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Modelling Vulnerability and Low Earnings in the South African Labour Market

Author

Listed:
  • Murray Leibbrandt
  • Haroon Bhorat

    () (Development Policy Research Unit, University of Cape Town)

Abstract

Drawing on a comparative overview of the earnings function work on South Africa, this article presents an alternative and comprehensive model of earnings in the South African labour market. Gauteng, South Africa's economic powerhouse, has long been dependent on immigration to supply its labour requirements, a phenomenon deeply rooted in the provinces early economic history and the development of mining and heavy industry. As far as possible, the analysis compared in-migrants to non-migrants and intra-Gauteng migrants in order to provide insight into special benefits or challenges that in-migrant households may present. The Labour Force Survey module on migrant labour allowed the profiling of migrant labourers and the approximation of economic links between Gauteng and other provinces as represented by remittances.

Suggested Citation

  • Murray Leibbrandt & Haroon Bhorat, 1999. "Modelling Vulnerability and Low Earnings in the South African Labour Market," Working Papers 99032, University of Cape Town, Development Policy Research Unit.
  • Handle: RePEc:ctw:wpaper:99032
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    File URL: http://www.dpru.uct.ac.za/sites/default/files/image_tool/images/36/DPRU%20WP99-032.pdf
    File Function: First version, 1999
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    References listed on IDEAS

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    1. T. Paul Schultz & Germano Mwabu, 1998. "Labor Unions and the Distribution of Wages and Employment in South Africa," ILR Review, Cornell University, ILR School, vol. 51(4), pages 680-703, July.
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    3. Julian F. Hofmeyr & Robert E. B. Lucas, 1998. "The Rise in Union Wage Premia in South Africa," Boston University - Institute for Economic Development 83, Boston University, Institute for Economic Development.
    4. Murray Leibbrandt & Haroon Bhorat, 1999. "Correlates of Vulnerability in the South African Labour Market," Working Papers 99027, University of Cape Town, Development Policy Research Unit.
    5. Glick, Peter & Sahn, David E, 1997. "Gender and Education Impacts on Employment and Earnings in West Africa: Evidence from Guinea," Economic Development and Cultural Change, University of Chicago Press, vol. 45(4), pages 793-823, July.
    6. A. D. Roy, 1951. "Some Thoughts On The Distribution Of Earnings," Oxford Economic Papers, Oxford University Press, vol. 3(2), pages 135-146.
    7. H. Bhorat & J. Hodge, 1999. "Decomposing Shifts in Labour Demand in South Africa," South African Journal of Economics, Economic Society of South Africa, vol. 67(3), pages 155-168, September.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Servaas BERG & Onelle BURGER, 2003. "Education And Socio-Economic Differentials: A Study Of School Performance In The Western Cape," South African Journal of Economics, Economic Society of South Africa, vol. 71(3), pages 496-522, September.
    2. Morné Oosthuizen & Haroon Bhorat, 2005. "The Post-Apartheid South African Labour Market," Working Papers 05093, University of Cape Town, Development Policy Research Unit.
    3. Dieter von Fintel, 2006. "Earnings bracket obstacles in household surveys – How sharp are the tools in the shed?," Working Papers 08/2006, Stellenbosch University, Department of Economics.
    4. Rulof Burger & Ronelle Burger & Servaas van der Berg, 2004. "Emergent Black Affluence and Social Mobility in Post-Apartheid South Africa," Working Papers 04087, University of Cape Town, Development Policy Research Unit.
    5. Derek Yu, 2013. "Youth unemployment in South Africa since 2000 revisited," Working Papers 04/2013, Stellenbosch University, Department of Economics.
    6. Maciej, Szelewicki & Tyrowicz, Joanna, 2009. "Labour Market Racial Discrimination in South Africa Revisited," MPRA Paper 16440, University Library of Munich, Germany.
    7. K. Pauw & M. Oosthuizen & C. Van der westhuizen, 2008. "Graduate Unemployment In The Face Of Skills Shortages: A Labour Market Paradox," South African Journal of Economics, Economic Society of South Africa, vol. 76(1), pages 45-57, March.
    8. Morné Oosthuizen, 2006. "The Post-Apartheid Labour Market: 1995-2004," Working Papers 06103, University of Cape Town, Development Policy Research Unit.
    9. Cecil Mlatsheni & Murray Leibbrandt, 2001. "The role of education and fertility in the participation and employment of African women in South Africa," Working Papers 01054, University of Cape Town, Development Policy Research Unit.
    10. Miracle Ntuli & Prudence Kwenda, 2013. "Labour Unions and Wage Inequality Among African Men in South Africa," Working Papers 13159, University of Cape Town, Development Policy Research Unit.
    11. Doubell Chamberlain & Servaas van der Berg, 2002. "Earnings functions, labour market discrimination and quality of education in South Africa," Working Papers 02/2002, Stellenbosch University, Department of Economics.
    12. Haroon Bhorat, 2000. "Wage premia and wage differentials in the South African labour market," Working Papers 00043, University of Cape Town, Development Policy Research Unit.
    13. Rulof Burger & Rachel Jafta, 2006. "Returns to Race: Labour Market Discrimination in Post-Apartheid South Africa," Working Papers 04/2006, Stellenbosch University, Department of Economics.
    14. Michael Rogan & Likani Lebani & Nompumelelo Nzimande, 2009. "Internal Migration and Poverty in KwaZulu-Natal: Findings from Censuses, Labour Force Surveys and Panel Data," SALDRU Working Papers 30, Southern Africa Labour and Development Research Unit, University of Cape Town.
    15. Servaas van der Berg & Cobus Burger & Ronelle Burger & Mia de Vos & Gideon du Rand & Martin Gustafsson & Eldridge Moses & Debra Shepherd & Nicholas Spaull & Stephen Taylor & Hendrik van Broekhuizen & , 2011. "Low quality education as a poverty trap," Working Papers 25/2011, Stellenbosch University, Department of Economics.
    16. Haroon Bhorat & Karmen Naidoo & Morné Oosthuizen & Kavisha Pillay, 2015. "Demographic, employment, and wage trends in South Africa," WIDER Working Paper Series 141, World Institute for Development Economic Research (UNU-WIDER).
    17. David Lam & Murray Leibbrandt & Vimal Ranchhod, 2005. "Labour force withdrawal of the elderly in South Africa," SALDRU/CSSR Working Papers 118, Southern Africa Labour and Development Research Unit, University of Cape Town.
    18. Bradstock, Alastair, 2005. "Changing livelihoods and land reform: Evidence from the Northern Cape province of South Africa," World Development, Elsevier, vol. 33(11), pages 1979-1992, November.
    19. Johannes Fedderke, 2012. "The Cost of Rigidity: The Case of the South African Labor Market," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 54(4), pages 809-842, December.
    20. Haroon Bhorat & Sumayya Goga & David Tseng, 2013. "Unemployment Insurance in South Africa: A Descriptive Overview of Claimants and Claims," Working Papers 13160, University of Cape Town, Development Policy Research Unit.
    21. Haroon Bhorat & Carlene van der Westhuizen & Sumayya Goga, 2009. "Analysing Wage Formation in the South African Labour Market: The Role of Bargaining Councils," Working Papers 09135, University of Cape Town, Development Policy Research Unit.
    22. Cecil Mlatsheni & Sandrine Rospabé, 2002. "An Analysis of the Spatial Distribution of the Clothing and Textile Industry in SADC," Working Papers 02065, University of Cape Town, Development Policy Research Unit.
    23. Servaas van der Berg, 2010. "Current poverty and income distribution in the context of South African history," Working Papers 22/2010, Stellenbosch University, Department of Economics.
    24. Frederick C.v.N. Fourie, 2011. "The South African unemployment debate: three worlds, three discourses?," SALDRU Working Papers 63, Southern Africa Labour and Development Research Unit, University of Cape Town.
    25. Haroon Bhorat & Sumayya Goga, 2012. "The Gender Wage Gap in the Post-apartheid South African Labour Market," Working Papers 12148, University of Cape Town, Development Policy Research Unit.

    More about this item

    Keywords

    South Africa: model of earnings; rural labour markets; In-migrants; remittances;

    JEL classification:

    • A1 - General Economics and Teaching - - General Economics

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