Ramaphosa’s SONA 2026: Labour and business demand urgent action on unemployment

President Cyril Ramaphosa delivered his 2026 State of the Nation Address (SONA) against the backdrop of persistent unemployment, fragile infrastructure, and mounting pressure from labour, business, and youth stakeholders to convert reform signals into measurable job creation.

While the speech struck what business described as a “constructive tone,” organised labour warned that “the time for reflection has passed” and called for decisive interventions to address the country’s deepening employment crisis.

Labour union UASA spokesperson Abigail Moyo, framed unemployment as the central socio-economic fault line running through the country’s challenges.

“We urge him to present concrete plans that address the high cost of living, unemployment, water and electricity shortages in disadvantaged areas, and limited access to education and health services,” Moyo said ahead of the address.

The union linked joblessness directly to rising crime and household vulnerability, warning that inflation on essentials such as food, fuel, and electricity is pushing many into debt. “Immediate relief is needed to protect consumers from the impact of inflation on essentials such as food, basic services, fuel, water, and electricity,” she said.

The Motor Industry Staff Association (MISA) it was time for less talk and more action.

“South Africans are tired of being asked to be patient while unemployment, failing services and crime destroy lives. Government must publish implementation plans, deadlines and measurable outcomes and report regularly so that working people can track delivery and hold leaders accountable for results,” said Martlé Keyter, MISA’s Chief Executive Officer: Operations .

Implementation is key

Business Unity South Africa (BUSA) welcomed the speech as a positive signal to investors but stressed that employment gains will hinge on execution.

“A positive narrative, backed by clear plans, boosts confidence, which in turn attracts investment that drives growth,” said BUSA CEO Khulekani Mathe. “This speech has, in large measure, achieved a positive narrative. The next test is implementation.”

BUSA identified crime, corruption, municipal dysfunction, and infrastructure unreliability as structural constraints on hiring and expansion. “Fighting crime through the use of technology is long overdue, and the private sector stands ready to support these initiatives,” Mathe said.

On water infrastructure, increasingly a brake on industrial and agricultural productivity he cautioned that recognition alone is insufficient. “Recognition of water as the pressing challenge is commendable but does not go far enough. We should not have reached this point in the first place,” Mathe said.

The organisation also called for greater detail in the government’s growth strategy. “The Growth and Inclusion strategy lacks detail to allow for its assessment,” Mathe said, underscoring the need for clarity on sequencing, policy choices, and delivery responsibilities.

Energy reform, logistics upgrades, and specialised infrastructure courts were cited as positive steps, provided they are properly resourced and time-bound.

Youth employment: Economic growth must bring opportunities

For youth employment specialists, the speech’s emphasis on infrastructure and skills reform is encouraging, but insufficient without structured labour market integration.

Nkosinathi Mahlangu, Youth Employment & Entrepreneurship Specialist at the Momentum Group Foundation, said large projects must deliberately absorb young workers.

“Growth figures alone do not guarantee that young people will find work. We need to be more deliberate about how opportunity is structured,” Mahlangu said.

He argued that infrastructure and rail projects should generate entry-level employment in the communities where they are implemented, while reforms to the skills system must create real workplace pathways.

“The real test will be whether this translates into structured work experience and clear pathways into sustainable employment once young people complete their studies,” he said.

Mahlangu also highlighted agriculture as a potential employment engine, particularly for young and small-scale farmers but warned that sector shocks such as foot-and-mouth disease disproportionately affect emerging entrants. “Urgent and equitable access to vaccines will be essential to protect livelihoods and sustain youth participation in the sector,” he said.

For more stories from The Mercury, click the link THE MERCURY