STEM graduate employability in South Africa: Evidence from the literature.
Toona, Lebo Trudy
Toona, Lebo Trudy
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Abstract
Skills shortages and the rising graduate unemployment rate in South Africa has been receiving increasing attention. The blame however, has been placed mostly on the individual for failing to make correct choices. Science, Technology, Engineering and Mathematics (STEM) fields are seen as the solution to unemployment and skills shortages. This has led to calls for an increase in STEM graduate throughput, which is accompanied by the assumption of guaranteed employment. This study aims to look at the evidence from the literature at three different levels; developed countries, developing countries that are ex-British colonies and then South Africa to ascertain whether the demand for STEM graduates in the labour market is supported by the literature. The study focuses on a three-layered approach because STEM graduates are well researched in developed countries and offers an up-to-date body of knowledge on STEM graduates, while developing countries are studied because of the similar experience of being ex-British colonies and will support the literature on South Africa. This study also explores whether the demand as expressed by a growing number of publications has led to better employment opportunities and earnings. The literature on the STEM labour market is contradictory, with some authors arguing there is a shortage, while others dismiss these claims. The same is observed with earnings of STEM graduates, with some business and management graduates earning more than STEM graduates. Despite the contradictions, there are unemployed STEM graduates in the country, with the reasons being similar to those of non-STEM graduates. STEM graduates are also affected by the same labour market barriers that affect non-STEM graduates, with the main advantage being that there are fewer STEM graduates than non-STEM graduates. The study finds that the challenge is in recruitment rather than a shortage of graduates. The private sector is revealed to be the main employer of STEM graduates, but no evidence was found of interventions by the private sector to partner with universities to address the said shortage. The study recommends a labour market system that ensures effective communication between employers and graduates, and cohesion amongst all stakeholders. In addition, the study highlighted a need for more commitment from employers to provide training. Furthermore, the study also recommends more studies aimed at understanding the STEM graduate labour market in terms of the labour market selection criteria and whether the sectors that are demanding these graduates are creating jobs.
Description
Submitted in partial fulfilment of the requirements for the degree, Magister Technologiae: Comparative Local Development
in the Department of Economics, Faculty of Economics and Finance Tshwane University of Technology
Date
2018-01-01
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Tshwane University of Technology
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Keywords
STEM, Graduates, Non-STEM, Employability, Unemployment