Graduate Unemployment, Skills Mismatch, and the Dynamics of Labour Mobility in South Africa: A Systematic Literature Review

South Africa faces persistent socio-economic challenges, including high unemployment, skills mismatches, and structural inequalities that limit inclusive development. Despite a relatively high youth literacy rate, graduate unemployment has emerged as a critical concern, reflecting the disjuncture between higher education outputs and labour market needs. This article systematically reviews literature published between 2005 and 2025 to explore the complex interplay between graduate unemployment, skills mismatch, and labour mobility in South Africa. A total of 43 peer-reviewed articles from Scopus and Web of Science were analysed using a systematic literature review approach. The findings reveal five interrelated themes: (i) enduring inequities in education access and quality, rooted in colonial and apartheid legacies; (ii) limited transformation of higher education, characterised by poor throughput and uneven responsiveness; (iii) persistent mismatches between academic qualifications and industry requirements; (iv) the ideological framing of policy reforms shaped by global discourses such as Human Capital Theory; and (v) the disruptive effects of technological change, particularly the Fourth Industrial Revolution. Collectively, these themes highlight the need for reforms that strengthen the alignment between education and labour market demands, expand equitable access to work-integrated learning, and promote adaptive lifelong learning strategies. Policy implications underscore the importance of industry–university partnerships, curriculum reform, and context-sensitive labour market planning. While this review is limited to published literature, it provides valuable insights for addressing graduate unemployment and advancing inclusive, skills-driven growth. Future research should focus on longitudinal studies, regional comparisons, and the role of technology in reshaping employability.