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Supply and demand of agricultural graduates in the agriculture sector. Education, Science and Skills Development. This presentation:. Overview - output of agricultural education and training institutions Examination of the size of intermediate to high skills labour force

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supply and demand of agricultural graduates in the agriculture sector

Supply and demand of agricultural graduates in the agriculture sector

Education, Science and Skills Development

this presentation
This presentation:
  • Overview - output of agricultural education and training institutions
  • Examination of the size of intermediate to high skills labour force
  • Supply – demand and absorbtion
  • Key factors and themes affecting supply and demand
  • Recommendations
1 institutional output
1. Institutional output
  • Approximate total of 2550 graduates for one year 2003
employment by industry
Employment by industry
  • Salary of >R2500 per month is proxy for intermediate to higher level skills
  • Approximately 67 000 workers
  • But subtract workers with non-agricultural skills
employment by occupation7
Employment by occupation
  • Salary of >R2500 per month is proxy for intermediate to higher level skills
  • Approximately 29 000 workers
  • But does not include other agriculture occupations eg: professionals, scientists etc.

9.0%

9.0%

9.0%

employment by field of study
Employment by field of study
  • Salary of >R2500 per month is proxy for intermediate to higher level skills
  • Between 33 000 to 42 000 workers
  • But some of these may not be working in the agricultural sector
3 contribution of output to cover demand
3. Contribution of output to cover demand
  • LFS 2004 suggests that out of 308 000 “Skilled agricultural and fishery workers” there are 42 000 with degrees diplomas and certificates
  • We have 2550 FET to HET graduates entering the labour market
  • The replacement rate that can be sustained for intermediate to high skills work in agriculture is:
    • Between 2 550/42 000 = 6.1%
changing labour market conditions
Changing labour market conditions
  • Long term decline in employment but share for agriculture rises from 12% to 13% (1995 to 2002) - this gives a 24.7% increase in real terms (Bhorat,2005)
  • Rising skills composition of the agricultural labour force
absorbtion of graduates
Absorbtion of graduates
  • 1.5% of agricultural graduates experienced of a period of unemployment – but in proportion with total share of graduates in 2000 of 1.47% (Moleke,2005)
  • Agricultural graduates finding work
      • 93% successful after 6 months
      • 80% successful among Humanities, Arts and Law graduates
  • Note: Data for higher education only - not Colleges
key findings demand signals
Key findings: Demand signals
  • Demand for skills rising with vertical and horizontal integration of product value chains
  • Formalisation of industry organisations is evident with positive impact:
      • Professional (eg:Soil Science Society of SA)
      • Producers (eg: SA Avocado Growers Assoc)
      • Service (eg: Field Guides Association)
      • Consumer bodies (eg: SA Red Meat Industry Company)
key findings demand patterns
Key findings: demand patterns
  • Main demand for agriculture skills is in primary agriculture
  • Skills required outside of the range of agricultural fields eg:
      • Management and financial
      • Chemical engineering
      • Chemistry
      • Food Technology
key findings demand patterns15
Key findings: demand patterns
  • Occupational categories of skills upgrading needs:
      • Growing interest among employers in R&D activities
      • Sales positions have rising requirements
      • Farmers and Farm managers
  • Specific skills sets (Sectoral) eg:
      • Animal feeds – Feed Formulator
      • Seed manufacture – Seed Scientists
      • Public Sector - veterinarians (inter alia)
key findings general issues
Key findings: general issues
  • Cross-cutting skills – life-skills, communication, teamwork, IT etc.
  • Perceptions of employers about graduates
  • Concerns regarding image of agriculture
key findings supply demand
Key findings: supply-demand
  • Factors creating ‘localised’ demand
    • Wage differentials (Public – Private)
    • Rural – urban differentials in supply
    • Intra-sectoral labour market demand imbalances
    • Time-based nature of demand
    • Geo-climatic influences
key findings supply demand18
Key findings: supply-demand
  • How demand is being met:
    • Substitution masks ‘real’ demand
    • Demand is partially met by short courses with focused high skills inputs
    • Poor labour market information limits positive matches – but see role of associations
    • Demand is being met by adaptation (BAgric) in career paths
    • Demand can be met by conversions (BSc)
recommendations
Recommendations
  • Improve dissemination and use of information in private and public sector labour markets
      • Dept of Agriculture website
      • Annual HR/Training/HRD event
  • Sustain quality and focus of agricultural study programmes
      • Race and gender differentials
      • Workplace skills in curriculum
      • Agriculture as business
      • Support for rural based institutions
recommendations20
Recommendations
  • Support stronger cooperation between training providers and employers
      • Support for industry associations
      • Facilitate higher-education industry interaction re niche training needs
  • Foster intergovernmental collaboration
      • The mission of Agricultural Colleges
      • The curriculum focus of Agricultural High Schools
recommendations21
Recommendations
  • Strategically target scarce skills
      • Target key occupations/programmes
      • Consider R&D skills
  • Support courses of shorter duration than programmes
      • AGRISETA
      • FET Colleges
      • Upskilling and in-service training as NB as pre-service education
  • Research
      • Needs analysis of targeted sectors to encourage employers to train
challenges for understanding demand and supply
Challenges for understanding demand and supply
  • Measuring Labour force growth (and decline)
  • Monitoring education outputs