OECD Better Life Index (2024)

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How’s Life?

Since 1994 South Africa has made great progress in reducing absolute poverty by rolling out social grants for pensioners, the disabled and children. Access to education, housing, water, electricity and other services has been greatly broadened. As a result, well-being has increased substantially. Notwithstanding, South Africa performs poorly in many dimensions of well-being relative to other countries in the Better Life Index. It underperforms average in income, jobs, education, health, environmental quality, social connections, civic engagement, safety and life satisfaction. These assessments are based on available selected data.

Money, while it cannot buy happiness, is an important means to achieving higher living standards. In South Africa,the average household net-adjusted disposable income per capita is USD9 338 a year, considerably less than the OECD average of USD30 490 a year.

In terms of employment,about 39% of people aged 15 to 64 in South Africa have a paid job, considerably below the OECD employment average of 66%. Some 44% of men are in paid work, compared with 33% of women.In South Africa, 15% of employees work very long hours in paid work, well above the OECD average of 10%, with 20% of men working very long hours in paid work compared with 10% of women.

Good education and skills are important requisites for finding a job. In South Africa,48% of adults aged 25-64 have completed upper secondary education, much lower than the OECD average of 79%. In terms of the quality of the education system,the average student scored lower than the OECD average of 488 in reading literacy, maths and science in the OECD's Programme for International Student Assessment (PISA).

In terms of health,life expectancy at birth in South Africa is around 64 years, seven years lower than the OECD average of 81 years. Life expectancy for women is 68 years, compared with 61 for men.The level of atmospheric PM2.5– tiny air pollutant particles small enough to enter and cause damage to the lungs –is 28.5 micrograms per cubic meter, well above the OECD average of 14 micrograms per cubic meter. In South Africa, 72% of people say they are satisfied with the quality of their water, lower than the OECD average of 84%.

Concerning the public sphere, there is a moderate sense of community and moderate levels of civic participation in South Africa, where89% of people believe that they know someone they could rely on in time of need, less than the OECD average of 91%. Voter turnout,a measure of citizens' participation in the political process,was 66% during recent elections, lower than the OECD average of 69%.

When asked to rate their general satisfaction with life on a scale from 0 to 10, South Africans gave ita 4.9 grade on average,much lower than the OECD average of 6.7.

For more information on estimates and years of reference, seeFAQ sectionandBLI database.

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OECD in Action

OECD Economic Surveys: South Africa

OECD's periodic reviews of South Africa's economy. Each review examines recent economic developments, policy and prospects, and presents a series of recommendations.

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South Africa in Detail

Civic Engagement - South Africa expand

Key Findings

Trust in government is essential for social cohesion and well-being. High voter turnout is a measure of citizens' participation in the political process. In the most recent elections for which data are available,voter turnout in South Africa was 66% of those registeredbelow the OECD average turnout of 69%.

Broader public engagement in the decision-making process is also important for holding the government to account and maintaining confidence in public institutions. The formal process for public engagement in developing laws and regulations is one way to measure the extent to which people can become involved in government decisions on key issues that affect their lives. In South Africa, the level of stakeholder engagement in developing regulations is lower than the OECD average of 2.1.

For more information on estimates and years of reference, seeFAQ sectionandBLI database.

Better Policies for Better Lives

Co-creating the future

South Africa’s National Development Plan, known as “Our future, make it work”, launched in 2012, establishes a vision for the country through to 2030. To better involve citizens, the council managing the development of the plan established an inclusive engagement process, which brings together policy communities, community-based organisations, political parties, labour unions, business organisations, government departments, the Forum of South Africa Directors General, the Cabinet, and provinces and municipalities. Taking an innovative approach to consultation, stakeholders were engaged through a number of mediums, such as television and radio shows, newspaper inserts and co-edited press articles, roundtable discussions, fireside chats, social media and online brainstorming sessions, YouTube animations and a dedicated email address for written comments and submissions. This process is helping people to define overarching goals, build consensus and provided a common framework for action.

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How's Life?: Measuring Well-being

Indicators

Community - South Africa expand

Key Findings

Humans are social creatures. The frequency of our contact with others and the quality of our personal relationships are thus crucial determinants of our well-being.

A strong social network, or community, can provide emotional support during both good and bad times as well as provide access to jobs, services and other material opportunities. In South Africa,89% of people believe that they know someone they could rely on in a time of need, below the OECD average of 91%.

A weak social network can result in limited economic opportunities, a lack of contact with others, and eventually, feelings of isolation. Socially isolated individuals face difficulties integrating into society as a contributing member and fulfilling personal aspirations.

More Resources

How's Life?: Measuring Well-being OECD Insights: Human Capital

Indicators

Education - South Africa expand

Key Findings

A well-educated and well-trained population is essential for a country's social and economic well-being. Education plays a key role in providing individuals with the knowledge, skills and competences needed to participate effectively in society and in the economy. Having a good education greatly improves the likelihood of finding a job and earning enough money. South Africans go throughfewer years of educationbetween the ages of 5 and 39, than the OECD average of 18 years.

Graduating from upper secondary education has become increasingly important in all countries, as the skills needed in the labour market are becoming more knowledge-based. High-school graduation rates therefore provide a good indication of whether a country is preparing its students to meet the minimum requirements of the job market. In South Africa,48% of adults aged 25-64 have completed upper secondary education, lower than the OECD average of 79%.

But graduation rates, while important, speak little to the quality of education received. The OECD's Programme for International Student Assessment (PISA) reviews the extent to which students have acquired some of the knowledge and skills that are essential for full participation in modern societies. In 2018, PISA focused on examining students' reading ability, skills in maths and level in sciences, as research shows that these skills are more reliable predictors of economic and social well-being than the number of years spent in school.

No data are available for South Africa, but evidence from other OECD countries suggests that the best-performing school systems manage to provide high-quality education to all students.

Better Policies for Better Lives

Collaborating to advance skills

The South African government and non-governmental organisations have engaged in a number of initiatives to develop skills. The Massive Open Online Varsity (MOOV) project provides greater access to quality education through online courses from across the world. MOOV centres were set up in 12 public libraries in Johannesburg, targeting poor areas. Each centre accommodates 50 students and there are no fees or entry requirements. In the first 12 months after the project was launched, 8 000 students were registered and over 500 certificates from accrediting institutions were earned.

The National Skills Fund is primarily used for investment in education and training, skills infrastructure development and skills development research. Examples of projects co-funded by the Fund include the Itukise Internships for Unemployed Graduates Programme and a dual-track apprenticeship pilot. The Itukise programme offers a paid 12-month internship in the private sector to help unemployed graduates get relevant work experience. In the first two years, around 1 500 people were placed in 169 companies. The dual-track apprenticeship pilot is based on the German and Swiss systems, combining school-based and workplace-based training. First implemented on three sites, the pilot has helped both colleges and employers, but more needs to be done to encourage employers to participate.

Increasing education resources

The Accelerated Schools Infrastructure Development Initiative (ASIDI) programme was a one-off project to upgrade the infrastructure of 400 schools. The programme was expanded to address shortages of learning materials such as textbooks. Between 2013/14 and 2014/15 the share of learners with access to required textbooks in all grades and subjects increased from 92% to close to 100% coverage. Gauteng province has also committed to expanding the use of technology in education. It has started a pilot using smart boards, tablets and the requisite connectivity in selected schools in poor areas. Smart board technology is also available for grade 12 teaching in all public schools in the province.

Teacher shortages are a longstanding problem in South Africa. To encourage more students into the teaching profession, the Funza Lushaka bursary programme for teaching studies has been increased by just under ZAR 100 million. This has supported the entry of nearly 10 000 newly qualified teachers into the system since 2013.

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How's Life?: Measuring Well-being

Indicators

Environment - South Africa expand

Key Findings

The quality of our local living environment has a direct impact on our health and well-being. Outdoor air pollution is one important environmental issue that directly affects the quality of people’s lives. Despite national and international interventions and decreases in major pollutant emissions,the health impacts of urban air pollutioncontinue to worsen, with air pollution set to become the top environmental cause of premature mortality globally by 2050. Air pollution in urban centres, often caused by transport and the use of small-scale burning of wood or coal, is linked to a range of health problems, from minor eye irritation to upper respiratory symptoms in the short-term and chronic respiratory diseases such as asthma, cardiovascular diseases and lung cancer in the long-term. Children and the elderly may be particularly vulnerable.

PM2.5 – tiny particulate matter small enough to be inhaled into the deepest part of the lung – is monitored in OECD countries because it can harm human health and reduce life expectancy. In South Africa,PM2.5 levels are 28.5 micrograms per cubic meter, higher than any country in the OECD, where the average is 14 micrograms per cubic meter and much higher than the annual guideline limit of 10 micrograms per cubic meter set by theWorld Health Organization.

Access to clean water is fundamental to human well-being. Despite significant progress in OECD countries in reducing water pollution, improvements in freshwater quality are not always easy to discern. In South Africa,72% of people say they are satisfied with water quality,lower than the OECD average of 84%.

Better Policies for Better Lives

Green communities

Shortcomings in infrastructure quality and delivery disproportionately affect the poor and rural populations. Poor infrastructure raises the costs ("poverty premium") of supplying products to low-income and "difficult-to-reach" neighbourhoods, ultimately increasing the prices charged for those products.

Tedcoris a grassroots company that brings waste management to underserved communities. It provides informal workers and disadvantaged entrepreneurs with training to provide effective waste management. Tedcor obtains waste treatment contracts with municipalities and subcontracts tasks to these small businesses. The company thus ensures regular demand for the entrepreneurs' services. This business model lowers the overall cost of the waste management services, meaning that waste collection services can be extended to previously underserved areas.

More Resources

How's Life?: Measuring Well-being OECD Environmental Outlook to 2050

Indicators

Health-South Africa expand

Key Findings

Most OECD countries have enjoyed large gains in life expectancy over the past decades, thanks to improvements in living conditions, public health interventions and progress in medical care.Lifeexpectancy at birth in South Africa stands at only 64 years, seventeen years below the OECD average of 81 years. Higher life expectancy is generally associated with higher health care spending per person, although many other factors have an impact on life expectancy (such as living standards, lifestyles, education and environmental factors).

When asked, "How is your health in general?"fewer people in South Africa reported themselves to be in good healththan the OECD average of 69%. Despite the subjective nature of this question, answers have been found to be a good predictor of people's future health care use. Gender, age and social status may affect answers to this question.

Better Policies for Better Lives

Mobile health

Project Masiluleke capitalises on mobile technology to educate people about HIV/AIDS. They send out nearly 1 million messages per day with information about HIV/AIDS prevention and treatment. By reaching a greater number of people than through traditional methods, the project increases awareness and increases the volume of people that are screened for HIV/AIDS.

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How's Life?: Measuring Well-being

Indicators

Housing - South Africa expand

Key Findings

Living in satisfactory housing conditions is one of the most important aspects of people's lives. Housing is essential to meet basic needs, such as shelter, but it is not just a question of four walls and a roof. Housing should offer a place to sleep and rest where people feel safe and have privacy and personal space; somewhere they can raise a family. All of these elements help make a house a home. And of course there is the question whether people can afford adequate housing.

Housing costs take up a large share of the household budget and represent the largest single expenditure for many individuals and families, by the time you add up elements such as rent, gas, electricity, water, furniture or repairs. In South Africa, households on average spend18% of theirgross adjusted disposable income on keeping a roof over their heads, below the OECD average of 20%.

In addition to housing costs it is also important to examine living conditions, such as the average number of rooms shared per person and whether households have access to basic facilities. The number of rooms in a dwelling, divided by the number of persons living there, indicates whether residents are living in crowded conditions. Overcrowded housing may have a negative impact on physical and mental health, relations with others and children's development. In addition, dense living conditions are often a sign of inadequate water and sewage supply. In South Africa,the average home contains less rooms per person, than the OECD average of 1.7 rooms per person. In terms of basic facilities however,only 64%of dwellings in South Africa contain private access to an indoor flushing toilet, considerably lower than the OECD average of 97%.

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How's Life?: Measuring Well-being

Indicators

Income - South Africa expand

Key Findings

While money may not buy happiness, it is an important means to achieving higher living standards and thus greater well-being. Higher economic wealth may also improve access to quality education, health care and housing.

Household net adjusted disposable income is the amount of money that a household earns each year after taxes and transfers. It represents the money available to a household for spending on goods or services. In South Africa,the average household net adjusted disposable income per capita is 9 338,much lower than the OECD average of USD 30 490.

Household net wealth is the total value of a household's financial and non-financial worth, such as money or shares held in bank accounts, the principal residence, other real estate properties, vehicles, valuables and other non-financial assets (e.g other consumer durables). In South Africa,the average household net wealth is lower than the OECD average of USD 323 960.

For more information on estimates and years of reference, seeFAQ sectionandBLI database.

Household net wealth is the total value of a household's financial and non-financial worth, such as money or shares held in bank accounts, the principal residence, other real estate properties, vehicles, valuables and other non-financial assets (e.g other consumer durables). In South Africa,the average household net wealth is lower than the OECD average of USD 323 960.

For more information on estimates and years of reference, seeFAQ sectionandBLI database.

More Resources

How's Life?: Measuring Well-being

Indicators

Jobs - South Africa expand

Key Findings

Having a job brings many important benefits, including: providing a source of income, improving social inclusion, fulfilling one's own aspirations, building self-esteem and developing skills and competencies. In South Africaabout 39%of the working-age population aged 15 to 64 has a paid job. This figure is much lower than the OECD employment average of 66%.

Unemployed persons are defined as those who are not currently working but are willing to do so and actively searching for work. Long-term unemployment can have a large negative effect on feelings of well-being and self-worth and result in a loss of skills, further reducing employability. In South Africa,the percentage of the labour force that has been unemployed for a year or longer is currently at 17.9%, much higher than the OECD average of 1.3%.

The wages and other monetary benefits that come with employment are an important aspect of job quality.South Africans earn per year, on average, much less than the OECD average of USD 49 165.

Another essential factor of employment quality is job security, in terms of expected loss of earnings when someone becomes unemployed. This includes how likely you are to lose your job, how long you are likely to remain unemployed and how much financial assistance you can expect from government. Workers facing a high risk of job loss are more vulnerable, especially in countries with smaller social safety nets. In South Africa,workers face an expected loss of earnings if they become unemployed much higher than the OECD average of 5.1%.

Better Policies for Better Lives

Helping youth find formal work

In South Africa, many people participate in the informal economy where the quality of jobs and access to training is low. At the Harambee Youth Employment Accelerator, young people are connected to employers looking for entry-level talent to help them get their start in the formal economy. This project is co-funded by the South African government under the Job Fund, and aims to match young people with potential employers through psychometric and qualitative assessments. Young people with at least upper secondary education are targeted in particular and training is provided for those testing with low levels of numeracy proficiency. Candidates are also provided with bridging courses to improve their employability. Since the project was first launched in 2011, Harambee has placed about 35 000 young people in 300 South African businesses.

For more information on estimates and years of reference, seeFAQ sectionandBLI database.

More Resources

How's Life?: Measuring Well-being OECD Job Quality Database

Indicators

Life Satisfaction - South Africa expand

Key Findings

Happiness or subjective well-being can be measured in terms of life satisfaction, the presence of positive experiences and feelings, and the absence of negative experiences and feelings. Such measures, while subjective, are a useful complement to objective data to compare the quality of life across countries.

Life satisfaction measures how people evaluate their life as a whole rather than their current feelings. When asked to rate their general satisfaction with life on a scale from 0 to 10,South Africans on average gave ita 4.9 grade,muchlower than the OECD average of 6.7.

Indicators

Safety - South Africa expand

Key Findings

Personal security is a core element for the well-being of individuals. Do you feel safe out walking, alone at night, for example?In South Africa, 40% of people say that they feel safe walking alone at night,much less than the OECD average of 74%.

The homicide rate (the number of murders per 100000 inhabitants) is a more reliable measure of a country's safety level because, unlike other crimes, murders are usually always reported to the police. According to the latest OECD data,South Africa's homicide rate is 13.7,much higher than the OECD average of 2.6.

Indicators

Work-life Balance - South Africa expand

Key Findings

Finding a suitable balance between work and life is a challenge for all workers, especially working parents. The ability to successfully combine work, family commitments and personal life is important for the well-being of all members in a household. Governments can help to address the issue by encouraging supportive and flexible working practices, making it easier for parents to strike a better balance between work and home life.

An important aspect of work-life balance is the amount of time a person spends at work. Evidence suggests that long work hours may impair personal health, jeopardise safety and increase stress. In South Africa,slightly more than 15%of employees work very long hours in paid work, more than the OECD average of 10%.

The more people work, the less time they have to spend on other activities, such as time with others, leisure activities, eating or sleeping. The amount and quality of leisure time is important for people's overall well-being, and can bring additional physical and mental health benefits.In South Africa, full-time workers devote less of their day on average to personal care(eating, sleeping, etc.)and leisure(socialising with friends and family, hobbies, games, computer and television use, etc.)than the OECD average of 15 hours.

More Resources

How's Life?: Measuring Well-being

Indicators

OECD Better Life Index (2024)

FAQs

What is the average household income in the OECD? ›

In the United States, the average household net-adjusted disposable income per capita is USD 51 147 a year, much more than the OECD average of USD 30 490 a year.

Which country has the highest better life index? ›

Norway scores highly in international comparisons of material well-being but also in other quality of life dimensions. For example, the average level of life satisfaction in Norway is one of the highest in the OECD.

What is the average life expectancy in the OECD? ›

In 2021 life expectancy at birth was 80.3 years on average across OECD countries (Figure 3.1). Japan, Switzerland and Korea led a large group of 27 OECD member countries in which life expectancy at birth exceeded 80 years.

What factors allow Australia to rank 7th on the OECD better life index? ›

Australia performs well in many dimensions of well-being relative to other countries in the Better Life Index. Australia outperforms the average in income, jobs, education, health, environmental quality, social connections, civic engagement and life satisfaction.

What is the upper middle class salary? ›

Middle Class Income Ranges in U.S. States
RankStateUpper bound on middle class income
5California$183,102
6Washington$182,612
7New Hampshire$179,984
8Colorado$178,604
11 more rows
Apr 24, 2024

What is the top 1% of the world? ›

In the U.S., it may take you $5.81 million to be in the top 1%, but it takes a minimum net worth of $30 million to be considered among the ultra-high net worth crowd. As of the end of 2023, this ultra-high net worth population is on the rise, reaching 626,000 globally, up from just over 600,000 a year earlier.

What is the #1 country in the world to live in? ›

According to their findings, the top five countries were Denmark, Sweden, Canada, Australia, and New Zealand. In 2023, global happiness saw a notable increase, rising 6 points from the previous year and 10 points from 2020, with 73% of respondents reporting increased happiness.

What is the best country to live in financially? ›

Singapore is consistently ranked as one of the wealthiest countries measured by GDP per capita and because of its friendly business environment.

What is the best country to live in for quality of life? ›

Switzerland this year came out on top again despite not placing No. 1 in any subranking, though it's still a consistently strong performer: The nation ranks second in open for business, third in quality of life – where it jumped from No. 6 in 2023 – and is in the top 10 of several other subrankings.

What is the leading cause of death in the OECD? ›

Distribution of the main causes of death across OECD countries worldwide in 2021. In 2021, across OECD countries, diseases of the circulatory system and cancer were the two leading causes of death, accounting for approximately 28 and 21 percent of all deaths, respectively.

How long will a healthy 65 year old live? ›

But every year you live, your life expectancy increases. So our question is this: What is the average life expectancy for a 65-year-old man and woman? Ready for the answer? For females, the average 65-year-old can expect to live to 86 years old, and males can expect to live to 83.

How long can a 70 year old male expect to live? ›

Yates estimates that a 70-year-old man has a 54% chance of reaching the age of 90 if he does not smoke or have diabetes, has healthy weight and blood pressure, and exercises. But cutting out exercise and becoming more sedentary reduces the chances of reaching 90 to 44%.

What country has the best quality of life in 2024? ›

  • Switzerland Is the Best Country for 2024.
  • The 25 Best Countries in the World.
  • U.S. Rises in Best Countries Rankings.

Which country has the highest living standards? ›

Switzerland topped the charts for a second consecutive year. Its overall score is boosted by high incomes and long life expectancies. Other countries in western Europe have some of the highest scores. Some parts of Asia also do well, with Hong Kong and Singapore making it to the top ten.

Is the US an OECD country? ›

The United States was one of the 20 founding member countries that signed the Convention of the OECD in 1960. Today it is one of 38 OECD Members.

What is the average wage in the OECD? ›

Wage earnings across the OECD countries averaged USD 41 261 in 2022 at market exchange rates. Switzerland has the highest level at USD 103 142. This is over 23 times the level recorded in Colombia, at USD 4 443, and nearly 15 times that of Mexico at USD 6 962. At PPP, wages averaged USD 52 884.

What is the average wealth of the OECD? ›

In Ireland, the average household net wealth is estimated at USD 370 341, higher than the OECD average of USD 323 960.

Are OECD countries high in income? ›

The majority of OECD members have been industrialized and are high-income economies, and are ranked as "very high" in the Human Development Index. As of 2024 their collective population is 1.38 billion people with an average life expectancy of 80 years and a median age of 40, against a global average of 30.

What is the average household income in the country? ›

Highlights. Real median household income was $74,580 in 2022, a 2.3 percent decline from the 2021 estimate of $76,330 (Figure 1 and Table A-1).

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