If elected into government, the Democratic Alliance says it will create two million jobs. (@OurDA/X)
If elected into government, the Democratic Alliance (DA) says it will create two million jobs.
Speaking during the party’s manifesto launch at the Union Building in Pretoria on Saturday, DA leader John Steenhuisen said the national government’s inability to generate meaningful employment for millions more people stems from the ANC’s belief that the state must exercise control over the economy.
South Africa’s unemployment rate is among the highest in the world at 31.9% — making job creation a key issue in this year’s elections.
Steenhuisen said this approach had resulted in greater dependency on what he deemed a failing state, the throttling of investment and economic misery for millions of South Africans. The ANC’s perception of the private sector as an enemy has disincentivised enterprise, innovation and, therefore, job creation, he said.
Steenhuisen said the DA believed in building a capable state which recognises that its role is to create the conditions for private enterprise to flourish.
“The state’s role is to give every person the opportunities they need to participate in a growing economy, while at the same time providing a strong social welfare safety net for the most vulnerable,” he said.
The DA plans to create more jobs for our youth by introducing a Youth Employment Opportunity Certificate. The certificate will empower young people to break free from the constraints of the minimum wage, giving them better chances of finding jobs, Steenhuisen said.
The DA leader added that the goal was to make it easier for young people aged between 18 and 35 to transition from unemployment to having a job by offering flexible employment terms.
“The certificate will be valid for two years and will be implemented to give unemployed people who have not been employed for 12 months or more the right to exempt themselves from sectoral wage agreements. This policy will make it easier for employers to hire those who have been out of work for long periods of time,” Steenhuisen said.
Furthermore, Steenhuisen said the party would enhance job creation through reforming the “restrictive” labour market by removing racial quotas in the Employment Equity and the Preferential Procurement Acts, instead measuring progress towards achieving the Sustainable Development Goals (SDGs) as an indicator of transformation and development.
“Promoting the principle of non-racialism, fostering an environment where meritocracy and diversity thrive, the DA will amplify the SDGs’ use and impact by leveraging private sector involvement through procurement,” he said.
“This policy would give preference to the company that makes the most positive socio-economic impact as measured by the SDGs.”
To lift six million people out of poverty, the DA leader said the national government has continued to pursue race-based policies, claiming that this is meant for upliftment and redress.
In contrast, the DA would adopt what it considers forward-thinking, nonracial policies which target poverty and economic exclusion, which could be measured without resorting to race classification
“Broad-based Black Economic Empowerment (BBBEE) has proven to be a deeply flawed approach to economic inclusion. In fact, BBBEE has promoted economic exclusion, as it empowers a small politically-connected elite. These BBBEE policies have circulated assets, jobs, and contracts to political insiders,” the manifesto reads.
“Current levels of extreme poverty are an unacceptable national tragedy. A key role of the state is to promote access to opportunities for a growing number of South Africans.
“A DA government will strive for economic justice by implementing policies to lift 15 million people out of extreme poverty and into dignity. A core proposal of the DA to uplift South Africans is to replace the policy of BBBEE, because it has only enriched a tiny, connected elite,” the manifesto adds.
Steenhuisen said the DA would replace the BBBEE, with the internationally recognised SDGs, adding that this model would reward businesses that contribute positively to these goals.
He added that the party would ensure that the child support grant was increased to the same level as the official food poverty line.
This means the child support grant, under a DA government, will be increased from R510 to R760 — an extra R250 per recipient every month.
The DA leader said the party would also extend the child grant to cover pregnant mothers to support child nutrition goals.
“Women and their unborn children are at heightened vulnerability during pregnancy. They are, therefore, in need of nutritious foods as well as other health care services.”
Steenhuisen added that The DA would safeguard the unemployed by converting the social relief of distress grant into a job seekers grant — something the ANC-led government previously proposed.
He said this would require recipients to actively seek work opportunities and provide evidence to the department of social development if they continue receiving the grant.
“The grant’s continuation will only remain viable if there is economic growth and sufficient tax revenue to fund it. The DA opposes any tax increases to fund this expenditure and will identify savings and spending efficiencies in the public service sector to accommodate this expenditure,” Steenhuisen said.