South Africa unemployment rate rises to 8.6 million as job gains lag workforce growth
PRETORIA — South Africa’s official unemployment rate edged up to 33.7% in the third quarter of 2026 from 33.6% the previous quarter, Statistics South Africa said Tuesday, as the number of people looking for work outpaced modest job creation.
The number of employed people rose by 101,000 to 16.8 million, while the number of unemployed increased by 97,000 to 8.6 million. The labor force grew by 198,000, or 0.8%. Discouraged job-seekers — those who want work but have stopped actively looking — increased by 70,000 to 3.7 million.
Formal-sector employment rose by 268,000 to 12.3 million, driven mainly by gains in finance (111,000), manufacturing (33,000) and mining (31,000). Those increases were partly offset by losses in the informal sector (98,000) and private households (68,000), along with declines in agriculture and construction.
The expanded unemployment rate, which includes the potential labor force, rose to 44.0%. Youth unemployment remains particularly severe, with the rate for those aged 15-24 climbing to 63.6%.
South Africa has recorded one of the world’s highest unemployment rates for years, consistently above 30%.
The persistent joblessness has intensified social tensions, including a surge in anti-immigrant mobilization throughout 2026.
Groups such as March and March and Operation Dudula have organized widespread protests demanding that undocumented foreign nationals leave the country, citing competition for scarce jobs, public services and housing.
Demonstrations peaked around a June 30 deadline set by some activists for migrants to depart, with marches drawing thousands in major cities and reports of looting targeting foreign-owned businesses, particularly in townships.
The unrest has contributed to the departure or deportation of tens of thousands of African migrants, according to government and international reports.
Critics of the anti-immigration campaigns, including economists and human rights groups, argue that migrants often fill roles in informal trade, construction, agriculture and services that South Africans are less willing to take, and that removing them risks labor shortages and economic disruption rather than creating broad employment gains.
Political parties across the spectrum have increasingly engaged with stricter immigration enforcement as a campaign issue ahead of local elections.
The coalition government, formed after the 2024 elections, has prioritized economic reforms aimed at boosting growth and job creation but has so far failed to substantially reduce the structural unemployment rate.