Race representation will only harm SA economy

The business-rights watchdog AfriBusiness is concerned about the impact that the Constitutional Court judgment in the Renate Barnard case could have on the country's business sector.

This comes after the Black Management Forum supported the judgment and now insists that all institutions have to reflect the demography of the country for the sake of peace.

According to the executive head of AfriBusiness, Cornelius Jansen van Rensburg, most of the race legislation in South Africa applies only to government businesses or businesses that deal with the government. Although the race-obsessed government institutions in South Africa follow apartheid-era appointment policies, the private sector can to a great extent still determine the manner in which this legislation is applied in their businesses.

Given the role of the state in the economy, race representation undermines economic growth. BEE and affirmative action undermine merit and productivity; leads to poor service delivery, corruption and degeneration of the state.

According to Van Rensburg, race is taken to such an absurd level in South Africa that it threatens to be implemented at the expense of everything else. No society can function normally when race representation becomes the all-important prerequisite.

‘Businesses must position themselves strategically away from the state. Business people should broaden their horizons to international trade opportunities and also focus on business opportunities in the community context,' said Van Rensburg.

Statement issued by Cornelius Jansen van Rensburg, CEO AfriSake/AfriBusiness, September 3 2014

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