The Free Market Foundation (FMF) has urged the government to relax its labour policies in a bid to ease trade, boost economic activity and create much-needed employment. This comes as South Africa slipped down the rankings of the Economic Freedom of the World: 2021 Annual Report, falling into 84th position out of 165 countries.
The report measures economic freedom – levels of personal choice, ability to enter markets, security of privately owned property, rule of law – by analysing the policies and institutions of 165 countries and territories.
South Africa’s scores in key components of economic freedom were the size of government, legal system and property rights, access to sound money, freedom to trade internationally, and regulation of credit, labour and business. The report was released by the FMF in conjunction with Canada’s Fraser Institute yesterday, but was based on 2019 data, the most recent comparable data.