he outrage of some South Africans after President Ramaphosa’s endorsement of passing the Employment Equity Amendment Bill of 2020 into law on 12 April 2023 is misguided. The new measures aim to further promote diversity and equality in the workplace, particularly for designated groups such as Africans, coloureds, Indians, white females and people living with disabilities.
South Africa has the highest level of unemployment among its peers, with almost four out of five people without work, even though they are actively looking for employment and are available to work, according to Statistics South Africa. These higher levels of unemployment mostly affect women, in particular black and people with lower levels of education.
Of course, the effects of long-term unemployment are the byproduct of historical structural deficiencies in the labour market driven by the mismatch between supply and demand. The mismatch is further complicated by the skills required for specific jobs in different sectors, levels of education and the willingness of companies to train and develop the available labour force with the necessary skills.
The sector-specific and regional employment equity numerical targets should encourage businesses to realise their economic active population targets more comprehensively. Furthermore, the issuing of annual employment equity compliance certificates should act as an incentive for employers to pay workers equitably and increase their chance to do business with the state, as per Section 53 of the Employment Equity Act.
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