The Democratic Alliance (DA) launched its broad-based empowerment policy — which is based on merit instead of race — in Crossroads, Cape Town on Thursday.
DA spokesperson on jobs and job creation, Mark Lowe, said the party had a ”bottom-up, non-racial approach” to addressing poverty.
”Two fundamental concepts in the DA’s approach are ‘equal opportunity for all’ and ‘merit not race’. These arise from our commitment to democracy, equality before the law, and the freedom, worth and dignity of every individual,” he said.
While it was desirable to make ownership of listed companies non-racial, there was no substitute for broad-based empowerment.
”Empowerment criteria — such as race, gender and disability — should be ‘plus’ factors, but not the sole considerations when affirmative action appointments are made or contracts awarded.”
Lowe said affirmative action legislation should incorporate sunset clauses.
”There is always a danger that measures designed to protect or advance persons disadvantaged by unfair discrimination remain in place long after they have served their purpose.”
He said the ruling African National Congress’s (ANC) approach was flawed.
”The ANC’s top-down, racially-defined approach has a number of potential pitfalls. The main beneficiaries often turn out to be not those most in need, but the most advantaged in the target group — the Fat Cats or Wabenzi.”
He said BEE seemed to mean black elite rather than black economic empowerment.
”BEE should stand for ‘Build and Expand Employment!’ Jobs are the surest way of empowering the marginalised and the poor. We need bottom-up entrepreneurship, not top-down enrichment of a few well-connected individuals.”
DA spokesperson Nick Clelland-Stokes said BEE policy should target people like Nomsa and Rasta Mfengwana, a couple from Crossroads who do silk-screening in their shack.
”This couple have just won a contract from Hip Hop clothing to do some work for them. These policies should help people like this, who have initiative and do something to change their situation, instead of helping minister’s wives.”
Programmes targeting poverty, inequality, lack of skills and illiteracy would inevitably benefit people from historically disadvantaged groups.
Lowe said growth of at least six percent was needed to create enough jobs for the country’s unemployed.
More emphasis needed to be placed on skills development and access to finance and marketing to help the previously disadvantaged.
”A problem at present is that, all too often, ”historically disadvantaged” means — in the realm of government policy in respect of the private sector — a black person with access to capital, while the average black person remains disempowered.” – Sapa