Cosatu: SoNA must clarify youth job creation

Cosatu wants the SoNA to provide clarity on how government will help firms employ young people.

Cosatu wants President Jacob Zuma's SoNA to provide clarity on how government will help firms employ young people. Picture: GCIS

JOHANNESBURG - As President Jacob Zuma puts the finishing touches to his State of the Nation Address (SoNA), business organisations and unions hope he will deliver some clarity on how government will help firms employ young people.

Zuma is also expected to focus on the ANC-backed National Development Plant (NDP), which aims to eliminate poverty and reduce inequality by 2030, when he speaks to the country on Thursday evening at 7pm.

The Congress of South African Trade Unions (Cosatu) always opposed the youth wage subsidy, but Zuma is expected to provide some clarity on the scheme first announced by Finance Minister Pravin Gordhan in his 2011 Budget speech.

Cosatu President S'dumo Dlamini wants realistic job creation goals.

He said a target number should be set for employers to determine how many youths to hire and what government's role would be.

While the South African Chamber of Commerce and Industry's CEO, Neren Rau, also wants clarity.

"We hope that some mechanism to support youth employment will be introduced for consultation and discussion."

Cosatu also wants Zuma to give an update on the National Health Insurance Scheme, a financing system which will aim to ensure all legal citizens are provided with essential healthcare.