Whites in South Africa earn five times more than their black counterparts on average, a new study found, illustrating the enduring legacy of apartheid 14 years after its abolition.
A study done for the UASA union made waves in the Rainbow Nation last week when it showed that whites bring home 450 percent more than blacks on average and 400 percent more than their mixed race peers.
In line with the global trend, education is the single biggest determinant of earning power, it concluded, but in a country with South Africa’s history the issue has a powerful racial dimension.
“That blacks weren’t allowed on to certain beaches [during the apartheid era of whites-only rule] can be changed overnight but education has a long-lasting legacy,” said the author of the research, economist Mike Schussler. “My concern is that our current education system hasn’t overcome that legacy so we are going to be stuck with the problems for a while longer.”
Under apartheid, says Marius Roodt, researcher at the South African Institute for Race Relations, whites had access to “near world class” schools and universities.
On the other hand, “African people were seen as unworthy of an education and 14 years isn’t going to be enough to address that,” he said.
This hangover has been tackled from an economic point of view — resources for schools are now equally distributed between historically white and historically black institutions.
“Funding is pretty equal across the spectrum. The difference now lies in the fact that historically black schools are performing dismally,” says Servaas Van der Berg, an economist and wage specialist from South Africa’s University of Stellenbosch.
Underachievement can be ascribed to the lower quality of teachers in the mainly black townships as well as social issues related to attitudes to education.
Research in other countries has shown that parental achievement is critical — a child of parents who went to university is more likely to stay in the education system longer and gain a degree.
Van der Berg underlines that other factors should be taken into account when looking at current wage distribution patterns in South Africa, which reflect the racially divided past but are not necessarily indicative of discrimination today.
Whites are concentrated in urban areas, where wages are higher and skilled employment and the services industry are more prevalent. Blacks dominate agricultural, rural areas.
“During apartheid the ideology was that blacks were unnecessary in urban areas and they were supposed to go back to their homelands,” he said.
Another factor affecting the disparity in earnings is statistical because of differing birth and death rates, the white population is on average older, and therefore richer, than the black population. One of the most comprehensive studies of the labor market was published by specialists Rulof Burger and Rachel Jafta in 2006 called Returns to Race: Labour Market Discrimination in Post-Apartheid South Africa.
It concluded that wages were no longer determined by simple race discrimination — blacks being overlooked or worse paid for jobs because of their skin color — but were mostly influenced by educational attainment.
“There appears to have been a shift away from ‘pure discrimination’ and towards differential returns to education,” the study concluded.
Burger said that on average a white worker completes more years of education than the average black worker — 12.6 years as opposed to 8.8 — who also “still receives an education of inferior quality.”
“This is a remnant of the apartheid legacy which the department of education has so far been unable to rectify,” Burger said, adding the unemployment rate for blacks is five times higher than that of whites.
Policy responses to the economic inequality caused by the apartheid system have centered on increasing funding for black schools, affirmative action and land redistribution.
Burger and Jafta found affirmative action had led to a narrowing of wage differences for the top, most highly paid jobs, but had “had no observable effect on the racial employment gap.”
The key therefore to achieving a more equal distribution of wages among the white, black and mixed race population is harmonizing education standards across the country, commentators say.
But this most vital of objectives is far from being achieved.
“Former white schools are still pretty good, but we still see in African townships that schools are dysfunctional,” Roodt said.
Schussler agreed, saying: “We are spending a lot on education and we’re just not getting the results we need.”
EUROPEAN TARGETS: The planned Munich center would support TSMC’s European customers to design high-performance, energy-efficient chips, an executive said Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s largest contract chipmaker, yesterday said that it plans to launch a new research-and-development (R&D) center in Munich, Germany, next quarter to assist customers with chip design. TSMC Europe president Paul de Bot made the announcement during a technology symposium in Amsterdam on Tuesday, the chipmaker said. The new Munich center would be the firm’s first chip designing center in Europe, it said. The chipmaker has set up a major R&D center at its base of operations in Hsinchu and plans to create a new one in the US to provide services for major US customers,
The Ministry of Transportation and Communications yesterday said that it would redesign the written portion of the driver’s license exam to make it more rigorous. “We hope that the exam can assess drivers’ understanding of traffic rules, particularly those who take the driver’s license test for the first time. In the past, drivers only needed to cram a book of test questions to pass the written exam,” Minister of Transportation and Communications Chen Shih-kai (陳世凱) told a news conference at the Taoyuan Motor Vehicle Office. “In the future, they would not be able to pass the test unless they study traffic regulations
‘A SURVIVAL QUESTION’: US officials have been urging the opposition KMT and TPP not to block defense spending, especially the special defense budget, an official said The US plans to ramp up weapons sales to Taiwan to a level exceeding US President Donald Trump’s first term as part of an effort to deter China as it intensifies military pressure on the nation, two US officials said on condition of anonymity. If US arms sales do accelerate, it could ease worries about the extent of Trump’s commitment to Taiwan. It would also add new friction to the tense US-China relationship. The officials said they expect US approvals for weapons sales to Taiwan over the next four years to surpass those in Trump’s first term, with one of them saying
BEIJING’S ‘PAWN’: ‘We, as Chinese, should never forget our roots, history, culture,’ Want Want Holdings general manager Tsai Wang-ting said at a summit in China The Mainland Affairs Council (MAC) yesterday condemned Want Want China Times Media Group (旺旺中時媒體集團) for making comments at the Cross-Strait Chinese Culture Summit that it said have damaged Taiwan’s sovereignty, adding that it would investigate if the group had colluded with China in the matter and contravened cross-strait regulations. The council issued a statement after Want Want Holdings (旺旺集團有限公司) general manager Tsai Wang-ting (蔡旺庭), the third son of the group’s founder, Tsai Eng-meng (蔡衍明), said at the summit last week that the group originated in “Chinese Taiwan,” and has developed and prospered in “the motherland.” “We, as Chinese, should never