/ 30 June 1997

SA lost 71 000 jobs in 1996

MONDAY, 11.00AM

THE Central Statistical Service said at the weekend that the SA economy lost 71 000 jobs last year in the non-agricultural formal sector, in a blow to government’s hopes of creating 126 000 jobs.

Government’s growth, employment and redistribution strategy (Gear) projected 126 000 jobs would be created last year, with a further 252 000 being opened this year. Gear also projected a 2,9% economic growth rate this year, when most other economic forecasts have been revised downwards to between 2% and 2,5%.

Non-agricultural economic output in 1996 increased by 1,85% despite the 1,3% rise in unemployment — a situation of “jobless growth”. Some economists, however, dispute the unemployment figures, saying they underestimate the increasing levels of casual employment and other new forms of employment.