86 000 jobs lost in formal (non-agricultural) sector from March to June
South Africa continues to bleed jobs, according to the Quarterly Employment Statistics (QES) survey released by Statistics SA on Tuesday.
86,000 jobs were lost in the formal non-agricultural sector in the second quarter of 2021.
Total employment dropped from 9,652,000 in March to 9,566,000 in June.
Jobs in the formal non-agricultural sector decreased by 86 000 in the Q2:2021, bringing the total number of persons employed in the formal non-agricultural sector in South Africa to approximately 9,57 million.— Stats SA (@StatsSA) September 28, 2021
Read more here: https://t.co/uGO0Fxisiv#StatsSA #employment #QES pic.twitter.com/ioKYIPUjDY
Stats SA reports that the drop in employment was largely due to decreases in community services, manufacturing construction, electricity and business services.
However, there were increases in the mining and transport industries.
Gross earnings paid to employees decreased by R0,1 billion or (-0,0%) from R715,2 billion in March 2021 to R715,1 billion in June 2021.— Stats SA (@StatsSA) September 28, 2021
Read more here: https://t.co/uGO0Fxisiv#StatsSA #income #QES pic.twitter.com/EogyLJfSjc
Bruce Whitfield discusses the quarterly employment stats with George Glynos, Head of Research at ETM Analytics.
Should we get rid of this notion of "job creation" as jobs don't simply get created out of thin air? Whitfield asks.
I think that's exactly the point, that we have a government that's hell-bent on this notion of job creation and they've done a pretty poor job of it - you just have to look at the unemployment numbers over the past decade...George Glynos, Head of Research - ETM Analytics
Covid did make the issue so much worse... but really this is a function of really poor policy, a function of a government that simply will not get out of the way... It's a country that's over-regulated...George Glynos, Head of Research - ETM Analytics
There's a lot we can do to turn this around but it's going to require the government to gain a little bit of respect for tax payers, and they need to gain a lot of trust with the private sector...George Glynos, Head of Research - ETM Analytics
Sometimes the best thing that the government can do is actually nothing. They just need to get out of the way and let the private sector do what it does best and that is to target growth, target profitability.George Glynos, Head of Research - ETM Analytics
If there is a fostering of an environment of growth the jobs will come, Glynos maintains.
He says that since the Ramaphosa administration took over every sector in South Africa has lost jobs, bar mining and quarrying, and of course government itself.
On a positive note though, there are signs that the government is coming around he adds.
Listen to the discussion on The Money Show (skip to 1:40):
Source : https://cdn.pixabay.com/photo/2019/12/10/20/59/site-4686908_960_720.jpg