Gordhan calls for end to mining strike

By Ntsakisi Maswanganyi

Finance Minister Pravin Gordhan has reiterated calls by President Jacob Zuma for an end to mining sector strikes and a return to full production‚ saying mining was an important sector for the local economy.

Mr Gordhan was addressing a Federation of Unions of South Africa (Fedusa) conference on Tuesday.

An Association of Mineworkers and Construction Union (Amcu) strike for higher wages at some of the country’s platinum mines has entered a fourth week.

The minister will deliver his budget speech in Parliament next week‚ where he is expected to talk about how the government plans to tackle the budget deficit‚ weak economic growth and poverty.

“We are all looking for growth‚ it is probably the most difficult commodity to find‚” Mr Gordhan said.

Asked whether he would give income-tax relief for workers‚ Mr Gordhan said government had lost about R60bn in tax revenue during the recession and that it still had a lot of catching up to do in terms of tax collection.

He said the government would also have to continue social support to the poor “until we get decent living conditions”.

South Africa had achieved a lot in terms of economic growth and development over the past 20 years of democracy‚ although “much still remains to be done”‚ Mr Gordhan said.

He said greater investment in the economy‚ an enterprising culture‚ particularly from the private sector‚ and the need for balanced regulation from the government were among factors that could unlock economic growth.

Most analysts expect the local economy to grow by about 2.5%‚ although some believe growth will be slightly lower than this.

Statistics South Africa is due to release the economic growth figures for 2013 next week.

Focusing on the “right issues” and addressing them would help the government‚ business‚ labour and civil society address South Africa’s economic and social challenges‚ Mr Gordhan said.

He said the growth and development strategy — the National Development Plan (NDP) — should be implemented to help boost economic growth.

Speaking at the conference‚ International Labour Organisation (ILO) South Africa director Vic van Vuuren said the challenge with the NDP was that “not everybody” had bought into it.

He said implementation of the NDP was important. © BDlive 2013