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19 May 2019
Ministry of Manpower
Suggestion View - 134
Reduce youth unemployment

The best way to reduce youth unemployment is to create more jobs.

More jobs can be created by reducing the working hours. If the working hours is reduced by 10%, there will be a need for 10% more workers. 

However, it may be possible that the current deployment is inefficient, so a reduction in working hours will be partially met by removing the slack in the current workforce. 

Nevertheless, there should still be an increase in employment. 

More workers may increase the cost of labor and make the business less competitive. This can be offset in the following ways:

a) The govt can reduce the burden of govt regulations, levies and taxes that affect the cost of doing business

b) If necessary, the wages can be reduced but at a lower proportion than the reduction in working hours. This should be implemented over a period of years to reduce its impact on the existing workers.

c) Over the longer term, the govt should reduce the cost of living, so that workers can cope with their existing wages.

A country will have no future, if it has high youth unemployment. The govt needs to take effective measures to address this problem. 

Tan Kin Lian

Vote - do you agree that the govt should take strong measures to create jobs for young people?

 


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