South Africa Unemployment Rise Tests Coalition

Credit: Serrari Group

The unemployment rate in South Africa climbed for the second consecutive quarter, underscoring one of the toughest challenges facing the country’s year-old coalition government, official data showed on Tuesday.

The jobless rate rose to 33.2% in April–June, up from 32.9% in January–March — one of the highest levels in the world. The coalition, formed after the African National Congress lost its parliamentary majority in the 2024 election, has struggled to deliver a meaningful reduction in unemployment despite making it a central priority.

Statistics South Africa reported that the number of unemployed people reached 8.367 million in the second quarter. The broader measure of unemployment, which includes those who have stopped looking for work, fell slightly.

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Out of the 10 industries tracked, six recorded job losses while four posted gains. The steepest declines were in community and social services, agriculture, and finance.

South Africa Unemployment Rise Tests Coalition
South Africans protesting Credit: Action SA

Chief statistician Risenga Maluleke said it was too early to assess whether the new 30% U.S. tariff on South African exports — the highest in sub-Saharan Africa — had affected employment.

He also rejected claims from the former head of Capitec Bank (CPIJ.J) that Statistics SA was undercounting informal employment. Maluleke told reporters the agency has always measured informal jobs and made the figures public, adding: “South Africa would be making a big mistake as a country if we want to assume that we do not have an unemployment challenge.”

Desiree Manamela, chief director of labour statistics, said upcoming changes to the way unemployment data is collected, due in the next quarter, were unlikely to alter the official rate significantly but would allow for new measures to assess the labour market’s health.

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  • Abdulateef Ahmed

    Abdulateef Ahmed, Digital News Editor and; Research Lead, is a self-driven researcher with exceptional editorial skills. He's a literary bon vivant keenly interested in green energy, food systems, mining, macroeconomics, big data, African political economy, and aviation..

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