AFFORDABILITY INDEX CONFIRMS DETERIORATING LIVING STANDARDS: A VINDICATION OF SAFTU’S WARNINGS ON THE ANTI-POOR, PRO-RICH PATH

 

The South African Federation of Trade Unions (SAFTU) notes with deep concern the latest findings of the Household Affordability Index, compiled by Pietermaritzburg Economic Justice and Dignity (PMBEJD), which confirm what millions of working-class South Africans experience daily: a relentless deterioration in living standards. This report is yet another vindication of SAFTU’s countless and repeated warnings that South Africa is on a destructive, anti-poor, and pro-rich path driven by neoliberal economic policies and austerity measures.

For years, SAFTU has sounded the alarm on the government’s reckless adherence to austerity, which prioritizes budget cuts at the expense of essential services needed by the poor. The latest index reflects the consequences of these decisions: skyrocketing food prices, unaffordable housing, crumbling public healthcare, underfunded education, and rising unemployment. Meanwhile, the rich continue to accumulate wealth, shielded from the crises facing the majority.

The austerity policies pursued by the Government of National Unity, particularly under the alliance between the ANC and DA, have deepened inequality and poverty. While billions are siphoned off through corruption and corporate tax breaks, the working class is left to suffer the consequences of shrinking public services and growing privatization.

SAFTU Reiterates Its Demands:

            1.         End Austerity Now: Reverse budget cuts across all sectors, particularly in health, education, and social services. Public funds must prioritize people over profits.

            2.         Uniform Absorption of CHWs and CCGs: Ensure that Community Health Workers (CHWs) and Community Caregivers (CCGs) are absorbed uniformly across all provinces with full benefits and job security.

            3.         Fill Vacant Public Service Positions: Immediately fill critical vacancies in the public sector, including teachers, nurses, and police officers, whose shortages are a direct result of austerity.

            4.         Implement a Universal Basic Income Grant (UBIG): Introduce a Universal Basic Income Grant of R1,500 per month to provide a safety net for all South Africans, ensuring dignity and economic security, particularly for the unemployed and vulnerable.

            5.         Increase the National Minimum Wage: The current national minimum wage is inadequate and does not reflect the rising cost of living. SAFTU demands a significant increase to ensure that no worker earns below a living wage.

            6.         Living Wage for All: Beyond just increasing the minimum wage, we demand a broader commitment to implementing living wages that reflect the real cost of living in South Africa.

            7.         Invest in Public Services and Infrastructure: Halt the privatization agenda and invest in public services to ensure affordable access to water, electricity, housing, and transportation for all.

            8.         Action Against Corruption and Governance Failures: Root out corruption at all levels of government and hold those responsible accountable, ensuring that public resources are used for the benefit of the people.

Building a Front Against Austerity

SAFTU calls on all workers, communities, and progressive organizations to unite against the neoliberal agenda driving this crisis. Our upcoming protest in Cape Town on 19 February 2025 is a critical step in this fight. Under the banner, “People Before Profits – Building a Front Against Austerity, the Water Crisis, and Privatisation,” we will continue to mobilize for a South Africa that prioritizes the needs of the many over the greed of the few.

SAFTU stands firm in its commitment to represent the aspirations of millions of working-class South Africans. The deterioration in living standards is unacceptable, and we will not rest until economic justice is achieved for all.

A Statement was issued on behalf of SAFTU by General Secretary Zwelinzima Vavi.

For more details, contact the National Spokesperson at:  

Newton Masuku 

066 168 2157 

Newtonm@saftu.org.za

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