BusinessDay.gif

 

 

State 'to intervene to boost economy and save jobs'

 

 

Karl Gernetzky, Business Day, Johannesburg, 24 November 2015

 

Tough economic condition will see numerous economic interventions in the
South African economy to save jobs, including antidumping tariffs and
support to battered commodity-based sectors, Economic Development Minister
Ebrahim Patel said on Tuesday.

 

Addressing thousands of Congress of South African Trade Unions (COSATU)
delegates in Midrand, Mr Patel said the government would continue to use
instruments of state to bolster key economic sectors, while it was spending
R1bn a working day on infrastructure.

 

Jobs would remain the key priority of the government's economic cluster, Mr
Patel said, as he provided a slew of statistics on South Africa's economic
performance since COSATU's last congress in 2012.

 

Support for the clothing textile sector, through both tariffs and support
for 99 factories through the Industrial Development Corporation (IDC), had
finally seen the reversal of years of job declines in this sector - with
1,000 jobs created over the past year, he said.

 

The slump in the commodity sector threatened African growth rates in
general, while South Africa must prepare for reduced demands for its key
exports, the five largest export earners of which were commodities - led by
iron ore, said Mr Patel said.

 

The threat of job losses in the metals and engineering sector had led to
interventions including that of helping prevent the closure of Highveld
Steel. A support plan for Scaw Metals "saved 7,000 jobs," Mr Patel said, "so
when metalworkers look at their government they must see a government that
is actively supporting jobs in the metals industry".

 

Policy interventions would continue, with the Industrial Action Policy Plan
renewed since the last COSATU congress in 2012, while a draft Agricultural
Policy Action Plan had been developed, Mr Patel said.

 

 

From:
<http://www.bdlive.co.za/business/2015/11/24/state-to-intervene-to-boost-eco
nomy-and-save-jobs>
http://www.bdlive.co.za/business/2015/11/24/state-to-intervene-to-boost-econ
omy-and-save-jobs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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