Hon House Chairperson, the ACDP looked forward to clarity being provided by Minister Patel on the implementation of the youth wage subsidy. This followed Deputy President Motlanthe's assurance yesterday, that I quote: "The subsidy is part of government's response to youth unemployment." We are very disappointed by the Minister's response today. Whilst we appreciate a multipronged approach, which is necessary, it seems that the youth wage subsidy has been shelved in favour of a job seeker's allowance.
We expected finality in the National Economic Development and Labour Council, Nedlac, process and funds have been allocated. The plan should have been implemented in April this year already and we are again very disappointed. National Treasury said that a subsidy would narrow the gap between the costs employers incur when employing those workers and those workers' likely levels of productivity. This, National Treasury argued, would encourage firms to employ more people. It seems that Minister Gordhan and National Treasury have now themselves been sidelined from the youth wage subsidy. This is very regrettable as we are facing a youth unemployment crisis. Strong leadership is required, and it is lacking. I thank you. [Time expired.] [Applause.]