andrekraak@vodamail.co.za 1 1. Introduce concept of ‘social capital’ 2. Background to the CHEC Graduate Destination Survey (GDS) and its key results 3. Look at the GDS unemployment results from a ‘social capital’ perspective: 4. What can be done: building the ‘social capital’ of graduates and assisting their pathway into work 2 3 Social capital is that set of mutually supportive relations in communities and nations that facilitate co-operation and which often derive valuable collective and economic benefits to members. Middle-class families have access to information, and are often friends or family of the managers and owners of firms, and they are more likely to influence the employment choices made by their offspring In contrast, young people from the working class do not have these social networks which assist in accessing career advice and information, educational opportunities and jobs. 4 5 A key concern at the heart of the CHEC GDS is to determine the extent of graduate unemployment. 10.1% of graduates were unemployed two years after graduating – with unemployment peaking amongst CPUT graduates at 16%. Table 1: Total employment as at 1 Sept 2012 CPUT Count % Employed (part- or full-time) in the private sector Employed (part- or full-time) in the public sector Self-employed in the private sector Employed in the informal sector Unemployed and looking for work Unemployed, but not looking for work Total UCT Count % Institution US Count % UWC Count % Total Count % 3129 45.8 2819 57.6 2670 46.4 1187 38.1 9806 47.6 2351 34.4 1359 27.8 2428 42.2 1356 43.5 7493 36.4 130 1.9 195 4.0 222 3.9 80 2.6 627 3.0 63 .9 79 1.6 32 .6 17 .6 191 .9 1076 15.8 311 6.4 276 4.8 419 13.4 2082 10.1 85 1.2 129 2.6 124 2.2 56 1.8 393 1.9 6834 100.0 4891 100.0 5752 100.0 3115 100.0 20592 100.0 6 7 KEY PROXIES FOR SOCIAL CAPITAL 1. Parental education 2. Type of School – private or public; what type of public school 3. Financing of university studies 4. Achievement scores in Grade 12 in mathematics 5. ‘Mature’ (previously employed) versus ‘first-time’ entrants into the labour market 6. Home province 7. Methods of job search 8. Institution, type of qualification and field of study All of these socio-economic factors imprint certain social capital ‘assets’ onto young people, which either assist (or do not assist) their transition through higher education into work 8 Levels of parental education serve as the most important proxy for socioeconomic background. Parental education is also a key influence on whether children finish secondary school, gain admission to higher education and succeed. 38% and 36% of graduates at UCT and SU had a mother or female guardian with a university degree or higher, compared to only 15 and 14% at CPUT and UWC. 47% and 44% of 2010 graduates at UCT and SU had fathers/male guardians with university degrees, whereas only 18% and 15% of graduates at UWC. 9 Attendance at a private school is also a good proxy for socio-economic class status, as it is usually the wealthier who can afford to send their children to private schools. 17% of the 2010 cohort attended private schooling. This is far above the national average of 7.3% Enrolment at UCT of persons with private schooling was 35%. Table 2: Type of high school attended by members of the 2010 Western Cape graduate cohort by race Private/independent African Count % 745 12.2 Coloured Count % 651 10.4 Indian Count % 238 29.9 White Count % 2005 23.4 Total Count % 3639 16.7 10 There is a correlation between unemployment and schooling in a township (19% are unemployed) and rural village setting (14% unemployment). Unemployment is significantly lower for those who attended secondary schooling in the suburbs (only 7%). Table 3: Unemployment by location of Secondary School (Employment/unemployment as measured on 1st of September 2012) In a suburb of a town or city In a township or informal settlement of a town or city In a village or on a farm in a rural area Total Employed in the private or public sector or self-employed in the private sector Count % 12393 92.6 Unemployed and looking for work Count % Total 992 7.4 Count 13385 % 100.0 1782 81.1 414 18.9 2196 100.0 1376 85.5 233 14.5 1609 100.0 15552 90.5 1639 9.5 17191 100.0 11 Biggest source of funding: student self-funding: 28% and 29% of UWC and CPUT graduates funded their own studies. (This is a major strength of a UoT) The second biggest source of income: 27% and 18% of graduates at CPUT and UWC received NSFAS A third source of bursary funding – from private corporations and benefactors. They play a sizeable role. Indeed, if all types of bursaries are added together, they comprise 12 232 or 35% of the 34 539 funding instances listed by respondents. Caution is required here in adding the two bursary sets together because some students had access to more than one source of funding Africans are the largest beneficiaries of NSFAS bursaries (at 58%) and Whites the lowest (at 11%). Africans also receive the largest slice of private bursaries - at 36% for Africans and 35% for Whites. 12 Achievement scores in Grade 12 subjects are critical factors in determining whether young people can access higher education and getting a job. Unemployment increases as matriculation symbol in both Mathematics and Physical Science declines from ‘A’ to ‘H’: Table 4: Graduate unemployment by matriculation symbol in Mathematics and Physical Science (Employment/unemployment as measured on 1st of September 2012) Maths symbol A–B C–D E–H Total Physical science symbol A-B C-D E-H Total Employed in the private Unemployed and looking for or public sector or selfwork employed in the private sector Grade 12 Mathematics symbol Count % Count % 4190 94.8 230 5.2 3918 90.8 396 9.2 2820 84.5 519 15.5 10928 90.5 1146 9.5 Grade 12 Physical science symbol 2472 96.3 95 3.7 3185 92.6 255 7.4 2040 84.8 366 15.2 7698 91.5 716 8.5 Total Count 4421 4315 3339 12075 % 100.0 100.0 100.0 100.0 2567 3440 2407 8413 100.0 100.0 100.0 100.0 13 1. 8 344 graduates out of the total cohort of 24 710 were employed in some form prior to the start of their study period leading to the acquisition of the 2010 - 34% of the 2010 graduate cohort 2. Unemployment amongst ‘first time entrants’ is much higher than among ‘mature’ graduates - 69% unemployed graduates are first-time entrants Table 5: Previously employed ‘mature graduates’ and ‘first-time entrants’ in the labour market, 1st of September 2012 : Employment status on 1 September 2012: Employed (in the public or private sector, or selfemployed) Unemployed and looking for work Other (studying further, employed in informal sector, or not looking for work) Total Q3.3: What was your employment status just before you started studying towards the qualification you obtained in 2010? First time entrants Mature graduates Other (previously Total (previously in school, (previously employed in employed in informal studying fulltime or the formal economy) sector or unemployed and unemployed but not looking for work) looking for work) Count % Count % Count % Count % 9707 54.3 7415 41.5 748 4.2 17871 100.0 1434 69.2 385 18.6 252 12.2 2071 100.0 3728 84.4 544 12.3 146 3.3 4418 100.0 14869 61.0 8344 34.3 1146 4.7 24359 100.0 14 First-timers comprise 14 921 students in the period prior to studying for the 2010 qualification, of whom 9707 (65.3%) are employed in the public and private sectors (or self-employed) on the 1st September 2012. At CPUT unemployment rates reach 18.2% on 1 September 2012. Table 6: ‘First-time entrants’ in the labour market by higher education institution, 1st of September 2012 CPUT Count % Employed in the private or public sector or selfemployed in the private sector Unemployed and looking for work Other (studying further, employed in the informal sector, not looking for work) Total UCT Count Institution US Count % % UWC Count % Total Count % 2948 69.3 2578 64.9 2879 62.5 1302 62.4 9707 65.1 775 18.2 193 4.9 191 4.1 275 13.2 1434 9.6 534 12.5 1198 30.2 1537 33.4 510 24.5 3780 25.3 4257 100.0 3970 100.0 4607 100.0 2087 100.0 14921 100.0 o Unemployment among African first-timers reaches 20.2% on 1 September 2012. 15 Very high levels of unemployment exist among graduates who came from Limpopo Province (19% unemployment), North West (17%), Eastern Cape (15%) and Mpumalanga (15%). Table 7: unemployment by home province during secondary schooling (Employment/unemployment as measured on 1st of September 2012) EC FS GP KZN LP MP NC NW WC Total Employed in the private or public sector or self-employed in the private sector Count % 2002 84.5 235 93.5 1202 91.7 1046 95.9 369 80.7 213 84.8 358 93.3 231 82.8 10003 91.5 15659 90.4 Unemployed and looking for work Count 368 16 109 45 88 38 26 48 929 1666 % 15.5 6.5 8.3 4.1 19.3 15.2 6.7 17.2 8.5 9.6 Total Count 2370 251 1311 1091 457 251 384 279 10932 17326 % 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 16 Sending CVs to prospective employers (18% of graduates) seems to have been the main job search technique used, followed by responding to a job advertisement in the printed media (13%). SOCIAL CAPITAL Two methods of job search – ‘family and friends’ or ‘being asked to apply for a job’ – when joined together constitute the biggest method used at 19%. This signifies prior knowledge of where to secure employment, qualities which derive from one’s social connections or ‘social capital’. Social networks structured around White students are very influential in helping them find employment. Table 11 tells us 54% of social capital beneficiaries were White graduates, whereas only 18% of ‘social capital’ beneficiaries were Africans. Table 8: Beneficiaries of social capital as primary ‘job search’ method in finding a job, 1st of September 2012, by race African Count % Beneficiaries of social capital: 521 17.8 Coloured Count % 714 24.4 Indian Count % 110 White Count % 3.8 1579 54.0 Total Count % 2923 100.0 17 Table 9 shows employment/unemployment status by differing qualification types. The majority of unemployed graduates have certificates and diplomas (44%) followed by Bachelors degrees (37%). Graduates with these two qualification types comprising 81% of all unemployed. Table 9: Employment status by qualification type, 1st of September 2012 Certificate/diploma Count Employed (part- or full-time) in the private sector Self-employed in the private sector Employed (part- or full-time) in the public sector Employed in the informal sector Unemployed and looking for work Unemployed, but not looking for work Total % Postgraduate certificate/diploma/ bachelor's Count % Bachelor's Count % Honours Count % Master's Count % Doctorate Count % Total Count % 2151 21.9 807 8.2 4475 45.6 1045 10.7 1235 12.6 93 .9 9806 100.0 80 12.7 74 11.7 219 35.0 64 10.2 186 29.7 4 .7 627 100.0 1716 22.9 1066 14.2 2736 36.5 761 10.2 974 13.0 240 3.2 7493 100.0 48 25.3 12 6.4 78 41.1 31 16.1 21 11.1 0 .0 191 100.0 907 43.6 70 3.4 768 36.9 187 9.0 115 5.5 34 1.6 2082 100.0 73 18.6 16 4.2 172 43.7 68 17.2 51 13.0 14 3.4 393 100.0 4975 24.2 2046 9.9 8449 41.0 2155 10.5 2583 12.5 384 1.9 20592 100.0 18 Institution and qualification type, Slide 2: Tables 10 and 11 entail further ‘drilling down’ to focus on the extent of unemployment among African graduates by institution and field of study. CPUT carries the bulk of the burden – 97% of unemployed African graduates with certificates and diplomas graduates from CPUT. Table shows that the bulk of the unemployed at CPUT carry ‘Business and Commerce’ (43%) and ‘SET’ (36%) certificates and diplomas: Table 10: Unemployed African certificate and diploma holders CPUT Count Row N % Science, engineering and technology Business and commerce Human and social sciences Health sciences Law Education Total Weighted UCT Count Row N % Institution US Count Row N % UWC Count Total Row N % Count Row N % 237 97.2% 0 0.0% 7 2.8% 0 0.0% 244 100.0% 282 87 52 0 4 662 100.0% 100.0% 100.0% 0.0% 25.8% 97.3% 0 0 0 0 5 5 0.0% 0.0% 0.0% 0.0% 32.6% 0.8% 0 0 0 0 0 7 0.0% 0.0% 0.0% 0.0% 0.0% 1.0% 0 0 0 0 7 7 0.0% 0.0% 0.0% 0.0% 41.6% 1.0% 282 87 52 0 16 681 100.0% 100.0% 100.0% 0.0% 100.0% 100.0% 19 Institution and qualification type, Slide 3: Table 11: Unemployed African certificate and diploma holders CPUT Count Row N % Science, engineering and technology Business and commerce Human and social sciences Health sciences Law Education Total Weighted UCT Count Row N % Institution US Count Row N % UWC Count Total Row N % Count Row N % 237 97.2% 0 0.0% 7 2.8% 0 0.0% 244 100.0% 282 87 52 0 4 662 100.0% 100.0% 100.0% 0.0% 25.8% 97.3% 0 0 0 0 5 5 0.0% 0.0% 0.0% 0.0% 32.6% 0.8% 0 0 0 0 0 7 0.0% 0.0% 0.0% 0.0% 0.0% 1.0% 0 0 0 0 7 7 0.0% 0.0% 0.0% 0.0% 41.6% 1.0% 282 87 52 0 16 681 100.0% 100.0% 100.0% 0.0% 100.0% 100.0% 20 There is little evidence of institutional responses to help graduates overcome unemployment. 1 Institutional leadership appears to have surrendered to the indisputable logic of the market and unemployed graduates are left to fend to fend for themselves. Institutional strategies are both possible and necessary. HOW? 1. Firstly, use the results of GDSs of recent graduate cohorts to target current final-year students who are about to graduate and risk facing unemployment. By means of disaggregation and drilling-down, GDS can provide a detailed profile of the students likely to face unemployment after graduation. 2. Secondly, universities can learn from a few innovative university schemes and from NGOs who have been working with unemployed post-school youth (including university graduates but mostly comprising schoolleavers) in accessing jobs. 3. Such ‘work socialization’ schemes can be adapted to specific institutional conditions and deployed to assist graduates likely to face unemployment. 21 1. 2. 3. 4. 5. 6. 7. GDS databases allow institutional researchers to ‘drill down’ from highly aggregated categories of unemployment (for example, African graduates) to lower and lower levels of micro-level detail. ‘Drilling-down’ in this paper took place at seven different micro-level data levels: Disaggregation by race Disaggregation by provincial home location Disaggregation by school background and Grade 12 Mathematics symbol Disaggregation by location of childhood secondary school Disaggregation by field of study and qualification type Disaggregation by institution Dissagregation by ‘mature’ or ‘first-time entering’ students Such a ‘drilling down’ exercise – using each of these seven variables – can be undertaken with the 2013, 2014 and 2015 final-year cohorts. This group of final year students can then be given appropriate levels of ‘work socialisation’ support and training. 22 1. Lesley Emmanuel completed a PhD in 2009 at Wits University working in the ‘World of Work Training and Internship Programme’. 2. The project was set up by Wits in the early 2000s to deal with the employability problem of many humanities graduates and post-graduate students. 3. Her detailed qualitative study revolved around the transition to work of 10 participants - five post-graduate informants from years 2005 and 2006 respectively. 4. In her thesis Emmanual adopted ‘newcomer socialisation’ theories to reveal the institutional acculturation required to ‘fit in’ at work and the psycho-social personality traits required to become employed. 5. The tacit and hidden components of work in industry, as well as the psycho-social attributes needed – such as self-assurance and ‘self-hood’ which underpin highly personalised routes to ‘professional identity’– were revealed. 6. ‘Mentoring’ students through work internships was a key role. Participants were initially reluctant to ‘present’ themselves and demonstrate or even ‘perform’ their worthwhile attributes which were relevant and useful to the world of work. Mentoring assisted with producing a CV, writing an acceptance letter, and ‘presenting’ for an interview. 23 1. NGOs are making a meaningful contribution to equipping unemployed youth for work. 2. The critical element of their work is to build ‘social capital’. 3. Many of the NGOs working in the field argue that young people do not have sufficient ‘self-knowledge and autonomy’ – they are not always aware of their emerging adult personality and their individual personal strengths. They are unaware of how to present themselves to others, to prospective employers. They do not always have sufficient self-confidence to choose correctly from a range of post-university options. 4. A significant part of NGO work in this young adult sector is therefore to present a set of countervailing influences – to help build self confidence and self-esteem, build a sense of responsibility towards others, work as a team and form part of a collective. 5. Young people are provided with an exposure to the world of work and its requirements – including all the infringements on personal freedom which working in a hierarchical organisation entails. 24 1. NGOs create structured pathways from training into work and aftercare. NGO staff play a crucial ‘go-between’ role by approaching prospective employers for support to host short-term work-experience internships and to recruit trainees for longer-term employment. 2. The transition to work for young people is a highly socialized process: the labour market does not operate as a ‘free market’ in a open manner. It needs to be ‘massaged’ behaviourally by NGO’s working in the field, to convince wavering employers about the merits of employing novice workers in their industries. If young trainees have been conditioned for work and appropriately socialized, employers may be prepared to create openings for first-time workers. 3. Mentoring, counseling, after-care: The NGO intervention is most often combined with significant career and personal counseling both prior to employment, but also after initial employment take-up. The NGOs play a critical alignment role here, of clarifying for young employees what is required of them in the workplace. Structuring this ‘newcomer socialisation’ in this way helps youngsters stay the course and slowly rise up the occupational ladder. 25 1. All of this NGO work provides a key substitute or proxy for the valuable social networks which are absent in poor peoples’ lives. 2. They are building ‘social capital’. 3. Universities can also play this role with at-risk graduates, and by so doing, act to reduce graduate unemployment at their institutions. 26