Presentation on theme: "Labour Markets & Youth Employment in the Arab States"— Presentation transcript:
1 Labour Markets & Youth Employment in the Arab States Prepared by Tariq A. HaqEmployment Development and Strategies OfficerILO – Regional Office for Arab States, BeirutPresented by Joop TheunissenUNDP/UNDESA Sub-Regional WorkshopYouth Policies & Strategies in the context of the MDGsRabat, Morocco, 6-8 July 2005
2 Outline Youth employment trends and indicators GlobalRegionalPolicy responses to youth employment challenge
3 Youth-specific difficulties in transition from education to employment Lack of employment experience of youth“Insider-outsider” effects related to labour marketWage and job expectations of graduates: mismatch between aspirations & labour market realitiesQuality & relevance of education to labour marketConstraints on self-employment & entrepreneurship developmentLack of organization and voice among young women and men (where are young members of workers and employers associations?)
4 Youth statistics-- cross-country differences I Activity rates of:youth (15 – 24) declined from 70% in 1950 to 59% in 2000adults (25-64) increased from 73% to 79%Growing participation of youth in educationActivity rates of young men much higher than those of young females but converging (in 1950 the gender gap was 29.2 percent points, in percent points)
5 Youth statistics – cross-country differences II Activity rates of young people differ by region – the lowest in Europe, followed by Latin America and Northern America, the highest in Asia, Africa and OceaniaUnemployment rates of youth consistently higher than the adult unemployment rates, in most countries between 2 and 4 timesIn most countries in the world, young women have higher unemployment rates than young men
6 CountryYearYouth UR in %Youth UR to adult URRatio of youth U in total U %Algeria1992n.a.65.7Bahrain200060.7Egypt199920.44.959.5Morocco15.41.638.2UAE47.0West Bank and Gaza200135.1Yemen48.4
7 Arab Regional Economic Context Variable, but generally sluggish economic growthLabour force growth is higher than both GDP growth & jobs createdUnemployment is acute amongst youth, especially young womenCreeping poverty across the region even beyond the countries affected by conflictNationalization of workforces in the Gulf with implications for young migrant workers in regionIncreased restrictions on labour markets in EU
8 High Unemployment for Arab youth Around 12.5 million unemployed, coupled with high underemploymentHighest (and increasing) unemployment rates in the world, especially for youth2.5 million new youth entrants to the labour market annually, expected to rise to 3 million during – need to create jobs for these new entrants just to maintain current unemployment levelsYouth unemployment rates are much higher than adult unemployment rates, averaging 25.6 % in 2003 (cf. 21.0% in Sub-Saharan Africa)
9 Gender Gap in Employment Average female unemployment rate of 16.5 % was 5.9 % points higher than the male rate of 10.6 % in 2003Unemployment for young women in Arab countries ranges from 13 % in Bahrain to almost 39 % in AlgeriaUnemployed women are mainly:young new labour force entrants (with primary & secondary education)laid off workers following restructuring and privatization - in Jordan, Morocco, Tunisia and Egypt
10 A comprehensive employment policy that is inclusive of youth Such policy must be based on reliable economic and labour market analysis identifying potentials and challenges for young people (requires LMIS)Policy and programs need to be better tailored toward:enhancing employabilitypromoting employmentimproving social security of young peoplePartnerships!
11 Targeted Active Labour Market Policies for Young Women & Men Well functioning employment servicesRe-skilling of work force:bridging the skills gap to match labour supply with demandlinking training programs with employmentEntrepreneurship training in basic business skills, especially for young women and menEmployment subsidies for disadvantaged youth (school drop outs, vulnerable youth, youth with disabilities, etc.)
12 Young Migrant WorkersAdmitting the reality of migration in receiving countries: defining a clear and realistic strategy and policy for migration, shifting emphasis from quantity to quality of expatriatesInitiating and developing a consultative process between sending and receiving countries, based on mutual respect and benefitMore active role for workers’ organizations to defend migrant workers’ rightsPublic and media awareness on migrant workers’ rights
13 THANK YOU! FOR MORE INFORMATION ON THIS PRESENTATION CONTACT Tariq A. HaqEmployment Development and Strategies OfficerILO – Regional Office for Arab States, Beirut
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