Tuesday, July 18, 2006

React, over react, over apologize

Yesterday I pondered the level of diversity in South Africa and how the healing process has continued. Today I have discovered the answer and I was very surprised. Keep in mind that over 12 years ago this country had to shake itself from a series of government that was clearly prejudicial and kept an entire race artificially down. Education, jobs, and housing were all reserve for the elite class. Now those former people are called PDIs or Previously Discriminated Individuals. To rectify the errors of the past ALL companies in South Africa had to have 75% of management at all levels to be staffed by PDIs. Now while in theory this sounds like a great way to equalize the classes and rights and wrongs from the past but consider the fact you now have an entire generation of under trained and under educated individuals that are artificially placed in senior positions. These individuals in many situations are not able to do the positions to the level of excellence required in fact many of them struggle with basic aspects of their job, or so we heard. Many people think this would have been much more effective as a sliding scale where over time they increase requirements but of course that would not appease the emotions at the time and thus to many an overreaction was in order. Thus there is now a huge amount of bitterness when companies that used to be very effective and profitable having taken huge steps backwards as top performers who happen to be white are replaced with outside individuals some of whom have never worked in the industry or in any professional job. Clearly there is bitterness from the PDIs for the past and now extreme bitterness of the whites who are just trying to live their own life.

Also an interesting observation is the huge shanty towns that have been erected inside J-burg as Johannesburg is referred to locally. These shanty towns are approximately 80% immigrants from other African countries here due to the large number of jobs and approximately 20% locals. The interesting thing is that everything in these shanty towns are completely provided by the government including food, healthcare, and all other social services. The government has taken land from farmers (at sub market rates) and built low income housing that can be purchased using interest free loans available to all, but a majority sit empty because once they move into these units they no longer qualify for all the social services. A self perpetuating cycle that is very sad to see especially given the unbelievable size and scale of these areas.

On a slightly more positive observation, my hotel is directly next to a major casino. We went inside for a quick dinner last night and it is amazing how similar this casino is compared to Vegas. The same sky looking ceiling, shops and stores. One could imagine we just walked into the Venetian and not tens of thousands of miles away in South Africa. Another interesting aspect is huge billboards encouraging citizens to help support a better South Africa by actually paying their taxes. We might look at this and laugh for who among us can afford to simply not pay taxes but apparently quite common out here especially since it is very hard to prosecute or even find those that evade. Thus if you get a ticket for speeding, you actually go to jail and see the judge that day to decide sentence or fine. Simply they can’t afford to give a ticket that may or may not be paid as they can not execute as effectively on warrants. This makes you immediately think of crime, which is why every home and business has massive 10 foot fences with brand new looking barbed wire and menacing signs identifying these premises guarded and secured by armed guards. The scary thing is this is not bluster, armed guards at all private establishments. Like the past this country is still a country filled with polar opposites of the haves and the have nots. This is not something that will change overnight and looking at the United States as an example of deep seeded bitterness not something that will change in decades but rather entire generations.

More observations as the trip continues.

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