The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

A Cabinet minister says it “is no time to start celebrating despite the 2.1 percentage drop in the Bahamas’ unemployment rate to 12.7 per cent, as he predicted a further decline come November.

“This is no time to start celebrating. There are still too many people unemployed,” said Shane Gibson, minister of labour and national insurance.

“Until we can get that unemployment rate down to an acceptable level, you can’t celebrate. It’s good to see that it’s moving in the right direction.”

According to the Department of Statistics’ 2016 Labour Force Survey for May, the overall unemployment rate dropped to 12.7 per cent - a 2.1 percentage point decline from November 2015’s 14.8 per cent.

The unemployment rate in New Providence fell from 15.9 per cent to 13.2 per cent over that same period, but the rates for Grand Bahama and Abaco increased by 0.5 per cent and 0.4 percentage points, respectively, to 14.7 per cent and 10.1 per cent.

According to the Department of Statistics, the unemployment rate decline was influenced by activities related to Bahamas Junkanoo Carnival. It said that since last November, employment in the ‘manufacturing’ sector increased by 26 per cent as a result, with the sector accounting for 4 per cent of total employment.

Mr Gibson stressed that the Bahamas needed to tackle its persistently high rate of youth unemployment.

“We are trying to tackle youth unemployment and put a dent in that,” he added, the Department of Statistics noting that unemployment among persons between 15 to 24-years-old is higher than in any other area.

However, the unemployment rate for this age group declined from 30 per cent in November 2015 to 25.8 per cent in May.

“We have started our national youth employment programme already, employing persons between the ages of 18 and 40,” Mr Gibson said.

“We have also launched the apprenticeship programme and several other initiatives. I anticipate that you would see that rate drop even more. Right now, there’s nothing to celebrate, but we are heading in the right direction,” he added.

Mr Gibson said the recent unemployment figures do not include the island of Bimini. “Our National Insurance numbers show us that we have just over 500 more persons contributing to National Insurance from Bimini today than there were in 2012,” he added.

“If you look at the labour force survey it doesn’t include Bimini. It wouldn’t include persons hired at Bimini Bay, the Hilton hotel, the casino and other projects since 2012.”