President Cyril Ramaphosa announced in the State of the Nation Address for 2018 that the creation of jobs, especially for the youth was at the centre of the national agenda.
Plans for job creation
Jobs Summit
Youth Employment Service
Employment Tax Incentive
Amavulandlela Funding Scheme
Public-Private Growth Initiative
Expanded Public Works Programme
Clothing and Textiles Master Plan and Poultry Master Plan
Jobs Summit
South Africa hosted the Jobs Summit on 4 and 5 October 2018, at Gallagher Convention Centre in Johannesburg. The Jobs Summit produced the Framework Agreement. The agreement is an enabler for the creation of an estimated 275,000 jobs annually. Commitments made in the Framework Agreement include:
Boosting the economy, procurement interventions and industrial financing.
Assisting small businesses, through township supplier development programmes and developing of youth entrepreneurship.
Increasing access to community colleges and technical and vocational training colleges.
Implementation of national minimum wage.
Ensuring employment tax incentive works correctly and establishing of a national anti-corruption strategy.
Initiatives and agreements coming out of the jobs summit will lead to 275‚000 jobs a year.
It is a business-led collaboration with government and labour to create one million work opportunities for youth.
Employment Tax Incentive
The Employment Tax Incentive (ETI) is an incentive aimed at encouraging employers to hire young work seekers. It was implemented with effect from 1 January 2014.
Amavulandlela Funding Scheme
The Small Enterprise Finance Agency (SEFA) has designed the Amavulandlela Funding Scheme solely for entrepreneurs with disabilities. The scheme is targeted at small and medium-sized enterprises and co-operatives with at least 50+1% ownership by entrepreneurs with disabilities .
Public-Private Growth Initiative
Through the Public-Private Growth Initiative the private sector has committed to invest R840 billion in 43 projects over 19 sectors and creating 155 000 jobs by 2024. In discussions with business, government has committed to remove the policy impediments and accelerate implementation of these projects.
Expanded Public Works Programme
The Expanded Public Works Programme (EPWP) projects employ workers on a temporary or ongoing basis with government, contractors, or other non-governmental organisations under the Ministerial Conditions of Employment for the EPWP or learnership employment conditions.
Clothing and Textiles Master Plan and Poultry Master Plan
The Clothing and Textiles Master Plan, which was signed in 2019, aims to create 121 000 new jobs in the retail-clothing textile and footwear sector over the decade.
The Poultry Master Plan was completed to support chicken farmers and processors and save 54 000 jobs while creating new jobs.
The Poultry Sector Masterplan seeks to address challenges through a combined strategy which will:
Continue to increase the consumption of chicken in absolute terms, and on a per capita basis.
Ensure that locally produced product makes up an increasingly larger proportionof consumption over time.
Expand the industry by increasing capacity at all stages of the value chain – manufacturing of feed, farming of chickens and processing of poultry product – thereby increasing fixed investment, employment and the value of output. In particular:
The output of poultry products to increase by 10% within 3 years.
The demand for poultry feed to increase by 300 000 tons per year which will support the maize and soya industries
50 new contract farmers to be established within three years, each operating at a commercial scale and supported by the industry
In order to achieve this, government and industry will work together to revamp our certification systems so that we are able to meet the requirements of the major importing countries.
Increase the level of black participation and particularly ownership across the value chain and increase employment and worker share-ownership in the sector
