The challenge of unemployment in South Africa 2024 as reported indicates 45.5% of unemployment especially among the youth which are aged between 15-34 years of age in distinction to the national average of 32.9% as recorded in the first quarter of 2024.
Increasing Levels of unemployment in South Africa
It was indicated by the Quarterly Labour Force Survey (QLFS) the number of employed individuals increased in the first quarter of 2024 increased from 22,000 to 16.7million in comparison to the fourth quarter of 2023.
The number of individuals who were not economically active for grounds other than discouragement diminished by 214,000 to 13.1 million, whereas work seekers that were discouraged diminished by 1000 in the first quarter of 2024. These changes which took place have led to both employment and unemployment resulting in the official rates of unemployment in South Africa 2024 to increase by 0.8% in the first quarter.
Causes for Unemployment in South Africa and its Impacts
In South Africa unemployment is the major cause of structural issues, which consist of inept transport, infrastructure and a power supply which is unreliable due to failing state owned entities. This has resulted in the unemployment rates, particularly among South African youth to increase by 50%.
It has further contributed to an economy that is stagnated and deteriorating. This in turn limits opportunities, specifically for communities that lack necessary skills which are in demand by employers.
This is also perceived as a legacy of the apartheid period which consisted of economic inequalities. In 1994, unemployment in South Africa during apartheid was 20% which was low in comparison to the high unemployment rates in South Africa in the present which is statically reported to be 33% to 40%.
There exist further causes for unemployment in South Africa 2024 such as:
- Quality education and vocational training have resulted in the youth being untrained to compete in the job market
- The inflicting of red tape and severe labour laws on employers limiting the creation of jobs
- There exist 50% of young individuals possessing an educational level lower than Grade 12.
Sectors that suffer unemployment
The industries that have contributed to a unemployment in South Africa 2024 consist of sectors such as:
- Community and Social Services (122,000)
- Construction (106, 000)
- Finance (50,000)
- Utilities (17,000)
Employment in formal sectors increased by 56,000 in 2024, there was an evident decrease of employment in informal sectors by 100,000 in 2024. The sectors which subscribed to the increase o net employment consist of;
- Trade (up by 109,000)
- Manufacturing (up by 99,000)
- Private households (up by 44,000)
- Transport (up by 39,000)
- Agriculture (21,000)
- Mining (9,000)
Provinces with highest unemployment in South Africa
Across all provinces the rate of unemployment increased in the first quarter of 2024. The highest recorded provinces that suffer from high unemployment in South Africa include;
- KwaZulu Natal (0.4%)
- Gauteng (0.4%)
- The Western Cape(21.4%)
- The Northern Cape 28.3%
- KwaZulu Natal (29.9%)
- Eastern Cape (42.4%)
- North West province (40.5%)
- Free State (38%)
The Most Affected from Unemployment
It is revealed by data that high unemployment in South Africa has increasingly affected the youth in comparison to older age groups. Education plays a vital role in securing employment and training young individuals with the necessary skills and competencies in demand to succeed in the workforce.
However, as reported by the QLFS only 9.8% of the youth in South Africa were graduates in the first quarter of 2024. Social economic disadvantages and limited educational accomplishments have become one of the leading factors contributing to high levels of unemployment among South Africans, in particularly, the youth.
In comparison to males, young females also encounter low levels of employment as they experience increased levels of vulnerability in the labour market and are confronted with challenges when obtaining decent employment.
Due to such reasons, men tend to exhibit 6.5% greater propensity when transitioning to employment in comparison to their female counterparts which was recorded to be 4.6%. In 2024, the unemployment rate of young females stood at 49.4% which has increased by 3% in comparison to 2004 where the female unemployment rate was 46.1%.
Conclusion
Unemployment in South Africa 2024 is consisted to be a widespread issue nationally. In comparison to the unemployment in South Africa during apartheid, the present levels in 2024 remains significantly high.
The primary causes for high levels of unemployment in South Africa are structural issues, lack of education and training. The most affected category of individuals due to this is the South African Youth, primarily females. The intensifying levels of unemployment have affected particular provinces and sectors more leaving them vulnerable.
In order to resolve this on-going crisis, the supply of highly educated workers needs to be increased in sectors that are reported to be the most vulnerable. And policy changes needs to be enacted by the South African government such as lowering income tax rates for the betterment of the future South African generations.
Key Points
- The overall unemployment rate in South Africa is evident. Particularly among the youth where the unemployment rates stands to be at 45.5% in comparison to the national average of 32.9%.
- Structural problems such as insufficient transport, power supply which is unreliable and state-owned entities that are failing highly contribute to unemployment, particularly among the youth.
- There is a notable gap in quality education and vocational training. This leaves a high number of youth ill-prepared to compete in the job market.
- Specific sectors such as Community and Social Services, Construction, Finance, and Utilities have been particularly affected by unemployment in 2024.
- Provinces like Eastern Cape, Northern Cape, and KwaZulu Natal experience significantly higher unemployment rates, increasing socio-economic challenges in those regions.
FAQs
What is the main cause of unemployment in South Africa?
There are limited educational accomplishments. There also exist social and economic disadvantages. These are the main factors that are driving high rates of unemployment, particularly among the youth in South Africa.
How many people are unemployed in South Africa in 2024?
According to data, there are over 8.2 million unemployed people as per the first quarter of 2024. On the other hand, there were only 7.9 million unemployed individuals in the first quarter of 2023.
Which province in South Africa has the highest unemployment rate?
The Eastern Cape is reported to have the highest official unemployment rate in the fourth quarter of 2024. This is followed by North West and Mpumalanga.
What are the career issues in South Africa?
Apart from the challenges of high unemployment rates, there exists a mismatch in skills, youth specifically being ill-equipped in context of work experience. The COVID-19 pandemic also impacted job seekers in South Africa with diverse challenges in securing employment.
There also exist discrimination; structural inequalities and lack of access to education and employment training opportunities which have become barriers resulting in high levels of employment rates in South Africa.
