EDPRS II – Productivity and Youth (un)employment

For Rwanda to double its GDP/ per capita from $644 to $1240, Rwandans must double their efforts; meaning that Rwandans must become more productive than they are today.

Saturday, July 06, 2013
Helene Cyr and Sheila Kyarisiima

For Rwanda to double its GDP/ per capita from $644 to $1240, Rwandans must double their efforts; meaning that Rwandans must become more productive than they are today. Productivity, which is directly linked to employment, is extremely important in achieving the EDPRS II objectives. Going by the methodology used to determine employment in Rwanda, 99% of Rwanda’s workforce is employed. Although this figure might seem exceptional at first, it is important to understand that this methodology includes people who work as little as 1 hour per week and who do not earn an income from the type of work they do, for example growing crops for consumption, and this is why the employment percentage appears higher than any developed nation. Nevertheless, looking at the glass half-full, this issue is looked at as underemployment (doing a job one can do without the diploma he/she studied for) versus unemployment.)To elaborate further, today, about a quarter of the work-force works less than 16 hrs a week. This means that a quarter of the work-force works less than 3 hours a day in a globally competitive market where the work-day averages 8-10 hours a day. In addition, a good proportion of this work-force is in the informal sector, implying that these workers are not contributing to the social benefits of the country since they do not pay taxes. This underpins the need to increase the average number of work-hours of the Rwandan work-force in order to improve the productivity of the country and realize Rwanda’s vision. Programs such as technical and vocational schools can help train students in the appropriate skills necessary for the available job opportunities and can help Rwanda reduce underemployment and increase productivity. In addition, this also serves the purpose of growing the off-farm jobs to reach the targeted 200,000 per year, given that the average worker in agriculture works about 24hrs per week, approximately half the work-hours of the average off-farm employee. This is also why the services and manufacturing sectors have been highlighted as priorities in EDPRS II, because agricultural productivity is six times less than that of services and manufacturing.Another key element in line with increasing productivity is the promotion of a more practical curriculum in Rwandan institutions. Right from infancy, there should be an emphasis on applying classroom acquired knowledge to solving everyday problems. In order for the youth to increase their productivity, they must be able to think critically and out of the box to resolve complex problems. Education is not about cramming formulas and being able to regurgitate them on exams, education is about using the skills acquired in schools and universities to solve real-world challenges. In many institutions around the world, students are allowed to carry note-books or cheat-sheets into the exams because the problem exposed requires the students to critically analyze it to find a solution, and the answer cannot be found by simply looking into their note-books. This kind of thinking has to be instilled through training and this is why it is very important for students to seek out internships while pursuing their degrees. The work-environment exposes students to practical challenges that can help develop their critical thinking skills.In addition, industrial training helps them finding out if what they are studying is really what they enjoy doing, as well as if they are good at it. This is key in nurturing entrepreneurship and increasing productivity. Co-authored by: Helene Cyr (helene_cyr@hotmail.com) and Sheila Kyarisiima (kyarsh@gmail.com)Disclaimer: Although the authors are advisers of The Rwanda Development Board (RDB), their opinion is not approbated by RDB and is an independent expression of their views and not those of RDB or any other Government of Rwanda institution.