'The 22 000 jobs are really a drop in the ocean'
According to Statistic South Africa, the country’s non-agricultural formal sector employment grew by 22,000 jobs in the first quarter of 2019.
The service released its latest Quarterly Employment Statistics on Tuesday.
Last month, the quarterly employment statistics bulletin showed that between March 2018 and March 2019, total employment increased by 76,000 jobs or 0.8%.
To discuss these latest statistics, Bongani Bigwa chats to labour consultant Tony Healy.
The fact of the matter is, we are simply not creating the number of jobs necessary in terms of the size of the growing labour market. The 22 000 jobs are really a drop in the ocean when trying to absorb the 37% of the economically active population that is looking for jobs.Tony Healy, Labour consultant
He adds that because there is not enough growth in the economy to create the jobs needed, companies are retrenching.
A lot of companies are retrenching because you have a digital self-service progression, which is taking away many jobs. There is a skills shortage, which is not producing enough skilled job applicants. You will find that the vast majority of the unemployed are largely unskilled.Tony Healy, Labour consultant
Healy notes that even though there are developments in the job market that are out of the hands of politicians, there is a lot they can do to stem the tide of job losses.
Things like policy certainty, the drama around the Mining Charter and the cost of employment. The real cost of employment is about 30% higher than an employee's salary if you throw in other hidden costs. We have a labour regulation that makes labour flexibility extremely hard.Tony Healy, Labour consultant
Listen below to the full interview:
Provincial health department head Dr Thobile Mbengashe is adamant that these scooters were never meant to be ambulances.Read More
The company that got the R10 million tender's Brian Harmse sheds light on the controversial project.Read More
Clement Manyathela chats with former minister Malusi Gigaba in a new feature called #HangingOutwithClement.Read More
RMB CEO James Formby says if the country doesnt control its debt, it will find itself in an economic quagmire.Read More
All Truck Drivers Foundation Gauteng secretary Mandla Mngomezulu says the union condemn any violence that is brought by protest.Read More
Public Enterprises Department acting director-general Kgathatso Tlhakudi gives insight on how the agreement was reached.Read More
The police and the hospital are investigating the rape incident of a two-year-old while in a COVID-19 isolation area.Read More
Investigative journalist Kyle Cowan says the Zondo commission is taking a very long time and there is a little bit of inquiry fatigue.Read More
Clement Manyathela unpacks what he thinks will happen if former VBS CFO Phillip Truter testifies.Read More
CEO Ishmet Davidson says the pandemic has accelerated the pre-existing and long-term structural decline in print media.Read More