Question NW215 to the Minister of Employment and Labour
24 February 2021 - NW215
Cardo, Dr MJ to ask the Minister of Employment and Labour
(1)With reference to the performance agreement he concluded with the President of the Republic, Mr M C Ramaphosa, on 6 October 2020, on what research, evidence, methods and calculations are the assertions based that (a) one million jobs would be created for the youth by 2024, (b) his department would contribute 256 050 jobs to the one million jobs for the youth and (c) 61 050 jobs would be created at the Unemployment Insurance Fund; (2) what will the cost of employment to the State be for each of the specified job creation targets?
Reply:
1. (a) The 1 million jobs that are projected to be created, is a target that the government aspire to achieve in the Medium Term Strategic Framework for the next five years ending in 2024. The target was informed by the job summit commitments and economic stimulus interventions that are to be initiated by the Presidential Program Management Office to create 800,000 jobs. The Department of Employment and Labour will create an additional 256,050 was based on the previous four year trends in counselling and placement of people in employment, subsidies offered to Non-Governmental Organisations and Supported Employment Enterprises to promote employment of people with disabilities, Unemployment Insurance Fund Labour Activation and Compensation Fund sponsored programs uptake.
(b) and (c) The breakdown in terms of the DEL contribution which include the Unemployment Insurance Fund is as follows:
(i) Public Employment Services: 190 000
(ii) Supported Employment Enterprises and NGOs promoting employment of People with Disabilities: 1000
(iii) Unemployment Insurance Fund Labour Activation Programme: 61050
(v) Compensation Fund: 4000
2. The costs of the above activities will consist of a combination of National Treasury Budget allocation as forecast in the Estimate of National Expenditure to be announced by the Minister of Finance for the Medium Term Expenditure Framework period and allocations that the two funds will set aside for the revenue to be generated. The exact annual amounts to each of these initiatives, will be outlined in Annual Performance Plans that are to be tabled in parliament.