According to the Quarterly Employment Statistics (QES, Q1:2023) survey released by Statistics South Africa (Stats SA), total employment in the formal non-agricultural sector decreased by 21 000 in the first quarter of 2023, bringing the level of employment to almost 10 million. The survey showed that 97 000 jobs were lost between March 2022 and March 2023.
In the first quarter of 2023, the QES survey reported a decline in total employment by 21 000 jobs compared to the previous quarter. This decrease was observed across various sectors, while some experienced job gains.
The trade industry bore the brunt of the job losses, with a decrease of 36 000 jobs. The business services sector followed closely behind, with a decline of 32 000 jobs. The transport and construction industries both experienced a reduction of 2 000 jobs in this quarter.
Despite the overall decline, certain sectors showcased resilience and recorded job gains during the same period. The community services industry emerged as a significant contributor, adding 41 000 jobs. Alongside community services, the mining industry experienced a positive upswing with a gain of 5 000 jobs. The manufacturing industry also demonstrated promising signs by adding 4 000 jobs. Additionally, the electricity industry contributed to the job gains with an increase of 1 000 jobs.
The first quarter report also provides insight into employment figures in industries before and after the COVID-19 pandemic. Five out of eight industries (Business services, Construction Transport, Trade and Electricity) have not returned to pre-pandemic employment levels.
A decrease in full-time employment was observed in the first quarter of 2023, with 63 000 jobs lost from December 2022 to March 2023. Job losses were recorded in the business services industry with a decline of 57 000 jobs, followed by the trade industry with a decrease of 14 000 jobs. The community services industry experienced a loss of 5 000 jobs, while the transport industry saw a reduction of 3 000 jobs.
Compared to the same period in the previous year, full-time employment in Q1:2023 registered a year-on-year decline of 24 000 jobs.
Part-time employment saw a noteworthy surge of 42 000 jobs quarter-on-quarter, rising from 1 110 000 in December 2022 to 1 152 000 in March 2023. The community services industry emerged as the leading contributor to the part-time employment increase, adding 46 000 jobs. The business services industry also demonstrated growth this quarter with an increase of 25 000 jobs. Additionally, the transport industry saw a moderate rise of
1 000 jobs.
Meanwhile, the electricity industry maintained its employment levels with no quarterly change.
While part-time employment showed overall growth, certain industries experienced job losses during the first quarter of 2023. The trade industry suffered a significant decline, losing 22 000 jobs. The construction industry also faced challenges, with a reduction of 7 000 jobs. In addition, the manufacturing industry experienced a modest loss of 1 000 jobs.
When comparing March 2023 to the same period in the previous year, there was a decline of 73 000 jobs in part-time employment.
Total gross earnings paid to employees decreased by R34,1 billion, dropping from R864,2 billion in December 2022 to R830 billion in March 2023. Several industries experienced significant decreases in total gross earnings. The community services industry reported a decrease of R13,5 billion, followed closely by the trade industry with a decrease of R12,4 billion. The manufacturing industry also recorded a decline of R9,1 billion, while the construction, transport, and electricity industries reported decreases of R4,7 billion, R2,1 billion and R1 billion, respectively.
Amidst the overall decrease in total gross earnings, the business services industry stood out by reporting an increase of R8,1 billion. Additionally, the mining industry experienced an increase of R551 million.
When comparing March 2023 to the same period in the previous year, total gross earnings showed year-on-year growth of R43,2 billion or 5,5%.
Basic salary/wages paid to employees decreased by R11,8 billion or a decline of -1,6%, dropping from R751,2 billion in December 2022 to R739,4 billion in March 2023. Multiple industries experienced significant decreases in basic salary/wages. The trade industry, community services, manufacturing, construction, and electricity reported notable decreases, contributing to the overall decline in basic salary/wages.
Amidst the overall decrease, the business services industry reported an increase of R976 million in basic salary/wages. Additionally, the mining industry reported a moderate increase of R551 million, followed by the transport industry with an increase of R295 million.
When comparing March 2023 to the same period in the previous year, basic salary/wages showed year-on-year increase of R32,7 billion or 4,6%.
Bonus payments to employees experienced a significant decline of R22,5 billion, decreasing from R89,5 billion in December 2022 to R66,9 billion in March 2023. Multiple industries reported decreases in bonus payments. The community services industry, trade industry, manufacturing industry, construction industry, transport industry and electricity industry all contributed to the overall decline in bonus payments.
Despite the overall decrease, the business services industry showed an increase in bonus payments. The industry reported an increase of R7,1 billion or 24,0% in the reference period.
When comparing March 2023 to the same period in the previous year, bonus payments exhibited growth. The year-on-year increase of R7,7 billion or 13,0% was reported.
Overtime payments paid to employees experienced a marginal increase of R0,2 billion, rising from R23,5 billion in December 2022 to R23,7 billion in March 2023. This indicates a growth rate of 0,8% during this period. Several industries reported increases in overtime payments. The community services industry, trade industry, electricity industry and business services industry contributed to the overall rise in overtime payments.
Conversely, the manufacturing industry, construction industry and transport industry reported decreases in overtime payments.
A comparison of March 2023 to the same period in the previous year, exhibited significant growth in overtime payments. The year-on-year increase of R2,8 billion or 13,6% indicates a positive trend in overtime payments.
Average monthly earnings in the formal non-agricultural sector experienced a decrease of 2,7%, declining from R26 002 in November 2022 to R25 304 in February 2023. The decrease in average monthly earnings was observed across various industries, except for the business services industry, which reported an increase of 1,7%.
Despite the quarter-on-quarter decrease, average monthly earnings in the formal non-agricultural sector exhibited substantial growth on a year-on-year basis. The data shows an increase of 6,8% between the corresponding periods of the previous year.
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