South Africa’s unemployment rate has risen to 33.5% in the second quarter of 2024, spotlighting a worsening job market in the country.
Story Summary:
- The unemployment rate increased by 0.6 percentage points from Q1:2024 to Q2:2024.
- Employment decreased by 92,000 jobs in Q2:2024, with significant losses in key sectors.
- The Black African population and women continue to face higher unemployment rates than the national average.
Unemployment is on the rise in South Africa
The latest statistics reveal that South Africa’s unemployment crisis is deepening, with the official unemployment rate rising to 33.5% in Q2:2024, up from 32.9% in Q1:2024.
This increase translates to an additional 158,000 people being unemployed in just three months.
The total number of unemployed individuals in the country now stands at approximately 8.4 million, marking a significant rise from 5.2 million in Q2:2014.
The labour market has also seen a decrease in overall employment, with 92,000 fewer people employed in Q2:2024 compared to Q1:2024.
This decline is largely driven by job losses in the Trade, Agriculture, and Private Households industries.
Despite these challenges, the informal sector managed to create 48,000 new jobs during this period.
What the stats say about the gap between men and women at work
The job market continues to reflect stark disparities between men and women in South Africa.
As of Q2:2024, the unemployment rate for women is 35.8%, compared to 31.6% for men.
This gender gap has persisted over time, with women’s unemployment rate consistently higher than that of men over the past decade.
In Q2:2024, there were 7.4 million women employed compared to 9.2 million men.
Although the labour force participation rate for women has increased from 50.9% to 55.8% over the past ten years, their absorption rate has decreased slightly from 36.9% to 35.8%.
This means that despite more women entering the workforce, fewer are finding jobs compared to men.
Women also face significant challenges in reaching higher-paying and leadership roles.
Only 7.1% of women hold managerial positions, compared to 10% of men.
Women are more likely to be employed in clerical, technical, and domestic work occupations, and are predominantly found in the Community and Social Services, Trade, and Private Households sectors.
Black African women are particularly vulnerable, with an unemployment rate of 39.9% in Q2:2024, the highest among all demographic groups.
A provincial look at unemployment in South Africa
The unemployment situation varies significantly across South Africa’s provinces, with some regions facing more severe challenges than others.
The Northern Cape recorded the largest increase in unemployment, rising by 3.7 percentage points from Q1:2024 to Q2:2024.
This province now has one of the highest unemployment rates in the country.
Limpopo shows a notable difference between its expanded and official unemployment rates, with a gap of 15.7 percentage points.
Meanwhile, the North West recorded the highest expanded unemployment rate at 54.2%, followed by the Eastern Cape at 49.7%.
In contrast, provinces like the Western Cape and KwaZulu-Natal have consistently reported unemployment rates below the national average over the past decade.
However, even in these regions, the latest figures show an increase in unemployment, highlighting the widespread nature of the employment crisis in South Africa.
What the latest jobs figures say about unemployment in South Africa
The overall picture painted by the latest jobs figures is concerning.
The number of people classified as ‘Not Economically Active’ increased by 72,000 in Q2:2024, contributing to a rise in the expanded unemployment rate, which now stands at 42.6%.
This rate includes those who have stopped looking for work, and its increase indicates that more people are becoming discouraged and leaving the labour market altogether.
The youth unemployment rate remains alarmingly high, with 60.8% of those aged 15-24 and 41.7% of those aged 25-34 unemployed.
The NEET (Not in Employment, Education, or Training) rate for young people aged 15-24 has also increased to 35.2%, with young females being particularly affected.
