Kenya’s growing labour force and the jobs challenge

Kenya is at a crucial stage in its demographic transition, with the largest age cohort about to enter the working age, as per the recent economic assessment by the World Bank. However, the country is facing challenges in the job market due to the impact of COVID-19. In an interview with CNBC Africa, World Bank's Senior Economist, Ramya Sundaram, shed light on the current scenario and the steps needed to address the issues at hand. Sundaram emphasized the importance of productivity in jobs, stating that enhancing agriculture practices could lead to increased output and higher efficiency. While traditional farming methods may not be as productive, improving access to resources like fertilizers, better land, and advanced equipment can significantly boost productivity. When discussing Kenya's progress towards future-ready jobs, Sundaram highlighted the growth of sectors like information and communication technology (ICT) and high-end financial services in the country. Despite the positive trend, she noted that the majority of Kenyans are still employed in agriculture and low-end service jobs. Kenya's potential lies in creating an enabling environment for businesses and attracting private sector investments to absorb the growing workforce. The conversation on education's role in shaping the quality of jobs and lifting people out of poverty was a key point of discussion. Sundaram stressed the need for critical thinking skills, STEM education, and early childhood development to equip individuals for the jobs of the future. Investing in quality education, especially for those in lower-income brackets, is essential to bridge the skills gap and reduce inequality. Addressing the current labor market challenges in Kenya, Sundaram highlighted the skill mismatch between available jobs and the workforce. She pointed out the lack of collaboration between employers and education institutions, leading to a disconnect in preparing graduates for the job market. Enhancing partnerships and providing on-the-job training opportunities can better align skills with industry requirements. In conclusion, Kenya's journey towards a prosperous workforce hinges on improving productivity, upskilling the labor force for future jobs, and fostering collaboration between educational institutions and employers. By addressing these key factors, Kenya can navigate the complexities of the job market and harness the potential of its growing labor force.