The latest unemployment figures should concern every South African, irrespective of political affiliation, the Chairperson of Select Committee on Economic Development and Trade Ms Sonja Boshoff has said.
When more than 60% of young South Africans between the ages of 15 and 24 are looking for work but cannot find it, we have moved well beyond a statistical problem, Ms Boshoff warned. "We are dealing with a national economic crisis. COSATU is therefore correct about one thing: we cannot normalise these levels of unemployment.
"We need to ask a much more fundamental question: why is our economy not creating enough jobs? Businesses cannot grow when electricity is unreliable or unaffordable. Manufacturers cannot compete when railways and ports do not function efficiently. Investors will hesitate when infrastructure is deteriorating, crime and corruption increase the cost of doing business, and excessive red tape makes it harder for entrepreneurs and SMMEs to get started," Ms Boshoff said.
The quarter unemployment statistics have reportedly seen a slight increase but Ms Boshoff said municipalities cannot be allowed to become obstacles to economic growth through failing water, electricity, roads and basic services.
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"Public employment programmes have a role to play, particularly in providing temporary relief and work experience. But they cannot become a substitute for a growing economy and sustainable private-sector employment," the Chairperson said.
"Our objective must be to create an economy in which a young South African can move from education into a real job, an entrepreneur can start a business without fighting government at every turn, and an existing business has every reason to expand and employ another person. That requires urgent structural reform, investment in infrastructure, reliable energy, functioning ports and rail, safer communities, accountable government and a far more determined effort to make South Africa an attractive place in which to invest and create jobs."
Ms Boshoff said she shared COSATU sentiments that unemployment is a ticking time bomb. "But if we genuinely want to defuse that time bomb, we must stop treating government spending as the primary engine of employment and start creating the conditions in which the economy itself can grow."
South Africa does not simply need more programmes, it needs more employers; that is where our focus should be, Ms Boshoff said.
