Unemployment: Too many graduates fighting for too few jobs

Nigeria’s inability to engage a large proportion of her youth meaningfully through job creation has the potential for social dislocation. The dire unemployment situation many graduates and those with advanced education in the country face is a cause for widespread concern.

World Bank data pinpoints the percentage of unemployed Nigerians with advanced education at 13.69% in 2016, and 15.3% in 2019.

This is worrisome as it translates to a bulging youthful, energetic unemployed population with no contribution to the economic growth of the country. Each academic year, universities and polytechnics admit close to 2 million students and produce about 600,000 graduates.

On 10 November 2020, the National Youth Service Corps mobilised 66,000 Nigerian graduates for its mandatory one-year service to the country, Vanguard Media reported. This practice has been ongoing since 22 May 1973 as an avenue for the reconciliation, reconstruction and rebuilding of the nation after the civil war.

The status of the seemingly saturated Nigerian labour market leaves most graduates frustrated. The situation has been gradually declining over the past almost 20 years.

Workforce is growing rapidly

The International Labour Organisation (ILO) has linked unemployment in Nigeria to the phenomenon of jobless growth, increased number of school graduates with no matching job opportunities, a moratorium on employment in many public- and private-sector institutions, and continued job losses in the manufacturing and oil sectors.

In addition, the ILO said the recent economic growth in Nigeria has not resulted in a rapid reduction of poverty or in the creation of sufficient decent jobs for the young and rapidly growing labour force.

The report Nigerian Youth Employment Action Plan 2021-24 of the Federal Ministry of Youth and Sports Development published in August 2021, confirms that unemployment rates are increasing.

According to the report, “As of 2020 (Q2), youth unemployment (15-34 years old) stood at 35%. A further 28% of young people in the labour force were considered underemployed (working 20-39 hours a week) and 37% were working full time (40 or more hours per week).”

The report further says that a precise estimate of the impact of COVID-19 on Nigeria’s labour market is not yet available, but the pandemic is expected to have put additional strain on youth labour.

‘It’s not fair’

Rajunor Ekpe-Iko, a third-year computer science student at the University of Calabar in Cross River State, said his greatest fear is not getting a job after graduation.

“This is really not fair. Going through the whole gamut of writing the West Africa Senior School Certificate examination, followed by the Unified Tertiary Matriculation examination, gain admission into any higher institution, sit for exams from first year to final year, just to not get a job, is disheartening,” he said.

World Bank data shows Nigeria’s population at 206,139,587 in 2020 with approximately 60% young, energetic working-age people who could grow the country’s economy.

Isabella Okoro, who graduated with a degree in human physiology from the Nnamdi Azikiwe University in Awka, Anambra State, five years ago, has taken up fashion designing while still searching for a white-collar job.

“Since there are no jobs, I learned fashion designing to keep up with life and pay my bills. A lot needs to be done by our government to create more jobs and make the Nigerian environment conducive for small businesses to thrive,” Okoro said.

Employability pool keeps growing

Okafor Izuchukwu Azuka, an anatomy lecturer at Nnamdi Azikiwe University, decried the poor data gathering in Nigeria.

“If you take a little sample of people, ask if they have opened a Nigerian portal where they have to declare if employed or not and when they eventually gained employment [you will find that] no organisation does that. So, projections in Nigeria are made from the last population census conducted in 2006 and, since then, the population has been booming,” he said.

Azuka said since a “sharp drop” in literacy levels in 2008, the rate has been increasing steadily by around 10% per year. At this moment, it stands at 60%.

“This means more people will keep coming into the employability pool. That can also impact the figure of graduate unemployment we are seeing.”

Azubuike Nwaji, an assistant lecturer in physiology at the Alex Ekwueme Federal University Ndufu-Alike, Ebonyi State, attributes the increase to a lack of planning on the government’s part. “There are so many Nigerian graduates that possess the prerequisite employability skills which they can build on and do wonderfully well when employed,” he said.

Quality education needs funding

Hamzat Lawal, founder and chief executive of Connected Development (CODE) and founder of the pan-African grassroots data-driven movement Follow The Money, feels that tertiary education is underfunded, hence the low quality of graduates.

Lawal, who is involved in education intervention, said: “A lack of adequate funding simply means students and lecturers have to make do with limited or, in some cases, no resources to carry out learning. The direct implication is evident in the quality of education delivered in tertiary institutions.

“Nigeria’s education budget is currently below UNESCO’s recommendation of 15%-20%.”

Lawal said: “For a start, meeting UNESCO’s recommended percentile of at least 20% (even though it is still not enough) might make a difference in the quality of graduates produced by our higher institutions as well as giving them the required training to face the job market.”

A report by the International Centre for Investigative Reporting published on 21 October 2021 shows the approved national budget for this year. Of the budget of US$33.1 billion (N13.58 trillion), the government devoted US$1.89 billion to education, an allocation of 5.68%.

The proposed budget for education (in 2022) is the lowest since the current administration headed by President Muhammadu Buhari assumed office in 2015. Of the proposed budget of US$39.9 billion, the sector gets US$1.7 billion, 4.3% of the national budget, and well below UNESCO’s recommended 15%-20%.

Graduates ignorant about the workplace

Great Owete, talent acquisition manager at the not-for-profit organisation EdoBEST, said the reality from a recruitment standpoint is how long it takes to fill a position, despite the high application rate. “Hiring managers agree that most candidates interviewed do not have a basic idea about the position they are applying for,” he said.

He said curricula should be aligned with the work related to each industry. “Government can also close the gap that exists between industry demand and what is being taught to students in the classroom.”

Owete said higher education should be practice-driven and internships encouraged because it helps young people to learn. Schools should also promote crafts and other skills to equip the youth for the workplace.

Lawal said the government must recognise that times are changing, and the world is transitioning into a digital economy.

“This means that there must be deliberate, all-round investment in education, such that students in tertiary institutions are exposed to tools and knowledge existing in this digital age. There should be an improvement in the school curriculum and courses being offered that should match the relevant skills in demand and jobs that are available, not just in Nigeria but all over the world.”

The Nigerian Youth Employment Action Plan 2021-24 outlines several action steps to curb graduate unemployment in the country, including remedial programmes in key areas of deficit to assist at least 50% of unemployed graduates.

Comprehensive educational reform, including through the introduction of entrepreneurship, innovation, ethics, and life and digital skills in school and training curricula, is also on the cards.

Another step is to promote incentives for enterprises to hire new graduates, implement the National Gender Policy, especially relating to labour and employment and gender budgeting, as well as to increase advocacy about the need for increased funding for education.