<![CDATA[The implementation of the Competency-Based Curriculum (CBC) in Vocational High Schools (SMK) is a strategic initiative to strengthen Indonesia’s human capital in the era of globalization and digital transformation. Despite its potential, a persistent gap remains between the competencies of SMK graduates and the demands of business and industry sectors (DUDI), as evidenced by high unemployment rates among graduates. This study investigates how teachers translate Core Competencies (KI) and Basic Competencies (KD) into practice-oriented learning and how competency-based assessments are designed and applied. Employing a qualitative library research approach, the study utilizes content analysis of recent literature, policy documents, and empirical findings (2022–2026). Results indicate that practice-oriented models such as the teaching factory, project-based learning, and industrial internships significantly enhance students’ technical and soft skills, as well as their employability. However, challenges persist, including limited practice facilities, insufficient teacher expertise in competency-based assessment, and misalignment between curriculum and industry requirements. The findings highlight the importance of competency certification, curriculum alignment with the Indonesian National Work Competency Standards (SKKNI) and strengthened partnerships between SMK and industry. Policy recommendations highlight the need for facility revitalization, continuous teacher professional development through upskilling and reskilling, and the establishment of valid and authentic assessment systems. This study contributes to the discourse on vocational education reform by offering practical and conceptual insights to ensure SMK graduates are adaptive, skilled, and competitive in the global labor market.]]>
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