SOUTH AFRICA — South Africa’s official unemployment rate increased to 33.7% in the third quarter of 2026, up 0.1 of a percentage point from 33.6% in the second quarter, according to the Quarterly Labour Force Survey (QLFS) released by Statistics South Africa on Tuesday.
The statistical agency reported that employment rose by 101 000 to 16.8 million people over the quarter, while the number of unemployed people climbed by 97 000 to 8.6 million.
“This resulted in an increase of 198 000 (or 0,8%) in the labour force during the same period,” Statistics South Africa said. “The above changes in employment and unemployment resulted in the official unemployment rate (Labour Underutilisation (LU1)) increasing by 0.1 percentage point from 33,6% in the second quarter of 2026 to 33,7% in the third quarter of 2026.”
Discouraged job-seekers rise by 70 000
The survey recorded an increase of 70 000 in the number of discouraged job-seekers, bringing the total to 3.7 million. Other available job-seekers declined by 1 000 to 860 000, while the number of unavailable job-seekers was unchanged at 44 000.
These movements produced a net increase of 69 000 in the potential labour force, which reached 4.6 million. Statistics South Africa defines this group as people who are available for work but are not seeking it, or who are seeking work but are unavailable.
“Those outside the labour force for other reasons decreased by 150 000 to 12.4 million,” the agency said. “Persons outside the labour force, which is the total of those in the potential labour force and others outside the labour force, decreased by 82 000 to 17.0 million in the third quarter of 2026.”
Broader measures of labour underutilisation
Alongside the official unemployment rate (LU1), the QLFS tracks several other indicators that reflect varying degrees of attachment to the labour market.
The combined rate of unemployment and time-related underemployment (LU2) fell by 0.1 of a percentage point to 36.5%. The combined rate of unemployment and the potential labour force (LU3) rose by 0.2 of a percentage point to 44.0%.
The composite measure of labour underutilisation (LU4), which combines time-related underemployment, unemployment and the potential labour force as a proportion of the extended labour force, was unchanged at 46.3% in the third quarter.
Formal sector gains offset informal and household losses
Employment in the formal sector increased by 268 000 to 12.3 million in the third quarter of 2026, Statistics South Africa reported. Over the same period, the informal sector shed 98 000 jobs and the household sector 68 000.
By industry, the largest employment gains were recorded in Finance (111 000), Manufacturing (33 000) and Mining (31 000). The biggest declines were in Private households (68 000), Agriculture (34 000) and Construction (8 000).
Provincial employment shifts
At provincial level, the Western Cape recorded the largest employment increase at 48 000, followed by North West (45 000), the Eastern Cape (36 000) and Gauteng (25 000).
Employment declined in the Free State (34 000) and Mpumalanga (30 000).
Youth unemployment rate edges down to 47.3%
The number of unemployed young people aged 15 to 34 decreased by 23 000 to 5.0 million in the third quarter. Employment among the same age group fell by 5 000 to 5.5 million compared with the second quarter.
The youth unemployment rate declined by 0.1 of a percentage point to 47.3%.
