Team KICK OFF

Good morning friends, I would like us to put emotions aside and discuss facts and reality. It's not about what is right or wrong but what is really happening out there.

Fact of the matter is that South Africa is slowly but surely pricing itself out of the market. It is becoming more and more expensive to run operations or invest in South Africa. The main culprit to this rise in cost is Human Resources Cost and this pushes investors out of the country. We are competing with countries that have less wage costs and less labour unrest, safe fate that happened in America is awaiting us, not unless something is done to avoid this.

Fact is South African labour is highly unskilled and this is working against us, in the market. We can never run away from the fact that South Africa is part of the Global Economy and whatever happens in the next country does affect us. Investors want as much profit as possible, this is not necessary right or fair but it is a fact.  These Investors find it very profitable to invest in China because of cheap labour and high productivity.

Now where does this leave South Africa, as we are really being eliminated as a competitor by other countries? How do we keep investor glued in our country with their Capital?

I have two solutions, but maybe you have more. I say we either reduce our wage costs or increase our Productivity.

Lets talk

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But why do the workers demand higher wages? Is it not because the cost of living in SA is exorbitant? Even though we manufacture little and import a lot of ready-made goods, the exchange rate and custom duties push the prices of most commodities out of the range for low-income groups who then constantly demand more, thereby causing unending stability.

I was just about to raise that issue. If we reduce the wage cost it means most South Africans will not afford to live in the country. Taxes, e-tolls, basic needs are very expensive.

How about we rather try to produce and export more and reduce the imports?

 

Natural resources and agriculture are our strong points, if we can maximum its production from raw to finished products and then export that could work for us. Yes we demand higher wages cause the cost of living is forever going high, just today fuel prices increased 

One higly esteemed colleague said on one colloquim: "When you have so many uneducated people (ANC leadership) having access to so much (material wealth), it sets the wrong tone to the rest of the country, that you are also entitled to so much without doing much or nothing at all". I found this to be true, and it resonates in so many labour strikes from people who think they deserve a lot because the leadership is not educated but flagrantly shows off its wealth. I pause....

True that Kalizinho but i don't think it is so much about their education or lack thereof as it is much about them showing of, for me it is more about the fact that they have so much having done so little, that for me is a problem. if this was as a result of their entrepreneurial genius, educated or not, i think it would be inspiring, but it is not and that is the big problem.

 

Education is offcourse important but it has hardly made anyone rich, it is the entrepreneurs that make it rain out there, educated or not and those are the people who inspires!!

Wonder, one wise man says "education is the avenue for the poor" with good reason. Take 100 kids from poor families- how many will become enterpreneurs? Maybe 4/5. The rest can only look up to education to free them from poverty. When you have an uneducated leadership:

1. They will bungle issues on education, that's a fact!

2. Subconsciously, the message is sent that there is a short route to success. It is not coincidental that burglary, theft, hijackings, etc have become common crimes in SA.

Education does not make you rich but it gives you options, that's a fact.

Definitely Stonza, I agree!

Kali, i hear you very well but i have a problem with the so called intellectuals who think without educated leaders we are doomed, that's not a fact. in fact, what do they mean by educated leaders, leader who have Honours, Degrees, etc?

Soze, educated leaders are qualified yes, in any form of sphere. The benefits of having qualified leaders have already been demonstrated. While I take your point, let me ask, between a proven CA and someone with matric, who would you have as the minister of finance?

"between a proven CA and someone with ONLY matric and spent 15 year in Jail or exile, who would you have as the minister of finance".... waiting for the answer Soze?

you know Kali, your question limits my thoughts. I guess that, if Steve Job asked himself that question, we wouldn't be having Apple. He was never an IT guru or a proven one for that matter.

There are few people like Steve Jobs Soze. You still haven't answered my question.

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