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South Africa's unemployment rate rises to 32.7% in 2026: A call for action

Siphesihle Buthelezi|Published

Minister of Employment and Labour Nomakhosazana Meth says the government is ramping up initiatives for job creation and skills development, especially for our youth and historically disadvantaged communities.

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South Africa’s unemployment crisis has deepened, with the official unemployment rate rising to 32.7% in the first quarter of 2026, prompting the Department of Employment and Labour to intensify a range of interventions aimed at job creation, skills development, and preventing further job losses.

Reacting to the latest Quarterly Labour Force Survey (QLFS) released by Statistics South Africa, Employment and Labour Minister Nomakhosazana Meth said the figures painted a “sobering picture” of the country’s labour market, particularly for young people, women, and work seekers in historically disadvantaged communities.

The unemployment rate increased from 31.4% in the previous quarter amid slow economic growth, global uncertainty, and structural pressures affecting key sectors of the economy.

In response, the department said it was strengthening several employment-focused programmes, including the Labour Activation Programme (LAP), public employment support initiatives, workplace training opportunities, and partnerships with business, labour, and civil society.

The department also said it was enhancing coordination around employment interventions linked to the Presidential Youth Employment Initiative (PYEI), while expanding labour market services aimed at connecting work seekers with opportunities.

Among the measures highlighted was a Business Turnaround and Recovery Programme run through Productivity SA and the Unemployment Insurance Fund (UIF), which has a budget of more than R165 million and is aimed at preventing retrenchments and stabilising struggling businesses.

Meth said youth unemployment remained one of the country’s most urgent challenges, with unemployment among people aged 15 to 24 still exceeding 60%. “We call on the private sector to work collaboratively with government in expanding investment, supporting localisation, accelerating skills absorption, and opening pathways for youth employment and entrepreneurship,” she said.

The department reiterated that unemployment was not merely an economic issue but a broader social challenge affecting households and the future prospects of millions of young South Africans.

Meanwhile, KwaZulu-Natal emerged as the only province to record employment growth in the first quarter of 2026. The provincial government said more than 6,000 jobs were created in KwaZulu-Natal while other provinces experienced employment declines.

KwaZulu-Natal Premier Thamsanqa Ntuli said the province’s performance reflected the impact of investment promotion, infrastructure development, tourism growth, and support for sectors such as manufacturing, agriculture, and logistics. “These encouraging figures demonstrate that KwaZulu-Natal is steadily moving in the right direction,” Ntuli said.