By Johannah Malogadihlare
The government and union federations have welcomed the slight decrease in the unemployment rate, with Deputy Minister in the Presidency Nonceba Mhlauli saying it was proof that the government was on the right track.
“As the president stated in his State of the Nation Address earlier this month,
government is committed to tackling unemployment through strategic investments, policy reforms and enhanced private sector participation.
“These results are showing a consecutive decrease in unemployment from quarter three proves that the various efforts are working,” Mhaule said in a statement on Tuesday.
The total number of unemployed youths decreased by 133,000 to 4,7 million while employed youths recorded an increase of 37,000 to 5.8 million in the last three months of 2024.
“The reduction in the unemployment rate reflects the dedication and collaborative
efforts of our government and key stakeholders,” said Mhaule.
“The Presidential Youth Employment Initiative (PYEI) and Operation Vulindlela have played a crucial role in stimulating economic growth and job creation. We are encouraged to see these initiatives delivering positive outcomes,” said Mhaule.
The Congress of SA Trade Unions said the additional jobs were badly needed.
“Over the course of 2024, an additional 355,000 jobs have been created, with positive growth in the financial and manufacturing sectors and overall unemployment falling by 1.3%,” Cosatu spokeswoman Zanele Sabela.
“We are concerned by the loss of 11,000 agricultural jobs and fear the possible imposition of steep tariff duties on South African exports to the United States may threaten further job losses in this key economic sector.”
She said while the federation celebrated every single new job, the country could not celebrate a tremendously high unemployment rate of 41.6% and youth unemployment of 70%.
“These are our single greatest challenges and a ticking time bomb that threatens the very fabric of society.”
SA Federation of Trade Unions general secretary Zwelinzima Vavi agreed that unemployment was still way too high.
“Even more troubling is that six out of nine provinces continue to suffer unemployment rates above 40%. This reinforces the deep regional inequalities and the failure of
economic policies to address the desperate conditions facing millions of workers and
job seekers across the country,” he said in a statement.
Also, it was Black people, women, youth, rural communities and those living in the former Bantustans who continued to be disproportionately affected.
All eyes will be on the Budget Speech on Wednesday, with Finance Minister Enoch Godongwana outlining details on how the country will deal with the unemployment crisis.
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