43 000 Mpumalanga residents lose jobs in first quarter of 2025
The country celebrated Workers' Day on May 1, but about 43 000 Mpumalanga residents lost their jobs in the first three months of this year. These unfortunate people are unlikely to have joined the celebrations. Stats SA released the Quarterly Labour Force Survey (QLFS) for the first quarter of 2025 on Tuesday, May 13.
The results for the first quarter of 2025 show that the total number of unemployed youth (15 to 34 years) increased by 151 000 to 4.8 million, while employed youth recorded a decrease of 153 000 to 5.7 million. As a result, the youth unemployment rate increased from 44.6% in the fourth quarter of 2024 to 46.1% in the first quarter of 2025.
ALSO READ: Public warned against illegal sand mining
Currently, youth unemployment in Mpumalanga is at 46.4%, one of the highest in the country. Unemployed jobseekers stand on the sides of the roads in Mbombela every day, seeking temporary job opportunities.
During an interview with a jobseeker in the CBD, Carol Ndlovu (not her real name) said due to the high number of unemployed people in the area it has become difficult to find permeant employment. Ndlovu said many people prefer to clean their own homes and the increase in unemployed people has made it more difficult to find work opportunities.
'The hardest days are when I have to borrow money for the bus fee, yet I go home without any money. Some days we go home without anyone offering us work and this means I do not get to raise money for transport to go back home. I tried to apply for work, however, I struggled to find opportunities. I have a family, so I decided to wake up every morning, get onto a bus and leave my township so that I might put food on the table.'
Siyabonga Maziya, another unemployed resident, said they face various challenges in their quest to make ends meet. 'We sometimes stand on the side of the road and we are unable to take money home because we could not find any opportunities. We have tried to apply for jobs but we are not getting anything.'
ALSO READ: High court orders that assets be seized after alleged R5m Covid-19 PPE fraud uncovered
In a statement, Grovè-Morgan said the DA is concerned that over 40 000 residents of the province have lost their jobs in the first quarter of this year.
The QLFS report also revealed that the majority of the job losses were in the agriculture, mining and construction sectors.
'These job losses paint a very bleak picture of Mpumalanga's job market, where the unemployment rate increased to 35.4 % from 34.7% at the same time last year. Furthermore, the number of discouraged work seekers (expanded unemployment rate) in Mpumalanga increased to over 2.5 million (49.3%) out of a population of 5.1 million.
'The province's lost generation, the youth, contributes significantly to the expanded unemployment rate. This is a crisis that needs to be tackled by both the provincial government and the private sector.'
The newspaper contacted the Office of the Premier for a comment and was referred to the Department of Economic Development and Tourism. By the time of going to press the department had not responded to the enquiry.
At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
IOL News
7 hours ago
- IOL News
The ethical blind spots in SA's unemployment stats
South Africa's high unemployment also stands out globally. The writer says South Africa's metrics function as biopolitical instruments that perpetuate apartheid-era exclusion by rendering Black economic agency statistically non-existent. Image: File THIS opinion piece responds to former Statistician-General Pali Lehohla's article Debating the Labour Force Survey – A Response to Fourie's Critique. It serves as a rebuttal to his critique of my earlier article, Why Capitec's CEO Is Forcing SA to Rethink Its Unemployment Narrative, in which I argued that South Africa's unemployment figures fail to reflect the lived economic realities of the majority Black population. Lehohla claims that my article has 'amplified the debate' and insists on setting the record straight before it spirals into misinformation and speculation. However, my article did not reject StatsSA data outright. Instead, I argued that South Africa's high unemployment statistics are shaped by a biopolitical statistical system that invisibly erases informal economic activity and Black labour. This is largely due to restrictive measurement methodologies and the active suppression of the informal sector, unlike in other developing countries. I proposed the adoption of hybrid metrics and structural reforms to more accurately capture and support this vital, yet uncounted, segment of the economy. My stance aligns with UCT economist Haroon Bhorat, who engages constructively with Fourie's arguments rather than dismissing them entirely. Lehohla, however, dismisses Fourie's estimate of a 10% unemployment rate — based on informal economic activity — as 'abracadabra', 'lying', and the rant of a 'random businessman who profits from Black communities'. His anger masks a deeper crisis: South Africa's economic measurement system, though methodologically sound, is philosophically ill-equipped to account for the informal, digital, and survivalist nature of the majority-Black workforce. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ Lehohla defends StatsSA's unemployment figures based on their adherence to International Labour Organisation (ILO) standards and the Quarterly Labour Force Survey (QLFS). Yet, I argue that this technical rigour obscures vast swaths of economic activity. For instance, a township hairdresser or street vendor without formal records becomes statistically invisible. This creates a profound ethical issue: stark racial disparities in unemployment, with Black South Africans facing an expanded unemployment rate of 40%, compared to just 7% for white South Africans. South Africa's high unemployment also stands out globally. Countries like Mexico (55% informal, 4.5% unemployment) and Nigeria (85% informal, 3.34% unemployment) include self-reported informal work in their statistics. In contrast, South Africa's metrics function as biopolitical instruments that perpetuate apartheid-era exclusion by rendering Black economic agency statistically non-existent. Bhorat notes that UCT's Development Policy Research Unit (DPRU) consistently shows South Africa having one of the highest unemployment rates globally (33.6%), but also one of the lowest informality rates (about 16.3%). He highlights how most emerging economies address unemployment not by creating more formal jobs, but by allowing informal work to flourish. DPRU research further suggests that South Africa's unusually high unemployment is not primarily due to poor job growth or strict labour laws, but because our economy actively suppresses the informal sector. My advice to DPRU is not to shy away from confronting the moral failures or societal consequences that their data may obscure. Lehohla's refusal to engage meaningfully illustrates the difficulty of escaping the grip of orthodox economics and its limitations. Orthodox economics treats the economy — and by extension, social life — as a predictable machine operating in equilibrium. When official statistics diverge from lived experiences, the social contract built on citizens sharing data begins to erode, revealing a deep crisis within the discipline of economics. Unlike Adam Smith — who grounded market value in ethics and social relations in The Theory of Moral Sentiments — modern economics has severed this moral root, prioritising abstract mathematical models over real-world complexity. Joseph Stiglitz warns that GDP-centric metrics obscure true well-being. Persistent youth unemployment amidst trillions of rands in township transactions is not merely an error — it reflects a flawed measurement paradigm. Kenneth Boulding adds that modern economics builds on classical works like The Wealth of Nations and Das Kapital, which contain unrealised 'evolutionary potential' absent in contemporary models. He cautions that excluding economic history from graduate education produces 'idiots savant' — technically proficient economists who lack institutional understanding and historical insight. A balanced synthesis of modern analytical tools and classical wisdom can help bridge this divide, fostering critical engagement with economics as both a technical and humanistic discipline. Lehohla's defence rests on rigid positivism — the belief in the 'holy' authority of statistical processes — yet this glosses over the ethical roots of economic thought. For Smith, wealth was defined by the ability to command others' labour — a social relationship, not a cold data point. Modern economics, however, has decoupled itself from these normative foundations. As Stiglitz points out, most metrics conceal inequality and human suffering, reducing development to arithmetic rather than justice. This philosophical drift is evident in South Africa: while StatsSA reports rising unemployment, Capitec Bank documents over R2 trillion in township transactions — a vibrant economic reality invisible to official instruments. This disconnect signals a deeper crisis in economics. Equilibrium models and optimisation problems eclipse historical nuance, cultural dynamics, and power relations. Boulding warned of this technocratic drift, describing modern economists as technicians fluent in calculus but blind to social texture. In a direct response to me, Lehohla stated: 'There is no legacy to protect on my part, Bhungane (my totem), nor language to polish. When a lie is told, there is no reason to give it a different word. It is simply a 'lie,' and when an argument does not make sense, it is called nonsense in the English language, and when nonsense is given wheels and wings to fly, it is called 'rubbish.' Those who wish to opine should do so from research rather than from a hailer.' While I may not use his hyperbolic or confrontational language, I am neither uninformed nor inexperienced in public discourse. I have an academic and policy track record that makes me far more than 'a hailer.' As many have rightly pointed out, shouting or using aggressive language does not strengthen an argument. We must allow space for multiple viewpoints to ensure inclusive policymaking around poverty, inequality, land reform, and unemployment. Finally, Lehohla attributes South Africa's unique unemployment situation to two key factors: agricultural activity tied to land ownership and high levels of economic concentration. He argues that these factors challenge simplistic international comparisons and emphasise the centrality of the land question in shaping employment outcomes. No. Lehohla is deliberately conflating issues to obscure the fact that his revered unemployment metrics miss the ethical forest for the numerical trees. Siyayibanga le economy! * Siyabonga Hadebe is an independent commentator based in Geneva on socio-economic, political and global matters. ** The views expressed here do not reflect those of the Sunday Independent, Independent Media, or IOL. Get the real story on the go: Follow the Sunday Independent on WhatsApp.
The Star
9 hours ago
- The Star
The state of the adult industry in SA: A market under pressure
I started the Lola Montez Brand over 20 years ago. It was the first of its kind. An adult store that was more boutique than a store that made it safe for women to shop. It was a place where couples could get real advice about their relationship and purchase a range of toys to spice up the bedroom. We went from 1 to 4 stores and back again over the years and recently closed all our bricks and mortar outlets to be online. We still offer the same educated and honest advice. I have wondered for some time now whether it is just me or whether we are all suffering. Yes, there certainly are more players in the market with fierce online competition. If your algorithms aren't perfect, you are nowhere to be found. Don't even think about advertising on social media, you'll be banned faster than you can say Butt Plug. I'm assured it's the same for everyone. The South African adult industry, once dominated by a few brick-and-mortar stores offering high-end, discreet and knowledgeable service, is now navigating choppy waters. A convergence of economic, regulatory, logistical, and digital challenges is threatening the survival of longstanding adult retailers and reshaping the landscape of the industry entirely. The Decline of Physical Retail: A Perfect Storm Retail across all sectors has been under pressure, but adult retail in South Africa faces unique hurdles. High commercial rentals—especially in premium, upmarket areas—have made it nearly impossible for adult stores to compete for desirable locations. Despite a more progressive approach to sexual wellness, adult shops still face stigmas that prevent them from gaining access to malls and retail zones with high foot traffic. Zoning laws and landlord reluctance mean many are forced into industrial areas or low-traffic locations, which impacts visibility and footfall and keeps the industry feeling sleezy. Coupled with rising utilities and security costs due to persistent load shedding and crime, maintaining a physical presence has become financially untenable for many businesses. The shift to online retail, accelerated by COVID-19, has only exacerbated this decline. Regulatory Red Tape and Technical Hurdles Beyond rental issues, South African adult retailers also face harsh regulatory and logistical hurdles The South African National Standards (SANS) require that all rechargeable adult toys—those containing lithium batteries—meet strict safety compliance standards. Importers must register, test, and certify each model, even if it's a variation of an existing design. This costly and time-consuming process significantly delays product launches and adds to overheads. Moreover, lithium batteries are considered dangerous goods for air transport, leading to additional courier fees and complex logistics. These costs are passed on to the consumer, making locally-sourced products far more expensive than the same items bought from international platforms—many of which skip compliance and safety procedures entirely. The Online Competition Conundrum Online giants like Temu, Shein, and Wish have further eroded the profitability of local Players. These platforms offer cheap adult toys, shipped directly from overseas, often without duties being paid or regulatory compliance being met. These products are rarely covered by warranties and come with no after-sales service or consumer protections. Consumers, facing their own financial constraints, are increasingly opting for lower-cost alternatives, despite the risks. The result? Local adult stores can't compete on price and are losing market share rapidly. Reputable South African brands that offered education, discretion, high-quality products, and in-store expertise are being edged out by volume-based, faceless e-commerce operations. The Bigger Picture: Industry at Risk This collision of factors—regulatory barriers, high rentals, unfair import practices, and international competition—is having a significant impact on the adult industry as a whole. Once-thriving businesses are closing their doors, scaling back operations, or being forced to compromise on quality to survive. The broader implications are concerning - fewer safe, informed spaces to explore sexual health and wellness, job losses in an already struggling economy, and a decline in consumer rights and product safety standards. What Can Be Done? If the adult industry in South Africa is to survive and thrive, multi-pronged action is needed: Lobby for Fair Access: Retailers and advocacy groups must lobby municipalities and shopping centres to treat sexual wellness retail like any other health and beauty offering. Education is key to breaking down stigma. Simplify SANS Processes: Regulatory frameworks must be reviewed and streamlined for small businesses. Consideration should be given to exemption categories or partnerships for low-risk devices. Local Manufacturing Incentives: Encouraging local production of adult toys could reduce reliance on expensive imports and create jobs. Government incentives for manufacturing could drive innovation and economic inclusion. Consumer Education: Campaigns must highlight the importance of quality, safety, and after-sales support. Consumers need to understand what they lose when they buy from anonymous overseas platforms. Collective Bargaining and Bulk Shipping: Local retailers could form cooperatives to pool resources for compliance testing and shipping, reducing costs and increasing bargaining power with regulators and couriers. Our wholesalers have entered the retail market making competition even more difficult. Digital Excellence and Hybrid Models: Investing in sleek, educational online stores with excellent service, discreet delivery, and local credibility could win back customers. Hybrid models that blend online with experiential pop-ups or events could also offer a future path. Those who have the capital are trying. Temu is still winning. The adult industry in South Africa is at a crossroads. Without urgent and coordinated efforts to address the unique pressures it faces—from compliance costs to online competition—it risks becoming an underground or entirely imported market, devoid of trusted local brands and service. Preserving the industry isn't just about pleasure products—it's about access to safe, shame-free sexual wellness resources in a country that needs them more than ever.
The Citizen
18 hours ago
- The Citizen
Denel presents its turnaround strategy to parliament, blames Covid-19 for poor performance
Retrenchments are on the cards for workers at Denel says CEO. The leadership of Denel appeared in front of the joint standing committee on defence. Picture: Reuters Workers at the state arms company Denel could be retrenched as part of the company's latest turnaround strategy. Denel CEO Tsepo Monaheng appeared before parliament on Friday to present his plans to save the ailing company. Since 2019, Denel has received around R10 billion in bailouts from the government. 'We are looking at restructuring the business so that we get cash into the business and one of those areas is to make sure that we go through the Section 189s and have the right people in the business,' he said. Despite Denel's ongoing battles with unions over wages, Monaheng said the company is forced to prioritise paying off its debt. Some of the debt goes as far back as 2019. 'Denel still has a lot of debt even when we make money the creditors take the money and the banks want their money so it makes it difficult for us to execute our turnaround strategy,' he said. He said the company had even considered selling some of its non-core assets to replenish its cash reserves. He said another part of the revenue-generating strategy is to ensure that the company secures more international contracts. 'The countries that are placing orders with us they have trust that Denel has turned a corner and we cannot disappoint by nonperformance, so performance is critical for us.' Monaheng said it is critical for the business to spend money in a justifiable manner as part of the turnaround strategy. 'Denel has incurred a lot of costs and in many cases, it is costs that we cannot even justify. If we had managed our money better at least we would be a break-even business.' He said the company hopes to derive more than 60% of its revenue from international contracts. 'Most of the export contracts if we execute them well the profits are good,' he said. He said another turnaround move is to ensure that customers all over the world trust the products that have been produced by Denel. When was the last time Denel made profit? Monaheng said the last time Denel was profitable was around 2016. 'The problem with loss making is that you are not generating cash so this means you are getting deeper and deeper into trouble because we do not have cash to fund our operations so that is why we had to go ask for money.' Monaheng blamed the Covid pandemic and internal problems for its poor performance over the years. He said the company depends on its foreign contracts which were difficult to obtain during the pandemic. He also pointed out that staffing problems in senior management positions had made accountability difficult. 'The other reason besides Covid that contributed to Denel's collapse in the past few years is the collapse of internal controls. 'So we are fixing that to make sure that there are no leakages in the business and we are doing what we are supposed to be doing at all times,' he said. ALSO READ: Adequate emergency reserves in place for occasional system constraints – Eskom MP's reaction to Denel's presentation Meanwhile, some parliamentarians demanded clarity on when Denel started failing since Monaheng had listed Covid as one of the factors. 'The first presenter said Denel started taking a nose dive in 2020 with Covid and that they have not been able to recover from Covid but it was also said the last time Denel was profitable was the 2015/16 financial year. 'But Covid happened in 2020 not in 2015 so what was the reason for the initial five years of Denel not being profitable?' said the parliamentarian. Wage increases This week workers at the company affiliated to the National Union of Metalworkers of South Africa (Numsa) protested outside the company's offices in Pretoria over the implementation of a past wage agreement They are demanding a 7% salary increase. NOW READ: Victory for Transnet: more cash incoming, union accepts salary increase
