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Johannesburg - Finance Minister Pravin Gordhan has called
for labour market reforms, according to a report on Wednesday.
"Given the scale of the unemployment challenge, no
single policy offers the solution…. What is needed is a comprehensive set of
reforms that maximise job creation," Gordhan said in an opinion piece in
Business Day.
"Labour market reforms can directly improve employment
by providing flexibility and the right incentives to work, to hire workers,
develop skills, and become more productive," he said.
Gordhan said job creation could be enhanced through policies
that improve job searching, job matching, training and entry into the labour
market.
It was also crucial to implement reforms to improve the
quality of education and skills development, he said.
However, Gordhan said it was still necessary to support the
poor.
"Of course, there must be a credible and sustainable
safety net and social protection systems for those unable to adapt or who are
in weak bargaining positions.
"This is particularly the case in emerging markets and
developing countries where poverty remains high and income support needs to be
targeted at those who need it most."
The opinion piece is based on a paper Gordhan and Australian
Treasurer Wayne Swan submitted at a Group of 20 meeting in Mexico last month.
South Africa's unemployment rate was 23.9% in the last quarter of 2011, with about half of its young people unemployed.
