Underdevelopment Of The Ghanaian Labour Market In A Thriving Economy:Informal Sector And Low Returns To Labour

Economic growth alone does not necessarily lead to more and better jobs,especially for the poor,the vulnerable,and those at risk of being left behind.Economic growth is a prerequisite for increasing productive employment.This is the result of a combination of increased employment and increased labor productivity.The impact of economic growth on the creation of productive employment depends not only on the rate of growth,but also on the efficiency with which growth is converted into productive employment.The latter depends on many factors such as the industry structure of growth and the capital / labor intensity of growth within each sector.As a rule,you need to increase both the number and productivity of employment and the income from employment.However,the concern was that this strong growth performance failed to create productive and decent employment and improve income and livelihoods.The structure of the economy remains very informal,and the country’s production mix is ??shifting from agriculture to informal low-value service activities.The start of commercial oil production has increased the share of the industrial sector of domestic production.However,the continued decline in value added in the manufacturing industry has undermined Ghana’s economic transformation efforts to promote high and stable incomes and improve people’s lives.This paper examines the structure of Ghana’s labor market,paying particular attention to the informal sector,by assessing how economic growth meets the needs for more employment and higher income.I’m trying to investigate.The extent to which economic growth is closely linked to and driven by productive transformation is crucial to the medium-to long-term sustainability of economic development.The shift to higher value-added jobs within the services sector appears to be limited,but weak employment remains prevalent,especially in the services sector,due to the increasing proportion of the workforce.In addition,this is related to the prevailing informal economy and shows that the quality of many jobs created is low,as evidenced by the expansion of employment in the poor quality services sector.This is to support more innovative activities and creation of jobs in the sector,coupled with the lack of job creation in the industry,to improve working conditions and to adopt measures to promote the formalization of the informal economy.This study used qualitative techniques including interviews and focus group discussion in gathering data.Primary data conducted by the Ghana Statistical Services,surveys(Ghana2021 Population and Housing Census conducted in December 2021),and Ghana’s informal and informal sector workers are also used.Secondary data including surveys by organized labour and development economists are used as supplementary data sources in this study.