UPDATE 1-South Africa’s unemployment rate reaches new record high in first quarter. PRETORIA, June 1 (Reuters) – South Africa’s unemployment rate rose to a new record high of 32.6% in the first quarter of 2021 from 32.5% in the final quarter of 2020, the statistics agency said on Tuesday.
Why is unemployment in South Africa so high?
Inadequate education and lack of productivity is costing jobs. Unemployment increases progressively with decreased educational levels; and the education system is not producing the skills for the labour market. Labour supply is affected by the increase in the number of job seekers over the years.
Does South Africa have an unemployment problem?
According to the Quarterly Labour Force Survey (QLFS) of the 1st quarter of 2021, young people are still struggling in the South African labour market. The official unemployment rate was 32,6%. … About a quarter (24,4%) of the youth have jobs and 45,3% of them participate in the labour market.
How is unemployment in South Africa?
The official unemployment rate was 32,6% in the first quarter of 2021. The results of the Quarterly Labour Force Survey (QLFS) for the first quarter of 2021 show that the number of employed persons remained almost unchanged at 15,0 million (a slight decrease of 28 000) in the first of quarter 2021.
What causes high unemployment?
When businesses contract during a recessionary cycle, workers are let go and unemployment rises. When unemployed consumers have less money to spend on goods and services, businesses must contract even further, causing more layoffs and more unemployment.
What are the major problems caused by unemployment?
The personal and social costs of unemployment include severe financial hardship and poverty, debt, homelessness and housing stress, family tensions and breakdown, boredom, alienation, shame and stigma, increased social isolation, crime, erosion of confidence and self-esteem, the atrophying of work skills and ill-health …
What is poverty in South Africa?
The South African government measures poverty by three threshold points. The upper-bound poverty line (UBPL) indicates an income of 1,183 Rand ($70.90) per month. On the other hand, the lower-bound and food poverty lines indicate incomes of 785 Rand ($47.04) and 547 Rand ($32.78) respectively.
What is the main cause of youth unemployment?
Lack of right skills
This is a problem that is affecting youth in both developed and underdeveloped countries. This inability of young people to transition from college to work due to lack of the right skills is therefore a big contributor to youth unemployment.
What country has the highest unemployment rate 2020?
By May 2020, the unemployment rate may have been as high as 16%.
Here are the 10 countries with the highest rates of unemployment:
- Burkina Faso (77.00%)
- Syria (50.00%)
- Senegal (48.00%)
- Haiti (40.60%)
- Kenya (40.00%)
- Djibouti (40.00%)
- Republic Of The Congo (36.00%)
- Marshall Islands (36.00%)
How does corruption affect unemployment in South Africa?
Corruption escalate into unemployment, reduction in tax revenue, decline in business operation and ultimately, collapse of the economy.