The real employment challenge is alignment, not job creation

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Tshego Bokaba | CSI Manager | Momentum Group Foundation | mail me |


We know where the jobs are, and we know our young people are eager to work. So why aren’t we connecting the dots?

South Africa has 200,000 agricultural jobs waiting to be filled. We also have a thriving Business Process Outsourcing (BPO) sector. This sector includes call centres, customer service, data processing and back-office administration. It can absorb entry-level workers at scale. In addition, our technology sector is hungry for digitally literate young people. Yet 60% of our youth are unemployed. This is unacceptable.

Understanding the real employment challenge

The glaring gap between available employment and eager young people seems as wide as a donga spanning the Orange River. We know where the jobs are, and we know where the youth are. Our youngsters are ready to work. However, the system continues to fail them. This disconnect highlights the real employment challenge facing the country today.

Why is that? It is a question that keeps us up at night. It was also a major topic of discussion at the recent On the Record conference. The conference brought together international economists, policymakers and business leaders. They gathered to explore how South Africa can create five million formal jobs in the next decade. The answer that repeatedly emerged was clear. We do not lack insight; we lack alignment.

South Africa is not short of good ideas or well-intentioned programmes. We are also not short of opportunities. Growth sectors such as BPO, technology and agriculture need people with technical skills, digital literacy and work readiness. Yet the education system struggles to deliver that combination. As a result, too many young people approach employers only partially prepared.

Why alignment matters

The Sector Education and Training Authority (SETA) model illustrates this challenge clearly. These government bodies receive funding through a levy that employers pay. Their purpose is to ensure that training aligns with industry needs. However, the real employment challenge becomes apparent when government programmes, private-sector initiatives and NGOs operate independently. Too often, they pass each other like ships in the night instead of working together within a coordinated system.

Consequently, some areas experience duplication while others face serious gaps. At the same time, no central mechanism exists to match trained young people with employers who need them. This fragmentation continues to fuel the real employment challenge and prevents many opportunities from translating into actual employment.

We have made a deliberate choice to invest where evidence points to real employment outcomes. We fund agriculture through our Women in Farming initiative. We also support BPO and technology skills through partners such as Harambee, ALX and WeThinkCode. Furthermore, we require every partner to show us where programme graduates will actually secure employment.

Building the bridge to employment

Curricula must align with the skills employers need today. Wherever possible, employers should also help design those programmes. A certificate that does not lead to a job is not a result. South Africa needs every institution in this ecosystem to apply the same discipline.

Government, tertiary education institutions, corporates and NGOs all have a role to play. Our youth are ready and willing. Meanwhile, the industry is crying out for a skilled labour force. Therefore, let us stop working in silos and start building the bridge our young people deserve. By aligning training, opportunity and placement, we can begin to address the real employment challenge and connect young South Africans to the jobs that already exist.


 




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