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Yale Center for the Study of Globalization<br />

by the rise in employment in services. Very little increase has been taking place in<br />

the manufacturing and industrial sector, which contributes only 8.5 percent of the<br />

region’s employment. This is a key observation given that wage employment and<br />

its growth is an important indicator of economic development. Evidence shows that<br />

wage employment as a share of total employment increases rapidly as a country<br />

progresses on its development path and, conversely, that the share of agriculture in<br />

wage employment peaks at low levels of per capita national income and is almost<br />

zero in developed countries (Bhorat, 2013a).<br />

Table 9.3: Employment Shares by Sector and Sex, World, and Regions,<br />

2000-10 (%)<br />

Source: ILO (2012).<br />

Notes: 2011 figures are preliminary estimates.<br />

Since labor in SSA primarily works in activities related to the land in rural areas or<br />

in some form of retail-related service, creating more such jobs will not be sufficient<br />

to move these individuals and households out of poverty. Improvements are also<br />

needed in the quality of jobs. SSA has had a consistently high rate of vulnerable<br />

employment over the last decade, ranging between 77 percent and 81 percent and<br />

marginally second only to that in South Asia (ILO, 2012).<br />

Africa’s numbers of working poor are also very large: workers earning less than<br />

$2 a day—currently 193 million people—constitute almost two-thirds of the total<br />

employed and are approximately eight times as numerous as the unemployed in<br />

the region (Table 9.4).<br />

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