AI Could Boost South African Jobs to 500,000

Why this is here: Roughly 54.7% of South African youth aged 18-35 are currently unemployed, adding urgency to the question of AI’s effect on entry-level jobs.

The Bridgespan Group and Harambee Youth Employment Accelerator recently researched the impact of artificial intelligence on employment in South Africa’s business process outsourcing and tourism sectors. Their findings suggest AI is currently supporting workers, not replacing them, though this could change without proactive measures. The research team modeled two scenarios—one with strong public-private partnerships and one with limited preparation—to forecast job growth to 2035.

Under the optimistic scenario, BPO employment could exceed 500,000 jobs if organizations coordinate AI adoption with human skills. Tourism could see over 1.28 million jobs by 2030.

However, a reactive approach risks shrinking entry-level work and reducing South Africa’s competitiveness. The researchers note women and young people are disproportionately concentrated in roles most vulnerable to automation.

To maximize benefits, the report recommends adaptive skilling systems, redefined roles for human-AI collaboration, and improved talent matching—especially for entrepreneurs. The study acknowledges that widespread AI adoption is still nascent, making this a critical juncture for South Africa. The work continues to assess how best to integrate AI into the workforce.