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Nigeria’s unemployment rate rose by 1.2 percentage points year-on-year to 5.3% in the first quarter of 2024 (Q1 2024), up from 4.1% in Q1 2023, according to the National Bureau of Statistics (NBS) in its recent Labour Force Survey Report.
Key Findings:
- The unemployment rate increased from 5.0% recorded in Q3 2023.
- Unemployment among males stood at 4.3%, while it was higher at 6.2% for females.
- Urban areas experienced a higher unemployment rate of 6.0%, compared to 4.3% in rural areas.
Youth Unemployment:
- The youth unemployment rate decreased slightly to 8.4% in Q1 2024 from 8.6% in Q3 2023.
Educational Attainment:
- Unemployment rates varied based on education level:
- 2.0% for those with postgraduate education
- 9.0% for post-secondary education
- 6.9% for secondary education
- 4.0% for primary education
Underemployment:
- The share of underemployed Nigerians fell to 10.9% in Q1 2024, down from 12.2% in Q1 2023. Underemployment refers to those working less than 40 hours per week but willing to take on more work.
- The underemployment rate for men was 8.5%, while it was 12.5% for women.
- In urban areas, the underemployment rate was 9.7%, compared to 11.8% in rural areas.
Working-Age Population:
- As of Q1 2024, 73.2% of Nigeria’s working-age population was employed, a decline from 75.6% in Q3 2023.
- The employment-to-population ratio was 74.2% for males and 72.3% for females.
- The ratio in urban areas was 69.5%, while rural areas recorded 78.9%, indicating a decrease from previous quarters.
Employment Trends:
- The proportion of self-employed individuals decreased from 86% in Q1 2023 to 84% in Q1 2024.
- There was an increase in the share of employed individuals classified as employees, rising from 12.7% in Q3 2023 to 16.0% in Q1 2024.
These findings highlight the continuing challenges within the Nigerian labor market, particularly regarding unemployment and underemployment rates among different demographics.
