Siphesihle Qange| SEF stipend provides crucial support for living costs

This is a significant achievement, given the stark reality that millions of South Africans will likely never even see the R15,000 target for monthly wage earnings, say writer.
This is a significant achievement, given the stark reality that millions of South Africans will likely never even see the R15,000 target for monthly wage earnings, say writer.
Image: LULAMILE FENI

The Impact of the SEF programme on stipend provision in SA in light of recent research indicating that a livable wage in SA should be about R15,000 per month, the IDC’s Social Employment Fund (SEF) programme offers crucial support to vulnerable communities, albeit at a more modest scale.

Indeed, with the average monthly income for minimum wage workers in SA ranging from R4,633 to R5,074 – far below the estimated R15,000 livable wage – many households struggle to cover their basic necessities, often facing difficult choices between food, transport and other essential expenses.

Seriti Institute is a strategic implementing partner for the IDC’s SEF programme, a standout initiative under the Presidential Employment Stimulus (PES). Uniquely, it provides significant economic and social benefits to thousands of participants across SA. At its core, the SEF programme addresses the immediate financial needs of individuals, particularly in communities grappling with high unemployment and poverty, by providing stipends to participants.

This stipend, currently pegged at the minimum wage of R29 per hour, translates to approximately R1,850 per month for participants working a maximum of 64 hours. While the SEF stipend provides crucial support, it falls significantly short of both the minimum and livable wages, underscoring that while it serves as a vital social safety net, it cannot replace the urgent need for sustainable job creation and economic growth.

Nevertheless, the stipend helps cover some of the participants’ basic living expenses, including food, healthcare and education.

Despite its limitations, the stipend has had a tangible impact on improving participants’ quality of life, contributing to their human dignity. For instance, the stipend enabled participants to secure essential non-food items such as electricity, water and medical expenses, which are crucial for maintaining a fundamental standard of living.

The SEF programme and organisations like Seriti are crucial in making food security a reality for vulnerable communities. This is a significant achievement, given the stark reality that millions of South Africans will likely never even see the R15,000 target for monthly wage earnings. The SEF programme’s contribution to this issue is invaluable and facilitates participants’ transition to a better life, offering hope for the future.

SEFs impact goes beyond merely providing stipends. It is about creating pathways for sustainable livelihoods. The SEF programme has demonstrated that, with the proper support, even a modest income can be a stepping stone toward improved economic prospects.

The training and skills development offered by Seriti have empowered participants, with many moving on to better employment opportunities or even venturing into their entrepreneurial activities. This kind of holistic support is critical in a country where the vast majority struggle to achieve a wage that allows for a decent standard of living.

Lastly, Seriti’s commitment to fostering resilient, food-secure communities and creating sustainable socioeconomic impacts is evident in every facet of the SEF programme.

By addressing participants’ immediate financial needs through stipend provision and equipping them with the skills and knowledge necessary for future success, Seriti is making a profound difference in the lives of those it serves.

We call on stakeholders to:

  •  Increase long-term funding for SEF and similar programmes.
  • Invest in skill development for sustainable job creation.
  • Expand CSI support for successful elements of development programmes.
  • Develop innovative funding models for sustained social impact.

Together, we can build on Seriti's work to create a more economically resilient SA.

Siphesihle Qange is a programme manager - SEF at Seriti Institute


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