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The Seychelles Labor Market

Author

Listed:
  • Haroon Bhorat
  • Arabo Ewinyu
  • Derek Yu

    (University of Cape Town
    Director)

Abstract

This report, produced as a background paper to the World Bank Systematic Country Diagnostic (SCD), provides an detailed overview of the Seychelles labor market, highlighting the relationship between changes to the overall structure of the economy and employment levels. We provide an overview of the economy and the labor market respectively, based on the 2011 and 2014 labor force survey (LFS) data. We then discuss employment across major themes, such as changes to employment levels by sector and skills type; migrant labor; and employment in the informal sector. We also discuss unemployment and wage levels using econometric evidence to investigate premiums earned according to age, education, skill, tenure or gender. Our analysis suggests that future economic growth in the Seychelles is dependent on increasing overall labor absorption levels in a manner which ensures that high quality employment opportunities grow at a sufficient pace to absorb the rising number of labor force participants. At the centre of this challenge must be the growing issue of youth unemployment, that if not suitably addressed, could thwart the future economic development trajectory of this island economy.

Suggested Citation

  • Haroon Bhorat & Arabo Ewinyu & Derek Yu, 2017. "The Seychelles Labor Market," Working Papers 201706, University of Cape Town, Development Policy Research Unit.
    • Handle: RePEc:ctw:wpaper:201706
    as

    Download full text from publisher

    File URL: https://commerce.uct.ac.za/sites/default/files/content_migration/commerce_uct_ac_za/1093/files/DPRU%2520WP201706.pdf
    File Function: First version, 2017
    Download Restriction: no
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    References listed on IDEAS

    as
    1. Bhorat, Haroon & Hirsch, Alan & Kanbur, Ravi & Ncube, Mthuli (ed.), 2014. "The Oxford Companion to the Economics of South Africa," OUP Catalogue, Oxford University Press, number 9780199689248.
    2. Murray Leibbrandt & Haroon Bhorat, 1999. "Modelling Vulnerability and Low Earnings in the South African Labour Market," Working Papers 99032, University of Cape Town, Development Policy Research Unit.
    3. World Bank, 2011. "Seychelles - Selected Issues : Social Protection, Labor Market and Public Enterprise Reforms - Public Expenditure Review 2," World Bank Publications - Reports 2740, The World Bank Group.
    4. Aryeetey, Ernest & Devarajan, Shantayanan & Kanbur, Ravi & Kasekende, Louis (ed.), 2014. "The Oxford Companion to the Economics of Africa," OUP Catalogue, Oxford University Press, number 9780198705437.
    5. Fan, Shenggen & Kanbur, Ravi & Wei, Shang-Jin & Zhang, Xiaobo (ed.), 2014. "The Oxford Companion to the Economics of China," OUP Catalogue, Oxford University Press, number 9780199678204.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Seychelles; labour markets; employment; youth unemployment; structural transformation; economic development;
    All these keywords.

    JEL classification:

    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers
    • N17 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - Africa; Oceania
    • N37 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Africa; Oceania
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

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