Antecedentes

(Esta página está disponible actualmente solo en inglés)

South Africa achieved its independence in 1994 after more than three hundred years of colonialism and apartheid. The new democratically elected government inherited a racially divided society with over half of the black population defined as poor. Poverty was most prevalent in rural areas (60 per cent) and among women and children, with more than half of female-headed households being poor.

The new government also inherited a racially segregated welfare system that favoured a white welfare elite through the provision of expansive social services and benefits to whites and a residual system for blacks. Resistance to white minority rule and racial capitalism was marked by consistent demands for political, economic and social inclusion and for the human rights of all South Africans in a common society. These demands shaped the nature and the content of the new Constitution that was adopted in 1997 following the first democratic elections.

The welfare system was redesigned and a welfare policy was adopted and implemented. Two key programmes were identified: first, social welfare services for specific target groups such as children, youths, women and families, older persons, people with disabilities and those affected by chronic illnesses and, in particular, those infected and affected by HIV and AIDS. The second key programme was social security, which included social assistance, private savings and social insurance.

The government structured its welfare policy into three pillars; the non-contributory (tax-financed), the contributory (social insurance) and the private voluntary pillars:

Pillar 1 - Non-contributory schemes: including targeted cash transfers for the vulnerable, and a growing list of social services – including free healthcare, basic education and subsidized housing for the poor. In addition, there is universal provision of some basic services (water, electricity and sanitation);

Pillar 2 - Mandatory social insurance: covering specified contingencies for all income groups above a certain level;

Pillar 3 - Voluntary private insurance: top-up coverage for pensions, short term benefits and healthcare.


Poverty indicators

On average, 17 per cent of the population in South Africa live on less than 1.25 USD per day. In 2009, the United Nations Development Programme (UNDP) reported a Human Development Index (HDI) value of 0.594, which ranks the country 113 out of 182 countries. South Africa still ranks amongst the highest in the world in terms of income inequality. There is a high percentage of unemployed and working poor with a disproportionate number of black people and women among the disadvantaged.  


Distribution of Income (in ZAR)

Source: Author based on Data from STATSA 2011

In effect, the per capita mean income and expenditure of the poorest decile are only 1.1 and 1.8 per cent of that of the richest decile. The median monthly earning for the informal sector employees was South African Rand (ZAR) 1,600 (approx. USD 232) in 2010. This is 43 per cent of ZAR 3,683 (approx. USD 534), the median monthly earning of workers in the formal economy.


Unemployment Rate and Real GDP Growth Rate in South Africa (per cent)

Source: Author based on Data from STATSA 2011

In the South African context, poverty and unemployment remain structurally inter-linked. In 2009, the unemployment rate is as high as 24 per cent, or 40 per cent if discouraged job seekers are included. Due to an increase in the number of unemployed who have been out of work for more than one year. The percentage of long-term unemployed out of the total unemployed population rose from 58.5 per cent in 2008 to 68 per cent in 2009.

 

Regímenes de seguridad social y programas por rama