A shortage of skills is directly related to the work force not being able to meet the demand for employment in an economy; this can also be referred to as an “insufficiency in the labour force” (Richardson, 2007). A skills shortage is detrimental to countries and their economies because it prevents economic growth. The skills shortage In South Africa has many roots from which it occurs, one of them namely being the education department.
Therefore a shortage of skills within regards to the state of a country’s financial capital means that it is difficult for the economy to prosper because it does not have the necessary capital (in terms of workers) to grow. Not only is labour one of the four factors of production involved in the business environment, but it is the one factor that connects all other things (Tutor2u.net, 2014). Hence, without a capable labour force the economy will remain stagnant. Therefore education becomes an important factor relating to a shortage of skills restraining the economy because education is the basis of all learning for humans and provides the youth (which are the economy’s future) with skills to hold them in good stead for the rest of their lives.
Consequently, the age group in South Africa characterized as the “youth” are individuals aged between 15 to 35 (Bhorat and Oosthuizen, 2007) and they are in the transition phase of life, moving from education to the labour market and hopefully employment. However that is where the shortage of skills in South Africa is evident, the youth are both uneducated; leaving a gap in the labour market, or the circle continues and they are educated with no employment.
In consequence to the fact that the past of South Africa has an influence on the current state of th...
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...ine in the the national tax base as fewer people are able to contribute by paying taxes (Adams, 2006:46). A additional constraint to economic growth includes those people that are too ill to work, as they not only represent lost economic output (Levinsohn, 2013:98) but also contribute to unproductive government spending which include direct and indirect costs relating to the impact of the HIV Aids virus (Oostheimer, 2004). National finance is thus negatively effected and government’s ability to finance public expenditure is weakened (Adams, 2006:46).
Hence the ability to accumulate human capital for an economy to grow is decreased as government spending is cut by fruitless welfare and the funds needed to distribute finance capital into the education sector for skills development and future economic growth of this country is severly compromised (Adams, 2006:46).
Education could be considered an ingredient for prosperity. Education brings power to every aspect of the mind. When a teacher gives out a test and tells the students to put their items away, Students incline to take one last visually examine their study sheets. When the test is placed in front of a student, but as one or two go to answer the first question, they freeze in apprehensiveness.
South Africa was positively affected in the way that before the Dutch and British, South Africa had been split up into many different tribes, who though they were free were not united. Through the centuries of hardship South Africa came out of apartheid very strong and the ANC has maintained a popularity of 60% popularity for all the elections since 1994. Economically South Africa has blossomed and is the 2nd largest economy in all of Africa and has managed to triple its GDP even though it has been less than 30 years since it has left apartheid, established democracy and freed itself from many international sanctions. South Africa’s economy still has many issues though for it is still an underdeveloped country which suffers from lack of education, employment, and crime. Socially South Africa remains strong as it is united under one goal of making its nation once again great, and it has maintained its heritage and culture. In fact, a quick look at a South African site will show many articles and memorials, of days in the past remembering the struggle for freedom. Politically, South Africa has remained strong and united with the ANC still carrying the vast majority of the votes and uses a governmental system quite similar to ours with a separation of powers and a thriving democratic system. Luckily, political diversity has also started to appear with many other groups appearing making the most out of South Africa’s democracy and all of which pledge freedom and are led by native
Job growth is at an all-time low, and it is because of the pay that Americans have to have in order to survive in the United States. The largest companies in the United States are finding that there are workers that are just as qualified in other countries that do not require as much pay. The article Vanishing Jobs says, “Nationally, layoffs are eliminating jobs far beyond blue-collar workers... in the ever shrinking manufacturing sector” (Katel). This quote interprets the idea that business will do anything to make a greater profit through cutting costs. Most politicians say that the issue behind job loss in the United States is because of lack of education. This to some point is true; however, the evidence provides the information to conclude that the degree holders are mostly the ones losing their jobs because of the higher wage that is obtained by the degre...
Many people believe that “having an economy that places a greater value on skills and education is a good thing” and that is the thing that is needed to improve people’s lives and futures (Baicker, Lazear). If what our economy is trying to do a good thing they why are so many students still suffering? The main issues are the low-income education that many students have. Many schools are getting money from the government but that is not enough to pay for everything students need. Educational standards have continued to increase throughout the years but that does not help the students who are unable to pay for the better education. These students who cannot pay for the better education are stuck barely getting by with a low education. A low-education can affect many areas of regular schooling. The students who are at low-income schools do not know what type of disadvantage they have compared to other students across the country. These students believe that they are getting the best education, but there are many students who are getting a better education at a school that has the funds to pay for everything their students need. Low-income students are suffering due to the environment they are in at school and they continue to suffer throughout their life due to it. These students will continue to suffer unless something is done about the low-income schools and improve them for the future. Improvement has to come from all areas, not just one aspect of schooling but from all aspects. Although education has improved along with technology many low-income students still suffer from the vast inequalities. These inequalities will take many years to find a way to fix and even more years to actually fix, until this happens the students will...
Making basic education available provides the conditions for a well-informed population so that we can maintain a society comprised of individuals who have the basic skills required to join the labor force. In particular, an education that provides skills to serve the labor market is vital for individuals, the economy and our society. The reason we continue to subsidize higher education is to produce benefits beyond those that arise from the student through training and
Lack of education can leave those with low-level or no qualifications at all which could lead to the individuals struggling to find full or part time work which results in low or no money whatsoever to be able to
...f South African language and culture, acknowledgement of the racial oppression in South Africa, past and present, that it was wrong and positive action is required to make it right, and finally that all South Africans are legitimate and enjoy full moral equality (“About – DA”). In order for all this to be possible, the state must ensure it does not compromise the freedom of the individual (“About – DA”).
...r education at university. It can also improve a person’s likelihood of employability due to their increased skills/knowledge hence the employee could earn more than a person without those skills gained in study at Year 12 and 13. By earning more money as income, they can spend more to contribute to the profits of companies which will in the long run lead to economic growth.
Around the 1970s, due to South Africa’s internal contradictions with its economy and people, the Apartheid began its slow demise. Soon the united nation began to take notice of South Africa and began to get involved. With South Africa now in the spot light, Prime Minister P.W Botha left office due to his belief that he had failed to keep order in the country. After the reassignment of P.W Botha, F.W Klerk had taken office. The final stage of the demise of the Apartheid began when Klerk lifted the ban off the ANC and other African political parties. The last blow was the release of Nelson Mandela after 27 years in prison. Now that South Africa’s hope was out of prison he continued to ...
Economic growth focuses on encouraging firms to invest or encouraging people to save, which in turn creates funds for firms to invest. It runs hand-in-hand with the goal of high employment because in order for firms to be comfortable investing in assets such as plants and equipment, unemployment must be low. Hereby, the people and resources will be available to spur economic growth.
The End of Apartheid - HistoryWiz South Africa. (n.d.). HistoryWiz: for students, teachers and lovers of history. Retrieved February 19, 2011, from http://www.historywiz.org/end.htm
...ellent policies, 5) the Constitution had come into existence through the working together of various groups that had composed South Africa, 6) South Africa's political and economic institutions are well established, 7) and that South Africa is by far the most developed country in Africa. However, there are still avenues that can impede further progress, more so economically then politically. Primarily the lack of foreign investment, especially when South Africa's gold and diamond reserves are emptied as other parts of economy are not as developed. Secondly, the economic gap between whites and blacks that was stretched during the time of apartheid needs to be tightened or else it could become dangerous to the stability of the political system. However, due to the leadership of Nelson Mandela, South Africa’s current government structure exists to solve these issues.
But still there is a vast skill gap that causes a mismatch between industry needs and institutional output. India being a nation with a high percentage of youth nearly 35% are between the age group of 15 to 21 who after completing their graduation are in a position to enter into a job market. But due to the lack of skills that are required for an industry many people out of that lot fail to enter the job market (Murugaia S. 2014) Employers recognize that “soft” skill development is essential for their employees. These skills are difficult to teach to employees once they are on the job. Therefore, they should be learned through development opportunities such as higher education (Arensdorf,Jill
Old South Africa is best described by Mark Uhlig, “The seeds of such violent conflict in South Africa were sown more than 300 years ago, with the first meetings of white settlers and indigenous black tribes in an unequal relationship that was destined one day to become unsustainable” (116).
“I believe that the biggest factor which changed South Africa’s government was the international pressure it got, mostly from the UN. I would love to believe that South Africa’s government eventually understood their mistakes but the UN played a huge role. Without the tension from the United Nations, I probably wouldn’t have been able to get out of prison as soon as I did.”