Youth wage subsidy still-born - Zille

2010-07-11 19:14

Cape Town - Government's proposed wage subsidy for young, first-time job-seekers appears to be still-born because of politicking within the ruling tripartite alliance, Democratic Alliance leader Helen Zille said on Sunday.

Writing in her weekly newsletter, Zille said it was heartening to hear President Jacob Zuma announce in his State of the Nation address earlier this year that government would be implementing such a wage subsidy, "despite protestations from the ANC's ally, the Congress of SA Trade Unions".

"Six months on, there is every indication that the wage subsidy, which Finance Minister Pravin Gordhan estimates would create 500 000 new youth jobs by 2013, is still-born because of politicking within the tripartite alliance," she said.

"This is a great tragedy, not only for the 3.1 million unemployed young South Africans, but for everybody who is serious about reducing poverty and inequality.

"South Africa can only succeed if we retain and grow our pool of skills and capital.

Tax base

"Without a strong (and growing) tax base, no developing country can survive, particularly one with an extensive welfare system such as ours."

According to a recent study by the SA Institute of Race Relations, there were 12.3 million social grant recipients in South Africa supported by 5.3 million individual income taxpayers.

Zille said reversing the present dependency ratio should be the goal of every policy-maker.

"If we are to survive and prosper, we must increase the number of taxpayers relative to grant recipients through a single-minded approach to job creation.

"I agree with those who argue that this must be our over-riding national priority, and that all policy choices must be measured against it.

"This is the only way, over time, that we will narrow the wealth gap," she said.

"Reducing poverty and inequality in South Africa will take a concerted effort from all of us - rich and poor, black and white.

"Indeed, it is in everybody's interest that we do so. But it won't happen if we treat economic opportunities as a zero-sum game or if we continue to allow vested political interests to maintain the status quo.

"It's time for a fresh approach to growing the economy and shrinking the wealth gap," Zille said.

- SAPA
Read more on:    cosatu  |  da  |  anc  |  helen zille  |  jacob zuma  |  pravin gordhan  |  economy  |  labour
NEXT ON NEWS24X
SHARE:

Read News24’s Comments Policy

 

Inside News24

 
/News

Jobs in Cape Town [change area]

Property [change area]

Travel - Look, Book, Go!

Magical Massinga

Spend 5 nights at the gorgeous Massinga Beach Lodge in Mozambique and only pay for 4 from R13 220 per person sharing. Includes return flights, accommodation, transfers and romantic turndown. Book now!

Kalahari.com - shop online today

20% off all TV Series!

Want to have a chilled day at home? Get 20% off TV series, the perfect excuse to "veg out". Shop now!

Save R700 on the Hisense LED TV Now R2499

Get the Hisense 32” HD ready LED TV for only R2499. Offer valid while stocks last. Shop now!

Up to 40% off fashion accessories

Save up to 40% on selected handbags, purses, watches, jewellery and more. Offer valid while stocks last. Shop now!

Save up to R2000 on top electronics

Get every day mind bowing savings on top electronics. Offer valid while stocks last. Shop now!

As seen on TV - New book releases at only R199 each

Get mind blowing book savings on new titles. Offer valid while stocks last. Shop now!

OLX Free Classifieds [change area]

Samsung Galaxy s4

Mobile, Cell Phones in South Africa, Western Cape, Cape Town. Date October 24

Best bargain in big bay

Real Estate, Houses - Apartments for Sale in South Africa, Western Cape, Cape Town. Date October 25

VW Golf 6, 1.6 Trendline (Excellent condition)

Vehicles, Cars in South Africa, Western Cape, Cape Town. Date October 25

Horoscopes
Aquarius
Aquarius

Today is one of those days where the more positive and optimistic you are the more opportunities you seem to attract....read more

There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.








Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.