Unemployment rises to 33.7%: Why is South Africa failing to absorb its growing workforce?

 

South Africa’s official unemployment rate rising to 33.7% reflects a structural deficit: the economy is simply not expanding fast enough to absorb the volume of new entrants joining the labor force. Even in quarters where net jobs are added—such as the 101,000 jobs created in Q3 2026—they are routinely outpaced by the growth of job-seekers (198,000 entering the market over the same period), causing the overall rate to climb. Prof Vimal Ranchhod Director of the Southern Africa Labour and Development Research Unit, School of Economics at the University of Cape Town discusses on the Power Breakfast show.