The Integrated Approach to Employment Promotion and Employment and Labour

Market Analysis

Dr. Stefanie Slaoui-Zirpins, Sector Project Employment Promotion in Development

Cooperation

Cairo, Egypt

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Why do we need an integrated approach to employment promotion?

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TVET for women might not lead to employment growth if

other factors hinder female labour market participation

Export promotion for SMEs is pointless if quality

standards are not guaranted

Investment promotion

will not considerably

increase employment if

only few labour is

necessary for

production

The integrated approach to employment promotion

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Implementation at:

• Country level,

regional level

and/or local level

• Level of a bilateral

cooperation

portfolio

• Programme level

• Industrial Areas

Factsheet „The

Integrated Approach to

Employment Promotion“

(EN, DE, FR , ES, AR, RU)

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Analyzing

the labour

market

Generating

employment

effects

Assessing

employment

effects

• Find constraints and potentials along the pillars of the integrated approach• Take labour market information and existing labour market studies and

market assessements into account

• Address constraints and exploit potential by intervening in one or more pillars of the integrated approach

• Create employment effects:• Quantitative: Employment creation (wage employment and self-

employment)• Qualitative: Higher incomes/profits or other improved working

conditions

• Monitor for impact-oriented management of intervention• If necessary: Adapt your intervention`s design• Learn for future interventions

… put into practice

ELMA – Who am I and if so how many?

• ELMA is the acronym for Employment and Labour Market Analysis

• It is a tool developed by GIZ in order to analyse employment constraints and potentials within a given context – typically a country

• Complete guidelines in EN & FR

• Factsheets in EN, FR, ES, AR

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• Since 2012 ELMA has been conducted in 9 partner countries

Tunisia

2014

Ghana

2014

Kyrgyzstan2012 (Pilot)

Malawi

2014East Timor

2014

Jordan

2015

Lebanon

2015

Egypt

2016

Morocco

2015

ELMA – Who am I and if so how many?

ELMA recommendations can

contribute to

Projects of German DC with employment indicators• Background information for project evaluations and new

projects• Support for policy recommendations and conceptual design

National/regional dialogue on employment in the partner country

• Brings together stakeholders and provides platform for discussions of employment issues

• Discusses possible starting points of necessary reforms• Contribution to the development of employment strategies and

to future research

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Example: ELMA in selected sectors in Egypt (I)

I. Manufacturing of Food Products

Technical Secondary Schools and Vocational Training Centres as major training providers for industrial workers do not offer specialisations for the food manufacturing industry, such as “Food Processing Technician”.

II. Manufacturing of Electrical Equipment, with particular focus on Feeding Industries in the Engineering Sector

Challenge in accessing small number of highly qualified technicians and engineers: Lack of effective recruitment strategies; Lack of attractive remuneration packages; Need to compensate e.g. through costly international engineers for maintenance

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Example: ELMA in selected sectors in Egypt (II)

1. Supply and demand of business development services (BDS) are largely distorted and hence BDS do not effectively support companies in both sectors

2. Both sectors lack effective mechanisms for matching labour demand and supply

3. Staff turnover and absenteeism rates in the Egyptian manufacturing sector are exceptionally high, & weaken Egypt's comparative advantage of low labour costs

4. Unleashing opportunities for employing more women as blue collar workers in both sectors faces multiple constraints

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Thank you for your attention!

employment@giz.de

stefanie.slaoui-zirpins@giz.de

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Back up

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Rationale for analysing labour markets in

German DC

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• Advisory to our partners should focus on the underlying causes of labour market distortions

It`s about impact-orientation!

Let`s WORK 4 more and better JOBS!

• Successful project implementation requires common understanding of all stakeholders on the main causes of unemployment and underemployment and their relative importance

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Labour demand

Labour supply

Matching in the labourmarket

Framework conditions andbasic potential foremployment

Constraints

Recommendations

Let`s WORK 4 more and better JOBS!

20 steps to a labour market

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Example: Stage B

Steps 7 to 11 in the guidelines:

20 steps to a labour market

Typical implementation process (~3 to 6 month)

Identification of clear interest and objective of the ELMA in a given context

Development of ToR and timeline

Desk study by consultants

Mission including interviews with relevant stakeholders (political, non-governmental, academic etc.)

Public forum/workshop including a validation of the results with stakeholders

Finalization of the report by consultants

Dissemination of the results to stakeholders in BMZ, GIZ and partner countries

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SUMMARY OF RECOMMENDATIONS (ELMA Egypt)

1. Foster growth of SME in the food processing industry by better exploiting market chances

2. Enhance access to raw material for food processing industry

3. Support the feeding industry for an enhanced integration into domestic and global value chains.

4. Enhance the delivery of more demands-oriented and integrated services by public and private BDS providers in both sectors

5. Promote start ups, in particular in the food processing sector and for female entrepreneurs

6. Bridge the gap of lacking food processing technicians

7. Enhance product development capacities of engineers

8. Enhance matching between labour demand and supply

9. Promote more structured Human Resource Strategies within companies

10. Specific recommendations to promote women employment

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