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Data released by the National Bureau of Statistics (NBS) on Friday shows that Nigeria's unemployment rate in the second quarter of 2020 was 27.1 per cent, up from 23.1 per cent in Q3 2018 when the agency last reported unemployment figures.

Tagged, “Unemployment and Underemployment Report: Abridged Labour Force Survey Under Covid-19," the report shows the underemployment rate rose from 20.1 per cent to 28.6 per cent. A combination of both the unemployment and underemployment rates for the reference period gave a figure of 55.7 per cent.  

The NBS classifies people who are unemployed as those who did nothing at all or worked too few hours (under 20 hours a week) during the reference period. The underemployed, however, are those who worked for between 20–29 hours per week or those engaged in activities that under-utilise their skills, time and educational qualifications. Full-time employed are those who worked 40+ hours per week.

The country’s economically active or working-age population – those between ages 15 and 64 – increased from 115.5 million in Q3 2018 to 116.9 in Q2 2020, while the number of people in the labour force – people who are able and willing to work – decreased to 80.3 million in the reference period, compared to 90.5 million recorded in the third quarter of 2018.

According to the statistics agency, the total number of people in employment in Q2 2020 was 58.5 million, 15.8 per cent less than the people in employment in Q3 2018. The total number of unemployed people in Nigeria increased from 20.9 million in Q3 of 2018 to 21.8 million in the second quarter of this year.

The NBS said demand for the labour force statistics had been increasing, particularly in the wake of the COVID-19 pandemic, which necessitated lockdowns across the country to curtail the spread of the new coronavirus disease. Many analysts believe the economic impact of the still-raging pandemic has further worsened the jobs crisis in the country compared to what was reported in Q3 2018.

Nigeria's unemployment rate, which was 6.9 per cent in the fourth quarter of 2014, has been consistently rising since that period. Despite President Muhammadu Buhari’s campaign promise to create jobs, the unemployment rate accelerated from 9.9 per cent in the third quarter of 2015 – three months from his assumption of office – to the latest figure of 27.1 per cent.

The NBS also said youth unemployment rate – the unemployment rate among young people (aged 15-34) – was 34.9 per cent in Q2 2020, up from 29.7 per cent recorded in the last reference period.