'Zuma must act on youth wage subsidy'
President Jacob Zuma must ensure that the youth wage subsidy will not be delayed past its target date of April 1, says DA shadow finance minister Tim Harris.
Zuma is due to deliver his state of the nation address tomorrow, in which it is expected he will make some economic announcements to spur job creation.
"Holding the line in this way is the only way to give national Treasury the political cover they need to sidestep [labour movement] Cosatu's opposition and finally implement this policy that will help to provide jobs for hundreds of thousands of unemployed young South Africans," Harris said.
Cosatu has been opposed to a youth wage subsidy as it argued that it would prejudice older workers who would be retrenched in favour of young workers.
Zuma originally announced the wage subsidy two years ago. Finance Minister Pravin Gordhan fleshed out the proposal in his 2010 Budget Vote Speech.
"Since then, public opposition from Cosatu has delayed the introduction of the subsidy. The DA has calculated that this delay has so far denied more than 260000 young South Africans the benefits of the policy," Harris said.
He said the policy was stuck at Nedlac, where the labour representatives were allegedly refusing to discuss it. Harris said Nedlac had had enough time to consider the proposal.
"It is now time for the president to demonstrate who is in charge by reaffirming the implementation date of the subsidy in his state of the nation address."

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