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State of the Environment

 About the CMA
Economy  
ISSUE:  Growing need for jobs in the formal economy
Issue statement
The formal economy of the CMA currently displays jobless growth. As a result the economy is unable to deal with the need for employment opportunities by new entrants into the job market resulting in a sizeable number of unemployed.

 
What pressures are causing changes in the environment?
The inability of the formal economy to address the high rate of unemployment in the CMA can be attributed to the rapid population growth, globalisation trends and the diverse demands on public spending. Rapid population growth serves to increase the labour force and add to the need for job creation. As a result, a mismatch of skills and growth sectors has developed.

 
What is the state of the environment?
In 1996, the formal economy provided more than 900 000-employment opportunities (63%) out of a labour force of 1.34 million. The informal sector employed approximately

245 000 people (or 18% of the labour force).

An estimated 30 000 to 40 000 persons are added to the labour force in the CMA per annum, while the formal sector currently provides an additional 16 000 employment opportunities annually.

Roughly 268 000 people (or 20% of the labour force) are unemployed. The highest unemployment levels, estimated to be between 30% and 45%, can be found in the southeast of the CMA and among the inhabitants of Atlantis in the north of the metropole.

The manufacturing, service and trade and catering sectors employ 28%, 25% and 22% of the CMA labour force respectively. Eight percent of the total employment opportunities exist in the financial and real estate sector, 7% in the construction and transport sector, 7% in communications sector and 2% and 1% in the agriculture, forestry and fishing and electricity and water sectors respectively. Only 0.3% of the labour force is employed in the mining and quarrying sector of the CMA economy.

 
Year One Indicators
The data for the following indicators is obtained from the population census and the October Household Survey and is monitored by:

The Directorate: Corporate Services, CMC:

  • Total number/percentage of people unemployed.
  • (Un)employment in formal and informal sectors (number and percentage).

The Directorate: Economic and Social Development, CMC:

  • Percentage/number of population economically active (labour force).

See a summary of all Indicators on this website

 
What responses are we giving to the problem?
The following response is underway by the CMC:
  • The Directorate: Economic and Social Development is undertaking the initiation and development of a Local Government Economic Development Strategy (EDS) for the CMA. The EDS is planned to include strategies to both enhance the global competitiveness of the CMA and reduce poverty.

 
What can you do about it?
  • Be productive.
  • Explore opportunities for creating your own small business.