Maphumulo IDP - KZN Development Planning

To achieve profound changes in savings, investment and production, the governmentmust consistently pursue key policies & programmes over at least a decade, and coordinateits efforts around core priorities.Long-term structural change also requires phasing to establish the preconditions forsuccess over time.In the case of employment, the steps that the state can take vary over time:o Short term: it can accelerate employment creation through direct employmentschemes, targeted subsidies and / or a more expansionary macroeconomicpackage;o Short to medium term: it can support labour-absorbing activities, i.e. agricultural valuechain, light manufacturing and services, to generate large-scale employment.o Long term: as full employment is achieved, the state must increasingly supportknowledge and capital intensive sectors in order to remain competitive.Inherent phasing means that in the medium term state must focus on facilitating growthin sectors able to create employment on a large scale but must not neglect moreadvanced industries that are crucial for sustained long-run growth.The growth path emphasises supply-side needs (improve demand).The measures in the growth path:o Address the income inequalities of our society;ooPlace decent work at the centre of the fight against inequality;Include measure such as skills enhancement, small enterprise development, wage &productivity gain-sharing policies, addressing the excessive pay gap, progressivetaxation & support for the social wage.The connection between economic and social measures needs to be furtherstrengthened.__________________________________________________________________________________________Maphumulo Integrated Development Plan (IDP) 2012 - 2013Final June 2012Page 68 of 142