29% of employees earning salaries better off than those self-employed – World Bank

• Posted on July 12, 2022
• by Nana Kwesi Coomson
• Comment

The World Bank has said that 29% of Ghanaians who are into wage employment are better off than 69% who are into self-employment.

The Bretton Wood institution, therefore, wants the government to pay attention to that. 

Speaking at the 6th Ghana Economic Update, Social Protection Specialist at the World Bank, Christabel Dadzie, said Ghana’s economy provides insufficient opportunities for workers who are also low skilled.

She said “69% of those working in Ghana are self-employed. So if you are policy maker and you looking to support unemployment, you need to know there are a chunk of young people who are in self-employment”.

People in wage employment are more productive while those employed in the most part are vulnerable, she said, adding, “and within this area, majority are women, the poor and people living in rural areas”.

Ghana’s strong growth performance over the years has not paid off in terms of good jobs for the youth, the World Bank explained.

It added that the youth are less likely to be in the labour force.

Statistics show that while about 50.9% of the youth population in the urban areas are employed, that of the rural area is 62.1%.

In 2021, based on the country’s national population and housing census, the youth unemployment rate stood at 19.7%.

 By 2035, the youth will overtake all other age groups in Ghana’s population; a situation that presents opportunities and challenges.