CONSTRUCTIVE MEETING WITH GAUTENG PREMIER ON YOUTH WAGE SUBSIDY

I had a constructive meeting yesterday (20 June) with Gauteng Premier Nomvula Mokonyane on the issue of the Youth Wage Subsidy and other measures to increase employment of young people.

The meeting took place after my letter sent on Monday requesting to meet the premier on this issue.

At her request we met at the launch of the Township Enterprise Hub project at Winterveldt north of Pretoria. This is a very worthwhile project that will help create jobs in deprived areas if implemented properly.

R58 million is to be spent on the six planned Enterprise Hubs around the province.

I pointed out to the Premier that while these hubs will assist in creating jobs, far more can be achieved with the R880 million that Gauteng can claim of the R5 billion that Finance Minister Pravin Gordhan has allocated for the Youth Wage Subsidy should it be implemented.

This money would subsidise the wages of about 75 000 young people in Gauteng, of which about 31 000 would be new full-time jobs that would not otherwise have been created.

Positive effects would include getting young people trained and started on a career, and the injection of money into poor households.

Mokonyane supports the Youth Wage Subsidy as it is government policy, and is awaiting the outcome of processes regarding its implementation.

This is a more cautious approach than that of KwaZulu-Natal Premier Zweli Mkhize who has publically called for its implementation in his province, but I understand and appreciate Mokonyane's focus on projects that can be financed directly by provincial revenue.

The DA will support all initiatives to assist the more than 700 000 young people who are unemployed in Gauteng.

This issue transcends party politics as it is a crisis that can explode at any time.

Statement issued by Jack Bloom MPL, DA Gauteng Caucus Leader, June 21 2012

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