South Africa’s economic engine hobbled by massive job losses
National employment gains are being undermined by a massive jobs bloodbath in Gauteng, SA’s industrial heartland during Q4 2025.
South Africa’s labour market showed a slight recovery as the national unemployment rate dipped to 31.4% in the fourth quarter (Q4) of 2025.
However, this fragile gain is under threat as the nation’s primary economic powerhouse experienced a devastating employment contraction, shedding tens of thousands of positions in just three months.
Statistics South Africa (Stats SA) findings indicate that while 44,000 jobs were added nationally, the jobs markets remains brutal for those living in the most industrialised region.
Statistician-General Risenga Maluleke warned of a “considerable gap” in labour utilisation, noting a sizeable proportion of people want to work but are no longer taking active steps to find employment.
Gauteng jobs: The heartland in a tailspin
Gauteng was the biggest loser in the latest survey, recording a staggering decrease of 54,000 jobs. This decline stands in stark contrast to the Western Cape, which added 93,000 positions in the same period.
For a province that typically serves as the magnet for the Republic’s workforce, this jobs bloodbath signals deep structural rot within South Africah’s urban economic centre.
Provincial Labour Market Performance (Q4 2025)
| Province | Official Unemployment Rate | Job Gains/Losses (Q/Q) |
|---|---|---|
| Western Cape | 18.1% | +93 000 |
| Northern Cape | 27.1% | +17 000 |
| Limpopo | 28.2% | -3 000 |
| Mpumalanga | 32.3% | +37 000 |
| KwaZulu-Natal | 32.3% | -41 000 |
| Gauteng | 33.0% | -54 000 |
| North West | 35.1% | +36 000 |
| Free State | 37.2% | -11 000 |
| Eastern Cape | 42.5% | -32 000 |
| South Africa (National) | 31.4% | +44 000 |
Sources: Stats SA QLFS Q4: 2025
The crisis is compounded by national losses in the trade and manufacturing sectors, which shed 98,000 and 61,000 jobs respectively.
As the formal sector struggles, more South Africans are being pushed into long-term unemployment, which now accounts for nearly 80% of all work-seekers in the country.