Some economists are hopeful of a gradual improvement in jobs numbers after data released by Statistics South Africa (Stats SA) showed employment in the formal sector, excluding agriculture, fell by 0.7 percent in the first quarter of 2025.
The Quarterly Employment Statistics show full-time employment in the formal sector dropped by 55 000 jobs while part time employment fell by 19 000.
Standard Bank economist Elna Moolman says the country is seeing a decline in government employment and relatively broad-based decline in the private sector.
Video | Stats SA says formal employment decreased by 0.7 in Q1:
Moolman also noted that wages kept pace with inflation, which is at this stage still quite low however there has been severe pressure on bonus payments, while income did not even keep pace with inflation.
“Part of the weakness in the economy is of course attributable to severe policy uncertainty both globally and domestically and this unfortunately hardly improved in the second quarter of the year. We are looking for some improvement in the economy in the second half of the year and that should be followed by a recovery in the labour market in due course,” says Moolman.
Related video | Q1 employment stats:
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