Privatization of the economy does not benefit the poor. END AUSTERITY NOW!!!

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The Issue

The South African unemployment rate has hit a record high at 46.6% as the latest statistics indicate that 12.48 million people are currently unemployed. The government has failed to address this scourge, with the youth hardest hit at 66.5% as the government struggles to create sustainable jobs.

Drastic measures are required to address and begin reversing this situation hence we called on the government to reverse budget cuts which will exacerbate joblessness within the public sector.  

Millions of people go to bed hungry including more than 3 million children while a handful of CEOs have incomes of more than R1.7 million a year on average. We cannot afford to remain silent. That is why we call on President Cyril Ramaphosa to implement a wealth tax.

Besides poverty and joblessness, our country faces a deep political crisis. The State Capture Commission led by Deputy Chief Justice Raymond Zondo revealed just how systematic corruption and looting from the state almost crippled this country. Ordinary South Africans are suffering because resources meant to improve their everyday lives were channelled somewhere else by corrupt politicians and administrators.

Another report that gives a bleak picture of state affairs is the expert panel report on the 2021 July unrest that rocked KwaZulu-Natal and Gauteng and left over 300 people dead. The report, which was released this week, indicates that the South African police service had insufficient capacity to stop the violence.

The budget cuts and the increased privatisation of the economy including our energy and transport sectors will make everything worse. Already, the government has terminated the contracts of thousands of health workers who were temporarily employed during the pandemic. In spite of the fact that our health sector (like our education system, and the public sector in general) is heavily understaffed. Budget cuts to social grants, education, health care, municipalities etc is the wrong medicine.

This speaks to our ongoing call for the reversal of the current austerity measures that are having a negative impact on service delivery and hinder the proper functioning of government institutions

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The Decision Makers

SA Minister of Finance
SA Minister of Finance
South African Treasury
South African Treasury
Enoch Godogwana
Enoch Godogwana

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