DA backs idea of youth wage subsidy

INLSA

The DAs parliamentary leader, Lindiwe Mazibuko, and DA leader in KZN Sizwe Mchunu address DA supporters outside Premier Zweli Mkhizes offices in Pietermaritzburg yesterday. PICTURE: Patrick Mtolo

KwaZulu-Natal is readying itself for the implementation of the youth wage subsidy.

“We have long expressed our support for the youth wage subsidy which was initially announced by the finance minister, Pravin Gordhan, two years ago with an allocation of about R5 billion,” said Premier Zweli Mkhize, in a statement read out by Cyril Xaba from his office.

Xaba yesterday received a memorandum on Mkhize’s behalf, presented by DA parliamentary leader, Lindiwe Mazibuko, who led a march alongside provincial party leader, Sizwe Mchunu, through Pietermaritzburg, urging the province to make provision for a youth wage subsidy to be implemented this financial year.

The DA members, holding aloft banners and placards, were accompanied by a heavy police contingent ready to deal with any interruptions to the march.

But it went off smoothly, unlike the march in Joburg three weeks ago which ended in violence when Cosatu members prevented marchers from reaching the union’s headquarters where a memorandum was to be handed over. At least two people were seriously injured when rocks were thrown and police used water cannons and fired teargas to contain the situation.

In that march the memorandum was also not handed over as the DA was forced to retreat by angry union members.

Yesterday, the DA submitted in its memorandum that 72 percent, or 3.1 million of people in the country aged between 15 to 34 were unemployed with one of the main reasons being the high cost of hiring labour.

“The DA believes that a youth wage subsidy acts as an incentive for on-the-job training. Firms are rewarded for hiring and they reward themselves by ensuring that those hired are also adequately skilled.

“The system acts as a powerful remedy to unemployment by prioritising labour intensive production and by getting the market to take care of providing skills, rather than the state.”

Mkhize, in his statement, touched on some of the programmes provincial government was involved in to assist the youth.

These included the awarding of 2 743 bursaries worth R112. 2 million this year.

Also, more than 1 051 interns had been working at various government departments, at a cost of R52 million. In addition, government had allocated R55m towards the youth ambassador campaign.

There were currently 4 445 youth ambassadors recruited across the province to act as peer educators for young people to reduce the spread of HIV/Aids, teenage pregnancies, drug and substance abuse, crime and suicide.

The DA’s call was also backed by the ANC, but the party’s provincial secretary, Sihle Zikalala, criticised the DA for using the issue for ”political point scoring”.

He said that the party acknowledged that while the youth formed the majority of this country, they “shared the least in the economic fruits of our freedom”.

He added that the ANC-led government continuously called for partnerships and innovative ideas to meet this challenge head-on.