South Africa’s Jobless Rate Rises to 32.7% in Q1

South Africa’s unemployment rate rose to 32.7% in Q1 2026, up from 31.4% in Q4 2025. The number of unemployed people increased by 301,000 to 8.137 million, while employment fell by 345,000 to 16.754 million. The labor force participation rate declined to 59.0%, the lowest since 2022. The potential labor force, those available but not seeking work or unavailable but seeking it, grew by 240,000 to 4.851 million, while the number of people outside the labor force for other reasons decreased by 75,000 to 12.447 million, bringing the total outside the labor force to 17.298 million. Broader labor underutilization also worsened: the combined rate of unemployment and time-related underemployment rose by 1.6 pp to 35.9%, while the combined rate of unemployment and potential labor force increased by the same margin to 43.7%. The composite measure of labor underutilization, which includes time-related underemployment, unemployment, and the potential labor force, climbed 1.8 pp to 46.3%.

South Africa's unemployment rate fell to 31.4% in Q4 2025, from 31.9% in the previous period, marking the second consecutive decline. This was the lowest reading since Q3 2020, as the number of unemployed fell by 172,000 to 7.8 million and employed individuals rose by 44,000 to 17.1 million. The labor force decreased by 128,000 to 24.9 million. The number of persons employed in the formal sector increased by 320,000 in Q4 and those employed in the informal sector slipped by 293,000 over the same period. Seven of the 10 industries recorded job gains, led by community and social services (+46,000), construction (+35,000) and finance (+32,000). Conversely, declines occurred in trade (-98,000), manufacturing (-61,000), and mining (-5,000). The youth unemployment rate, measuring job-seekers between 15 and 24 years old, eased slightly to 57% from 58.5% in Q3, but remains stubbornly high.

South Africa's unemployment rate eased to 31.9% in Q3 2025, the lowest level since Q4 2024, compared to 33.2% in Q2, marking the first decline this year. The number of unemployed fell by 360,000 to 8.1 million, the labor force dropped by 112,000 to 25.1 million, and employed individuals rose by 248,000 to 17.1 million. The expanded unemployment rate, including discouraged workers, fell to 42.4% from 43% in Q2. Six of ten industries recorded job gains, led by construction (+130,000 to 1.39 million), community (+116,000 to 3.988 million), and trade (+108,000 to 3.424 million), while losses were concentrated in manufacturing (-62,000 to 1.61 million) and finance (-54,000 to 2.93 million). Unemployment declined in seven of nine provinces, with the largest drops in Limpopo (-5.2 points to 29.8%), Free State (-2.3 points to 36.2%), and North West (-2 points to 38.1%). The youth unemployment rate, measuring job-seekers between 15 and 24 years old, fell to a two-year low of 58.5% in Q3.