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Innovative Approaches to Creating 
Opportunities and Incorporating the Youth 
into East Africa’s Labour Markets 
Kenya Country Study, 
By 
Rosemary Atieno and Winnie Mitullah, 
Institute for Development Studies 
University of Nairobi 
Presented at the High Level Regional Conference on Youth 
Employment in Kigali 24th -25th November, 2014 
University of Nairobi ISO 9001:2008 1 Certified http://www.uonbi.ac.ke
Introduction 
Youth issue occupies a central place in Kenya’s development agenda: 
 Demographic composition: Youth population represents about one third of the 
Kenyan population. 
 The 2009 population census: about 36 percent of Kenya’s population aged 
between 15-35 years; between 15-24 years are estimated to be 21percent 
 Most of the youths in the country are unemployed, underemployed or underpaid 
and fall easily in the category of the working poor. 
 Out of the currently unemployed working age population, 72 % are under the 
age of 30 while 51% are under age of 24. 
 High youthful population: opportunities for national development, but also 
presents development challenges. 
 Creation of productive and sustainable employment remains one of the 
challenges for the country, need for innovative approaches to create employment 
opportunities 
University of Nairobi ISO 9001:2008 2 Certified http://www.uonbi.ac.ke
Policy Scenario 
 Government of Kenya has initiated a number of policies over the years aimed at 
addressing youth unemployment in the country 
 Policies date back to the early 1990s 
Sessional Paper No.2 of 1992 on Small Scale and Jua Kali Enterprises: 
 Small-scale enterprise sector identified for support to be assisted to "graduate 
into the formal sector" and to become a major player in the creation of new jobs 
and economic growth. 
 Focus on training for microenterprises targeting the youth using training 
voucher. 
 Key elements: Access to technical and managerial training, work sites, 
involvement of JuaKali in technology innovation, and creation of a positive 
enabling environment. 
University of Nairobi ISO 9001:2008 3 Certified http://www.uonbi.ac.ke
Policy Scenario 
 Kenya National Youth Policy 2002 
 Provided a framework for addressing issues affecting young people in Kenya. 
 Identified unemployment and underemployment among the key issues affecting 
the youth 
 Identified the need to identify and mainstream youth issues in national 
development, empowering the youth in order to exploit their potential, and 
ways of engaging the youth in the process of economic development. 
Kenya National Youth Policy 2007 
 Embraces holistic integration and inclusion of the youth in Kenya’s development 
based on national policies and international policies and conventions 
 Focuses on employment creation as a strategic area. 
Vision 2030 
 The country’s current development blue print, identifies the central role of the 
youth in development 
University of Nairobi ISO 9001:2008 4 Certified http://www.uonbi.ac.ke
Policy Scenario 
Vision 2030 
Identifies interventions fundamental for employment creation for the youth. 
 Capacity building and empowerment to equip the youth to engage in productive 
activities, 
 creating employment opportunities, 
 Providing the youth with necessary support: financial and market linkages, 
 Strategies: Training the youth in technical, vocational and entrepreneurial skills, 
Creative skills to deal with advances in technology. 
 Flagship projects targeting the youth: Youth empowerment centres, the 
Youth Enterprise Development Fund (YEDF) to provide loans to youth owned 
enterprises 
 The UWEZO fund targeting the youth and women 
 The 30 % procurement rule for the youth 
University of Nairobi ISO 9001:2008 5 Certified http://www.uonbi.ac.ke
Results from the study 
 Results based on key informant interviews, survey of 812 youths, and Focus 
group discussions 
 Key informant interviews conducted at national level, while survey and focus 
group discussions conducted in three counties selected for the study. 
 Survey covered youth between 15-35 years old, and in the categories of those in 
school, formally employed, unemployed or self employed. 
Socio Economic characteristics: 
 Education achievement: 
 11.3 % of the respondents had completed primary education. 
 28 % had completed secondary education 
 40 % had gone beyond secondary level of education. 
 58.8% of the respondents had not attained an education level higher than 
secondary education. 
University of Nairobi ISO 9001:2008 6 Certified http://www.uonbi.ac.ke
Results from the study 
Mobility of the youth 
Live /work in the same area where you grew up 
Living in the same area Frequency Percent 
Yes 238 29.3 
No 574 70.7 
Total 812 100.0 
 This scenario reflects the high mobility among the youth. 
 84 percent of the respondents indicated that their current place 
of residence is urban areas, but only 42 percent indicated that 
their original place of residence was urban. 
 Most youth seem to migrate to urban areas.
Socio-economic characteristics 
Occupation Status 
Status Frequency Percent 
In school 191 23.5 
Unemployed 149 18.3 
Employed 259 31.9 
Self-employed 213 26.2 
Total 812 100.00 
90 
80 
70 
60 
50 
40 
30 
20 
10 
0 
Fig 3: Distribution of Activity Status by Age 
15-19 20-24 25-29 30-35 
Percentages 
Age Category 
In School 
Unemployed 
Employed 
Self-employed
The youth in school/training 
 Gender distribution: 50 percent, males 50 percent females. 55% in the age group 
of 15-19 years. 
 Youths had different reasons for choosing their field of study: 
 Job prospects 
 Prestige/self esteem 
 Parents’ influence 
 Easy field of study 
 Passion 
Post schooling plans: Youth had different plans after completing education 
 Further studies- 50% 
 Look for employment – 41% 
 Start own business – 5% 
 81% had not started looking for a jobs while still in school 
University of Nairobi ISO 9001:2008 9 Certified http://www.uonbi.ac.ke
Post Schooling plans 
 The youths expect to reach various levels of education 
 44 percent expect to reach postgraduate level of education, 
 38 percent expect to achieve a university degree. 
 About 10 percent expected to achieve some professional training 
Combining work with studies 
 Majority of the youths -81% do not work part time while studying 
 91% have never stopped their education to work full time and re enter school. 
 For those who had stopped and decided to rejoin schooling, the reasons for 
rejoining were: 
 Not being able to find a suitable job, 
 Having earned sufficient money to pay for school 
 Returned to school because they were not ready to face the world of work as 
yet 
The youth in school/training 
University of Nairobi ISO 9001:2008 10 Certified http://www.uonbi.ac.ke
Unemployed Youth 
 63% males, 37% females., 75% in the 20-29 age category 
 58 % unemployed for over one year, majority actively looking for emp. 
 65% of the unemployed youth did not have beyond 12 years of education 
 Stakeholders: a number of initiatives addressing the youth unemployment 
but youth attitude a problem as the youth look for white collar jobs 
 The youth believe that professional training, university training and 
entrepreneurship to start own business are the main ways out of 
unemployment 
 Most of the unemployed youth place high premium on education, upto 85% 
planned to continue their education , upto 60% planning to reach university, 
This is a mismatch with government policies on youth employment. 
 Youth perception on addressing unemployment centers on providing the 
youth with skills and education, supporting industries to create employment, 
giving youth opportunity in employment through affirmative action. 
University of Nairobi ISO 9001:2008 11 Certified http://www.uonbi.ac.ke
Education attainment 
 Majority (29%) of the employed youth had completed 12 years of education, 
equivalent to form four level of education 
 13 % had university level, while 34% had post secondary training. 
Contractual arrangements, and job satisfaction 
 48 % not satisfied with contractual arrangements, 47% satisfied with job. 
 Reasons for satisfaction: job security, flexibility, high wages 
 Only 24 % had other jobs in addition to their current ones, but only 4% were 
because of being satisfied with their current jobs 
 78% plan to change their jobs, 75% willing to move to get better jobs for 
better pay, better career prospects, and working conditions. 
 Most youth are not willing to accept any job (only 22% are willing) 
 Important considerations are wages, stability and appropriateness to 
education 
Youth in Employment 
University of Nairobi ISO 9001:2008 12 Certified http://www.uonbi.ac.ke
Youth in Employment 
 66 % of the youth indicated they planned to continue their education in the 
future. 
 Most of those employed received training for their current jobs by their 
employers 
 62% indicated that the education they received was very useful. 
The youth’s awareness of government initiatives on youth employment 
 A total of 58 percent were aware while 42 percent were not aware. 
 Among those who were aware, 70 per cent found the initiatives useful. 
 Only 22 percent of the respondents had participated in the initiatives. 
 Main reasons for non participation: lack of time, not aware of the procedure, 
not interested, does not have the requirements and inability to repay where 
there is credit involved 
 From FGDs, the youth largely do not understand the government t funds 
University of Nairobi ISO 9001:2008 13 Certified http://www.uonbi.ac.ke
Self Employed Youth 
 The youth view self employment as a temporary transitory 
measure 
 Largely use their own resources to start enterprises 
 The level of awareness among the government initiatives is 
higher among the self employed youth 
 Most self employed youth were aware of the government 
initiatives, but few had participated in them 
 Reasons for non participation: inability to meet some of the 
requirements, not interested, complicated to access, too little 
money given, not interested. 
University of Nairobi ISO 9001:2008 14 Certified http://www.uonbi.ac.ke
Innovative Approaches to youth 
 Government working through its research agencies to provide incubation 
and upgrading of technology for small scale enterprises – multiagency 
approach. 
 Government has initiated innovative approaches through funds directed at 
the youth, affirmative action through public procurement and training. 
 Intervention in youth employment needs to be integrated at education level 
to change the attitude of the youth towards different types of employment 
and instill skills from early stages. 
 The youth are flexible and mobile: This is an asset that can be used to 
address youth unemployment by making the rural areas attractive and 
productive: some youth have ventured into niche production activities in 
farming to generate employment examples: rabbit keeping and small scale 
horticulture. 
 Some youth have also ventured into performing arts to earn incomes and 
create employment 
unemployment 
University of Nairobi ISO 9001:2008 15 Certified http://www.uonbi.ac.ke
Key lessons for intervention 
Mismatch in perceptions: The youth place a premium on higher education 
 The youth irrespective of status aspire to achieve high levels of education and 
acquire a profession. Intervene in education 
 They prefer not to interrupt their studies to get employed . 
 Most interventions target the youth who have dropped out of school. 
 Youth attitude towards such interventions is that they are for failures and one 
cannot make a career out of it (FGDs) 
 This spills out as negative attitude by the youth who expect white collar jobs 
Grants are no solutions to the unemployment problem, most financial interventions 
are seen as grants by the youth and stakeholders 
Market access a problem due to limited diversity in activities, standards and quality 
requirements 
The youth are mobile and flexible: interventions need to take this into account 
Need for change in attitude about the youth and view them as a development asset. 
University of Nairobi ISO 9001:2008 16 Certified http://www.uonbi.ac.ke

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  • 1. Innovative Approaches to Creating Opportunities and Incorporating the Youth into East Africa’s Labour Markets Kenya Country Study, By Rosemary Atieno and Winnie Mitullah, Institute for Development Studies University of Nairobi Presented at the High Level Regional Conference on Youth Employment in Kigali 24th -25th November, 2014 University of Nairobi ISO 9001:2008 1 Certified http://www.uonbi.ac.ke
  • 2. Introduction Youth issue occupies a central place in Kenya’s development agenda:  Demographic composition: Youth population represents about one third of the Kenyan population.  The 2009 population census: about 36 percent of Kenya’s population aged between 15-35 years; between 15-24 years are estimated to be 21percent  Most of the youths in the country are unemployed, underemployed or underpaid and fall easily in the category of the working poor.  Out of the currently unemployed working age population, 72 % are under the age of 30 while 51% are under age of 24.  High youthful population: opportunities for national development, but also presents development challenges.  Creation of productive and sustainable employment remains one of the challenges for the country, need for innovative approaches to create employment opportunities University of Nairobi ISO 9001:2008 2 Certified http://www.uonbi.ac.ke
  • 3. Policy Scenario  Government of Kenya has initiated a number of policies over the years aimed at addressing youth unemployment in the country  Policies date back to the early 1990s Sessional Paper No.2 of 1992 on Small Scale and Jua Kali Enterprises:  Small-scale enterprise sector identified for support to be assisted to "graduate into the formal sector" and to become a major player in the creation of new jobs and economic growth.  Focus on training for microenterprises targeting the youth using training voucher.  Key elements: Access to technical and managerial training, work sites, involvement of JuaKali in technology innovation, and creation of a positive enabling environment. University of Nairobi ISO 9001:2008 3 Certified http://www.uonbi.ac.ke
  • 4. Policy Scenario  Kenya National Youth Policy 2002  Provided a framework for addressing issues affecting young people in Kenya.  Identified unemployment and underemployment among the key issues affecting the youth  Identified the need to identify and mainstream youth issues in national development, empowering the youth in order to exploit their potential, and ways of engaging the youth in the process of economic development. Kenya National Youth Policy 2007  Embraces holistic integration and inclusion of the youth in Kenya’s development based on national policies and international policies and conventions  Focuses on employment creation as a strategic area. Vision 2030  The country’s current development blue print, identifies the central role of the youth in development University of Nairobi ISO 9001:2008 4 Certified http://www.uonbi.ac.ke
  • 5. Policy Scenario Vision 2030 Identifies interventions fundamental for employment creation for the youth.  Capacity building and empowerment to equip the youth to engage in productive activities,  creating employment opportunities,  Providing the youth with necessary support: financial and market linkages,  Strategies: Training the youth in technical, vocational and entrepreneurial skills, Creative skills to deal with advances in technology.  Flagship projects targeting the youth: Youth empowerment centres, the Youth Enterprise Development Fund (YEDF) to provide loans to youth owned enterprises  The UWEZO fund targeting the youth and women  The 30 % procurement rule for the youth University of Nairobi ISO 9001:2008 5 Certified http://www.uonbi.ac.ke
  • 6. Results from the study  Results based on key informant interviews, survey of 812 youths, and Focus group discussions  Key informant interviews conducted at national level, while survey and focus group discussions conducted in three counties selected for the study.  Survey covered youth between 15-35 years old, and in the categories of those in school, formally employed, unemployed or self employed. Socio Economic characteristics:  Education achievement:  11.3 % of the respondents had completed primary education.  28 % had completed secondary education  40 % had gone beyond secondary level of education.  58.8% of the respondents had not attained an education level higher than secondary education. University of Nairobi ISO 9001:2008 6 Certified http://www.uonbi.ac.ke
  • 7. Results from the study Mobility of the youth Live /work in the same area where you grew up Living in the same area Frequency Percent Yes 238 29.3 No 574 70.7 Total 812 100.0  This scenario reflects the high mobility among the youth.  84 percent of the respondents indicated that their current place of residence is urban areas, but only 42 percent indicated that their original place of residence was urban.  Most youth seem to migrate to urban areas.
  • 8. Socio-economic characteristics Occupation Status Status Frequency Percent In school 191 23.5 Unemployed 149 18.3 Employed 259 31.9 Self-employed 213 26.2 Total 812 100.00 90 80 70 60 50 40 30 20 10 0 Fig 3: Distribution of Activity Status by Age 15-19 20-24 25-29 30-35 Percentages Age Category In School Unemployed Employed Self-employed
  • 9. The youth in school/training  Gender distribution: 50 percent, males 50 percent females. 55% in the age group of 15-19 years.  Youths had different reasons for choosing their field of study:  Job prospects  Prestige/self esteem  Parents’ influence  Easy field of study  Passion Post schooling plans: Youth had different plans after completing education  Further studies- 50%  Look for employment – 41%  Start own business – 5%  81% had not started looking for a jobs while still in school University of Nairobi ISO 9001:2008 9 Certified http://www.uonbi.ac.ke
  • 10. Post Schooling plans  The youths expect to reach various levels of education  44 percent expect to reach postgraduate level of education,  38 percent expect to achieve a university degree.  About 10 percent expected to achieve some professional training Combining work with studies  Majority of the youths -81% do not work part time while studying  91% have never stopped their education to work full time and re enter school.  For those who had stopped and decided to rejoin schooling, the reasons for rejoining were:  Not being able to find a suitable job,  Having earned sufficient money to pay for school  Returned to school because they were not ready to face the world of work as yet The youth in school/training University of Nairobi ISO 9001:2008 10 Certified http://www.uonbi.ac.ke
  • 11. Unemployed Youth  63% males, 37% females., 75% in the 20-29 age category  58 % unemployed for over one year, majority actively looking for emp.  65% of the unemployed youth did not have beyond 12 years of education  Stakeholders: a number of initiatives addressing the youth unemployment but youth attitude a problem as the youth look for white collar jobs  The youth believe that professional training, university training and entrepreneurship to start own business are the main ways out of unemployment  Most of the unemployed youth place high premium on education, upto 85% planned to continue their education , upto 60% planning to reach university, This is a mismatch with government policies on youth employment.  Youth perception on addressing unemployment centers on providing the youth with skills and education, supporting industries to create employment, giving youth opportunity in employment through affirmative action. University of Nairobi ISO 9001:2008 11 Certified http://www.uonbi.ac.ke
  • 12. Education attainment  Majority (29%) of the employed youth had completed 12 years of education, equivalent to form four level of education  13 % had university level, while 34% had post secondary training. Contractual arrangements, and job satisfaction  48 % not satisfied with contractual arrangements, 47% satisfied with job.  Reasons for satisfaction: job security, flexibility, high wages  Only 24 % had other jobs in addition to their current ones, but only 4% were because of being satisfied with their current jobs  78% plan to change their jobs, 75% willing to move to get better jobs for better pay, better career prospects, and working conditions.  Most youth are not willing to accept any job (only 22% are willing)  Important considerations are wages, stability and appropriateness to education Youth in Employment University of Nairobi ISO 9001:2008 12 Certified http://www.uonbi.ac.ke
  • 13. Youth in Employment  66 % of the youth indicated they planned to continue their education in the future.  Most of those employed received training for their current jobs by their employers  62% indicated that the education they received was very useful. The youth’s awareness of government initiatives on youth employment  A total of 58 percent were aware while 42 percent were not aware.  Among those who were aware, 70 per cent found the initiatives useful.  Only 22 percent of the respondents had participated in the initiatives.  Main reasons for non participation: lack of time, not aware of the procedure, not interested, does not have the requirements and inability to repay where there is credit involved  From FGDs, the youth largely do not understand the government t funds University of Nairobi ISO 9001:2008 13 Certified http://www.uonbi.ac.ke
  • 14. Self Employed Youth  The youth view self employment as a temporary transitory measure  Largely use their own resources to start enterprises  The level of awareness among the government initiatives is higher among the self employed youth  Most self employed youth were aware of the government initiatives, but few had participated in them  Reasons for non participation: inability to meet some of the requirements, not interested, complicated to access, too little money given, not interested. University of Nairobi ISO 9001:2008 14 Certified http://www.uonbi.ac.ke
  • 15. Innovative Approaches to youth  Government working through its research agencies to provide incubation and upgrading of technology for small scale enterprises – multiagency approach.  Government has initiated innovative approaches through funds directed at the youth, affirmative action through public procurement and training.  Intervention in youth employment needs to be integrated at education level to change the attitude of the youth towards different types of employment and instill skills from early stages.  The youth are flexible and mobile: This is an asset that can be used to address youth unemployment by making the rural areas attractive and productive: some youth have ventured into niche production activities in farming to generate employment examples: rabbit keeping and small scale horticulture.  Some youth have also ventured into performing arts to earn incomes and create employment unemployment University of Nairobi ISO 9001:2008 15 Certified http://www.uonbi.ac.ke
  • 16. Key lessons for intervention Mismatch in perceptions: The youth place a premium on higher education  The youth irrespective of status aspire to achieve high levels of education and acquire a profession. Intervene in education  They prefer not to interrupt their studies to get employed .  Most interventions target the youth who have dropped out of school.  Youth attitude towards such interventions is that they are for failures and one cannot make a career out of it (FGDs)  This spills out as negative attitude by the youth who expect white collar jobs Grants are no solutions to the unemployment problem, most financial interventions are seen as grants by the youth and stakeholders Market access a problem due to limited diversity in activities, standards and quality requirements The youth are mobile and flexible: interventions need to take this into account Need for change in attitude about the youth and view them as a development asset. University of Nairobi ISO 9001:2008 16 Certified http://www.uonbi.ac.ke