The initiative aims to stimulate job creation, enhance employability of the unemployed and preserve existing jobs, while also improving operational efficiencies of companies in distress.

The programme has similar objectives to the controversial now defunct R5 billion ($270 000) public-private job creations scheme led by businessman Mthunzi Mdwaba. Nxesi says the programme is not a ‘silver bullet’ to end unemployment.

The official launch of this programme will take place in Nasrec, Johannesburg, on Saturday.

Nxesi was briefing the media earlier in Pretoria. “Ladies and gentlemen, labour activation programmes are not a silver bullet to end the challenge of unemployment, but there is a viable force multiplier that can be used together with other initiatives and interventions as part of the response to mitigate unemployment.

“Therefore, after much consultation and contemplation, we’ve decided to invest substantially in partnership with the private sector to create thousands of employment opportunities.”

--SABC--