Policy Paper (Interest) 05

This paper presents descriptive evidence on developments in South African sectoral labour markets over the 1970-97period. The paper reviews employment trends, in terms of both relative and absolute changes in the importance of economic sectors as employers over the 1970-97 period. For the manufacturing sector, changes in the skills compostion of the labour force is also examined. The paper continues by arguing that the evidence on the relative change in real labour renumeration and real labour productivity has to be taken seriously in any explanation of the poor employment creating capacity of the SA economy.