South Africa’s economy — and specifically manufacturing — has been hammered by corruption, mismanagement, and destructive government policies.
Economist Mike Schussler revealed that employee numbers in South Africa’s manufacturing sector are the least since 1969.
When looking at the number of manufacturing employees as a percentage of the population, it is the lowest since 1935 – shortly after the great depression.
Schussler highlighted that the South African government’s industrial policy is destroying jobs.
Even when accounting for the impact of technology, globalization, and South Africa’s shift to a service economy, the country is doing far worse than its peers.
Schussler highlighted a few things which can be done to fix the situation and increase employment.
- Fix South Africa’s power supply, roads, and railways and provide it at a reasonable cost.
- Lower tariffs on intermediate goods.
- Make a deal with labour to ensure at least a third of salaries are dependent on production levels or output.
Schussler’s comments and replies on Twitter are embedded below.
Employee numbers in SA manufacturing are the least since the 2nd quarter 1969!
As % of the population it is 1,8%. Lowest share of the population since 1935!, just after the great depression.
Our industrial policy is doing really well destroying jobs!
Shocking destruction pic.twitter.com/VJ6gjNiAjv— mike schussler (@mikeschussler) October 3, 2021
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