Introduction: The statistics of unemployed university graduates represent an inappropriate relationship of higher education curriculum and industry field and careers and potentials that exist in industries. This reveals the lack of necessary specialties in the industries and increasing of educated unemployed people that do not have necessary skills. Competency-based curriculum development is a strategy that can be beneficial for students and professionals and develop basic competences and provide knowledgeable professionals for employment in the industry and consequently reduce the number of unemployed graduates and increase the effectiveness of higher education and industry. This review article was written with the aim of describing the position of competency-based curriculum.

  Conclusion: Few researches performed in the field of graduates’ employment in Iran have shown that the curriculums of higher education haven’t been much of a success in flourishing and reinforcement of competencies required in different fields and this leads to the waste of expenditure and efficacy reduction due to lack of competency. Competency-based curriculums can be used in order to train competent graduates. Those who develop curriculums must pay attention to the fact that curriculums must be designed in a way that can create and reinforce essential competencies in graduates for providing their success both in occupational and personal life.