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Vavi slates 'conservative' Treasury

Johannesburg - Cosatu general secretary Zwelinzima Vavi on Friday described the National Treasury's fiscal policies as "cautious and conservative".

He was speaking at a South African Clothing and Textile Workers Union (Sactwu) conference in Durban.

Vavi said that this would be why the creation of five million jobs by 2020 would not be achieved.

The government's new growth path proposed the allocation of more finances and resources in sectors such as manufacturing and infrastructure development, because of their job-creating potential.

"These (National Treasury policies) have made our unemployment even worse, and will continue to put the brakes on growth and job creation," he said.

Vavi said unemployment, currently at 24%, remained far higher than in any comparable country. He added that the clothing and textile sector was among the hardest hit during job-shedding by companies.

In just three years, about 18 291 clothing sector jobs were reportedly lost.

Concerns about decent jobs and temporary work were again raised.

Vavi said that, alongside massive levels of unemployment, there was a continuing shift from permanent to casual, insecure and temporary employment.

"The number of workers employed by labour brokers has risen to 6.8% of total employment, with a disastrous effect on levels of pay, job security and benefits for hundreds of thousands of workers," Vavi said.

The decent jobs agenda continued to be discussed by the government, business, labour and civil society.

This year's bargaining process promised to be tougher than in previous years, if Vavi's comments were anything to go by.

He told Sactwu members that any increase at or below the rate of inflation would leave workers no better off and would actually hike the wealth gap.

"How dare these super-rich CEOs and their lackeys in the Democratic Alliance, the universities and the media, lecture us on 'excessive' wage demands," he said.



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