Professional Documents
Culture Documents
Vol. 2 No. 3
Graduate Unemployment and Unemployability in Kenya: Transforming University Education to Cope with Market Demands and the Lessons for Africa
Awuor Ponge, Associate Research Fellow, Institute of Policy Analysis and Research (IPAR), Kenya; Commonwealth Scholarship Fellow, Institute of Education (IoE), University of London
Abstract
The graduate labour market has changed considerably. There are more and more university graduates experiencing difficulties in entering the graduate labour market. The greatest challenge for graduates in this era will be to develop themselves to become employable. Any university seeking relevance today must produce graduates who would employ people rather than searching for employment. This study has looked at best practices from around Africa and also the national manifestations of graduate unemployment. Using as example three innovative practices in Kenyan universities, the study concludes that there are a lot of opportunities available in Kenya through which Universities could forge partnerships for purposes of addressing the graduate unemployability situation. It stresses on the need to develop graduate development and employment programs; introduction of the skills training and employment placement programmes; Micro and Small Enterprise development and commitment of the government through budgetary provisions for youth entrepreneurship and particularly targeting graduates. Keywords: Graduates, Unemployment, Unemployability, Transformation, Development, Innovation.
1. Introduction
The unemployment rate and the disappearance of certain jobs in the Kenyan work place is a major concern that needs urgent attention, specifically, educators are asked to respond to the question What does it feel like to ISSN: 2277-6168 March|2013 www.ijsst.com Page | 1
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produce graduates whose employment is not guaranteed? (Amimo, 2012:52). The graduate labour market has changed considerably. There are more and more university graduates experiencing difficulties in entering the graduate labour market. In Kenya, an environment of radical uncertainty and complexity in the job market has arisen, that both brings about changes and calls for changes. The greatest challenge for graduates in this new era will be to develop themselves to become employable. The new world of work requires new skills such as negotiating, networking, problem solving, and skills to manage process rather than functional skills (Harvey, Moon, & Geall, 2009). Employability is the propensity of graduates to secure a job and progress in their career, it is not just about getting a job, it is about developing attributes, techniques, or experience for life (Harvey, 2005: 13). A university ought therefore, to offer a wide range of studies so that students, even if they dont pursue every subject available to them, gain by living among their peers (Oloo, n.d.) Records in the Ministry of Youth and Sports show that there are only 125,000 young people (18-35years) registered with formal employment nationwide, among Kenyas population of nearly 40 million: and the majority are graduates (Amimo, 2012:52). This study is critical because unemployment rate is a key macroeconomic indicator, with low unemployment rate taken to indicate a healthy economy; unemployment represents a waste of resources since unused labour could be used to increase output growth; unemployment is associated with economic hardships such as loss of income and reduced chances of future employment for individuals and families; and finally, unemployment is linked to various social problems such as criminal activity, drug addiction, psychological disorders and loss of self-confidence (KIPPRA, 2009: 2). Universities are supposed to impart high level skills to a reasonable proportion of the workforce, developing intellectual capability of individuals and responsible professionals needed virtually in all spheres of human endeavours. They are expected to function to contribute to national development through high level relevant manpower training. Any university seeking relevance today in our country must produce graduates who would employ people rather than searching for employment. Career choice requires the construction of a new identity that is dependent on a persons social interactions and the environment where such interaction takes place (Kaufman & Feldman, 2004). Some of the main challenges facing universities are lack of funding for research, obsolete facilities and technology, lack of concentration of the lecturers and lack of the necessary life skills outside the academic discourse. Others are problems of access versus equity issues which are characterized by gender, regional, ethnic, and social disparities and inequalities, which should be addressed in expanding higher education, especially in the face of devolved governance. There is also the challenge of attracting, rewarding and retaining staff, and the likely effects on the production of quality graduates. Universities have been seen as key instrument for national development, giving rise to the notion of the developmental university. The collapse of many national economies in Africa and the accompanying destabilisation of social structures threw all institutions, including those of higher education, into a prolonged crisis. The principal contribution of a university to society turns on the quality of the knowledge it generates and imparts; the habits of critical thought and problem-solving it institutionalises and inculcates in its graduates (Sawyerr, 2004:5). The main challenge is how to increase access to higher education to cater for the increasing high number of school leavers and others who desire tertiary education (university), while maintaining quality and ensuring equity and affordability (Kinyanjui, 2007). Adebisi, Adebisi and Arogundade (n.d) have diagnosed in detail what they call academic corruption and how this impacts on un-employability of graduates. It centres on students, lecturers, government officials and the institutions in Nigeria. This is not unique to that country and there are lesson herein for universities in Africa. Amimo (2012: 53) attributes the biggest challenge to graduate employability in Kenya to todays pedagogical practices at our universities which she observes are short of these much needed skills. They rather focus on associative reasoning (reasoning that is resonated) with its lack of originality and creativity, which is a serious handicap to skill development. Oloo (n.d) has indicated that University education in Kenya, working within a globalised world is therefore, called upon to examine these challenges in order to come up with ways which will engineer training of graduates for a broader economic, political, recreational and cultural development. The implication for embedding employability into real teaching and learning in higher education is not simple. The requirements of employers sometimes seem to be at odds with those of academia. Closer analysis of what employers are looking for reveals congruity between the abilities developed in higher education and those desired by employers (Harvey, 2005: 23). This therefore, leads us to the big question in this study, whether the Universities are really working towards having the graduates employed or is the market graduating the employment demands to a level the universities cant cope with, leading to the rising cases of graduate un -employability in Africa?
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High unemployment remains one of the greatest challenges to Africas developmen t and hence a major concern to policy makers and other stakeholders in Africa (KIPPRA, 2009:1). The economic growth rate has not been sufficient to create enough employment opportunities to absorb the increasing labour force of about 500,000 annually. Only about 25% of youth are absorbed, leaving 75% to bear the burden of unemployment. Furthermore, some of those absorbed in the labour market have jobs that do not match their qualifications and personal development goals (MOYAS, 2006: 3). With an average growth projection of 8.2 per cent, the total job generation for 2008 2012 was expected to reach 3.7 million in 2012 from about 1.8 million in 2004, translating to an average of 740, 000 new jobs in each year as is captured on the table of employment projections, 2008 2012 (Kenya, 2008: 14) [Table 1] In 2005/2006, the open unemployment rate among the youth ages 15 24 as estimated by the Kenya National Bureau of Statistics, was 24% compared to an overall open unemployment rate of 12.7%. Open unemployment rate in urban areas at 19.9% is more than double that in rural areas; and the rate in Rift Valley Province at 23.9% was the highest among Provinces (KIPPRA, 2009:v). The Report goes ahead to indicate that The most frequent explanations of the causes of unemployment in Kenya include: rapid population growth, poor dissemination of labour market information, skills mismatch, structural reforms, slow or declining economic growth, and high costs of labour (ibid., p.v).
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Enrolment in primary school totaled 7.2 million in 2003 for children aged 6-13 years. Secondary school enrolment, by 2002, totaled 847,287 while university student were estimated to be 63,941 students in the 2002/03 academic year. Enrollment in private accredited and private unaccredited universities totaled 10,310 of which 5,354 (51.9%) are females (MOYAS, 2006: 1). In 2005/06, overall unemployment was 12.7 per cent with urban and rural areas having unemployment rates of 19.9 per cent and 9.8 per cent, respectively (KNBS, 2007). 57 percent of women and 86 percent of men age 1549 are categorised as currently employed. The proportion of women currently employed increases with age up to 44 years and then declines slightly for those in the 45-49 age group (KNBS & ICF Macro, 2010: 38). Data from the annual Economic Surveys show that formal sector employment growth has been sluggish. It rose by 1.2 per cent between 1998 and 2001. The estimated increase for 2002, 2003, 2004, 2005, 2006, and 2007 are 2.2 per cent, 2.6 per cent, 3.6 per cent, 2.5 per cent, 2.8 per cent and 2.6 per cent, respectively. Public sector employment declined by 7.4 per cent from 1998 to 2002 due to public sector reforms but recorded marginal growth of 0.3 per cent between 2002 and 2004. On the other hand, informal sector employment increased by 10 per cent between 1998 and 2002 and 6.4 per cent between 2002 and 2005 (KIPPRA, 2009:2). [Figure 1] With regard to employment, the target for total job creation in 2008 was 425, 000. Actual employment creation was 467, 300 which was above the target by 42, 300. Out of the 467, 300 new jobs created in 2008, the bulk, 433, 500 were in the informal sector, 33, 700 were in wage employees in modern establishments and 100 were self employed (Kenya, 2010:11). [Table 2] It is interesting to note, however, that the 2008 figure was down from the 2007 baseline figure of 485, 500. The slowdown in employment creation continued in 2009 with 445, 900 new jobs being created compared to the MTP target of 787, 000 new jobs (Kenya, 2011: 17). It is clear that the economy has not been able to create the desired number of jobs. While the target for employment creation was missed by 38.4 per cent in 2008, this gap increased by about five percentage points to 43.3 per cent in 2009 (ibid., p. 46). The country has been unable to meet the MTP 2008 2009 targets in the past three years. In the financial year 2010/2011, 503, 500 new jobs were generated both in the formal and informal sectors as compared to a total of 502, 900 jobs created in 2009. The formal sector generated 62, 600 new jobs in 2010 compared to 56, 300 jobs created in 2009 representing a 12.4 per cent of total jobs generated (Kenya, 2012: 23). It is also interesting to note that the informal sector, which represented 80.6 per cent of the total employment, generated an additional 440, 900 jobs. In sum, the total employment growth for the year 2010/2011 was 3.0 per cent in the formal sector as compared to 5.3 per cent in the informal sector (Ibid., p. 23) [Table 3] [Table 4] [Table 5] [Table 6]
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The opportunity costs and losses arising from unemployed and underemployed young people have, and will continue to exert, tremendous impacts on society if these problems are not addressed in time. The inability to find decent work enhances a sense of vulnerability and inadequacy among youths, which can lead to other social ills and conflicts UNESCO (2006:1). The growing incidence of graduate unemployment in the face of acute skill shortages presents a paradox which further complicates the analysis of labour market distortions (Bassey & Atan, 2012:68). This phenomenon of unemployment has made Obadan and Odusola (2003) to make the following observation in relation to productivity: The need to avert the negative effects of unemployment has made the tackling of unemployment problems to feature very prominently in the development objectives of many developing countries. Incidentally, most of these countries' economies are also characterized by low productivity. Thus, it seems obvious to many policy makers that there must be a straight forward connection between productivity and employment/unemployment (Obadan and Odusola, 2003:1). In all modern economies, universities are places where specialized human resources are developed. Therefore, they play a crucial role in generating human capacities for leadership, management and the technical expertise (Bassey & Atan, 2012: 69). Among the reasons adduced for the quality deterioration in university education are incessant strikes, lack of employee motivation, weak accountability for educational performance, shortage of staff, corruption and admissions based on quotas rather than merit (Saint, Hartnett & Strassner, 2003). According to Bassey and Atan (2012: 7475), the large numbers of unemployed graduates and the low productivity of those who find work reflect poor social return on the investment. The tragedy is that while the causes of low quality of university education and its consequences are widely acknowledged, there are no mechanisms in place to correct them.
Mismatch in labour market demand and supply There is a general lack of appropriate skills and knowledge among new recruits in the workplace. To compound this, there is a perception that the technical and ICT skills learned in schools are outdated and do not match the state-of-the-art technologies in use at the workplace. This has been a problem mainly with students of Computer Sciences and also Engineering courses. This has forced students to do other courses like Microsoft Certification on top of their University Degrees in Computer Studies to make them be relevant to the workplace or rather be accepted by employers. Most employers perceive the engineering students to have been taught mainly theoretical work and dont have the hands -on in the practical aspects which is critical. Another challenge is that most are only taught fabrication and repairs of machinery from the developed countries, which by the way, become obsolete by the time they reach Africa. Inadequate labour market information One reason for the mismatch between demand and supply lies in the lack of appropriate and updated labour market information. As mentioned earlier, there also appears to be a discrepancy between labour market demand and supply. The Universities do not have a comprehensive database of what the market demands so as to gauge students admissions to the market demands. What has been happening is a case of the golden rush, for example when there is demand for scientists, the emphasis is centred on this to the detriment of the humanities. When everyone goes for the sciences, there comes a tragedy when the country needs teachers for humanities as happened in Kenya in the recent past when there were few (if any) students graduating to teach subjects like English, History, Religious Studies and even Social Education and Ethics. Currently, these are selling like hot cake in Kenya. Discrepancies between Graduate expectations versus market reality A major element pointed out by many employers is the unrealistic expectations and demands of young employees, especially given their lack of experience and skills. Lack of work experience - In general, the divide between school and the world of work is imposed upon students by the educational systems, in conformation to policies and pedagogical approaches in each country. Similarly, social and cultural norms play a role in whether young people are exposed to work environments. Lack of life skills training Another common complaint with the graduates that make them not appealing to the employers is that of the lack of skills and experiences of the young people. Curricular contents in educational institutions stress core competencies in reading, writing and arithmetic and core subjects. Life skills such as social skills, interpersonal relationships, motivation, critical thinking, communication, creativity, language skills and so on are usually not taught within the formal setting of the school system, yet these are really valued and are at the centre stage during interviews.
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Available online at: http://apf-kenya.ning.com/events/universities-and-research-in <Accessed on 24 January 2013> ISSN: 2277-6168 March|2013 www.ijsst.com Page | 7
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The National Youth Policy provides for among other things, that the private sector, CSOs and the Government should encourage and promote initiatives from youth groups by providing them with necessary skills (technical and financial assistance) to build their capacity; Government, CSOs, Private Sector should support and initiate income generating activities by providing youth friendly micro-finance credit facilities; the Government, CSOs and other developmental partners should allocate funds specifically for young entrepreneurs; and ultimately creating awareness on labour laws and workers rights through civic education, especially through campaigns organized by youth organisations (MOYAS, 2006:7)
Thero Setiloane CEO Business Leadership South Africa Beyond advocacy Business needs to get its head in the game. ISSN: 2277-6168 March|2013 www.ijsst.com Page | 8
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11.5 Introduction of the Skills Training and Employment Placement (STEP) Programme
The Government should re-examine the policy of enlarging enrollment, adjusting the training level and gradually build specialized focused on building a reasonable knowledge structure and ability to increase employment guidance, smooth employment channels and making it possible for graduates to be able to own businesses. Lack of life skills can be improved through developing more extra-curricular activities and encourage students participation while enrolled as students or trainees.
11.8 Policy on Technical, Industrial and Vocational Education and Training (TIVET)
Promote technological proficiency by training for skills to produce competitive products for the domestic and international markets. Also develop training systems and mechanisms to facilitative linkages of the informal sector and standards of skill acquisition with those of the formal technical and vocational system. There is need to improve access and relevance of education and training provided to the youth with more focus on technical and vocational skills as well as development of soft skills. This requires the effective implementation of the Technical Industrial Vocational Education and Training (TIVET) policy.
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References
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Innovation at Egerton University: Agricultural Innovations Capacity of Graduates Available onli ne at: http://ruforuminnovationsproject.blogspot.com/ <Accessed on 26 December 2012> Gbosi, A.N. (2006). Modern Labour Economics and Policy Analysis. Park Publishers: Abakiliki (pp: 56 92). Harvey, L. (2005). Embedding and Integrating Employability. New Directions for Institutional Research, 2005 (128), 13-28. Harvey, L., Moon, S., & Geall, V. (2009). Graduates' Work: Organizational Change and Students' Attributes. Retrieved from: http://www0.bcu.ac.uk/crq/publications/gw/gwcon.html <Accessed on 26 December 2012>. Inoorero University. (2012) Innovation at Inoorero Universit y Research and Innovation Center Available online at: http://www.iu.ac.ke/ric/ <Accessed on 26 December 2012> Kaufman, P. and Feldman K A. (2004). Forming identities in college: A sociological approach. Research in Higher Education, 45 (5). Kenya National Bureau of Statistics (2007). 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Third Annual Progress Report (APR) on the Implementation of the First Medium Term Plan (2008 2012) of Kenya Vision 2030. Nairobi: Ministry of Planning (Monitoring and Evaluation Directorate). Kenya Youth Business Trust. (2012). Retrieved from: http://www.youthbusiness.org/where-we-work/kenya/ <Accessed on 24 February 2013> Kinyanjui, Kabiru. (2007). The Transformation of Higher Education in Kenya: Challenges and Opportunities. Commission of Higher Education, Paper Presented at the Mijadala on Social Policy, Governance and Development in Kenya sponsored by Development Policy Management Forum on 9 July, 2007 at Nairobi Safari Club. KIPPRA. (2009). Unemployment in Kenya: A Situational Analysis and what needs to be done. A project of the Kenya Institute for Public Policy Research and Analysis in conjunction with the National Economic and Social Council, United Nations Development Program and the Royal Danish Embassy. Nairobi: KIPPRA/NESC/RDE. Retrieved from: http://mirror.undp.org/kenya/NESCUnemploymentinKenya.pdf <Accessed on 20 February 2013> Mahoney, Shawn. (2012). Graduate unemployment in China and USA. Available online from http://chinadailymail.com/author/shmahomey/ <Accessed on 21 January 2013> Manda, D.K. Kosimbei, G. K. and Wanjala, B. (2007). Impact of Minimum Wages on Formal Employment in Kenya. KIPPRA Discussion Paper No. 67. Nairobi: Kenya Institute for Public Policy Research and Analysis. Ministry of Youth Affairs and Sports (MOYAS). (2006). Kenyas National Youth Policy. Retrieved from: http://www.gyouth.org/main/images/youth.pdf <Accessed on 21 January 2013> Mwirigi, Lucas. (2011). Why we need to adopt informal education practices in the management of formal education systems . Retrieved from http://ezinearticles.com/?Why-We-Need-To-Adopt-Informal-Education-Practices-In-The-Management-Of-FormalEducation-Systems&id=6118428 <Accessed on 26 December 2012> Nesoba, Dorah. (2010). Youth unemployment crisis continues, millions of college grads flood unemployment lines. Retrieved from: http://dev.globalpressinstitute.org/global-news/africa/kenya/youth-unemployment-crisis-continues-millions-college-grads-floodunemployme <Accessed on 26 December 2012> Obadan, M. I. & Odusola, A. F. (2003). Productivity and Unemployment in Nigeria. National Centre for Economic Management & Administration (NCEMA), Ibadan. Retrieved from: http://www.cenbank.org/OUT/PUBLICATIONS/OCCASIONALPAPERS/RD/2000/ABE-00-10.PDF <Accessed on 26 December 2012> Oloo, Florence. (n.d.). University Education: The Case for Strathmore. Available online from: http://www.univforum.org/pdf/225_strathmore.pdf <Accessed on 8 February 2013> Omolo, J. O. and Omiti, J.M. (2004). Is Minimum Wage Policy Effective in Kenya? Institute for Policy Analysis and Research, Discussion Paper, No. 054/2004. Orengo, Peter. (2012) Kenyans feted for scientific innovations Available online at: http://www.standardmedia.co.ke/?articleID=2000055520&pageNo=1 <Accessed on 12 January 2013> Owino, P. (1996). Adjustment Policy, Employment, and Labour Market Institutions in Kenya. Nairobi: International Labour Organisation (ILO) and the Institute of Policy Analysis and Research (IPAR). Saint, W., Hartnett, T. A. & Strassner, E. (2003). Higher education in Nigeria: A status report. Higher Education Policy, 16: 259281. Sawyerr, Akilagpa. (2004). Challenges Facing African Universities: Selected Issues. African Studies Review, 47(1): 159. UNESCO. (2006). Report of meeting on A multi -stakeholder approach to address graduate (un)employment. 16 17 November 2006, Bangkok, Thailand. Retrieved from: http://unesdoc.unesco.org/images/0015/001529/152959e.pdf <Accessed on 26 December 2012> Universities and Research in Agribusiness Innovation Fair. 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Jobs in Thousands
Source: Kenya, Republic of. (2012). Third Annual Progress Report (APR) on the Implementation of the First Medium Term Plan (2008 2012) of Kenya Vision 2030. (pg. 56) Table 2 : Targeted and Actual Employment levels 2008/2009 2011/2012 FY 2008/2009 FY 2009/2010 FY 2010/2011 FY 2011/ 2012
Target Actual Target Actual Target Employment Growth 8.4 -2.2 8.7 5.9 9.1 Total Employment (000's) 759 474.7 787 502.9 823 Source: Kenya, Republic of. (2012). Third Annual Progress Report (APR) on the Medium Term Plan (2008 2012) of Kenya Vision 2030. (pg. 23)
Table 3 : Employment status: Women 1 Age Percent distribution of women age 15-49 by employment status, according to age, Kenya 2008 2009. Employed in the 12 months preceding Not employed the survey Number in the 12 months Total of women Background Not preceding the survey Currently Characteristic currently employed3 (Age) employed 15-19 19.3 1.8 78.9 100.0 1,761 20-24 50.5 3.7 45.7 100.0 1,715 25-29 66.6 3.1 30.3 100.0 1,454 30-34 71.4 2.1 26.5 100.0 1,209 35-39 73.7 1.5 24.8 100.0 877 40-44 78.7 1.8 19.5 100.0 768 45-49 74.2 1.3 24.5 100.0 661 Source: Kenya National Bureau of Statistics (KNBS) and ICF Macro. (2010). Kenya Demographic and Health Survey 2008-09 (pg. 37).
3
Currently employed is defined as having done work in the past seven days. Includes persons who did not work in the past seven days but who are regularly employed and were absent from work for leave, illness, vacation, or any other such reason. ISSN: 2277-6168 March|2013 www.ijsst.com Page | 11
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Table 4 : Employment status: Men 1 - Age Percent distribution of men age 15-49 by employment status, according to age, Kenya 2008 2009. Employed in the 12 months preceding Not employed the survey Number in the 12 months Total of men Background Not preceding the survey Currently Characteristic currently employed (Age) employed 15-19 59.9 3.9 36.3 100.0 776 20-24 86.9 2.8 10.3 100.0 630 25-29 97.4 0.7 1.9 100.0 483 30-34 95.4 2.5 2.1 100.0 461 35-39 98.6 0.5 0.9 100.0 344 40-44 98.6 1.0 0.4 100.0 306 45-49 97.9 0.9 1.2 100.0 257 Source: Kenya National Bureau of Statistics (KNBS) and ICF Macro. (2010). Kenya Demographic and Health Survey 2008-09 (p. 38). Table 5 : Employment status: Women 2 - Education Percent distribution of women age 15-49 by employment status, according to education, Kenya 2008 2009. Employed in the 12 months preceding Not employed the survey Number in the 12 months Total of women Background Not preceding the survey Currently Characteristic currently employed (Education) employed No education 50.6 3.0 46.4 100.0 752 Primary incomplete 52.7 2.6 44.7 100.0 2,526 Primary complete 60.1 2.9 37.0 100.0 2,272 Secondary+ 58.8 1.7 39.5 100.0 2,894 Source: Kenya National Bureau of Statistics (KNBS) and ICF Macro. (2010). Kenya Demographic and Health Survey 2008-09 (pg. 37). Table 6 : Employment status: Men 2 - Education Percent distribution of men age 15-49 by employment status, according to education, Kenya 2008 2009. Employed in the 12 months preceding Not employed the survey Number in the 12 months Total of men Background Not preceding the survey Currently Characteristic currently employed (Education) employed No education 93.7 3.2 3.1 100.0 112 Primary incomplete 81.7 3.2 15.1 100.0 883 Primary complete 93.9 0.7 5.4 100.0 804 Secondary+ 84.6 2.2 13.2 100.0 1,459 Source: Kenya National Bureau of Statistics (KNBS) and ICF Macro. (2010). Kenya Demographic and Health Survey 2008-09. (p. 38).
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