COSATU’s Submission on the 2015 Budget

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Presentation transcript:

COSATU’s Submission on the 2015 Budget

Introductory Remarks Key issues: Unemployment; Triple challenges; Austerity vs. stimulus; Radical economic transformation; Tax reforms; Delivery achievements; and Government plans.

Continued Global climate; and Business as usual.

General Observations Expenditure ceiling and austerity; Cuts in real expenditure; EU vs. US and Chinese approach; Public service vacancies; Sale of state assets; Good statements and concrete plans; NHI, Comprehensive Social Security & Treasury;

Continued Tax increases upon the poor; and VAT.

Strategic Priorities for Growth & Development Saldanha Bay; Mining sector; and State owned enterprises.

Economic Context EU austerity vs. US and Chinese stimulus; African trade and investment; Government economic sectoral interventions and support; and Industrialisation, manufacturing, agriculture and tourism.

Budget Framework & Fiscal Policy Household financial health; Real cuts in state expenditure; Freezing of public service vacancies; Wasteful expenditure cut backs; Bling expenditure; and Contingency reserves.

Medium Term Expenditure & Division of Revenue Local government interventions & financing: Unicities, rural and district municipalities; and Limpopo and Eastern Cape.

Economic Development Oceans economy; Shale gas and hydraulic fracking; Emerging farmers and land restitution; and Integrated infrastructure development programme.

Employment & Enterprise Development Employment Tax Incentives; Manufacturing support; Expanded Public and Community Works Programmes; and Environmental Affairs jobs programme.

Health & Social Protection HIV/ AIDS; Public health facilities; NHI White Paper; Social Grants achievements and increases; and Retirement reform and Comprehensive Social Security Discussion Paper.

Education, Sport & Culture Crisis; Text books; Safety and security; and Mud schools.

Post-School Education & Training New universities; NSFAS; and Colleges.

Transport, Energy & Communications Rail infrastructure; Water infrastructure and tariffs; Energy interventions; Renewable energy; Electricity tariff increase; and Postal Services;

Continued E Tolls and privatisation; Road funding; Public transport; and Fuel levy increase.

Defence, Public Order & Safety Corruption; Crime; and Judicial system and correctional services.

Transport Rail upgrading and procurement; Public transport; and E Tolls and user pay.

Financial Management Text book procurement; Tender reforms; and 30 day payments.

Revenue & Tax Measures COSATU tax reform proposals; New taxes: Income tax; Electricity and fuel; Sin; Property sales; and UIF.

Continued VAT; and Tax evasion.

State Owned Companies Deputy President’s interventions; Financial developmental mandates; Sale of state owned assets; and SAA, SAA Express and Mango.

Developmental Finance Institutions IDC DBSA

Financial Sector Reforms Banking sector interventions; and Retirement reforms.

Conclusion & Thank you. 34% unemployment and triple challenges; Business as usual; Austerity vs. stimulus; Wasteful expenditure; Developmental achievements; and Radical economic transformation.