Youth wage subsidy research project wins prestigious award

The controversial youth wage subsidy, that was proposed in the 2011 budget, was finally launched earlier this year.  A team of researchers, led by ReSEP member professor Neil Rankin, undertook the task of investigation the potential effects of the proposed subsidy. This joint research project between the universities of Stellenbosch, Witwatersrand and Yale recently won the Poverty Reduction Equity and Growth Network (PEGNeT) Best Practice Award for 2014.

The judges chose this project, over a number of others, because of its effective interaction between research and practice and its success in translating research into action. They were particularly impressed by how the research undertaken as part of this project helped inform the design and implementation of South Africa’s Youth Employment Tax Incentive which was introduced earlier this year.

The judging committee consisted of Ms Sonja Kurz from the Deutsche Gesellschaft fuer Internationale Zusammenarbeit (GIZ), Mr Shebo Nalishebo, from the local host, the Zambia Institute for Policy Analysis and Research (ZIPAR), Ms. Natascha Weissert from the German Federal Ministry for Economic Cooperation and Development (BMZ) and Mr. Manfred Wiebelt from the Poverty Reduction Equity and Growth Network (PEGNet).