Find proactive solution to unemployment
RISKY: NOT CREATING JOBS FOR THE YOUTH IS THE MAKING OF A PRECARIOUS COUNTRY
A thriving youth population is good for a country’s future.
South Africa’s annual economic growth has been below 2% since 2014, which is unbalanced and unsustainable. More alarming, however, is our youth unemployment rate – 53.8% among the 15 to 24 age group in 2018, according to World Bank data.
There are risks born out of young people not having opportunities which enable their upward mobility and help them move away from being dependent to become economically active citizens who will potentially improve the country’s outlook.
When looking at this together with political and economic concerns, problematic items appear in SA’s inventory.
These items are negative and detrimental to society’s progress and there’s danger in all of them tilting SA to the edge of political crisis or economic collapse.
Persistent fragility
The Bill and Melinda Gates Foundation’s 2018 Goalkeepers Report, which looks at the impact of the growth of young populations on the future, shows the persistent fragility of a growing African youth population’s inability to enter the labour market presents as social and national instability.
This is seen in the mass migration to already overcrowded urban areas that adds to the high and rising number of people living in poverty.
A young population trapped in the lifelong circle of joblessness and poverty makes for a precarious country.
These are a few obvious underlying risks associated with a jobless future population that, left unattended, might trigger events that could be tragic for SA.
These effects are plausibly due to Africa being the only world region currently undergoing population growth.
National security is a conceivable risk because we know that a desperate fight for – and access to – limited resources can cause conflict. This can lead to people fleeing their country, which can spread conflict to the neighbouring country.
Government has proven itself incapable of and unwilling to come up with tactics and associated initiatives to enable young people to enter the labour market.
Such disorder cannot be allowed to continue since we know inimical challenges arise from demographic changes.
Urbanisation and migration are among the challenges governments struggle with.
If we use the 2015-2016 World Bank Report – Development in an Era of Demographic Change – as a framework, SA can be classified as a receiving country “since migrant entry and any subsequent birth” adds to growing population.
Damaging consequences
The impact of a rising population on the labour market means a high growth rate of the working-age population. SA is no exception.
There are damaging consequences for individuals who can’t participate in the labour market.
Subsequently, there will be negative effects for a country’s economic, developmental and social outlook.
It could be a costly mistake to overlook the demographic changes currently produced by the youth population.
Discouragement and feeling left out can escalate the threatening social discontent.
Perhaps the most straightforward, clearest lesson for public policy and corporate SA is to invest in human capital potential now rather than to react to their unemployment.