MEDIA RELEASE
2026-05-13
SUMMARY: The Labour Party of South Africa (Labour Party) says Stats SA’s Q1 2026 labour report confirms a devastating reality: unemployment has climbed to record levels while more young South Africans enter a job market with no opportunities to absorb them. The Party says that this deepening disaster reflects years of failed leadership, collapsing industries, and deteriorating infrastructure, leaving millions without dignity or hope.
Yesterday, 12 May 2026, Statistics South Africa released its quarterly report on South Africa’s Youth and the Labour Market (Q1 2026). The findings confirm the harsh reality facing millions of South Africans: South Africa is sinking deeper into a national disaster under the ANC-led government.
Far from offering relief, the report has intensified the frustration of young people and working-class communities. The official unemployment rate increased from 31,4% to 32,7%, while the expanded unemployment rate rose to 43,7%. At the same time, the working-age population grew by approximately 121 000 compared to the previous quarter (Q4 2025), adding further pressure to an already collapsing labour market.
“These numbers reveal the truth. More young people are entering the working-age population, but there are no jobs to absorb them. If South Africa continues on this trajectory, we will only see more young people and fewer opportunities”, said Joseph Mathunjwa, Interim President of the Labour Party.
While Stats SA recorded an increase in employment during Q4 2025, this was largely driven by seasonal jobs in the trade sector, which contributed an increase of 44 000 jobs. Yet, this same period also saw an increase in discouraged work-seekers – a clear indication that many South Africans have lost hope of finding work.
“There are many words and statistics, but very little meaningful change. We cannot glorify a temporary decline in unemployment driven by seasonal work – that is not progress. South Africa, and especially the youth, need sustainable jobs”, Mathunjwa stressed.
The situation is particularly devastating for graduates. Many young South Africans endure the exhausting NSFAS process, overcome the demanding journey of completing a qualification, and still find themselves sitting at home simply because there are no jobs. This is happening despite constant reports of skills shortages in key sectors of the economy.
Graduate unemployment has steadily increased since 2008. By Q2 2025, it stood at 12,2%. Furthermore, findings from 2023 revealed that nearly one in three young graduates (aged 20–29) were unemployed. Against the backdrop of Q1 2026, this disaster continues to worsen.
“The system is rigged against young people. We are long past the narrative that young South Africans are lazy. The truth is that the government is lazy and incapable. It has failed to secure a future of hope and dignity for young people and the working class at large”, said Mathunjwa. “That is why I continue to say this is a fake democracy. Where is genuine economic emancipation?”
In previous statements, the Labour Party has raised concerns about South Africa’s non-responsive curriculum, arguing that the education system itself is contributing to the unemployment disaster. This includes not only the curriculum, but also the poor state of infrastructure in schools, inadequate governance in the education sector, and the historical inequalities that continue to shape access and outcomes.
“Part of the reason young people and graduates remain unemployed, and why some are even driven into crime, is because the education system fails to properly stimulate intellectual capacity from early childhood development. Our curriculum does not speak to our God-given resources. If you are lucky, it only teaches you how to extract – hence we are known as an extractive economy. It does not teach students how to beneficiate and build industries”, said Mathunjwa. “Until the education system produces young people who can thrive in both the national and global economy, we will continue to see unemployment rising.”
What makes this disaster even more devastating is that unemployment has not substantially improved over the past three presidential terms. Instead, it has worsened year after year, reaching the highest levels ever recorded. This confirms that the ANC-led government has no credible plan to revive the economy, protect jobs, or restore dignity to millions of South Africans.
This failure is reflected in the collapse of local industries, deteriorating infrastructure, weak industrialisation, slow development of productive sectors, and the dangerously high levels of unemployment and crime. South Africa is witnessing the steady destruction of key economic sectors, deepening poverty, and growing hopelessness among the youth and working-class communities.
The continued decline of public infrastructure and economic capacity is not accidental. It is the direct result of policy paralysis, corruption, privatisation driven by a neoliberal agenda, political incompetence, and the abandonment of a developmental state approach.
A good government increases employment, raises real incomes, reduces poverty, improves safety, strengthens public services, and builds productive capacity. A failing government produces more dependency, more unemployment, higher living costs, weaker services, and less hope for a better future.
South Africa cannot afford to continue on this path of decline. The working class deserves leadership that delivers jobs, dignity, and a future.
“South Africans have been too tolerant for too long. We must awaken from the slumber of accepting corruption and mediocrity as normal and recognise the power we hold to disrupt the status quo”, Mathunjwa concluded.
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