Tuesday, November 07, 2006

Rearranging the deck chairs on the Titanic

THE current Immigration Act was born in the cauldron that was the home affairs department in the first 10 years of democracy. The running battles between an Inkatha Freedom Party minister, Mangosuthu Buthelezi, his controversial adviser, Mario Ambrosini, and a succession of ANC-aligned directors-general is part of the legend of this most dysfunctional of departments.

Add to that the obstructive way in which the then chairman of Parliament’s home affairs committee, Aubrey Mokoena, dealt with legislation, and it is small wonder the law on the statute book is so deeply flawed. The act certainly failed to live up to the early promises of a modern legal instrument to control migration in a way that was sympathetic to investment and business and would also defend the rights of refugees and migrant workers.

Indeed, ever since it was signed into law, the Immigration Act has been a target of criticism, particularly from multinational corporations doing business in SA. This has led, somewhat grudgingly, to two amendments to the act in two years. The fact that the act has needed to be amended twice since being enacted a little over three years ago in itself speaks volumes about the quality of the statute.

The latest amendment, which includes scrapping a two-year limit imposed on skilled foreign staff, was approved by the National Assembly — despite opposition from the Congress of South African Trade Unions (Cosatu). The original idea of the two-year limit was to persuade foreign companies to use the two years in which their experts could work here to train up locals and so achieve “skills transfer”. It has not worked and has been seen as a major disincentive to companies which have located here.

In a skills-deprived country, skills transfer to locals is vital, but another more creative way of getting this to happen must be found. Home Affairs Minister Nosiviwe Mapisa-Nqakula is to be congratulated for recognising this. However, it must be remembered that in August 2004, when the first amendment bill passed through Parliament, the minister promised an overhaul of the entire act. Indeed, in Cosatu’s objections to the current amendments it reminded Mapisa-Nqakula that it had only agreed to the 2004 changes on the understanding that this major review of immigration law would take place sooner rather than later. Yet when the minister introduced the measure to the National Assembly last week, she failed to make any mention of an overhaul or review.

With SA’s political and economic geography under unprecedented scrutiny as a result of the Joint Initiative on Priority Skills Acquisition (Jipsa) and the Accelerated and Shared Growth Initiative for SA (Asgi-SA), there is an urgent need for a clear understanding of how immigration laws impact on investment and attracting the skills needed to make the economy grow. This must then be translated into a practical, user-friendly legal instrument that will ease the blockages and make doing business in SA both easier and cheaper.

The two amendment bills of the past two years have simply been tinkering with the Immigration Act. This is rather like rearranging the deck chairs on the Titanic. The ship has a hole in it and major repairs are needed.

Capacity constraints are all too frequently listed as the underlying cause of problems in many sectors of the economy, both public and private. While achieving Asgi-SA’s target of sustained growth above 6% and implementing Jipsa to attract scarce skills will involve far more than just the Immigration Act, it will nevertheless play a critical role.

The minister must now deliver on her promise of a far-reaching review of the act. It won’t be easy, given the level of disorganisation within the department which was compounded by the recent announcement that it had lost yet another director-general.
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