A Systems Dynamics Simulation Model To Estimate Formal Employability Of Graduates In Kenya

Abstract

Formal employment is the epitome of university education, where employed graduates have a guaranteed pay, commensurate with their skillsets, education, with additional benefits like health cover, retirement benefits, including the ability to acquire loans, and develop their livelihoods. It has been determined that a high percentage of Kenyan university fresh graduates, do not stand a chance to get formal employment, due to lack of job skills, where employers prefer graduate candidates, who have prior employment history. The study observed that; the type of investments in the country, and industry appropriate skills training, are key factors that should be considered, in order to improve formal graduate employability. This study proposes that the government should regulate training in a timely fashion, and improve industrial attachment programme in the curricular, in alignment with industry needs. It should also implement effective economic policies, to attract investors who offer more formal employment opportunities, and in the same breath, set a favorable formal employment environment, by implementing less restrictive employment policies, to allow absorption of skilled graduates into formal employment.