Transcript Employment and Social Inclusion for Green Growth in Africa

Employment and Social Inclusion
for Green Growth in Africa
Amal Mowafy and Moustapha Kamal Gueye
Decent Jobs for Egypt’s Young People Project (DJEP) / ILO Green Jobs Programme
International Labour Organization
Outline
1. Global employments trends and Africa
2. Growth, productivity and poverty: The African context
3. Green economy and labor market dynamics
4. Building and upgrading skills
5. Unleashing African green entrepreneurship
6. Working with the informal sector for better jobs
Global employment trends
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Almost 202 million people unemployed in 2013, an annual increase of almost 5.
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Global unemployment set to worsen - more than 215 million jobseekers by 2018.
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Youth unemployment rate at 13.1% is almost three times as high as the adult
unemployment rate – reaching a historical peak.
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Total unemployment in SSA is at 7.8%. Higher in North Africa, particularly for youth.
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Vulnerable employment is at 77.4% - the highest of all regions (world average 48%).
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Working poverty is declining slower than in previous decades, with 839 million
workers (or 26.7% of total employment) living on less than US$2 a day.
Source: ILO: Global Employment Trends 2014
Growth, productivity and poverty in Africa
• Economic growth improved certain labour market indicators,
however employment and poverty reduction still limited, because:
– Low growth–poverty elasticity: a 1% increase in growth reduces poverty by
only 1.6% in SSA, compared to 3.2% in North Africa and 4.2% in Eastern Europe
and Western Asia (UNECA/AUC, Economic Report on Africa, 2011).
– Low national and regional productivity in particular due to agriculture and its
large share in most economies (ILO, Global Employment Trends 2013).
• Employment only plays its intermediary role between growth and
poverty reduction if jobs are productive.
• A green economy could offer opportunities to improve both resource
and labor productivity.
Green economy and labour market dynamics
• Green growth can affect labor markets primarily in two ways:
– Transitions will cause shifts in the volume, composition and quality of
employment across sectors,
– Affect the level and distribution of income.
• More and better jobs can be achieved. However, such gains are not achieved by
default, but by design. Green economy policies should:
– Stimulate job creation as an objectives, and not as an automatically result
of growth,
– Ensure that jobs created meet decent work criteria - Addressing issues
specific to the informal sector,
– Advance social inclusion with dedicated social protection policies, skills
buildings and upgrading and retraining of workers.
Nature and scale of likely employment changes
E.g. Renewable energy sector; energy
New job creation performance service companies; mobility
services
Elimination
Substitution
Transformation
E.g. Inefficient coal mining; packaging (materials
discouraged or banned);
E.g. Shifting from fossil fuels to RE&EE,
automobiles to mass transit, waste disposal to
recycling, primary metals production to
secondary production
E.g. Existing jobs greened along with changed
workplace practices and methods.
Supply-chain effects (steel for wind turbines)
Source: ILO, 2011, Skills for green jobs: A global review
Green growth could offer more jobs at the
global level
The resource-intensive development model of the past will lead to rising costs, loss of
productivity and disruption of economic activity:
In a BAU scenario (ILO Global Economic Linkages model)
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Productivity level drop 2.4% by 2030; 7.2% by 2050.
In contrast
In a Green Economy (ILO Global Economic Linkages model)
• 0.5-2% Net job gains = this translates in 15-60 million additional jobs globally.
• Multi-factor productivity can improve by 1.5% by 2020; 5% by 2050.
8 key sectors are expected to play a central role: agriculture, forestry, fishing, energy,
resource-intensive manufacturing, recycling, building and transport.
Source: ILO 2012, “Working towards sustainable development. Opportunities for decent work and social
inclusion in a green economy
Policies matter to deliver positive employment
and poverty outcomes
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Namibia National Employment Policy (2013-2017) includes in its policy framework a
specific chapter on “Sustainable development: greening the economy and green jobs”.
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Senegal National Strategy for Economic and Social Development (2013-2017) includes
specific objectives of promoting a green economy and green job creation.
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South Africa Green Economy Accord seeks to create 300,000 new green jobs by 2020.
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Sustainable Development Strategy: Egypt 2030
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It includes a chapter on the “environment” that seeks to provide sustained improvement of the
quality of life for the present generations and raise awareness about protecting the environment
and reduce the climate impact change, through implementing developing policies.
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Another chapter on “economy” is included that seeks to provide a market economy characterized
by a stable macroeconomic environment, capable of achieving sustainable inclusive growth,
capable of adjusting to international developments, and of maximizing value added, able to
generate adequate and productive job opportunities, and can achieve a real GDP per capita that is
similar to high-middle income countries.
Building skills to enable green growth
Findings of 21 country studies (incl. Egypt, Mali, South Africa and Uganda):
 Countries underestimated growth of green sectors
 General lack of scientists and engineers
 National skill structure does not meet skills demand
 Most African
countries display a
weak coordination
between
environmental policies
and skills needed for
the green economy
Source: ILO, 2011Skills for green jobs: A global review
Unleashing African green entrepreneurship
Challenges to
African
entrepreneurs
Finance
Business
Skills
Youth
Technical
skills
• In Egypt, 167 waste management companies have been
established since 2012.
– 100 companies in Cairo and Giza (2012 – Present)
– 50 companies in Dokki, Agouza and Imbaba districts (20142015)
– 17 companies in Port Said (2014)
One UN programme in Zambia
Programme components
• Policy, regulatory and legal
framework for green business
enabling environment (UNEP)
• Mindsets, business model,
competency and skills for green jobs
(ILO)
• Markets and business linkages for
growth (UNCTAD)
• Financial Services (ITC)
• Materials and Products (FAO)
12.1MUSD 2012 – 2017 (funded by Finland)
Expected outcomes
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5,000 new green jobs
are created
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2,000 better green
jobs
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Social Security
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Health and
Safety
o
Gender Equality
Thank you
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International Labour Organisation:
http://www.ilo.org/global/lang--en/index.htm
Green Jobs Programme of the ILO: www.ilo.org/greenjobs-programme
International Training Centre of the ILO:
http://www.itcilo.org/en
Potential Impacts of Climate Change on the Egyptian
Economy
http://www.eg.undp.org/content/dam/egypt/docs/Public
ations/Docs%20Environment/01_Potential%20ImpactofCC
onEgyptianEconomyEnglish.pdf
Egypt’s National Strategy for Adaptation to Climate Change
And Disaster Risk Reduction
http://cairoclimatetalks.net/sites/default/files/Adaptation
%20Strategy%20-%20Final%20-%20E.pdf