The NESDB monitors after the number of unemployed for more than a year reached 16.2 %, making it harder for new graduates to find jobs

The NESDB revealed that in Q3/2024, the number of unemployment increased by 16.2%, three-quarters of which were aged 20-29, making it harder for new graduates to find jobs even with a bachelor’s degree, while agricultural labor declined by 3.4%, due to natural disasters.

On 25 Nov, Mr. Danucha Pitchayanan, Secretary-General of the National Economic and Social Development Council (NESDB), revealed the Unemployment rate for the third quarter of this year showed an average of 414,000 unemployed, decreased by 1.07% from the previous quarter, but higher than the in the same quarter of last year which was 401,000.

Employment contracted in the sectors were wholesale/retail, which declined by 0.8%, and manufacturing, which declined by 1.4% particularly in computer and electronic products and automobiles, trailers, and semi-trailers, in line with the decline in the production index since the end of 2020.

As a result of the floods, the agricultural sector contracted continuously at 3.4% while the non-agricultural sector expanded at 1.4%, with transportation and storage growing the most at 14%, and hotels and restaurants at 6.1%.

In addition, 74,000 people applied for unemployment benefits, of which more than 95% are workers in the manufacturing sector.

Harder for new graduates to get a job, the rate of spending a year but still can't get a job yet reaches 16.2%

Moreover, the number of long-term unemployed for one year or more increased by 16.2% or 81,000, 65% said they had been unable to get a job, while 71.3% had never worked before, among which 3 out of 4 were aged 20 – 29 (the younger generation, Gen Y – Z).

Divide the unemployment rate according to the level of education as follows:

150,600 unemployed university workers (2.14% unemployment rate).

67,200 unemployed middle school workers (0.91% unemployment rate)

65,000 unemployed high school workers (general education) (1.00% unemployment rate)

59,200 or less unemployed primary school workers (0.38% unemployment rate)

51,400 higher vocational workers (20.1% unemployment rate)

20,500 workers for vocational workers (1.32% unemployment rate)

The data showed that workers who graduated from university had the highest unemployment rate of 2.14 percent, higher than those who graduated at the lower level.

3 Labor issues to be monitored and prioritized

Promoting the adaptation of workers in traditional industries into modern industries.

Currently, many industries are facing changes that prevent the traditional production structure from meeting market demand, which has affected workers, including layoffs, reduction of OT, the use of Measures 75 in lower pay rates, introduction of voluntary retirement programs, and early retirement.

To reduce the risk of job losses in related industries, there should be a policy that encourages entrepreneurs to adapt to new production systems or switch to other production. Moreover, new skills and reskill for workers should be trained to make it easier for them to adjust or change their careers.

The preparation of labor skills to support new industries

Foreign direct investment by The Board of Investment of Thailand (BOI) revealed that most of the new investment industries are new and may employ approximately 170,000 Thai workers. All sectors must speed up production and develop the skills of Thai workers, especially in STEM. Currently, there are limitations in terms of quantity and quality to prepare Thai workers to benefit from such investments.

The impact on the cost of living from the flooding has resulted in higher farm produce prices.

The flooding since mid-2024 has caused more than 77,000 rai of farmland to be damaged in 53 provinces, which may affect the cost of living for Thai people due to rising raw material costs, especially short-term crops, which will directly burden people, especially those affected by flooding.