The Assembly of the Unemployed, representing millions of South Africans affected by the scourge of unemployment, expresses its profound dissatisfaction and distress over our country’s persistently high unemployment rate. Despite various government initiatives and promises, the situation remains dire, with unemployment disproportionately impacting the most vulnerable segments of our society.
The fabric of society is woven around work. This encompasses all forms of labour, whether paid or unpaid, including both market-valued jobs and the household work that supports them. For instance, a husband’s waged employment is made possible by the unwaged labour of his wife, who takes care of domestic chores using the income earned. Therefore, it’s important to recognize that work is essential for meeting our basic needs, such as food and shelter. Even in the case of unemployment, individuals are often encouraged to seek work in the informal economy. This is why the current South African unemployment rate of 32.9% is catastrophic. This excludes the 13.1 million people who have given up looking for work altogether.
For the generation born after the end of apartheid, the unemployment rate is alarmingly high at 45.5%. Despite the progress towards racial equality, black Black South Africans, especially women, face the highest unemployment rate. This raises questions about the future of South Africa.
No jobs mean paying for school fees, medical bills, electricity, bread, and milk has become a nearly impossible task for most people. In April this year, a basic nutritional food basket for a family of four was R3,763.96, according to the Pietermaritzburg Economic Justice and Dignity Group’s Household Affordability Index, while the maximum national minimum wage sits at R4,633.44. When broken down into a family of four, that wage falls below the upper-bound poverty line, as PMBEJD also points out.
As we approach the upcoming elections, political parties are putting forward their manifestos, making promises and highlighting the role of the private sector. Several major parties have outlined plans to create jobs, with a focus on the private sector. ActionSA aims to generate 1.6 million jobs in the private sector, while Build One South Africa promises a job in every household through entrepreneurship and private sector initiatives. Rise Mzansi also seeks to create jobs by supporting small businesses and entrepreneurs. The EFF advocates for the creation of 4 million new jobs, primarily by strengthening state capacity in the public sector. The ANC has proposed a job plan to promote employment in sustainable industries across various sectors. The PAC aims to integrate unemployed individuals into the formal economy through established industries. The DA, on the other hand, plans to create 2 million jobs by promoting investment and removing certain policies, such as B-BBEE, and introducing mechanisms like the youth employment opportunity certificate.
Despite these promises, there are concerns about the sustainability of these plans, as evidenced by the EPWP program in the Western Cape, which has led to precarious and casualized work.
The upcoming elections are being referred to as the “unemployment election,” and there are concerns that it could be a guise to benefit a few while leaving many behind. Regardless of job creation, there are worries that life will become more challenging, particularly for black individuals, as South Africa becomes an investment opportunity for a select few while the working class is left to fend for themselves in a competitive environment. This situation resembles what Thomas Hobbes described as the “state of nature,” which ironically reflects the challenges of capitalism.
The latest unemployment figures underscore a severe crisis that requires immediate and effective action. The AoU believes that the current strategies are insufficient and demand a comprehensive overhaul.
We call on the government to:
1: Invest in job-creating alternatives: Develop a low-carbon reindustrialization programme that can create millions of jobs aimed at addressing climate change. Here we can invest in public energy, public transport, housing, and transforming agriculture. This includes the production of socially owned renewable energy and the manufacturing of solar PV and wind infrastructure.
2: Implement a Basic Income Grant: These staggering figures are an indication that there’s an urgent need for the introduction of a decent basic income grant pegged to the upper-bound poverty line of at least R1600 per month, which should have been introduced long ago as a safety net for the poor who are grappling with the unemployment crisis. This will not only improve peoples’ standard of living and lift people from starvation but it can help to stimulate the local economy and improve productivity – which is where jobs are created. When more people have more money to spend, it can drive demand for goods and services and ultimately contribute to economic growth.
3: The government must become the employer of last resort: The government must employ everyone willing and able to work and pay them a living wage. There is lots of work to be done and people learn by doing. The expanded public works can be the basis to do this, but it needs to be transformed and improved in terms of the working conditions. This means permanent employment at a living wage. This also means expanding the public sector as we need many more teachers, health care and municipal workers.
The government must do away with the current trend of outsourcing the provision of local services to tenderpreneurs as it is one of the main drivers that leads to the inability of municipalities to create jobs. We call on the government to create and build the capacity of municipalities and stop outsourcing and tendering all essential projects. This can also help develop the skills and talent of the workforce. This can include training programs, apprenticeships, and other initiatives that help people gain new skills and experience that can be valuable in the job market.
4. Tax the rich: The government must implement a progressive net wealth tax of between 3 and 7%, Increase personal income tax rates on the rich, Stop profit shifting and wage evasion and use the surpluses of the government employees’ pension to invest in a re-industrialization programme. We believe that industrial sectors have the potential to create a significant number of jobs, including both skilled and unskilled positions.
The AoU remains committed to advocating for the rights and dignity of unemployed South Africans. We will continue to raise our voices and demand action until meaningful progress is made. The high unemployment rate is not just a statistic but a reflection of the unmet potential and unfulfilled dreams of millions of our fellow citizens. It is time for decisive action and accountability.
For media inquiries and further information, please contact:
Siyabulela Mama: 065 970 7079
Motsi Khokhoma: 073 490 7623
Ntokozo Ngcongwane: 081 016 2338
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