Answer to Question #238199 in Microeconomics for Max

Question

As South Africa has a large contingent of unemployed and low skilled workers how do you
see the integration process affecting the mismatch between the demand and supply of
labour within the country?

Answer 1

Solution:

South Africa in general is experiencing significant imbalances between the supply of and demand for skills. Previous research has shown that there is growing demand for people with high-level skills, while the majority of the population possess low-level skills. In addition, many people in South Africa are either overqualified or underqualified for their current jobs. The research also reveals notable mismatches between the field in which workers are employed and the field of study in which they are qualified. In some instances, workers’ level of education is not aligned with the educational qualification required by their job.

The integration process will definitely be able to promote skills transfer and match labor supply and demand for regional development and integration. This will integrate skills development and economic growth policies and improve co-ordination between different government departments.