Youth Unemployment: Is Ghana in Crises?

Out of the 13,908 prisoner population in 2013, 45.13% were youthful (18-25yrs) according the 2013 annual report by Ghana Prisons Service. In terms of their educational backgrounds (all prisoners), JHS students constituted 47% (highest) while SHS was 15.3 % (3^rd highest) with offences such as stealing (40.8%) and robbery (8%). The problem of youth unemployment is not just a central policy issue. It is a national security threat. Ghana Statistical Service reports youth unemployment to be 5.5% (see GLSS 6, p. 57). Some analysts, including Dr. Baah Boateng of Africa Centre for Economic Transformation (ACET) have emphasized the need to focus on ‘joblessness’ as opposed to unemployment, which is a more accurate measure of economic well-being per capita. Rural Heights Foundation agrees and takes it even further. Metrics such as the time-related under-employment are also essential in understanding the bigger picture as far as youth joblessness is concerned. Persons are who are employed but engaged in less than 35 hours of work per week are considered under-employed. This measure serves as proxy indicator of productivity and labor factor engagement. In analyzing joblessness therefore, it is imperative to take cognizance of not just unemployment, but also under-employment (33.3%) and all category of persons who are employed in non-paying work (family business: 22.3%). This will help shape a more comprehensive policy response to the issue of joblessness in the Ghanaian economy. There may also be a need to disaggregate data on the basis of gender, age and locality as stark differences exist between employment for men and women within different age brackets in urban and rural Ghana.

The more pressing questions however are these - what is causing the joblessness? What are the policy options? How do we align job creation with a broader and integrated economic development strategy?

What is Causing Joblessness?
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Credit: Rural Heights Foundation [www.ruralheights.org]