The National Bureau of Statistics (NBS) yesterday stated that Nigeria’s unemployment rate soared to 4.2 per cent in the second quarter of 2023. This was contained in the bureau’s document tagged: “Nigeria Labour Force Statistics Report 2023.”
The NLFS report indicated that the unemployment rate in second quarter 2023 was 4.2 per cent, this was an increase of 0.1 per cent on 4.1 per cent recorded in first quarter 2023. Other highlights of the report are that the labour force participation rate among the working-age population remained high at 80.4 per cent in second quarter 2023.
NBS also noted that the employment-to-population ratio was 77.1 per cent in second quarter 2023.
According to the report, the combined rate of unemployment and time-related underemployment as a share of the labour force population (LU2) was 15.5 per cent in second quarter 2023. Most workers, about 88.0 per cent were in self-employment in second quarter 2023 while the proportion of workers in wage employment in second quarter 2023 was 12 per cent.
According to the Bureau, the rate of unemployment among persons with post-secondary education was 8.0 per cent in Q2 2023. NBS further said the Unemployment rate among youth aged (15-24 years) in Q2 2023 was 7.2% having been at 6.9% in Q1 2023. It noted that the Unemployment rate in urban areas was 5.9% in Q2 2023, an increase from 5.4% in Q1 2023. NBS said time-related underemployment in Q2 2023 was 11.8%. 4.8% of the working-age population were in subsistence agriculture. Informal employment rate in Q2 2023 was 92.7%, according to the report. It said the percentage of youth Not in Employment, Education nor Training (NEET Rate) was 13.8%.
The report explained that the “employment-to-population ratio is the proportion of the working-age population that is employed.” NBS stressed that in Q2 2023, 77.1% of Nigeria’s working-age population was in employment. Disaggregating by sex, the employment-to-population ratio was 79.3% for men and 74.9% for women respectively.
NBS noted that the employment-to-population ratio in urban areas was 73.8% compared to 80.5% in rural areas.
NBS noted that the aggregate status in employment comprises two broad categories; employees and the self-employed. It added that those working for pay in the form of salaries and wages in cash or in-kind, including paid apprentices, are referred to as employees. Own-account workers, contributing family workers, and employers are referred to as self-employed.
In Q2 2023, according to NBS, 88.0% of employed Nigerians were primarily self-employed with the remaining 12.0% being primarily engaged as employees. On disaggregation by sex, the Bureau said, 85.2% of employed men were self-employed compared to 91.0% of employed women.
In terms of disaggregation by location, the report revealed that 80.5% of employed people in urban areas were self-employed compared with 95.3% of employed people in rural areas.
NBS noted that the labour force participation rate measures the share of a country’s working-age population that is in the labour force. The labour force, said the Bureau, is the combination of those individuals who are employed and those who are unemployed. In Q2 2023, the report noted that the labour force participation rate in Nigeria was 80.4%, having beenB79.9% in Q1 2023. It further stressed that the Q2 2023 participation rate among men was 82.1% while for women the participation rate was 78.8%.BIt added that the participation rate was 78.4% in urban areas and 82.6% in rural areas.
SOURCE: THENATION
