Browsing by Author "Mlatsheni, Cecil"

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    Duration of unemployment in youth transitions from schooling to work in Cape Town
    (2017-06-06) Mlatsheni, Cecil; Leibbrandt, Murray
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    Education and youth unemployment in South Africa
    (Southern Africa Labour and Development Research Unit, 2015-05-28) Lam, David; Leibbrandt, Murray; Mlatsheni, Cecil
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    Encouraging self-employment amongst the youth in South Africa : will this help tackle the unemployment problem?
    (2006) Manyande, Nyarai N; Mlatsheni, Cecil
    Encouraging young people to get involved in self-employment is a solution that is continuously echoed by policy makers as a way of addressing the perennial problem of youth unemployment. This paper investigates how entrepreneurship can be promoted amongst the youth in South Africa and whether this will alleviate the high unemployment rates. Three questions are put forward: Firstly, what are the main constraints faced by youth when they set up a business? Secondly, what are the main determinants of being self-employed and thirdly, which groups within the youth population need to be targeted by policy makers? The findings are that the major impediment for youths entering self -employment is the lack of financial capital, while having a role model is highly significant in determining whether one becomes self-employed. African and Coloured youth are particularly disadvantaged when it comes to participation in self-employment and should therefore be a primary target for policy makers. The paper also makes a comparison of youth participation in self-employment between 2000 and 2004 and reveals that there is only a slight increase in the numbers of youth getting involved in self-employment. A holistic approach to entrepreneurship development complimented by financial assistance, mentoring and the provision of basic entrepreneurship skills training will assist the youth in moving from unemployment to self-employment.
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    Impact of Migration on Welfare of Migrant Sending Households in Selected Rural Areas of Zimbabwe
    (2021) Zvendiya, Ronald; Mlatsheni, Cecil
    The New Economics of Labour Migration theory, recognizes family participation in migration decisions as a strategy for moving out of poverty, thus signaling potential welfare linkages between migrants and family members left behind. The current study investigates the impact of migration on welfare of migrant sending households in rural Zimbabwe using cross-sectional data. The study employed a Counterfactual approach and utilized two stage Heckman selection model to control for selection bias. The results indicated that on average, migration impacts household welfare positively but the welfare gains are not evenly distributed among households. Overall, the welfare of households with migrants would have been 5 percentage points lower if migrant members had stayed at home. Based on the findings, the main recommendation is that policy makers need to consider the removal of de facto and de jure migration restrictions.
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    The role of education and fertility in the participation and employment of African women in South Africa
    (2001-09) Mlatsheni, Cecil; Leibbrandt, Murray
    Policy makers are well aware that creating jobs is an important priority if the health of our economy is to be preserved and improved. However, the first step towards a successful strategy of employment creation is an understanding of the labour market. Much attention has been devoted to analysing the unemployment/employment divide without sufficient attention being given to labour market participation itself.
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    The Role of education and fertility in the participation and employment of African women in South Africa
    (2000) Mlatsheni, Cecil; Leibbrandt, Murray
    Policy makers are well aware that creating jobs is an important priority if the health of our economy is to be preserved and improved. However, the first step towards a successful strategy of employment creation is an understanding of the labour market. The aim of this paper is to add, in a small way, to that understanding. Our focus is on African women, looking at the extent of the influence of education as well as fertility on their participation and employment. The paper begins with a review of labour supply theory, focusing on the basic model of labour force participation. This is followed by a review of South African literature on participation. The aim of this chapter is to show what work has been done in this area and what contribution this paper makes. The following chapter looks at the relationship between education, fertility, and employment. We find that education is negatively related to fertility but positively related to employment. We also find that fertility and employment are negatively related. This is followed by regression analysis. Our conclusion is that education plays a significant role in the participation and employment of African women. In addition, we find that fertility has an insignificant effect on participation of African women in the labour market. This is likely to be a result of the fact that African women are relatively poorer than the rest. Support of this view is shown by the finding of a significant effect of fertility on the participation of White women.
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    The role played by personal characteristics and choice of job search method in finding employment in South Africa
    (2004) Narker, Nisreen; Mlatsheni, Cecil
    There are certain characteristics that are shared between unemployed individuals. The search method that individuals use also impacts the possibility of finding employment. A link between the characteristics that affect employment and the characteristics that affect the job search method needs to be established. This dissertation examines two fundamental questions about unemployment in South Africa. Firstly what characteristics does a person possess that makes him more susceptible to unemployment? These characteristics include race, gender, location, educational attainment, and age. Secondly does the method of job search that an individual uses hamper his chances of employment and do the aforementioned characteristics dictate which method is used?
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    The effect of disability on labour market outcomes
    (2019) Ongere, Ruth Boyani; Mlatsheni, Cecil
    This study estimated the effect of disability, disability type and disability grants on labour force participation, employment and wages using NIDS data from Wave 1 to Wave 4. Data was analysed as a panel to account for the effects over time. A pooled OLS, a random effects and a fixed effects model were applied on the panel dataset to explain the effects of disability, disability type and disability grants on labour market outcomes. To determine which of these models was the most appropriate, specification tests were performed. The Hausman test revealed that the fixed effects model was the most appropriate model in explaining the panel dataset. Results from the fixed effects model indicated that disability had no effect on labour force participation and employment but had a negative effect on wages, as wages were likely to decrease by 8% after an individual became disabled. Disability grants had disincentive effects on labour supply as grant recipients were 12% less likely to participate in the labour market and 8% less likely to be employed. Disability type was found to have no effect on labour force participation, employment and wages except for individuals with sight/hearing and speech disabilities as their wages were likely to decrease by 14% after individuals developed problems with sight, hearing or speech. Results from the pooled OLS and random effects model however found significant effects of disability, disability type and disability grants on all labour market outcomes. Despite estimation biases that do not account for self-selection or the lack of correlation between unobservable characteristics and independent variables, random effects models allow for the generalization of results beyond the sample and may be of interest to policy makers. This however requires further investigation using multilevel models that correct for selection bias. This study concluded that disability had negative effects on labour market outcomes particularly on wages, demonstrating that PWDs remain economically disadvantaged. The implementation of policies that prioritize equity for PWDs in workplaces is therefore recommended.
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    Training by the unemployed and employed prior to the implementation of the NSDS : evidence from the Mesebetsi labour force survey 1999 - 2000
    (2006) Mughogho, Atusaye Kajera; Mlatsheni, Cecil
    This study is an investigation into the training by the unemployed and employed in the South African labour market prior to the implementation of the National Skills Development Strategy (NSDS) in 2001. The study uses the Mesebetsi Labour Force Survey 1999-2000 to conduct the investigation. This investigation was prompted by the pervasive nature of unemployment in the labour market. This research will set the benchmark for future research that aims to establish the impact of the NSDS on the labour market through the use of household surveys. However. the fact that recent household datasets do not contain as rich information on training will complicate analysis that aims to compare findings and such a task may require a second round of the Mesebetsi Survey. Four probit models are developed to determine the probabilities of training for the economically active population as a whole. the unemployed and the employed respectively. Both the third and fourth probits determine the probability of training for the employed. However. the difference between the fourth model and the others is the fact that it determines the probability of employer funded training while the other three probits determine the probabilities of training regardless of the source of funding.
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    What factors contribute to the unemployment duration of youth: A case study of the Action Volunteers Africas youth labour market programme
    (2019) Setlhodi, Mapaseka; Mlatsheni, Cecil
    The incidence of unemployment falls most harshly on youth, who are generally low skilled and often have no experience of formal sector employment; with just 24.4 percent of young people being active in the labour market. In an attempt to assist this disenfranchised so called ‘lost generation’ there has been a major shift from passive to active labour market programmes in many countries across the world in support of the unemployed, where these programmes often concentrate on the youth. But the results on these active labour market interventions are very mixed, in terms of their effectiveness, with some countries having experienced significant improvements in unemployment levels; and others are yet to bring to fruition the economic benefits the programmes had hoped to achieve. Through the use of a qualitative research method approach, by means of surveys, this paper aims to lend to the lessons around youth labour market interventions by conducting a case study on a particular NGO’s youth intervention program to see if it has had any impact on reducing youth unemployment. What sets the programme apart is that it offered meaningful volunteering as a form of work experience as well as a self-development component which allows the youth to be more self-aware. The study found that overall the time youth spend in unemployment after completing the programme decreased by 6 months and that other unemployment duration determining factors play a key role in determining how long a youth spends in unemployment. The study found that the attitudes of the participants changed to a more positive outlook on their future prospects once they have completed the program; which lends itself to have a positive impact on job search activity.
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    Who benefits from online education? How the implementation of technology in higher education can result in increasing inequalities in higher education institutions
    (2020) Pieterse, Allison; Mlatsheni, Cecil; Cliff, Alan
    The existing literature is inconclusive on how technology in education influences student outcomes and whether it will lead to an improvement in tertiary education access. This paper aims to determine whether the implementation of technology in higher education will lead to an improvement in the access to higher education through online education as well as improving student outcomes. In addition, the paper aims to show that implementing technology in higher education could increase existing inequalities amongst students from different backgrounds. The paper will do this by demonstrating the qualitative and quantitative factors which are the underlying reasons for some students doing better in an online setting compared to others. Furthermore, the paper will show that students from advantaged backgrounds with respect to race and income, benefit more from online and blended learning than students from more disadvantaged backgrounds. Therefore, tertiary institutions need to provide caution when establishing blended learning and online education programmes as it could lead to increasing educational inequalities.
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    Why is Youth Unemployment so High and Unequally spread in South Africa?
    (2002-05) Mlatsheni, Cecil; Rospabe, Sandrine
    Not only does the South African labour market exhibit a high unemployment rate for the young, according to international standards, but it also shows evidence of large inequalities between age groups, races and genders. Thus, this paper first seeks to explain these stylised factsinvestigating the microeconomic determinants of employment for different groups of the population.
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    Youth unemployment and the transition from school to work in Cape Town
    (2014) Mlatsheni, Cecil; Leibbrandt, Murray
    This thesis utilises, in the main, a unique panel survey of youth in Cape Town to gain insights into the functioning of the labour market in relation to transitions from schooling to work for youth. The Cape Area Panel Survey (CAPS) was conducted between 2002 and 2006, a period which coincides with upswing in the South African economy culminating in relatively high economic growth in recent history. The introductory chapters utilise cross-sectional data (Labour Force Survey, 2005) in order to contextualise the panel data analysis that follows in subsequent chapters. A large portion of the South African population is youth. Either this facet of the demography of the country can be converted to a positive social benefit through reaping a demographic dividend or a high price could be paid through carrying a large contingent of unemployed. Indeed, much of the country's social safety net, social returns on investments in education and health and even infrastructure depend on the absorption of youth into a productive place in society. The labour market sits centre stage of all of this. The softest version of the South African dream is that post-apartheid youth cohorts have better opportunities and possibilities than their parents. These intergenerational concerns require the delivery of better education and health care but also the opportunities to use these human capital investments in gainful employment. In the introductory chapter, the perspective taken is to look at the labour market entry situation through the eyes of the youth. What does the employment situation look like to the youth as they consider leaving education to enter the labour market? How does this labour demand picture mesh with their individual, household and community contexts that they bring into the labour market? Through this interrogation, the chapter teases out a few key barriers to youth labour market participation and employment. The operation of these barriers is then illustrated by looking at the reality of securing employment for South Africa's youth. In particular, the disparities in youth unemployment observed by age, race and gender are investigated in Chapter 2. This is done by using the Labour Force 2005 data (LFS 2005) and applying the residual difference method of decomposing group wage differences (Oaxaca, 1973) to discrete choice models. I find that most of the employment gap by age is explained by individual characteristics. Slightly more than half of the racial employment gap however is unexplained by individual characteristics while an even higher percentage of the gender employment gap is unexplained by individual characteristics. In Chapter 3 the nature and degree of duration dependence in the Cape Town labour market is examined using survival analysis. The CAPS has month-by-month data on job search and employment and is ideal for the duration analysis. I find positive duration dependence and a monotonically increasing hazard of exiting unemployment. Chapter 4 then investigates the extent to which the disadvantage experienced in securing employment translates into disadvantage in wages in the first job. A decomposition analysis of the race and gender wage gaps is also carried out. I find racial and gender wage gaps that are largely unexplained by observable individual characteristics.