New job creation is still not fast enough to absorb new entrants – Statistical Service
The Ghana Statistical Service (GSS) has stated that Unemployment remained relatively stable but elevated, particularly among young people.
According to the GSS national unemployment rate edged down slightly to 12.8% in First Quarter 2025 from 13.1% in Fourth Quarter 2024, eased further to 12.6% in Second Quarter 2025, and then rose to 13% in Third Quarter 2025.
“The key message here is that jobs are increasing, but the unemployment rate is not falling in a sustained way. New job creation is still not fast enough to absorb new entrants, especially young people and urban job seekers,” the Government Statistician, Dr Alhassan Iddrisu, said this when he released the Labour Force Statistics 2025 Quarters 1 to 3, in Accra on Thursday, December 18.
He added that youth unemployment consistently exceeded the national average, with the highest rates (32.4%) recorded among persons aged 15 to 24. In addition, about 21.5 % of young people aged 15–24 were not in employment, education, or training (NEET).
“This represents a significant loss of productive potential and underscores the urgency of targeted youth employment and skills interventions. Urban unemployment remained higher than rural unemployment, and females continued to experience higher unemployment rates than males,” he said.
Policy Implications and Practical Recommendations
According to the GSS, the evidence points to four clear priorities.
First, it said, youth employment must be addressed urgently, through apprenticeships, school-to-work transitions, digital and technical skills training, and reintegration pathways for not in education, employment or training (NEET) populations.
Second, it recommended that job quality must improve, particularly by reducing vulnerable employment through formalisation, enterprise development, access to finance, and labour protections, especially in Agriculture and rural areas.
Third, skills development must align with labour market demand, requiring stronger coordination between government, training institutions, and employers, and continuous monitoring of skills utilisation.
Fourth, shift-based and flexible work arrangements must be supported responsibly, with clear standards to protect workers’ safety, health, and income security as Ghana advances its 24-Hour Economy agenda.
Households and individuals should invest in skills development and lifelong learning, while businesses are encouraged to strengthen training, internships, and workforce development initiatives.
Source: Classfmonline.com/Zita Okwang
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