APPROACH AND METHODOLOGY
- Labor Market Analysis: YUM will first conduct interviews of large companies established in Central Kalimantan to assess the human resource needs they are not able to find locally and develop relationships with potential employers. Companies will be asked about the number of employees whom they intend to hire in the near future, and the types of skills that the potential employees should possess and their priority training needs.
- Mapping of local production and consumption through focus group discussions and interviews: In order to evaluate which kinds of micro-businesses should be promoted, a detailed survey will be conducted to provide up-to-date information about how much of different items typically consumed in households are being consumed in the community, which products are being brought from other regions of Indonesia, and which are produced locally.
-Establishment of the Vocational & Technical Training Center that will offer a variety of professional training courses will provide the members of the community with specific professional and business skills that will help them to gain employment with existing businesses or take advantage of micro-credit loans.
IMPLEMENTATION, TIMELINE, AND DELIVERABLES
Set up Phase (6 months-1 year):
- Team establishment & Design of Surveys
- Labor Market Analysis
- Identification of potential trainees
-Mapping of local production and consumption
-Implementation, design and construction of VTTC (Phase 1 in Year 1, Phase 2 in Year 2)
Hiring of trainers / Training of Trainers (Year 2)
- Trainings (Year 2 to 3.5)
- Practical work of trainees at companies (Year 2 to 3.5)
- Distribution of micro loans to women and youth (Year 2 to 3.5)
- Monitoring of small businesses established by microcredit borrowers to assess business growth and/or positive impact on borrowers' lives.
- Monitoring of progress made by trainees employed in local companies- Supervision by Head Office
YUM's working area of 13,000 in habitants in the Sub-district of Bukit Batu in Central Kalimantan, Indonesia, has a very low level of education and lack of skills. The area offers very few salaried jobs. In contrast, large companies established in surrounding districts have to bring staff from other areas due to lack of basic skills and trades, such as mechanics, plumbers, etc. Most occupations are seasonal and/or temporary and a very high percentage of young people are unemployed leading to crime and substance abuse. Furthermore, access to the formal credit market remains largely unobtainable as commercial microcredit providers tend to cover only the upper levels of the microcredit market. As the population grows, mainly due to increased number of migrants from elsewhere in Kalimantan and Indonesia, the economic situation becomes more and more precarious.
During the second half of 2009 and early 2010, an intensive participatory analysis was conducted by Yayasan Tambuhak Sinta, showing half of the population living in the area living on less that $1/day.
Currently, there is no facility to acquire skills leading to an improved economic situation besides YUM's own current efforts at teaching computer, English, and sewing skills, as well as providing some micro-credit loans. For this reason, YUM intends to establish a Vocational & Technical Training Center that will teach simple trades such as plumbing, motor cycle mechanics, electrical and electronic practice, service and repair of mobile phones, refrigeration and air conditioning, as well as sewing, computing, English, etc. For those trainees who cannot be absorbed into the workforce, micro loans will be made available to start their own small projects.
Funding received for this project has been limited. To date, only one CGI member, Barclays, is involved in our project.
Financial resources are still sought to bring this project to full scale. In particular, funds to build the Centre are needed as there is no further place to rent to expand the number of trainings already in place.