top of page

South African Unemployment Crisis Deepens in Q1 2025

  • Writer: John Botha
    John Botha
  • 10 hours ago
  • 3 min read

Urgent Call for Collaborative Action Across All Sectors

Statistics South Africa's latest Quarterly Labour Force Survey (QLFS) reveals a troubling deterioration in South Africa's employment landscape, with unemployment rising to 32.9% in the first quarter of 2025. This 1.0 percentage point increase from the previous quarter signals a reversal of recent gains and demands urgent, coordinated action from leaders across government, business, and labour.


The survey, released on May 13, presents a stark picture of South Africa's persistent unemployment challenges, most dramatically illustrated by the youth unemployment rate climbing to an alarming 62.4% among those aged 15-24 years.


"These figures represent more than statistics – they reflect real human suffering and unrealised potential across our nation," said John Botha, Joint CEO of Global Business Solutions. "Every South African leader must view these numbers with profound concern and renewed determination to implement meaningful solutions."


Key Findings from Q1 2025 Labour Force Survey

No.

Key Fact

Statistic

1

Overall unemployment rate

32.9% in Q1 2025, up by 1.0 percentage point from Q4 2024

2

Youth unemployment

62.4% for youth aged 15-24 years, a 2.8 percentage point increase

3

Provincial variations

KwaZulu-Natal saw the largest increase (3.7 percentage points), followed by Eastern Cape (2.7 percentage points)

4

Education impact

Graduates: 11.7% unemployment versus 39.0% for those without matric

5

NEET rate increase

45.1% of youth aged 15-34 years are not in employment, education, or training

6

Long-term unemployment

76.5% of unemployed persons have been jobless for a year or more

7

Expanded unemployment rate

43.1% (including discouraged work-seekers), up by 1.2 percentage points

8

Gender differences

Women's unemployment rate (35.5%) exceeds men's (30.7%)

9

Discouraged work-seekers

Increased by 14.0% year-on-year to 3.47 million people

10

Sector job losses

Largest decreases in Trade (194,000), Construction (119,000), and Private households (68,000)

 

The Need for Urgent and Unified Response

The employment crisis demands immediate and coordinated intervention from all sectors of South African society. Government leaders should view these figures not as a political issue but as a national emergency requiring bold policy action. Business leaders must recognise that inclusive growth is not merely a social responsibility but an economic imperative for sustainable prosperity. Labour leaders should approach negotiations with flexibility and creativity, prioritising job creation and retention alongside worker protections.


The survey findings offer crucial insights for focused intervention:

  1. Educational transformation must accelerate: The stark contrast between graduate unemployment (11.7%) and unemployment among those without matric (39.0%) underscores the critical need for both improved basic education and expanded access to higher education and skills development.


  2. Youth-focused initiatives are essential: With nearly two-thirds of young people unemployed and 45.1% not in employment, education, or training, targeted youth employment programmes must be prioritised and scaled.


  3. Geographic targeting is necessary: Provincial variations require tailored approaches, with particular attention to KwaZulu-Natal and Eastern Cape, where unemployment increases were most severe.


  4. Long-term unemployment requires specialised solutions: With over three-quarters of the unemployed having been without work for a year or more, interventions must address the specific challenges of long-term unemployment, including skills erosion and psychological impacts.


  5. Gender disparities demand attention: The higher unemployment rate among women calls for gender-responsive employment policies and improved support systems.


"This is not a time for finger-pointing or partisan approaches," said John Botha. "South Africa's unemployment crisis requires a united front. Government must create enabling conditions through policy and infrastructure; business must commit to investment and hiring; and labour must partner in creating sustainable employment models. Only through shared responsibility and collaborative action can we begin to reverse these troubling trends."


The full QLFS report is available at www.statssa.gov.za.


Join us at our Mid-Year Labour Law Update, where we'll unpack over 40 cases, following themes that are emerging in case law and statutory amendments, and which can not be ignored (Digital Transformation and Employment Law; Recent Labour Court, Labour Appeal Court and Constitutional cases; NEDLAC Proposed amendments on the LRA, BCEA, EE, and NMW Acts; Risk Management and Compliance)


Innovation in LR Practices. This year's theme is Labour Law Evolution: The New Face of

Labour Relations & Case Law in Disrupted Businesses. What you'll gain:

  • Master the Digital Transformation of Labour Law in 2025

  • 200+ Labour Law Cases Unpacked by Jonathan Goldberg

  • Critical Updates on Upcoming Legislation & NEDLAC Amendments

  • Navigate Workplace Challenges from the Digital Era to Discrimination Laws


A banner advertising Global Business Solutions' Mid-Year Labour Law Update starting on the 3rd until the 26th of June 2025.

Comments


bottom of page