Employment in South Africa’s formal non-agricultural sector declined by a combined 123,000 positions during the first half of 2026, as weaker hiring in manufacturing, business services, trade and transport outweighed gains in community services, mining, electricity and construction.
According to the latest Statistics South Africa Quarterly Employment Statistics, formal non-agricultural employment fell by 14,000, or 0.1 percent, between March and June to approximately 10.425 million. The first-quarter decline was revised to 109,000, bringing the cumulative first-half reduction to 123,000. Employment was 95,000 lower than a year earlier.
Manufacturing recorded the largest quarterly decline, losing 20,000 positions, equivalent to 1.6 percent. Business services shed 13,000 jobs, while trade and transport employment fell by 8,000 and 5,000 respectively. These reductions were partly offset by 29,000 additional jobs in community services, alongside increases of 1,000 positions each in mining, electricity and construction.
The composition of employment also shifted. Full-time employment decreased by 40,000 to about 9.33 million, while part-time employment increased by 26,000 to approximately 1.095 million. The figures indicate changes in the structure of formal employment rather than simply the headline movement in total jobs.
Average monthly earnings reached R30,611 in May, representing nominal growth of 4.1 percent year on year. After accounting for inflation, however, real average earnings declined by 0.4 percent. Gross employee remuneration fell by 0.5 percent quarter on quarter to R1.025 trillion, with bonus payments declining sharply during the period.
The QES findings provide a specific view of formal non-agricultural employment and should be distinguished from the broader Quarterly Labour Force Survey. The latter reported that South Africa’s overall unemployment rate rose to 33.6 percent in the second quarter, with total employment declining by 16,000 to 16.7 million.
The employment figures come against a broader contraction in economic activity. Stats SA reported that real GDP declined by 0.2 percent in the second quarter, with mining, trade and manufacturing among the sectors weighing on output.
