Basic income grant
Saftu to lead protest action in CT on Wednesday ahead of Budget Speech
Saftu is pushing for a basic income grant, among other demands.
Finance Minister Enoch Godongwana said that government would continue to look at different ways of providing income support to poor South Africans.
The universal scheme was one of the most anticipated subjects ahead of the speech, which spells out the government’s plans for the year but President Cyril Ramaphosa said that more consultations were still needed to decide on the way forward.
President Cyril Ramaphosa is reportedly to announce in his address that the R350 monthly relief grant will be further extended, with a view to this eventually becoming a permanent measure.
Although a government-commissioned panel investigated the possibility of introducing the aid universally and found that there was a need for it, it has since emerged that the president has been advised against it, saying it would perpetuate grant dependency.
At almost 35%, the unemployment rate as well as the impact of the COVID-19 pandemic on people have prompted government to build a policy document that will justify why South Africa needs a basic income grant.
The trade union said there were plenty of resources in the country that could fund a basic income grant of R1,500.
The social development department, together with the International Labour Organisation and Joint SDG Fund, released an expert panel report on Basic Income Support.
The panel released its report on Monday after it was commissioned to investigate the feasibility of Basic Income Support under the supervision of the International Labour Organisation and the government.
The panel studied the appropriateness and feasibility of a system of basic income support following calls for a relief scheme that would cushion the poor.
Analysts believe that Thursday's Medium-term Budget Policy Statement will bring with it some good news in the form of a tax overrun, thanks to runaway commodity prices.
The basic universal income grant is seen as a possible mechanism to alleviate poverty in the country.
Parties at the National Economic Development and Labour Council (Nedlac) have had the issue on their agenda for some time now but there’s been no significant movement despite the apparent signs of deepening poverty due to the pandemic.
The country has been debating whether it would be feasible to introduce an income grant since President Cyril Ramaphosa announced government would probe the issue when delivering his state of the nation address earlier this year.
Social Development Minister Lindiwe Zulu called for the implementation of the basic income grant in the National Assembly just over a week ago
Advocacy group, the Black Sash, wants the COVID-19 social relief grant to be extended until the basic income grant is in place and its value to be increased.
The state must implement the basic income grant now if it wants to retain any semblance of legitimacy, writes Zwelinzima Vavi.
Social Development Minister Lindiwe Zulu said that the impact of COVID-19 would continue to be felt for a long time, especially by the poor and unemployed, and government could not allow people to starve.