Nowadays as it is seen in our country, the rise of fuel gas has been increasing irrelevantly due to the bad state of economy of our motherland is going through. Not just to be seen through the increase of fuel gas, an issue that is now raising up top notch today also includes the unemployed university graduates in Malaysia. As how it is to be seen, there are numbers of graduates and undergraduates who are going through hardship of getting a secure place in a workstation. As how it is known, “the global population has been negatively affected by the deep recession of ensuring of prolonged and shallow”, Dian Hikmah Mohd Ibrahim & Zaidi Muhyddis, 2015.
Also, it may not be noticed by the people around, but this issue of unemployment of university graduates has a rate which approximate 3 times in global youth unemployment of adult, more than twice the overall global unemployment rate. Unemployment rates for young graduates also tend to be higher than non-graduates. As how it the topic is about unemployment of university graduates, it is meant to be brought out about how terrible the economy is doing at the moment that links to the unemployment of university graduates. The unemployment of university graduates are caused by some reasons which happens to increase the rate of unemployment.
The increase rate of unemployment are caused by a few factors that leads to the rise of the issue, as the factors can come from both parties which are the employers and also the future employees. Generally in today’s world, the quantity of people are increasing in a way where it does not tally with the quality that they have to offer for future life. As for example, there are group of people who graduate but did not graduate with quality- which means they finish studying for the sake of finishing and not to be prepared for their future.
One of the main reason why there are many unemployed university graduates is because of “the lack of professional connections”, Alyssa Davis, 2014. It is true that professional connections brings out the better side of an individual as it personally show the way an individual connect with another. Connections are important as it is also defined as first impression or judgement that also affect the individual after a get to know session.
Other than just lack of professional connections, the reason why there are still people who are unemployed is because they are lack of experience. Lack of experience point can be blamed on both sides of the parties of employers and future employees. Many company and employers now tend to search for graduates who graduated not only with good grades but also with good and long experience. Heidi, 2014 mentioned too that the causes of graduates unemployment is due to the graduates who do not have any practical experience of work.
As how it is said by Will Kimball, 2014, “unskilled and inexperienced workers such as fresh university graduates will suffer unemployment due to the fact that most employers will be looking for professional workers with a certain set of working skills to maintain the company performance during recession”, is also a factor as only some university graduates who are lucky to have working experience while studying but it is not to all students who have practical experience to work. It is well known that not all study majors includes practical work that accessible students to right away get the experience of working right after graduating university. This indirectly shows how employers do not believe in the graduate’s ability.
Last but not least, another bizarre reason that causes unemployment among graduates is the stability of the company itself. Some companies goes through hard times by struggling to keep up with today’s economy to maintain their reputation and rankings in the business market. But however, the downslope of some company is “Employers are cutting costs, and when you cut costs, one of the first thing you look at is your hiring policy”, Shamsudin Bardan, 2017.
2.0 PROBLEM STATEMENT
The unemployment among graduates in Malaysia has reached to a state where it is worrying to the future graduates who are still studying. However, not only in Malaysia unemployment is an issue but it goes to the same way to the countries around the world especially to developing countries with enormous population. Companies and firms that closes down happens to effect the rate of unemployment and then affect the supply the labour market- Nazaria; 2003: Working paper of Unemployed Graduates Pre and Post 1997.
Unemployment rate among graduates in Malaysia is chosen as because this particular issue is roaming around the nations and it effects the current employees and the future employees of the country. An important issue like this should stop be considered as a small issue that can be solved in a day. As it is to be seen, unemployment affects the future of employers and employees, and how it is viewed right now, it also gives an effect to the economy of the country as the higher the rate of unemployment in a country like Malaysia, the higher the chances of downfall of the country’s economy. As an example, fresh graduates has fresh and brilliant ideas to change and to step up a company’s target and reputation.
As how it is not noticeable by the people today, the cause of unemployment among graduates in Malaysia is because of the consumption, investment, government, and spending. As for example, it can be seen as how these four factors connect to each other as in consumption wise, “the rate of unemployment is a valuable measure of aggerate income uncertainty- an increase in income uncertainty would be expected to increase savings”, Jim Malley and Thomson Moutos, 1996. However, some countries have their own unemployment benefits, but sadly in Malaysia, Malaysia does not have any unemployment benefits system but the government has prepared a several types of welfare benefit system.
As in this topic of unemployment among graduates in Malaysia, there are three (3) objectives selected for this study.
The first objective is to investigate the factors of unemployment among university graduates in Malaysia. In connection to topic itself, it can be seen that there are a few factors that causes the reason of unemployment which is lack of professional connections, lack of practical experience and also the economy stability of the country.
Next, the second objective is to study the impact of unemployment among graduates in Malaysia on social institution. Briefly, the impact of unemployment among graduates in Malaysia can be seen as an impact to the social institution is because without fresh newcomers into a society, a society would not get broader and glowing ideas for the future.
Lastly, the objective is to study any other related issue of unemployment impact on society. As this issue of unemployment among graduates in Malaysia has a wide scope, there are many other issues that is related with it such as the future of a country and the people who will lead the country.