NMB jobs shock in latest unemployment stats release

Issued by Dr Vicky Knoetze MPL – DA Leader of the Official Opposition in the Eastern Cape Legislature
12 Aug 2025 in Press Statements

The latest Quarterly Labour Force Survey (QLFS) has revealed that Nelson Mandela Bay, which generates over a third of the Eastern Cape’s GDP, has suffered the single largest employment collapse in the province, signalling deep trouble for the entire Eastern Cape economy.

Figures released for the second quarter of 2025, from April to June, show that the Metro’s official unemployment rate surged from 22.3% to 26.4%, and the expanded rate ballooned from 27.1% to 35%.

The figures revealed that while the Eastern Cape’s unemployment rose just 0.2% from the first to the second quarter, provincially, 89,000 additional jobs were created.

These jobs are, however, most likely to be seasonal, with citrus harvesting starting in April, resulting in more temporary jobs created in the agricultural sector that disappear at the end of the season.

Notably, the figures released do not fully reflect the impact of the general 30% US tariff increases, which only really came into effect in August, and which will most likely be felt in the Q3 and Q4 statistics.

In contrast, Buffalo City has seen a decrease in unemployment, from 37.3% to 28.6%, employing an additional 30,000 people over the same period. However, it is unclear which sectors these jobs were created in.

The Democratic Alliance (DA) has long warned that without urgent economic reform, the Eastern Cape will remain trapped in a cycle of joblessness and dependency. The DA’s six-point plan to turbocharge the economy offers a credible blueprint to reverse this decline and open pathways to sustainable job creation.

The DA’s plan calls for the removal of job-killing policies and laws, ensuring affordable and reliable energy, fixing collapsing network industries, cutting wasteful expenditure, turning dysfunctional municipalities into delivery hubs, and arresting the crime epidemic that strangles economic growth. Implementing these reforms would unlock investment, stabilise the province’s economic base, and create an enabling environment for businesses to grow and employ more people.

The Eastern Cape cannot afford to watch more young people leave the province in search of work elsewhere. Reforming local government to deliver infrastructure, cutting red tape for small businesses, investing in energy stability, and tackling rural safety head-on are essential to rebuilding economic confidence.

The people of the Eastern Cape deserve a government that will act decisively to create jobs, restore dignity, and protect livelihoods. The DA remains committed to delivering the leadership and reform necessary to secure a future built on opportunity, safety, and honest governance.