There are multiple reasons for unemployment in South Africa, including young people being unable to access education, a lack of work experience among the young and few government policies encouraging employment. Additionally, economic growth is lacking in some areas, including the development of small businesses in rural communities.
As of 2013, approximately 47 percent of South Africa's population was classed as poor, and more than 25 percent were unemployed. Unemployment is particularly problematic among the country's young population; socioeconomic factors, such as being unable to access or complete education, affect their job prospects. Many also lack work experience, which means finding entry-level positions is particularly difficult. Although policies designed to tackle education and other youth unemployment problems are implemented, they may not be effective.
Although economic growth has been positive in South Africa since 1994, the country struggles to encourage it in all market sectors, which in turn stifles opportunities for employment. One reason for a lack of growth is that large businesses and unions dominate the area. There are market regulations that inadvertently make it difficult for those who are not well connected to enhance business and employment opportunities. As a result, informal business areas and rural localities suffer, making it difficult for South Africans to find employment across the country.