Imraan Valodia

Economic Policy and Women’s Informal Work in South Africa

This article examines the gender dimensions of the growth in informal and flexible work in South Africa and the governments policy response to this. It outlines the growth in informal and flexible work practices and as illustrative examples analyzes how trade and industrial policies and labor market policies are impacting on the growth of informal and flexible work. It is argued that the South African governments trade and industrial policies are shifting the economy onto a path of capital intensification. Allied to this firms are undergoing a process of extensive restructuring. These developments are further promoting the growth of flexibilization and informalization and thereby disadvantaging women. The article demonstrates that while the government offers a vast package of support measures to big business its policy is largely irrelevant to the survivalist segment of small business where most women in the informal economy are to be found. The picture for labor policy is more diverse. Aspects of the labor legislation are promoting the growth of a dual labor market while there seems to be some tightening up of practices aimed at bypassing aspects of the protection provided to workers. (authors)

Low-waged and Informal Employment in South Africa

This paper forms one component of a larger project of the Human SciencesResearch Council (HSRC) to assess the state of knowledge of the labourmarket in South Africa, and to identify research gaps. Our paper has twoprimary objectives: to outline the extent and incidence of low-wagedemployment in South Africa and to review the literature on informalemployment, one important component of low-waged employment. Webegin by provided a statistical overview of low-waged employment usingthe Labour Force Survey of March 2000 and March 2004. Based on thesedata, we summarise trends in low-waged employment. In Section B, wefocus on informal employment in South Africa, and discuss some of theconceptual and statistical literature and apply it to the South Africancontext. Section C provides trends on informal employment. Section D,using a unique panel drawn from the Labour Force Survey, providesanalysis of some of the linkages between informal employment and otherlabour market statuses, including unemployment. Finally, in Section E,based both on our analysis of low-waged employment and on the review ofthe informal economy, we offer some suggestions for a research agenda.The issues of low-waged employment and informal employment are bothimportant considerations for labour market policy in South Africa. One ofthe key debates about employment in South Africa is the relationshipbetween wages and employment, with the argument often made that the highlevels of unemployment in South Africa are a result of rapid increases inwages, particularly of unskilled black workers (see Fallon and Lucas 1998,Lewis 2002). In the last comprehensive overview study of the labour market

Labour Market Policy, Flexibility, and the Future of Labour Relations: the case of KwaZulu-Natal clothing industry

Caroline Skinner and Imraan Valodia analyse how South African clothing firms are reconfiguring their production processes through subcontracting and discuss the implications for collective bargaining.

Local Government Support for Women in the Informal Economy in Durban, South Africa

This paper examines the response of the city government of Durban to the growth of the informal economy. It argues that, unlike the national government of South Africa, Durbans government has been creative in designing policies that favor informal economy workers, particularly women. These progressive policies are the result of an innovative local government and, to some extent, an emerging self-employed women workers union that has been able to exert influence on informal economy policies.

Trade policy, productivity and learning: Evidence in South Africa

The theoretical argument in support of trade liberalisation is based, in part, on exports that foster dynamic efficiency gains primarily through learning and technological upgrading. Using data collected in the motor vehicle components industry, the article explores whether there is any evidence in the South African manufacturing sector to support this hypothesis. Although the conclusions are tentative, the author finds no unambiguous empirical support for the argument that, in the South African context, trade liberalisation fosters learning and innovation at the level of the firm.

Globalisation and women's work in South Africa: national and local approaches to economic transformation

The South African economy has been undergoing a process of fundamental economic transformation as a result of policies promoting global integration within the global economy. CAROLINE SKINNER and IMRAAN VALODIA suggest that women are bearing the brunt of the costs associated with this transformation. They examine some of the gender dimensions of the transformation process by looking at national and local governments approach to business support and promotion, focusing particularly on the informal economy

The Informal Economy in South Africa: Debates, Issues and Policies

The idea of dualism in the South African economy, characterised by a ‘first’ and ‘second’ economy, has come to dominate government thinking in recent years. Using the panel component of the Labour Force Survey (LFS), we explore linkages between the formal and informal economy. Our analysis suggests that there is a high level of interaction between formal and informal work at the lower end of the labour market. At the household level too, access to stable employment in the formal economy is associated with higher levels of earning in the informal economy. Our findings have implications for poverty analysis in South Africa. Policy which views poverty as being located outside the mainstream of the economy—in the so-called ‘second economy’—is misleading. JEL Classifications: O17, O55

Has gender-based tax reform been good for all South African women?

IMRAAN VALODIA, TERENCE SMITH AND DEBBIE BUDLENDER write that although explicit gender biases in the tax system have been removed, South African women continue to be discriminated against by tax regulations

Does South Africa need trade promotion organisations

This article analyses one aspect of export promotion that has come to be an important mechanism for public sector implementation of export promotion, namely trade promotion organisations. Drawing on the export experiences of firms in the KwaZulu-Natal province of South Africa, we explore the possible role of a trade promotion organisation (TPO) in efforts to promote exports. Based on this, we conclude that services that may be offered by a TPO are already offered by a combination of private and public sector service providers; that the barriers to export growth in KwaZulu-Natal firms have little, if any, relationship to TPO services; and that, based on this evidence, there seems to be no case for public sector investment in TPOs. We do, however, find some weaknesses in export service provision, and suggest some policy changes in this regard.

Engendering the public sector: an example from the women's budget initiative in South Africa

Using research conducted for the Womens Budget Initiative (WBI) in South Africa, this paper examines the impact of government expenditure on women. The paper uses the budget of the South African Department of Trade and Industry to assess how this departments activities impacts on women. The paper shows the government budgets are a useful mechanism for gender analysis. The paper concludes that, for a variety of reasons, the South African WBIs has had limited success in shifting government resources towards the most-marginalized women. Copyright