UNEMPLOYMENT LOWER BUT STILL AT UNACCEPTABLE LEVELS
The South African Chamber of Commerce and Industry (SACCI) is gladdened by the decrease in the official unemployment level to 24.9%, in the second quarter of 2012 although this number is still far too high for the sustainable development of South Africa.
The broad unemployment figure (i.e. adding discouraged workers to the unemployed) also decreased from 38.2% to 37.8% in the same quarter. Despite the decrease, it is extremely worrying that nearly every second South African adult is without work. SACCI is mindful of the range of factors impeding job creation, such as the skills deficit, but the main culprit remains inflexible labour legislation.
SACCI recently presented comments on the proposed amendments to the Labour Relations Act (LRA) and the Basic Conditions of Employment Act (BCEA) to the Parliamentary Portfolio Committee on Labour. Some of the proposals contain progressive elements which are broadly welcomed by the business sector, for example a broadening of the consultative network for the essential services committee and the overt prohibition against damaging property during labour protests.
However, SACCI is very concerned about potential increased intervention in Temporary Employment Services (TES) that would ultimately dampen the job creation potential of the country. The final amendments to the labour legislation would hopefully address the concerns of SACCI resulting in a more pragmatic approach to the protection of worker rights whilst ensuring a vibrant labour market.
Employment and the creation of decent jobs are of the highest national priority and require urgent action in terms of specific government initiatives and broad economic and labour market policy. To this end, SACCI will focus on finding solutions to South Africa's unemployment problem in its upcoming Annual Convention on the 4th and 5th of October.
Statement issued by the President of SACCI, Mr Chose Choeu, July 31 2012
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