Unemployment remains one of South Africa’s most pressing challenges, with an official unemployment rate of 32.9% as of early 2024 and an even higher expanded rate that includes discouraged job seekers. This crisis not only undermines economic growth but also perpetuates inequality and social instability. Among the most affected groups are young people, who face unemployment rates significantly above the national average. Addressing this issue requires an in-depth understanding of its causes and the development of targeted interventions. This report explores the key drivers of unemployment in South Africa, which stem from a combination of historical, structural, and systemic factors. A critical challenge is a mismatch between the skills required by a modern, skills-intensive economy and those available in the labour force. Inadequate education systems and limited vocational training leave many workers ill-prepared for the demands of growing sectors such as finance and services. Another major contributor is the lingering legacy of apartheid policies, which created deep inequalities in education, spatial planning, and economic participation. These historical injustices continue to hinder equitable access to quality jobs. Additionally, the economic structure, characterised by capital-intensive industries and slow growth, has limited job creation in labour-intensive sectors, further exacerbating unemployment. Youth unemployment remains a focal point, driven by a lack of work experience and employers’ reluctance to hire unskilled, inexperienced workers. This issue is compounded by regulatory barriers, including stringent labour laws, and infrastructural challenges such as unreliable power supply and inadequate transport networks, which stifle business growth and economic resilience. Through an analysis of these causes, this report aims to shed light on the complex factors underlying South Africa’s unemployment crisis and provide a foundation for crafting effective solutions.