Accra: The Institute of Economic Research and Public Policy (IERPP) has raised concerns over the increasing risk of 'monetising unemployment' in Ghana. Recent recruitment exercises, particularly within the security services, appear to be shifting from their primary goal of job creation to a focus on revenue generation.
According to Ghana Web, during a press conference held at the Ghana International Press Centre themed 'E-Merit Recruitment Saga: From Hope to Heartbreak,' Dr. Kwasi Nyame-Baafi, a director at IERPP, highlighted the structural weaknesses of Ghana's labor market. He noted that while unemployment rates have shown a marginal decline, youth unemployment remains high, with 22.5 percent of those aged 15 to 35 unemployed, and 32 percent among those aged 15 to 24.
The IERPP director pointed out that urban centers are experiencing greater unemployment rates at 15.9 percent compared to rural areas at 10.4 percent. He emphasized that the issue is not cyclical but a result of structural fragility, with the economy failing to create sufficient productive opportunities for the youth.
Dr. Nyame-Baafi also critiqued the government's 'Jobs for All' policy framework, which, despite its ambitious goals, has seen implementation gaps. He cited the recent security recruitment exercise as an example of this disconnect, where the reliance on internet-based testing excluded many qualified candidates due to the country's uneven digital infrastructure.
Financially, the recruitment exercise raised approximately GHS110 million from over 500,000 applicants who paid GHS220 each, yet only 5,000 were recruited. Dr. Nyame-Baafi questioned whether the process was more about revenue generation than recruitment.
IERPP warns that similar recruitment models could lead to impractical and socially harmful outcomes if scaled. The Institute calls for an independent investigation into the recruitment exercise to ensure transparency and accountability. They also propose a structured, multi-year strategy to absorb unsuccessful applicants into high-demand sectors and advocate for a merit-based recruitment system without fees.
Dr. Nyame-Baafi stressed the importance of deliberate, productivity-driven strategies to reduce unemployment, arguing that only sustainable policies can build national capacity.