Solving South Africa’s Youth Unemployment Problem: Expand Small Business in the Education Sector

Journal of Political Risk, Vol. 9, No. 10, October 2021

By Stephanie Wild

South Africans and supporters gather outside the South African High Commission in London to support students and protest against police violence. Rachel Megawhat.

The problem of youth unemployment has grown in South Africa for years, but now with the global economy having taken an all-time dip, it has emerged even further at the forefront of South Africans’ minds. Policy geared to expand small business creation in the education sector would be a two-for-one win that keeps on giving.

The crux of the problem

According to Stats SA (2021), in the first quarter of 2021, the official unemployment rate was reported as an astonishingly-high 32.6%. While the number of employed and unemployed South Africans remained rather unchanged from the last quarter of 2020, the number of discouraged work-seekers increased by nearly 7% (Stats SA, 2021). This means that the problem has not necessarily worsened between 2020 and this year. However, it persists and reveals a failure to both ameliorate the problem, and a failure to boost morale that results from the problem. Continue reading