SA needs a plan to build an inclusive and growing economy to address highest unemployment rate since 2017

Issued by Solly Malatsi – DA National Spokesperson
14 May 2019 in News

The release of the StatsSA’s Quarterly Labour Force Survey today revealed that the South African official unemployment rate has increased to 27.6%, and the expanded unemployment rate increased to 38%, translating to 9.9 million unemployed people in South Africa. While the increase is marginal, it is indicative of an economy which is stagnant and shedding jobs at an alarming rate. This is compounded by a National Government that is devoid of a credible, long-term plan for jobs and the economy

This current trajectory is unsustainable. South Africa simply cannot afford to lose any more jobs.

This 0.5% increase represents millions South Africans who cannot put food on the table or provide their families with basic necessities.

In the brutal face of 15% VAT, an increase in electricity costs, looming winter blackouts and unchecked corruption, it is clear that the current National Government is working against all attempts to build an working economy.

Despite this, the DA-governed Western Cape has again bucked the unemployment trend and is the only province to decrease it’s expanded unemployment rate by 0.4 percentage points.

The DA maintains that a job in every home is possible. More than 90% of households on the DA-governed Western Cape have a job in every home.

Instead of the ANC’s one-size-fits-all approach to fixing the joblessness crisis in South Africa, the DA proposes a complete reform of the economy.

South Africa’s current economic conditions are not conducive for job creation. South Africa needs an inclusive and growing economy.

It is for this reason, the DA introduced its ‘Jobs Act’ last month. The Act advocates for the protection and support of SMMEs by ensuring greater flexibility in the labour market through minimum wage exemption for businesses that fall into certain classifications. This will guarantee that doors of thousands of small businesses remain open and protect thousands of jobs.

The Act will also do away with all unnecessary red tape that small businesses still have to comply with, this will make it easier for entrepreneurs to set up shop. In addition to this, the DA’s Jobs Act will ensure the creation of a special forum for dispute resolution specifically for SMMEs.

One of the biggest obstacles to economic growth in this country is the rampant corruption and poor governance record on the part of the ANC. Only if we take a hard stance against corruption, as in the DA governed Western Cape, will the country be able to attract investment to spur growth which creates jobs.