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Macau’s labor market is still under the heavy influence of its casinos, official statistics showed. In the period from September to November, 69,100 were employed in the industry, which constituted around 25.8% of the city’s total employed resident population. This indicates ongoing heavy reliance on casinos and IRs as the main impetus for locals’ livelihood, while the city investigates ways of diversifying its economy.
Staff Turnover and Retention
From current data provided by the DSEC, the employment market continues to be stable, and the total unemployment rate has maintained the record low at 1.7 percent. In the local aspect, the unemployment rate stood at 2.3 percent. Despite the strong employment market, there are details to be gleaned from the statistics. The rate of underemployment edged up, increasing to 1.5 percent overall and to 2.0 percent for the local community, illustrating that although the community is employed, not all are securing full-time employment as time and skills permit.
Employment in the gaming industry itself remains relatively stable compared to the same reporting period last year. Other industries, however, have shown some slight fluctuations. The wholesale and retail trade sector, on the other hand, experienced a small decrease with a job creation of 43,600, accounting for around 13% of the domestic workforce. Other sectors include the hotel sector, which remained the same, the construction sector, and the restaurant sector, which experienced a small change.
Labor Force Dynamics
The total number of the employed population in Macau during this period was 378,900. Factoring the entire workforce, along with 109,300 residents and non-residents who live elsewhere but commute into the region, brings the total number to 494,900. The commuters into the region on a day-to-day basis form an integral part of the region’s functionality since it bridges the gap which the local population otherwise could not be able to.
From the total of 6,700 unemployed citizens, a familiar pattern is evident: the majority had been employed either in the retail or gaming industries. What is perceptibly interesting is that the level of first-time seekers among the total unemployed increased to 14.4 percent from 13.9 percent with a rise of 0.5 percentage points.
Underemployment Issues
Although the headline rate of unemployment is low, the DSEC drew particular attention to the fact that 5,900 of these underemployed individuals are focused in certain sectors such as real estate, transport, and retail. The focus of these individuals in these sectors could indicate areas in which the demand is certainly not at its peak.
A Pillar of the Economy
The figures simply confirm that the gaming sector in Macau is its bedrock. But with more than a quarter of the local workforce directly dependent on it, and with the financial well-being of thousands of families inextricably tied to its health, this stability will remain of key importance, as the other sectors have pockets of underemployment.
Going forward, this issue will undoubtedly be one that will remain at the forefront for policymakers concerned with the continued prosperity of this Special Administration Region.
Source: Asia Gaming Brief (AGB)
