SA unemployment rises to 33.6% as 345,000 more become jobless

Unemployment

Johannesburg – South Africa’s official unemployment rate increased to 33.6% in the second quarter of 2026, as the number of unemployed people rose while employment declined, according to Statistics South Africa (Stats SA).

The Quarterly Labour Force Survey (QLFS) released on Tuesday showed that the official unemployment rate increased by 0.9 of a percentage point, from 32.7% in the first quarter to 33.6% in the second quarter.

Stats SA said the number of unemployed people increased by 345,000 to 8.5 million, while the number of employed people fell by 16,000 to 16.7 million between the two quarters.

“This resulted in an increase of 329 000 (or 1,3%) in the labour force during the same period,” Stats SA said.

The increase in unemployment comes despite a decline in the number of discouraged job-seekers.

Stats SA said discouraged job-seekers fell by 227,000 to 3.7 million, while other available job-seekers declined by 49,000 to 861,000 and unavailable job-seekers fell by 4,000 to 44,000.

The changes resulted in a 280,000 decrease in the potential labour force, bringing the figure down to 4.6 million.

“The potential labour force (i.e. persons who were available but not seeking or unavailable but seeking)” declined during the quarter, Stats SA said.

The broader measures of labour underutilisation also showed continued pressure in the labour market.

The combined rate of unemployment and time-related underemployment increased by 0.7 of a percentage point to 36.6%, while the combined rate of unemployment and the potential labour force increased by 0.1 of a percentage point to 43.8%.

The composite measure of labour underutilisation, known as LU4, remained unchanged at 46.3%.

Stats SA said these measures “highlight people in different situations with different degrees of attachment to the labour market.”

Trade and construction add jobs

Employment gains were recorded in several industries during the quarter, led by the trade sector.

Trade employment increased by 70,000, followed by construction with 39,000 and finance with 11,000.

However, these gains were offset by significant employment losses in other sectors.

Community and social services recorded the largest decline, with 57,000 jobs lost, followed by mining with 26,000. Agriculture and manufacturing each shed 15,000 jobs.

Formal-sector employment declined by 41,000, while employment in the household sector fell by 9,000.

Informal-sector employment, however, increased by 34,000 during the quarter.

Western Cape, Gauteng among provinces losing jobs

At provincial level, Mpumalanga recorded the largest increase in employment, adding 41,000 jobs, followed by the Eastern Cape with 13,000 and the Free State with 9,000.

Employment declined in the Western Cape, Gauteng and North West.

The Western Cape recorded the largest decline, with 48,000 fewer jobs, followed by Gauteng with 22,000 and North West with 15,000.

Youth unemployment rises

The country’s youth unemployment crisis also worsened during the quarter.

Stats SA said the number of unemployed young people aged between 15 and 34 increased by 264,000 to 5 million.

At the same time, youth employment declined by 40,000 to 5.6 million.

As a result, the youth unemployment rate increased by 1.5 percentage points to 47.4%.

The figures highlight continued difficulties facing young South Africans trying to enter the labour market, with almost half of the youth labour force unemployed.

Stats SA said the QLFS measures labour market activity among people aged 15 to 64 and provides indicators on employment, unemployment and labour market inactivity.

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