Speaking at a National Youth Development Agency (NYDA) and Presidential Youth Employment Intervention (PYEI) event focused on youth unemployment and gender equity, Chikunga underscored the gravity of the situation. She called for structural changes to combat the youth unemployment rate, which stands at 45.5% for those aged 15–34, compared to a national average of 32.9% in the first quarter of 2024.
Reflecting on President Ramaphosa’s 2019 State of the Nation Address, where youth unemployment was described as a “national crisis,” Minister Chikunga highlighted the continued deterioration of the situation. She noted that the expanded definition of unemployment, which includes those discouraged from seeking work, has pushed the youth unemployment rate to a staggering 60.8% in the second quarter of 2024.
In light of the mandate articulated above, what do these numbers mean to us? When the President declares youth unemployment a national crisis, as far back as 2019, what should this mean to us? Put differently, how does our approach match up to this national crisis? Do the size, scale, and pace of our interventions truly reflect the urgency of the crisis that the President refers to?
The Minister argued that the crisis is not only about high unemployment rates but also about the structural issues exacerbating the problem. She urged the government and stakeholders to rethink their strategies and design large-scale interventions for sustainable development.
Our task is not only to reduce unemployment but also to design catalytic, industrial-scale interventions that will anchor us well into a future of sustainable development
As South Africa marks 30 years of democracy, Chikunga acknowledged the progress made but warned that many citizens still lack meaningful opportunities for socioeconomic advancement. She pointed out the troubling situation of unemployed graduates, including those with advanced degrees who are unable to find work.
This is an abnormal situation that demands both innovative and aggressive solutions
Chikunga identified several potential areas for breakthrough, including improving access to land for agriculture, establishing an emerging industrialist fund, and leveraging public procurement to support youth and women-owned businesses.
She also highlighted the importance of learning from countries like Japan, South Korea, China, and Singapore, which have successfully transformed their economies through strategic government interventions, export-oriented industrialization, and significant investments in education and skills development.
Encouraging exports, as exemplified by China’s manufacturing boom, allows emerging industrialists to benefit from global demand, leading to large-scale production and job creation. This approach has transformed cities like Shenzhen into global manufacturing hubs, generating millions of jobs.