Shut down the construction mafia, build new cities

With unemployment identified as South Africa’s greatest national challenge, the potential to create five million jobs over the next decade lies partly within two critical sectors: construction and manufacturing. This ambitious target emerges from a nine-month research project undertaken by News24 and The Africa Centre, which consulted more than 70 influential South Africans across academia, business and civil society to identify tangible solutions for job-rich growth.

Construction, contributing 2.7% to GDP and employing 1.3 million people, has R230 billion in planned projects that could create 300 000 to 400 000 jobs over the next decade if executed efficiently. However, the sector faces major obstacles including the construction mafia (which has disrupted R60 billion worth of projects), slow government approvals, and corruption.

Manufacturing, contributing 13% to GDP and employing 1.6 million people, serves as the economy’s most complex growth engine with strong multiplier effects. It offers stable employment and skills development pathways from entry-level to technical roles. The automotive industry alone employs 500 000 people across its value chain.

The research reveals that crime and corruption alone drain 12% to 15% of GDP, while dysfunctional institutions continue to stifle both sectors. Success requires dismantling criminal networks, streamlining approvals, fixing municipalities, and investing in skills training. Combined, these sectors could generate over 800 000 jobs – a significant contribution toward the five million job target – through practical solutions that remove blockages inhibiting job-rich growth.

News24’s On the Record summit in Cape Town this March will explore these findings further, connecting skilled leaders across sectors with the power to implement change.

In this week’s edition of Friday Briefing we consider the research on what needs to be done to get the construction industry back on track. Read the research here. We also investigate the manufacturing industry. You can read the full article here.

As a bonus this week, we examine the battle for Johannesburg.

ActionSA’s Herman Mashaba has officially thrown his hat into the ring for the Johannesburg mayoral race, setting up what promises to be a compelling contest. In-depth writer Muhammad Hussain sat down with the former mayor to explore his vision and ambitions for the City. You can read the full Q&A here.

The race becomes even more intriguing with the DA’s Helen Zille also vying for the position. Editor and political journalist Qaanitah Hunter analyses this high-stakes showdown between two formidable political figures, examining the strategic challenges each candidate must navigate in the months leading up to the local government elections. Read her insights on what both Mashaba and Zille need to consider as they prepare for this crucial political battle here.

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