Government Crafting Labour Laws To Tackle SA’s Unemployment Crisis



Labour law amendments could boost job creation in South Africa. This is the message from the Employment and Labour Minister Thulas Nxesi. 



Minister of Employment and Labour Thulas Nxesi revealed plans to amend several labour laws. These amendments would be aimed at fostering job creation in South Africa. 

The official unemployment rate was 31,9% in the third quarter of 2023. The results of the Quarterly Labour Force Survey (QLFS). There are more than 4.6 million unemployed youth living in South Africa making up a youth unemployment rate of 43.4%. It's also important to note that 9.1 million young people are not in education, employment or training. 

The minister highlighted the government's focus on various sectors such as energy generation, renewable energy, digitization/information technology, and infrastructure roll-out projects for job creation. 

Nxesi also emphasised that the launch of training projects aimed at entrepreneurial development and skills enhancement would be crucial in creating jobs. 

It is expected these plans and projects will be elaborated on by Finance Minister Enoch Godongwana during his budget speech set to take place on Wednesday, 21 February 2024. 

Let us wait for the Finance Minister to deliver his budget speech and we will announce a number of these projects thereafter

Nxesi revealed these plans during his address at the official launch of the National Pathway Management Network (NPMN) Services Centre in Empangeni, KwaZulu-Natal. 

This centre is the product of a collaboration between the National Youth Development Agency (NYDA) and the Municipal City of UMhlathuze. 

The centre will aim to provide comprehensive support for youth employment. This includes ensuring access to skills training and educational reforms targeting young people to address challenges on the supply side of the labour market.

Additionally, the centre will be committed to delivering entrepreneurship support, fostering self-employment growth and consequently job creation. It will also offer employment services to tackle intermediation challenges by enhancing information dissemination to job seekers and actively connecting them with employers. 

Furthermore, the centre will implement initiatives for direct job creation through public employment or incentives to promote growth in jobs, especially for vulnerable groups.

NYDA Chief Executive Waseem Carrim said the growing youth unemployment has been bothersome in the country. They said young people do not enjoy standing in queues to earn grants and believe that grants take away from young people the responsibility to work. 

Carriem said the NYDA will present 80 work opportunities to demonstrate the organisation’s intent. 

The National Pathway Management Network will serve as a pivotal component of the Presidential Youth Employment Initiative (PYEI). The main initiative of this initiative is to create opportunities for young people in South Africa with an estimated 1,7 million direct earning opportunities created by placing youth in schools as teaching assistants.

In a project led by the Department of Employment and Labour, the NPMN aims to bridge existing networks catering to unemployed youth, providing them with access to economic opportunities and support services to facilitate their entry into the labour market.

The Empangeni NPMN Services Centre is seen as a pilot site and is positioned to connect young people with national networks, offering avenues for sustainable employment and income generation. 

This includes facilitating access to self-employment opportunities, fostering community engagement and skill development, and providing practical resources.

Furthermore, the City of uMhlathuze announced plans to construct a R60-million business centre in the region to support the training of emerging entrepreneurs, demonstrating a concerted effort to empower youth and stimulate economic growth

Suggested Article:

Worker in South Africa

Companies and organisations across South Africa may be required to re-evaluate how they conduct business in 2024. This is because the labour laws are on the verge of significant transformation over the next twelve months. 




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