Capital & Labour In South Africa

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These reports are also available as a digital subscription: Its worst score is for safety and the rule of law — at Between and , South Africa dropped 17 places in the Corruption Perceptions Index rankings from 54th to 71st. The country experienced a significant decline in the last year alone, dropping five places in the rankings from 64th in In the survey, corruption, crime and theft and government instability replaced inefficient government bureaucracy and restrictive labour regulations as the largest obstacles to doing business.

However, since outward flows of FDI have exceeded inflows, suggesting that South African firms view the investment climate abroad as more attractive than that at home. The population over 64 has risen relative to the other age groups across all population groups except among blacks, where it has remained unchanged since In , South Africa had the 4th highest HIV prevalence rate of the population aged in the world of Among the industries in which employment declined between and the manufacturing industry lost the most jobs — roughly , Nonetheless, in trade unions represented less than a third of workers.

The number of robots used in manufacturing is rising rapidly. Countries like Germany and Japan already have roughly robots installed for every 10, workers.

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South Africa, at 28, still has fewer than the global average of South Africa has historically been plagued by high levels of unemployment which were exacerbated by the recession. Fortunately, the South African labour market has begun to recover from the loss of employment caused by the recession. How has the recession changed the landscape of the labour market in South Africa?

The global recession had a significant economic and social impact in most nations around the world. South Africa was no different in this regard although we only officially entered into a recession in the first quarter of A recession is defined as two consecutive quarters of negative economic growth and is usually associated with other social ills such as increased unemployment.

The table below contains a number of labour statistics taken from various, Quarterly Labour Force Surveys. Each column represents a different moment in time, essentially a snapshot of the South African labour market. Q1 represents the start of the recession in South Africa and Q1 indicates the labour market statistics, two years after South Africa officially entered into a recession.

Q1 contains the most up to date statistics released by Statistics South Africa at the time of writing. The most apparent observation is that the South African labour market suffered in the first two years after entering the recession. The labour force, total employment and formal employment were all at depressed levels in Q1 relative to their Q1 levels.

Interestingly, the informal sector experienced an increase in employment while total and formal employment fell between Q1 and Q1 This suggests a substitution effect between formal and informal employment took place during the first two years after South Africa officially entered the recession.