UNEMPLOYMENT

 

 

Unemployment:

In Africa’s 50 %of graduates do not have jobs-ACET  almost half of the 1o million graduates churned out of the 668 universities in Africa yearly do not get jobs, Kelvin Baogum- president of Coca Cola, Central, East And West Africa. At coca- Cola, according to data from International Labour Organization (ILO) in sub-Saharan Africa, the youth unemployment rates hovers around 12%. While this is slightly lower than the global youth unemployment rate of 12.%, the African region has the world’s highest rate of working poverty people who are employed but earning less than US$2 a day.Despite being African’s most educated generation to emerge from school and universities, a youth in Africa is twice as likely to be unemployed when he/she become an adult, ILO.Africa is the largest “youth budge” in the world, and the number of youth is expected to grow by 42.5 million between 2010 and 2020, world bank.
Discover how lack of jobs impacts people

in rural areas of Africa │>│

Unemployment has social as well as economic consequences for Africa’s citizens. Unemployed people are forced to find alternatives to generate income, including activities in the survival-type informal sector and, in extreme cases, criminal activity. Urban unemployment in Africa is further exacerbated by rural-urban migration. Rural migrants believe that more jobs and social opportunities are available in urban areas, but once in the cities they find themselves without a job and with limited social networks.

Trapped and discouraged by bleak job prospects, some turn to the sex, criminality and drug industries to survive. Most of these are youth; youth joblessness also implies missed opportunities in the human resources to produce goods and services. In addition, smaller tax revenues result from a smaller tax base for income tax and indirect taxes such as the value added tax. A further implication is related to security. An increase of one percentage point in the ratio of people ages 15-29 to people ages 30-54 increases the likelihood of conflict such as civil unrest or war by 7 per cent. Higher crime rates also have a direct economic cost in terms of loss of foreign direct investment.

The youth in Africa now lack the capacity to access health services, lack leadership and management skills, and are prone to poverty because they are unable to engage in meaningful and gainful employment. Many of them have also resorted to corrupt tendencies in order to quickly go up the ladder of success.

Understanding Unemployment

in Uganda│>│

The term “unemployment” is not new to many Ugandans because it is a prevalent problem throughout the country. According to a 2008 World Bank Report, Uganda is among the countries with the youngest population and the highest youth unemployment rate of 83%.

To further lend credibility to these findings, in the 2011/2012 budget of Uganda, the Minister of Finance recognized that because of the high levels of unemployment, the Ugandan economy can only absorb 20% of its youth. This same survey revealed that the labor force in the country was approximately at 11.5 million persons reflecting an increase of 2 million from 9.5 million in 2005/2006; an annual growth rate of 4.7 percent. This is above the national population of 3.2 percent per year. According to the survey, the high growth rate of the labor force poses a challenge to the country since it requires that jobs should be secured to match the increasing labor force.

Report from Economic Development Policy and Research Department Ministry of Finance, Planning and Economic Development, November 2014 reveals that very few Ugandan graduates create jobs for themselves or others. although government  has prioritized vocational training to create ‘job makers’ rather than ‘job seekers’, job creation among formal Uganda graduates has been far less than expected. This suggests entrepreneurial and business skills are being overlooked by formal training institutions.

“How do we get youth into the work force and have each one to contribute towards national development?”

Together, we can work toward a solution

Be the first to comment

Leave a Reply

Your email address will not be published.


*