DA wants clarity over youth wage subsidy

2011-08-21 22:01

Johannesburg - Finance Minister Pravin Gordhan is being "vague" over the proposals for a youth wage subsidy, which he suggested last week, the Democratic Alliance said on Sunday.

"The DA seeks clarity on treasury job creation proposals," MP Dion George said.

"I have requested to meet with him as soon as possible to obtain further clarity on whether he intends to broaden his proposal for a wage subsidy into a wider proposal for reform."

He said the youth wage subsidy was "a limited initiative" to circumvent the impact of the current labour market.

George said it was no surprise that The National Union of Metalworkers of SA (Numsa) had called for Gordhan's dismissal last week.

"We hope that the minister stands firm in the face of growing pressure from the unions."

Numsa general secretary Irvin Jim said last week that the union rejected the proposal for a youth wage subsidy - proposed by the Treasury - as it amounted to "bribing bosses so that they can exploit young workers at the expense of older workers".

"The device of youth wage subsidy is divisive and thoroughly right wing and reactionary.

"Numsa will, with Cosatu [the Congress of SA Trade Unions], combat any attempts at diluting the rights the working class have won in this country," he said.

  • Mixyez - 2011-08-21 22:51

    Does anyone have more details on this initiative? I wonder if we will have to pay more tax in order to cover this subsidy?

      Neil - 2011-08-22 05:23

      Don't have to wonder. We will pay more taxes, either corporate or individual tax payers. Might not be called "Youth Wage Subsidy" but will have to be paid from fiscal. I wonder if Trade Unions will be nationalised ?

      umlaut - 2011-08-22 14:51

      the anc has discovered this new weapon to use on whites--it is called TAX--they will tax us until we are beyond poor and they won't care about the effect it will have on investors as long as they can taste this revenge. We shall all end up in their NHI state hospital psychiatric wards because of stress and debt and suicides happening around us.

      LBS - 2011-08-22 16:51

      Flippin Hell! What more do they want!!! I would LOVE to see what they will do if we all just decide not to PAY Taxes, but then, unfortunately white people could never stand together and DO something.

  • Kevin - 2011-08-22 06:27

    Tax payers are all eyeing other countries as we do not want to work to support someone else's schooling ,medical,elec ,housing and worst of all the corruption . We waqnt our money for ourselves.Bugger a youth subsidy

      Smaal - 2011-08-22 08:28

      Agreed. It’s becoming too expensive to be South African.

  • Badballie - 2011-08-22 09:41

    JUST ANOTHER WAY TO BLEED THE TAX PAYER DRY. Time to get rid of this parasitical government and put someone who has a clue in charge

      umlaut - 2011-08-22 15:00

      They are doing this on purpose. The government HATES YOU!!!! YOU THE WHITE CITIZENS ARE THE ENEMY AND MUST BE DESTROYED!!!!

  • brown_bread - 2011-08-22 09:48

    Do you all even understand what the purpose of the initiative is? Compensation of employers to hire young inexperienced people, thus curbing unemployment. While this may be abused by our !d!0+ government, it is a good idea if it were to be implemented by people who appreciate what it can potentially do for our country!!

      Salvation - 2011-08-22 11:21

      Well said brown bread, but as stated by badballie, it will be a further burden on the tax system which will only shrink the opportunity for increased employment, i.e. taxing one to be repaid the taxes??? Then other issues immediately spring to mind as, now being employed, they will become permanent staff, be entitled to AHP, UIF, Medical Aid, Pension, etc. Do you realistically think that "Youth wage subsidy" will cover all those costs which are rights whilst being employed? Ever worked out why things constantly cost more and more, often without apparent reason? The service provider/good will have to adjust accordingly for the additional costs of the product to keep the cmpany operational, so simply continue passing the cost onto the consumer until snap, the consumer cries "NO MORE" and purchases stop. Then?

  • Salvation - 2011-08-22 11:00

    A suggestion: Whilst it is obvious the education system appears lacking, often when results are positive, not applicable to real world situations other than confirmation of the ability to read, write and comprehend that which hopefully is correct/pertinent to current situations... Perhaps a form of National Services Duty in which every person, resident in SA, of school leaving age regardless of age, sex and religious diversity, has to perform a social service duty during which time education will be furthered relative to the industry of their preferential choice. Students who wished to further studies per university would post their successful qualification then perform said 'social duty'. They will learn through this, social integration whilst being housed, fed, medicated and further schooled which often is relative to the industry overlooked in the education system, and at the same time paid a nominal wage for their services. Perhaps, should the 'student' show developmental skills in this, further employment in their choice of industry could be considered within the system, or after say a 2 year service, they can exit with a certificate and time period of experience for further employment in the private sector. Your take on this suggestion?

      Salvation - 2011-08-22 11:05

      Include with age, sex, religion and ability/disability (obviously per reason = disabled to perform office type admin jobs). Please note all persons regardless of colour.

  • ewanvb - 2011-08-25 17:41

    Donate your whole salary to all these initiatives and foind out if you qualify yourself for a subsidy of some kind, And I wonder if the beneficiaries of this subsidy will be race based or will all be able to claim.

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