NUM support for youth wage subsidy: Time for COSATU to come to the party

The Democratic Alliance (DA) warmly welcomes the National Union of Mineworkers' (NUM's) support for the youth wage subsidy. This support underlines the fact that a broad section of society supports the youth wage subsidy as the most effective way to alleviate youth unemployment.

The time has now come for their broader trade union federation, COSATU, to follow suit and drop their opposition to the youth wage subsidy.

Indications are that COSATU is in the process of filibustering the progress of the policy proposal through the National Economic Development and Labour Council (NEDLAC), and it appears as if National Treasury's implementation deadline of 1 April 2012 will be missed because of this. In the meantime, a growing number of civil society organisations, unions and political formations have come out in support of the youth wage subsidy - indicating broad support for it from across the political spectrum.

We have calculated that the policy would already have benefitted 230 000 young unemployed South Africans if it was implemented when it was announced on 1 April 2010.  Given our high youth unemployment rate, it is difficult to understand why COSATU, or anyone else, would oppose a plan that Treasury estimates would eventually create 400 000 new jobs - especially one that would create those jobs without affecting conditions of employment or wage levels. The time has come for COSATU to place the interests of all unemployed South Africans above its own narrow self-interest.

Statement issued by Tim Harris MP, DA Shadow Minister of Trade and Industry, November 15 2011

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