FACT SHEET: QUICK REFERENCE GUIDE TO THE LABOUR MARKET

THIS QUICK REFERENCE WILL HELP YOU WITH INFORMATION ON: 1. 2. 3. 4. 5. 6. GETTING THAT JOB THE WORKPLACE LABOUR MARKET INFORMATION INDUSTRIES AND OCCUPATIONS PROGRAMMES AND SERVICES USING LABOUR MARKET INFORMATION

1. GETTING THAT JOB

Understanding the factors that make it easy or difficult for you to find work - employability factors can help you in your search for work. Knowing what these factors are and how they affect you can help you to plan better and improve your work search strategy. What are the factors impacting on your employability? Experience Employers think that people with work experience are less likely to make mistakes in the workplace than those without experience. They also think that experienced workers understand the workplace and its challenges much better. Educational qualifications Many studies show that people with better education are more likely to find work and are better paid than those without any education. Skills A skill is your ability to do something. There are different kinds of skills: Generic skills: These are skills that you can use in any workplace in most sectors of the economy. They include reading and writing, as well as communication and management. Technical skills: Technical skills refer to those practical skills and specialised knowledge you have in a mechanical, industrial or scientific field. Teamwork skills: Teamwork skills refer to your ability to work successfully with other people.

2. THE WORKPLACE
Starting work for the first time can be both an enjoyable and big learning experience. How can you find your feet when everything around you is changing? How do you know what you can or cannot do? How do you know what is expected of you? How should you treat those around you? Fortunately, there are laws and rules that outline how you, the employee, and the employer should deal with each other.

Besides the law, your relationship with your employer is also determined by your contract of employment In addition, most employers have company policies and procedures that relate to their specific workplace. Your progress at work will also be affected by the so-called unspoken rules. This is known as the organisational culture and includes things like the style of management and the type of people in that company or organisation.

3. LABOUR MARKET INFORMATION

The term labour market refers to the space where those who need labour (employers) and those who can supply the labour (employees) come together. It is the activities of employers who recruit employees and the activities of workers who search for jobs. Labour market information is information concerning these activities and how the market works. Why is labour market information important for you? Information about how industries and occupations are changing and the skills that are needed can help you make more informed decisions when searching for work, planning your career or exploring self-employment opportunities. With this information you can determine which industries are experiencing growth in employment or not - and therefore, which kinds of employers are more likely to be interested in employing you.

4. INDUSTRIES AND OCCUPATIONS

The basics about the South African economy South Africa's gross domestic product (GDP) - the value of all the goods and services produced in the economy - amounts to more that R950 billion. In 2000, South Africa had the 29th largest economy in the world. We have the most advanced economy in Africa producing about a quarter of the continent's GDP. South Africa's economically active population consists of nearly 17 million people. Of which 31,2% is unemployed as indicated by the table below:

Labour Market Trends in March 2003 According to the Official Definition of Unemployment A B C D E F G H Total Employed Total unemployed (official definition) Total economically active = A + B Total not economically active Total aged 16 65 years = C + D Official unemployment rate Labour market participation rate Labour absorption rate 11 565 000 5 250 000 16 815 000 12 740 000 29 555 000 31,2% 56,9% 39,1%

Source: Adapted from Statistics South Africa, 2003,

Classification systems - the way in which information is organised and categorised - have been

developed to describe the labour market and to determining what changes are taking place in the labour market. Labour market information has been classified according to two main categories, i.e. industries and occupations. One way to think about the difference between these two categories is that an occupation is what a person does and an industry is where a person does it.

5. PROGRAMMES AND SERVICES

The programmes and services introduced by government and development agencies are aimed at addressing the unemployment situation facing young people in three ways:
By reducing job losses; Creating new jobs through special employment programmes, supporting small enterprise development; and Skills development.

Some of these measures include: Special Employment Programmes Special Employment Programmes (SEPs)are government-funded programmes that provide income through temporary work for unemployed people to carry out socially useful activities. These activities usually involve improving basic and essential infrastructure in communities. SEPs are seen as a way of providing unemployed people with a basic income as well as an opportunity to provide the delivery of skills training to the unemployed. Small enterprise and cooperative development programmes A number of programmes aimed at supporting small enterprise and cooperative development programmes. These programmes focus on providing young people with access to finance, information and business development services. Skills development Promoting the development of skills is one of the most critical tools for increasing the participation of young people in the economy. Government is implementing the Skills Development and Human Resources Strategies to achieve this objective.

6. USING LABOUR MARKET INFORMATION

There are three tasks you need to complete that can assist you with making sense of labour market information: Useful Tips Before starting with these three tasks you need to decide where you will search for work and whether the information is going to be used for an immediate job search or for career planning purposes! Step 1: Identify your information needs You need to identify what information you need to collect and how you will use this

information. Your information needs may be about the type of industries as well as the big and small businesses in your area or region; the different jobs and occupational categories you are interested in; education and training opportunities as well as the cost of getting trained; information on salaries and wages; and the working conditions in these industries. Step 2: Identify potential information sources Information sources can include:
Family and friends Newspapers The Internet Government Sector Education and Training Authorities (SETAs) Industry reports Non-government organisations

Step 3: Evaluate the information Not all labour market information found through the above sources is appropriate, credible or relevant. Here are some useful hints to evaluate labour market information: Useful Tips
Keep looking for facts and choose your sources carefully for up-to-date information; Consult many labour market information sources; Understand the different labour market concepts; Be careful when interpreting statistics; and Always try and check how information was produced.

Labour Laws
There are several laws that protect the rights of workers in the workplace. These are:

The Basic Conditions of Employment Act 75 of 1997

This Act sets out the basic conditions of employment for workers. The basic conditions refer to the following:

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working hours leave termination of employment; and minimum wages.

Labour Relations Act 66 of 1995

The Labour Relations Act (LRA) is an Act that ensures the right of workers to:

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fair labour practices; form and join a trade union; organise and bargain collectively or as a group; and strike.

Employment Equity Act 55 of 1998

The Act promotes and ensures equal opportunities in the workplace for all employees. The act has two objectives: q q To remove unfair discrimination from the workplace; and Promote the advancement of disadvantaged groups, also known as affirmative action. Disadvantaged groups are defined as Black people (including Africans, Coloureds and Indians), women and the disabled. In the Act, they are known as designated groups.

Skills Development Act 97 of 1998

The overall act is to promote skills development in South Africa. This will be achieved through, among other things:

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The introduction of a new set of guidelines, rules and structures to determine and implement national, sector and workplace based plans. Making sure that training programmes provide workers with nationally recognised qualifications. Providing learnerships that lead to recognised qualifications. Provides for employment services and their regulation.

Occupational Health and Safety Act 85 of 1993

The main purpose of this Act is to protect your health as a worker by ensuring that employers make work environments healthy and safe. Generally, the Act provides for the following: q It is the responsibility of both you as a worker and your employer to ensure that the workplace is healthy and safe. You cannot be fired after you have been injured at work. Your employer must pay you for injuries that you got while you were on duty. If there are any dangers in the workplace, your employer has a duty to inform you about them

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Your contract of employment

When you sign an employment contract with your employer, you are agreeing that you will provide services to the employer in exchange for getting paid for those services. There are a few important things that you should remember about a contract of employment. Remember! q The employment contract is an agreement. This means that you sign it out of your own free will - you cannot be forced to sign it. The contract must be in line with the law to be recognised as a valid contract that binds both parties. It must have the following elements: There must be agreement on the work that will be done and the money to be paid for that work; The contract must be lawful that is, the work you must do must be legal work. For example, you cannot be employed to work as a drug dealer or a sex worker; You and the employer must have the capacity to enter the contract. This means that you must be 18 to be able to sign a contract. If you are younger, a family member or guardian can assist you. Remember! - You cannot work if you are under 15 years of age. You also cannot enter into a contract if you are mentally ill. It must be possible for both you and your employer to do what you have agreed on. For example, the employer cannot employ you as a qualified electrician unless you hold an electricians trade certificate. Depending on the type of work you do, you can be paid a monthly salary or weekly or daily wages.

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Your contract of employment is a reciprocal contract. What this means is that there is agreement between you and you employer that you will exchange your labour in return for getting paid. Your contract of employment should also highlight the following: q when you will start working. If you have a contract for a specific period, it will state when the contract ends; where your place of work will be, that is, where you will be working; what your duties are;

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what your job title is; what you will need to do if you want to leave your job; what process your employer will have to follow if they want you to leave. This will happen if you dont do your work, you conduct illegal activities at work or you stay away from work regularly. how much you will be earning and when you will be due for a pay increase; what will be deducted from your pay. This could be things like medical aid, pension, unemployment insurance (UIF) and income tax; when you can take lunch and tea breaks; whether or not you will work on weekends and public holidays; how many days leave you will get. It will also cover other leave such as sick leave, maternity leave, family responsibility leave; what will happen if you or your employer do not do what is set out in the contract (breach of contract); and it may also provide guidance on what will happen if you cause or are involved in an accident during working

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Organisational policies and procedures Organisational policies and procedures are the internal rules of the company. They provide guidelines and information on how employees should behave and what steps they should follow if they have a problem. They are usually in the form of a document called a Policies and Procedures Manual and may be available to employees through the human resources department or via their computers. Why do we need policies and procedures in the workplace? It is necessary to enable employees to contribute towards the goals and objectives of the organisation. Policies should accommodate the needs of employees while at the same time ensuring that policies focus on the aim of the organisation. Policies create a basis for action to address problems or challenges in the organisation. Furthermore, it gives direction on the way things should be done in the organisation. It sets minimum standards for the organisation. Examples of organisational policies and procedures include: q q q q q Leave policy Working hours policy Training and development policy Performance management policy Recruitment and selection policy

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Employment equity policy Grievance procedure Disciplinary procedure Medical aid policy Pension fund policy