Youth Unemployment Persists—Entrepreneurship is South Africa’s Urgent Solution

South African youth discouragement grows as youth unemployment rose to 46.1% in Q1 2025, pushing overall unemployment to 32.9% (QLFS, Stats SA). For millions of young people, especially women, the job market remains out of reach—held back by shrinking formal jobs and deepening inequality. With futures on hold before they begin, entrepreneurship isn’t a luxury; it’s a vital path to inclusion, income, and youth independence.

Q1 often sees a drop in employment as seasonal jobs end and thousands of matriculants and graduates face a dwindling job market. Age and gender gaps remain stark: 48.1% of young women are Not in Employment, Education, or Training (NEET), compared to 42.2% of men. The call for youth-driven entrepreneurship is urgent. “Empowering youth with real-world, income-building skills—like those offered by DSA Member Companies—is key to change,” shared Rajesh Parshotam, Chairperson of the DSA.

1.9 million young South Africans have given up looking for work, and nearly 59% have never had a job. Locked out by lack of experience, they face a cycle of rejection and stagnation. “Direct selling through DSA member companies is an economic solution for SA youth who need safe, innovative income solutions with lower barriers to entry.”

Brandon Masondo, DSA Vice Chairperson and Youth Initiative Director, adds: “Our Youth are the future of our country and are vital to direct selling; that’s why at the DSA we’ve established a dedicated Youth pillar to expand access for the Youth to DSA-accredited opportunities. Member companies offer skills, training, mentorship, and support to help youth become successful entrepreneurs—with no formal education required, low start-up costs, and real opportunities to rise above their circumstances.”

“Our Work Integrated Learning Project with the University of Johannesburg is one example of how our member companies have been, through this project, for more than two decades, equipping youth with the tools to start businesses, mentoring and developing them into confident and successful entrepreneurs, to market themselves, and to enter the workforce with confidence, and in many cases to continue with direct selling as a side-hustle or primary business.”

“It’s not just about income; it’s about transforming lives and unlocking the youth’s untapped potential. This pathway to financial independence delivers stability, personal growth, and real economic upliftment and empowerment for SA youth,” concludes Imtiaz Ebrahim, DSA Secretariat.