South Africa for Hire

South Africa for Hire

Unemployment is the major aftershock of the natural disaster that is South Africa’s economy. Statistics South Africa, a government agency, said “The country’s unemployment rate has risen to 27.1% from 26.6% in the second quarter of 2016”,  the highest it has been in thirteen years (Record). “A decline in exports, particularly exports from South Africa’s mining sector, links back to the overarching trends of weak external demand, global uncertainty, a strong dollar, and sluggish global trade, catalyzed by a slowdown in China” (Search). In other words, South Africa’s economy is interdependent to the major global economic forces.

As a result of a bad economy, unemployment rates are on the rise. Very weak job creation and severe drought are some of the variables that play a part in the increasingly devastating consequences. The Economist Intelligent Unit found that, “Of the 638,000 people joining the labour force in 2016, just 51,000 secured jobs while 588,000 became unemployed” (Climbs). This means that about 92% of the people joining the labour force in 2016 are unemployed. Only 8% of the incoming labour force is employed. Country ViewsWire said that, “Despite weak job creation and rising unemployment over the previous 12 months, a comparison between the second and third quarters reveals a more positive outcome” (Hits). In the second and third quarters of the year the employed population of South Africa grew by 288,000 jobs, which makes things a little better. However, this improvement is not enough to repair the severe unemployment rate.

A person is considered to be a discouraged job-seeker if they are willing and searching for work but they cannot find a job; they are unskilled for an available job; or have no more hope of finding work (FACTSHEET). The Economist Intelligent Unit determined that, “the number of discouraged jobseekers fell by 235,000 (to 2.29m) as they re-entered the ranks of the labour force” (Hits). The number of discouraged job-seekers is decreasing for people are regaining hope, but this does not mean they are employed, it means that they are once again unemployed but are avidly searching for a job. Women are still the most vulnerable in the labour force, specifically women of color. These women tend to hold the lowest paying, lowest-skilled jobs (Record). This simply shows that in addition to the economy and employment rates going dipping down, the work force in South Africa is antiquated, not quite finding equality in jobs distribution. This is a key cause as to why the South African economy is plunging. Its methods and norms are stuck in the past, not caught up to the other major economic forces of the world.

The South African economy is seeing some tough times, but with adjustments and job creation it improves. Unemployment is an unfortunate precipitate of a bad economy. The rates are at a high that has not been seen in thirteen years. The main method to heal the economy is to catch up. They would do this by implementing job distribution equality, as well as  adjust their prices. Taking into consideration that the outcomes of mining make up 54% of South Africa’s exports, the fact that the sector shrank by 18.1% is a major sign of economic danger (Search). By increasing salaries and job counts in the field of mining, South Africa can once again be wealthy through its natural resources. Once South Africa is on equal grounds with other leading countries, their economic strategies will change making a difference to both the wealth of the nation and its people.

Works Cited:

Cengage Learning, Gale, ed. "South Africa." Global Issues In Context [Gale]. N.p., n.d. Web.

Chutel, Lynsey. "Record Unemployment Affects These South Africans the Most." Quartz. Quartz, 23 Nov. 2016. Web. 07 Mar. 2017.

"South African Economy: Quick View - Unemployment Climbs in 2016." South African Economy: Quick View - Unemployment Climbs in 2016. Ed. Economist Intelligence Unit: Country ViewsWire,. Economist Intelligence Unit: Country ViewsWire,, 16 Feb. 2017. Web. 4 Mar. 2017.

"South Africa: In Search of an Economic Foothold." DU Press. N.p., n.d. Web. 06 Mar. 2017.

ViewWire, Country, ed. "South Africa Economy: Quick View - Unemployment Rate Hits a Record High." Global Issues In Context [Gale]. Gale, 23 Nov. 2016. Web. 4 Mar. 2017.