Image Source: StatsSA
Local – Unemployment has risen to 33,6% in the second quarter of 2026, up 0,9 percentage points from 32,7% in the first quarter, as job losses continue to outpace job creation. It’s the second straight quarterly increase, adding pressure on an economy already struggling to absorb new entrants into the labour market.
The labour force grew by 329 000, or 1,3%, over the quarter, according to the latest Quarterly Labour Force Survey (QLFS) from Statistics South Africa, with more people looking for work than the economy could employ.
“The above changes in employment and unemployment resulted in the official unemployment rate (Labour Underutilisation (LU1)) increasing by 0,9 of a percentage point from 32,7% in the first quarter of 2026 to 33,6% in the second quarter of 2026,” Stats SA said.
Trade Leads Job Gains
Trade added the most jobs during the quarter, followed by construction and finance. Community and social services took the biggest hit, with mining, agriculture and manufacturing also losing workers.
Mpumalanga led provincial job gains, followed by the Eastern Cape and Free State. The Western Cape recorded the steepest losses, with Gauteng and North West also down. The formal and household sectors both shed jobs, while the informal sector was the only one to grow.
Youth Unemployment Surges
Young South Africans remain hardest hit, with joblessness among 15 to 34-year-olds climbing well beyond the national rate this quarter. Fewer young people are finding work even as some industries add jobs elsewhere in the economy.
“The results for the second quarter of 2026 show that the total number of unemployed youth (15-34 years) increased by 264 000 to 5,0 million compared with quarter one of 2026, while employed youth recorded a decrease of 40 000 to 5,6 million. As a result, the youth unemployment rate increased by 1,5 percentage points to 47,4% in the second quarter of 2026,” Stats SA said.
Discouraged job-seekers fell to 3,7 million, pulling down the potential labour force overall. Some of this group appear to have shifted into active job-seeking, while others moved out of the labour market altogether.
“There was an increase of 345 000 in the number of unemployed persons to 8,5 million, while there was a decrease of 16 000 in the number of employed persons to 16,7 million compared with the first quarter of 2026,” Stats SA said.
