Dar es Salaam unemployment rate hits 21.5pc

24Mar 2016
The Guardian Reporter
The Guardian
Dar es Salaam unemployment rate hits 21.5pc

DAR ES SALAAM has been described as the leading city with large number of people who are unemployed compared to other cities in the country.

Mavunde

Deputy Minister in the Prime Minister’s Office, Responsible for Labour, Youth and Employment, Anthony Mavunde revealed this yesterday during a two-day meeting aimed at discussing strategies to overcome unemployment challenge in Dar es Salaam which brought different stakeholders.

The minister stated that 21.5 percent of people in Dar es Salaam are unemployed compared to 9.9 percent in other cities.
According to Mavunde, Dar es Salaam rate indicates that the number of unemployed people is increasing due to the increasing number of university and college graduates.

“The challenge of employment in Dar es Salaam is immense compared to other cities in the country as many people are unemployed.”

He explained that 32.2 percent of women in Dar es Salaam are unemployed contrary to 11.3 percent of men and 12.5 of women in other cities.

The deputy minister elaborated that 64.6 percent of household in the Dar es Salaam are working in informal sector compared to 56.9 percent in other cities and 31.5 per cent in rural areas.

“Big number of people is engaging in informal sector and the majorities conduct their businesses in unauthorized areas who are small business vendors,” he noted.

This informal sector have subsequently denied many people opportunity in accessing government programs and services
He said the country has about 25 million manpower but only 2.8 million equivalents to 9 percent are covered with social security funds.

According to him, the data indicates that the rest are working in informal sector and yet are covered with any social security fund.

The deputy minister said all municipal governments should provide individuals with special areas to conduct their businesses.

“The challenge of unemployment is also contributed with lack of formal areas where people can settle and conduct their business peaceful,” he noted.

He said, “I order local government authorities to provide special area where youth in the country can conduct their business and productivity”.

He explained that the ministry also has youth development fund initiated to assist youth from unemployment challenge.
For her part, International Labour Organization (ILO) National Coordinator Flora Nyambo said international reports shows that youths have challenges of getting employment three times compared to senior population.

“Unemployment is a globally problem, more efforts are needed to curb this challenge affecting our youth,” she stressed.

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