South Africa’s unemployment rate has risen to 32.9% in the first quarter of 2025, marking a one-percentage-point increase from the previous quarter. This is according to the latest Quarterly Labour Force Survey (QLFS) released by Statistics South Africa.
The data reveals a concerning drop of 291,000 in the number of employed persons, reducing the total employed population from 17.1 million in Q4 of 2024 to 16.8 million. Simultaneously, the number of unemployed individuals rose by 237,000, reaching 8.2 million.
“These figures reflect the ongoing struggle of our labour market to absorb a growing workforce,” said Stats SA. “The decline in employment and the rise in discouraged work-seekers highlight the urgency of addressing structural challenges.”
The formal sector experienced the largest decline, losing 245,000 jobs. In contrast, the informal sector recorded a modest increase of 17,000 jobs. Sectors that posted employment gains include Transport (+67,000), Finance (+60,000), and Utilities (+35,000). However, significant job losses were recorded in Trade (-194,000), Construction (-119,000), Private Households (-68,000), Community and Social Services (-45,000), and Mining (-35,000).
Only three provinces saw employment growth: the Western Cape (+49,000), Gauteng (+9,000), and the Free State (+4,000). All other provinces recorded job losses, with KwaZulu-Natal (-104,000) and the Eastern Cape (-83,000) being the most severely affected.
The expanded unemployment rate, which includes discouraged work-seekers, also rose—from 41.9% to 43.1%.
Youth unemployment remains a pressing concern. The jobless rate among individuals aged 15–34 increased to 46.1%, up from 44.6%. The number of unemployed youth rose by 151,000 to 4.8 million, while the number of employed youth declined by 153,000 to 5.7 million.
“These trends underscore the urgency of job-creating reforms and targeted youth employment interventions,” said economist Johannes Khosa. “Without faster economic growth, the labour market will continue to lag behind demographic changes.”
VOC News
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