to take an entrepreneurship training track or a TVET training track.
b) Youths who choose the TVET track will undergo training to qualify for specific jobs at previously selected private sector employers. The employers will have input into the curricula and minimum standards of training. An agreement between employers and Plan will outline employment terms/guarantees for graduates. Graduates will continue to be mentored and coached after the work starts.
c) The entrepreneurship training is designed to give trainees the skills they need to open and run a microenterprise. Savings and/or loans will be used to establish a business previously identified as a high potential sector by a value chain analysis. New entrepreneurs will continue to receive business development services and advice for the first year of their operations.
Both the TVET and entrepreneurship tracks will be supported through microfinance. A microfinance partner will provide microfinance services to youth parallel to, but in conjunction with, the entrepreneurship/ TVET training and placement. Youth groups will be introduced to the microfinance partner, receive financial education and be able to access a portfolio of products specifically designed for youth including savings, education loans and loans for business start up.
The first YEE project has been implemented in district of Grobogan (Central Java) since early 2011 and successfully runs in 5 participating villages. With support from its corporate partner, Plan Indonesia will expand YEE into Rembang district (Central Java) and greater Surabaya (East Java).
As a market-driven program, YEE designs its TVET training curriculum based on the previously identified employers. A labour market survey will need to be conducted to provide YEE with information on potential industries in Rembang district and greater Surabaya and the sub-sectors for youth employment track of the program. Furthermore, the survey will also identify potential employers to become partners of the TVET project.
The baseline study is aimed to achieve the objectives as follows:
* To understand and analyze the employment situation/trends in Greater Jakarta
* To identify government policy which is focused and in-line with youth economic empowerment program
* To identify the automotive industries and its supporting in Greater Jakarta which are potential for youth employment needs of the YEE project in Jakarta
* To identify various vocational schools/training provider which offer automotive skills training
* To identify type of skills and qualification level of workers needed by the automotive industries and its supporting industries
* To identify training providers which have the capacity to produce graduates with competence based skills as needed by the identified employers. The information will also include length of training and estimated training costs.
To guide the development of study design in achieving the baseline objectives, the consultant should align the proposed methodology and tools guided by the key questions below.
* What are the current employment situation/trends in Greater Jakarta?
* What are the government policies and key actors which supported youth economic empowerment program?
* What are the forms of youth employment opportunities in automotive industries? What are the basic skills needed required by the automotive industries?
* What are the potential school training providers in Greater Jakarta which provide automotive skills training?
* What are the current skills that youth have in order to meet requirement to the automotive industries and its supporting industries?
* How are the qualities of training providers in order to produce graduates with competence based skills?
Methodology
The baseline study should combines qualitative and quantitative research methods. It will applies and reflects in sampling technique, data collection and analysis. The consultant should propose the suitable methodology that meets to the project design and baseline objectives.
The consultant is expected to combine following methodology as follows:
A. Desk review of relevant documents. The minimum documents for review are:
* Labour force situation ( Statistics)
* Trend of the automotive industries and its supporting industries (Ministry of Industry)
* Employment Situation in Manufacturing Sector/Automotive Subsector
* Vocational Education for Automotive Industry
* KADIN and APINDO reports
* YEE program documents (CSP, CPO, DIP, etc.)
* Analyze the qualification of current students
* Finalizing the dead zone of curriculum potential students in terms of job market needs
B. Briefing session with YEE and PME team – Plan Indonesia
C. Primary data collection and analysis (Questionnaire, Focus Group Discussion and In-depth interview)
* Meetings with Bappeda (Local Development Planning Agency), Local Investment Coordinating Office (BKPMD), Chambers of Commerce and Industry (KADIN), Indonesian Employers Association (APINDO), and related Local Government Offices (incl. ManPower, Industry and Trade) to assess industry sector and company potentials.
* Meetings with potential companies with objective to assess their willingness to become partners of TVET projects and their overall suitability with TVET projects including their youth employment needs, decent work conditions, etc.)
* Meetings with employers, North Jakarta vocational training center and related local government offices to identify vocational training providers which have the capacity to produce graduates with competence based skills as needed by the identified employers and to obtain information about length of training and estimated training costs.
D. Direct observations to respondents/participants
E. Field visit
F. De-briefing with Plan Indonesia to develop final report
Expected Outputs/deliverables
At minimum, the consultant should delivers an analytical report containing:
1. Detail of General and Youth Employment Situation in Greater Jakarta
2. Spesfific General situation of Automotive Industry
3. Spesific General situation of vocational education/skills training for automotive industry
4. Potential companies or employers to become partners of TVET projects.
5. Type of Skills and Qualification level of Workers needed by Automotive Industry and its supporting industries
6. Draw a rough curriculum è decide the minimum & maximum number of students and division of course
7. Workshop composition to accommodate the students and curriculum.
Content of Proposal
Consultant should prepare Baseline survey proposal and contain the following:
1. Survey background
2. Methodology consists of:
· Study design
· Sampling technique
· Data collection and proposed instrument
· Analysis
1. Time table and activities
2. Proposed budget
3. Key personnel (with CVs attached)
Time Table
The Baseline Survey is expected to finish on January 30th, 2013
Qualifications and Professional Experience Requirements
· Post graduate qualification in economics and business related research field
· At least 5 years of consultancy experience in youth employment
· Experience in conducting labour market/Baseline survey
· Has good analytical skills and report writing skills
· Excellent interpersonal communication and presentation skills
Contact
Consulant should submit its proposal at the latest January 7th, 2013 to: Hery Nahampun (hery.nahampun@ plan-internation al.org) and Sheliagus Suyadi (sheliagus.suyadi@plan-international.org).
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