SA continues to bleed jobs as employment shrinks for second time

South Africa continues to bleed jobs as the country’s formal non-agricultural employment shrinks for the second consecutive quarter. Between June 2024 and June 2025, 229 000 jobs were lost.

Formal employment shows big decrease in second quarter

The survey shows that total employment in the formal non-agricultural sector decreased by 80 000 (-0.8%) in the second quarter, with employment falling from 10.59 million jobs in March 2025 to 10.51 million by June 2025.

The community services industry experienced the highest job losses, with a reduction of 53 000 jobs, followed by the trade industry that shed 10 000 jobs. The manufacturing industry saw a decrease of 9 000 jobs, while the construction industry shed 7 000 jobs, and the transport and business services industries each lost 2 000 jobs.

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However, the mining industry reported an increase of 2 000 posts, while electricity added 1 000 posts.

According to Statistics SA, the number of full-time jobs decreased by 44 000, decreasing from 9 457 000 in the first quarter of 2025 to 9 413 000 in the second quarter of 2025 due to several industries experiencing decreases in full-time employment.

The community services industry shed 14 000 jobs, while the business services industry lost 9 000 jobs, the manufacturing industry saw a reduction of 8 000 jobs and jobs in construction decreased by 7 000 jobs. Trade shed 6 000 jobs and transport 2 000 jobs.

However, the mining industry gained 2 000 full-time positions, while the electricity industry reported no change during the quarter.

The number of full-time jobs decreased by 55 000 from June 2024 to June 2025.

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Part-time jobs did not do well either in second quarter

The survey shows that part-time employment also did not do well, shedding 36 000 jobs, decreasing from 1 132 000 in March 2025 to 1 096 000 in June 2025.

Statistics SA says this reduction was mainly due to the community services industry, which lost 39 000 jobs. The trade sector experienced a decrease of 4 000 posts, while the manufacturing industry shed 1 000 jobs. Part-time jobs in the transport and construction industries remained unchanged.

At least the business services industry added 7 000 part-time positions and the electricity industry 1 000 positions.

Part-time employment decreased by 174 000 jobs compared to the corresponding quarter of 2024.

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Modest increase in earnings for people with jobs

Gross earnings paid to employees increased modestly by 0.2% in the second quarter of 2025, reaching R986.8 billion in June, up from R984.7 billion in March.

Statistics SA says the growth was largely thanks to the community services, trade and construction industries. In contrast, the business services sector experienced a substantial decrease of R14.1 billion, which tempered the overall growth.

Gross earnings for employees grew by 3.4%, an increase of R32.8 billion from June 2024 to June 2025. In the June 2025 quarter, basic salaries and wages increased by 2.5% (R21.7 billion) to reach R902.8 billion.

According to Statistics SA, this growth was evident across all major industries, including community services, business services and trade.

The survey also showed that basic salaries and wages increased by R31.3 billion, an increase of 3.6% from June 2024 to June 2025.

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Bonus payments also dropped significantly by 25.4%, overtime by 1%

Bonus payments dropped significantly by 25.4% (R19.3 billion), while total bonuses fell from R75.8 billion in March to R56.6 billion in June 2025.

Statistics SA says this decline was largely driven by the business services, manufacturing, trade and community services sectors. In contrast, the transport, construction and electricity industries all recorded an increase in bonus payments over the same period.

Bonus payments increased by 5.1% (R2.8 billion) from June 2024 to June 2025.

Overtime payments decreased by 1% or R266 million, reaching R27.4 billion in the second quarter, but despite this overall decline, the trade, construction and electricity industries reported an increase in overtime payments during the same period.

From June 2024 to June 2025, overtime payments to employees dropped by R1.3 billion, a decrease of 4.5%.

The average monthly earnings (AME) paid to employees grew by 3.4%, increasing from R28 322 in February 2025 to R28 290 in May 2025.

Compared to a year ago, average monthly earnings grew by 6.5%.