Employment situation desperate

KillerX

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http://www.moneyweb.co.za/mw/view/mw/en/page295023?oid=494061&sn=2009+Detail

The number of people choosing not to take part in the economy grew by almost 25%.

The employment situation in SA is overwhelmingly desperate, economist Mike Schussler said on Thursday.

He was speaking at the launch of trade union UASA's ninth SA Employment Report in Johannesburg.

"There's been a lot of ***** footing around in SA and a lot of investigation into the country's employment situation. Some institutions like universities have had a lot of nice things to say, but the fact is that over the last ten years we haven't got anywhere -- so that means that we've not listened to the studies or we haven't done much."

Schussler added that employment growth in SA's formal non-agricultural sector added only 2,0 percent to employment numbers while overall employment including agriculture, informal and domestic work, grew just 4,5 percent over the last decade.

"This is just not satisfactory as we need to see 3,0 percent to 4,0 percent growth in employment numbers every year."

The number of people choosing not to take part in the economy grew by almost 25 percent while the population in the decade from September 2000 to March 2010 grew by 12,7 percent and the formally unemployed by 3,6 percent.

"This is worrisome and shows a huge cultural change," Schussler said.

"In ten years time we'll have another 25 percent of the population saying they don't want to work and we must ask why."

Non-participation in the economy could be a result of discouragement but it could also be that welfare cheques were "ruling the roost and people sometimes have no need to work".

Schussler said more South Africans received money from welfare than from employment with 12,8 million people working -- not all for money -- and 13,8 million people receiving welfare payments from the proceeds of five million taxpayers.

"I don't know of any other country in the world where the recipients of welfare are greater than the amount of people who work."


Schussler said that according to a recent joint report from the African Union and the United Nations, SA currently had the lowest adult employment ratio in Africa.

"This puts this country -- which is a relatively rich country -- to shame."

He added that he did not know why the joint AU and UN report had been ignored by the media.

"The report shows that the employment ratio of adults in SA is only 41.4 percent compared to a ratio of 83 percent in Uganda, 80 percent in Rwanda and 78 percent in Tanzania -- and what is more, workers in SA only need to work for eight hours a month to be considered as employed."

Schussler said that if SA had the average adult employment ratio of 64 percent -- similar to many average African countries -- seven million more adults would be employed in the country.

Around one million jobs were lost during SA's recession so the country had remained in a net job loss situation since 1994.

"After 16 years of democracy, this country has still not found the right track for creating jobs, only for protecting older jobs and therefore creating more inequality in the process.


This country is becoming the very definition of unsustainable. I think scary times are ahead in the coming years after the world cup.
 
It should be kept in mind that compared to many countries the amount you receive on welfare is a pittance. Maybe it is enough to discourage finding employment. But what do they mean choose not to take part in the economy? Is this people saying I am not going to bother working or people who have given up after a lot of looking? And what would happen to those people if there were no welfare? Would they really find work or would they just be begging on the street?
 
I remember a while ago, there was a post on here about unemployment figures. I was under the impression that it was closer to 35% but the poster insisted it was something like 24%.

Well, it does not look good now - regardless of what the % is.
 
I remember a while ago, there was a post on here about unemployment figures. I was under the impression that it was closer to 35% but the poster insisted it was something like 24%.

Well, it does not look good now - regardless of what the % is.


There are 2 ways to measure unemployment. 24% is the strict way of measurement - ie, people looking for a job. The 37% figure includes despondents (people who have simply given up on looking for a job, been out of the job market so long, or , as the article puts it, "have chosen not to be part of the economy"). So our REAL unemployment figure sits closer to 40%.
 
And Telkom will be adding to the unemployment numbers come April next year!!!! Cut from 22000 to 5000.

Imagine how bad their services will be then!!!
 
Yeah I don't quite understand why people would want to go on welfare benefits in this country, unlike say the UK where there have been stories of people going on a nice overseas holidays due to the amount of benefits they receive.
 
I am dying to hear what R13 has to say . . . Probably nothing :D Who is this Mike Schussler chap anyway?
 
Ignorance breeds fear and the fear feeds the fear :D Haha, 5 million is such a round figure. Maybe it is actually 5,5 million? Maybe that is only individuals? Do your own research. What about tax on companies? Tax on trusts? Is that the entire revenue of government? What percentage of revenue is derived from income tax only? All of it? Is it just a portion of all tax? How much do these grants amount to? How accurate are those employment figures? What system is being used to calculate employment figures? Is the informal sector included? Do they not pay VAT and other taxes? Could I use certain figures to make things look a certain way? Could I leave out certain figures? Is there an agenda? Have I given you any definite figures? Have you googled the correct figures? How many tax payers in the richest country in the world? Would it be 100 million or 138 million? Is the entire population of the US 310 million or 300 million? Is the US the richest? If it is the richest then what percentage would fairly represent developing economies? Have you compared Brazil? Is Brazil a fair comparison? Will you google all this and make up your own mind? Do you even care? (Yes, one paragraph, for your pleasure :D)
 
Where the unemployed benefit recipients appear to wield an electoral majority, then anybody with transferable skills, and a couple of decades of productive life left in them is going to seriously consider transferring those skills to an economy where they perceive better value for their tax contribution.
 
Yeah I don't quite understand why people would want to go on welfare benefits in this country, unlike say the UK where there have been stories of people going on a nice overseas holidays due to the amount of benefits they receive.

Maybe because most of SA population is on the bread line, living in either squatter informal settlements, or RDP houses or in rural areas. Their expectations and aspirations are unbelievably low. Imagine reconciling oneself to never owning a car and hoping that you will be lucky enough to receive a RDP in your life time.

I wonder how many those woman have fallen pregnant just to get the social grant of R 250.00 for every child under 16. 5 kids = R 1250.00 The short term view is this is good because they will at least be able to buy food. But it is not a sustainable long term
 
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Yeah I don't quite understand why people would want to go on welfare benefits in this country, unlike say the UK where there have been stories of people going on a nice overseas holidays due to the amount of benefits they receive.

Maybe because most of SA population is on the bread line, living in either squatter informal settlements, or RDP houses or in rural areas. Their expectations and aspirations are unbelievably low. Imagine reconciling oneself to never owning a car and hoping that you will be lucky enough to receive a RDP in your life time.

I wonder how many those woman have fallen pregnant just to get the social grant of R 250.00 for every child under 16. 5 kids = R 1250.00 The short term view is this is good because we will at least be able to buy food. But it is not sustainable long term
 
I wonder how many those woman have fallen pregnant just to get the social grant of R 250.00 for every child under 16. 5 kids = R 1250.00 The short term view is this is good because we will at least be able to buy food. But it is not sustainable long term

No it is DISASTER. I believe the majority of children growing up in those circumstances, barely surviving on grants will not even get school education thus starting the cycle all over again...

You can NOT compare the UK's welfare system to Africa. But that's not the topic.
Personally I can understand why crime it through the roof - with that amount of unemployed people "hanging around" all day its just a matter of time... And with the "Entitlement" mentally I can also understand why a lot of people would rather fall back on grants than actually upskilling and finding work...

But don't worry - thank you ANC - thank you Zuma - for the promised 500 000 jobs before 2010 ... (HMMM o shyte wait.... that didn't happen... :confused:)
 
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Maybe because most of SA population is on the bread line, living in either squatter informal settlements, or RDP houses or in rural areas. Their expectations and aspirations are unbelievably low. Imagine reconciling oneself to never owning a car and hoping that you will be lucky enough to receive a RDP in your life time.

I wonder how many those woman have fallen pregnant just to get the social grant of R 250.00 for every child under 16. 5 kids = R 1250.00 The short term view is this is good because we will at least be able to buy food. But it is not sustainable long term

Our president sets a fine example for the people, that having 200 kids is okay
 
Yeah I don't quite understand why people would want to go on welfare benefits in this country, unlike say the UK where there have been stories of people going on a nice overseas holidays due to the amount of benefits they receive.

Our unemployed have even less drive than the unemployed in the UK. Its the African way. Rather sit around and do nothing and have almost no money. But its what they are happy doing.
 
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