South Africans forced to retire later as job losses, shrinking salaries and savings crisis deepen

Professionals nearing retirement are being pushed out of the workforce earlier than they planned. Jobs are fewer, the competition is fierce – often from younger candidates – long service, or loyalty, no longer guarantees job security.

South Africans approaching retirement are facing increasing financial uncertainty as weaker salaries, job insecurity and pressure on retirement savings make it harder to leave the workforce on their own terms.

Many professionals are also finding themselves pushed out of employment earlier than planned, with fewer job opportunities, stiff competition from younger candidates and long service no longer guaranteeing job security.

The financial strain is reflected in the latest PayInc Net Salary Index, which tracks the net salaries of around 2.1 million earners. It found that the average nominal salary fell to R21,228 in April 2026, down 0.6% from March and 0.5% lower than a year earlier.

After adjusting for inflation, average take-home pay declined 2.7% year-on-year to R20,244, the lowest level recorded in two years.