DA Criticizes Premier Lesufi’s Economic Policies as Gauteng Faces Rising Unemployment

The Democratic Alliance (DA) in Gauteng has sharply criticized Premier Panyaza Lesufi’s leadership, blaming his economic strategies for the recent increase in the province’s unemployment rate. This follows the release of the latest Quarterly Labour Force Survey (QLFS) data, which revealed that Gauteng’s unemployment rate climbed to 4.7% in Q1 2025, up from 4.4% the previous quarter.

The DA claims that the Premier’s economic programmes have failed to generate significant employment opportunities or attract meaningful investment to the province, contributing to the growing unemployment crisis.

Rising Unemployment in Gauteng

The increase in Gauteng’s unemployment rate translates to an additional 41,000 unemployed residents, bringing the total to 2.7 million. The number of discouraged job seekers also rose to 579,000, further underscoring the challenges the province faces in addressing employment issues.

Mike Moriarty, DA’s Gauteng Shadow MEC for Economic Development, expressed concerns over the unemployment figures, claiming that Premier Lesufi’s government has been unsuccessful in creating an environment conducive to economic growth and attracting investments. “The government has failed to create a climate that fosters growth and attracts investors,” said Moriarty.

Lesufi Defends Economic Policies

In response to the DA’s claims, Premier Lesufi defended his administration’s actions, highlighting key investments and reforms currently underway in the province. Recently, Gauteng hosted an investment conference that secured R300 billion in pledges over the next 12 months, aimed at stimulating the provincial economy.

Lesufi also pointed out that Gauteng’s economic growth in 2024 outpaced the national average at 1.3%, with projections showing continued growth in 2025 (1.8%) and 2026 (2%).

He emphasized that the rise in unemployment, a 0.3 percentage-point increase, was expected and should be seen in a seasonal context, such as the usual job losses post-holidays, the entry of new graduates into the workforce, and migration into the province.

Despite the increase, Lesufi noted that Gauteng had still gained 9,000 jobs in the first quarter of 2025.

Nasi Ispani Under Fire

The DA’s criticism also focused on Lesufi’s flagship job programme, Nasi Ispani, which has been described as a “quick fix” to the ongoing unemployment issue. Moriarty criticized the programme, stating that it had failed to provide long-term, sustainable jobs, and had only addressed short-term employment needs.

He pointed out that crime, infrastructure failures, and poor service delivery in the province were major deterrents to potential investors. “These persistent issues are discouraging investors and worsening joblessness,” Moriarty said.

Addressing Job Creation Challenges

Despite the ongoing criticisms, Premier Lesufi detailed several measures his administration is implementing to combat unemployment, particularly among the youth. These include:

• Reinstating the Presidential Youth Initiative, which will create 30,000 jobs for young people in Gauteng schools through the Assistant Teacher Programme.

• The launch of the R500 million Spaza Shop Support Fund aimed at formalizing and empowering township businesses.

• The iCrush NoLova training programme, part of the Nasi Ispani initiative, set to offer stipends and skills training to unemployed residents starting next month, in collaboration with the Department of Employment and Labour.

As Gauteng navigates its economic challenges, the ongoing debate between the DA and Premier Lesufi’s administration raises important questions about the effectiveness of current strategies to tackle unemployment and foster sustainable job creation. While Lesufi insists his reforms will take time to bear fruit, the DA remains critical, calling for more urgent and substantial measures to address the province’s rising joblessness.

For now, Gauteng’s fight against unemployment continues, with both the government and opposition focused on solutions to reduce the growing rate of unemployment in the province.

{Source: The Citizen}

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