• Government active in redressing unemployment ?
Articles:

Government active in redressing unemployment ?

20 February 2019

Louis van Manen , Director , Tax |

South Africans, especially the unemployed, representing a large portion of our population (estimated anywhere between the official rate of 27% and 50%), were undoubtedly hoping for an expansion of job-creation initiatives of prophetic proportions!  Budget 2019 (on the face of it) arguably did not adequately address this very important economic dilemma. The increase in the Employment Tax Incentive (ETI) minimum qualifying wage level is welcomed. Unfortunately, this is the first increase in its 5-year history barely exceeding inflation.

It is notable, especially in a National Election Year (8 May 2019) that the 10-year extension of the ETI programme was enacted in the 2018 Taxation Laws Amendment Act without real ceremony a month ago, and not publicised more by the Minister today.

Crime, Corruption, and State Capture

The Minister’s and Government’s stated intension to fight corruption and state capture is definitely welcomed. Continued, visible, and meaningful inroads into these debilitating plagues will boost investor confidence (FDI), economic growth, and job creation. 

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