The results of the Quarterly Labour Force Survey (QLFS) for the fourth quarter has now been revealed. StatisticsSA has announced that the unemployment rate in South Africa has decreased from 32.1% to 31.9%.
In the fourth quarter, 132 000 more people have been employed with the total people employed in South Africa coming to a total of 17.1 million. The survey revealed that the number of people who are unemployed decreased by 20 000, bringing the number of unemployed people in the country to 8 million.
The above changes in employment and unemployment resulted in the official unemployment rate decreasing by 0.2 of a percentage point from 32.1% in the third quarter of 2024 to 31.9% in the fourth quarter of 2024.
Other findings were as follows:
- An overall increase of 0.4% in the labour force, amounting to 112 000 people
- Discouraged work-seekers increased by 111 000 (3.3%)
- People who aren't economically active for reasons other than discouragement decreased by 93 000 (0.7%)
- An increase of 18 000 in the number of people who are regarded as 'not economically active'
- People employed in the formal sector increased by 90 000
- People employed in the informal sector increased by 34 000
StatsSA has said that the expanded unemployment rate in the fourth quarter of 2024 remained unchanged at 41.9% when compared with the third quarter of 2024.
The biggest employment gains were seen in finance, with an increase of 232 000, and in manufacturing, with 41 000. On the other hand, fewer people were employed in community and social services, trade, construction, mining, utilities, and agriculture.
StatsSA also revealed that the biggest employment gains took place in Western Cape, KwaZulu-Natal, and Gauteng while employment losses were recorded only in the Free State, North West and Limpopo.
Youth Unemployment
The QLFS showed that youth who are between 15 and 34 years old continue to face challenges in the labour market. The total number of unemployed youth decreased by 133 000 to 4.7 million, while employed youth saw an increase of 37 000 to 5.8 million.
As a result, the youth unemployment rate decreased from 45.5% to 44.6% in the fourth quarter of 2024.
President Ramaphosa announced the establishment of the Jobs Boost Fund which is a R300 million pay-for-performance initiative currently being tested in South Africa. This outcomes-based fund collaborates with implementing partners to create sustainable, high-quality employment opportunities for unemployed and marginalized youth.
The Jobs Boost Fund has pioneered a new model that links funding for skills in demand for the successful placement and particularly employment for young people. We are expanding our support for small and medium enterprises and the informal economy which sustains millions of jobs.
These job initiatives have many phases, including recruitment phases where participants are taken into the programme and job readiness workshops where they get ready for job placement. The recruits are then placed in sustainable jobs for a minimum of six months.
