Local Content Policies in the Oil and Gas Sector

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Figure 1.3 Evolution of the Angolan Population and Labor Force over Time (in millions of people) 45

70%

40

60%

Million People

35

60+

50%

50 to 59

25

40%

40 to 49

20

30%

30

30 to 39

15

10 to 19

10%

0 to 9

10 5 0

20 to 29

20%

0%

% 15 to 64

Source: Adapted from UN 2010.

While the overall unemployment rate is at 25 percent, Angola’s skilled-labor market is very tight; the labor force’s mean years of education is 4.4 years, in line with that of other countries with low human development (4.2 years). Minimum wage is $127 a month, and the average wage is $211 per month in a country whose capital is the second-most expensive city in the world (Mercer 2012). Table 1.2 presents a snapshot of Angola’s labor market in comparison to select countries. Table 1.2 Angola’s Labor Force Indicators Compared to Select Countries, 2010 Educational attainment (% of total)

Labor force (million) Angola Australia

Primary

Secondary

Mean years of education

Tertiary

7.1

Unemployment, total (% of total labor force)

Minimum wage ($ per month)

4.4

127

25

11.8

27.3

38.9

33.8

12

1,597

5.2

101.6

7.2

300

8.3

19.0

13.5

40

46.5

12.1

1,903

8

8.8

10.4

6.6

Malaysia

12.0

18.3

56

21.1

9.5

3.7

Norway

2.6

19.9

43.5

35.8

12.6

3,609

3.6

South Africa

18.2

15.8

74.2

5.2

8.5

543

23.8

Tanzania

22.1

5.1

59

10.7

0.7

25.3

63

11.1

9.2

5.38

Uganda

13.4

4.7

3

4.2

United Kingdom

31.8

19.2

44.4

35.4

9.3

1,655

7.8

Brazil Canada Kazakhstan

Trinidad and Tobago

Source: Based on data from World Bank Group 2012; UNDP 2010. Note: Educational attainment data for Australia, Canada, Malaysia, South Africa, and Trinidad and Tobago are from 2008; unemployment data for Brazil, Kazakhstan, Malaysia, South Africa, and Uganda from 2009. — Not available. 1.1.4 Education

Finding a skilled workforce is a challenge in Angola, partly due to a weak educational system that suffers from low enrollment rates. While enrollment in primary education is relatively low, enrollment in tertiary education

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