Wednesday, November 23, 2011

(STICKY) Government has a challenge of creating 5.5 million jobs, says Sichinga

COMMENT - Why 5.5 million? The workforce is 5.3 million, and there already is 20% official employment. Anyway, the thought is 'appreciated'. We didn't support the PF so we can have more non-taxation of the mines and more trickle down jobs GARBAGE. Did Robert Sichinga receive payments to hold this 'opinion', or is he just a neoliberal appointment from the PF?

Government has a challenge of creating 5.5 million jobs, says Sichinga
By Misheck Wangwe in Kitwe
Wed 23 Nov. 2011, 13:59 CAT

THE PF government has a challenge of creating 5.5 million jobs for Zambians, says Bob Sichinga. And Sichinga says the government will not burden mines with taxes in order to give them more capacity for increasing jobs for Zambians.

[There are 58,000 jobs in mining. And we're not going to tax them so they can create more? This is the same trickle down garbage that people are rebelling against all over the world. Neoliberal economics do not work, will not work, and have never worked. So why does the PF refuse to effectively tax the mines, while prices are still high? The betrayal of the electorate is galling. - MrK]


Addressing the Copperbelt Business Community in Kitwe on Monday, Sichinga, who is Minister of Commerce, Trade and Industry, said the government wanted every Zambian to take an active role in delivering the much-needed development in the country.

He said 300,000 young people were offloaded on the job market annually and yet only 5,000 had an opportunity of being employed, leaving about 295,000 on the streets without jobs.

"As though that was not enough, tertiary institutions, trade schools, colleges and universities can only take at the moment 13,000 of them. There is no avenue of absorbing this number that is coming out of schools. That's why the manifesto of the PF emphasises job creation because these numbers are swelling now and we are not able to manage. We already know that there is this huge problem and we will address it," Sichinga said.
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He said his ministry would utilise the instruments of planning and development such as the Medium Term Expenditure Framework, the Sixth National Development Plan and the Vision 2030 to deliver the much-needed development in the country.

Sichinga said the development that was taking place in the country should benefit all the citizens and not just a few privileged individuals.

He said the PF made it clear even at the time it was in opposition that it would engage people in various productive areas as a way of creating jobs, lowering taxes to reduce the cost of doing business to put "more money in people's pockets".

[How does 'lowering taxes to reduce the cost of doing business' put 'more money in the people's pockets'? Tax big business, and use the money to create jobs. That is the only way. - MrK]


"In the mining sector the benefits must flow not just to the top mining companies, medium companies and foreign investors. It must flow to our own people and that is the purpose of economic management and policy. The cost of living must be reduced while the standard of living must be raised," Sichinga said.

[And when copper prices collapse? Then what? Unless you channel windfall profits from mining into other economic sectors like agriculture, infrastructure and manufacturing, you are going to have absolutely nothing to show for the biggest boom in copper prices in our lifetimes. - MrK]


And Mine Suppliers and Contractors Association of Zambia president Fanwell Banda said the business of trade in the mining industry should entirely be left to Zambians if the country is to realise any tangible benefits from its rich mineral wealth.

Banda said government must put up measures to ensure that any foreign company coming in the country partners with Zambian firms.

"There ought to be transparency and accountability in the operations of the mines," he said.

Banda said those involved in the manufacturing and supply of goods to the mines must be supported by the government through provision of incentives to ensure the growth of the manufacturing industry.

And during a tour of Kansanshi Mine in Solwezi on Sunday, Sichinga said the PF government wanted to create more wealth and jobs and hence would not pressure mining firms with inhibiting circumstances which might lead to stunted growth in job creation.

"We want to lower taxes so that they mining companies can work effectively," Sichinga told journalists at Kansanshi Mine after touring the firm's North West and South West open pit sites.

Sichinga said it was important for government to understand challenges that mining firms faced by keeping "a balance on what they earn and what they give back to the community" and how their capacity could be enhanced to support other medium and small enterprises.

He said the government also wanted to facilitate sustained capacity building and funding to medium and small enterprises through the Zambia Development Agency and Citizens Economic Empowerment Fund to create more jobs.

Sichinga said the government appreciated Kansanshi Mine's initiative to support Solwezi Trades Training Institute in offering apprenticeship programmes in order to increase skilled-labour availability for North Western Province's growing mining industry.

"This will also increase collaboration among different ministries to bridge the knowledge gap," said Sichinga.

And Kansanshi Mine general manager Sean Whittome says the firm has explained to government on the disparities in conditions of service for Zambians and foreigners of equal qualification and government understands its position.

And Whittome admitted in an interview with journalists that there were known concerns of salary disparities under Kansanshi but explained that the issue was discussed at length with Sichinga.

"And I think he Sichinga has better understanding now," said Whittome.


[Did money change hands too? Which would be a crime in the US or Canada, under the Foreign Corrupt Practices Act and Canada's own foreign anti-bribery law. - MrK]


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