GDP FIGURES REQUIRES AN URGENT RESPONSE

The South African Chamber of Commerce and Industry (SACCI) is deeply concerned by the reported 0.6% contraction in the GDP in the first quarter of this year in large part due to the protracted strike in the Platinum sector. The severity of the economic impact of the strike questions whether South Africa's labour relations framework is serving the needs of workers, business owners and the country's development goals. South Africa urgently requires open debate on ending and preventing similar debilitating strikes.

SACCI remains equally concerned by several reports of intimidation against workers who chose not to strike. It is doubtful whether South Africa can claim to respect the rights of workers and business owners if a handful of strikers can disrupt one of the most important sectors in our economy and prevent individual workers from earning a living.

Beyond the mining sector, South Africa also faces the threat of Industrial action in the sugar industry, another important source of export revenue. The economic contraction is a clear call for the new government to turn its attention immediately to the economy and urgently convene with business and labour to ensure that the next 5 year term offers substantial economic improvement compared to the last 5 years

Statement issued by CEO of SACCI, Mr. Neren Rau, May 27 2014

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