News Services

Full Employment: A Key Labour Market Concept Explained by the ILO

Full Employment: A Key Labour Market Concept Explained by the ILO
Thursday, 26 February 2026 10:52
  • ILO says full employment includes frictional unemployment

  • OECD flags widespread informal, low-productivity jobs in Africa

  • 350 million African youths to reach working age

Full employment does not correspond to zero unemployment, according to the International Labour Organization (ILO). The concept includes a certain level of frictional unemployment linked to normal job transitions or the entry of young people into the labour market. The challenge instead lies in ensuring that everyone can access productive and safe employment. This framework emphasizes the quality of jobs as much as their quantity, as low-productivity or unstable employment benefits neither economic growth nor workers’ well-being.

Even when official unemployment is low, the 2024 Africa’s Development Dynamics report from the Organisation for Economic Co-operation and Development (OECD) highlights that a large majority of workers in Africa hold informal or low-productivity jobs. These positions offer limited opportunities for income or skills growth. The report notes that such roles rarely provide access to ongoing training or income security.

The ILO stresses that productivity and job security are essential dimensions of full employment. They shape the contribution of work to economic growth and social cohesion. A labour market may absorb workers without necessarily offering opportunities for development or long-term stability.

Full employment is a relevant concept for Africa

The relevance of this concept in Africa is primarily driven by demographic trends. The continent has the youngest population in the world, with a median age of around 19, and it continues to grow rapidly.

More than 350 million young people will reach working age over the next twenty years, according to a joint analysis by the International Labour Organization and the African Union. By 2050, nearly one in three young people worldwide will be from sub-Saharan Africa, implying an influx of millions of new entrants into the labour market. This demographic expansion requires the creation of additional jobs each year to prevent labour force growth from worsening job insecurity and socio-economic inequalities.

Furthermore, full employment is part of a broader process of structural economic transformation. In many African countries, most jobs are still concentrated in low-productivity sectors. This includes subsistence agriculture, which in some countries employs between 60% and 85% of the labour force without delivering significant income gains. For the ILO, shifting labour into more productive and formal sectors — such as light industry, high-value-added services, or modernized agriculture — is essential to reduce poverty, raise incomes, and strengthen economic stability.

Félicien Houindo Lokossou

On the same topic
Benin orders crackdown on overloaded, oversized trucks UEMOA rules cap weight at 51 tonnes ECOWAS road maintenance gap estimated...
ILO says full employment includes frictional unemployment OECD flags widespread informal, low-productivity jobs in Africa 350 million...
Saudi aid agency launches primary education project in Chad Initiative to support 23,000 students in eight provinces World Bank says 94% lack basic...
Airtel Africa Foundation launches $1 million tech fellowship Program supports 20 low-income STEM students in Uganda Initiative targets youth...
Most Read
01

ECOWAS central bank governors reaffirm a 2027 target for launching the Eco. Nigeria signals...

ECOWAS Eco Currency May Launch Without WAEMU in 2027 Push
02

Algeria plans to launch construction of the $13 billion Trans-Saharan Gas Pipeline (TSGP) a...

Algeria–Morocco: Will the Gas Pipeline Duel Take Place? (Editorial)
03

West African Development Bank (BOAD) launched preparation of its 2026–2030 strategic plan wit...

BOAD Launches 2026–2030 Strategy With Boston Consulting Group Support
04

Kenya raised $2.25B via dual-tranche Eurobonds to buy back 2028/2032 debt, luring investors w...

Africa’s Comeback on International Market: Kenya Adds-up to The 2026 Wave of Sovereign Issuances
05

Siguiri mine produced 289,000 ounces in 2025, up 6% Fourth-quarter output rose 15%, boosting annu...

Guinea's Largest Gold Mine Records 6% Output Rise in 2025
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72


EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.