South Africa’s higher education system is facing a growing emergency as universities continue to produce graduates faster than the economy can absorb them, and industry leaders are warning that the gap between education and employment is widening.

Delivering a keynote address as part of the Entrepreneurship Development in Higher Education (EDHE) Entrepreneurial Executive Leadership Workshop (EELW), a national initiative led by Universities South Africa (USAf) through the EDHE programme. The workshop brings together senior university leaders, policymakers and ecosystem partners to strengthen the leadership capabilities required to advance entrepreneurial universities in South Africa.

Dr Nombasa Tsengwa Keynote Speaker at the 2025 EDHE Entrepreneurial Executive Workshop

Anchored in EDHE’s strategic focus on student entrepreneurship, entrepreneurship in teaching and learning, and the institutionalisation of entrepreneurial universities, the workshop provides a platform for examining global and African practices that enable universities to contribute more directly to innovation, economic development and societal impact former Exxaro Resources CEO, Dr Nombasa Tsengwa shared with academic leaders, business representatives and policymakers that the country must revisit how it prepares graduates for the workplace, advising that graduation has been perceived as the end of the journey rather than its beginning.

Tsengwa described what she called a “long productivity arc”, explaining that after spending three to five years earning a degree, most graduates require a further two to five years in structured workplace programmes before they become fully productive employees. This means that the real economic value of a graduate is realised long after they leave university, placing responsibility not only on academic institutions but also on employers and government. She emphasised that the most vital point in this journey is the transition from university to employment, where responsibility is transferred from one institution to another. It is at this point, she said, that many graduates struggle to adapt, delaying their ability to contribute meaningfully to the economy.

Dr Tsengwa Keynote Speaker and CEO Dr Matutu at the EEL Workshop 2026

written by Gcina Nhleko (APR) – Corporate Communications Manager at Universities South Africa (USAf).