South Africa's Unemployment Rate Declines, Youth Unemployment Remains High
The latest labour force data reveals that South Africa’s unemployment rate has declined to 31.9% in Q4 2024, a 0.2 percentage point drop.
Commentators say that while the creation of 132,000 jobs during this period indicates economic resilience, youth unemployment remains a pressing issue.
Nkosinathi Mahlangu, Momentum Group's youth employment portfolio head, emphasised the urgency of addressing youth unemployment. Young people aged 15-24 face the highest unemployment rate at 59.6%, while those aged 25-34 stand at 39.4%, bringing the overall youth unemployment rate to 45.5%. Mahlangu highlighted the need for targeted interventions to equip young job seekers with industry-aligned skills.
“With the National Budget Speech set to take place, we look forward to hearing the Finance Minister detail how funding has been allocated for the youth employment interventions the president outlined at the State of the Nation Address earlier this month. Ensuring that these policies translate into meaningful opportunities for young people will be key to sustaining economic momentum,” says Mahlangu
Abigail Moyo, UASA spokesperson, welcomed the decline in the official unemployment rate, stating: “The employment figures coming ahead of the National Budget prove that the industry sectors in our economy are trying their best to address high unemployment. This calls for Finance Minister Enoch Godongwana to step up and assist with financial plans and strategies to combat the crisis.”
Stats SA’s Quarterly Labour Force Survey shows an increase of 132,000 in employed persons and a decrease of 20,000 in unemployed persons in Q4 2024. However, the number of discouraged work-seekers rose by 111,000.
Reuben Coetzer, Free SA spokesperson, urged the government to enable the private sector: "A 31.9% unemployment rate remains a national emergency—far above the global average of 5%."
The government must implement bold reforms to prioritise job creation through enterprise and reduce youth unemployment to sustain economic growth, he said.
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