The Congress of South African Trade Unions (COSATU) welcomes the positive drop in unemployment announced by Stats SA with the expanded definition of unemployment decreasing by 1.3% to 41.1% and the narrow definition falling by 0.5% to 31.4% for Quarter 4 of 2025. The increase in employment by a net 44 000 jobs bringing the total number of working South Africans to over 17.1 million is hopeful news.
It is critical that this momentum is maintained and accelerated for Quarter 1 of the new year where there is normally a decrease in employment as the festive season jobs bump comes to an end. South Africa is long overdue for some good news.
Whilst welcoming nearly a 1.3% decrease in unemployment over the past quarter, we dare not be complacent. A 41.1% unemployment rate remains a dangerous ticking time bomb that cannot be sustained. Much more needs to be done by the African National Congress led government, in particular to further capacitate the frontline public and municipal services that the working class and businesses depend upon, to inject additional stimulus needed to unlock economic growth including expediting the infrastructure investment programme, and to ramp up public employment programmes and relief for the poor and the unemployed.
Particular support must be provided by the state to struggling businesses and sectors due to the 30% tariff duty imposed on South African exports to the United States, increasingly unaffordable electricity and other economic challenges. Such support must come in the form of tax relief, industrial subsidies and fixing the mind-numbing delays at the Unemployment Insurance Fund’s Temporary Employment Relief Scheme.
It is critical that the 2026/27 Budget and Medium-Term Expenditure Framework due to be tabled at Parliament on 25 February respond to these challenges and provides a bold stimulus package to take the economy to the 3% growth rate needed to slash unemployment.
The private sector must be compelled to end the investment strike and invest in government bonds, critical economic infrastructure and the industrial, manufacturing and agricultural jobs rich economic sectors.
Unemployment is the single greatest threat to the nation. Tackling it must be our collective focus, and every possible resource and intervention mobilised to defeat it. South Africans do not expect overnight miracles, but we need to see consistent progress, in particular a 1% decrease in unemployment each quarter. This will provide the momentum the economy needs and give hope to the working class and society.Issued by COSATU
Matthew Parks (COSATU Parliamentary Coordinator)
Mobile: 082 785 0687Email: matthew@cosatu.org.za