Abstract:
At present, youth unemployment is an ongoing problem in Ethiopia. The intensity of the problem
is high in urban areas in general Adama city in particular where youth face serious difficult in
getting employed. Because of these high young people flow from rural to Adama city has paved
the way for the emergence of different social problem amongst that one is youth unemployment.
This study deals with identifying the main factors responsible for youth unemployment and
constraints they face in self-job creation in Ethiopia. For the study the major instruments
implemented for data collection were questionnaire and interview. The study was based on the
cross sectional data collection from four kebeles of Adama city administration, a total respondent
of 390 samples were considered for analysis. Interview was held with 4 kebele administration
microenterprise workers from each kebele2 individuals from Adama city administration workers
and social affairs office and 2 micro enterprise organizations at city level. Therefore a total of 12
individuals were participated in interview. In this study, an attempt has been made to explore the
major causes of educated youth unemployment. Thus, there are several factors identified as the
main causes for youth unemployment. To mention a few are: - poor economic performance of the
country, state failure in creating adequate jobs are identified as a cause for educated
unemployment. The results of this study revealed that the major factors perceived to be
contributing factors for urban youth graduates unemployment were increasing investment in
training institution and their social network linking the training or education institution with
labour market proofing youth enterprises development oneself employment and improving youth
attracting foreign investors to promote industrialization were suggested as recommendation.