Reducing youth unemployment through better labour market accessibility

Context

Youth unemployment and a lack of job prospects are persisting problems in Egypt. Despite great improvements, the unemployment rate remains relatively high at 7.1 per cent in the first quarter of the year 2023, compared to 13.4 per cent in the first quarter of 2014. At the same time, private businesses in all sectors have difficulties recruiting and retaining staff, especially in blue-collar sectors, where a significant number of jobs are offered.

Major companies and in particular small and medium-sized enterprises (SMEs) are at present unable to provide decent job opportunities, including adequate salaries and good working conditions. The effects of unemployment and the uncertain socio-economic situation in Egyptian society resulted in what is now called the “Arab Spring”. Decent career opportunities are necessary for economic welfare, a prerequisite for a stable socio-political environment.

Objective

The employment situation is improving for young Egyptian men and women.

Approach

The project focuses on the following four fields of activity: 

1. Establishing job placement structures that aim to improve the ability of the Network for Employment Promotion (NEP) and regional investor associations to develop, implement and disseminate job placement services.
2. Improving employment quality to support the Federation of Economic Development Associations (FEDA) in implementing awareness campaigns, competitions and arranging matchmaking between service providers and companies. This improves the quality of employment in small and medium-sized enterprises.
3. Innovative approaches for job placement and improving employment quality to establish and implement open innovation processes to integrate a wide range of expertise and creative forces from government, the private sector and civil society into the employment market.
4. Human resources management and development to support service providers of human resource management to small and medium-sized enterprises.

Last update: August 2023