Tuesday, 18 February 2014

High inflation, prices and poverty. Is it our own fault?

We always complain about the spike in the consumer index and High inflation rate not even speaking about poverty. We always want to blame government and several other parties, but neglecting our own share in ensuring that this happen in our economy. Yes in a matter of sense, Government should be partially blamed to oversee the basics of economy and restrain the influx of foreign companies and promoting the domestic companies. Especially when looking at the Government tender process and how many International companies have been awarded contracts while in South Africa more than capable companies is to do the job.

Looking at corporate ownership as in legislation, a foreigner or foreign company can only posses 49% in a South African Company with the results that 49% of the nett income is leaving the country while export relations is not even a thought. Looking especially also at the import market, one cannot deny the long term thought of supporting other countries, strengthening their domestic economy.

Well let us look at everyday contributions by the people of South Africa to poverty, high crime rate, high inflation etc in South Africa. Only a few companies to be mentioned is SHELL, BP, Woolworths, FNB, KFC, Burger King, Virgin Group, Mercedes Benz, Toyota, Protea Group, etc just to mention some. If the South African citizens start with buying from local companies and support local owned companies, the value in keeping money in South Africa would have a long term positive effect.

In short, when not supporting South African owned companies, and being effected by high inflation, prices, crime and poverty, stop before complaining for every time you support a foreign owned company you approve upon the current conditions in South Africa.

Once again I am no politician, nor affiliated with any organisation. I am only exercising my rights to freedom of speech and expression as stipulated in our constitution. The conclusion will lie in the eyes of the reader.

Sunday, 16 February 2014

Promises and Stats (Jobs and Job creation)

Well once again it is election time and it is time to sell oneself. I heard about the great things that has been reached over the past years in South Africa and also about the targets set especially in the employment area. Well is that actually possible? Let us see what is my interpretation of all of this. Remember I am not a politician and I surely am not affiliated to any political party or movement. The only thing I can write about is how do I experience the reality from fiction.

Well let us see, several jobs have been created, yes only in certain races and gender groups. After 20 years of democracy people still use the past as excuse for gain. We must keep in mind that people born after 1994, was born equal and in a democracy and therefore every person over the age of 16 and younger than 18 should be seen as people with equal opportunities. Back to the job creation I can agree that there was many job opportunities created however there were more lost due to inflation, restrictions due to legislation and not forgetting hundreds of thousand children that left school. Let us also ask the question upon the fact that was the jobs created in the private sector or in the public sector? We should also determine weather it was to enhance political gain or not? Further more should we go and look at the skill appointments and then also at the extent of the sustainability and profitability.

Let us be frank that due to legislation, the department of labour makes it almost impossible to appoint more workers in the private sector that deemed to be necessary. One should think that after 20 years and in a democracy Government would move away from quotas and would be more skill orientated for now the economy in South Africa depends upon the success of its worker class. I don't even want to touch BEE legislation because if analysed, the BEE concept is only to advantage of a minority group of people in South Africa.

Let us see what the work force health would look for the future. Due to the neglecting and by ignoring the fact of drug abuse and socio-economic circumstances, our workforce will be in the future mostly be drug dependent in the future. It is not un-common to find that young people uses drugs as often as eating. This might sound over stated, but it is true. To sustain the habit, they venture themselves to crime. The crime rate against property has been escalating due to the need of sustaining habits and with our constitution and soft approach laws, many businesses, especially the tourist industries fall victim resulting in more job losses. Looking at comments with regards to better trade and industry, one should also find that the international agreements is for import purpose and not as much for export purpose. This also places a big strain upon job creation in the private sector.

In short : Can one see the promise of job creation as a concrete long term promise? No one cannot for South Africa is becoming more expensive to start a business with lesser opportunities and therefore lesser jobs would be available and looking at the mining industry and motor industry, it would soon become cheaper to import resources than to manufacture or mine, leaving many South Africans without employment and fall to the statistics of poverty. Financially one cannot deny the relapse of a once independent economical country to a dependent third world country.

Again this is my personal point of view and published in terms of my constitutional rights of freedom of speech. This is not intended to discredit any party or third party and therefore leave the thoughts and conclusion to the reader.

Friday, 14 February 2014

SAA and the Financial Strain on the tax payers.

Well once again the tax payers had to save the national carrier. We all know that a country without a National airline is seen to be a failure. Since 2010, I challenged the Various State departments with a solution to the growing debt that SAA keeps falling in and without any feedback even. Well how important do government see the financial success of our country? Clearly not enough! Sadly spoken, the watchdogs over government (opposition political parties and public protectors) also do not think it is important enough to rather have a solution than to entertain mismanagement and gain of benefit. Well what can one expect of appointing people in management positions for being so called disadvantaged in a field that there is none or little knowledge. Where they have to decide upon resources and marketing strategies without knowing the importance and how the resources operate.

Well 4 years later and still no improvement whereby there could have been a limit placed on Sponsor ships, Corporate entertainment, Selling of access assets not utilized at market prices, sign of frequent contracts as available on an online magazine, invest in foreign low cost airlines,  limitations on certain benefits on certain routes, etc. Well it is common sense that needs to be applied. I might be wrong but it is clear that although everyone is upset about the state of the situation, nobody actually cares otherwise something would have been done about the state of operations. As seen and worried about is with the non profit continuation, more of our domestic income will fly out of South Africa on SAA with a lost of Valuta. Once again I should congratulate the management of the SAA for their part in making South Africa poorer and for their contribution to our poor economy.