The decreases could be due to companies retrenching and shutting down.
Picture: iStock
Formal sector employment declined by 80 000 jobs in the first quarter of 2026, with the biggest losses recorded in community services and the trade sector.
The Quarterly Employment Statistics (QES) released on Tuesday by Statistics South Africa (Stats SA) show that manufacturing, business services, mining and construction added jobs; however, the gains were not enough to offset the overall decline.
The QES shows how many people are employed by formal businesses in the country. The decreases could be due to companies retrenching and shutting down.
In the first quarter, employment fell from 10.5 million employees in December 2025 to 10.4 million in March 2026.
Jobs lost per industry
Stats SA’s data showed that 53 000 jobs were lost in community services, followed by 40 000 in trade, 3 000 in transport, and 1 000 in electricity.
Certain industries added jobs: 7 000 in manufacturing, another 7 000 in business services, 2 000 in mining, and 1 000 in construction.
The data agency said full-time employment decreased by 24 000 during the period. This was due to jobs lost in trade (-27 000), community services (-3 000), transport (-2 000), manufacturing (-1 000), and construction (-1 000)
Electricity remained unchanged, while business services recorded an increase of 8 000 jobs, followed by mining with 2 000.
Part-time jobs lost
According to Stats SA, part-time jobs decreased by 56 000 from December 2025 to March 2026.
The decreases were recorded in community services (-50 000), trade (-13 000), business services (-1 000), transport (-1 000), and electricity (-1 000).
However, there were increases reported by the following industries: manufacturing (8 000), and construction (2 000).
The agency noted that gross earnings paid to employees decreased by R43.4 billion from R1.08 trillion in December 2025 to R1.04 trillion in March 2026.
“This was due to decreases in the following industries: manufacturing, community services, trade, construction, electricity and transport. However, business services and mining reported increases.”
Salaries decrease
Stats SA said basic salaries and wages paid to employees decreased by R6.9 billion, from R928.4 billion in December 2025 to R921.5 billion in March 2026.
“This was due to decreases in the following industries: manufacturing, construction, business services, community services, transport, and trade,” said the agency. “However, mining and electricity showed an increase.”
Data also showed that bonuses paid to employees decreased by R35.8 billion from R121 billion in December 2025 to R85.3 billion in March 2026.
“This was due to decreases in the following industries: community services, trade, manufacturing, construction, electricity, and transport. However, business services reported an increase.”
Overtime payment decrease
Stats SA also revealed that overtime paid to employees decreased by R700 million from R29.9 billion in December 2025 to R29.2 billion in March 2026.
“This was due to decreases in the following industries: manufacturing, construction, community services, electricity and business services,” said the agency. “However, there were increases reported by transport and trade industries.”
Average monthly earnings paid to employees increased by 0.9% from R29 738 in November 2025 to R29 997 in February 2026.
