SA’s unemployment rate edges up in Q4’23

South Africa is facing a challenging economic landscape as the official unemployment rate has edged up to 32.1 per cent in the fourth quarter of 2023. The latest data reveals that there are now more unemployed individuals in the country compared to the previous period, painting a bleak picture for the nation's labor force. In a recent interview on CNBC Africa, Nkosinathi Mahlangu, Youth Employment Portfolio Head at Momentum Metropolitan, discussed the troubling statistics and shared insights on the contributing factors and potential solutions to address the issue. Mahlangu expressed concern over the 22,000 people who have been removed from the workforce, emphasizing the need for a collective effort to create sustainable job opportunities and rebuild the economy. He highlighted the challenges faced by various sectors, including the impact of COVID-19 on the economy and the need for long-term job prospects. Mahlangu also touched on the unexpected struggles in essential services like the medical sector, where even professionals with degrees are facing unemployment. The interview delved into the role of technology, particularly AI, in job creation and the importance of upskilling the youth for emerging career opportunities. Mahlangu emphasized the need for a strategic approach to support young entrepreneurs and foster a culture of innovation and market access. He stressed the importance of public-private partnerships in empowering youth-owned businesses and driving economic growth. As South Africa grapples with high unemployment rates and a challenging economic environment, Mahlangu called on young people to become active citizens and contribute their innovative ideas to shape the future of the country. He urged unemployed youth to explore opportunities in their local communities and engage with organizations and training institutions to develop youth-focused solutions. Mahlangu emphasized that the youth are vital to South Africa's future and encouraged them to take an active role in driving positive change in the country.