The key driver of SA poverty level is joblessness
Statistics measurement information demonstrates that neediness level in South Africa has ascended past edge in spite of government’s push to overhaul individuals’ way of life. Concurring to the Poverty Trends Report incorporated by Statistics South Africa, the greater part of South Africa’s populace is living in destitution.
The report placed the SA poverty level at 55.5% which meant that over 30.4 million are poor across South Africa. This is up from the 53.2% or 27.3 million people reported in 2011, statistic SA reported. This, according to Statistician-general Pali Lehohla shows how South Africa has moved to reduce poverty. Over a period of time it was a movement almost parallel to the x-axis, a flat movement. “Meaning poverty depth or intensity was difficult to deal with,” he said.
5 Quick Facts Much has been done to reduce headcount poverty.
The government has subsidised water, electricity and food. More schools have also been declared no-fee institutions, he said. The report also revealed that the number of people living below the 2015 SA poverty level of R441 per person per month, or in extreme poverty, increased to 13.8 million in 2015, compared to the 11 million reported in 2011 This is still lower than the number of people living in extreme poverty reported in 2009, which was at 16.7 million.
The Gini coefficient noted that the inequality level improved from 0.72 reported in 2006 to 0.68 in 2015. But black Africans still experience the highest income inequality with a Gini coefficient of 0.65 reported in 2015, up from 0.64 reported in 2006.
This comes at the time the ANC-led government tries to intensify its moves to tackle poverty among the black South Africans. Through the newly introduced “radical Economic Transformation”, the ANC-led government, through President Jacob Zuma plans to speed up wealth redistribution. Income inequality among the white population declined from 0.56 reported in 2006 to 0.51 in 2015. The Gini coefficient of the coloured population declined from 0.60 in 2006 to 0.58 in 2015, while the Gini coefficient for Indians/Asians was 0.56 both in 2006 and 2015. Speaking also on the effects of unemployment, Lehohla said the likelihood of staying unemployed has increased 10%. “There is no end in sight in relation to the hardships.” The combination of declining economic performance on the top end led to consequences on the poor who had to be fired, he explained
The key driver of SA poverty level is unemployment. Addressing unemployment starts with education, said Lehohla as he represented South Africa’s unemployment figures for the second quarter of 2017 in Pretoria, which showed that the jobless rate in the country has remained sticky at 27.7% – the highest level since September 2003.
Poverty and unemployment are two sides of the same coin and people will only escape the poverty trap if they find work and become productive, said statistician general Pali Lehohla said. He also explained that the rate stays stagnant when the relationship between the employment numbers and the number of people looking for jobs stays the same, as is the case with the latest Quarterly Labour Force Survey.
The latest unemployment figures showed the largest quarterly increase in the unemployment rate was recorded in the Eastern Cape at 5.8 percentage points, followed by Mpumalanga at 3.5 percentage points. Western Cape and North West, however, were the only provinces that saw declines in the unemployment rate.
“SA Poverty level can’t be settled by social gives however just when individuals are beneficial and working. We’re in an exceptionally unsafe circumstance in South Africa. Individuals may have the capacity to battle for themselves in the event that they’re working” Pali Lehohla finished up saying.