R11bn allocated to Presidential Employment Stimulus

Johannesburg – A total of R11 billion in new funding has been allocated by National Treasury for the next phase of the Presidential Employment Stimulus (PES) in the 2021/22 financial year.

The Presidency has announced that phase two will be launched on 1 November 2021.


This was revealed at a media briefing on Thursday, led by the Minister in the Presidency, Mondli Gungubele, together with the Minister of Employment and Labour, Thulas Nxesi, and Minister of Public Works and Infrastructure, Patricia de Lille.

The Presidential Employment Stimulus was launched by President Cyril Ramaphosa in October 2020 in response to the devastating impact of the Coronavirus pandemic on employment.

As part of the Economic Reconstruction and Recovery Plan, the stimulus aims to create new employment, provide livelihood support and protect existing jobs in vulnerable sectors.

Gungubele said Phase 2 of the employment stimulus has now commenced implementation, which will support the continuation of some programmes from Phase 1, as well as a range of new programmes.

“The recruitment of 287 000 young people as school assistants is already underway, and participants will be placed in November. Phase 2 will include the establishment of a new Social Employment Fund, which will support work for the common good in communities provided by organisations outside of the State.

“Phase 2 will also support the Presidential Youth Employment Intervention, including the establishment of the national Pathway Management Network, the revitalisation of the National Youth Service, and a new model of skills training for unemployed youth linked to employment,” he added.

The Minister said the stimulus represents a new way of working across government to achieve a common objective, as 11 national departments were responsible for implementing programmes supported by the stimulus in Phase 1.

To date, more than 550 000 jobs and livelihoods have been supported as part of Phase 1, with an overall target of 694 120 opportunities.

Gungubele said several programmes are still in implementation, and the number is expected to increase further.

“This represents more than half a million South Africans, who have already benefitted directly from the stimulus, either through employment or by receiving a grant to sustain their own economic activity.”

Gungubele also said the continued success of the employment stimulus reflects the government’s commitment to address unemployment and to support employment while the labour market recovers.

Scaling up public and youth employment

Minister of Employment and Labour, Thulas Nxesi, has reiterated that government is steadfast and resolute in fighting unemployment, inequality, and eradication of poverty in the country.

He said the Presidential Employment Stimulus supports a wide range of programmes, which have an explicit focus on youth, given the severity of youth unemployment in South Africa.

“In Phase 1, [a total of] 84% of participants across all programmes, including public employment and livelihoods support, where young people below the age of 35, and two-thirds of all participants were women,” Nxesi said

– SAnews.gov.za

Also read Over 500 000 people benefit from Presidential Employment Stimulus

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