Youth in South Africa continue to face labor market disadvantages, with unemployment rates greater than the national average. According to the Quarterly Labour Force Survey (QLFS) for the first quarter of 2022, the unemployment rate for those aged 15-24 was 63.9% and 42.1% for those aged 25-34 years, whereas the official national average is 34.5%.
Although the graduate unemployment rate in South Africa remains relatively low when compared to other educational levels, youth unemployment remains a hardship, regardless of educational attainment. In Q1: 2022, the unemployment rate among young graduates (aged 15-24 years) fell from 40.3% to 32.6%, while it climbed by 6.9% to 22.4% for those aged 25-34 years.
South Africa has nearly 10 million young people between the ages of 15 and 24, but only 2.5 million are in the labor force, either employed or jobless. The majority of this group of young people (7,7 million or 75.1%) are not in the labor force (i.e. inactive). The major cause for inactivity is discouragement, which means they have given up hope of finding a job that matches their talents or in the area where they live.
In South Africa, 37.0% of this group was out of the labor force. These are youth who are not in employment, education, or training (NEET). Many of these (NEET) young individuals are depressed. The NEET rate has risen for both males and females. However, the distance between them has narrowed dramatically year on year.
What is the biggest reason behind South Africa’s unemployment?
Unemployment in South Africa is attributed to a lack of education and training.
How can we fix South Africa’s unemployment problem?
Increase the number of certifications. With a matric certificate sometimes required for entry-level positions, an educational certification is a potent accelerator on the route to excellent work and further education.
Make job searching more inexpensive.
Make public employment a reality.
What are the three ramifications of unemployment?
Unemployment has both individual and social repercussions that necessitate government involvement. Unemployment can create psychological anguish, which can lead to a decrease in life satisfaction. It can also lead to depression and substance misuse.
What effect does unemployment have on the economy?
A high unemployment rate has a wide-ranging impact on the economy. Unemployed people tend to spend less and accumulate more debt, and unemployment may result in increased payments from state and federal governments for benefits such as food stamps.
