Panel 7: Unemployment and active labour market policies

Summary: The objective of the Jobs Fund is to co-finance and test innovative approaches to employment creation, and to share successful models for organisations and government to adopt as part of their mainstream strategy. Exploring some of the current gaps in labour market interventions and the Jobs fund experience of implementing a range of job creation models over 8 years, this commentary and outlines potential policy considerations in the job creation landscape.

Summary: The Youth Employment Service (YES) was established to support and drive the employability of unemployed youth in South Africa via a demand-side initiative. The writer explains how digital solutions, along with other key factors have played a critical role in the impact achieved by YES. This commentary also explores some of the challenges faced by YES and explains the importance of coordinated policy implementation and incentives that can stimulate increased participation of businesses in the programme.

Summary: The Presidential Youth Employment Intervention is designed to effectively transition young people into the labour market. It is intended to coordinate and scale up existing youth employment programmes across government, in close partnership with the private sector. There are five priority actions that will be implemented over five years to achieve this objective. These include supporting the township and rural economy and providing opportunities for workplace experience. This commentary explores how this intervention is different from past government programmes, and the specific targeted outcomes that will be achieved.

Summary: Employment programmes have a critical role to play in the South African context, and ongoing evaluation of the impact of these programmes is necessary to ensure policy makers make better informed policy and design choices. This commentary discusses the details and development of the Extended Public Works Programme (EPWP) in South Africa, explores global evidence on the use and effectiveness of employment programmes and states the need for a deeper and more robust assessment of the impacts of the EPWP.

Summary: In South Africa, with high unemployment numbers, deindustrialisation and inequality, activities in the informal sector remain a crucial livelihood source. This commentary explores constraints, such as barriers to entry and locational challenges to the growth of informal sector economic activity. Moreover, it explores some of the structural features of the informal sector that prevent it from playing its ‘mop-up’ role as outlined in the literature. It also touches on key opportunities such as growing transport and niche retail sectors for promoting employment within the informal sector.