RETURNS OF SOCIAL AND PRIVATE INVESTMENT IN VOCATIONAL EDUCATION IN NIGERIA

Abstract

Globally, the world of work has shifted its focus from just education obtained through theoretical courses to vocational education and training because of the recorded returns in social and private investment. Thus, the sector has been at the heart of recent economic reforms worldwide. However, despite the upsurge in the supply of academic university graduates in Nigeria, employers of labor still face a supply shortage of skilled labor and this has been linked to the theory-oriented curricula of academic universities which do not prepare students for skill-intensive jobs. According to the Nigerian Bureau of Statistics report (2024), statistics the overall unemployment rate in Nigeria for the Q2 of 2023 was 4.2%, while among youth aged 15-24 years, the unemployment rate in Q2 of 2023 was 7.2%, up from 6.9% in Q1 2023. Meanwhile, in urban areas, the unemployment rate reached 5.9% in 2022, compared to 5.4% in Q1 2023. Within vocational training, the economic returns to practical or in-plant training seem to be slightly higher than those in school training. It is clear that tremendous resources, both human and material, are required to redress the situation. As Nigeria is lagging in preparing its workforce for the challenges of the rapidly changing global economy, the government must invest captiously and pay particular attention to vocational and technical education. Also, there is the need to improve the earnings of vocational school graduates through an increase in salary and attractive remuneration which will induce individuals to take vocational education and skills acquisition more seriously. KEYWORDS: Vocational Education, Education, Returns, Social and Private Investment and Nigeria.