Press Statement dated 6 September 2018
In a report announced by Statistician General, Risenga Maluleka, on 4 September 2018 in a media briefing, it was indicated that based on data of the Real Gross Domestic Product (GDP) in the second quarter, South Africa is officially in recession.
Latest data from Statistics South Africa (StatsSA) indicate that the country’s Real GDP fell by 0.7% in the second quarter of 2018, following a 2.6% contraction in the first quarter of 2018. The agriculture, forestry and fishing, transport and communication industries were reported to be the largest negative contributors to growth in the GDP.
The Public Servants Association (PSA) that represents more than 240 000 public-sector employees has expressed the Union’s concern of the technical recession could have severe implications on the Public Service and its ability to render efficient services to the public. The recession has a direct impact on job creation, which will impact on the ability of the state to deliver services to communities,” said PSA Acting General Manager, Tahir Maepa.
The PSA is furthermore concerned that the lack of economic growth will result in higher unemployment. “Government already has pressure to fill certain vacancies to ensure service delivery. The current reality may also mean that government will not be able to fill critical posts in the Public Service. The South African economy needs to grow at a rate of at least 5% to event start successfully addressing unemployment, inequality, and poverty. The PSA will closely watch government’s short- and long-term plans to turn around this situation,” said Mr Maepa.
Issued by Tahir Maepa, Deputy General Manager, Public Servants Association (PSA)