Islamabad (GNP): A high-level roundtable held to mark World Youth Skills Day has called for stronger alignment between skills training and labor market needs, as new data shows youth unemployment in Pakistan standing at 12.8%, with more than a quarter of young people currently outside employment, education, or training.
Pakistan is home to an estimated 46.3 million young people between the ages of 15 and 24. According to the Pakistan Labour Force Survey 2024–25, 20.6 million of them participate in the labor force, while 2.6 million remain unemployed — a youth unemployment rate nearly double the national average of 7.1%. While the share of young people outside employment, education, or training has declined from 32.5% in 2020–21, more than one in four young people still remain disconnected from pathways to employment and economic participation.
The roundtable, titled “Skills for a Shared Future,” was jointly organized by the International Labour Organization (ILO), the Punjab Skills Development Fund (PSDF), and the British Council to explore how Pakistan’s training systems can better prepare young people for emerging job opportunities shaped by digitalization, AI, and climate change.
According to the Labour Force Survey, roughly 4.9 million young people aged 15–24 have received technical or vocational training — 3.0 million young men and 1.9 million young women — highlighting both the reach of current training programs and the continued need to expand access, particularly for young women.
ILO Country Director Geir Tonstol said Pakistan needs a training system capable of keeping pace with industry needs and preparing young people for jobs that reflect current, not past, market demands, emphasizing the importance of collaboration between government, industry, and development partners to ensure skills investment translates into stronger employment outcomes.
Discussions at the roundtable focused on practical reforms to build a more demand-driven vocational training system, with participants highlighting the need for closer coordination between training providers and industry, improved use of labor market data, and stronger alignment between training investments and sectors with strong employment potential.
PSDF CEO Ahmed Khan said skills development needs to respond not only to technological shifts like AI and the green transition, but also to structural challenges facing both businesses and workers, stressing that productivity and decent work should remain central to the national skills agenda.
British Council Pakistan Deputy Director Ben Lawton said the organization remains committed to helping young people build both essential human skills — such as communication and critical thinking — alongside digital and green competencies, to support pathways into employment and lifelong learning.
The roundtable also called for greater investment in lifelong learning to help workers continuously update their skills as labor market needs evolve, with participants discussing the potential introduction of a national skills passport to formally recognize workers’ existing competencies and improve mobility across employers and sectors.
On the sidelines of the event, PSDF and the ILO signed a memorandum of understanding to strengthen cooperation on skills development, labor market research, and policy dialogue. The partnership aims to support future-ready skills training, improve school-to-work transitions, and expand access to decent employment opportunities for both men and women across Punjab.
The discussion focused on practical reforms to create a more inclusive, demand-driven and future-ready technical and vocational education and training system. Participants emphasized the need for stronger collaboration between training providers and industry, better use of labour-market information and closer alignment between skills investments and sectors with the potential to generate productive employment.
“Skills development must respond not only to AI, digitalization and the green transition, but also to the structural constraints that affect enterprises and workers alike,” said Ahmed Khan, Chief Executive Officer of the Punjab Skills Development Fund. “Productivity, innovation and decent work must be at the centre of the national skills agenda. When productivity rises, enterprises become more competitive, workers can earn better wages and economies grow more sustainably,” he added.
Ben Lawton, Deputy Director, British Council Pakistan said, “The British Council is committed to supporting young people with the skills and confidence they need to succeed in an evolving global landscape. By combining essential human skills such as communication, creativity and critical thinking with digital and green competencies, we can help create pathways to employment, innovation and lifelong learning for Pakistan’s youth.”
The roundtable further called for greater investment in lifelong learning, enabling workers to update their skills throughout their careers as technologies and labour-market needs evolve. Participants discussed a national skills passport as a potential mechanism to recognize workers’ existing competencies and improve mobility between employers, sectors and countries.
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On the sidelines of the event, PSDF and the ILO signed a Memorandum of Understanding to strengthen cooperation on skills development, labour-market research, institutional capacity-building and policy dialogue. The partnership will support joint efforts to promote future-ready skills, strengthen school-to-work transitions and advance decent-work opportunities for wome
Sohail Majeed is a Special Correspondent at The Diplomatic Insight. He has twelve plus years of experience in journalism & reporting. He covers International Affairs, Diplomacy, UN, Sports, Climate Change, Economy, Technology, and Health.
