With unemployment at record levels and an economy in trouble, South Africa's African National Congress (ANC) is touting the welfare state as a landmark achievement ahead of a general election. But with the number of people requiring assistance rising, the system is under strain.

Johannesburg

The African National Congress (ANC) in South Africa views its welfare programs as key achievements, especially in the run-up to the general election. However, with rising unemployment and a struggling economy, many, including Dalene Reuters and her family, who benefit from such programs, view the situation differently. Reuters, who lost her job sixteen years ago, and her adult son, both unemployed, rely on a $58 monthly assistance for two dependents. Despite being on the housing list for 27 years, Reuters still lives in her mother’s yard, struggling to feed her children adequately.

In February, President Cyril Ramaphosa praised state grants and subsidies as future investments, yet the number of people requiring assistance has surged to over 24 million this year, placing significant strain on the system. Political analyst William Gamedi described the scenario as a "systemic crisis" for the country's economy, highlighting the disproportion between the beneficiaries of state welfare and the small taxpayer base supporting it. With poverty rates at 60% and unemployment over 32%—nearly 10% higher than 30 years ago—the welfare system's sustainability is a growing concern.

The future direction of South Africa’s welfare system may hinge on the outcome of the forthcoming elections. Should the ANC lose its majority for the first time since 1994, it may need to form a coalition. Potential partners include the centre-right Democratic Alliance, focusing on job creation, or the Marxist Economic Freedom Fighters, which proposes to double social benefits. Despite the ANC's denial of losing the majority, most polls suggest a potential shift in power. For individuals like Reuters, the current trajectory of the ANC diverges sharply from Nelson Mandela's original vision, underscoring a profound disappointment and a longing for a different approach to address the country’s economic and social challenges.



South Africa election: is welfare a 'systemic crisis'?

South Africa's African National Congress would like to cast the government programs that assist Dalene Reuters and her family as a success story. She doesn't see it that way. ANC is not given, I don't want to even speak about it. With a general election later this month, record unemployment and a struggling economy are hitting the ANC's support. It, however, is touting South Africa's welfare system, a rarity in the developing world, as a landmark achievement. Reuters lost her job in a primary school 16 years ago and lives with her adult son, who is also unemployed, and two children. The family largely survives off $58 per month they get for the two minor dependents. I'm on the housing list now for the past 27 years, and I'm still slacking in my mother's yard, having no job, can't even feed my children properly. In February, President Cyril Ramaphosa lauded state grants and subsidies as an investment in the future. But the growing number of people requiring assistance, over 24 million this year, is straining the system, says political analyst William Gamedi. We have a very small amount of taxpayers. I mean, it is a systemic crisis for the country's economy. Poverty in South Africa is at 60%, according to the World Bank. Unemployment is above 32%, nearly 10% higher than 30 years ago. The future of the welfare system could depend on which of two radically different parties the ANC partners with if it loses its majority on May 29th. One is the centre-right Democratic Alliance that would primarily focus on job creation. The other, the Marxist Economic Freedom Fighters, which wants to double existing social benefits across the board, among other measures. The ANC denies it will need a coalition, but most polls are predicting it will lose its majority for the first time since Nelson Mandela led it to power in 1994. One voter whose support they've lost is Reuters. Mandela's dream is not their dream. He had a dream and they came to mess up the dream.

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