Despite South Africa's escalating unemployment crisis, KwaZulu-Natal stands out as the only province to record job growth in Q1:2026, adding 6,000 jobs.
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KwaZulu-Natal emerged as the only province in South Africa to record an increase in employment in the first quarter of 2026, even as the country plunged deeper into a worsening jobs crisis that has left millions of young people unemployed and economically excluded.
According to the latest Quarterly Labour Force Survey (QLFS) released by Statistics South Africa, South Africa’s official unemployment rate climbed to 32.7% in Q1:2026, up from 31.9% in the previous quarter, after the economy shed 345,000 jobs.
Against the bleak national backdrop, KwaZulu-Natal posted a modest 1.1% quarterly increase in employment, adding 6,000 jobs between Q4:2025 and Q1:2026. Employment in the province rose from 2.716 million to 2.722 million people, making KZN the only province to register employment growth during the period.
But economists, political parties, and labour groups have warned that the slight provincial improvement masks a far deeper national emergency, particularly among South Africa’s youth.
Stats SA said South Africa’s working-age population now stands at 42.2 million aged between 15 and 64, with nearly half, 21 million, falling within the youth category of 15 to 34 years old.
Yet despite representing the backbone of the country’s future workforce, young South Africans continue to face devastating labour market outcomes.
In Q1:2026, only 5.6 million young people were employed, while 4.7 million were unemployed and a further 10.6 million were outside the labour force entirely.
The unemployment rate among those aged 15 to 24 surged to a staggering 60.9%, while unemployment among people aged 25 to 34 reached 40.6%.
The figures also revealed growing disengagement among young South Africans who are neither employed, nor in education or training, commonly referred to as NEETs.
Stats SA reported that 37.6% of South Africans aged 15 to 24 were classified as NEET in Q1:2026, amounting to approximately 3.9 million young people. For the broader 15-34 age category, the NEET rate climbed to 45.6%.
Young women continue to bear the heaviest burden. The NEET rate among females aged 15 to 24 increased to 39.2%, while the equivalent rate among young men declined slightly to 36%.
The data further showed that youth employment remains concentrated in low-skilled and service-oriented sectors. Trade accounted for the largest share of youth jobs at 23.6%, followed by community and social services at 19.9% and finance at 18.5%.
Elementary occupations made up nearly a quarter of youth employment, while relatively few young people occupied higher-skilled roles such as managers, professionals, and technicians.
Reacting to the figures, the Democratic Alliance in KwaZulu-Natal welcomed the province’s employment gains but cautioned that the broader picture remained deeply concerning.
DA KZN spokesperson on Economic Development, Tourism and Environmental Affairs, Hannah Lidgett, said KZN’s gains showed the province still had sectors capable of generating employment despite severe economic pressures.
“The latest statistics are a welcome sign for our province. They show that, despite extremely difficult economic conditions, KZN still has sectors that are growing and creating jobs,” she said.
According to the DA, the province’s strongest gains came from the trade sector, which added 48,000 jobs, followed by finance with 28,000 jobs and manufacturing with 7,000 jobs.
The party also highlighted year-on-year growth of 5.4% in KZN’s construction sector, crediting interventions by Public Works and Infrastructure MEC Martin Meyer.
However, Lidgett acknowledged that the province still shed 67,000 jobs year-on-year and urged the government to move more aggressively to attract investment, cut red tape, support small businesses, and strengthen infrastructure.
Meanwhile, ActionSA called on President Cyril Ramaphosa to dismiss ministers responsible for economic policy failures, accusing the government of presiding over “economic decline and rising joblessness.”
The party described the labour market figures as “devastating,” pointing to the sharp rise in discouraged work-seekers and continued losses in both the formal and informal sectors.
“South Africa lost 345,000 jobs in just three months. This means 30,000 jobs lost each week and 6,000 each workday,” ActionSA said in a statement.
Trade union UASA also warned that worsening economic conditions, including rising fuel costs and weak growth could trigger further retrenchments in the months ahead.
UASA spokesperson Abigail Moyo said thousands of matriculants entering the labour market at the start of the year had compounded pressure on an already strained economy.
“Sadly, the unemployment figures are not merely statistics; they represent millions of South Africans facing uncertainty, discouraged job seekers who have lost hope and workers trapped in vulnerable employment,” Moyo said.
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