Report back on the Employment Tax Incentive Act – How is it doing?

We reported previously that a subsidy was available for businesses if they employed people between the ages of 18 – 29.

The subsidy is paid through the PAYE system by SARS and commenced in January 2014.

By December 2014 more than 270,000 people had been employed by approximately 29,000 businesses.   This is a very positive response as youth unemployment was running at 70% or 3.3 million people.

We will have to wait a while to understand the full impact on unemployment but common sense tells us that 270,000 young people getting experience in the work place will have positive benefits for the economy and unemployment.
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