The Congress of South African Trade Unions (COSATU) notes with disappointment the 0.6% decline in formal employment in the first quarter of 2024.
According to Statistics SA's latest jobs report, jobs in the non-agricultural sector decreased by 67 000 in the first quarter of 2024 to 10.7 million when compared to the last quarter of 2023.
The Federation is deeply concerned about the shockingly high unemployment rate in the country at 41.9% and 59.7% for youth aged between 15 and 24.
We call on the incoming government of national unity (GNU) to hit the ground running and stimulate the economy by abandoning austerity measures that have led to its stagnation in recent years. Support for and investments at state-owned entities Eskom, Transnet and Metro must be intensified to jumpstart the economy. We are encouraged by the progress that has been made so far but more urgency will result in better outcomes.
The Federation calls for the drastic expansion of the Presidential Employment Programme to cater for at least 2 million participants and help lower the unemployment rate. The GNU should also move with speed to roll out the ANC's commitment to establish a National Youth Service under the South African National Defence Force.
COSATU also calls on business not to be bystanders and assist government by creating decent jobs, and halting retrenchments as the economy cannot afford to lose a single job. The private sector must also come to the party and offer employment opportunities to young people via internships and artisan programmes. This will afford young people a chance to gain skills and kickstart their careers.
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The Federation is gravely concerned as an increasing number of employers across industries including mining, transport, retail and textiles have announced plans to retrench. In response, COSATU resolved during its Central Executive Committee meeting last week to exercise its rights under Section 77 of the Labour Relations Act and launch a build-up campaign towards a National Day of Action in defence of jobs, workers' hard-won constitutional and labour rights, as well as collective bargaining in both the public and private sectors.
What we cannot afford is to normalise a 42% general and a 59% youth unemployment rates. This is a ticking time bomb waiting to explode. As part of COSATU's campaign in defence of jobs, the Federation will embark upon a National Day of Action at a date to be determined between August and September.
