SAFTU is not shocked by the 3.2% decline of the GDP in the first quarter of 2019
South Africa has long being stagnated! It is trapped in a neo colonial structure that reproduces unemployment, poverty and inequalities. Even when it grew at some point notably during the Thabo Mbeki presidency, where it grew by up to 5%, the growth was jobless.
The quality of growth needs to change so that growth goes together with the redistribution of wealth, job creation, elimination of poverty and inequalities. Little has been done to restructure the neo-colonial economy from what we inherited from the colonial and apartheid era.
Government has, instead of taking bold steps to address the economic fault lines of this colonial and apartheid economy followed the prescription of neoliberalism and has in response to the world economic crisis embarked on austerity measurers that simply worsened the situation, hence economic stagnation and now economic decline.
The 3.2% economic decline spells a disaster to the 10 million of South Africans who are unemployed. Our youth is being robbed of its future. More will be added to that long queue of unemployment. Already government plans to slaughter 30 000 jobs in the public service. It has announced that it seeks to retrench more workers at Eskom. We believe the suspended decision to retrench 1200 SABC will now be carried out. Standard bank and ABSA has closely followed the announcement of the mining companies that they intend to lay off more workers. This situation is dire!
Government has stubbornly refused to change the medicine even though after 25 years of catastrophe it has run out of excuses as to why the patient has died despite a successful operation.