See More

No jobs for youth a 'ticking time bomb'

Aug 27 2010 14:45 AFP

Related Articles

Firms fail black youth

Job shedding continues unabated

Youth agency asks for billions more

Jobs fly at 1time

Uncertainty over youth jobs subsidy

SA facing jobless growth spectre

Cape Town - The impact of the recession on youth unemployment is a "ticking time bomb", Labour Minister Membathisi Mdladlana said on Friday.

In a written reply to a parliamentary question, Mdladlana said the effect on youth of the global economic crisis that broke out in 2008 was so serious that unless swift action was taken, youth unemployment could become unsustainable, putting social cohesion at risk.

The inaugural Organisation for Economic Cooperation and Development economic survey, released last month, indicated South Africa had the worst rate of unemployment among young people between the ages of 15 and 24 of all countries surveyed.

Racial disparities further compounded matters, with 53.4% of all young blacks between the ages of 15 and 24 unemployed at the end of 2009 - three times worse than the unemployment rate of 14.5% of young white South Africans, he said.

Young people who lacked general or vocational education and work experience were especially vulnerable to the crisis.

"As part of our intervention to alleviate youth unemployment, we introduced apprentice, learnership and internship allowances as (a) form of subsidies to learners while undergoing training under the Basic Conditions of Employment Act.

"The employers also received tax allowances under the Income Tax Act administered by the South African Revenue Service."

Mdladlana said these allowances had since been transferred to the higher education and training department, along with the Skills Development Act functions.



Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Add your comment
Comment 0 characters remaining

Company Snapshot

We're talking about:


Johannesburg has been selected to host the Global Entrepreneurship Congress in 2017. "[The congress] will ensure that small business development remains firmly on the national agenda and the radar screen of all stakeholders, the Small Business Development minister said.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

People who fall victim to Ponzi scams are:

Previous results · Suggest a vote