Pretoria: Employment and Labour Minister Nomakhosazana Meth has welcomed the reduction in South Africa’s unemployment rate, as reflected in Statistics South Africa’s (Stats SA) latest Quarterly Labour Force Survey (QLFS) for the third quarter of 2025.
According to South African Government News Agency, the country’s official unemployment rate declined by 1.3 percentage points from 33.2% in the second quarter to 31.9% in the third quarter of 2025.
Minister Meth said the improvement in employment numbers, with 248,000 more people employed in the third quarter following a modest increase of 19,000 in the second quarter, was a positive sign of gradual labour market recovery.
‘It is encouraging to further note that the official unemployment rate decreased in seven provinces between Q2 and Q3 of 2025, with the largest decrease recorded in Limpopo. However, of concern is that the Eastern Cape recorded an increase of 1.7%, from 39.5% to 41.2%,’ she said.
While welcoming the overall progress, Minister Meth expressed concern over persistently high youth unemployment rates, with 38.4% among those aged 25 to 34 years and 58.5% among those aged 15 to 24 years.
‘These figures, including the NEET [Neither in Employment, Education or Training] rate among young people aged 15 to 24, underlines the urgent need for targeted interventions to stimulate job creation and economic growth,’ the Minister noted.
She reaffirmed the department’s commitment to addressing structural challenges in the labour market, particularly through skills development, access to quality education, and the creation of sustainable jobs.
The Department of Employment and Labour continues to work closely with 17 other government departments in the Economic Cluster and Infrastructure Cluster to leverage large-scale projects, such as those outlined in the 2024 Medium-Term Budget Policy Statement, for employment creation.
As part of its contribution to the Presidential Youth Employment Initiative, the department has allocated R4,013,000,000 to the Basic Education Employment Initiative (BEEI) Phase V, targeting over 158,000 Education Assistants and General Education Assistants.
To date, the Unemployment Insurance Fund (UIF) has disbursed R3.2 billion, ensuring the timely payment of monthly stipends of R4,000 (gross) to participants, all of whom are registered UIF contributors.
The department has also expanded its collaboration with the Department of Higher Education and Training and the private sector to strengthen technical and vocational education and training (TVET) colleges. The Compensation Fund has implemented a targeted bursary programme for scarce and critical skills, providing financial assistance to students from the ‘missing middle’.
Through Project20000, which seeks to recruit and place 20,000 interns to bolster inspection capacity, 3,500 interns have already been appointed, more than doubling the department’s internal inspection workforce.
In addition, the department has approved R10.9 billion for employability and job preservation programmes, including the Temporary Employer/Employee Relief Scheme (TERS) and the Business Turnaround and Recovery (BT and R) programme. To date, 150 projects have been approved, contracted, or are in the process of contracting, with the Labour Activation Programme targeting 240,000 individuals in the last financial year.
To further address labour market challenges, Cabinet has approved the implementation of the National Labour Migration Policy and the Employment Services Amendment Bill, aimed at regulating the recruitment of both documented and undocumented foreign nationals.
The amendments are expected to reduce inconsistencies between the Department of Home Affairs and the Department of Employment and Labour, ensuring that all visa categories comply with South African labour laws.
Minister Meth reaffirmed government’s commitment to collaborating with all sectors of society to create sustainable employment opportunities.
‘We are working tirelessly with stakeholders across various sectors to implement policies that will drive sustainable employment growth, particularly for young people who remain disproportionately affected. We urge businesses, educational institutions, and civil society to collaborate with us in addressing the unemployment crisis.
‘Initiatives aimed at skills development, entrepreneurship support, and investment in high growth sectors are critical in the reduction of the unemployment rate. We will continue to monitor labour market trends and implement policies that foster inclusive economic growth and job creation,’ the Minister said.