Experts at the Intergenerational Dialogue on Youth Employment have raised concerns about job stability in Africa's digital economy and urged stronger policies to improve job security, social protection and working conditions.
The dialogue, organized by the African Center for Economic Transformation (ACET) in partnership with the Mastercard Foundation, examined the quality of jobs available to young Africans, particularly in the fast-growing digital and informal sectors.
Mr. Kekely Ya Dorkenu, Founder and CEO of Keldork Global Innovation, said that although the digital economy is expanding employment opportunities, many jobs remain short-term or supplemental income sources.
He said, “The digital economy has provided many jobs directly and indirectly… but the youth are paying more attention towards the gig economy and are not considering these as stable sources of income.”
He said opportunities in e-commerce, ride-hailing services, software development and graphic design have expanded, but lack of insurance, allowances and employment security continue to limit their attractiveness as full-time careers.
“All this is happening because of the lack of some benefits like social security and insurance and allowances,” he said.
Contributing to the discussion, Mr Atu Msiska, Principal Architect and Director of TechArch Limited South Africa, said that many young workers value job security more than high salaries because stability allows long-term planning.
“Many people will settle for a job with a comfortable salary … and the knowledge that they will be employed for a long period of time, because that makes it easier for them to plan for the long term,” he said.
He said flexibility also remains important as it allows young people to combine formal employment with gig work or passion projects.
“The flexibility aspect also gives people the opportunity to do a side gig or get into the gig economy, because that's really important,” he said.
Mr Samuel Obiri, Deputy Director of Labor and Employment at the ministry, said government policy should balance formalization efforts with improving productivity and conditions within the informal sector.
“Full formalization is a long-term national goal… but efforts should also focus on making informal work more productive and dignified,” he said.
He said gradual formalization through basic business registration, tax incentives and expanded social security schemes could help improve conditions without undermining livelihoods.
Senior advisor to the International Organization of Employers, Mr. Amadou Sacko, said informality continues to dominate employment across Africa, with 80 to 90 percent of jobs in the informal sector.
He said the main challenge is not whether digital platforms have created opportunities, but whether they have helped youth transition to more stable economic activities.
He said, “The real question… is whether the platforms are creating a new kind of informality, or whether they are actually moving people forward.”
Mr Sako called for digital platforms to act as economic infrastructure by enabling young entrepreneurs to build reliable financial histories, thereby improving access to finance.
He also stressed the need for stronger implementation of existing employment policies.
He urged youth to demand accountability, saying, “We mostly know what needs to be done… but at the end of the day, the main responsibility for implementation lies with the government.”
On practical solutions, participants highlighted the need for innovative labor systems such as multiple work shifts to expand employment opportunities and offers, similar to Ghana's 24-hour economy initiative.
Mr Obiri encouraged workers in both the formal and informal sectors to form unions to strengthen their bargaining power.
“The collective voice is very strong… so that our views and our plight can be heard,” he said.
Participants agreed that while the digital economy remains critical to Africa's employment future, improving job quality, strengthening labor protections, and ensuring effective policy implementation will be essential for young people to achieve sustainable and decent work.