Economics Project Topics

The Effect of Unemployment on Youths in Nigeria Society

The Effect of Unemployment on Youths in Nigeria Society

The Effect of Unemployment on Youths in Nigeria Society

Chapter One

Research Objectives

The general objective of this study was to explore the effect of unemployment on ypuths in Nigeria. Nigeria voices from Odeda community.

  Specific objectives are to:

  • Explore youths’ views on the processes that they identify as necessary for them to be employed.ii).   Assess employers perception about youth unemployment.
  • Determine to what extent does education prepare youth for self-employment.
  • Determine the ways to solve youths’ unemployment problem in Nigeria.

CHAPTER TWO

LITERATURE REVIEW

Theoretical Review

Human Capital Theory

Human capital theory has been used to explain the importance of knowledge, altitudes, and skills in productive activities (Hornbeck and Salamon, 1991).The term human capital came into being as early as the 1770s, when Smith, 1776/1937; Alfred Marshall, 1890/1930; and Irvin Fisher, 1906 hypothesized that the investment in human beings through the provision of education, training and medical treatment would improve the productivity of individuals and the workforce as a whole. In investing in young people for example, governments and parents consider both opportunity cost and the direct cost of investment and therefore, education and training have been perceived as important investment on young people to gain paid employment and are used to signal who have the most productive potentials in employment. Spence explain how an individual’s level of education can be used as a signal not only on knowing a specific subject, but also of their generally (otherwise) unobservable ability such as higher level of logical thinking and judgment. However, as this study indicates, some employers consider other Unobserved characteristics such as motivation, job experience and hardworking, which may not result from education and training. However, Human capital theory has been validated by empirical labor economics research and many employers still use this theory when they make decision to hire. However, there may be a situation where a certain level or type of education may not be entirely necessary for a particular job, but still it is used as an unobserved ability to productivity.

Neo-classical Theory 

Neo-classical employment theories have been used to explain three characteristics of unemployment: structural, frictional and cyclical unemployment. Structural unemployment is conceived as a product of the institutional set up of the economy, including policies, laws, regulations, private and government organizations, types of market arrangements and demography. The structural unemployment is particularly tied to demand and supply of labor, price and wage formation (Campbell and Brue, 1995, Davidson, 1990). In this context, when the demand is high, the possibility of getting employment is also high and the vice versa. Frictional unemployment on the other hand is very much related to structural unemployment where there is temporary unemployment spells. In such a situation, accessing employment becomes harder and youths are more disadvantageous than adults due in part, to the societal perception of them as displaying lower labor market attachment than older workers (Rees, 1986).

Cyclical unemployment differs from structural and frictional unemployment by basically being tied to economic fluctuations. Structural and cyclical unemployment are usually regarded as disequilibrium phenomena in the since that they reflect excess labor supply at existing wages (Campbell and Brue, 1995).Normally employers strive to achieve equilibrium by ensuring that there is no labor supply from low productive workers, whose productivity is lower than the real return from their employment. Then, individual employers informally tend to hire most efficient workers.

In Nigeria, both the human capital and Neo-classical theories have been used to determine who have more qualifications to access employment. Since political independence in 1961, Nigeria has tried to pursue various policies favorable to human resource development. These policies were aimed at educating and training people with a view to improve the individual productivity. In order to achieve this goal various policy measures were taken on board including universal primary education, introduction of adult education and inculcating into the citizens, education for self-reliance, in which theory was merged with practice (URT, Composite development goal 2000). Although the initiatives were taken, to develop human resource, the government was unable to achieve equilibrium in the labor market.

After independence young people ran from manual jobs in rural areas to urban areas in search of white collar employment. This escalated the friction unemployment in which many youths found them in urban centre with no employment. In 1996 the government realized that there is a need to deal with urban youth unemployment through specific policy interventions. The youth development policy and the National Employment policy were published for that reasons. Both policies aimed at fighting the problem of urban youth unemployment through increasing employment opportunities (Komba, 2002). However ,although these policies were developed to curb the problem of urban youth unemployment, the government did not pay special attention to ways to develop youths ‘capacities needed in the job market, including inculcating to them job skills, entrepreneurial skills, motivation and hardworking skills. Thus, there are indications that, many youth lack these skills and significant increase of unlikelihood to access employment.

Youths continued to suffer unemployment within economic reforms during economic adjustment period which started with the home grown National Economic Survival Programme (NESP) (1980/81-1981/82) and the Structural Adjustment Programme.

 

CHAPTER THREE

RESEARCH METHODOLOGY

Research Design

Non- experimental design by use of cross section design and survey design was applied to obtain information from the respondents, where by questionnaire and personal interview was used respectively.

The Study Area

The study was conducted in Odeda, odeda is a big local government area in ogun state Nigeria..

The area has been selected due to the fact that the area has got challenge of youth unemployment, which was seen as a research problem which has to be dealt in order to create environments for youth employability. Where by the primary and secondary source of data was easy to be obtained from the respondents, published and unpublished documents (NBS, 2003).

Data Types and Sources of Data 

In this study both primary and secondary data were used. Objective i.e. general objective and specific objectives where by the interview was used by use of questionnaire that was prepared by the researcher to respondents.

Primary Data 

Primary data were collected by use of interview specifically structured questionnaire and through use of focus group discussion by use of checklist required to the research.

Secondary Data

Secondary data were obtained from different sources of data such as official records like   data of Youth population census of employment and unemployment of 2012 from Odeda areaal Library, IRDP Library, also from socio-economic profile of

Odeda community and from internets, Newspapers and other journals.

CHAPTER FOUR

ANALYSIS AND PRESENTATION OF RESULTS

 Demographic Characteristics of Research Participants

CHAPTER FIVE

SUMMARY, DISCUSSION, CONCLUSION AND RECOMMENDATION

Discussion

If youths are considered as national asset and that many nations depend on their youths, it is high time that the government through the Ministry of Education and Vocational Training (MoEVT) become serious about the providing quality education to youths in oder to inculcate in them the necessary knowledge, skills and positive attitude towards employment. However, if the Ministry of Education and Vocational Training does not ensure that youths are getting quality education, Nigerian youths and the future adults will not be successful in their lives. Despite the continued and increased efforts by international community on extending jobs to youths, education institutions continue to provide education that is incongruent to self employment or access to employment.

Thus, research on youths’ views on the processes that they identify as necessary for them to be employed and employers’ perception about youth unemployment is needed to understand the key reasons for youths’ unemployment and suggestions for improvement. When we come to know more on youths’ views on the processes that they identify as necessary for them to be employed and employers’ perception about youth unemployment, we will be in a better position to efficiently and effectively deal with youth unemployment in Nigeria.

The present study attempted to address this need by assessing employers’ perception about youth unemployment; determine the extent to which education prepares youth for self employment; and determine the ways for solving the youth unemployment problem in Nigeria. For this reason, this study is significant in terms of its potential to contribute to the gap in the literature.

Conclusion

The study has assessed the effect of unemployment on youth in Nigeria and has revealed that hindrance toward youth employment are:- corruption, nepotism and tribalism, few job opportunities, high competition, high requirement of experience, lack of capital, lack of entrepreneurship skills, low investment in industries, poor education system and lack of experience. This implies that  youth unemployment are accelerated by both social factors, economic factors, political factors and demographic factor as the findings have revealed.

It has being observed that necessary processes for youth employability in any place are:  quality education, entrepreneurial skills, work experience and influential parent. It implies that parents have more influence to their children starting on giving them quality education, capital and advice on using the knowledge they acquired for development. It has being observed that the most important criteria which employers consider when employing youths are: – Capacity to work, Age, Education and experience, hard working of youth and Nationality of the applicant. This means that students who are not yet employed have to go on studying in order to acquire necessary qualification needed by the most of employers.

The reasons which make employers to prefer recruiting the adults than youths were:- Working experiences  and Trust worth, they found that adults have more working experience than youths but also are more likely trust worth than youths.

In what ways does the education system in Nigeria prepare youths for employment or self employment the findings shown that are through, field exposure from year one to year three, emphasize more on studio work and in a real world simulation like urban planning, encourage on study tours, it insist to review and develop curriculum which are relevant to labour needs in the industries ,  provide knowledge and skills that student can apply for self employment like project planning management and through attending seminars and workshop.

The teachers, employers and youths suggested that there is need of quality education, quality employment policy, financial support, creation of more jobs in order to solve unemployment problem among the youths in Nigeria. This implies that employment depends on many factors that can add more employment to the youths as seen above.

Recommendations  

Basing on the findings of the study and the conclusion, the following recommendations are made in order to increase employment to youths and make them continue deliver services to the people in the study area for community and national development.

To emphasize more on practical training in each stage of learning

There is a need of emphasizing on practical training in each stage of learning  where by the Government should give order to each education institution to implement  the use of this system as a means of teaching the students competent skills which can enable them to be employed or self employed and hence reduce  youths unemployment.

To improve quality of education

The government should improve the education by formulating system of education which are more quality to enable the students get quality education which can help to increase employability to the youths and match with skills needed in a labour markets and finally it implement the millennium development goals.

To introduce entrepreneurship training in each college

Both non-government organization and government organizations should emphasize on entrepreneurship education provision in each college so as to enable the students get entrepreneurial skills which help them to employ themselves hence reduce youth unemployment.

To increases power in fighting against corruption

The government should increase more power in fighting against corruption because it seems that the main hindrance toward youth’s employment is persistent of corruption. Therefore there are need of increasing power in fighting corruption which seen as an obstacle to youth employment and development. Whereby the ant-corruption institution should work positively to solve the proceeding problem.

To eliminate the need of high need of experiences to first job seekers applicants

The results shown that the high need of experiences is another hindrance to employment, because the  most of vacancies announced need high experience while the graduates have no such qualification because they are fresh from schools so they do not have such qualification therefore the employers must see this in more consideration.

To improve domestic industries

There is need of increasing more effort on improving the domestic industries because the present of many industries will increase employment hence youth employment. The institution which deals with trade and industries should emphasize the government to establish more industries so as to increase employment and the economy of the country.

To insist the financial institutions to soften loan conditions among youths The financial institutions should soften loan conditions to youths instead of requesting collateral such as house and land, but it must also consider their certificates.

To stop the style of each institution to copy others are doing and provide methods that develop student’s talents

It is seemed that the students take similar course since many colleges have similar        course hence there are need of stopping b this style because it leads to high competition in employment.  For better analysis and assessment of the youth unemployment in Nigeria and the world in general, I recommend similar study to be undertaken in Nigeria. I further recommend the integration between the community, Government and Non -governmental organizations to take care about the ways of solving this problem as being proposed in this study and in other known researches of similar studies in order to combat youth unemployment problem.

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