Educated jobless running at 14.3%
John Gray High School Honours graduates 2014
(CNS): The recently revealed report by the Minimum Wage Advisory Committee has confirmed long-held concerns that a significant number of the unemployed in Cayman are educated individuals that are unlikely to benefit from a minimum wage. The research, based on the Labour Force Survey, said the unemployment rates of those with at least a complete high school education rose from 11.5% in 2009 to 14.3% in 2013, accounting for 67% of the unemployed, or over 1,200 people, based on government assessments of the numbers of jobless people in the labour force.
The MWAC indicated in its report that government needs to do much more analysis of the profile of unemployed Caymanians to guide policy design. The report states that these people will need active labour market programmes to help them find work since the introduction of a minimum wage will not help them find work.
The report also described the unemployment rates for those with a college or university education as “very worrisome”, creating substantial social, political and other challenges that must be addressed.
While it has been suggested that this problem is largely related to their individual or life challenges, the committee said government needs to undertake more detailed and formal assessment of the issues underlying the unemployment rates of those with a higher education to inform future evidence-based programmes to help them find work.
Examining the profile of the unemployed as the committee sought to understand the current labour market, the report reveals that young people make up almost half, or 47.1% of all unemployed and are 5.2 times more likely to be out of work than older people. The committee said school and college leavers are facing serious challenges in making the transition from school to work, and it is this problem that is pushing up the rates of the educated unemployed.
“To verify this and other assumptions about youth unemployment in the Cayman Islands, a more detailed assessment must be undertaken. Such an assessment must provide a better understanding of the underlying reasons and specific options in designing a set of measures to ease this transition,” the report states.
Around 40% of the unemployed are, according to the report, long-term unemployed, indicating structural challenges for many “getting reintegrated into the labour market after losing their job”.
Again, the committee pointed to a lack of detailed analysis of this critical segment of the unemployed, which is urgently needed in order to get them back to work. It also recommended that the analysis of this group should relate to how unemployment is “funded” in the Cayman Islands.
The data from the Labour Force Survey indicates that those who do not work are financed mainly through their immediate family and a smaller percentage through some retirement benefits.
Having examined the workforce and the unemployed closely during the course of its work to arrive at a recommended figure and minimum wage regime, the MWAC examined the entire employment marker and workforce. The committee indicated that Cayman needs to not only do much more research to understand the profile of the unemployed, it also needs to better define the groups which are currently measured inaccurately between Caymanians and non-Caymanians.
Concerns that have been raised by politicians and local activists over the reality of the current unemployment rates were also emphasized in the report, as it notes that work permit holders cannot be counted in the unemployment figures. As a result, those who are defined as non-Caymanians is giving an inaccurate picture of unemployment because that group will be made up of those with permanent residency and the right to work and spouses or dependents of Caymanians. The committee suggested that government must redefine how it categorizes the unemployed since the current split is oversimplified and distorts the reality.
Category: Jobs, Local News
But the report does not say anything about educated unemployed. Rather it worked out the unemployment rates for those that merely lasted the course in a third world state education system.
Apparently the new term for a crack problem is “life challenge”.
Question 1: How many non-Camanians were here on work permits and how many Caymanians were unemployed in 2005?
Question 2: How many non-Caymanians are here on work permits and how many Caymanians are unemployed now?
It would be interesting to compare these figures. Are they available?
This information is all public from the Economics & Statistics Office. Unemployment is lower when there are more work permits. The highest work permits over the last few years was in 2008 (26.3k permits). Unemployment at that time was 4.2%. The lowest number of permits was in 2011 (19.8k permits). Unemployment at that time was 9.8%.
…and, How much business come to our shores relative to those numbers relative to the period(s) in Q.1 & Q.2?
Yet, Corporations are making a killing (i.e. highly profitable), adding jobs to service increased business, and selectively choosing to employ work permit holders [to train & retain] rather than locals.
A work permit for a senior person costs $20k+. Relocating a person from the US can cost $50k+. Many relocating get housing allowances to live here. Do you really think a company would rather spend this money if they could hire a qualified local? It is an easy excuse for you to blame a “faceless devil”, but your opinion is not based on fact or reality….
“Concerns have been raised by politicians ” ?????
The last emotion a politician will have is “concern”.
THEY have made the laws. THEY own the businesses.And THEY are responsible for the enforcement of the laws.
The law still states, that if a Caymanian fits the job, he/she will have preference.
With tricks like “business staffing plans” the politicians have given companies a way around it.
Don’t be fooled . . . . .
THEY are also responsible for education and employers should not have to be expected to make up for successive governments failure in educating the people properly.
What is missing is the definition of “educated”
High school grad or more. Kind of a wide swath.
Apparently attending school, even if you graduate with no qualifications.
I guess if you are educated but cannot adequately fill an application for employment, you should still get the job.
Sorry 10:08 not in this country, will never happen. People are too dosile here and a strong work ethic amongst the young hopefuls is an ever increasing rarity. Few are willing to take on entry level jobs to gain experience and work up the ranks.
Don’t forget, having an education is no guarantee of a job. Having a creative attitude towards finding work is paramount. Following that, if your lucky enough to land a job you enjoy with a fair employer you maybe on the way to having a career.
I would hardly call educated as someone just out of high school. Until recently, some high school graduates couldn’t read or write.
Add to that some of those with degrees from suspect universities in the States.
Hear Hear! Cayman College grads with degrees and multiple certifications need NOT apply as even the Civil Service prefers ex-pats for statistics, accounting, and computer departments!! CNS: show us once again how many expats there ARE in CS???
The recruiters never place locals with advanced education, only receptionist and mid-management admin jobs. No help with recruiters because no reward fee to place locals! The problem is that the work permit boards pander to the white collar companies when they SHOULD be working to protect their own!
NO FREE LUNCH is being asked for, but if a Caymanian gets a CPA, they should be hired by an Accounting firm. If a Caymanian gets a DDS, they should be welcomed by a Dentist office, same with IT degrees and advanced computer certifications. To pass these exams you have to PROVE you are “qualified” so WHY are the jobs given to overseas applicants when our own locals have passed the SAME EXAMS?
Banks, Law Firms, and the Big 4 are the biggest offenders and our beloved Politicians not asking to sit in on EVERY IMMIGRATION BOARD and BUSINESS STAFFING BOARD is a waste of our votes. Too many college educated Caymanians are blocked by a glass front door, let alone glass ceiling.
Who is watching the hen house? From here I only see wolves at Immigration permit boards- if you know these people, shame them.
After the certificates and qualifications are scrutinized, experience then comes into play and sadly a lot of our people lack experience. A degree or professional qualification is not a guarantee of a job in any country nor should it be.
@ Anonymous 8:37am
Job experience is hardly the reason why Caymanians are not being hired.
There are work permit holders, as young as 24 years old, and less than experienced, who have progressed to management-level and even executive-level positions, in record time. That is, 3-5 years residing and working here.
Cayman is the only place where work permit holders (who are barely out of undergraduate studies) are catapulted to become Sr. Lead Managers, Department Heads, COOs, MDs, BoDs, etc., often before their 30th birthday; while Caymanians work 10 to 20 years to become nothing more than a “senior” or low-level manager/supervisor.
With that being said – again, I really don’t believe experience is the ultimate deciding factor for securing any job in the Cayman Islands.
So tell me 1:15, why do Caymanians not apply for employment with the Caymanian Police Force? Salary is good but Caymanians are not interested. Why? Obviously many expats will have to be hired to fill the recently advertised positions. Who is the offender in this case?
People come here with no experience and they get jobs in banks from never working in a bank. Auditors suddenly become “senior” fund accountants with no experience in fund accounting and then become Directors…..
Completing high school is not necessarily the same as being educated.
Educated and unemployed = uprising. If there is one thing that history has shown, it’s that.
That was what Karl Marx said in Das Kapital but in fact the opposite was true – the less educated societies were the ones that were subject to revolution.
In other words Revolution!
…and, scholars must return to Cayman to experience this mess? No way.
The Government continues to grant work permits in ridiculous numbers for jobs Caymanians can do.
Until they get a handle on the country’s immigration policies and the unemployment problems they should never be so bold enforce any contracts.
Summer’s approaching and over 500 students will be graduating, what are they going to do about those students? The Minister of Education & Employment better have some good rational for why returning students, with higher-level degrees, are unable to find employment in their country while bunking at their parents homes!
You say until they get a handle on the country’s immigration policy”. In fact the reason that will not happen is that Caymanians themselves will not be able to employ cheap labour and what is apparent by all concerned is that the imperative of providing local jobs for local people is way superseded by the need for the pampered classes to employ cheap labour. End of!
Bollocks.
The rich will purge the educated before it happens.
Look at history proper