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The effects of innovation on the quantity and quality of jobs: evidence from sub-Saharan Africa

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  • Priscilla Twumasi Baffour
  • Peter Quartey
  • Emmanuel Adu-Danso

Abstract

Technological innovation is widely considered a primary source of economic growth and policies to encourage firm-level innovation remain key, even though its impact on employment remains indeterminate. Using the World Bank Enterprise survey on a sample of enterprises across sub-Saharan Africa, specifically Ghana, Kenya and Zambia, this study investigates: first, the effect of innovation on employment; second, the relationship between innovation and quality of employment and lastly, whether the type of innovation is important in isolating the effect of innovation on employment in sub-Saharan Africa. The results indicate that innovation has employment-enhancing effects in the subregion. In addition, novelty in product innovation is a more important source of employment for the firms in sub-Saharan Africa. In terms of innovation and the quality of employment, this study finds that process innovation is associated with a change in the labour composition mix in favour of unskilled workers.

Suggested Citation

  • Priscilla Twumasi Baffour & Peter Quartey & Emmanuel Adu-Danso, 2024. "The effects of innovation on the quantity and quality of jobs: evidence from sub-Saharan Africa," Innovation and Development, Taylor & Francis Journals, vol. 14(1), pages 165-187, January.
    • Handle: RePEc:taf:riadxx:v:14:y:2024:i:1:p:165-187
    DOI: 10.1080/2157930X.2022.2116784
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