Stats SA revealed that employment in the non-agricultural formal sector dropped from 9 817 000 in March 2018 to 9 748 000 in June 2018.
South Africa’s unemployment crisis continues to worsen as reports reveal thousands of jobs lost during the second financial quarter.
Statistics SA released its latest Quarterly Employment Statistics (QES) bulletin on Wednesday, and the results paint a grim picture of further job losses. According to the report, South Africa’s non-agricultural formal sector bled 69 000 jobs between March and June 2018.
Through thorough investigation, which included sample surveys targeted towards the non-agricultural formal sector, Stats SA revealed that employment dropped from 9 817 000 in March 2018 to 9 748 000 in June 2018.
Unemployment in South Africa’s formal sector
According to the report, the non-agricultural formal sector includes casual work and the community services industry.
South Africa’s embattled mining and transport sector shed 4 000 jobs in total, while manufacturing industries were harder hit, recording 13 000 job losses.
The community services sector was by far the worst hit; losing 67 000 jobs, which accounts for 2.5% of the entire industry.
The good news
There’s no way to effectively sugarcoat large-scale job losses which, inevitably, add to South Africa’s socioeconomic troubles, but there were three sectors which saw a marginal rise in employment.
Trade and business services sectors managed to employ 14 000 people, while jobs in construction rose by 1000.
Despite the job losses, Stats SA reports that average monthly earnings in the non-agricultural formal sector have increased, stating:
“Average monthly earnings were measured at R20 176 in the formal non-agricultural sector of the economy in May 2018. This is an increase of 1,6% compared with February 2018. A year-on-year increase of 3,7% was reported from R19 444 in May 2017 to R20 176 in May this year.”
And while the job cuts may come as a shock, South Africa’s employment standings in the formal non-agricultural sector are much better than they were in 2015.
According to Fin24, QES samples are drawn from private non-agricultural businesses such as factories, firms, offices, and stores, as well as from national, provincial and local government entities.