Is a university degree still worth it in today's job market?

As South Africa grapples with dire unemployment figures and the looming threat of artificial intelligence reshaping job landscapes, the question of whether a university degree is still a worthy pursuit weighs heavily on the shoulders of prospective students and their families.

With youth unemployment rates soaring, the debate about higher education's relevance has never been more critical.

Latest statistics presented to the Portfolio Committee on Employment and Labour reveal a stark reality for the nation’s youth. Young people aged 15 to 24 are facing an alarming unemployment rate of 58.5%, and those aged 25 to 34 are not far behind at 38.4%.

A grim picture emerges, with an official unemployment rate among youth aged 15 to 34 escalating from 36.9% in the first quarter of 2015 to 43.7% in the third quarter of 2025. This translates to millions of young South Africans remaining sidelined from the economy.

In fact, Statistics South Africa indicates that approximately 3.5 million of the 10.3 million youths aged 15 to 24 are neither employed nor engaged in education or training.

Despite these daunting figures, the perceived value of a university education remains a vital discussion point in today’s economic climate. Prof. Linda du Plessis, Senior Deputy Vice-Chancellor at North-West University (NWU), posits that the benefits of higher education extend well beyond initial job placements.

"Research consistently shows that higher education remains one of the most powerful drivers of social mobility and economic opportunity," she states.

Graduates tend to secure higher lifetime incomes than their non-graduate peers, with even more pronounced advantages for those hailing from less affluent backgrounds. Additionally, sectors such as nursing, engineering, and information technology continue to present substantial demand for qualified graduates.

However, as Prof. du Plessis notes, it is vital to differentiate between "employment" and "employability."

Employment refers to a specific job at a moment in time, influenced by external economic conditions. In contrast, employability is shaped by an individual’s proactive engagement in continuous learning and resilience, offering a toolkit of skills that includes critical thinking, problem-solving, and adaptability.

Universities, therefore, play a pivotal role in nurturing this employability.

"While employment may be fleeting, employability compounds over time. It equips graduates with the flexibility to transition between roles as industries undergo transformations," she explains.

This notion aligns with global labour market trends as reported by the World Economic Forum, indicating an increasing demand for creative and analytical thinkers, along with resilience and a commitment to lifelong learning.

The rapid evolution of artificial intelligence introduces further layers of complexity to the job market. "Surveys reveal a growing number of technology professionals fearing that AI tools could render their current skill sets obsolete," says Prof. du Plessis. In this shifting landscape, the capacity for continual learning and adaptability becomes indispensable—qualities that universities aim to instil in their graduates.

At NWU, the educational framework incorporates a T-shaped learning model, which marries deep disciplinary knowledge with broad skill sets essential for leadership and innovation.

Graduates are encouraged to cultivate not only technical proficiency but also adaptability and an entrepreneurial mindset, frequently through hands-on work-integrated learning experiences.

While alternative education options such as short courses and micro-credentials serve their purpose, they often fall short of fostering the depth of critical thought and intellectual agility characteristic of degree programmes.

"A degree is impressively versatile. It serves as an entry point to various sectors rather than a definitive career path," Prof. du Plessis explains, referencing the broad applicability of skills acquired in commerce and computer science.

So, is a university degree still worth it? Understanding that the true value lies not merely in securing a job but in fostering lifelong learning and the ability to adapt allows for a resounding affirmation.

While a degree may not guarantee access to every opportunity, it bestows invaluable skills that empower graduates to open doors that would otherwise remain closed.

IOL