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StatsSA attributes high unemployment figure to previously discouraged work seekers now seeking employment

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South Africa’s unemployment is at its highest since Statistics South Africa (Stats SA) started surveying the figure in 2008.

Stats SA’s quarterly labour force survey shows that unemployment increased to 34,4% in the second quarter of this year, from 32.6% in the first quarter.

Stats SA indicates that the increase in the unemployment figure was mainly due to an increased number of people who were previously not economically active, now actively looking for employment.

The Quarterly Labour Force Survey shows that unemployment increased to 44,4% according to the expanded definition. The numbers show that unemployed persons increased by 584 000 in the second quarter of 2021.

Video | Jobs Data: South Africa’s unemployment rate rises to 34.4% in the second quarter: Risenga Maluleke

Statistician-General Risenga Maluleke says job losses were seen in various industries including finance, real estate and manufacturing.

“And this 584 000 people pushed our number of unemployed from the second quarter which was 7,2 million people to 7,8 million. When we take the 7,2 million people and add the 3,2 million people which are discouraged work seekers, plus another 800 000 people who didn’t look for work other than being discouraged, we come to 11,9 people – which accounts for our unemployment rate as expanded sitting at 44,4%,” says Maluleke.

The survey indicates that unemployment among young people between the ages of 15 to 24 is now sitting at 64,4%.

23-year-old Zamo Radebe says she’s now discouraged from looking for a job. She says she has tried looking for work at malls, restaurants and banks with no success.

“I’ve been to malls, restaurants, at the Capitec in the mall they wanted people,  but most times people say they want workers with their own people in mind, but they advertise posts. When you want work people take your CV and they don’t ever call you back. And when you approach establishments personally, they tell you to apply online. When you apply online they ask you things that you don’t understand, which is discouraging to such a point that you end up giving up,” says Radebe.

An economist and employment analyst, Andrew Levy says government, labour and the private sector need to act fast to slow down the rapid rise in unemployment.

“That is a huge number and obviously we can put this to the post COVID situation and the ongoing retrenchments that are being seen right across the economy, obviously also reflecting the very negative economic outlook we are facing. So all in all,  a serious wake-up call to everyone government, the departments dealing with labour,” says Levy.

Video | Jobs Data:  South Africa’s unemployment rate rises to 34.4% in the second quarter: Mike Schussler

Stats SA numbers also show that unemployment among women was higher at 36,8% compared to 32,4% among men in the second quarter.

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