Sowetan

Transforma­tion is hampered by useless rent seekers posing as change agents

Special interest organisati­ons harp on matters which have nothing to do with economic inequaliti­es

- Isaac Swafo ■ Swafo is a faculty member of Stellenbos­ch Business School.

Public discourse about economic transforma­tion has become palpable.

The glaring inequaliti­es confrontin­g South Africa provide fertile ground for race reductioni­sts to sow racial divisions.

Some leaders in the ANC have dismissed the notion of “white monopoly capital” as a ruse to detract the public from the grip of a shadow state whose shenanigan­s are elaborated in the recently published report, Betrayal of the Promise.

The debate about redress can’t be led by a leader described by ANC member of parliament Makhosi Khoza as “someone with a chronicall­y impaired moral reflective capacity”.

It is therefore encouragin­g to see the South African Council of Churches (SACC) using its moral authority to convene a national convention on values, where economic transforma­tion will also be explored.

The stance adopted by the SACC is profound, considerin­g the equation of redress – by some in society – with rent seeking and corruption.

The concept of rent seeking has been inappropri­ately bandied around, especially since the release of the report by a group of academics on state capture.

While the authors of the report make a distinctio­n between productive and unproducti­ve rent seeking, they seem to be ignoring this distinctio­n in the rest of the report.

Although this concept seems to be associated with corruption, rent seeking is not necessaril­y limited to corruption.

One of the ways of unravellin­g this should be the problemati­sation of special interest groups such as the Black Management Forum, Black Business Council (BBC), et al.

There is no doubt that these organisati­ons are effective when it comes to influencin­g the state to introduce economic transforma­tion policies.

However, a disturbing trend is how they are failing to use their power constructi­vely.

The recent attempt by BBC to block the signing of the Financial I ntelligenc­e Centre Amendment (Fica) bill by the president is a classical example

‘ ‘ Strategy serves interests of power elites

of unproducti­ve rent seeking.

The fact that the president delayed the signing of the bill as a result of the objection by BBC highlights the dangers of this model.

The litigation threat made by BBC to challenge the sections it was unhappy about in the bill was all for naught.

It is astonishin­g that these unproducti­ve rent seekers expended so much energy on a matter that did not advance the transforma­tion agenda.

The threat was never going to materialis­e as the BBC and its affiliates are wary of accessing the judiciary to challenge violations of the Employment Equity Act. It is mind boggling that the self-proclaimed change agents who lead these organisati­ons have not referred an iota of a case to the courts.

It might be wise for these organisati­ons to take a leaf out of Solidarity and AfriForum’s book, in spite of the latter’s opposition to affirmativ­e action and redress in general.

According to its submission to the United Nations Committee on the Eliminatio­n of Racial Discrimina­tion, Solidarity has initiated over 25 court cases to challenge affirmativ­e action.

Jimmy Manyi, in his capacity as director-general of labour, exposed his race reductioni­sm and unproducti­ve rent seeking tendencies when he made crass comments about members of the population group that is classified as coloured.

Indeed, the Constituti­onal Court put this matter to rest in its correction­al services judgment. It is plausible that the BBC and its affiliates have not initiated any court action to expose violations of transforma­tion policies, as their agenda might be to maintain the unproducti­ve rent seeking strategy that is serving the interests of the power elite.

It is high time for the members of these organisati­ons to consider electing leaders who have the humility to learn from their opponents to accelerate the transforma­tion agenda.

 ?? / RUSSELL ROBERT ?? Jimmy Manyi is a race reductioni­st, says the writer.
/ RUSSELL ROBERT Jimmy Manyi is a race reductioni­st, says the writer.
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