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id21 News Release

May 12, 2003

South African blacks get poorer whilst whites get richer

Incomes in South African black households fell by 19 per cent between 1995 and 2000, whilst white household incomes rose by 15 per cent. Last year, two out of three black households in Cape Town townships did not have enough food to eat. These are the shocking findings of research recently published by id21 insights examining the causes and dynamics of black chronic poverty in South Africa.

The research, carried out by the University of Western Cape, surveyed black townships around Cape Town, where it found 76 per cent of households living below the poverty line of ZAR352 (US$42) per month. Over half of these households had no waged income, and almost one third reported that the main breadwinner had lost a job in the previous year.

Waged employment is vital to poor households in South Africa, partly because colonial land-grabbing and apartheid destroyed the black farming economy in order to create a cheap labour force. Conditions for poor black workers have worsened over the last decade as South African employers have opted to invest in further mechanisation rather than labour, resulting in a loss of up to one million formal sector jobs and a doubling of the unemployment rate to 30 per cent.

With such a high unemployment rate poor households are vulnerable to employer exploitation, and over one-third of wage earners in the study were still found to be below the poverty line. Interestingly, educational attainment in these areas appears to have little effect on the individual's job prospects.

Chronic poverty also puts households at risk of malnutrition, disease and violence: the main causes of death were avoidable effects of poverty: HIV/AIDS, tuberculosis (39 per cent) and physical assault (29 per cent).

Researchers Cobus de Swardt and Andries du Toit argue that government initiatives are urgently needed to protect such households against the risks and exploitation chronic poverty exposes them to. They call for poor households to be given direct access to resources, such as land, to produce their own basic food requirements, and for government to strengthen and improve social services and the social security system in chronic poverty-affected areas.

View South Africa's Mail & Guardian coverage of this story at http://www.mg.co.za/Content/l3.asp?ao=14231&t=1

View the BBC's coverage of this story at http://news.bbc.co.uk/1/hi/world/africa/3024021.stm

Watch and listen to Democracy Now TV's reporting of this story at http://www.democracynow.org/article.pl?sid=03/05/14/1529241

Read the coverage of this story bythe UN Integrated Regional Information Network at http://www.irinnews.org/Report.asp?ReportID=34103

Listen to Voice of America's interview with Dr. de Swardt at http://www.voanews.com/EnglishtoAfrica/article.cfm?ObjectID=991CFCA9-5611-4019-92F71DEB1FE6205A

This story was also covered in Nigeria's Vanguard newspaper, on US Pacifica Radio, and on South Africa's SAFM

Notes to Editors


For more information, or to arrange an interview with Dr. de Swardt, contact Sally Gainsbury, id21 Research Editor, on +44 (0) 1273 877305, or s.gainsbury@ids.ac.uk

id21 Insights 46 'Escaping Poverty: Can Policy Reach the Chronically Poor?' which highlights the latest research on chronic poverty in Africa, Asia and Latin America can be found online at http://www.id21.org/insights/insights46/index.html

Cobus de Swadt's and Andries du Toit's article 'Staying Poor in South Africa' can be found on id21's website at http://www.id21.org/insights/insights46/insights-iss46-art03.html . As with all id21 articles, the piece may be freely reproduced, provided id21 and the original authors are acknowledged. Kindly inform Sally Gainsbury if you intend to reproduce any id21 articles.

More information on the chronic poverty in developing countries can be found on the Chronic Poverty Research Centre's website: http://www.chronicpoverty.org/

- ENDS -

 




 

Views expressed on these pages are not necessarily those of DFID, IDS, id21 or other contributing institutions. Unless stated otherwise articles featured on the id21 web-site may be copied or quoted without restriction, provided id21 and originating author(s) and institution(s) are acknowledged.

Copyright © 2003 id21. All rights reserved.

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