The results of the first quarter of 2010 show that employment contracted by 1,3 percent or 171 000 jobs between the fourth quarter of 2009 and the first quarter of 2010. This change is at a slightly lower rate than the same period last year when employment contracted by 1,5 percent or 208 000 jobs.
While employment figures (quarterly labour force survey and quarterly employment statistics) in Statistics South Africa are not seasonally adjusted, there is evidence from both series that suggests that seasonality exists hence employment in quarterly labour force survey showed a slight increase in the fourth quarter of 2009 and a decline in the first quarter of 2010. This was also observed for the same quarters in 2008/09.
Employment contracted in all industries but agriculture, private households, transport and community and social services.
Employment by industry
Employment in agriculture increased by 5,7 percent or 35 000 jobs after seven successive quarters of job losses.
The results of the first quarter of 2010 also show that between the fourth quarter of 2009 and the first quarter of 2010, the number of unemployed persons in the country increased by 145 000 to approximately 4,3 million resulting in an increase in the unemployment rate increased by 0,9 of a percentage point to 25,2 percent. The unemployment rate went up for all population groups except the Indian population.
The year on year picture, shows the cumulative effect of the declines over the past year as employment contracted by 6,1 percent (833 000 jobs). Job losses affected all industries except transport and community and social services. The fall in employment was accompanied by an increase in unemployment (up by 126 000 persons) and another increase by 624 000 of persons who became discouraged.
These patterns suggest that there was a shift from employment into unemployment and discouragement. The employment contractions described above led to an increase in the unemployment rate by 1,7 percentage points to 25,2 percent, a fall in the absorption rate by 3,2 percent points to 40,8 percent and another fall in the labour force participation rate by 2,9 percent points to 54,6 percent.
For charts see: http://www.statssa.gov.za/keyindicators/QLFS/Press/Q1_2010_Press_Statement.pdf.
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Source: Statistics South Africa (http://www.statssa.gov.za.)
