Human Capital and Graduate Employability in Public Universities in South- Western Uganda

Abstract

This study investigates the relationship between human capital and graduate employability in public universities in South-Western Uganda. It aims to provide empirical evidence on how university human capital influences graduates’ labor-market readiness. Guided by a positivist paradigm, a cross-sectional design was employed. Data were collected from 377 graduates and 122 academic and administrative staff across three public universities. Structural Equation Modelling (SEM) was used to test the hypothesized relationship between human capital and graduate employability. Results indicate a significant positive relationship between human capital and graduate employability. Universities with skilled, motivated, and professionally competent staff enhance graduates’ employability by developing relevant skills and supporting processes that ensure these skills are effectively acquired. Deficiencies in human capital constrain the development of employability outcomes. University leaders should strategically invest in human capital through targeted recruitment, continuous professional development, and performance management linked to employability outcomes. Curricula should embed employer-valued skills such as critical thinking, communication, adaptability, and problem-solving. Strengthening institutional employability support, including career services and industry engagement, is critical for translating staff capacity into labor-market-ready graduates. The study contributes to the literature by highlighting the central role of academic and administrative staff in shaping graduate employability in resource-constrained public universities. It provides context-specific evidence from Uganda, clarifying how staff competence, motivation, and leadership collectively influence labor-market outcomes.