A recent survey conducted by the African Leadership University (ALU) has revealed that nearly two-thirds (65%) of school leavers in Ethiopia are worried about limited job opportunities following their education. The 2025 Africa Workforce Readiness Survey, the first pan-African survey of its kind, provides critical insights into the perspectives of young graduates and employers regarding higher education, career prospects, and the economy.

The survey, which gathered responses from nearly 8,000 participants across nine African countries, found that Ethiopian school leavers’ primary concerns about entering the job market include a lack of available jobs (65%), an unfavorable economic climate (37%), and insufficient work experience (29%). Additionally, 24% of respondents expressed a lack of confidence in their ability to secure employment after graduation.

Despite these concerns, Ethiopian school leavers remain optimistic about the future of the broader African economy. An impressive 85% expressed hope for economic growth, the highest percentage among all countries surveyed. In contrast, only 67% of Ethiopian employers shared this optimism, ranking fourth lowest among participating nations.

Veda Sunassee, CEO of ALU, emphasized the importance of addressing these challenges. “This survey clearly shows that to unlock the immense potential of young Africans, higher education must focus on leadership, problem-solving, and building strong links with the business world,” Sunassee stated. “By bridging the gap between education and workforce demands, we can empower Africa’s next generation of leaders to drive meaningful change.”

The survey also highlighted the need for improved skills and experience among graduates. While 74% of Ethiopian school leavers are considering pursuing higher education in the future, this figure ranks third lowest among surveyed countries. Of those planning to continue their studies, 50% cited job acquisition as their primary motivation. However, only 63% of employers believe that higher education adequately prepares graduates for the job market—the second lowest percentage recorded.

Employers identified several skills they find lacking in recent graduates. Digital skills topped the list at 36%, followed by innovation and creativity at 33%, and entrepreneurial skills at 24%. Furthermore, around half (51%) of employers believe that higher education institutions should prioritize developing leadership skills to better prepare students for employment.

When it comes to choosing a college or university, Ethiopian school leavers indicated that practical work experience is their top priority (49%). The survey revealed that banking and financial services, as well as social affairs and healthcare sectors, are among the most popular career paths for these students, each chosen by 15%. Additionally, 72% expressed a desire to work for organizations focused on addressing global challenges.

The impact of artificial intelligence (AI) on future job prospects was also a significant concern among respondents. While 70% of Ethiopian school leavers view AI as an opportunity for their careers—the highest level of optimism among all surveyed countries—70% also fear it could negatively affect their job prospects. This dual perspective reflects a nuanced understanding of AI’s potential challenges and benefits.

Employers echoed this cautious optimism regarding AI’s role in business. While 30% acknowledged AI as a risk to their operations—the second highest percentage after Zimbabwe—61% recognized it as an opportunity for growth.

In light of these findings, ALU has outlined several recommendations for higher education institutions to better align with employer needs and enhance workforce readiness:

1. Respond to Employer Needs: Universities should prioritize teaching both soft skills and technical abilities.
2. Align Curriculum with Career Aspirations: Institutions should expand academic offerings that reflect career-focused experiences.
3. Enhance Work-Based Learning Opportunities: Partnerships between employers and educational institutions should be strengthened to provide hands-on work experience.
4. Foster Public-Private Collaboration: Universities should collaborate with public and private sectors to fund new programs and infrastructure.
5. Assess Progress: Institutions must monitor their effectiveness in closing the skills gap within higher education.

As Ethiopia navigates its educational landscape amidst concerns regarding job readiness and economic stability, these insights from the ALU survey underscore the need for strategic reforms in higher education to empower young graduates and foster a thriving workforce capable of meeting future challenges.