PHOTO: COURTESY
According to a 2025 report by International Labour Law, 402 Million people are unable to find work globally and the unemployment rate is at 12.6%.
While the report paints that global unemployment is at historic lows, the story is vastly different across Africa. Sub-Saharan Africa, in particular, faces some of the highest levels of working poverty, informality, and youth unemployment globally. Despite being home to the world’s youngest population, the region struggles to create enough decent jobs to meet the demands of its growing workforce.
This isn’t just about numbers, it’s about lives. Millions of young Africans are entering the labor market each year, only to face limited opportunities, informal work, or outright unemployment. The youth unemployment rate in sub-Saharan Africa is rising faster than in most regions, exacerbated by stagnant economies, weak industrialization, and limited access to quality education and training.
The report also estimates that over 186 million people globally are unemployed, with African countries contributing disproportionately to this figure.
In Africa, youth unemployment isn’t just a statistic; it’s a crisis that risks destabilizing entire societies. Young people are three to four times more likely to be unemployed than adults, and many who are employed remain trapped in informal, low-paying jobs. Worse still, a growing number of African youth are neither working nor pursuing education or training. In some parts of the continent, the NEET (Not in Employment, Education, or Training) rate for women exceeds 30%, reflecting deep structural barriers such as unequal access to opportunities, societal expectations, and care responsibilities.
These trends aren’t just personal tragedies, they’re economic disasters waiting to explode right into our faces. The inability to harness Africa’s demographic dividend, where the majority of the population is working-age, undermines the continent’s potential for economic growth. Countries like Nigeria, Kenya, and South Africa, often seen as regional powerhouses, are not immune. High unemployment in these nations drives brain drain, political instability, and lost economic output.
The report also highlights another critical issue: informality. More than 80% of workers in sub-Saharan Africa operate in informal sectors with no social protection or job security. Women are particularly disadvantaged, facing gendered barriers in accessing formal work and entrepreneurship opportunities. The persistence of these challenges signifies the urgent need for structural reforms.
Industrial policies could provide part of the solution. Africa’s manufacturing sector has yet to replicate the growth seen in Asia, which helped lift millions out of poverty.
Governments must prioritize diversifying their economies, investing in value-added industries, and supporting small and medium-sized enterprises (SMEs). These sectors hold untapped potential for job creation if properly supported by access to capital, infrastructure, and markets.
One bright spot is the potential of the green economy. The global transition to renewable energy has created 16.2 million jobs, with significant opportunities for Africa to follow suit. Yet, the report notes that nearly half of these jobs are concentrated in Eastern Asia. For Africa to benefit, policymakers must incentivize green investments in solar, wind, and sustainable agriculture while ensuring that local workers gain the skills needed for these jobs.
Morocco and South Africa are beginning to make strides, with growing investments in renewable energy projects. But these efforts must scale up continent-wide. Imagine the impact if Africa’s sun-rich regions becoming the epicenter of global solar energy production, creating millions of jobs while addressing the energy crisis experienced in most countries.
Africa’s jobs crisis demands bold, coordinated action. Governments must shift their focus from short-term fixes to long-term solutions that address systemic challenges. Expanding access to quality education and vocational training is essential. Strengthening labor protections and creating pathways from informal to formal employment would also go a long way toward improving livelihoods.
The private sector must play its part, too, by investing in local talent, supporting startups, and adopting inclusive hiring practices. International bodies and development partners can support these efforts through targeted funding and capacity-building initiatives.
The stakes couldn’t be higher for Africa. A failure to address unemployment and underemployment risks entrenching poverty, inequality, and political instability across the continent. But with strategic investments, bold reforms, and a commitment to inclusive growth, Africa can turn its labor market challenges into an opportunity.
For a continent brimming with potential, the choice is clear: take bold action now or risk losing a generation to despair. It’s time for African leaders, businesses, and the global community to rise to the challenge. Africa’s youth are ready to contribute. Let’s give them the chance to do so.
