A Review of the Higher Education Reform Roadmap for Developing Skilled Human Resources and Identifying the Causes of Graduate Unemployment in Iran
Abstract
Currently, the widespread lack of skills and unemployment among university graduates in Iran has become a structural challenge within the higher education system and employment policy framework. Despite an overall national unemployment rate of 9.5%, the unemployment rate among university graduates exceeds 40%, and among educated women, it surpasses 50%. This phenomenon reflects a deep gap between academic education and labor market demands. Continuing along the current path not only leads to a waste of the country’s financial and human resources, but also risks fueling social dissatisfaction, accelerating the migration of skilled individuals, and placing additional pressure on families and government support systems.
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Economic and Social Impacts of Graduate Unemployment
Graduate unemployment in Iran is increasing due to a growing gap between higher education and labor market needs. The highest unemployment rates are among graduates of humanities, arts, and basic sciences, while technical and medical fields experience lower unemployment. This is caused by educational mismatch, uneven field distribution, and lack of practical skills. The consequences of graduate unemployment include reduced productivity, brain drain, inequality, psychological distress, wasted human capital, and declining trust in institutions.
Reasons for Graduate Unemployment
Graduate unemployment is mainly due to skill mismatches, outdated education, lack of internships, rapid tech changes, and weak ties between universities and industry.
Policy Recommendations for Improving Graduate Unemployment
- Recognizing skill certificates as university credits to increase employment chances.
- Making internships mandatory across all fields to provide practical experience.
- Holding regular job fairs to connect students with relevant job opportunities.
- Establishing specialized accelerators for skill development in universities.
- Enhancing collaboration between universities and industries through joint meetings and industrial visits.
- Activating corporate social responsibility (CSR) to fund skill training programs.
- Creating a supervisory committee to monitor and evaluate employment initiatives.
- Developing a clear roadmap for transforming higher education to meet market demands, including career guidance and aligning curricula with future job needs.
This integrated approach involving government, universities, and industries aims to increase employment rates and support sustainable economic growth.
This study was conducted at Mehrsa Team by Maryam Kian in 2025.
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