Sweet Crude

June 3, 2014

Unemployment: Oil sector employs 0.01% of Nigerian workforce

Don urges FG to resuscitate refineries


Despite accounting for about 70 per cent of Nigeria’s revenue, the oil and gas sector was the least employer of labour in Nigeria in 2013, data released by the National Bureau of Statistics has revealed.

refinery-7According to the NBS Job Creation Survey Report for the first, second, third and fourth quarters of 2013, out of the 10.97 million employed in 2013, the oil and gas sector, which it described as the crude petroleum and natural gas sector accounted for 582 jobs, representing 0.01 per cent of the total.

The NBS report noted that in the fourth quarter of 2013, the sector recorded 202 out of 2.779 million employees in the quarter, while 186 employees were recorded in the third quarter, out of 2.781 million in the quarter.

In the second quarter of 2013, 194 employees were recorded, representing 0.01 per cent of the 2.795 million jobs recorded in the economy in the period, while no data was obtained for the sector in the first quarter.

The education sector accounted for majority of the employment recorded in the economy in 2013, with 5.59 million jobs, representing 50.96 per cent of the 10.97 million recorded in the year.

In the first quarter of 2013, the education sector had 1.508 million jobs; in the second quarter, the sector recorded 1.358 million jobs; in the third quarter, 1.365 million jobs were recorded, while 1.36 million jobs were recorded by the sector in the fourth quarter.

Giving a breakdown of the figures, the NBS said a total of 2.616 million persons were employed across the sectors and sexes during the first quarter with 1.648 million males and 967,707 females.

Continuing it said, “A total of 2.79 million persons were employed on full time and part time in the second quarter, 2013 for all Cadres. A total of 2.78 million persons were employed in third quarter 2013, of which 1.656 million (59.54 per cent) were males while 1.12 million (40.46 per cent) were females.

“A total of 2.779 million persons were employed in fourth quarter 2013, of which 1.658 million persons representing 59.65 per cent were males and 1.632 million were females representing 40.35 per cent.”

The NBS further stated that Nigeria, just like many other countries, is facing serious problem of unemployment as a result of increase in population, and expanding admission of students/candidates into tertiary institutions over years that results to large turnout of graduates without corresponding to available jobs.

According to the statistics agency, unemployment has become a serious challenge for every successive government that has ruled the nation since 1990; with each embarking on policies they believed could reduce the rate substantially but with little result to show for it.

The NBS further noted that the needed turn-around from unemployment to employment, wealth creation can be attained through the transformation policy and implementation.

It stated further that, “It is worth noting that Government cannot be the only source of employment to the increasing population.

The diversification of the economy in agriculture, industries and service sectors could enhance job creation and reduce unemployment in the country.

“When there is stability in power sector, human capital development, revamping of textile industries in the country, establishment of other industries that will make use of the output of agriculture sector to be their inputs and converting them to other manufacturing products will certainly bring about more new employment in the country.”

The NBS said the survey was carried out in all the 36 states of the Federation and the Federal Capital Territory (FCT) Abuja.

“The ultimate sampling units (households) at both urban and rural areas were sampled through the Enumeration Areas (EAs) using scientific methods. Formal establishments employing 10 persons and above including professional services that employ less than 10 persons but highly formalised were also canvassed,” it said.