Brunei's Labour Underutilsed by 18% (2014 Data)

Brunei labour underutilisation at 18%

Koo Jin Shen
Wednesday, February 3, 2016

AROUND 30,200 persons in Brunei are working in occupations requiring skill levels below their educational attainment in 2014, according to a report from the Department of Economic Planning and Development (JPKE).

In the executive summary of the Labour Force Survey, the department outlined that this skill mismatch represented about 15.9 per cent of the total employment of some 189,600 persons.

For the 15 to 24 year-old workers, the survey said the skill mismatch rate was significantly higher at 22.6 per cent.

JPKE said labour underutilisation was at 18.0 per cent, more than double than that of the national unemployment rate of 6.9 per cent.

In total, about 38,800 persons were affected by labour underutilisation, either as not working as many hours as they wanted, as unemployed, or in the potential labour force as available non-jobseekers or unavailable jobseekers.

The department reported on the significant level of income inequality in Brunei. The top ten percentile of employees in 2014 earn an average of $16.20 per hour while the bottom ten percentile earn $1.40 per hour.

The report said more than 87,600 employed persons or 46.2 per cent of the total employed population had informal employment status. They neither had social security coverage, paid sick leave and paid annual leave.

While women account for 42.7 per cent of total number of workers, about 34.9 per cent of managerial posts were held by female employees. Most women workers also earn less, receiving $9.60/hour, while men earn $9.90/hour.

Brunei conducted its third national Labour Force Survey in 2014. The earlier surveys were conducted in 1995 and 2008.

The survey covered all persons living in private households as well as persons living in seasonal dwellings and at worksites.

The sample was drawn using a probability design in two stages based on information from the Population and Housing Census 2011. The effective sample size was composed of 3,462 households covering 17,199 individual household members.

The Brunei Times


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