text: Effects Of Unemployment in South Africa - Free Essay Example | EduZaurus
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  Category Sociology, World, Government
  Topic People, South Africa, Unemployment
  In addition (defines unemployment as a result of an inability to find a job to establish self-employment. Gaffikin and Morrissey say it was regarded as a consequence of forces operating outside particular national economies or as a function of low labor productivities which in turn, led to industrial uncompetetiveness and it may be substantially under-recorded and individuals may have no resource to the protection of benefits.
  Mohr and Fourie (2008:498) report that the rate of unemployment is obtained by expressing the number of unemployed persons as a percentage of the labor force (that is the number of people who are willing and able to work, also called the economically active population or EAP). There are various ways to calculate unemployment, a first option is to use the official census data but it is only conducted every five years and there is a significant lag before the detailed data are published. A second option is to use data on registered unemployment in South Africa, however, such data are not very significant, since only a small portion of the unemployed register as such. A third option is to subtract the number of persons who are formally employed, engaged in the informal sector and engaged in subsistence agriculture from the EAP. The final and most popular option is to use the official estimates of the unemployment rate published by Stats SA. The current unemployment rate is 27.2%.
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