Assessing Employment Potential and Skills Gaps

At a Glance
  • Jobs and skills needs change over time in response to market changes or technological advances, as well as changes the life cycle of extractives projects.
  • While it may be difficult to distinguish between direct and indirect jobs generated by an extractive project, the International Council on Mining and Metals (ICMM) considers whether the employee normally carries out his/her work physically at the mine site or not.
  • Policymakers have several approaches at their disposal to estimate potential employment generation from the extractive sector, including: bottom up estimates, proxy measures of employment generation from similar projects in other regions, and jobs multipliers. 
  • Factors influencing the job creation potential of a mining investment include: type of ownership; mine size; mining life cycle phase; mining operation type; commodity being extracted; and the mine’s need for ancillary construction.

Key Resources

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Community Development Toolkit

This report updates the original Community Development Toolkit (CDT), and provides an overview of different assessment techniques used in ...

International Principles for Social Impact Assessment

This article explains the principles guiding Social Impact Assessments (SIA) and provides a deeper understanding of the guiding principles. ...

SEAT, Socio-Economic Assessment Toolbox

This resource is a corporate toolbox for socio-economic assessment that is based on practical experiences of a large extractives company. ...

Projects and People: A Handbook for Addressing Project-Induced In-Migration

This is a helpful resource for practitioners dealing with the important issue of in-migration resulting from large projects. A comprehensive ...

Simandou Social and Environmental Impact Assessments

This resource offers a very comprehensive set of social and environmental impact assessments for large projects, and looks specifically at ...

A Local Content Decision Tree for Emerging Producers

This document provides a basic roadmap to simplify the complex considerations that come into play when designing local content policies in ...

Topic Briefing

This section discusses how governments can assess the jobs and skills that may be created by the extractive project and determine which types of employment can draw on local citizens.

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Estimating the type and scale of employment often involves a modeling effort and the use of social impact assessments (SIAs) at the individual project level. Assessing skill gaps requires the identification of skills available currently, as well as educational curricula to determine future skills. These topics are covered in detail in the subtopic Assessing the direct and indirect jobs and skills required by extractives.