Why don't we give the proposed Youth Wage Subsidy a try?

Zinhle Khumalo 

It was on the 15th of May, this Tuesday that we witnessed DA violently clash with COSATU, in Braamfontein over the proposed youth wage subsidy.

The workers union is opposed the proposed policy while DA favors it hence its unsuccessfully march to COSATU House.

What really is this "Youth Wage Subsidy"? Well, firstly, according to Stats SA, South Africa's official unemployment rate stands at 25,7%. It is mostly the youth that remains the subject.

In his State of the Nation Address, President Jacob Zuma touched on the policy. In simple terms, this policy seeks to finance employers while encouraging them to hire more young, inexperienced people.

 

This including school leavers and graduates. But COSATU sees this as threat that will result in old people losing their jobs, as companies will hire more young people.

An amount of R5 Billion was provided by the Treasury for the youth wage subsidy early this year. The government proposed this in light of curbing the rising of the rate of unemployed young people. In his budget speech, Minister of Finance Pravin Gordhan said labour markets data confirms that employers are reluctant to hire inexperienced people.

Through this economic policy, the government hopes to push entry-level wages and price out inexperienced work seekers.

As a student who will soon be among job seekers and as a youth of this country, I witness the harsh impact that unemployment has. I recommend that we give the policy the benefit of the doubt. Despite the fact that we had tried so many policies and failed, this does not mean we should shut even the proposed new ones.

What's stopping us with this one? Policies in their nature can never be perfect hence experimenting with them is highly needed for us see its benefits.

Policy will help in terms of "experience" for graduates which are a huge barrier in finding a job. I understand COSATU's stand on the policy as with its conditions leave "old people" uncertain about their job security. They should be vocal on it but also allow the youth to raise this issue as it will affect them directly.

The DA should sit down in this issue and let the government do proper procedures, which are visiting FET Colleges and universities to hear from young people.

Fighting about it to gain political power and recognition as the DA is doing won't eradicate poverty or emancipate the youth from economic injustices. It will only result in more problems.