Confusion around proposed job grant

Economists and Cosatu have asked for more details about the ANC's proposed job seekers grant.

Homeless men keep themselves warm by burning news papers in the Joburg CBD. Picture: Taurai Maduna/EWN.

JOHANNESBURG - Economists, labour analysts and the Congress of South African Trade Unions (Cosatu) have asked for more details about the ANC's proposed job seekers grant - after the party's National Executive Committee (NEC) on Monday said it would pursue the idea.

The grant was first proposed at the ANC's National Policy Conference in June, after delegates rejected a youth wage subsidy.

Labour analyst Terry Bell wants to know how the grant will be paid for.

"I worry where the money will come from, and if it sourced, how will it be spent and who handles the spending?"

While Chris Hart, chief economist of Investment Solutions, said the grant would not create jobs.

"You cannot use these kinds of schemes to paper over bad policy."

Meanwhile, Cosatu spokesperson Patrick Craven said they needed clarity on how the grant would work.

At the governing party's policy conference, President Jacob Zuma said government could not afford to keep increasing social grants.

"No country can be a country of social grants… We've got to do something as government."