Government pledges to tackle youth unemployment, skills shortage

In the wake of mounting concerns over rising unemployment rates, particularly among the youth, Deputy President Paul Mashatile addressed the National Assembly on Tuesday. He assured MPs of the government’s commitment to addressing these pressing issues.

Mashatile highlighted the gravity of the situation. He acknowledged the low levels of employment among the youth as a significant challenge facing the nation.

Proactive stance

The deputy president emphasised government’s proactive stance in implementing programs aimed at fostering skills development to enhance employability.

“We are all very concerned about the low levels of employment amongst the youth. And we are implementing programmes to ensure that youth are employed. Because we believe that when young people are given opportunities, they will take them up,” he said.

One of the key initiatives highlighted by Mashatile is the National Youth Policy 2030, approved by the Cabinet in October 2020. The policy serves as a comprehensive framework to combat unemployment. It was designed to redress past injustices and confront contemporary challenges facing the youth.

Substantial allocation of R7.4bn

Mashatile also referred to the substantial allocation of R7.4-billion for the Presidential Employment Initiative in the 2024/2025 financial year. This was announced by the Minister of Finance in February.

He noted that this initiative has already made a considerable impact, having assisted over millions of people through various interventions. These include job creation, retention, and skills support.

“In addition, the South African Employment Services System, which serves over 7 million job seekers, provides nationwide platforms. [These are] for youth to register for employment, match with employment opportunities, and receive placement counselling.

“Through public-private partnerships, the government supports various internships, learnerships, and apprenticeship programmes. These are across various government departments. They aim to provide experiential learning and facilitate entry into the labour market for young people.”

Skills programmes for youth

Addressing the critical issue of skills shortage, Mashatile highlighted the collaborative efforts between the government, the business sector, organised labour, and civil society. He mentioned the signing of three social compacts. These are aimed at strengthening relationships and addressing skills shortages in key economic sectors.


“The first social compact focuses on building the foundation for a transformed economy and society. The second compact focuses on skills for a transformed economy and society. And the third one relates to the building of a capable state and professionalisation of the public service.

“The signing of these compacts demonstrates government and social partner collaboration to address skills shortages in critical economic sectors,” said Mashatile.

He said these social compacts prioritise digital skills for the 21st century. They aligning the skills with the demands of the 4th and 5th Industrial Revolutions.

Digital sector

An allocation of R800-million has been earmarked for skills development in the digital and technology sector. Mashatile told MPs that the government aims to bridge the gap between education and employment outcomes.

“This year, R800-million has been set aside for the National Skills Fund to develop skills in the digital and technology sector. This is through an innovative model that links payment for training to employment outcomes.

“Moreover, the Human Resource Development Strategy: Towards 2030, recognises that education and skills in South Africa constitute the nerve-centre of the country’s economic growth. Also that of the national transformation goals set out in the National Development Plan’s vision for 2030.”

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