Sunday, November 11, 2012

Summary: South Africa’s Economic Apartheid: Could growing frustration over the country’s economic disparities have major repercussions for the ruling ANC?


In this episode of “Inside Story,” presenter Shuilie Ghosh speaks to Anthea Jeffery, head of special research at the South African Institute of Race Relations; Adam Habib, labor law expert and professor of politics at University of Johannesburg; and Tony Dykes, director of Southern Africa, which is an organization working for justice, democracy, and development.  The episode focuses on the proposition that South Africa is engaged in economic apartheid almost twenty years after racial apartheid was formally ended.  At the time of the episode’s filming, protests of South Africa’s miners had begun to intensify and South African forces had fired bullets against miners.

South Africa’s total mine reserves are valued at $2.5 trillion and are some of the most valuable in the world.  The mining sector accounts for 18% of GDP in South Africa.  However, many of the people who work in the mines live in poverty making on average $500 per month.  With unemployment at 22% since 2000, these workers are increasingly providing for additional dependents in their families who are unable to attain work.  Many miners have demanded increased wages and benefits, but miners have become divided.  The dominant National Union of Mineworkers (NUM) is believed to be closely tied to the state and to the mine owners, while the Association of Mineworkers and Construction Union (AMCU) has promised war over pay and living conditions.  The mine owners have continued to become richer while the mine workers have not gained any benefits.  The current situation has been labeled as economic apartheid.

Anthea Jeffry argues that since the ANC came to power in South Africa in 1994, distance between the ANC and the electorate has grown.  She goes on to explain that there has been increased unemployment, awareness of corruption, factionalism, and the sense that the ANC has been callous towards its supporters.  She concedes that the division between those who have and have not always been large.  Jeffry has observed that each year there are more dependents because of high unemployment and that the ANC has tried to focus on redistribution rather than growth and that this has priced unskilled South Africans out of jobs.  Jeffry goes on to argue that the most critical need in South Africa is to amend labor laws and improve the schooling system so that there is a sense that Africans have a part in the economic system.  Jeffry concludes that current President Jacob Zume is not likely to be voted out of office because he is Zulu and there is no clear contingent against him.

Adam Habib disagrees with Anthea Jeffry and argues that the problem in South Africa has been its focus on growth rather than redistribution.  He argues that there is a need for an industrialization plan that will increase unskilled jobs in the market.  Habib goes on to posit that the miners find that as much as the ANC has abandoned them so has the business community abandoned them.  This has meant that “mine workers feel marginalized and they feel like they have been forgotten by the power holders in society.”  Habib concludes that Jacob suma will likely be re-elected as president of South Africa because he has a large home base that accounts for half of the state and because there is no contender.

Tony Dykes argues that there is a continuing divide based on race and gender and a growing divide based on class.  Dykes sees the Black economic schemes as having been for the benefit of the elite rather than for local citizens.  He thinks that the recent protests in South Africa serve as a wake-up call to everyone to get their act together and play a role in the economic transformation of South Africa.  Dykes agrees that Jacob Zuma will likely be re-elected by the ANC, but cautions that the election should be about not only the leaders but about the ANC’s policies.

Reaction
            It appears that the so-called “economic apartheid” is not new to South Africa.  Economic inequalities have increased for years, but there were present in 1994 when formal racial apartheid ended.  The recent protests by mine workers in South Africa have illuminated the issue.  It is important for South Africans to become engaged in the issue and to institute policies that can help everyone.  This is especially important as South Africa’s total share of GDP in Africa begins to decline. 

South Africa’s Economic Apartheid: Could growing frustration over the country’s economic disparities have major repercussions for the ruling ANC?, Al Jazeera.com, Sept. 6, 2012, 11:45, http://www.aljazeera.com/programmes/insidestory/2012/09/20129682047476842.html?utm_content=automate&utm_campaign=Trial6&utm_source=NewSocialFlow&utm_term=plustweets&utm_medium=MasterAccount

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