Skill Mismatch and Employability in Nigeria: A review of Literature

Abstract

The alarming incidence of skill mismatch and the consequential declining employability has become a key challenge to governments, educational institutions and employers of labour at large. This paper reviews relevant literature as regards the nature, scope, causes and consequences of the worrisome trend, identifies some gaps and suggests a tripartite investigation involving students, lecturers and employers. It also suggests that the investigation focuses on social and management sciences which accounts for 50% of students population in Nigerian universities and also the need explore the presence or otherwise of gender dimension to the mismatch crises.

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Skill Mismatch and Employability in Nigeria: A review of Literature
Ik Muo, PhD, FCIB.
Department of Business Administration
Olabisi Onabanjo University, Ago_iwoye, Ogun State,
08033026625; muoigbo@yahoo.com
Abstract
The alarming incidence of skill mismatch and the consequential declining employability has become a key challenge to
governments, educational institutions and employers of labour at large. This paper reviews relevant literature as regards
the nature, scope, causes and consequences of the worrisome trend, identifies some gaps and suggests a tripartite
investigation involving students, lecturers and employers. It also suggests that the investigation focuses on social and
management sciences which accounts for 50% of students population in Nigerian universities and also the need explore
the presence or otherwise of gender dimension to the mismatch crises
Key terms: skills, mismatch, employability.
1:Introduction.
Generally, the essence of education is to prepare people for the challenges of life, empower them to appreciate their
environment, and take informed decisions for personal and societal benefits. It facilitates cultural transmission,
adaptability, institutional building, reduces uncertainty and ensures better material conditions (Utomi, 2015). The core
mission is to educate, train, undertake research and in particular, contribute to the sustainable development and
improvement of society (UNESCO,1998). It is also ‘essential for the attainment of the necessary level of economic and
social development, social mobility, increased living standards and harmony (Asia & Pacific Regional Conference [APRC],
1997). The Nigerian National Policy on Education (2004) outlines the objectives of education as the acquisition of
appropriate skills, multidimensional abilities and competencies for self reliance and societal development.
For tertiary education in particular, it includes development of proper values and intellectual capability. Phillips Consulting
(2014) sees the purpose of tertiary education as preparation for the job market and sustainable employment by enhancing
technical and supportive skills for the field of work. APRC(1997) on the other hand, sees the essence of higher education
as producing responsible citizens and expertise for the world of work.. Fasuyi (2015) however takes a different
perspective; he believes that education serves as a means to an end by providing its recipients with a window to see
opportunities. Whatever the policy of the government, those who establish universities as well as their direct ‘customers’
(parents, students), employers and society at large want positive outcomes(Falola, 2015). However, the relevance of
higher education should be assessed in terms of the fit between what society expects of institutions and what they do
(UNESCO,1998) and its ability to fulfill its societal objectives of full employment level, increased productivity and income,
and economic growth.( Longe, 1999).
Unfortunately, there are persistent and strident complaints that the products of Nigerian universities are unemployable and
indeed, half-baked (Kayode, 2009; Adeyemo, Ogunleye, Oke & Adenle, 2010); full of too much theory and little practical
content (Pitan & Adedeji, 2012); of dubious quality, even though we are having more education(Programme on the Global
Demography of Aging, 2010)and deficient in knowledge, skills and attitude (Okebukola, 2015) to the extent that even the
National Universities Commission, doubts the ability of our graduates to meet employers requirements (NUC,2004 cited in
Adedipe, 2010).
The objective of this paper is to review relevant literature on the issue matter of skills mismatch, identify the gaps and set
the stage for further research into the subject matter. It is divided into five parts. This introduction (Part 1) is followed by
the nature, scope and causes of skill-mismatch( part Two). Part 3 focuses on the consequences, part 4 concentrates of
gaps and recommendations while part 5 is the conclusion
2) Nature scope and causes of Skills Mismatch
Skills mismatch refers to gaps between the skills possessed by graduates and those required by employers (Proctor and
Dutta, 1995) while employability is the possession of knowledge, aptitudes, skills and other attributes required by
employers( British Council, 2014). Thus, higher skills gap leads to lower employability. The reality of this skill-mismatch is
both global and disturbing. The appropriate skills for employment as required by employers have been discussed by
several authorities. Kayode, (2009) groups them into five; Ogwo (2010) groups them into six, Business Foundation for
Education (2010), identifies twenty of them; Dubey, Khatic and Thakur identify twelve, South African Graduates Recruiters
Association (SAGRA) (2013) lists seventeen ,Indian Skills Report(2016) highlights 4 of them, while PSSP(2014) identify
twenty four of them, grouped into 3. These skills and traits revolve around professional, organizational and interpersonal
capabilities and include basic, professional & technical, emotional intelligence, critical thinking, self-management,
leadership, collaborative, motivation, global and commercial, amongst others.( See figure 1)
Figure One: skills required for the world of work
Author
Skills and Traits Listed
1
Dabalen et al,
2000
Communication in the mother tongue & foreign languages; Mathematical competence and basic
competences in science and technology; Digital competence; Learning to learn; Social and civic
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competences; Sense of initiative and entrepreneurship; Cultural awareness and expression
2
Handel, 2005
Advanced cognitive/intellectual skills, “Problem-solving” skills, Technology competencies,
Interpersonal (“soft”) skills, Attitudes and work ethic, effort, diligence, commitment, sense of
responsibility,
respect for authority
3
Houston, 2007
Creative problem solving, complex communication skills, adaptability. Self-management and
development, systems thinking
4
Detoun, 2010
Basic, technical, professional, managerial/leadership, emotional intelligence, community,
entrepreneurial, vocational ,problem solving and decision-making.
5
Farooq, 2011
Communication and business specific skills( verbal communication, customer service,
entrepreneurial skills, etc); core employability skills( team and hard work, self discipline, self
motivation, etc.) professional skills( decision making, honesty, persistence, efficiency, etc.). 24
items on the whole
6
Allen, 2011
Positive attitude, good personal presentation, honesty and integrity, teamwork and flexibility,
customer focus, communication, numeracy and IT skills
7
Skills You
Need, 2013
Interpersonal, communication and critical thinking, self management, presentation, leadership,
personal development, numeracy and It skills,
8
SAGRA, 2013
Willingness to learn, teamwork, problem solving, interpersonal skills, IT literacy and business
acumen, networking, leadership, self-awareness and promotion, proactivity, commitment etc.
9
Phillips
Consulting,
2014
Computer skills, subject knowledge, teamwork and interpersonal skills, verbal communication,
critical thinking and analytical skills
10
Indian Skills
Report, 2016
Domain knowledge, communication & computer skills and numeral and logical ability
Author, 2016
Ogwo, (2010) found that employers deem the employees deficient in conceptual and creative thinking(48%), self-
awareness(44%), time management(40%) global and commercial awareness(36%) and emotional intelligence(34%).
Another study finds that less than 25% of all employers indicated that they were “Very satisfied” with any skill while
dissatisfaction levels appeared to be highest in planning and organisational skills (30%), critical and analytical thinking
(28%) and business awareness and entrepreneurial skills (25%).(Phillip Consulting, 2014). According to Sodipo (2010),
employers believe that the employees do not possess necessary skills for their jobs (33.3%), coupled with poor level of
competency (50%), lack of resourcefulness and poor knowledge of English(40%). It is also instructive that while employers
consider skills more important than qualifications (Pakistan Strategy Support Programme {PSSP}, 2014) and believe that
soft skills are more relevant than professional skills(Bloom & Saeki, 2011),applicants believe that qualifications are more
important than skills(Phillips Consulting, 2014).
Unfortunately, this trend did not start today and, it is rather, worsening( Deblan, Oni & Adekola, 2000). This has been
linked to the challenging mismatch between university outputs and industry requirements (Akinyemi, Ofem & Ikuenomore,
2012) and inculcating knowledge without deployable skills (Fajana, 2015). For instance, while students consider
qualification more important than skills, employers consider skills more important than qualifications (Phillips Consulting,
2014;Mizra, Jeffri & Hashmi, 2014). This trend is not limited to Nigeria as it is the same in Sirilanka (Herath &
Ranasinghe, 2011), India (Bloom & Saeki, 2011), where up to 50% of graduates are deemed not skilled (Mishara, 2014),
Pakistan( Farooq, 2011),all over Africa( British Council, 2014), the USA ( Handel, 2005) and indeed, all over the
globe(Mckinsey, 2013; ILO, 2013). However, Bulgaria appears to be an exception (Business Foundation for Education,
2010). The report that the 2009 best graduating student in University of Ilorin, Okpoto, R.I, remained jobless as at
September, 2015(George, 2015), exposed the severity of this predicament.
3) Consequences of Skills Mismatch
This mismatch has led to burgeoning graduate unemployment and the following developments: difficulty in filling available
jobs; an alarming tendency to ‘import’ expertise, even at entry levels, since those who schooled abroad are preferred while
graduates of Nigerian universities are frustrated, among others. Furthermore, the nexus between education and careers is
breaking down irretrievably (Bersin, 2012; World Economic Forum, 2014) as the former no longer guarantees the later and
this is not necessarily because there are no jobs; it is because of the skill crises. It appears that rather than producing
graduates who are thinking and doing new things(Fisher, 2002) universities are creating a generation of pen-pushers,
without the skills and expertise necessary for meaningful contribution to the world of work(Ogunyemi, 1998),concentrating
mainly on passing exams and not on practical skills (Okebukola, 2015), and using outdated curriculum (Bamiro, 2010). It
may well be that universities have concentrated on knowledge, without any regard to attitude, skills and other attributes
which make up the KASO framework. Farooq (2011) concludes that either educational institutions are producing
graduates irrelevant to market demand, or they develop inadequate skills among students compared to market
requirements.

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This unfortunate trend of skill-less qualifications adversely affects the youth, who constitute the future of every society, and
an overwhelming majority of the Nigerian population. Nigeria has the highest population in Africa and among the highest in
the world. Youths are disappointed and frustrated because they have not realized their objectives for seeking education
which are proper perspective of the world, complete personality, building careers, and economic significance (Bersin,
2012). They are also not availed of the advantages of skills which include employability, social mobility, personal
development and active citizenship (European Commission, 2009). The frustration resulting from inability to obtain decent
jobs and the concomitant respect leads to economic distress, anger and violence. The youth also lose hope in the future
as only 50% believe that higher education provides employment opportunities (Mckinsey,2013). Furthermore, this trend
worsens the specter of youth unemployment and general poverty, which stands around 70% in Nigeria, depending on who
is measuring and the benchmark used. But while this is going on, competition for the very best candidates is still very high
in the job market (SAGRA,2013)
The youths worldwide, are three times more likely than their parents to be out of job while in Greece, South Africa and
Spain more than 50% of the youth are unemployed (McKinsey, 2013). The population of youths in Nigeria (ages 15-35) is
64m and 54% of them are unemployed (National Bureau of Statistics, 2012). As at the first quarter of 2015, the tally is
44.3% unemployed/underemployed between the ages of 15-24, and 25.9% between 25-34 (NBS, 2015) while as at Q2,
2016, the tally is 49.5%( NBS, 2016). The PGDA (2010) estimates that 30% of graduates are unemployed and that those
lucky to find jobs are underemployed. The ILO (2015) reports that out of the 201m unemployed in 2014, 74m of them are
youths, that heightened youth unemployment despite higher educational attainment is a global affair, and that this fuels
social discontent. It has earlier identified lack of relevant skills as the key factor in this worrisome trend (ILO, 2012).
Furthermore youth in the NEET band (Neither Employment nor in Education or Training) continues to rise (ILO, 2014).
This scenario is harmful to the socio-economic agenda of the government and makes the quest for mutual respect, social
mobility and harmony very difficult to attain (APRC,1997). Insufficient supply of quality skills is antithetical to economic
growth as it adversely affects overall GDP growth, productivity and the employability of fresh graduates (Kemal, 2005).
The skill and employability crises and the resulting youth unemployment also constitute cogs on the path the SDGs
(Sustainable development goals) as it adversely affects six out of the first ten: poverty(#1) hunger(#2), good health and
wellbeing(#3), quality, inclusive education(#4), decent work(#8) and reduced inequality(#10) (UN, 2015). The profitability
and competitiveness of firms are adversely affected due to higher recruitment costs, costly remedial training programmes
and poor quality of employees. The low employability and poor productivity of those at work also reflects a low social
return on investment (Deblan,Oni & Adekola, 2000), and makes it difficult for education to fulfill its societal objectives. This
trend has the potential of denying Nigeria the anticipated demography dividends as the country is and will continue to be
one of the few countries with young workers across the globe, which ought to be a source of competitive superiority(
PGDA, 2010).
The skill crises will likely worsen because of the rapid changes in the world of work- technology, service orientation, work
place democracy, multitasking, internationalization and globalization, and organizational dynamics (European
Commission, 2009). Thus, there is serious need for skill upgrade while we are not yet able to satisfy current needs!
It is imperative to note that the skills-debate is not a one-sided argument. There is a school of thought which holds that it
contains several incongruities. For instance, some of the issues being raised pertain to personality and attitudinal issues
(interpersonal and teamwork, sense of responsibility). It has also not been clarified whether the problem is absolute
reduction in skills available, accelerating demand for skills or slowing supply of skills. These may also be due to the age
range of those entering the world of work and that means it is a state they will outgrow( Handel, 2005). But these
reservations notwithstanding, the skill-crises is real and requires all attention, especially in our own environment.
4) Gaps and recommendation for further research
Studies on skill gap, mismatch and employability crises abound across the globe but the focus and scope vary widely.
PSSP(2014) covers a wide range of students, focusing on a specific industrial cluster in India; Bloom and Seike (2011);
engineering students in India; McKinsey( 2013); global focus, and Rufai et al(2013); vocational and technical education in
Nigeria. Herrath & Ranasinghe studied business students only; Sodipo (2010) studied the civil service while Ogwo(2010)
dwelt on general and physical sciences. Adeyemo et al (2010) studied science students. Okebukola et al(2004) focused
on the whole disciplines in our university system.
Figure 2:Scope & Focus of some previous studies
SN
Study
Scope/Focus
1
PSSP, 2014
Students from diverse disciplines, some industrial clusters in India
2
Bloom & Saeki, 2011
Engineering students, India
3
Mckinsey(2013)
Global
4
Rufai et al, 2013
Vocational and technical education, Nigeria
5
Herrath & Ranasinghe, 2011
Business students only
6
Sodipo2010)
Civil service, Nigeria
7
Ogwo(2010)
Physical and general sciences, Nigeria

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8
Adeyemo et al(2010)
Science students, Nigeria
9
NUC, 2004)
All disciplines, Nigeria
10
Phillips Consulting, 2014)
Diverse employees and disciplines, Nigeria
Source: Author, 2016
Beyond the research opportunities opened by the scope and focus of extant studies, their findings also make interesting
revelations. Phillips Consulting (2014) for instance found that state universities were least favoured by employers while
McKinsey (2015) found a great mismatch between the perception of professors and employers about the employability of
students. It is also noted that none of the studies so far reviewed examined the gender dimension of the problem.
To fill these gaps, this paper recommends a further study that focuses on Social and Management Sciences, the favourite
of Nigerian youths. 50% of Nigerian students are in social and management sciences (23% -1,951,447- management
sciences and 27% (2,282,083), social sciences (NBS, 2012). The study should further focus on the state university
subsector which is least favoured by employers, include lecturers where a discrepancy exits between their perception of
quality and that of employers and also examine the gender element to the problem. In effect, it recommends a tripartite
approach that focuses on students, lecturers and employers; comparing students perception of their skill-set with that
employers requirement, examine employers assessment of skills required for performance and the extent to which fresh
graduates meet those requirements, and examine lecturers ranking of requisite skills for performance in the world of work
vis a vis employers expectations..
5:Conclusion
Skill mismatch has become a scourge to educators, employers and the society. It has led to worsening employability
which poses micro and macro challenges to graduates, youth and the society. A lot of studies has be conducted in this
regard but more still needs to be done. It is believed that a tripartite approach that focuses on Social and Management
Sciences will expand the scope of knowledge in this area and proffer practical solutions to this social challenge.
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DOI : 10.24297/jah.v4i5.4601