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The post SAFTU ON SECOND QUARTER OF GDP STATS was first published at SAFTU
BY SAFTU Admin
IN SUMMARY: In their statement, the South African Federation of Trade Unions (SAFTU) highlights the small 0.4% economic growth in South Africa’s second quarter, arguing that the neoliberal economic framework is to blame for the lack of significant development:
- This minimal growth won’t reduce unemployment, poverty, or inequality, which continue to harm the working class.
- The 2nd Quarterly Labour Force Survey shows unemployment increased from 8.2 million to 8.3 million, with those who stopped looking for jobs rising to 12.3 million.
- Unemployment among young people (15-34) is extremely high at 46.6%, and expanded unemployment for those aged 15-24 is 70%.
- The IMF predicts South Africa’s growth for 2024 to be only 0.9%, acknowledging that this will not reduce unemployment.
- South Africa has the highest wealth inequality globally, with 30.3 million people in poverty and 13.8 million facing food poverty.
- Despite these issues, the government continues its commitment to fiscal austerity, focusing on budget surpluses and inflation targeting.
- The South African Reserve Bank also pursues high interest rates and a tighter inflation target range (2%-4%), further harming economic growth.
- SAFTU argues for a shift to state-led economic re-industrialization and away from neoliberal policies.
SAFTU demands that:
aa) SAFTU supports land expropriation without compensation and the reversal of historic land dispossession.
a) Overhaul the economy to eliminate the remnants of racism and colonialism.
b) Respect the 1955 Freedom Charter and place key industries under public ownership.
c) Reverse the negative impact of current property relations.
d) Reorganize the economy based on democratic planning.
e) Break up monopolies.
f) Force firms to invest in the local economy.
g) Re-nationalize steel.
h) Re-nationalize petro-chemicals, oil, and gas.
i) Promote appropriate research and development (R&D).
j) Return control of mineral wealth to society.
k) Move toward a non-racial, non-sexist, post-capitalist society.
l) Reverse the harm caused by elitist Black Economic Empowerment.
m) Gain sovereignty over land, labor, and minerals.
n) Reconnect land, labor, and minerals.
o) Expropriation Without Compensation should start with commercial mines and plantations.
p) Empower local communities.
q) Empower workers to take control.
r) Replace the neoliberal macroeconomic framework.
s) Allow the debt-to-GDP ratio to rise if funds are used wisely.
t) Demand patriotism from the wealthiest and introduce a wealth tax on the top 0.1%.
u) Halt future job losses.
v) Implement a massive public works program.
w) Create jobs to ensure food sovereignty.
x) Regulate workplaces with more health and safety inspectors.
y) Begin insourcing.
z) Support the unemployed, do not abandon them.
