SA loses 67,000 jobs in first quarter

Trade, business services and mining are among the sectors that experienced significant declines in employment, collectively contributing to the 67,000 jobs decrease across various industries in the first quarter of 2024.

Total employment fell by 67,000 jobs from 10,731,000 in December 2023 to 10,664,000 in March 2024. This decline represents a quarter-on-quarter decrease of 0.6%. According to Stats SA, the decreases were recorded in the following industries: trade lost 57,000, community services 18,000, business services 4,000 and mining 3,000.  

During this period, electricity and transport showed no change. However, there were increases in the following industries: manufacturing, transport and construction. Meanwhile, overall full-time employment contracted dropped sharply by 29,000, decreasing from 9,513,000 in December 2023 to 9,484,000 in March 2024. Full-time employment decreased by 16,000 between March 2023 and March 2024.

Part-time employment fell by 38,000 quarter on quarter, from 1,218,000 in December 2023 to 1,180,000 in March 2024.

“This was due to decreases in the following industries: trade decreased by 8.3%, business services dropped by 3.0%, manufacturing declined by 6.7% and community services dropped 0.9%. The electricity and construction industries showed no changes. However, the transport industry reported an increase of 2,000 or 11.1%”, Stats SA said.  

On the wages front, there was a notable decrease in basic salary/wages paid to employees, amounting to R6.7bn, or  a decrease of 0.8%. This figure dropped from R855.6bn in December 2023 to R848.9bn in March 2024. Stats SA attributes these decreases primarily to the trade, manufacturing, construction, mining and business services industries. 

Certain industries reported increases in wages during the same period. The transport, electricity and community services sectors saw rises in the amount paid as basic salary and wages to their employees. While year-on-year basic salary/wages increased by R40.1bn, or 5%, between March 2023 and March 2024.  

“Bonuses paid to employees decreased by R27.6bn, or [a decrease of] 25%, from R109bn in December 2023 to R81.4bn in March 2023. This was due to decreases in the following industries: community services, trade, manufacturing, construction, transport and electricity. However, the business services reported an increase of R9.9bn,” Stats SA said.

Year-on-year bonus payments increased by R0.4bn, or 0.5%, between March 2023 and March 2024.

majavun@businesslive.co.za