CHAPTER 2 LITERATURE REVIEW 20
2.5 SKILLS
Literature reviewed reveals that there is considerable ambiguity and mismatch of understanding around the term ‘skills shortages’ (ANC, nd; Richardson, 2006).
Whilst, the term ‘skills shortage’ can be understood as when the demand for a particular worker exceeds the supply of such worker, it is a term often used as a substitute for more general skills deficiencies in the labour market, recruitment difficulties or gaps in the market requirements (Richardson, 2006).
2.5.1 Skills Deficit
We repeatedly hear that South Africa, like many developed and developing countries world- wide, is experiencing similar problems of shortages in suitably skilled multi disciplinary people. Dike (2009: 203) revealed that “every facet of the economy has been affected by the shortage of skilled technicians”. Government policy is influenced by the idea that there are two economies. One economy is modern and creates wealth, whilst the other is filled with unskilled people unable to find jobs. President Mbeki stated that many people in the second economy do not have the skills required for a modern economy (Mbeki, 2004).
Skills deficit may in one instance imply that under the current levels of remuneration and conditions of employment an employer is unable to fill or is having difficulty in filling vacancies for an occupation or a specialized skill. Whilst, it can also apply to recruitment difficulties where although there is an adequate supply of skilled workers an employer is unable to attract and recruit suitable staff. Thirdly, the term may embrace a skills gap where potential employees do not meet the occupational requirements as they lack the required qualification, experience and/or specialized skills to satisfy the requirements of the occupation (Richardson; 2006, 5).
Richardson (2006) suggests that skills deficits can be classified according to context in which they occur. One context is where there are few people who have the
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essential technical skills who are not already using them. Another context is that a skills mismatch occurs when there are few people who have the essential technical skills who are not using them and not willing to apply for vacancies under the current conditions. And another is a quality gap when there are sufficient people with the essential technical skills who are willing to apply for vacancies but lack the qualities that employers think are important (Richardson; 2006, 5).
The shortage of skills is seen as a constraint on socio- economic delivery and impacts adversely on the need to remain internationally competitive (Richardson, 2006). It can be a source of great aggravation, especially to industry. It can hamper the quality and quantity of their output as they cannot produce sufficient goods to satisfy the demands placed on them, through difficulties experienced in recruiting sufficiently skilled or specialised workers. The lack of a suitably qualified workforce is interpreted as a serious failure of the skills development system despite increases in post school training.
The skills deficit is of concern to myself and of this research as not enough emphasis is placed on the importance of skills acquisition at school level. Learners are insufficiently exposed to technological subjects and ill informed about a wide range of occupational opportunities. Schools do not provide sufficient
encouragement and motivation for learners to enter into Further and Higher Education to train in technological disciplines and attain suitable knowledge and skills toward satisfying future employer requirements.
2.5.2 Skills Levels
The ANC contextualized vocational skills into three level segments. Each level is characterised by specific characteristics.
The characteristics of high skills levels are an excellent educational background, normally with a higher educational qualification, high wages, internationally mobility
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and traditionally white dominated. This segment is the driver of innovation and is the basis of any transition from a developing country to a developed country (ANC, nd;
Kraak, 2006).
Medium skills levels are characterised with good educational backgrounds which usually include a tertiary background commanding higher wages. Other
characteristics include high literacy and numeracy skills, relatively low labour intensity, easy vertical mobilisation, low unionisation and a relative gender balance.
These levels are proportionately white dominated and internationally marketable.
Low skills levels are characterised by low literacy and numeracy skills with a modest educational background, relatively labour intensive, low wages, high unionization, male dominance mainly black and have a high risk of future unemployment.
The dynamism between high and medium skills levels has a positive effect on moving to higher levels of growth. Medium skills levels will over time grow into high skills levels through the acquisition of knowledge, experience and continuous development. Whilst the low level skills are driven by the needs of the higher skills levels, one cannot underestimate the importance low skills levels contribute toward growth and development. The state needs to make a more positive investment toward developing and nurturing low skills levels in providing its citizens with suitable education and training to sustain economic growth (ANC, n.d.).
In addition to the concern about the lack of a skilled labour force to fill jobs, is the concern in the lack of people with the skills ability to create jobs. Another serious issue is the lack of people with the appropriate skills that are also needed to transform the delivery of quality education and training.
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