The Democratic Alliance, a member of the coalition government, is challenging the legality of Pretoria's Employment Equity Act in court

The DA federal chairperson, Helen Zille, claims investors told them that the government policies including the Employment Equity Act were driving them away from investing in the economy.

According to Zille, the unemployment rate contributed to investors taking their money elsewhere. She blamed this on the government, saying it was because of its "failed" policies that discouraged growth.

"That was not their intention for sure but it is the effect. We have done many surveys of potential investors who decide not to invest in South Africa. They name electricity uncertainty and racial laws as the primary factors driving them away," she said.

Zille was addressing the media ahead of its court case against the Employment Equity Act. The DA will challenge the Act at the Pretoria High Court on Tuesday.

The party argued the Act threatens fair access to jobs and economic growth.

"Jobs are created by companies that invest in South Africa. The draconian labour regime created by the Employment Equity Amendment Act will continue to drive away investment and predictably increase unemployment.

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"Companies and potential investors have repeatedly cited these social engineering laws as major barriers to investment and growth. It is completely senseless to knowingly intensify a discriminatory regime that has already failed so spectacularly to empower economically marginalised people," she said.

Zille said her party was keen on supporting a redress system that would allow economic growth, create jobs, and improve the education and training system.

Section 15(a) outlines affirmative action measures which intended to ensure that suitably qualified employees from designated groups have equal employment opportunities and are equitably represented in all occupational levels of the workforce.

The DA argues that the act would reduce people to statistics, ignoring talent and effort.

First published by IOL