Youth unemployment is one of South Africa’s most pressing challenges -an epidemic that demands urgent, innovative solutions. The issues are stark, especially when comparing rural areas to urban centres.
The latest data from Statistics South Africa shows that the youth unemployment rate, encompassing individuals aged 15–34 years, saw a marginal decline from 45.5% to 44.6% between quarters 3 and 4 of 2024.
This figure is staggeringly high and paint a bleak picture for a country with a growing youth population.
The situation is particularly dire in rural areas, where economic activities are limited and mobility is constrained, rendering opportunities virtually inaccessible.
Moreover, the “experience dividend” heavily influences who gets hired.
Youth with experience outperform their inexperienced peers by a margin of 4 to 1. In other words, access to the first rung on the career ladder is crucial - yet all too often elusive. Urban centres tend to offer comparatively better prospects, thanks to established industries and networks. In rural settings, these pathways are far less defined and often blocked by logistical and financial hurdles.
Tackling youth unemployment at scale demands a comprehensive approach. There’s a need for education reform focused on equipping learners with market-relevant skills.
As for existing skills development initiatives, these need to align with future job markets rather than simply current demands.
Targeted employment programmes must also be supported by policies that encourage entrepreneurship and small business development — empowering young people to carve out their own opportunities.
None of this can be achieved by one sector acting alone. Collaboration among government, the private sector, and non-governmental organisations is key to creating an enabling environment - one that not only recognises the complexity of the challenge but also offers sustainable, impactful solutions.
Given the high rate of youth unemployment, there is certainly a strong need to go beyond skills development and job creation; and move towards redefining what meaningful, quality employment could look like.
This prompts for a shift in the narrative from a simple “numbers game” to a nuanced conversation about creating environments in which young people can genuinely thrive - spaces that foster fair, dignified, and sustainable work.
Take the work done through Anglo American Zimele. Established in 1989, Zimele - which means “to stand on your own” in Nguni languages - has evolved over time to become South Africa’s largest enterprise development programme. Guided by Anglo American’s Purpose of re-imagining mining to improve people’s lives, Zimele plays a critical role in supporting youth in its host communities.
From training to thriving careers
Often, success is measured in scales of one to ten. A "one" might involve organising a skills workshop that leaves attendees feeling good. But a "ten" means creating a pathway that equips young people with relevant skills, secures them a job, and positions them to grow, both professionally and personally.
For me, a perfect score is beyond skills and about more than just job placement. It’s about enabling young people to access opportunities that connect skilling, earning, and living with dignity. It also means embedding young people in environments where they can learn on the job, expand their networks, and, in turn, uplift their families and communities.
One such as environment is tourism, a key driver for change that contributed over 8% to South Africa's GDP in 2019, supporting 1.6 million jobs. Considering that tourism sector has a high employment opportunity and short turnaround time for training, Anglo American moved to establish partnerships and collaborations with industry players, so as to facilitate opportunities for young people to get into meaningful roles.
In this regard, Anglo American has explored opportunities in global luxury cruise liners, and in partnership with Silversea Cruises, we have developed a bespoke program to prepare South African youth. This initiative has been life-changing for participants, transforming not just their own lives but those of their families by breaking generational poverty cycles.
To date, 56 youth are already employed on these cruise liners, with 73 more ready to embark, and 176 new learners set to begin training. These young South Africans are gaining global exposure, visiting dozens of countries in just six months. The program has become a beacon of what’s possible when innovation meets intentionality.
Breaking barriers, building futures
The success of initiatives like this underscores a fundamental truth: we need to think differently about how we address unemployment. It’s not enough to train. The solution must lie in placing young people into actual jobs. This is where partnerships between government, private sector, and civil society become so important.
Collaborative models can scale impact, ensuring that young people not only access opportunities but also contribute to sustainable ecosystems. We must also rethink funding models, balancing support with accountability so that beneficiaries invest back into programmes, creating a virtuous cycle of empowerment.
Zimele is not the sole solution to South Africa’s unemployment crisis, but it is a business case for what’s possible. It shows how corporate South Africa can step up to catalyse meaningful change. We must challenge ourselves to think beyond conventional approaches, leveraging our country’s natural assets and fostering an inclusive economy.
The youth of South Africa are resilient, resourceful, and ready to seize opportunities. And we need to capitalise on that youth dividend, transforming not only the lives of our young people, but also help build a more prosperous, equitable future for us all.
BUSINESS REPORT