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Formal Sector Employment and Earnings Survey 2015/2016

Tanzania, 2015 - 2016
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TZA-2015-FSEES-v01-M
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The Office of Chief Government Statistician
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Formal Sector Employment and Earning Survey 2015/2016
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Author(s) Office of the Chief Government Statistician
Date 2017-03-01
Country Tanzania
Language English
Contributor(s) Office of the Chief Government Statistician(OCGS)
Publisher(s) Office of the Chief Government Statistician(OCGS)
Description Formal Employment and Earnings is an annual survey conducted by the Office of the Chief Government Statistician, Labour Statistics Unit under Social Statistics Section. The main objective of the survey is to provide information on employment and earnings to be used for planning, policy formulation, and in decision-making processes. The specific objectives were to obtain the total number of employees of formal establishments from both government and private sectors, to obtaininformation about salaries paid to employees and wage bills used for employees. The survey collects information on employees, such as total number, sex, citizenship, employment term, earnings, allowances and other benefit paid to employees.This report illustrates the methods and findings of the survey. It consists of five chapters, namely: Concept, Definition and Survey Methodology, Employment, Wage rate, Cash earnings and Wage bill.
Abstract Formal Employment and Earnings is an annual survey conducted by the Office of the Chief Government Statistician, Labour Statistics Unit under Social Statistics Section. The main objective of the survey is to provide information on employment and earnings to be used for planning, policy formulation, and in decision-making processes. The specific objectives were to obtain the total number of employees of formal establishments from both government and private sectors, to obtaininformation about salaries paid to employees and wage bills used for employees. The survey collects information on employees, such as total number, sex, citizenship, employment term, earnings, allowances and other benefit paid to employees.This report illustrates the methods and findings of the survey. It consists of five chapters, namely:
oncept, Definition and Survey Methodology, Employment, Wage rate, Cash earnings and Wage bill.
Employment
The employed persons in formal sectors were 54,302 out of whom 30,518 (56.2 percent) were males and 23,784 (43.8 percent) were females. Out of total employment, 59.0 percent were engaged in
Government sector, 31.3 percent in Private sector and 9.7 percent in Parastatals. Classification by terms of employment reported that 74.1 percent (40,237 employees) were regular employees. Contractual and casual employees comprised 20.9 percent (11,328 employees) and 5.0percent (2,737 employees) respectively. Non-citizen employees account for only 1.1 percent of total employment. Employment by industry shows that about 28.8 percent of employees were engaged in Education sector while 19.4 percent were in Public administration. The industry with the least number of employees was real estate which has 0.1 percent of total employment.
Wage Rate
On average, more than half (56.2 percent) of regular citizen employees earn between 100,000 -299,999 shillings per months. In the Government sector the majority of regular citizen employees (33.4 percent) earn between TZS 200,000 and TZS 299,999 while for parastatals the majority (32.5 percent) earn 500,000 and above. For private sector 44.5 percent of employees earn TZS 100,000 to

TZS 199,999. The majority of female regular citizen (37.8 percent) earn between TZS 200,000-299,999 per month while most males (29.2 percent) earn between TZS 100,000 and 199,999 per months.
Cash Earnings
The average monthly salary of regular employees was TZS 386,347 per month where males earn TZS 416,230 and females earn TZS 352,766 per month. The average monthly salary of Parastatal employees was observed to be TZS 623,730, the Government employees" average salary was 361,003 while for private employees it was 338,031.
Annual Wage Bill
According to this survey, the annual wage bill is the employers cost which includes annual salary, free rations and other benefits. The percentage share of annual salary was high compared to percentage share of other benefit and free rations. On average, the percentage share of annual salary from the total wage bill was 80.8 percent while the percentage share of other benefits was 17.5 percent.
Table of contents TABLE OF CONTENTS
Foreword................................................................................................................................................ i
Table of Contents...................................................................................................................................... ii
List of Tables ........................................................................................................................................... iv
List of Figures............................................................................................................................................v
List of Abbreviations .................................................................................................................................. vi
Excecutive Summary .................................................................................................................................. vii
CHAPTER ONE: CONCEPT, DEFINITION AND SURVEY METHODOLOGY.........................................................................1
1.0 Introduction ........................................................................................................................................1
1.1 Objective of the Survey...........................................................................................................................1
1.2 The Scope...........................................................................................................................................1
1.3 Concepts and Definitions..........................................................................................................................2
1.3.1 Employee/Worker................................................................................................................................2
1.3.2 Regular Employee ...............................................................................................................................2
1.3.3 Casual Workers..................................................................................................................................2
1.3.4 Wage Rate.......................................................................................................................................2
1.3.5 Cash Earnings ...................................................................................................................................2
1.3.6 Annual Wage-Bill.................................................................................................................................2
1.3.7 Free Ration.......................................................................................................................................3
1.3.8 Housing Allowance...............................................................................................................................3
1.3.9 Paid Leave Allowance...........................................................................................................................3
1.3.10 Social Security Fund ..........................................................................................................................3
1.3.11 Government Sector...........................................................................................................................3
1.3.12 Parastatals Sector............................................................................................................................3
1.3.13 Private Sector.................................................................................................................................3
1.4 Methodology......................................................................................................................................4
CHAPTER TWO: EMPLOYMENT .....................................................................................................................5
2.0 Introduction ......................................................................................................................................5
2.1 Employment by Sector...........................................................................................................................5
2.2 Employment by Industry .......................................................................................................................10
CHAPTER THREE: WAGE RATE......................................................................................................................20
3.0 Introduction .......................................................................................................................................20
3.1 Wage of Regular Citizens ...................................................................................................................... 20
3.2 Wage of Regular Citizen Employees by Sector .............................................................................................. 21
3.3 Wage of Regular Citizen Employees by Industry ........................................................................................... 22
CHAPTER FOUR: CASH EARNINGS .................................................................................................................24
4.0 Introduction........................................................................................................................................24
4.1 Cash Earnings by Sector..........................................................................................................................24
CHAPTER FIVE: WAGE BILL............................................................................................................................29
5.0 Introduction......................................................................................................................................... 29
5.1 Annual Wage bill ................................................................................................................................... 29
APPENDIXES..............................................................................................................................................35
Appendix 1: Tables......................................................................................................................................35
Appendix 2: Questionnaire ............................................................................................................................53
Appendix 3: Industrial Classification................................................................................................................. 61
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