Africa needs a new policy paradigm to promote a job-intensive growth

Despite strong economic performance, Africa needs a new policy shift to generate more transformation, job growth and social development to lift millions of people out of poverty, agreed African members of the ILO Governing Body gathered in Addis Ababa.

Press release | 27 April 2015
ADDIS ABABA (ILO News) – With high levels of unemployment and increasing inequalities, Africa needs a new policy paradigm focussed on job-rich growth, youth employment, social protection, small and medium-sized enterprises and labour migration governance, said Aeneas Chapinga Chuma, ILO Assistant Director-General and Regional Director for Africa.

“African countries need a more efficient, job-intensive growth pattern. We cannot measure our success by growth alone. Employment creation must be a recognized target of macroeconomic policies”, Chuma stated during the opening ceremony of the first Information Seminar for African members of the ILO Governing Body organized at the UN Conference Centre in Addis Ababa.

Despite some GDP growth averaging over 5% in recent years, African economies are still witnessing decent work deficits, strong inequalities, persistent poverty, increasing informality and gender discrimination.

The growth model developed over the last years “is not efficient in generating sufficient, formal, decent jobs, in reducing inequalities, in improving working conditions, in sharing benefits”, the ILO Senior Executive underscored urging policy makers to put youth employment among the principal goals of macroeconomic frameworks and a priority for fiscal policy.

“Promoting entrepreneurship and generating jobs through small and medium-sized enterprises” should be encouraged, he added at this briefing session aimed at formulating a common understanding of ILO’s strategic priorities in the African region.

Decent work as a policy priority

Half of Africa’s population is under 35 years of age. The ILO estimates that between 2014 and 2020, the African labour force aged 15 and over will grow annually by about 13.3 million. Generating decent jobs for Africa’s youth is one of the most pressing post-2015 challenges.

With a very young population (65% out of 90 million), “creation of employment and decent work that brings about increased productivity and competitiveness remains a policy priority” of Ethiopia, stressed H.E. Abdulfatah Abdullahi, Minister of labour and Social Affairs in his keynote address.

Ethiopia has adopted a Growth and Transformation Plan targeted at accelerating sustainable development that focusses on job creation.

« It’s obvious. The cooperation program for development is more and more anchored around the Decent Work Agenda », explained the ILO Chairperson of the Governing Body, H.E. Apolinario Jorge Correia with « Africa being fully part of the promotion of decent work in a conducive environment for development”.

Strengthening Africa’s capacity

Reminding participants that decent and productive employment as well as social protection floors are likely to be retained as sustainable development goals, the Chairperson of the ILO Governing Body urged African tripartite delegations to “absolutely strengthen Africa’s capacity to take part in the ILO activities and take advantage of what the ILO has to offer in the framework of our partnership for the continent’s sustainable development”.

Angola, on behalf of the African Group, in collaboration with Belgium, co-chairs the Group of Friends of Decent Work are actively advocating for the integration of ILO activities in the development of post-2015 framework and, ensuring that Africa becomes more involved in the negotiation process.

Regional consultations on the post-2015 development agenda have resulted in the formulation of a set of desirable development outcomes in Africa, key amongst which is structural transformation and inclusive growth. Proposed Sustainable Development Goal number 8 has been formulated around the need to promote “sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all”.

“I therefore make the wish that Africa, and its constituents, can build on this momentum in the coming sessions to have a much more assertive and larger involvement in defending the interests of African workers and employers, to meet the challenge of poverty through decent work, social protection and social dialogue”, concluded Ambassador Apolinario Jorge Correia.

In the presence of ILO Deputy Director-General for Management and Reform, Greg Vines and other ILO Senior Officials, more than 40 African members of the Governing Body of the International Labour Organization are taking part to a two and half day all-inclusive knowledge and information sharing session on strategic priorities for Africa.