Ugandans are stuck with poor quality jobs, a fix
that has seen them work longer hours but with falling earnings, a World Bank report has revealed. The report shows that due to poor quality jobs, value-added is very low even when people
This has also seen people’s earnings
stagnant or fall. There are more people coming into the market but there is
little demand for their labour, which leaves them with no option but to take on any job despite
the low pay and poor quality.
The report titled Uganda: Jobs Strategy for Inclusive Growth, and published on Tuesday says earnings
for Ugandans fell between 2012 and 2016 in services, in both urban and rural
areas, as quantity of employment grew through both an inflow of workers and an
increase in hours worked per person.
In rural areas, earnings fell in both industry
and service sectors and stagnated in agriculture
World Bank Economist and lead author of the report, said Uganda still has to
create at least one million jobs each year from 2030, an increase from the
current demand of 660,000 a year.
This points to the fact that with more demand
for jobs, the quality could deep further as people resort to self-employment in
Also, the report notes that fewer Ugandans are transitioning to wage
employment, which is usually where people earn more and are able to improve
The WB recommends that Uganda focuses
on creating more waged jobs in Uganda, encouraging mobility into better jobs in
urban areas for good quality and well-paying jobs.
This is a trend as countries
get richer. Merotto says the transformation can
happen in agriculture to a small scale but it most happens in other sectors
like industry and services.
//Cue in: And this transformation…
Cue out: …capital cities.”//
Meanwhile, the reports a dramatic
reduction in youth participation rates in work driven mostly, but not entirely,
by higher access to schooling.
In 2016, almost 40 percent of youth
aged 15–24 were inactive, compared to around 20 percent in 2012.
Pamela Mbabazi, the Board Chairperson National Planning
Authority, said government needs to listen more to the young
people to help them become active.
She added, however, that their attitude towards
work must also change.