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Unemployment Rate: Small improvements still leave big need for basic income grant

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Unemployment Rate: Small improvements still leave big need for basic income grant

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14th November 2023

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/ MEDIA STATEMENT / The content on this page is not written by Polity.org.za, but is supplied by third parties. This content does not constitute news reporting by Polity.org.za.

The moderate decreases in the unemployment rate in South Africa once again highlight the need for urgent steps to deal with poverty in an economy that is seeing anemic growth. 

In the Q3:2023 figures released by StatsSA, 31.9% of South Africans are without a job or proper income. This shows a decrease of 0.7 of a percentage point compared to the last quarter, but still leaves a shocking number of South Africans desperately in need of support.

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The expanded definition, which includes the people who have given up looking for jobs, decreased by 0.9 of a percentage point to 41,2%. Despite this decrease, 13.1 million citizens, who are of working age, are not economically active. 

The youth is still the most vulnerable in the labour market. While the latest figure dropped by 1,9 percentage points from 45,3% in Q2:2023 to 43,4%, a devastating 4,6 million youth (15-34 years) do not have a reliable income to survive on. 

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These figures are simply too high, and even with a significant decrease, it’s taking too long to address the issue of extreme poverty and hunger in the near future. 

South Africa is simply not generating economic growth that creates enough employment for young people, and the government has a constitutional obligation to act. 

GOOD believes a Basic Income Grant (BIG), which GOOD has researched is possible at R999 per month, is the only immediate and effective step. This would place the BIG at approximately the lower-bound poverty line. 

As we have said before, it’s not a charitable act but a Constitutional and moral one - and it can be done. 

 

Issued by GOOD Secretary-General & Member of Parliament, Brett Herron

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