Unemployment rate takes a dip: Q3 sees a decrease to 31.9%

In Q3, the unemployment rate dropped to 31.9%, marking a nearly 1% decrease from the previous quarter, surpassing expectations.

Stats SA released these figures on Tuesday, surprising labor analysts and economists, according to EWN.

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UNEMPLOYMENT RATE DECREASES IN Q3 TO 31.9%, SURPASSING EXPECTATIONS

The country’s employment level is now above pre-COVID-19 levels. Key contributors to job creation are finance and the community and social service sectors.

The unemployment rate for the third quarter of the year has eased by almost a percentage point to 31.9% compared to the previous quarter.

Unemployment rate for Q3 stands at 31,9% #StatsSA #QLFS https://t.co/pNP1Is0pSa

— South African Government (@GovernmentZA) November 14, 2023

STATS FROM THE PREVIOUS QUARTER

The Quarterly Labour Force Survey (QLFS) reported a rise in employed individuals by 154,000 to 16.3 million in Q2, compared to Q1 of 2023.

Unemployment figures decreased by 11,000 to 7.9 million in the same quarter. Notably, discouraged work-seekers dropped by 94,000.

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These changes led to a 0.3% decline in the official unemployment rate from 32.9% in Q1 to 32.6% in Q2 of 2023.

Formal sector employment increased by 143,000, with notable gains in construction (104,000) and trade (92,000). However, losses were seen in manufacturing (96,000) and finance (68,000).

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Limpopo, the Western Cape, and KwaZulu-Natal saw the largest employment gains, while the Free State and the Northern Cape recorded losses.

Despite improvements, youth unemployment remains a concern. In Q2 of 2023, unemployed youth (15–34 years) decreased by 131,000 to 4.7 million, resulting in a 1.1% decrease to 45.3%.

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