By Carlene Davis/Gleaner Writer—t
David Wan—
According to data from the 2018 Economic and Social Survey Jamaica, persons outside the labor force increased by 2.9 per cent when compared to the figures for 2017.
Prepared by the Planning Institute Of Jamaica (PIOJ), the survey noted that there were 750,525 persons outside the labor force in 2018, of which 54.9 per cent said they did not want to work and 28.4 per cent said they were in school full time.
According to PIOJ, the labor force consists of individuals 14 years and older, who were employed in any form of economic activity for one hour or more during the survey week, and persons who were unemployed, that is “although they had no job, were looking for work, or wanted and were willing to accept work during the reference week”.
At 59.5 per cent, the majority of persons outside the labor force were female aged 25–54 years.
The survey also noted that relative to males, 63.9 per cent more females ‘did not want to work’; 51.7 per cent were ‘incapable of work’; while 95.6 per cent ‘stayed home with dependents’.
50.3 per cent of males were ‘at school fulltime’.
Dr Leahcim Semaj, founder of the business management consulting firm Above or Beyond, noted that persons staying outside the labor force or those saying they did not want to work, represented individuals who did not want to feel tied down in the formal system.
“They do not want to be trapped in that formal system that limits them to minimum wage, that limits them to one increase per year, that limits them to paying income tax out of their small salary that they don’t think they are getting any benefit from. On the other hand, if they are free to hustle, there is the possibility that they can earn a lot more than they would if they were trapped in the formal economy,” Semaj told The Sunday Gleaner.
CAUSE FOR CONCERN
The survey noted that the age group 25–54 was a cause for concern, as “this high level of economic inactivity among females in the prime working age group outside the labour force can have social implications and a deleterious impact on economic growth.”
“In that age group, the women are historically more industrious, and more educated than the men, so in a sense they have more talents and skills to offer; the limitations of the formal economy traps them,” said Semaj.
“Even at a dance in a community, there is a whole ecosystem built around entertainment. There is a round robin in almost every community and every weekend when a dance keep, hairdresser afi eat, dressmaker afi eat, cook afi eat, so all the people that provide the services and the goods associated with just that one entertainment event doesn’t show up on any economic and social survey.”
…Persons Want Flexibility In Their Working Arrangements, Says Wan
President of the Jamaica Employers Federation, David Wan, said flexibility and not wanting to pay someone to stay with either a child or an elderly person could add to why females accounted for the majority of those outside the labour force, as noted in the 2018 Economic and Social Survey Jamaica prepared by the Planning Institute Of Jamaica.
Wan explained that often when persons have children or an elderly to care for, they consider it better to stay home and offer care than to pay a nanny or nurse so that they can go to work in the formal system.
He added that there are also persons who want the freedom of taking more than three days off without jeopardizing their job.
“There’s a group that wants flexibility in their working arrangements, which could be why they are outside the formal work force, such as traders, small time micro merchants, and so on,” Wan told The Sunday Gleaner.
“You can set your own hours, you can be your own boss. I believe being a micro-entrepreneur is a very attractive option for some people in Jamaica, more than in the US. When I lived in the US, I didn’t find that many people as a percentage wanting to be a micro entrepreneur.”
MORE MALES WORKING
The data also showed that the labour force contracted by 21,475 persons, as the number of individuals in the labour force declined to 1,337,575 in 2018 from 1,359,100 in 2017. Males accounted for the larger proportion of the total labour force. The decrease in the labour force, the survey said, can be attributed to an aging population who is transitioning out of the work force as well as persons migrating.
The findings noted concerns with persons remaining outside the labour force for the purpose of attending school, as it “not only affects labour force participation levels, but also aids in human capital development and the long-term quality of the workforce”.
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