The Social Relief of Distress Grant: Not Much of a relief after all

Bearing in mind the fact that the food poverty line is R561 per person per month, the temporary CORONA GRANT is far below the amount of money needed by each South African citizen, when it comes to food alone, according to Statistics South Africa (STATS SA). However the question still remains, “Is the corona grant not a necessity that could be provided for the unemployed?”

President Cyril Ramaphosa announced that unemployed South Africans who have never been employed will receive a monthly grant of  R350 for the next six months – the first benefit of its kind in the country, also stating that some ten million South Africans could be entitled to the grant effectively starting early in May. However arguments still fly across societies as well as on social platforms concerning the amount not being enough to the prevention of hunger in the country.

Calculations of the distress grant are simplified as a tenth of the national minimum wage which, in the 1^st of January 2019, came into effect being R3,500.

Similar to many other countries, South Africa has already introduced a supportive dynamism to fortify the economy through the lockdown and the economic paralysis instigated by the corona virus, the country having launched various tax breaks, as well as a special Covid-19 payout via the Unemployment Insurance Fund (UIF). This, regardless of the R350 Corona grant, is catered for unemployment benefit recipients.

South Africa has joined along with the flock that practice a cash payout, but at a lower level. Over the period of six months, in total, unemployed recipients will receive R2,100.

• Malaysia – The lowest income families got a once-off payment of around R7,000.
• United States – Citizens who earn up to $75,000 (around R1.3 million) a year received a cheque of $1,200 (R21,600).
• Hong Kong – A cash payout of HK$1,000 (R23,000) was made to each citizen
• Japan – Payments of 100,000 yen (R17,600) for every citizen are planned.
• Singapore – A one-time cash grant of 600 Singapore dollars (R8,000) to lower-and middle-income residents was paid.
• Canada – Citizens who have suffered losses due to the corona virus crisis, will get 2,000 Canadian dollars (R21,600) a month for four months.