Visa chaos threatens investment in South Africa

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An acute shortage of skilled workers is restraining already tepid growth in South Africa - and the problem is self-inflicted.

world’s most unequal nations, an acute shortage of skilled workers is restraining already tepid growth in South Africa, limiting job creation and pushing some foreign investors to think about moving their money elsewhere.

Schools, universities and small enterprises also complain that home affairs appears unable to process work and residence permits efficiently and that it is hampering their operations. Some have been left short of staff, others have delayed or reconsidered investment plans with several African countries now considered as alternative sites for regional headquarters.

In October, home affairs took a step towards implementing the recommendations by asking companies that want to secure work permits for senior executives and technicians to take part in a pilot of a trusted employer programme that would prioritise their applications. If implemented fully, the changes could streamline the process.But progress has been slowed by political infighting in the Ramaphosa government and a crumbling civil service.

In one family, the application of the spouse is accepted, but the main applicant does not get his or her visa The country doesn’t have complete labour market data so it is unclear just how many skilled workers it needs, and how many it lacks, says Sanelisiwe Jantjies, social policy and transformation coordinator at Business Unity South Africa, the country’s largest business group. But her organisation estimates that it runs to tens, if not hundreds, of thousands with a shortage of 55 000 nurses alone.

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