eThekwini unemployment rate declines amid infrastructure investment

eThekwini’s official unemployment rate dropped to 22.2% in the third quarter of 2026, marking a 5.6 percentage point decline from 27.8% in the same period last year, according to the latest Quarterly Labour Force Survey published by Statistics South Africa on 10 November 2026. This makes eThekwini the only metropolitan municipality to record a year-on-year decrease in unemployment, even as the national rate rose to 33.7%.

The number of unemployed residents in eThekwini fell by 101,000 to 363,000, while the employed population increased by 66,000 to reach 1.27 million. Formal sector employment showed the strongest growth, rising by 146,000 or 18.2% over the same period. These figures reflect a significant labour market improvement within the municipality.

Musa Mbhele, eThekwini City Manager, acknowledged the positive trend and attributed the progress to the municipality’s focus on strengthening infrastructure and creating an enabling environment for investment. “These figures reflect an encouraging expansion in employment, indicating that more of our residents are engaged in productive work compared to a year ago – a welcome development for households across the municipality,” Mbhele said during a media briefing.

Mbhele emphasised that the municipality’s priorities include securing robust water and electricity infrastructure, maintaining clean and safe public amenities, and streamlining regulatory processes to support investment in Durban. “Our primary responsibility as an administration is execution excellence: securing robust infrastructure for water and electricity, maintaining clean and safe public amenities, and streamlining regulatory processes to facilitate investment in Durban,” he stated.

According to Mbhele, collaborative partnerships between business, organised labour, and various government spheres drive their strategic focus. While the specific impact of infrastructure improvements on employment gains has not been independently verified, the municipality views these foundational elements as critical to sustaining future growth.

Despite national unemployment rising, eThekwini’s decline contrasts sharply with other metropolitan areas, where unemployment remained stable or increased. The municipality’s proactive approach could offer lessons for other regions looking to reverse job losses amid South Africa’s challenging economic climate.

The latest Stats SA data, corroborated by independent media, confirms eThekwini’s labour market improvements but stops short of definitely linking them to municipal policies or infrastructure investments. Further monitoring is needed to determine if this trend will continue.

CapeFlats.co.za will continue to track eThekwini’s employment statistics and municipal initiatives as new information becomes available.

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