JurnalPost.com — It has become a common assumption in Indonesian society that a bachelor's degree is the golden ticket to landing a dream job. Many high school and vocational school students deciding on their further education are often met with comments like, “Taking a D3 is a waste,” or “Why not just go for an S1?”
These sentiments reflect the view that academic education at a university holds a higher status than a diploma program. Meanwhile, vocational education is often dismissed as a second-rate choice for those who do not pursue a bachelor's degree.
However, is this assumption still relevant to the current state of the labor market?
Employment data actually reveals an interesting reality. Diploma graduates, particularly those from Diploma I to Diploma III programs, record lower open unemployment rates compared to other higher education groups. These findings challenge the belief that the higher the academic degree, the greater one's chances of securing employment.
This phenomenon should serve as a reflection on the relationship between education, competence, and the needs of the industrial world.
BPS Data Challenges the Assumption of Bachelor Superiority
The rebuttal to the assumption that bachelor's degree holders always find work more easily can be seen in data from the Central Statistics Agency (BPS).
Based on the National Labor Force Survey (Sakernas) in August 2025, the Open Unemployment Rate (TPT) for Diploma I–III graduates was recorded at 4.31 percent. This figure is lower than that of the university graduate group, which reached 5.39 percent.
This disparity was again evident in the May 2026 Sakernas data. The TPT for Diploma I–III graduates stood at 4.75 percent, while the group consisting of Diploma IV, S1, S2, and S3 reached 6.09 percent.
Consequently, the gap in unemployment rates between the two education groups increased from 1.08 percentage points in August 2025 to 1.34 percentage points in May 2026.
This data demonstrates that a higher educational degree is not always correlated with a lower unemployment rate.
This inequality is also visible in the number of unemployed individuals based on their highest level of education completed.
In February 2025, BPS recorded 1,010,652 unemployed individuals from the university graduate group. Meanwhile, the number of unemployed individuals from the academy or diploma group was recorded at 177,399 people.
In nominal terms, the number of unemployed university graduates is nearly six times higher than that of the diploma group.
Nevertheless, these figures must be understood proportionally. The number of unemployed is also influenced by the size of the graduate population at each education level. Therefore, a comparison of absolute numbers cannot be used directly to conclude that an individual diploma holder's job opportunity is six times greater.
However, both in terms of unemployment rates and the development of graduate absorption, this data is sufficient to question the view that diplomas are always inferior to bachelor's degrees in job competition.
Vocational Graduates Demonstrate Competitive Absorption
The superiority of vocational education is not only reflected in unemployment rates but also in the results of alumni tracking or tracer study.
Based on the results of the tracer study for the period of 2021–2024 presented by the Deputy Minister of Higher Education, Science, and Technology, Stella Christie, the labor absorption rate for vocational education graduates reached 77 percent.
This figure exceeds the absorption rate for academic education graduates, which is in the range of 72 percent.
This five-percentage-point difference is an indication that vocational education holds a competitive position in meeting the needs of the labor market.
These findings strengthen the argument that the industrial world requires not only workers who understand concepts but also individuals capable of applying knowledge in real-world work.
Companies certainly need analytical skills, theoretical mastery, and critical thinking skills. However, these needs must also be balanced with technical proficiency, problem-solving, and the ability to execute operational processes.
It is in this context that vocational education offers a different approach through learning that is more oriented toward the application of knowledge.
Why Are Practical Skills Increasingly Needed by Industry?
One reason vocational education has appeal in the job market is its learning characteristic, which emphasizes a balance between knowledge and practice.
Diploma programs generally provide ample space for students to engage in practicums, project-based learning, and work experience through internship programs.
This approach allows students to become familiar with operational procedures, the use of work tools, technical problem-solving, and professional standards before entering the industrial world.
When companies need workers to perform specific tasks, practical experience becomes a value-add in the recruitment process.
For example, a business administration diploma graduate who is accustomed to using digital administrative systems, managing company documents, or preparing operational reports may have relevant preparation for entering an administrative role.
The same applies to graduates in fields such as engineering, accounting, information technology, health, and other applied sectors.
However, job readiness is not determined solely by the type of education. The quality of the curriculum, learning facilities, student experience, and the relationship between the university and industry remain important factors.
Academic education can also produce graduates with strong practical competencies. Conversely, vocational education that fails to keep pace with technological developments and industry needs may face issues of skill mismatch.
Therefore, the superiority of vocational education should be understood as a potential that must be continuously developed, not an automatic guarantee that every diploma graduate is more job-ready than a bachelor's degree holder.
Industry Partnerships and Certification Provide Added Value
Beyond practice-based learning, the relationship between vocational colleges and the industrial world is a factor that can strengthen student job readiness.
Such cooperation can be realized through joint curriculum development, internship programs, field work practices, practitioner lectures, applied research, and final projects that address company needs.
Through this learning model, students have the opportunity to become familiar with the work environment, understand organizational culture, and build professional networks before completing their education.
This experience can serve as an asset when they begin searching for employment.
Competency certification also plays an important role as it provides additional evidence of specific skills mastered by graduates.
For companies, relevant certification assists in the process of assessing a candidate's abilities, especially for jobs that require mastery of technical standards or specific procedures.
Nevertheless, a certificate is not a substitute for actual ability. Practical experience, a portfolio, and the ability to complete work remain essential parts of competency assessment.
With a combination of practical learning, industry partnerships, and competency recognition, vocational education has a great opportunity to strengthen the link between the world of education and labor market needs.
The Issue of Waiting Periods and Graduate Expectations
The difference in unemployment rates between diploma and bachelor's degree holders should also be viewed through the process of transition from education to the world of work, or school-to-work transition.
A study by the Institute for Economic and Social Research at the Faculty of Economics and Business, University of Indonesia (LPEM FEB UI) regarding labor transition shows that job searching is influenced not only by the level of education but also by skill suitability, access to information, economic conditions, and labor market characteristics.
This means that the speed of obtaining a job is a more complex issue than simply comparing diploma and bachelor's degrees.
One factor that can influence a job seeker's decision is the reservation wage, which is the minimum wage level an individual is willing to accept before deciding to take a job.
University graduates may have varying expectations regarding wages and job types, depending on their educational investment, family economic conditions, competencies, and career plans.
When job offers do not meet expectations, some job seekers may choose to extend their search period to obtain a position they consider more appropriate.
Conversely, individuals willing to enter operational roles or entry-level positions with career development opportunities may gain work experience more quickly.
However, this attitude cannot be generalized based on the level of education. Not all bachelor's degree holders set high salary expectations, just as not all diploma graduates are willing to accept any job.
The core issue lies in the alignment between the needs of employers, the competencies possessed, and the opportunities provided by the labor market.
The Phenomenon of Degree Inflation and Job Mismatch
Job competition also presents another issue known as degree inflation, which is the tendency for educational degree requirements to increase for jobs that do not necessarily require such high academic qualifications.
In practice, companies may set an S1 diploma as an administrative requirement for positions that require more technical skills or operational experience.
This condition can narrow access for competent applicants coming from the diploma education path.
On the other hand, there is also the phenomenon of overeducation, which occurs when someone works in a position that does not require the level of education they possess.
An LPEM FEB UI study in July 2026 also highlighted this issue in a discussion regarding the readiness of the Indonesian labor market to absorb higher education graduates.
The mismatch between education and work can lead to various consequences, such as underutilized skills, career dissatisfaction, and potential income loss compared to jobs that are more aligned with one's competencies.
In the long term, this condition can reduce the efficiency of human resource utilization.
This issue shows that the challenge for the world of education is not merely to produce as many graduates as possible, but to ensure that the competencies built have relevance to economic development.
It Is Time to Change the Perspective on Vocational Education
Thus far, the choice to pursue further education is often influenced by social prestige and the assumption that certain academic levels hold higher status than others.
As a result, many prospective students choose educational programs based on the degree they will obtain, without first considering their interests, learning characteristics, and career goals.
In reality, academic education and vocational education have different learning orientations, but both are equally important in human resource development.
Academic education plays a role in the development of science, research, and conceptual abilities. Meanwhile, vocational education has strengths in the application of knowledge, mastery of professional skills, and the resolution of practical problems.
Neither should be placed in a hierarchy that assumes one path is always better.
The data on vocational graduate job absorption serves as a reminder that the labor market has diverse needs. An individual's success cannot be measured solely by the length of their academic degree, but also through competence, experience, adaptability, and the quality of the work obtained.
It is time to abandon the view that a diploma is a second-rate choice after a bachelor's degree.
Vocational education is not an alternative path for those considered incapable of pursuing academic education. On the contrary, vocational education is an educational path that can be chosen consciously based on interest, ability, and career direction.
Ultimately, neither a bachelor's degree nor a diploma can guarantee that someone will be free from unemployment. The world of work does not only value the diploma one holds, but also how knowledge and skills can provide real contributions.
Because in job competition, what matters most is not just how high one's educational degree is, but how relevant their competence is to the needs of the working world.
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