The South African unemployment rate remained unchanged in the first quarter of 2018 compared with the fourth quarter of 2017. Of the 37,7 million South Africans of working age, 16,4 million were in employment and 6 million were unemployed.
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Quarterly Labour Force Survey Quarter 1:2018
1. QLFS Q1: 2018
Quarterly Labour
Force Survey
Q1:2018
Risenga Maluleke
Statistician-General
#StatsSA
2. QLFS Q1: 2018
UnemployedEmployed
16,4 6,0
2,8
12,5
Other NEA
The labour market Q1:2018
Not Economically Active*
discouraged
workseekers
15,3 million
ILO hierarchy – Employed first then unemployed
and the remainder is NEA (including discouraged
job-seekers). 3 mutually exclusive groups.
Cannot be in two groups at the same time
Labour force
22,4 million
37,7 million
People of working age in South Africa (15 – 64 year olds)
M
M
M
Employed Unemployed
South Africa’s
official
unemployment rate
stands at
26,7%
M
Unchanged btw
Q4 2017 and Q1 2018
3. QLFS Q1: 2018
0M
5M
10M
15M
20M
25M
30M
35M
40M
2017 Q4 to 2018 Q1 Changes
2008
- 403 000 q/q
+ 206 000 q/q
+ 100 000 q/q
Other Not Economically Active
Unemployed
Employed
LabourForce
There was an increase of 153 000
people of working age in South Africa
(15 – 64 year olds) between Q4:2017 and
Q1:2018
Q1 2018
+ 249 000 q/q
Discouraged work seekers
NotEconomically
Active
5. QLFS Q1: 2018
Labour market dashboard Q1:2018
14,4 M
16,4 M
0 M
5 M
10 M
15 M
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
45,8%
43,5%
35%
40%
45%
50%
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Number
of
employed
Absorption
rate
59,6%
60,5%
58,8%
59,3%
50%
55%
60%
65%
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Labour
force
participation
rate*
The number of employed people increased from
14,4 million in Q1:2008 to 16,4 million in Q1:2018.
Absorption rate increased in Q1:2018 to 43,5% (q/q)
and has not recovered to level of 45,8% since 2008
The labour force participation rate increased by 0,5 percentage points to 59,3% in
Q1:2018 from Q4 2017.
*Labour force participation rate is the proportion of the working-age population that is either employed or unemployed.
*Absorption rate is the proportion of the working-age population that is employed.
7. QLFS Q1: 2018
Labour market rates by age group
The unemployment rate for those aged 25-34
is double that of the 45-54 year olds.
52,4%
33,0%
20,9%
16,1%
8,9%
26,7%
15-24 yrs
25-34 yrs
35-44 yrs
45-54 yrs
55-64 yrs
15-64 yrs
25,6%
73,8%
80,9%
74,0%
45,8%
59,3%
12,2%
49,4%
64,0%
62,1%
41,8%
43,5%
0,6
0,5
0,0
-0,4
1,3
0,7
0,2
0,7
0,8
-0,5
1,0
0,7
0,8
0,9
-0,3
Unemployment rate Absorption rate Participation rate
Change Percentage points
Q4 2017 to Q1 2018
8. QLFS Q1: 2018
44,8%
33,5%
53,3%
53,6%
52,4%
Other
tertiary
Graduates
Matric
Less than
matric
Total
23,3%
10,2%
33,0%
39,0%
33,0%
8,1%
4,7%
16,0%
22,7%
17,6%
Unemployment rate by education level and age group
The unemployment rate among the
youth is higher irrespective of education
level
0,0
2,7
7,5
2,0
-0,6
0,7
-0,5
-2,4
0,5
-0,1
1,0
-1,0
15 – 24 years 25 – 34 years 35 – 64 years
Change Percentage points
Q4 2017 to Q1 2018
9. QLFS Q1: 2018
PROFILE OF THOSE NOT IN
EMPLOYMENT, EDUCATION OR
TRAINING
(NEET)
QLFS
Q1:2018
10. QLFS Q1: 2018
EducationWork
NEET
Those young people
(15-24 years) who are
categorised as NEET
are considered to be
disengaged from both
work and education.
Not in Employment, Education or Training
Youth NEET rate is calculated as the total number of youth who are NEET as a proportion of the total youth-specific
working-age population
11. QLFS Q1: 2018
-5,0 0,0 5,0 10,0 15,0 20,0 25,0 30,0 35,0 40,0
2018 Q1
Approx. 3,3 million (32,4%) out of
10,3 million young people aged 15-24, were
not in employment, education or training.
Female NEET
Up 1,0 Percentage Point
Male NEET
Down 0,9 of a Percentage Point
Not in Employment, Education or Training NEET (15-24 years) by sex
35,3%29,6%
30,5% 34,3%
The overall NEET rate
remained unchanged in
Q1: 2018 compared to Q1:
2017 at 32,4%
2017 Q1
32,4%
12. QLFS Q1: 2018
Not in Employment, Education or Training : Provincial
NEET rate (Year on Year Change Q1 2017 – Q1 2018)
26,9%
28,6%
29,1%
29,4%
32,4%
34,4%
35,9%
36,4%
37,0%
37,4%
WC
FS
LP
GP
RSA
EC
MP
KZN
NW
NC
(+1,8)
(-1,8)
(0,0)
(+0,2)
(+0,3)
(0,0)
(-0,9)
(+2,5)
(-2,2)
(-1,2)
( ) Y/Y Change
14. QLFS Q1: 2018
Employment Q1:2018- Q/Q changes
16,4mOf people aged 15 – 64 years were employed in Q1:2018 (+206 000 q/q)
Q/Q Q/QQ/Q
111 000 93 000 - 3 000
Q/Q
Agriculture
Private
households
Formal Sector
(Non agricultural)
Informal Sector
(Non agricultural)
5 000
(11,4 million jobs) (2,9 million jobs) (1,3 million jobs) (847 000 jobs)
Increased byIncreased by Increased by Decreased by
15. QLFS Q1: 2018
0 5 10 15 20 25
Other
Utilities
Mining
Agriculture
Transport
Private households
Construction
Manufacturing
Finance
Trade
Services
Employment shares, Q1:2018
0,1%
0,9%
2,4%
5,2%
5,9%
7,8%
8,7%
11,3%
14,7%
20,0%
23,1%
0 5 10 15 20 25
Share of
GDP
(Q4: 2017)
22,0%
16,8%
21,8%
13,8%
3,8%
9,6%
1,6%
8,3%
2,3%
Employment and GDP share per industry
Construction, Trade,
Agriculture and Services
have higher employment
shares relative to their
GDP contribution
16. QLFS Q1: 2018
-41
-14
-6
-3
5
30
36
40
58
95
Transport
Mining
Utilities
Agriculture
Private households
Finance
Trade
Construction
Manufacturing
Services
Quarter-to-quarter change (‘000)
-75
-50
-45
-28
-4
-2
24
59
69
216
Construction
Mining
Private households
Agriculture
Transport
Utilities
Finance
Manufacturing
Trade
Services
Year-on-year change (‘000)
Employment changes by industry
The biggest employment gains were recorded in the Services,
Manufacturing and Construction industries, quarter-to-quarter
17. QLFS Q1: 2018
Q/Q Q/QQ/Q
SERVICES
CONSTRUCTIONMANUFACTURING TRADE
95 000 40 000
Q/Q
Mainly driven by gains in:
Health and social work
Public administration and
defence activities
Activities of membership
organisations, NEC.
Recreational , cultural and
sporting activities
Mainly driven by gains in:
Building installation
Mainly driven by gains in:
Manufacture of basic
metals
Manufacture of coke,
chemicals, rubber and
plastic
Manufacture of textiles,
clothing and leather goods
Mainly driven by gains in:
Wholesale trade
Retail trade
58 000 36 000
Quarter-on-quarter employment changes: Gains
18. QLFS Q1: 2018
- 41 000
Q/Q Q/Q
- 6 000
Q/Q
Mainly driven by losses in:
Other land transport.
Railway transport
Air transport
Transport UtilitiesMining
Quarter-on-quarter employment changes: Losses
Mainly driven by losses in:
Collection, purification
and distribution of water
Manufacture of gas
Mainly driven by losses in:
Mining of :
Non-ferrous metal ores
Stone quarrying, clay and
sandpits
Diamonds
-14 000
19. QLFS Q1: 2018
0,4%
5,3%
6,1%
8,3%
8,6%
8,7%
10,7%
12,2%
16,4%
23,3%
Other
Skilled agriculture
Professional
Domestic worker
Plant and machine…
Technician
Manager
Clerk
Craft and related trade
Sales and services
Elementary
Employment share by occupation, Q1:2018
Close to a third of all people
employed in Q1:2018 were
employed in
elementary and domestic work
occupations
20. QLFS Q1: 2018
Formal sector employment decreased by
144 000 to 11,2 million quarter-to-quarter
Formal sector employment has shown an
upward trend increasing from 9,9 million in
Q1:2008 to 11,4 million in Q3:2017
Formal sector employment
9,9 M
11,2 M
11,4 M
0 M
2 M
4 M
6 M
8 M
10 M
12 M
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Formal sector employment has shown an
upward trend increasing from 9,9 million in
Q1:2008 to 11,4 million in Q1:2018
21. QLFS Q1: 2018
2,4 M
2,8 M
2,9 M
0 M
2 M
4 M
6 M
8 M
10 M
12 M
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Informal sector employment has increased
from 2,4 million in Q1:2008 to
2,9 million in Q1:2018
Informal sector employment
23. QLFS Q1: 2018
Labour market dashboard
4,4 M 5,9 M
6,0 M
0 M
1 M
2 M
3 M
4 M
5 M
6 M
7 M
8 M
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
The number of unemployed people in South Africa increased from 4,4
million in Q1:2008 to 6,0 million in Q1:2018
Number of unemployed people
57,0%
68,5%
0%
20%
40%
60%
80%
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
The proportion of those in long-term unemployment increased from 57,0%
in Q1:2008 to 68,5% in Q1:2018
Long term unemployment*
* Unemployed for a year or longer
24. QLFS Q1: 2018
23,2%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1
2008 2009 2010 2011 2012 2013 2014 2015 2016 20172018
30,9%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
6,0 million
people were unemployed in Q1:2018
An increase of 100 000 q/q
9,5 million
people were unemployed in Q1:2018
An increase of 264 000 q/q
28,8%
25,1%
SA: 26,7%
40,6%
33,2%
SA: 36,7%
Expanded Definition includes the following
- Official unemployment (searched and available) 6,0 M
- Available to work but are/or
• Discouraged work-seekers 2,8 M
• Have other reasons for not searching 0,7 M
Official Unemployment Rate
26,7% (0,0% Point Change Q/Q)
Expanded Unemployment Rate
36,7% (+0,4 % Point Change Q/Q)
Q1:2018
Q1:2018
25. QLFS Q1: 2018
6,7%
9,2%
23,5%
30,0%
26,7%
6,9%
11,8%
22,7%
30,1%
26,7%
White
Indian/Asian
Coloured
Black African
Both sexes
Unemployment rate
by Population group
Q1:2018 Q4:2017
5,1%
9,0%
23,3%
28,0%
24,8%
6,8%
11,5%
24,3%
27,9%
25,1%
Male unemployment rate
By Population Group
Official unemployment rate by population group and sex
Black women are the most vulnerable with
unemployment rate of over 30%.
8,8%
9,6%
23,8%
32,4%
29,0%
7,1%
12,5%
21,0%
32,6%
28,8%
Female Unemployment Rate
by Population Group
Black women are the
most vulnerable with
unemployment rate
of over 30%.
26. QLFS Q1: 2018
8,5%
14,9%
29,1%
40,7%
36,3%
9,8%
18,2%
27,5%
41,0%
36,7%
White
Indian/Asian
Coloured
Black African
Both sexes
Expanded unemployment
rate by population group
Q1:2018 Q4:2017
6,1%
13,1%
28,0%
37,0%
32,8%
8,8%
15,9%
28,4%
37,0%
33,2%
Male expanded
unemployment rate
Expanded unemployment rate by population group and sex
11,6%
18,2%
30,3%
44,8%
40,3%
11,0%
21,9%
26,6%
45,4%
40,6%
Female Unemployment Rate by
Population Group
Irrespective of
sex Black
Africans and
Coloured
population
groups remain
vulnerable in the
labour market
27. QLFS Q1: 2018
19,7%
19,9%
22,3%
25,8%
26,7%
28,6%
29,5%
32,4%
32,8%
35,6%
0,0 5,0 10,0 15,0 20,0 25,0 30,0 35,0 40,0 45,0 50,0
Western Cape
Limpopo
KwaZulu Natal
North West
South Africa
Gauteng
Northern Cape
Mpumalanga
Free State
Eastern Cape
(+0,3)
(+3,5)
(-1,8)
(-0,5)
(+0,2)
(+1,9)
(+0,5)
(+0,2)
(0,0)
( ) Q/Q Change
(+2,4)
Only two provinces (GP and KZN) showed decreases in their unemployment rate
between Q4 2017 and Q1 2018
Provincial unemployment rate: Official Q1: 2018
28. QLFS Q1: 2018
22,5%
37,6%
40,6%
41,8%
36,7%
33,6%
41,0%
42,5%
38,4%
46,0%
19,7%
19,9%
22,3%
25,8%
26,7%
28,6%
29,5%
32,4%
32,8%
35,6%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
Western Cape
Limpopo
KwaZulu Natal
North West
South Africa
Gauteng
Northern Cape
Mpumalanga
Free State
Eastern Cape
Provincial unemployment rate: Official vs Expanded Q1: 2018
EC has the highest unemployment rate based on either the official or expanded definition
Limpopo, KZN and NW Provinces all have more than 15% points difference between thier expanded and official
definitions
17,7% Point Difference
18,3% Point Difference
15,9% Point Difference
Official Expanded
30. QLFS Q1: 2018
Student
40,1%
Discouraged work seekers
18,2%
Home-maker
16,5%
Illness/disability; 10,2%
Too old/young to work; 9,4%
Q4 2017 to Q1
2018 % Change5 main reasons for NEA
Non-economically active (NEA)
NEA
M
M
M
M
15,3 million people aged 15 – 64 years were not economically active. A decrease of 154 000 q/q
15,3 M
Quarter-on-quarter changes
Thousand
Student -204
Homemaker -149
Illness/disability -15
Too young/too old to work -16
Discouraged work seekers 249
Other -19
Down
0,9 %
Point
Up 1,8 %
Point
Down
0,8 %
Point
No
Change
No
Change
Q4 2017 to Q1 2018
Change in Figures
31. QLFS Q1: 2018
RECAP
UNEMPLOYMENT
RATE
EMPLOYMENT
GAINS
EMPLOYMENT
LOSSES
NOT IN EMPLOYMENT,
EDUCATION AND
TRAINING
Unemployment rate
remained unchanged at
26,7% while
absorption rate and
labour force participation
rate increased by 0,4 and
0,5 of a percentage point
respectively
Largest employment gains
were recorded in
Community and social
services (95 000),
Manufacturing (58 000) and
Construction (40 000).
Employment losses were
observed in Transport
(41 000), Mining (14 000),
Utilities (6 000) and
Agriculture (3 000)
Of the 10,3 million
persons aged (15-24
years) 32,4% were
not in employment,
education or
training.
Q1:2018
33. QLFS Q1: 2018
Labour force increased by 307 000 in Q1:2018 with employment and unemployment increasing by
206 000 and 100 000 respectively.
Largest employment gains were recorded in Community and social services (95 000),
Manufacturing (58 000) and Construction (40 000).
Employment losses were observed in Transport (41 000), Mining (14 000), Utilities (6 000) and
Agriculture (3 000)
Approximately 68,5% of the unemployed have been looking for work for a year or longer.
The less educated are more likely to be unemployed
Young people aged 15-24 years remain vulnerable in the labour market with an unemployment rate of
over 52% and absorption rate of about 12,2%
Of the 10,3 million persons aged (15-24 years) 32,4% were not in employment, education or training.
Unemployment rate remained unchanged while absorption rate and labour force participation
rate increased by 0,4 and 0,5 of a percentage point respectively
Key findings: Q1:2018