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Spatial labour market inequality : a comparative analysis of Cape Town, eThekwini, and Gauteng
Thesis (PhD)--Stellenbosch University, 2025.
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Stellenbosch : Stellenbosch University
2025
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| _version_ | 1867614013102227456 |
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| access_status_str | Open Access |
| author | Madzudzo, Valentine |
| author2 | Von Fintel, Dieter |
| author_browse | Madzudzo, Valentine Von Fintel, Dieter |
| author_facet | Von Fintel, Dieter Madzudzo, Valentine |
| author_sort | Madzudzo, Valentine |
| collection | Thesis |
| dc_rights_str_mv | Stellenbosch University |
| description | Thesis (PhD)--Stellenbosch University, 2025. |
| format | Thesis |
| id | oai:scholar.sun.ac.za:10019.1/134689 |
| institution | Stellenbosch University (South Africa) |
| language | English |
| last_indexed | 2026-06-10T12:45:16.097Z |
| license_str | Other — see source repository |
| provenance_str_mv | Harvested via OAI-PMH from SUNScholar — Stellenbosch University Repository |
| publishDate | 2025 |
| publishDateRange | 2025 |
| publishDateSort | 2025 |
| publisher | Stellenbosch : Stellenbosch University |
| publisherStr | Stellenbosch : Stellenbosch University |
| record_format | dspace |
| source_str | SUNScholar — Stellenbosch University Repository |
| spelling | oai:scholar.sun.ac.za:10019.1/134689 Spatial labour market inequality : a comparative analysis of Cape Town, eThekwini, and Gauteng Madzudzo, Valentine Von Fintel, Dieter Nchake, Mamello Stellenbosch University. Faculty of Economic and Management Sciences. Dept. of Economics. Income distribution -- South Africa Income inequality -- South Africa Economic development -- South Africa Sustainable development -- South Africa Poverty -- South Africa UCTD Thesis (PhD)--Stellenbosch University, 2025. Madzudzo, V. 2025. Spatial labour market inequality: a comparative analysis of Cape Town, eThekwini, and Gauteng. Unpublished doctoral dissertation. Stellenbosch: Stellenbosch University [online]. Available: https://scholar.sun.ac.za/items/b2166d61-5280-44aa-b399-2a21623bc8de ENGLISH SUMMARY: Income inequality remains high with the bottom 40 percent of the world’s population receiving less than a quarter of the aggregate income. This threatens the attainment of Sustainable Development Goals (SDGs) in addition to fuelling poverty, crime and violence and constrained economic growth. Although income disparities between countries have improved, the disparity within countries has worsened with 71 percent of the world’s population living in countries where inequality has widened. Labour market inequality has been identified as one of the major determinants of income inequality. Disparities are not only determined by income but also by other important determinants such as gender and location. To achieve Sustainable Development Goals, South Africa, one of the world’s most unequal countries, aims to address labour market inequality. This dissertation investigated three aspects of labour market inequalities through a spatial lens. The first question studies why international trade can have a different impact on the gender wage gap in locations within the same country that share the same international trade agreements. The study specifically examined how export propensity contributes to the gender wage gap in Cape Town and eThekwini, two South African coastal metropoles with distinct sectoral and socio-economic profiles using the Cities Support Program administrative data. The results showed that in Cape Town, trade was associated with a wider gender wage gap while in eThekwini, trade appeared to narrow the gender wage gap. The major takeaway is that there is a heterogeneous sub-national and within-city association between trade and the gender wage gap due to variations in sectoral compositions between two cities in the same country. Policy addressing the gender wage differences should therefore be responsive to local industrial and demographic conditions. This dissertation also investigated the impacts of conflict exposure during the July 2021 riots on total formal employment and on male and female employment in eThekwini and Gauteng, cities in South Africa that have different sectoral compositions. The results showed marginal declines in aggregate formal employment in both eThekwini and Gauteng. The impacts disaggregated by gender showed small and temporary reductions of male and female employment in eThekwini, which is mainly based on the male-dominated manufacturing industry, as well as in Gauteng which is mainly based on the female-dominated tertiary industry. In eThekwini, there was no change in the gender employment gap whereas in Gauteng, the gender employment gap increased. This implies that the gender distribution across sectors with different sensitivity to conflict is important in determining how conflict amplifies or moderates gender gaps. In the service sector, where females tend to dominate, conflict is anticipated to worsen the gender employment gap, whereas in the manufacturing sector, where males tend to dominate, conflict is anticipated to moderate the gender employment gap. Given the dearth of literature on the impact of immigrant special permits on local labour market outcomes and formalization of labour, this dissertation examined the association between the implementation of the Zimbabwe Exemption Permit (ZEP) and local employment outcomes and formalization of foreign labour in Cape Town and eThekwini, cities in South Africa that have different industrial specializations and labour demand. The results showed that the ZEP was associated with formalization of labour and revealed complementarities between local and foreign labour in eThekwini and Cape Town, although in Cape Town, local workers lost jobs to immigrants in the Central Business District only in 2018. The implication is that special permits to undocumented immigrants improve their absorption into the local labour market. Since locals and immigrants are likely to be imperfect substitutes, there will likely be an increase in both local and immigrant employment and a rise in productivity. In conclusion, labour market inequality remains high in South African cities. To attain an equal society, policymakers must take local labour market inequality seriously and consider new place-based policies that take into cognizance industrial specializations and city-wide gender discrimination. AFRIKAANSE OPSOMMING: Inkomste-ongelykheid bly hoog, met die onderste 40 persent van die wereld se bevolking wat minder as ’n kwart van die totale inkomste ontvang. Dit bedreig die bereiking van die Volhoubare Ontwikkelingsdoelwitte (SDG’s) en dra verder by tot armoede, misdaad en geweld, sowel as beperkte ekonomiese groei. Hoewel inkomsteverskille tussen lande verbeter het, het ongelykheid binne lande vererger, met 71 persent van die wereld se bevolking wat in lande woon waar ongelykheid toegeneem het. Arbeidsmarkongelykheid is geidentifiseer as een van die belangrikste bepalers van inkomste-ongelykheid. Ongelykhede word nie net deur inkomste bepaal nie, maar ook deur ander belangrike faktore soos geslag en ligging. Om die Volhoubare Ontwikkelingsdoelwitte te bereik, mik Suid-Afrika, een van die wereld se mees ongelyke lande, om arbeidsmarkongelykheid aan te spreek. Hierdie proefskrif ondersoek drie aspekte van arbeidsmarkongelykheid deur 'n ruimtelike lens. Die eerste vraag ondersoek waarom internasionale handel verskillende impakte op die geslagsloonverskil kan he in liggings binne dieselfde land wat dieselfde internasionale handelsooreenkomste deel. Die tesis het spesifiek ondersoek hoe uitvoergeneigdheid bydra tot die geslagsloonverskil in Kaapstad en eThekwini, twee Suid-Afrikaanse kusmetropole met verskillende sektorele en sosio-ekonomiese profiele, deur die gebruik van data van die Cities Support Program. Die resultate toon dat handel in Kaapstad geassosieer word met ’n wyer geslagsloonverskil, terwyl dit in eThekwini blyk om die geslagsloonverskil te vernou. Die hoofbevinding is dat daar ’n heterogene sub-nasionale en binne-stadse verband is tussen handel en die geslagsloonverskil as gevolg van variasies in sektorele samestellings tussen twee stede in dieselfde land. Beleidsmaatreels wat geslagsloonverskille aanspreek, moet daarom reageer op plaaslike industriele en demografiese toestande. Hierdie tesis het ook die impakte van konflikblootstelling tydens die Julie 2021-onluste op totale formele indiensneming en op manlike en vroulike indiensneming in eThekwini en Gauteng, stede in Suid-Afrika met verskillende sektorele samestellings, ondersoek. Die resultate toon marginale afnames in totale formele indiensneming in beide eThekwini en Gauteng. Die geslagspesifieke impakte toon klein en tydelike afnames in manlike en vroulike indiensneming in eThekwini, wat hoofsaaklik gebaseer is op die manlik-gedomineerde vervaardigingsbedryf, sowel as in Gauteng, wat oorwegend op die vroulik-gedomineerde tersiere sektor staatmaak. In eThekwini was daar geen verandering in die geslagsindiensnemingsgaping nie, terwyl dit in Gauteng toegeneem het. Dit impliseer dat die geslagsverdeling oor sektore, elk met verskillende sensitiwiteit vir konflik, belangrik is in die bepaling van hoe konflik geslagsgapings versterk of modereer. In die dienstesektor, waar vroue geneig is om te domineer, word verwag dat konflik die geslagsindiensnemingsgaping vererger, terwyl konflik in die vervaardigingsbedryf, waar mans oorheers, na verwagting die geslagsindiensnemingsgaping sal moderer. Beleid in reaksie op die impakte van die onluste moet dus plaaslike sektorele geslagsverspreiding in ag neem. Gegewe die gebrek aan literatuur oor die impak van spesiale permitte vir immigrante op plaaslike arbeidsmarkuitkomste en die formalisering van arbeid, het hierdie proefskrif die verband tussen die Zimbabwe Vrystellingspermit (ZEP) en plaaslike indiensnemingsuitkomste en die formalisering van buitelandse arbeid in Kaapstad en eThekwini ondersoek, stede in Suid-Afrika met verskillende industriele spesialisasies en arbeidsvraag. Die resultate toon dat die ZEP geassosieer word met die formalisering van arbeid en dat dit komplementariteite tussen plaaslike en buitelandse arbeid in eThekwini en Kaapstad openbaar, alhoewel plaaslike werkers in Kaapstad werk aan immigrante verloor het in die sentrale sakegebied, maar slegs tydelik in 2018. Die implikasie is dat spesiale permitte aan ongedokumenteerde immigrante hul opname in die plaaslike arbeidsmark verbeter. Aangesien plaaslike werkers en immigrante waarskynlik onvolmaakte plaasvervangers is, sal daar waarskynlik ’n toename in beide plaaslike en immigrante-indiensneming wees en ’n styging in produktiwiteit. Ten slotte bly arbeidsmarkongelykheid hoog in Suid-Afrikaanse stede. Om ’n gelyke samelewing te bereik, moet beleidsmakers plaaslike arbeidsmarkongelykheid ernstig opneem en nuwe plekgebaseerde beleide oorweeg wat industriele spesialisasies en stedelike geslagsdiskriminasie in ag neem. Doctoral 2025-12-23T12:19:40Z 2025-12-23T12:19:40Z 2025-12 Thesis https://scholar.sun.ac.za/handle/10019.1/134689 en Stellenbosch University xviii, 172 pages : illustrations, includes annexures application/pdf Stellenbosch : Stellenbosch University |
| spellingShingle | Income distribution -- South Africa Income inequality -- South Africa Economic development -- South Africa Sustainable development -- South Africa Poverty -- South Africa UCTD Madzudzo, Valentine Spatial labour market inequality : a comparative analysis of Cape Town, eThekwini, and Gauteng |
| title | Spatial labour market inequality : a comparative analysis of Cape Town, eThekwini, and Gauteng |
| title_full | Spatial labour market inequality : a comparative analysis of Cape Town, eThekwini, and Gauteng |
| title_fullStr | Spatial labour market inequality : a comparative analysis of Cape Town, eThekwini, and Gauteng |
| title_full_unstemmed | Spatial labour market inequality : a comparative analysis of Cape Town, eThekwini, and Gauteng |
| title_short | Spatial labour market inequality : a comparative analysis of Cape Town, eThekwini, and Gauteng |
| title_sort | spatial labour market inequality a comparative analysis of cape town ethekwini and gauteng |
| topic | Income distribution -- South Africa Income inequality -- South Africa Economic development -- South Africa Sustainable development -- South Africa Poverty -- South Africa UCTD |
| url | https://scholar.sun.ac.za/handle/10019.1/134689 |
| work_keys_str_mv | AT madzudzovalentine spatiallabourmarketinequalityacomparativeanalysisofcapetownethekwiniandgauteng |