Here’s who will be hiring in South Africa in the second half of 2019

The ManpowerGroup has released its employment outlook survey for Q3 2019, showing how South African businesses will be hiring in the coming months.

South African employers report cautious hiring plans, with 8% of employers anticipating an increase in payrolls, 6% forecasting a decrease, and 85% expecting no change.

“The trend of businesses remaining cautious around hiring activity continues into the third quarter of the year, with a large majority of respondents planning no changes to their hiring strategies and plans,” said Lyndy van den Barselaar, managing director of ManpowerGroup SA.

“The recently reported increased unemployment rate and turbulent economic environment further cement this sentiment, and will more than likely mean the trend is set to continue for the medium-term,” she said.

Regional comparisons

The strongest hiring prospects are reported in Gauteng and Western Cape, with net employment outlooks standing at +7%, while KZN employers report an outlook of +5%.

Meanwhile, Free State employers forecast flat hiring activity, reporting an outlook of 0%, and the outlook of -1% in Eastern Cape reflects uncertain hiring intentions.

Gauteng and the Western Cape remaining on top in terms of expected job creation provincially said van den Barselaar.

“These provinces continue to act as economic hubs for the country, which allows for the creation of employment opportunities across their main contributing sectors.

“For example, according to Statistics SA, the sector showing the most growth nationally was the finance and business services sector, which added 109,000 new jobs between the third and fourth quarters of 2018 – and is expected to continue to create employment opportunities in Q3 of this year, according to the latest ManpowerGroup research,” she said.

Sector comparisons

Payroll gains are forecast for nine of the 10 industry sectors during the coming quarter.

Finance, Insurance, Real Estate & Business Services sector employers report the strongest hiring intentions with a net employment outlook of +11%, while Restaurants & Hotels sector employers report a cautiously optimistic outlook of +10%.

Some hiring opportunities are forecast in the Agriculture, Hunting, Forestry & Fishing sector and the Public & Social sector, at +7%, while outlooks of +4% are reported in both the Mining & Quarrying sector and the Transport, Storage & Communications sector.

However, Construction sector employers expect to trim payrolls, with an outlook of -8%.

“Besides the recent increase in employment reported around the local financial sector, other research by PwC recently reported that there has been a more positive response to digital transformation in South Africa’s insurance sector, with more businesses within the sector looking to add new value for their clients through technological innovation,” said van den Barselaar.

“This reflects our insights on the market and could be a contributing factor to creating employment in the sector, as the addition of new products, services and technologies often translates to the acquisition of the necessary skills to ensure these are implemented successfully,” she said.

In terms of the expected growth in the Restaurants & Hotels sector, the JLL 2019 SA Hotel Investment outlook report claims it is expected that R1.9 billion will be invested into new hotels in South Africa in 2019, and around R6.9 billion in total over the next three years, ManpowerGroup said.

“This would translate into 3,900 new rooms across the country. We are seeing similar trends and expect to see further increases in employment in this sector,” said van den Barselaar.

Read: These are the companies South Africans most want to work for

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Here’s who will be hiring in South Africa in the second half of 2019