SA Unemployment Rate Decreases To 23.3%

The official unemployment rate has decreased from 30.1% in the first 3 months of the year to the current percentage of 23.3%. 

The national lockdown resulted in many unemployed people having to stay at home, making them unable to look for work. Even though the unemployment rate has decreased,  2.2 million jobs were lost in the second quarter of the year

Stats SA did not classify people who were not looking for work as “unemployed”, raising questions about the accuracy of the survey.

Old Mutual Chief Economist, Johann Els said the lockdown made it difficult for Stats SA to survey the labour force

“Stats SA says they switched from in-person surveying to telephonic surveying and that the sample was also a lot lower. So the numbers seem horrific, as one would expect given the horrific GDP numbers we have for the second quarter but there were lots of issues around these numbers...We expected significant job losses in the second quarter.”

He predicted that the numbers would get worse over time as the covid-19 support packages from the government fall away. Els mentioned how people in South Africa have lost faith in the country’s economy. 

“The employment numbers have always been difficult...You need the economy to grow to generate jobs but you also need jobs to help the economy in terms of tax payment”

He said South Africa will eventually see gradual growth and improvement, but the country needs better economic and employment policies. 

“We’ll see better numbers but it’ll take a long time to the levels we had before the Covid crisis”

 

Latest SA News

Raigan Cloete - Wednesday 24th of February 2021
Unfortunately, the country's unemployment rate rose in the fourth quarter of 2020 by 1.7%, according to the data from Statistics SA.
Sakinah Samuels - Wednesday 24th of February 2021
Let's get this vaccine rolling! The second batch of the Johnson & Johnson vaccine is due to arrive this weekend.
Raigan Cloete - Tuesday 23rd of February 2021
A few analysts feel that Tito Mboweni, Finance Minister, has no choice but to begin deep cuts to social spending to rein in South Africa's spiralling debt. Tax hikes may even be on the cards.
Lauren Chawula - Tuesday 23rd of February 2021
Home Affairs published a draft of its new official identity management policy, which is open for public comment until 28 February. The department aims to introduce a National Identity System which guards against identity theft and digitises identity management.
Lauren Chawula - Monday 22nd of February 2021
While speaking at the ANC's Umrabulo Rounatable held virtually, Former President of South Africa, Jacob Zuma accused Parliament of failing to promote social cohesion and nation-building within the country. He says the behaviour of MPs within in Parliament is destructive.


Latest World News

Lauren Chawula - Sunday 21st of February 2021
Children in the UK have been taking part in the new trails for the Oxford-AstraZeneca vaccine to test whether the vaccine is safe and effective for those under the age of 18.
Raigan Cloete - Saturday 20th of February 2021
NASA has successfully landed a new rover, Perseverance, on the Red Planet, in the most ambitious mission yet to the planet.
Lauren Chawula - Monday 15th of February 2021
The United Kingdom's National Health Service has surpassed the 15 million milestone in administering the first Covid-19 vaccine. Majority was administered to those who are most at risk for Covid-19.
Alan Hammond - Tuesday 2nd of February 2021
British war veteran and celebrated charity fundraiser, Captain Sir Tom Moore, has died at the age of 100. He was surrounded by his family in his final hours as he succumbed to pneumonia and Covid-19 at the Bedford Hospital. The Queen and the UK Prime Minister led tributes to the man whose charity efforts at the age of 99 inspired the country, and the wider world, during the first hard lockdown.
Lauren Chawula - Tuesday 26th of January 2021
SA will join a long list of countries which are banned from travelling to the US, as President Biden works to curb the spread of the coronavirus in the country.