South Africa unemployment rate rises to 33.7% as 8.6 million remain jobless

South Africa’s struggle to create enough jobs continues, with the latest labour market figures showing that more than eight million people remain without work despite a modest increase in employment.

The country’s official unemployment rate edged up from 33.6% in the second quarter of 2026 to 33.7% in the third quarter, highlighting the ongoing pressure on an economy struggling to absorb job seekers.

According to Statistics South Africa’s Quarterly Labour Force Survey (QLFS), the number of employed people increased by 101,000 to 16.8 million. However, unemployment also climbed, with another 97,000 people joining the ranks of those without work, bringing the total to 8.6 million.

The figures paint a difficult picture: while jobs are being added, employment growth is still struggling to keep pace with the number of people looking for work.

More people are giving up on the job hunt

Beyond the official unemployment rate, another worrying trend is the growing number of discouraged job seekers.

Statistics South Africa recorded an increase of 70,000 discouraged work seekers, bringing their total to 3.7 million.

These are people who are available to work but have stopped actively looking for employment, often after unsuccessful attempts to find a job.

The broader picture is even more concerning when other people who are either unavailable or not actively seeking work are included.

The combined rate of unemployment and the potential labour force increased to 44%, while the wider measure of labour underutilisation remained unchanged at 46.3%.

This means that almost half of the country’s extended labour force is either unemployed, working fewer hours than they would like or available for work but not actively employed.

#SAunemployment || The official unemployment rate increased by 0,1 of a percentage point to 33,7% in Q3:2026 compared to Q2:2026.

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Statistics South Africa (Stats SA) (@StatsSA) November 10, 2026

Finance and manufacturing lead job gains

Not all sectors experienced losses during the quarter.

The finance industry recorded the largest employment increase, adding 111,000 jobs. Manufacturing followed with 33,000 additional jobs, while mining contributed another 31,000.

However, employment declined in several other industries.

Private households recorded the biggest drop, losing 68,000 jobs. Agriculture followed with 34,000 fewer positions, while construction shed 8,000 jobs.

The formal sector showed stronger growth, adding 268,000 jobs to reach 12.3 million employed people.

In contrast, the informal sector and household sector recorded declines of 98,000 and 68,000 respectively.

Western Cape among provinces recording job growth

There was some positive news for the Western Cape, which recorded an employment increase of 48,000 during the third quarter.

North West led the provincial gains with 45,000 additional jobs, followed by the Eastern Cape with 36,000 and Gauteng with 25,000.

However, not every province moved in the right direction. Free State lost 34,000 jobs, while Mpumalanga recorded a decline of 30,000.

For provinces such as Gauteng, where many people depend on the retail, manufacturing, financial and service industries for employment, the figures highlight the importance of sustained job creation across different sectors.

Youth unemployment remains a major concern

Young South Africans continue to face some of the toughest conditions in the labour market.

The number of unemployed people aged between 15 and 34 decreased by 23,000 to five million during the quarter.

However, youth employment also declined slightly, with 5,000 fewer young people in work, bringing the employed youth population to 5.5 million.

The youth unemployment rate consequently dropped marginally from the previous quarter to 47.3%.

Although the slight improvement offers some relief, the figures underline the difficulties young people face when entering an already competitive job market.

For many, the challenge extends beyond finding a first job to securing opportunities that offer financial stability and room for career growth.

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