JOB MARKET REPORT - brightermonday.co.ke job advertising platforms are not considered a key source...

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JOB MARKET REPORT Exclusive insights into employment in Kenya

Transcript of JOB MARKET REPORT - brightermonday.co.ke job advertising platforms are not considered a key source...

JOB MARKET REPORTExclusive insights into employment in Kenya

The job seekers fall into three broad categories; 53% are unemployed, 41% are employed whilst 6% are self-employed. Looking

at the total sample, majority (84%) are actively looking for a job whilst 15% are passively looking for a job.

6%SELF-EMPLOYED

41% EMPLOYED

53%UNEMPLOYED

EMPLOYMENT STATUS

TOTAL

84%

15%

1%

EMPLOYED UNEMPLOYED SELF-EMPLOYED

73%

25%

1%

94%

6%0%

75%

24%

1%

ACTIVELY LOOKING FOR A JOB

PASSIVELY LOOKING FOR A JOB

NOT SEARCHING AND HAPPY WITH CURRENT JOB

CURRENT JOB STATUS

Demographic Profile

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Trends & Insights For Africa | BrighterMonday Job Market Report | October 2017

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EMPLOYMENT STATUS EDUCATION LEVEL

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TOTAL EMPLOYED UNEMPLOYED SELF-EMPLOYED

18-24 25-29 45+30-34 35-39 40-44

22%

35% 37%

20%

12%

5%6% 10%

33% 33%

25%

17% 16% 15% 15%7% 7% 7%

4%4%9%

29%25%

6%

AGE

Over two third of the total sample (77%) fall in the ages of 18 to 34 years. There is a higher proportion of those aged 18 -24 years

who are unemployed as compared to those who fall in the category of employed and self-employed.

Demographic Profile

TOTAL EMPLOYED UNEMPLOYED SELF-EMPLOYED

UNIVERSITY COLLEGE PRIMARYPOSTGRADUATE SECONDARY N/A

54% 57%

35% 35%

51%

34%

8% 12%

2% 2%0% 0%2%

5%0%

4%12%

38%46%

0%

In addition, 89% of the total sample have tertiary education an indication that the job seekers are most likely in

search for white collar jobs.

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ONLINE JOB PLATFORM USED

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ONLINE

WORD OF MOUTH

ONLINE JOB SITES

LINKEDIN

SOCIAL MEDIA(FACEBOOK,TWITTER

NEWSPAPERS

RECRUITMENTAGENCIES

RADIO CLASSIFIEDS

65% 60%

23%

17%

14%

12%

9%

1%

JOB SEARCH PLATFORMS USED

Most of the job seekers use online platforms to search for employment with 65% mentions. The study also shows that

traditional job advertising platforms are not considered a key source of information on jobs as newspapers are used by 12%

of jobseekers whilst recruitment agencies are at 9% mentions. Although, there are a number of online platforms where job

opportunities are sourced, the findings of this study show that Online Job Sites are the most popular with 60% mentions

followed by LinkedIn at 23% mentions.

Jobs Sites Remain More Popular Than LinkedIn or Social Media Job Ads in Kenya

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Trends & Insights For Africa | BrighterMonday Job Market Report | October 2017

At the top the list of the items that matter to most job seekers include renumeration and benefits, followed by career

progression, conducive work environment and then job security. These four factors matter more for your employees’

happiness (and subsequently your employee retention), than any others.

Essential Considerations for Job Hunting

0%

10%

20%

30%

40%

50%

60%

70% 70%80%

85% 84%81%

74% 73% 73% 71%

49%54%

37% 35%36%

27%

17%

7% 7%

30%

48%56%

53% 52%

62% 62%

42% 41%46%

63%66%

62%

90%

RENUMERATION & BENEFITS

CAREER PROGRESSION

CONDUCIVE WORK ENVIRONMENT

JOB SECURITY CHALLENGING TASKS

FLEXIBLE WORK HOURS

REPUTATION OF POTENTIAL EMPLOYER

WORK/LIFE BALANCE

ORGANIZATION’S MANAGEMENT

YEARS OF ORGANISATION’SEXISTENCE

EMPLOYED UNEMPLOYED SELF-EMPLOYED

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Trends & Insights For Africa | BrighterMonday Job Market Report | October 2017

The top three things that job seekers are doing to improve chances of getting a job include; networking, increasing number of

applications and making CVs stand out.

Strategies To Boost Chances of Getting A Job

0%

10%

20%

30%

40%

50%

60%

70%

90%

80%86%

70%

52%

66%61%

57% 52%

33%

52%47%

35%

8%12%

8%

34%

24%21%

43%47% 43%

16%

50%

34% 33% 32%40%40%

57%

71%

90%

100%

NETWORKING INCREASING APPLICATIONS

MAKING CV STANDOUT

ADVANCING EDUCATION

MULTI SKILLING TALKING TO FRIENDS & OTHERS

PRAYING AND FASTING

VOLUNTEERING RANDOM VISIT TO COMPANIES

INTERNSHIP

EMPLOYED UNEMPLOYED SELF-EMPLOYED

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EMPLOYED JOB SEEKERS

JOB MARKET REPORT

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The employed job seeker is likely to have tertiary education, majority are married and aged 25 to 34 years

Demographic Profile

49%FEMALE

51%MALE

GENDER MARITAL STATUS

53%

43%

2%

2%

MARRIED

SINGLE

NO RESPONSE

SEPARATED/DIVORCED

EDUCATION

51%

34%

12%

2%

UNIVERSITY

COLLEGE

POSTGRADUATE

SECONDARY

AGE

10%

33%

25%

17%

7%

8%

18-24

25-29

30-34

35-39

40-44

45+

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An engaged employee is one who is fully absorbed by and enthusiastic about their work and so takes positive action to fur-

ther the organization's reputation and interests.

The survey sought to find out to the level of job engagement for the employed job seeker and the findings show that the over-

all engagement score is 27% . The measure of this is provided in three indicators of Say, Strive and Stay, all of which have low

scores.

Low Employee Engagement Levels

Employees speak positively about the organization

Employees motivated to do the best for the organization

Employees committed to stay in the organization

41%

35%

5%

COMPONENT INDICATOR SCORE

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An overwhelming majority (80%) of the employed job seekers intend to leave their job within the next one year. A minority i.e

5% are not considering to leave their jobs.

The study shows that most are leaving for professional reasons (better pay, career progress, job security, work environment) or

personal reasons (to start own business). A small proportion are having conflicts at the workplace.

Employee Intentions to Leave Current Job

80%

18%

2%

WILL LEAVE MY JOB IN THE NEXT 12 MONTHS

WILL LEAVE MY JOB IN THE NEXT 2 TO 5 YEARS

NOT CONSIDERINGTO LEAVE

STATEMENTS THAT DESCRIBE PLANS TO STAY OR LEAVE CURRENT JOB

MOTIVATING REASONS TO LEAVE YOUR JOB

76%

54%

35%

22%

20%

18%

14%

5%

IN SEARCH OF BETTER PAY

LACK OF CAREER PROGRESSION

LACK OF JOB SECURITY

BOREDOM

QUALITY OF WORK ENVIROMENT

WORK/LIFE BALANCE

START OWN BUSINESS

CONFLICT AT WORK

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Only 5% of the sample intend to stay at their current job. The top two reasons for this is that they had salary review recently or

got a promotion whilst others indicate their benefits improved.

Employee Motivations to Remain at Current Job

80%

18%

5%

WILL LEAVE MY JOB IN THE NEXT 12 MONTHS

WILL LEAVE MY JOB IN THE NEXT 2 TO 5 YEARS

NOT CONSIDERINGTO LEAVE

STATEMENTS THAT DESCRIBE PLANS TO STAY OR LEAVE CURRENT JOB

MOTIVATING REASONS TO STAY AT YOUR CURRENT JOB

69%

64%

59%

49%

INCREASE SALARY

CAREER PROGRESSION/PROMOTION

IMPROVED BENEFITS

JOB SECURITY

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In terms of their remuneration, over half of the job seekers earn an average of KES 52,911 per month. Less than a third of the

respondents earn over KES 100,000 per month.

In terms of savings culture, the more one earns, the higher the proportion of savings. Those earning less than KES 50,000 are

more likely to save less that 5% of their salaries whilst majority those earning between 50,001 -100,000 over KES 100,000 save

between 6-10% and 11-30% respectively.

Income Levels Linked to Savings

24%

55%

21%

BETWEEN KES50,000-100,000

BETWEEN KES1-50,000

OVER KES 100,000

CURRENT GROSS MONTHLY SALARY

AVERAGE SALARYKES 52,911 P.M

LESS THAN50,000

BETWEEN50,001-100,000

100,000+0%

10%20%30%40%50%60%70%80%90%

100%

MONTHLY INCOME BRACKETS

LESS THAN 5% BETWEEN 6 TO 10%

35%

13% 10%

28%

54%

9%

43%

37%

7%

25%

18%

22%

BETWEEN 11 TO 30% NO SAVINGS

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Less than 50% of the respondents have received a pay rise in the last one year. Salary reviews are used by employers to enable

employees adjust to the cost of living and which in Kenya are usually linked to inflation. Although the 12-month average

inflation in the country currently stands at 8.04%, the salary increase for a majority of those employed is below 5%. Less

than a third of the respondents received a pay rise between 6-10%

SALARY INCREASED SALARY REMAINED THE SAME

SALARY REDUCED

100,000+ BETWEEN50,001-100,000

LESS THAN50,000

Below 5% for approx 70 % of sample

6-10% for approx 25% of sample

AVERAGE INCREASE

29%

65%

6% 5% 3%

54%51%

41% 46%

Annual Salary Adjustments12

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Trends & Insights For Africa | BrighterMonday Job Market Report | October 2017

Offering benefits to employees is important because it demonstrates that the employer has invested in their overall welfare. In

addition, a solid employee benefits package can help to attract and retain talent.

The findings of this study show that the array of benefits offered to staff increases by rank. Majority of the interns are not

offered any benefits - few are offered a mobile phone allowance, free lunch and access to medical care. The benefits offered

to majority of the staff at the entry level and team member include private medical care and pension

NONE NONE

NONE

MOBILE PHONE AIRTIME

MOBILE PHONE AIRTIME

MOBILE PHONE AIRTIME

FREE LUNCH

FREE LUNCH

FREE LUNCH

FLEXIBLE HOURS

FLEXIBLE HOURS

PRIVATE MEDICAL CARE

PRIVATE MEDICAL CARE

PRIVATE MEDICAL CARE

PENSION

PENSION

LAPTOP

COMMUTER ALLOWANCE

COMMUTER ALLOWANCE18%

9%

18%

18%

18%

64% 39% 38%

32%

28%

18%

16%

13%

31%

22%

14%

14%

10%

8%

INTERN ENTRY LEVEL TEAM MEMBER

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Non-Management Staff Benefits And Perks

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The most common benefits offered to middle and lower management staff include pension, private medical care and mobile

phone airtime. For senior management and CEOs, the key benefits are similar to those of other management staff.

Management Staff Benefits and Perks

PENSION

PRIVATE MEDICAL CARE

MOBILE PHONE AIRTIME

NONE

FREE LUNCH

LAPTOP

FLEXIBLE HOURS

COMMUTER ALLOWANCE

MILEAGE/FUEL ALLOWANCE

CAR LOANS

EDUCATION ALLOWANCE

GYM MEMBERSHIP

HOUSING ALLOWANCE

ENTERTAINMENT ALLOWANCE

BONUS

18%18%

15%9%9%

7%7%

6%3%3%

2%2%

1%0%0%

PENSION

PRIVATE MEDICAL CARE

MOBILE PHONE AIRTIME

NONE

FREE LUNCH

LAPTOP

FLEXIBLE HOURS

COMMUTER ALLOWANCE

MILEAGE/FUEL ALLOWANCE

CAR LOANS

EDUCATION ALLOWANCE

GYM MEMBERSHIP

HOUSING ALLOWANCE

BONUS

ENTERTAINMENT ALLOWANCE

20%14%

11%11%

10%8%

7%3%3%3%3%3%

2%1%1%

BENEFITS IN YOUR CURRENT ROLE

MIDDLE AND LOWER MANAGEMENT CEO AND SENIOR MANAGEMENT STAFF

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UNEMPLOYED JOB SEEKER

JOB MARKET REPORT

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The unemployed job seeker is likely to have tertiary education, majority being women and aged 18 to 29 years

Demographic Profile

GENDER EDUCATION AGE

53%

47%

FEMALE

MALE

UNIVERSITY 18-24 25-29 30-34 35-39 40-44 45+COLLEGE POSTGRADUATE

SECONDARY NO RESPOSE

57%33%

37%

16%

7%4% 4%

35%

5%2% 1%

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Trends & Insights For Africa | BrighterMonday Job Market Report | October 2017

About half of of those who are unemployed have been jobless for at least one year. This unemployed group feels that their lack

of experience, the over-supply of graduates coupled with few job opportunities is affecting their employment prospects.

Unemployment is also compounded by some companies laying off staff.

Unemployment Duration and Factors

UNEMPLOYED DURATION REASONS FOR UNEMPLOYMENT

30%

53%

1 TO 2 YEARS

14%2 TO 5 YEARS

3%OVER 5 YEARS

LESS THAN 1 YEAR

58%

53%

50%

28%

26%

24%

12%

5%

NUMBER OF YEARS OF EXPERIENCE REQUIRED

HIGH NUMBER OF GRADUATES

FEW JOB OPPORTUNITIES

CLOSURE OF COMPANIES/RETRENCHMENT

TRIBALISM/NEPOTISM

MISMATCH IN SKILLS

DECLINING JOB OPPORTUNITIES

REPLACEMENT OF HUMAN LABOUR BY AUTOMATION

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Trends & Insights For Africa | BrighterMonday Job Market Report | October 2017

Online survey was conducted with a total 1,078 job seekers between 12th and 18th September 2017.

Methodology

THE JOB SEEKERS FALL INTO 3 CATEGORIES: Employed but searching (n=441)

Unemployed but searching (n=569)

Self-employed but searching (n=68)

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OUR CONTACTSJOB MARKET REPORT

FOR ANY QUERIES OR COMMENTS ON THIS REPORT, PLEASE CONTACT;

EMMANUEL MUTUMAChief Executive OfficerBrighterMondayemmanuel@brightermonday.co.kewww.brightermonday.co.ke

MAGGIE IRERI DirectorTIFA Research [email protected]