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25 May 2012
   
 
 
Article by: Chanel de Bruyn

South Africa has "serious plans" to create new jobs after the 2010 FIFA World Cup, with government's R800-billion infrastructure plans expected to assist in this, President Jacob Zuma said on Tuesday.


Speaking to analysts and business people at a meeting in Sandton, he noted that the 2010 FIFA World Cup was a catalyst for development and that the benefits of hosting the event would be felt long after the final whistle was blown.

The President highlighted that the building of the stadiums for the sporting event alone had resulted in R7,4-billion in wages being paid out to workers. Of this, R2,2-billion had gone to low-income homes, thus contributing to poverty alleviation.


Investments had also been made in transport and telecommunications infrastructure, which would also benefit the country.


He added that government was conscious of what was happening in terms of job creation and that it had plans in place to help boost job creation in the country.

The global financial crisis and the recession in the local economy had resulted in about one-million jobs being shed in 2009. South Africa's unemployment level also breached the 25% mark in the first quarter of this year.


Zuma believed that the funds the country was going to continue investing in infrastructure, which was crucial for its development, would allow those who had gained skills and employment during the preparation for the 2010 FIFA World Cup to continue working and using those skills on other projects.


The creation of the new Economic Development Department, led by Minister Ebrahim Patel, was also expected to play a role in improving job creation in the country.


Zuma pointed out that some real issues have emerged in terms of the local economy, with the gap between the rich and the poor widening and the growing economy still not creating enough employment.


The Economic Development Department was expected to make strides in finding ways of dealing with such aspects.


Meanwhile, Zuma assured that government would also continue to work to ensure that South African industry remained competitive, despite some unions demanding higher than inflation wage increases during recent wage and salary negotiations.


Transnet workers went on a three-week strike over higher wages, disrupting railways and ports, while Eskom workers are threatening to down tools over pay increases.

 

Edited by: Mariaan Webb
 
 
 
 
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SA President Jacob Zuma and FIFA President Sepp Blatter
																															(Picture by: Reuters)
 
SA President Jacob Zuma and FIFA President Sepp Blatter (Picture by: Reuters)
 
 
 
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