ECONOMIC GROWTH PLAN
"The government's main responsibility with job-creation is to make it as easy as possible for the private sector to create permanent employment opportunities," was the reaction of Dr. Pieter Mulder, FF Plus leader to Minister Ebrahim Patel, Minister of Economic Development's announcement of a new economic growth plan for South Africa.
It entails amongst others that the large number of administrative and economic red-tape has to be reduced and that the debate about South Africa's labour dispensation should be reopened again.
The government's intention to discuss the economic growth plan with trade unions and business leaders is not wrong. In practice it however means that the large number of unemployed South Africans, which is estimated to be more than 4 million people, will not be part of these talks. The current labour dispensation harms these people because it protects those who already have work and see to it that companies are reluctant to employ new workers.
With infrastructure creation the government is able to create temporary jobs. It should however never be confused with the creation of permanent job opportunities.