scholarly journals Labour market discrimination and employment in South Africa

1981 ◽  
Vol 12 (3) ◽  
pp. 64-69
Author(s):  
B. Urban Lombard

The purpose of this paper is to critically analyse the occupational structure determinants for the different race/sex groups within the manufacturing sector of South Africa. This study is carried out in the theoretical framework of the human capital school and dual labour market theory approaches. This research derived its importance from the phenomena of high unemployment, low occupational status, and the underutilization of Blacks in the labour market. The aim of this study is to focus on the Blacks' human capital investment, their underutilization and employment problems. The results obtained highlight the development and employment opportunities for Blacks and provide guidelines to individuals and employers on how to combat labour market discrimination.Die doel van hierdie artikel is om die beroepstruktuurdeterminante volgens ras- en geslagsgroepe in die vervaardigingsektor van Suid-Afrika krities te ontleed. Die studie is gebaseer op die teoretiese raamwerk van die menslike kapitaalskool en die dualistiese arbeidsmarkbenaderings. As gevolg van die groot tekort aan geskoolde mannekrag het die studie sy belangrikheid verkry in die verskynsels van hoe werkloosheid, lae beroepstatus en die onderbenutting van nie-Blankes in die arbeidsmark. Die oogmerk met hierdie studie is om op die nie-Blanke se menslike kapitaalinvestering, onderbenutting en indiensnemingsprobleme te fokus. Die resultate het tot verskeie gevolgtrekkings gelei wat die menslike hulpbronontwikkeling en -bestuur in Suid-Afrika onderstreep het. Hierdie gevolgtrekkings en aanbevelings beklemtoon en hou verband met die ontwikkeling en indiensnemingsgeleenthede vir nie-Blankes en sommige van die gevolgtrekkings bied riglyne vir individue en werkgewers oor hoe om arbeidsmarkdiskriminasie teen te werk.

2008 ◽  
Vol 4 (2) ◽  
pp. 133-146
Author(s):  
Suchitra S Kumar

The human capital approach to the gender disparity is not the only approach available. This paper compares and contrasts the two diverse approaches to understand the issues related to human capital formation in women. These approaches are the patriarchal approach and the human capital approach. The patriarchy approach highlights the role of social structures and power relationships in society, while the human capital approach highlights the importance of differential human capital endowments in explaining differences in labour market earnings. The two approaches are not mutually opposed, though they emphasize different channels that produce differences in labour market earnings.  For example, lower earnings because of lower human capital investment in women as a result of social attitudes are entirely compatible with the human capital approach. How does one then distinguish the two approaches in an empirical study? This paper makes an attempt to do so. In this paper we attempt to analyse the labour market discrimination by controlling for variables such as gender, age, experience, number of children, and education in the regressions.


2020 ◽  
pp. 174-194
Author(s):  
Phillip Brown

This chapter turns to questions of labor demand at the heart of the new human capital. It rejects Gary Becker’s claim that orthodox theory offered an entirely new way of looking at labor markets, where the main focus is on labor scarcity and a skills competition, in which individuals, firms, and nations compete on differential investments in education and training. It also rejects David Autor’s claim that the issue is not that middle-class workers are doomed by automation and technology, but instead that human capital investment must be at the heart of any long-term strategy for producing skills that are complemented by rather than substituted for by technological change. The chapter argues that the new human capital rejects the view that demand issues can be resolved through a combination of technological and educational solutions. Rather a jobs lens is required to shed new light on changes in the occupational structure, transforming the way people capitalize on their education, along with the distribution of individual life chances.


2009 ◽  
Vol 48 (4II) ◽  
pp. 509-521 ◽  
Author(s):  
Zafar Mueen Nasir ◽  
Nasir Iqbal

Wage differential due to employer size is one of the key areas of interest in labour market research because a strong positive relationship between employer size and wages has been observed in developed and developing countries. It is, however, relatively neglected area of research in Pakistan. The purpose of present study is to investigate the employer size wage differential by looking at human capital factors. The study is based on standard methodology and estimates earning functions on Labour Force Survey (LFS) data for year 2007-08. Results clearly show that human capital investment has a bigger role in determining wages in the larger firms as compared to smaller firms. The main policy implications emanating from the analysis are the higher investment in skill which increases opportunities for workers in the labour market for higher wages and for jobs with good characteristics especially in large sized firms. The government policy towards education and skill formation needs serious reforms and better allocation of funds so that people get chance to enhance their skill level hence wages. JEL classification: J31, J40, J24 Keywords: Wage Differential, Human Capital, Labour Market


2006 ◽  
Vol 6 (1) ◽  
Author(s):  
M. D. Uys ◽  
P. F. Blaauw

Purpose of the paper: The purpose of this paper is to revisit the dual labour market theory as far as the informal sector in South Africa is concerned. The hypothesis is that the dual labour market theory must be extended in order to be applicable to the informal sector of the South African economy. It is our view that within some informal occupations a further segmentation exists. Problem investigated: Among South Africa ’s grave socio-economic problems, unemployment is one of the most serious and intractable. An increase in informal and self-employment was experienced during the last decades. Traditional dual labour market theory maintains that jobs can be roughly divided into two groups: those with low wages, bad working conditions, unstable employment and little opportunity for advancement; and those with relatively high wages, good working conditions and opportunities for advancement. The problem that confronts researchers is that even within informal employment, further segmentation is possible. Approach: To determine whether the dualism, that described by the dual labour market theory, is also present within the informal sector itself, available data on a typical informal sector activity, namely car guarding, is analysed. This provides the evidence to achieve the objective of this paper. Findings and implications: The case study of car guards confirms that the dual labour market theory can also apply within the informal sector on the condition that it is expanded to make provision for a further segmentation of the periphery sector. This finding presents several important policy implications. A basket of policies is needed to address the problem of unemployment as effectively as possible. Value of the research: The paper provides further knowledge on informal employment in South Africa. This is an area that requires a lot of attention, given the importance of the informal sector in South Africa and Africa at large. It goes further than the traditional implications stemming from the dual labour market theory. Conclusion: The South African labour market is fragmented, consisting of a well-paid formal sector and the periphery that consists of workers in the informal sector, subsistence agriculture and the unemployed. Within the periphery, there is the possibility that a certain degree of dualism exists. The case study of car guards confirms that the dual labour market theory can be extended to make provision for this dualism, even within the informal sector.


Author(s):  
Robert W.D. Zondo

The majority of South Africans expect greater prosperity that can be accomplished through greater employment, high productivity and wage increases. Increased productivity can finance higher wages without burdening the customer with higher selling prices. Consequently, there should be strong co-operation between management and labour to improve productivity, thereby ensuring the survival of South African companies. To achieve this objective, organisations find themselves turning to their employees for creative suggestions and ideas on better ways of doing things. This sentiment underpins the concept of gainsharing. Gainsharing is a formula-based company-wide programme that offers employees a share in the financial gains of a company as a result of its improved performance. This motivation boosts a company’s productivity and radically reduces the cost of waste, spoilage, rejects and rework. This study examined the impact of a gainsharing programme on the improvement of labour productivity in the automotive parts manufacturing sector. The study investigated the production and related experience of two automotive parts manufacturing companies (referred to as A and B in this study) that have adopted a gainsharing strategy. The two companies operate in the eThekwini District Municipality in KwaZulu-Natal. It assessed if gainsharing is responsible for company labour productivity improvements. The investigation was achieved by collecting pre- and post-gainsharing quarterly data for spoilage, absenteeism, capital investment and labour productivity. Gainsharing improves labour productivity and reduces spoilage and absenteeism rates. In order to maximise performance, a comprehensive performance policy must be developed, which aligns pay (and other incentives) to performance. The study uncovered the strengths and weaknesses of gainsharing for labour productivity improvement in South Africa.


2021 ◽  
pp. 134-156
Author(s):  
James Heintz ◽  
Karmen Naidoo

South Africa has exhibited sustained high rates of open unemployment since the end of apartheid, when reliable statistical measurements became available. The lack of decent employment opportunities contributes to ongoing social and economic inequalities. This chapter examines the reasons behind the country’s high unemployment rates. After a brief analysis of unemployment trends and patterns, it discusses alternative explanations of South Africa’s employment problems, with a focus on structural causes arising from historical and institutional factors. The chapter also examines how policy choices post-apartheid have affected employment outcomes, including macroeconomic policies, trade policies, and labour market policies.


1988 ◽  
Vol 30 (1) ◽  
pp. 100-117 ◽  
Author(s):  
John Creedy ◽  
Keith Whitfield

The analysis of job mobility and earnings has been dominated by human capital theory. This approach has been subject to considerable criticism in recent years, particularly about the manner in which it conceptualizes the processes that take place between the start and end of a job. An alternative is the internal labour market approach, which focuses on the very processes which are so problematic for human capital theory. Information from three specially designed surveys of professional scientists in Australia and Britain suggests that the processes that are central to internal labour market theory are crucial to generating the distribution of earnings. While the evidence presented is not necessarily incompatible with human capital theory, it does suggest that future research on the earnings distribution could usefully involve the development of the internal labour market approach.


Author(s):  
Precious Mncayi ◽  
Jacques de Jongh

Labour markets across the world have in recent years been characterised by instability and scare employment opportunities. Despite the fact that the 21st century has carried with it massive technological change and a rise in the significance of education for better employment prospects, it has moreover brought about expanded vulnerability which has neglected to ensure employment for work-searchers. For those who want to work, the inability to find employment has been a source of enormous adversities both personally and economically. This is not unique to South Africa as the country is plagued with very high unemployment rates across all age categories and continually rising numbers of discouraged work-seekers. Although unemployment indicators have to a great extent followed international standards, the failure to incorporate those who have abstained from searching has inadvertently contributed to a lack of understanding regarding the nature of discouragement in the labour market. Keywords: Employment, discouragement; work-seekers, labour markets, South Africa, unemployment.


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