Limpopo Faces Rising Unemployment Amid National Recovery
Limpopo has emerged as the only province in South Africa where unemployment has worsened in the third quarter of 2024.
According to the Quarterly Labour Force Survey released by Statistics South Africa (Stats SA), the national unemployment rate improved slightly, dropping to 32.1%, with 294,000 jobs added across the country.
Limpopo’s official unemployment rate increased from 31.4% to 32.6%. The province’s economy heavily relies on agriculture, mining, and tourism—sectors that have faced significant headwinds in recent years.
Drought conditions, declining commodity prices, and inconsistent investment in infrastructure have all contributed to Limpopo’s lagging economic performance.
Mining, a major employer in the region, has experienced volatility due to global market conditions and rising production costs. Agriculture has struggled with reduced yields and escalating input costs, limiting its capacity to absorb labor.
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According to Stats SA, the number of discouraged work seekers rose nationally by 5% in the third quarter of 2024, and this trend is particularly pronounced in Limpopo, where many individuals have simply given up looking for work due to a lack of opportunities.
While the construction sector added 176,000 jobs nationally, Limpopo’s share of this growth was negligible, reflecting its limited participation in broader economic trends.
Statistics South Africa on official unemployment rate in third quarter of 2024
The official unemployment rate was 32,1% in the third quarter of 2024.
According to the QLFS Q3: 2024 results, there was an increase of 294 000 in the number of employed persons to 16,9 million in Q3: 2024, while there was a decrease of 373 000 in the number of unemployed persons to 8,0 million.
This resulted in a decrease of 79 000 (down by 0,3%) in the labour force during the same period.
Discouraged work-seekers increased by 160 000 (up by 5,0%), and the number of persons who were not economically active for reasons other than discouragement increased by 54 000 (up by 0,4%) between the second quarter and third quarter of 2024.
This led to an increase of 214 000 in the number of the not economically active population to 16,5 million.
The above changes in employment and unemployment resulted in the official unemployment rate decreasing by 1,4 percentage points from 33,5% in the second quarter of 2024 to 32,1% in the third quarter of 2024.
The expanded unemployment rate in the third quarter of 2024 decreased by 0,7 of a percentage point to 41,9% when compared with the second quarter of 2024.
The number of persons employed in the formal sector increased by 122 000 in Q3:2024, and the informal sector employment increased by 165 000 over the same period.
The largest increases in employment were recorded in Community and social services (194 000), Construction (176 000) and Trade (109 000).
Decreases in employment were recorded in Finance (189 000), Private households (32 000), Manufacturing (20 000) and Transport (18 000).
The results also indicate that the largest increases in employment were observed in Eastern Cape (83 000), Western Cape (75 000), North West (69 000) and Mpumalanga (49 000), while decreases were only observed in Gauteng (66 000) and Kwa-Zulu Natal (2 000).
The youth (15 to 34 years) remain vulnerable in the labour market. The third quarter of 2024 results show that the total number of unemployed youth decreased by 171 000 to 4,8 million, while employed youth recorded an increase of 66 000 to 5,8 million.
As a result, youth unemployment rate decreased from 46,6% in the second quarter of 2024 to 45,5% in the third quarter of 2024