Ghana School of Business, Knust Evaluating the Impact
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KWAME NKRUMAH UNIVERSITY OF SCIENCE AND TECHNOLOGY, KUMASI – GHANA SCHOOL OF BUSINESS, KNUST EVALUATING THE IMPACT OF THE NATIONAL YOUTH EMPLOYMENT PROGRAMME ON JOB CREATION IN GHANA By: ROSEMARY ADZAH (B.Ed. Management) A Thesis Submitted to the Department of Marketing and Corporate Strategy, School of Business, College of Humanities and Social Sciences in partial fulfilment of the requirement for the degree of MASTER OF BUSINESS ADMINISTRATION (STRATEGIC MANAGEMENT AND CONSULTING OPTION) NOVEMBER, 2015 DECLARATION I hereby declare that this submission is my own work towards the Masters of Business Administration (Strategic Management and Consulting Option) Degree and that, to the best of my knowledge, it contains no material previously published by another person nor material which has been accepted for the award of any other degree of the University, except where due acknowledgement has been made in the text. Rosemary Adzah .................................. ……….................. PG9547013 Signature Date Certified by: Dr. Kofi Poku .................................. ……….................. Name of Supervisor Signature Date Certified by: Dr. Ahmed Agyapong .................................. ……….................. Name of Head of Department Signature Date ii ABSTRACT Unemployment seems to have been a major cause of concern in most part of our world today. It is observed that Ghana as a country continues to battle with this age old challenge of creating jobs for many of her youth. The Ghanaian government has developed several policies and initiatives to address this challenge over the years with the introduction of the National Youth Employment Programme (NYEP) as one such initiative. Despite all these, there still remains very high youth unemployment rate in the country (25.6% rate recorded by the 2000 population and housing census).This research therefore seeks to evaluate how much the NYEP has impacted on creating jobs for the youth amidst high recorded rates of youth unemployment in the country. The study used both qualitative and quantitative methods to collect data from 130 respondents who were (4) management staff and (126) beneficiaries of the NYEP units from two selected District/Municipal Assemblies in Ghana. The study revealed an increasing rate of youth unemployment in Ghana despite the introduction of the NYEP. The findings further showed a low impact level of the programme as a result of numerous challenges such as low level of youth participation, inadequate funding, inability to sustain the programme and its beneficiaries, little government support, absence of a legal framework among others. From these, it was recommended that government works better on planning, implementing and evaluating more initiatives that helps to address youth unemployment. Above all, the impact of such initiatives needs to be driven towards youth entrepreneurship that aids sustainable livelihood and economic development. iii ACKNOWLEDGEMENT My first and foremost appreciation goes to God Almighty by whose grace this work has been completed. I wish to express my greatest gratitude to my family for their support and encouragement. I also wish to acknowledge with thanks, all the lecturers who facilitated my studies in the various courses at Kwame Nkrumah University of Science & Technology (KNUST). It will be very necessary to single out one great mentor; Dr. Kofi Poku, my supervisor, for his time, patience, guidance and brilliant contributions to the successful completion of the research work, not forgetting Mr. and Mrs. Simon-Peter Addai for their diverse contributions and support as well as my God daughter Adoma-Nyamedea Konadu Addai. My final word of thanks goes to my course mates and colleagues at Adom Fie for the encouragement and support given me in the achievement of this piece of work. There are others I might have failed to mention here due to lack of space. To all these people, I owe you a huge debt of appreciation. God bless us all. iv DEDICATION I dedicate this work to my lovely Mum and Dad; Daavi Oddette and Efo Pascal as well as my wonderful and supportive siblings; Rita and Daniel. v TABLE OF CONTENTS Page TITLE PAGE……..…………………………………………………………………..i DECLARATION……………………………………………………………...……...ii ABSTRACT…………………………………………………………………………..ii ACKNOWLEDGEMENT…………………………………………..………………iv DEDICATION………………………………………………………………………..v TABLE OF CONTENTS……………………………………………………..……..vi LIST Of TABLES………………………………………………………..………….xi LIST OF FIGURES………………………………………………………………...xii CHAPTER ONE – INTRODUCTION……………………………………………...1 1.0 Background of the Study…………………………………………………………..1 1.1 Statement of the Problem………………………………………………………….3 1.2 Objectives of the Study……………………………………………………………4 1.2.1 General Objectives………………………………………………………….4 1.2.2 Specific Objectives……………………………………………………….....4 1.3 Research Questions………………………………………………………………..5 1.4 Significance of the Study………………………………………………………….5 1.5 Overview of Research Methodology………………………………………………6 1.6 Scope of the Study…………………………………………………………………6 1.7 Limitations of the Study…………………………………………………………...7 1.8 Organization of the Study…………………………………………………………7 CHAPTER TWO - LITERATURE REVIEW……………………………………..9 2.0 Introduction……………………………………………………………………….9 2.1 Youth Employment Situation in Ghana…………………………………………...9 2.2 The Process of Job Creation……………………………………………………...10 vi 2.2.1 Government‟s Role in Job Creation……………………………………….11 2.3The National Youth Employment Programme (NYEP)-Formulation and Implementation………………………………………………………………….15 2.3.1 Rational for Formulation and Implementation of NYEP………………….16 2.4 Programme Evaluation Approaches..….………….……………………………...16 2.4.1 Programme Evaluation Defined…………………………………………...16 2.4.2Classification/Categorisation and Analysis of Approaches………………..17 2.5Evaluation of Employment Programmes around the World………………… ….19 2.5.1Financing Youth Employment Programmes……………………………….20 2.5.2 Evaluating Impacts of Youth Intervention Programmes………………….21 2.5.3 Findings on Youth Employment Interventions…………………………..25 2.6 The Effectiveness of the NYEP as Ghana‟s Initiative to Creating Jobs………...27 2.7 The Effects of the NYEP on Job Creation in Ghana……………………………..28 CHAPTER THREE – RESEARCH METHODOLOGY………………………...31 3.0 Introduction………………………………………………………………………31 3.1 Research Design………………………………………………………………….31 3.2 Sources of Data…………………………………………………………………..31 3.2.1 Primary Data Source……………………………………………………….32 3.2.2 Secondary Data Source…………………………………………………….32 3.3 Population………………………………………………………………………...33 3.4 Sampling techniques……………………………………………………………..33 3.5 Data Collection Instruments……………………………………………………...35 3.6 Data analysis techniques…………………………………………………………36 3.7 Organizational Profile of NYEP………………………………………………….36 vii 3.7.1 Goal………………………………………………………………………...37 3.7.2 Duties of NYEP…………………………………………………………….37 3.7.3 NYEP Beneficiaries………………………………………………………..37 3.7.4 Modules and Structure of NYEP……………………………………….......37 3.7.5 Sponsors……………………………………………………………………38 3.7.6 Successes and Challenges………………………………………………….38 3.7.7 Current State of NYEP…………………………………………………….40 3.7 Summary…………………………………………………………………………40 CHAPTER FOUR - DATA PRESENTATION, ANALYSIS AND DISCUSSIONS……………………………………………...41 4.0 Introduction………………………………………………………………………41 4.1 Background Data of Respondents………………………………………………..42 4.2 Discussion of Main Data…………………………………………………………45 4.2.1 Youth Employment Situation………………………………………….......45 4.2.2 Process of Job Creation By Government in Addressing Youth Unemployment…………………………………………………………….48 4.2.3 Rationale for Formulation and Implementation of NYEP………………...51 4.2.4 Effectiveness of NYEP……………………………………………………53 4.2.5 Effects of NYEP on Job Creation…………………………………………55 4.3 Interpretation of the Results of the Multiple Regression Analysis………………63 4.4 Results of the Interview…………………………………………………………..67 4.4.1 Assessing the Unemployment Situation Before and After the Implementation of the NYEP in Ghana…………………………………67 4.4.2 Government‟s Role in Creating Jobs in Ghana………………………….67 4.4.3 Government‟s support for job seekers in Ghana………………………...67 viii 4.4.4 Rationale/purpose for implementing the NYEP………………………...68 4.4.5 Some challenges Faced by the NYEP…………………………………...68 4.4.6 Some achievements of the NYEP……………………………………….68 4.4.7 Ranking the Overall Impact the Programme has had on Creating Jobs for the Average Ghanaian Youth……………………………………………69 4.4.8 Improving upon the programme in creating jobs for the youth………....69 4.5 Summary………………………………………………………………………....69 CH APTER FIVE - SUMMARYOF FINDINGS, CONCLUSIONS AND RECOMMENDATIONS…………………………………...71 5.0 Introduction…………………………………………………………………........70 5.1 Summary of Findings……………………………………………………………70 5.1.1 Youth Employment Situation In Ghana…………………………………...70 5.1.2 Process of Job Creation By Government in Addressing Youth Unemployment…………………………………………………………...71 5.1.3 Rationale for Formulation and Implementation of NYEP………………...71 5.1.4 Effectiveness of NYEP……………………………………………………72 5.1.5 Effects of NYEP on Job Creation…………………………………………72 5.2 Conclusions………………………………………………………………………73 5.3 Recommendations………………………………………………………………..74 5.3.1 Ascertaining the Youth Employment situation in Ghana Periodically…………………………………………………….......74 5.3.2 Government to get involved in Job Creation Process……………………..75 5.3.3 Youth Participation in Programme Planning and Implementation………..75 5.3.4 Improved Funding…………………………………………………………75 5.3.5 Sustainability of Initiatives……………………………………………......76 ix 5.3.6 Acquiring a Legal Framework………………………………………….....76 REFERENCES……………………………………………………………………..77