South Africa must fix a dysfunctional work permit system or sacrifice economic growth, the country\u2019s new Home Affairs minister said, pledging to resolve a crisis that employers say limits investment.<\/p>\n\n\n\n
A byzantine application process that can extend beyond a year has contributed to a backlog of hundreds of thousands of applications while miring his department in lawsuits from people demanding rulings on their submissions.<\/p>\n\n\n\n
That\u2019s been accompanied by a national debate where foreigners are routinely accused of stealing South African jobs in a country with an unemployment rate of more than 30%. <\/p>\n\n\n\n
That\u2019s despite the Treasury saying a dearth of skills is the second-biggest threat to the economy after power cuts, and skilled workers create jobs for those less qualified.<\/p>\n\n\n\n
A German-South African business association, which represents companies including Volkswagen AG, has said the chaos threatens operations that support 100,000 jobs.<\/p>\n\n\n\n
Won\u2019t Grow<\/strong><\/p>\n\n\n\n \u201cThis country\u2019s economy will never grow if we don\u2019t open our doors to people who want to lawfully come here and make a contribution and help us get on track,\u201d said Leon Schreiber, appointed as minister last month in a coalition government dominated by his Democratic Alliance party and the bigger African National Congress.<\/p>\n\n\n\n \u201cIt is one of the jobs of political leadership to go out and actually make these kind of arguments to say this is where the problem actually is,\u201d he said in an interview on Wednesday. <\/p>\n\n\n\n \u201cDon\u2019t scapegoat and include people who are trying to actually help us build the country.\u201d<\/p>\n\n\n\n One of the 35-year-old minister\u2019s priorities includes adopting a points system to allow skilled workers to take up employment based on their qualifications, job offers and income level.<\/p>\n\n\n\n Another is resolving confusion around a so-called nomad visa, which is designed to cater to remote workers who want to base themselves in South Africa. <\/p>\n\n\n\n It became law earlier this year but has frustrated potential applicants because the requirements are unclear.<\/p>\n\n\n\n \u201cThe points-based system is, I think, fundamental to overhauling the whole system because it\u2019ll do away with these different requirements for different categories,\u201d said Schreiber, who is the second-youngest member of the 34-member cabinet. \u201cIt will streamline that whole process.\u201d<\/p>\n\n\n\n He also said repairing \u201cthe hostile\u201d relationship between Home Affairs and permit applicants is key to turning the department into \u201can economic enabler\u201d focused on job creation.<\/p>\n\n\n\n \u201cThis is the only department that has the capability to, within a relatively short period, bring in the skills that companies need,\u201d he said.<\/p>\n\n\n\n Angry Tourists<\/strong><\/p>\n\n\n\n In addition to the work permit problem, Schreiber said he will focus on complaints about getting tourist visas, with some visitors being deterred by the difficulties in securing permission to visit South Africa.<\/p>\n\n\n\n \u201cThere\u2019s huge markets in China and India that are sending a lot of complaints through about how those processes are conducted,\u201d he said.<\/p>\n\n\n\n He said the department is working with resources from Business Unity South Africa, a grouping of the country\u2019s biggest businesses, and Deloitte LLP to tackle the work permit problems. <\/p>\n\n\n\n He will meet with a unit of FirstRand Ltd. for further assistance. Schreiber also plans to revive the country\u2019s Immigration Advisory Board.<\/p>\n\n\n\n Still, Schreiber touted some recent success.<\/p>\n\n\n\n Since April, the backlog of work permit, spousal visa and permanent residence applications has been cut by 30% to about 213,000, he said.<\/p>\n\n\n\n Home Affairs could \u201cbe central to addressing the skills shortage in South Africa,\u201d he said. \u201cThat is not a curse. It\u2019s a great opportunity.\u201d<\/p>\n\n\n\n
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