Posts Tagged Africa

SA Gov managing to lose jobs


Congress of South African Trade Unions

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The Congress of South African Trade Unions fully backs SACCAWU‘s appeal – to be heard on 20-21 October 2011 – against the decision of the Competition Tribunal to approve the Massmart-Walmart merger.

The federation also fully supports the three government ministers who are calling for a legal review of the Tribunal decision, based on their fact that the Tribunal unreasonably denied government departments access to information in the possession of the merging parties and took a far too narrow view of the merger.

The Competition Act requires the Tribunal to consider the competition and public interest effects of a proposed merger – whether it promotes employment and advances the social and economic welfare of South Africans – and not just the narrow interests of the firms who intend to merge.

In particular, COSATU insists that the application needs to be judged against the background of the job-loss bloodbath which has hit the country in recent years. Unemploymenttoday stands at 36, 6%, greater than any other middle-income country or any comparable economy.

The labour market has been depressed for so long that many unemployed people are getting discouraged and leave the labour market for good – too discouraged to look for a job.

via Politicsweb – Walmart intent on pillaging Africa – COSATU

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Pravin Gordhan cannot predict economics


Map of South Africa with the Eastern Cape prov...

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Bloemfontein – It was Warren Buffett who said that when the tide goes out, you’ll find out who is not wearing a bathing suit.

The tide is currently turning for the South African economy. Although it’s still too soon to speak of another recession, we are certainly more defenceless than three years ago, at the time of the last recession.

This is the disturbing news coming from the August Sake24 and BoE Private Clients provincial barometers.

This unique index measures the economic performance of five provinces and shows that their economies contracted by an average 4.3% in the past quarter.

The biggest loser was the Eastern Cape, where the overall index tumbled 6.8%, followed by Gauteng (4.5% down).

“The provincial barometer levels are the lowest since December last year and clearly show that South Africa is currently experiencing a contraction, aggravated by rising prices and inflationary pressure,” said Mike Schüssler of Economists.co.za, who compiled the barometers.

Earlier this week Finance Minister Pravin Gordhan acknowledged that the growth forecast in his budget speech earlier this year might have been overly ambitious, in the context of current global financial problems. He predicted 4% growth over the next three years.

via SA’s buffer against recession crumbles: Fin24: Barometer.

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