local economic development and youth employment workshop

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CAPACITY OF LOCAL GOVERNMENT TO SUPPORT

YOUTH EMPOWERMENTPresentation by David

Gengan: MSUNDUZI MUNICIPALITY

National Youth Economic Empowerment Strategy

◦ To promote and support youth economic empowerment in the municipalities;

◦ To develop youth economic empowerment policies, strategies and programmes aligned with the NYEES;

◦ To mainstream youth in all their core LED and IDP programmes;

◦ To establish youth directorates/desks in the districts and local municipalities to coordinate and facilitate youth economic development activities;

Key Performance Areas of Local Government

◦ Municipal transformation and institutional development

◦ Financial viability and management

◦ Infrastructure development and service delivery

◦ Social and economic development

◦ Good governance and community participation

This is an onerous responsibility placed on municipalities

Social and economic development is a new mandate

◦ Struggle to fulfill this mandate, especially by the smaller municipalities

Local government is the face of government to the people

We are the point of delivery

Yet, local government, in the main, does not have the capacity to raise the financial and human resources to deliver on its mandate

Limited funding sources: property rates, profits from service charges, grants

87% of municipalities in the country are in serious financial trouble

◦ Proposed interventions:

 Improving basic education

 Assistance with job searching

 Access to start up funds for small enterprises

 Wage subsidies

 Employer subsidies

 Learnerships, apprenticeships and internships

 Improved government policies and programmes

 Targetted skills development programmes

 Career guidance and counselling

 Labour market interventions

 Private sector commitment

◦ Notwithstanding the capacity challenges faced by municipalities, there are some innovative support programmes that are being implemented in some municipalities – from case studies presented

◦ A potential major area of support is in the procurement of goods and services

 All municipalities procure goods and services

 Preferential procurement policies must reflect support for youth owned businesses

 Specific targets should be set annually, and monitored

Community based maintenance and service delivery projects – unskilled unemployed youth, ward based

◦ Most municipalities are struggling to provide a basic level of service – refuse removal, grass cutting, road maintenance, street cleaning

Environmental management – public open spaces, alien vegetation

Increasing the number of internships, apprenticeships and learnerships

Targetted skills training – external, in partnership with tertiary institutions

Creating a conducive environment for small business development – incentives programme

Well resourced Youth Advisory Centres

◦ Job search information access

◦ Identification of potential entrepreneurs

Municipality has signed an MOU with the

NYDA

Local Youth Advisory Centre was re-launched in March 2012

Staffing:

◦ 3 staff members:

 Officer for Economic Development

 Officer for Career Guidance

 Officer for Outreach Programmes

The NYDA provided training for the staff

The Advisory Centre follows the programme of the NYDA

In the main services of business support and career guidance are provided

July 2012 – 91 youth contacted the centre

◦ Computer training – 23

◦ Business support – 36

◦ Job Information – 16

Community based service projects

Skills training – ICT

Mainstreaming – capital projects

Ages 50_59

12,2%

Ages 60_64

2,0%

Ages 15_19

2,2%

Ages 20_24

10,2%

Ages 40_49

23,4%

Ages 25_29

17,7%

Ages 35_39

15,6%

Ages 30_34

16,6%

No Schooling

Abet 1

Abet 2

Abet 3

Abet 4

Grd 10/NTC I

Grd 11/NTCII

Grd 12/NTCIII

Cert/Dip (no matric)

Cert/Dip with matric

Degree

Post graduate

Total

Educational level Age

15 to 19 % 20 to 24 % 25 to 29 % 30 to 34 % 35 to 64 %

0

0

0

100

8.7

23.1

1.3

15.2

24.4

11.5

6.0

3.3

6.4

0

0.5

0.1

100

13.5

38.3

4.2

7.6

15.3

10.7

5.1

1.7

3.1

0

0.5

0.1

100

13.4

32.2

4.4

9.2

16.3

11.0

6.2

2.5

4.3

0

0.6

0.1

100

11.6

22.5

3.1

13.0

18.5

12.6

7.7

3.9

6.5

0

0.3

0.1

100

9.2

13.0

1.8

16.6

19.5

13.0

11.1

5.8

9.8

Lack of youth development policy and strategy

Funding and human resources

Limited capacity to absorb learnerships, internships

Limited direct employment capacity

No control over the external drivers of job creation

I want to comment on a more long term intervention – overhaul of our education and training system which is crucial to the calibre of school leavers that we are producing

◦ Teacher training and retraining

◦ Curriculum changes

 More relevant learning areas

 Vocational training

 Re-introduction of technical subjects

◦ Better skills – ethos of enterprise

◦ Discipline

THANK YOU

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