Wages are too low and cost of living too high - National Planning Commissioner

Statistics South Africa (Stats SA) released a report that South Africans living in poverty in the year 2015 were worse off than they were in 2011.

Stats SA's Poverty Trends report shows that 30.4 million South Africans are living in poverty. It also shows that while poverty was reduced in the country between 2006 and 2011, it has now worsened again.

What is causing poverty levels to increase in the country? How can poverty be reduced?

Stephen Grootes, 702 host, spoke to National Planning Commissioner Dr Miriam Altamn about these stats and what they mean for the country.

Altman says the report is an excellent review of information.

What it doesn't give you, is a trend.

Dr Miriam Altman, Commissioner in the National Planning Commission

The key message in this report that people should take away is that income poverty fell dramatically between 2006 and 2011.

Dr Miriam Altman, Commissioner in the National Planning Commission

Read: Stats SA boss describes state of poverty in SA: 30 million living in poverty

That's what one would expect in a low growth environment explains Altman. She goes on to say that it is important to note the strengthened social wage.

In 2006, 66% of people were living in deep poverty and now 51% are not much better off, she says.

There's no doubt we need structural reform, stresses Altman. She says there are two sides of the poverty story.

One side is that we do need to strengthen the social wage - and the cost of living is too high relative to what people earn. On the side, is the side of growth, which is the long range solution to this problem.

Dr Miriam Altman, Commissioner in the National Planning Commission

Altman explains that the politics of the moment is not the key issue in relation to our long range growth trajectory.

She says South Africa has had this problem for thirty to forty years and it is common to economies such as this. Mineral's economy tend to grow more slowly, be less diversified, have high-income inequality, much conflict and very little investment in human resource development, she explains.

What we see in South Africa is very common to the kind of country that we are. And there are some countries that have broken out. It is possible to break the pattern but it would require long term political commitment.

Dr. Miriam Altman, Commissioner in the National Planning Commission

Take a listen:


Recommended

by NEWSROOM AI

702 welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the 702 community a safe and welcoming space for all.

702 reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

702 is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
Stats SA boss describes state of poverty in SA: 30 million living in poverty

Stats SA boss describes state of poverty in SA: 30 million living in poverty

Statistician-General Pali Lehohla released the Stats SA’s poverty trends report which looked at poverty between 2006 and 2015.

Stats SA: Three out of five black people are poor

Stats SA: Three out of five black people are poor

Statistics South Africa has announced that half of all South Africans are living below the poverty line.

World Vision SA wants violence against children be declared a national disaster

World Vision SA wants violence against children be declared a national disaster

Western Cape Premier wants to urgently meet with NGOs to discuss the very worrying spate of child murders in the province.

Xolani's Opinion: Do 100s of babies dying at Bara mean nobody cares anymore?

Xolani's Opinion: Do 100s of babies dying at Bara mean nobody cares anymore?

Latest stats say 1 338 newborn babies have died at Baragwanath Hospital over the past three years.

Management jobs remain skewed in favour of men - SAIRR

Management jobs remain skewed in favour of men - SAIRR

The SA Institute of Race Relations released statistics showing a mixed bag of successes and failures for women in the country.

OPINION: Set an example with Mduduzi Manana to fight gender based violence

OPINION: Set an example with Mduduzi Manana to fight gender based violence

Xolani Gwala, 702 Breakfast Show anchor says one of the biggest challenges facing women in SA has been the issue of femicide.

SA  lags behind international breastfeeding standard

SA lags behind international breastfeeding standard

Africa Melane speaks to Jenny Wright, CEO of Human Milk Bank.

Report shows that 75% of mental illness sufferers don't get the appropriate help

Report shows that 75% of mental illness sufferers don't get the appropriate help

The report is from the Department of Psychiatry at UCT and was conducted between from 2004-2014.

Understanding suicide: "Depression is a sickness just like cancer"

Understanding suicide: "Depression is a sickness just like cancer"

Counselling Psychologist, Jeremy Bayer, unpacks suicide and how to deal with mental illnesses such as depression.

Business confidence declined across all economic sectors - analyst

Business confidence declined across all economic sectors - analyst

Economist Isaah Mhlanga, says very little confidence remains in business and South Africa at large.

"SA has the fourth largest private security industry in the world" - expert

"SA has the fourth largest private security industry in the world" - expert

The architecture and economy of fear in South Africa where an estimated R55 billion is spent on private security annually.

Gigaba needs credible team before convincing business and labour - economists

Gigaba needs credible team before convincing business and labour - economists

Economists Lumkile Mondi and Dr Iraj Abedian say Finance Min. Malusi Gigaba must critically do more to reassure South Africans.

SA economy has lost its momentum- economist

SA economy has lost its momentum- economist

Kevin Lings, Chief Economist, Stanlib says everybody has lost confidence in South Africa, as technical recession announced.

South Africa enters technical recession - Stats SA

South Africa enters technical recession - Stats SA

Goolam Ballim, Chief Economist, Standard Bank says South Africa's economy "is weak and the quality of growth is pitiful".

Why unemployment is escalating

Why unemployment is escalating

According to Stats SA the figures are the highest since September 2003.

Hans Rosling - ignorance's greatest enemy

Hans Rosling - ignorance's greatest enemy

A dedicated health professional who helped the world see how we are improving the lives of millions.

Popular articles
Personal finance guru Maya Fischer-French comes clean about her own finances

Personal finance guru Maya Fischer-French comes clean about her own finances

Bruce Whitfield interviews Fischer-French about her attitude to money (hopes and fears, successes and failures, etc.).

Madiba’s private secretary Zelda la Grange opens up about money (hers and his)

Madiba’s private secretary Zelda la Grange opens up about money (hers and his)

Bruce Whitfield interviews La Grange about her and Madiba's attitude to money (hopes and fears, successes and failures, etc.)

How to make money through ‘buy-to-let’ (using very little of your own money)

How to make money through ‘buy-to-let’ (using very little of your own money)

Bruce Whitfield interviews Francois Janse van Rensburg, author of “Making Money through Buy-To-Let in South Africa".

Retirement: 8 biggest mistakes people typically make…

Retirement: 8 biggest mistakes people typically make…

The Money Show’s Bruce Whitfield interviews Galileo Capital Financial Advisor Warren Ingram.

[LISTEN] Father shares how he shot the man who raped his daughter

[LISTEN] Father shares how he shot the man who raped his daughter

Johannesburg father, Chris says he had just come back from work when he walked in on an employee raping his 17 year old daughter.

UPDATE: Chilling WhatsApp from Marli van Breda's ex-boyfriend read out in court

UPDATE: Chilling WhatsApp from Marli van Breda's ex-boyfriend read out in court

Marli van Breda's ex took the stand in the trial of triple murder accused Henri van Breda.

3 easy questions could bag you R2000!

3 easy questions could bag you R2000!

WIN R2000! But only if you can prove you're a whiz of the MTN Biz Quiz by answering the following three questions...

Blesserfinder: Matching you with a sugar daddy near you

Blesserfinder: Matching you with a sugar daddy near you

Is social trend Blesserfinder, where girls are allegedly matching up with rich 'benefactors' in exchange for sex, a real thing?

Meet Errol Musk - father of Elon, the most innovative entrepreneur of our age

Meet Errol Musk - father of Elon, the most innovative entrepreneur of our age

Elon Musk, as you’d expect, hails from an exceptional family. Bruce Whitfield interviews his Capetonian father.