Public Works and Infrastructure Minister Dean Macpherson has hailed the construction sector as a beacon of hope, citing its significant contribution to job growth in the second and third quarters of the year.
The Minister’s optimism is buoyed by the latest Quarterly Labour Force Survey released by Statistics South Africa. The data reveals that the construction sector added a staggering 176,000 jobs, playing a pivotal role in reducing the national unemployment rate by 1.4% in the third quarter.
“This is a testament to the green shoots emerging within the construction industry,” Minister Macpherson said. “We are witnessing a turnaround, with more projects getting underway and increased investor confidence.”
He emphasized the ongoing reforms aimed at stimulating investment and job creation within the sector. By streamlining processes and fostering public-private partnerships, the government is working to create a conducive environment for growth.
“We are committed to building a better South Africa,” Minister Macpherson declared. “By revitalizing the construction industry, we are not only creating jobs but also laying the foundation for sustainable economic development.”
While the overall unemployment figures remain a cause for concern, the construction sector’s performance offers a glimmer of hope. However, experts caution that the informal sector’s outperformance of the formal sector could have negative implications for tax revenue.
Despite job gains in most provinces, Gauteng and KwaZulu-Natal experienced job losses, shedding 66,000 and 2,000 jobs respectively. The community and social services sector, along with construction, emerged as key drivers of job creation.