Unemployment Rate Decreases By 1%

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The unemployment rate has decreased to 26,7% in the fourth quarter from 27.7% in the third quarter of 2017.

Head of Statistics South Africa (Stats SA), General Risenga Maluleke announced the decrease on Tuesday during a briefing on the results of the Quarterly Labour Force Survey (QLFS) for the fourth quarter of 2017.

The QLFS indicate a decrease of 351 000 in the labour force in Q4 of 2017 with employment and unemployment decreasing by 21 000 and 330 000 respectively.

It also indicated that the absorption rate declined by 0,2 of a percentage point to 43,1% and the labour force participation declined by 1,1 percentage points to 58,8% quarter-to-quarter.

General Maluleke said, “formal sector employment declined by 135 000 while the informal sector employment increased by 119 000 compared to Q3 of 2017″.

He added that the other declines were recorded in Finance (91 000), Trade (45 000), private households (43 000), and Mining industries (35 000) which contributed most to the net loss in employment.

The QLFS also revealed that the largest decline in the unemployment rate was recorded in Northern Cape (2,8 percentage points), Western Cape (2,4 percentage points) and North West (2,3 percentage points).