Options that should be taken into consideration when devising a comprehensive social security system that would include children

Congress of South African Trade Unions submission

COSATU has long called for the introduction of a basic income grant (BIG). The key aim is to alleviate poverty, but the grant would also have a broader developmental effect. It would provide a degree of household and community stability, laying the foundation for more productive and skilled communities over time. Moreover, it would ensure that even the poorest households have a little cash, which could contribute to their economic potential.

The BIG would involve a relatively small sum ‘€“ between R100 and R200 ‘€“ paid to all individuals, without exception, every month. Its aim to overcome the deficiencies of the current social grants, and more broadly in the social wage as a whole. Critical aspects to achieving this end include universal coverage and sustainability.

Universal coverage would:

minimise administrative burdens;

favour larger households, which tend to be poorer and have greater needs;

ensure that woman and young people are included as they would be paid directly, increasing their power and autonomy within the household economy;

reach the working poor as much as the unemployed such as farm and domestic workers;

reduce the risks associated with the dole ‘€“ that is, a disincentive to work and stigmatisation;

reduce the risk of corruption.

Black Sash

Option 1 ‘€“ A single child care grant

Each component of the current system of grants for children has an important role to play. The problem is that they are not comprehensive enough and are not operating to their potential.

The Black Sash believes that the most comprehensive solution would be to completely revise the system of grants for children and introduce a single comprehensive child care grant which would be available to all children with additional components for children in need of care and/or children with disabilities.

This would be far easier to administer and would ensure a more equitable distribution of resources. However, the proposal would only work if each element of the current system, child support, foster care and care dependency, were retained with greater clarity around the purpose of each.

Black Sash have made further suggestions to address the immediate difficulties facing children:

Option 2 ‘€“ Revision of existing grant structure

Child Support Grant

Increase it to at least R140 per child

Increase the age limit so it reach all children up to grade 7

Plan for progressive increases

Lesser provision for older children in education ‘€“ a lower amount of R100 should be made available for children up to grade 12

Research an objective measure of need

Link the grant to inflation

Ringfence the Child Support Grant allocations to the provinces

Improve inter-departmental programmes and co-operation such as nutritional feeding schemes, subsidised school and free health care

Remove limits to numbers of eligible children in a household

Abolish the means test, resolving many of the administrative difficulties

Assess the impact of poverty alleviation programmes

Implement general poverty alleviation measures

Consider other forms of support for child headed households such as housing subsidies.

Care Dependency Grant

One option is that this grant should be awarded on a needs basis rather than by focussing on the level of disability. A second option is that the eligibility criteria should be broadened to cover severe chronic illnesses including AIDS and moderate disabilities.

It should be fast tracked as there is a huge delay in the processing of grants with many AIDS infected children not surviving the waiting time.

The home care criteria should be removed allowing the individuals to choose and control their own empowerment. Presently, children who attend day care centres are not eligible to receive the grant.

Disability should be defined referring to the World Health Organisation definition that will be released this year.

The cash payment should be supplemented by other benefits which would include:

free healthcare up to 18 years of age

food vouchers

transport vouchers

nutritional scheme for day centres

development of empowerment and support schemes for the care giver

subsidised schooling

Foster Grant Recommendations

Clarify the purpose of the grant

Simplify foster care procedures

Consider subsidised adoptions

More substantive provision for informal carers

Black Sash points out that access to the three grants needs to be improved in rural communities by implementing the following measures:

Mobile units introduced by the Department of Home Affairs and Social Development

Re-deployment of staff by the Department of Home Affairs and Social Development

Retraining of staff on changes in the regulations

Department of Social Development to fund and train non-governmental organisations to render advice and support services to rural communities

Implement a co-ordinated awareness campaign on all three child grants