The SA unemployment rate increased again in fourth quarter of 2021

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Unemployment in South Africa has been a recurring issue for years, especially for the youth. Although the rate rose only slightly in the fourth quarter of 2021, however, one would have preferred the decline.

The results of the Quarterly Labour Force Survey (QLFS) for the fourth quarter of 2021 show
that the number of employed persons increased by 262 000 to 14,5 million, and the number of
unemployed persons also increased by 278 000 to 7,9 million in the 4th quarter of 2021
compared to the 3rd quarter of 2021.

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While the number of the not economically active population decreased by 397 000 to 17, 4 million during this quarter. The number of discouraged work-seekers decreased by 56 000 (1,4%) and the number of people who were not economically active for reasons other than discouragement decreased by 341 000 (2,4%) between the two quarters.

These changes in the labour market resulted in the official unemployment rate increasing by 0,4
of a percentage point from 34,9% in the third quarter of 2021 to 35,3% in the fourth quarter of
2021 – the highest since the start of the QLFS in 2008. The unemployment rate according to the
expanded definition of unemployment decreased by 0,4 of a percentage point to 46,2 % in
quarter 4 2021 compared to quarter 3 2021.

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Formal sector employment increased by 143 thousand jobs between Q3:2021 and Q4:2021,
while the informal sector shed jobs by 48 000 in the same period. Between the 3rd quarter of
2021 and 4th quarter of 2021, a net increase in employment of 262 000, was mainly due to an
increase recorded in private households (129 000), trade (118 000) and community and social
services (73 000). Decreases were observed mainly in manufacturing (85 000), followed by
construction (25 000).

*Department of Statistics South Africa