Employability is based on a set of individual characteristics. It is not equivalent to employment, but rather a prerequisite for (gainful) employment. It pertains to someone’s relative ability to obtain and maintain gainful employment, as well as make successful transitions from one job to the next, either within the same company or field or to a new one as the individual choices, circumstances or economic conditions may dictate. Employability will vary with economic conditions, although there are some exceptions in professions “insulated” from economic fluctuations, such as healthcare, education, defense, etc.
Definition of Employability
An amalgamated definition of employability views it from a narrow and a broad perspective. Narrowly defined, employability is a product consisting of a specific set of skills such as soft, hard, technical, transferable etc. The broad perspective includes the narrow definition and enhances it further by viewing employability as a life-long, continuous process of constantly acquiring experience, new knowledge (purposeful learning) and skills that contribute to improving one’s marketability and subsequently ability to obtain and maintain gainful employment in the various labor markets. Further, employability can be defined both as a product – a set of skills – that “enables” and as a process that “empowers” an individual to acquire and improve marketable skills that can lead to gainful employment.
Employability and Its Impact on the Labor Force
Employability applies to almost everyone who is part of the labor force, as the ability to obtain, maintain and switch employment over time is imperative to anyone’s survival as well as success in life, thus one has to be able to possess a set of skills that are either prerequisites or requisites in the labor market.
Employability and the Economy
Each factor of production is used differently, and labor or human capital can be used either in the process of manufacturing a product or providing a service within an economy…
From a macroeconomic perspective, a lack of or a lower employability contributes to frictional unemployment, to structural unemployment and affects the productivity of the labor force, which subsequently impacts a country’s standard of living measured by the GDP per capita and its potential for economic growth measured by the aggregate demand and the GDP. The component that has the largest impact on GDP and economic growth is consumer spending, because if consumers are not spending on purchases of goods and services, businesses do not invest in capital and labor or try to expand to meet the consumer demand. This translates into an economic slowdown and increasing unemployment, conditions that set the stage for the creation or deterioration of an economic recession…
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Universities / Employability / Professional experience and interpersonal skills are the biggest areas of improvement for graduates
The Global Employability Survey is an online survey conducted amongst recruiters in 20 countries worldwide with the objective of determining what makes the ideal graduate on a longer term. The survey focuses on the following subjects: What qualities should the ideal graduate have? What qualities make a graduate more employable in the long run? Which … Continue reading »
“Many employers still feel that graduates are missing key skills when they leave university. We take a look at some of the ways MathWorks is collaborating with universities to bridge the skills gap between education and industry.” writes Keri Allan in Bridging the skills gap on eandt.theiet.org. “Mathworks works closely with both universities and industry as its computational tools, which include MATLAB and Simulink, are … Continue reading »
Employability has become a familiar and commonplace term, used by employers and the media in the post economic-crisis job market. But what does “employability” actually mean and what is its relevance for school leavers? Employability refers to a person’s ability to secure a job, to remain employed, and to progress and perform well in their … Continue reading »
The Centre for Employment Studies Research – CESR’s Review present in its January issue (downloadable), Nick Wilton which deciphers for his reader the different meaning of employability. “The term ‘employability’ has gradually permeated the national consciousness, increasingly used across a variety of policy areas including higher education, social welfare and public finance. However, despite its … Continue reading »
Some 14 million young people are not in employment, education or training across the EU as a whole. However rates vary widely from from around 5.5% of 15-24 year olds in the Netherlands to 22.7% in Italy. The economic cost of not integrating NEETs is estimated at over €150 billion, or 1.2% of GDP, in … Continue reading »
There are two major factors we need to address to close this gap and bring students and young professionals closer together with employers. The first factor is empowering students to make informed decisions about their degree and courses they take. It takes 120 credits to graduate with a Bachelor’s Degree, yet the national average is … Continue reading »