The effects of the economic downturn could still be felt in 2010, with 395 000 fewer employed people in South Africa, Statistics South Africa (Stats SA) said on today.
“On average, there were 13.1 million people employed in 2010 compared with 13.5 million in 2009, indicating that the country had not fully recovered from the economic recession experienced in 2009,” said Stats SA’s Deputy Director Generator for Population and Social Statistics, Kefiloe Masiteng.
The rate of decline in 2010 was lower compared to 2009.
This as Stats SA released its Labour Market Dynamics 2010 report, which indicated that employment contracted by 2.9% during 2010.
According to the report, all industries lost jobs in 2010 with the exception of community and social services and transport, with utilities suffering the most.
Employment in the formal sector contracted by 3.5%, while employment in the informal sector grew by 1.4%.
According to the report, over 78% of the working age population is made up of black people who make up only 69.3% of employed people. White people, who comprise 9.8% of the working age population, make up 15.4% of employed people.
“This shows a higher rate of entry into the market by whites compared to blacks,” said Masiteng.
In terms of education, a small portion (11.5%) had tertiary qualification in comparison to whites and Indians at 42.6% and 24.1% respectively.
The South African working age population between 2005 and 2010 grew by 8.7%, but employment grew by 2.3%.
“The result was that the absorption rate fell from 43.4% to 40.8%. Participation in the labour market is not as good,” she said.
Employed people had median monthly earnings of R2 900, with 34% of workers in the country earning below two-thirds of median monthly earnings.
About one in every four working aged people (26.7%) is aged 25 – 34 years. A third of the employed is aged 25 – 43 years, while 41% of unemployed people are aged 25 – 34.
“This continues to say that there’s a struggle to absorb the youth,” said Masiteng.
In 2010, the biggest impact of job losses was felt in North West and Mpumalanga, where employment contracted by 5.1% and 4.2% respectively, as well as in Gauteng (3.7%). – BuaNews
