A Spike in Unemployment, Again…

By: Mfundo Mabaso

South Africa’s unemployment rate has increased by 1,8 of a percentage point to 34,4% in the second quarter of this year, compared to the first quarter of 2021.

This is according to Statistics SA, which released the latest Quarterly Labour Force Survey (QLFS), on Tuesday.

The survey revealed that 54 000 people lost their jobs in the second quarter, taking the total to 14.9 million

“The number of unemployed persons increased by 584 000 to 7,8 million compared to the first quarter of 2021. The number of discouraged work-seekers increased by 186 000 (5,9%) and the number of people who were not economically active for reasons other than discouragement decreased by 571 000 (4.5%) between the two quarters resulting in a net decrease of 386 000 in the not economically active population,” Stats SA revealed.

The results also revealed that gender discrimination remains a major problem in various settings, including the workplace, as they indicate that the South African labour market is more favourable to men than it is to women.

“Men are more likely to be in paid employment than women regardless of race. The proportion of men in employment is higher than that of women; more men than women are participating in the labour market as the labour force participation rate of men is higher than that of women; and the unemployment rate among men is lower than amongst women.”

QLFS Director, Dihlolelo Phoshoko, says the rate of unemployment among women was 36,8% in the second quarter of 2021 compared to 32,4% amongst men according to the official definition of unemployment.

“The unemployment rate among black African women was 41,0% during this period compared to 8,2% among white women, 22,4% among Indian/Asian women and 29,9% among coloured women,” she added.

Formal sector employment decreased by 375 000 while the other sectors experienced increases in employment.