banner

The Department of Labour was looking into the introduction of a national retirement mechanism for low-income earners in South Africa
725 Views

SA looks at pension for low-income earners


The Department of Labour was looking into the introduction of a national retirement mechanism for low-income earners in South Africa, Compensation Fund Commissioner Shadrack Mkhonto told a departmental workshop in Irene, in Tshwane on 16 January.

A discussion paper would soon be tabled at the National Economic Development and Labour Council (Nedlac), once it had been approved by the Cabinet. The department’s two-day mid-term review workshop was held to evaluate its achievements against targets set, as well as its Strategic Plan and Annual Performance Plan in the financial year under review. It also looked at crafting a future strategic direction. The workshop was attended by Labour Minister Mildred Oliphant; Deputy Minister Nkosi Phathekile Holomisa; and Director-General Thobile Lamati, as well as heads of branches and various public entities such as the Unemployment Insurance Fund; the Compensation Fund; Productivity SA; the Commission for Conciliation Mediation and Arbitration, the Sheltered Employment Factories and Nedlac. During its investigation of the retirement mechanism, the department will turn to the International Labour Organization for information on international best practice, according to spokesperson Mokgadi Pela.

The initiative is part of the government’s efforts to reform South Africa’s broader social security system. Another process under consideration is the inclusion of government employees in the Unemployment Insurance Fund and the Compensation for Occupational Injuries and Diseases Act benefits.The reform of social security policies is to be aligned with labour market initiatives, Pela says.

Statistics South Africa’s most recent General Household Survey, released on 18 June 2014, reported that the number of people receiving a social grant from the state grew from 12.7% in 2003 to 30.2% in 2013, while the number of households receiving at least one social grant increased from 29.9% to 45.5% over the same period. Meanwhile, the September 2014 Quarterly Employment Statistics report, released by Statistics South Africa on 11 December 2014, reported that total formal non- agricultural employment decreased by 129 000 jobs from 8.67 million in June 2014 to 8.54 million in September.

A total of 132 000 jobs were lost in the government sector, mainly at the Independent Electoral Commission, which shed a large number of jobs following the general elections in May 2014. During the September quarter, 9 000 jobs were lost in the manufacturing industry, while 3 000 jobs were lost in both the construction and transport industries.

However, quarter-on-quarter increases were reported by the mining (8 000), finance (6 000) and trade (4 000) industries. Year-on-year, an additional 83 000 formal jobs were created between September 2013 and September 2014, an annual increase of 1%.

The largest increase was recorded by the community services industry (73 000), followed by the trade and finance industries, with 21 000 and 20 000 jobs, respectively. Gross earnings paid to employees increased by R18.9-billion (+4,6%) from R409-billion in June 2014 to R428-billion in September 2014. The mining industry recorded the largest quarterly percentage increase of 20.9% in earnings, signalling the return of mine workers after the lengthy strike in the platinum belt.

Source: SouthAfrica.info


foodBook your seat here.


Follow Alive2Green on Social Media

TwitterFacebookLinkedInGoogle +

Recently Published

Property-Buyer-Show-Gauteng-Banner-800x304
»

How to choose the best real estate agent when buying your first home

Buying your first home is a daunting process in itself, which is why ...

Screen Shot 2017-10-19 at 10.14.22 AM
»

Global water insecurity calls for water infrastructure maintenance

The growing funding gap to keep up with the rehabilitation, operation ...

Screen Shot 2017-10-19 at 10.02.53 AM
»

Regreening the planet could cut as much carbon as halting oil use – report

Natural solutions such as tree planting, protecting peatlands and ...

a2ginfrast
»

Johannesburg’s Executive Mayor Herman Mashaba to address African Real Estate & Infrastructure Summit in Sandton on 25 October

“Rejuvenation of the inner city a key priority for the new ...

ITC
»

Laminated timber beams to comply with regulations

The Institute for Timber Construction South Africa (ITC-SA), South ...

worms
»

Organic waste – What to do?

Have you ever felt frustrated with the food waste that you throw ...

greenbuilding
»

Meet the Green Building Convention 2017 keynote speakers

This year, we have included speed networking stations at the GBCSA ...

school
»

Streetlights Schools: Wellness In Education

In keeping with sustainable school design and child mental health ...

gproperties25
»

Growthpoint powers innovation with its NWU Solar Car team sponsorship

Pushing the boundaries of what is possible for alternative energy and ...