https://www.engineeringnews.co.za

SA 2013 Q2 employment prospects flat – survey

12th March 2013

By: Natalie Greve

Creamer Media Contributing Editor Online

  

Font size: - +

South African employers were expecting a stagnant labour market between April and June, according to a Manpower Employment Outlook Survey released on Tuesday.

Formulated from the responses of a sample of 750 employers in South Africa, the survey indicated that 7% of employers planned to increase staffing levels, while 5% planned to reduce staffing levels and 87% anticipated no change in their staffing levels during the second quarter of 2013. 

“Despite the cautious nature of the overall forecast, job seekers can expect to find some opportunities in the wholesale and retail trade sector, the electricity, gas and water supply sector, and the transport, storage and communications sectors,” the report noted.

In contrast, employers in the restaurant and hotel sector, the manufacturing sector and the construction sector reported weak second-quarter forecasts.

Manpower Group South Africa MD Lyndy van den Barselaar said labour issues, which had spread from the mining industry to other sectors, such as farming, had had a negative effect on employment plans for many industries.

“Changes in minimum wages, combined with the threat of more strikes in different sectors, anticipated changes in black economic empowerment (BEE), as well as land reform policies, have made many employers err on the side of caution when planning future staffing levels," she added.

The report asserted that, while the manufacturing and construction sectors continued to be dogged by lower consumer demand, declining exports and cautious business spending, their outlook improved by seven percentage points over the previous quarter.

In addition, consumers remained careful, spending less on luxuries and dining, which impacted on the restaurants sector, reported the survey, while businesses and consumers cut back on travelling and holidays, affecting the hotel industry.

“Basic services and necessities such as electricity and water supply continued to show growth in employment, though this may be stunted by government's recent refusal to allow Eskom to raise rates again.

“The wholesale and retail trade sector continues to do well off the back of improved consumer spending," explained Van den Barselaar.

Quarter-on-quarter, forecasts weakened in six of the ten sectors, with the most notable drops in manufacturing, agriculture, hunting, forestry and fishing and restaurants and hotels.

According to the survey, the outlook improved quarter-on-quarter in the wholesale and retail trade sector by six percentage points and in the construction sector by seven percentage points.

“Although we would have hoped for more positive results following the holiday season, consumer shopping performance, as well as some positive commitments from government on business issues, businesses still seem downbeat as to future employment plans.

“With many factors, such as the global economy, as well as upcoming policy changes in BEE and land reform, expected from government, many businesses still seem to be playing a waiting game before committing to any large-scale growth and employment plans," Van den Barselaar concluded.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

Comments

Showroom

Magni SA
Magni SA

Magni SA is committed to developing the safest Telehandlers available to our customers for underground and surface mining, construction, forestry,...

VISIT SHOWROOM 
GreaseMax
GreaseMax

GreaseMax is a chemically operated automatic lubricator.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.083 0.132s - 157pq - 2rq
Subscribe Now