City Press reports that youth advocacy group Youth Capital has criticised Finance Minister Enoch Godongwana’s latest budget speech, arguing that the government’s ongoing consideration of a jobseeker grant would do little to address SA’s structural youth unemployment crisis.

Godongwana used his speech to confirm that the government was actively exploring a jobseeker allowance as part of broader reforms to active labour market programmes. But, pointing to recent data showing deepening youth joblessness, Youth Capital stressed that “a jobseeker grant is not the solution to a stagnant economy”. According to the most recent Quarterly Labour Force Survey, youth unemployment has grown by 10% over the past decade, with nearly one in every two young people aged 15 to 35 currently unemployed. “Youth unemployment is not just a short-term issue; it’s a structural crisis,” Youth Capital’s Clotilde Angelucci said, adding that six out of 10 unemployed young people had never had a job. Angelucci said that without bold, large-scale interventions, many would remain shut out of formal employment for life. While Youth Capital acknowledged the high costs of seeking a job, citing its own 2023 research showing that young people spend up to R1,000 a month looking for work, it argued that financial support for jobseekers was insufficient if the economy continued to underperform. “You can’t incentivise job seeking if there are no jobs to seek,” Angelucci pointed out. The minister’s speech included limited announcements aimed directly at job creation. He largely reiterated structural reforms under Operation Vulindlela and public-private partnerships as the main paths to economic recovery.

• Read the full original of the report in the above regard by Sthembiso Lebuso at City Press (subscription / trial registration required)

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