Skills Acquisition in Uganda: Bridging the Gap Between Education and Employment In the Era of Digital Transformation

Skills Acquisition in Uganda: Bridging the Gap Between Education and Employment In the Era of Digital Transformation

This study examines the dynamics of skills acquisition in Uganda, focusing on enhancers and barriers within the context of a rapidly evolving labour market. Against a backdrop of significant unemployment challenges, where 12 percent of the population is unemployed and 41 percent of youth are not in employment, education, or training (NEETs), the research provides a comprehensive analysis of skills development initiatives and labour market dynamics.

The study employs a mixed-methods approach, combining extensive desk review with a quantitative analysis of secondary data from the Uganda National Labour Force Surveys. Key findings highlight that Uganda’s labour market is undergoing a substantial transformation driven by technological advancements, the Fourth Industrial Revolution (4IR), and COVID-19 pandemic impacts. Despite achieving an average GDP growth of 5.3 percent, the country experiences jobless growth, largely attributed to mismatches between labour supply and demand.

Research reveals significant challenges in skills acquisition, including a persistent disconnect between educational outcomes and market needs. This study shows that despite the government’s implementation of various initiatives—including the Skilling Uganda Strategy, the Uganda Skills Development Project (USDP), and the Youth Livelihood Program—significant gaps persist in addressing skills mismatches.

A particular concern is that 30 percent of graduates work in jobs unaligned with their qualifications. The analysis emphasizes the critical role of digital, socio-behavioral, and analytical/technical abilities in the modern workplace while identifying key barriers such as the digital divide, inadequate educational infrastructure, and societal norms. The study concludes by recommending strategic interventions focusing on bridging the digital divide through infrastructure investment, curriculum revision, enhanced support for vulnerable groups, and strengthened public-private collaboration.

This research contributes to the existing body of knowledge by providing evidence-based insights for policymakers to develop effective strategies bridging the gap between skills acquisition and productive employment in Uganda, ultimately supporting the country’s economic growth and development goals.

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• Published Feb 17, 2025