Lack of skills and experience to blame for youth unemployment-STATSSA

STATSsa on Tuesday released the South Africa unemployment figures for the first quarter of 2020 as we continue to wait for the Finance Minister to deliver his revised budget. Joblessness flew to its record high showing the weakness in the activity which has been underlying thorn before #Covid19 stormed into the global economy

Quarterly labour force survey shows unemployment rate rifling above 30% mark to 30.1 percent was up from 29.1 percent in the final quarter of last year, 7.1 million people without jobs in the first quarter, up from 6.7 million in the previous quarter

Under the expanded definition of unemployment, which includes people who have stopped looking for work, the rate was 39.7 percent compared with 38.7 percent in the previous quarter.

“This is the first (time) ever that we have hit the 30% mark,” Statistician General Risenga Maluleke said

This does not give the future of the country’s labour force a better picture as both private and public sectors have begun bleeding jobs. The SABC has announced its intentions to retrench over 600 employees while uncertainties surrounding SAA employees continue. #Covid19 does the mining sector no favour as the number of positive #covid19 cases in the industry continues to surge making it unclear as to whether the Health Dept. will continue granting mining activities a green light, indefinitely.

Companies such as steel producer ArcelorMittal South Africa Ltd, food producer Tiger Brands and third-biggest telecommunications operator Cell C already announcing plans to cut jobs.

IN NUMBERS

● Employment decreased by 38 000 to 16.4 million

● Unemployed persons increased by 344 000 to 7.1 million

● There were 20.4 million people aged between 15-34 years and young people accounted for 63.35% of unemployed people

● Youth unemployment rate stands at 43.2% while graduate joblessness of 15-24 years sits at 33.1%

● Discouraged work seekers was at 1.9 million 

On an abstract from the same report, STATSSA highlighted that economy demands skilled and experienced workers which makes it difficult and limits chances for young people to find employment. Many young work seekers aren’t well educated and not in possession of sufficient skills and previous work experience demanded in the employers.