SA's welfare system warning

Bradley Prior

Bradley Prior

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SA's welfare system warning

South Africa's Finance Minister Enoch Godongwana has warned that any plans to introduce a universal basic income grant could result in existing welfare services no longer being available.
 
“We are giving free basic services, free water, electricity, free housing, free child support grant … We are providing expanded public works. This year we introduced a public employment programme, spending around R11bn.”
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In all fairness, ya'll did promise this to your voters and followers. Keep going.
 
Mystic Twilight said:
Still waiting on those promised jobs.
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This is really a very big problem for the ANC. It was much easier taking from the working class and the private sector back in the early 1990's and spend huge on enriching cronies, give out free housing, free water, free electricity, grants...........

But, now that everything came collapsing down, businesses scaled down, economy on the brink of collapse, unemployment at all time highs, Dollar Billionaires and Millionaires have fled the country, millions of middle-class people fled the country over the past 20 years, and many more currently busy leaving, things are not as easy anymore.

No longer does the government get foreign investments. Local companies no longer contribute anything meaningful towards the economy. Jobs are running out.

So, finding jobs will likely not be possible. Building the economy will likely too not be possible. They are in a real conundrum here....
 
"If people are saying let’s put a basic income grant, then we can’t have all of the other things,”

Wonder if he's referring to all the nice things he and all the other politicians are enjoying at the expense of the poor.
Wonder if he'd be singing the same song if there were no corruption.
I mean bragging about spending R11bn on employment programme, but not commenting on the lost R500bn?
Come on.
 
And there are now 27 million people dependent on social grants for survival. Almost half the country.

An interesting graph surfaced after the budget speech:

113 000 salary earners pay 27% of all the PAYE.
15% of salary earners, pay 82% of all employees tax

When it comes to company tax the picture is even more skewed.
Just 0.1% of the companies pay 64% of the tax
4.7% of the companies pay 96% of the tax.

So yes, those that pay are exceedingly far outnumbered by those who vote for a living.

What it also means is that every time one of those high earners or producers decide to leave because they no longer feel welcome in this country, it makes an enormous dent in the revenue of the fiscus.

Currently, approximately three million South Africans account for 97% of the country’s personal income tax collected in 2019.

See where this is going to end?
 
Garson007 said:
Ain't going to fix it without getting rid of BEE.
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Too late for that. Most who took the trouble to get that money out of the country, disinvest, start abroad, start new businesses, experience what Western countries offer, I doubt many will be going through all the trouble to come back to this nest again.
 
rvZA said:
Too late for that. Most who took the trouble to get that money out of the country, disinvest, start abroad, start new businesses, experience what Western countries offer, I doubt many will be going through all the trouble to come back to this nest again.
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South Africans are quality. I have no doubt about our ability to bounce back.
 
rvZA said:
millions of middle-class people fled the country over the past 20 years, and many more currently busy leaving, things are not as easy anymore.
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I dont think people realise how serious this is. We waited 3 weeks for a spot to open for our TB tests to immigrate, that waiting list is now 4 weeks.

Every month, friends are leaving and that is all lost income for SARS.
 
The ANC has destroyed the education system and created a massive "30 percenter" base.
These people will be too stupid to understand this and it is exactly what the ANC wants because these people get free t-shirts and KFC with election time and they just vote ANC again.
 
Bighit said:
I dont think people realise how serious this is. We waited 3 weeks for a spot to open for our TB tests to immigrate, that waiting list is now 4 weeks.

Every month, friends are leaving and that is all lost income for SARS.
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They know exactly how serious this is. They are simply not getting in the taxes anymore. Government printers has been printing at rates never seen in SA's history. They even stopped reporting official note and coin figures to hide the real amount of money they are printing and minting. Things are about to collapse in total. Tax income should be the last of their worries. There is a reason why the Government is pushing so hard for digital money. They know what is coming.
 
rvZA said:
They know exactly how serious this is. They are simply not getting in the taxes anymore. Government printers has been printing at rates never seen in SA's history. They even stopped reporting official note and coin figures to hide the real amount of money they are printing and minting. Things are about to collapse in total. Tax income should be the last of their worries. There is a reason why the Government is pushing so hard for digital money. They know what is coming.
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The Zim 2.0 that has been warned about for over a decade is on the way.
 
Cosmik Debris said:
The Zim 2.0 that has been warned about for over a decade is on the way.
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It is coming. They know it. There is talk about it already. They just do not realize as yet how bad things will get when it starts. South Africans who have not yet found a way to get a US, UK or EU bank account, move their money out, turn their local small businesses into accepting Dollars, Pounds or Euros are in real deep trouble.
 
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