The business–government partnership that mobilised private-sector capacity during Covid-19 and more recently to tackle crises such as load‑shedding has moved into a third phase, targeting growth and the repair of Johannesburg’s commercial systems. But that evolution risks diminishing the initiative’s legitimacy, according to a recent editorial analysis.
Phase three broadens the partnership’s remit beyond emergency response to include sectors such as mining, tourism and agriculture, and an explicit focus on economic growth and fixing Joburg. The move reflects a shift from short‑term crisis management to a longer‑term developmental agenda — an ambition that carries political and social complexity.
Why legitimacy is at stake
The editorial argues the partnership’s growing influence has exposed several structural weaknesses that could undermine public trust and the effectiveness of co‑operation between business and state. Key concerns include:
- Exclusionary participation: the arrangement is said to exclude important constituencies such as black businesses, labour and community stakeholders, raising questions about inclusivity and representation.
- Ministerial resentment: some ministers reportedly view the partnership as encroaching on constitutional mandates, leading to reluctant co‑operation and periodic calls for presidential intervention to secure cabinet buy‑in.
- Failure of existing forums: the National Economic Development and Labour Council (Nedlac) is described as ineffectual, with a limited recent record apart from the national minimum wage; it has reportedly failed to broker a social compact or process multiple labour law amendments, which has fuelled frustration.
"When the house is on fire, it would be criminal for those with buckets of water to sit by and do nothing to put out the fire."
The editorial acknowledges that private‑sector intervention during acute crises was often necessary and effective. During the pandemic, businesses supported vaccine roll‑out and delivered relief to workers who lost income. Following the pandemic, the private sector assisted with the three major impediments the editorial identifies to economic recovery: load‑shedding, a broken freight logistics system and crime and corruption.
Mixed track record on national challenges
Progress has been uneven. Load‑shedding has eased from its worst levels, but the freight logistics system remains fragile and crime and corruption continue to hinder investor confidence and service delivery. The editorial notes a hopeful development: the Madlanga commission, investigating corruption within the criminal justice system, appears to be having a positive effect on anti‑corruption efforts.
Despite these selective successes, the editorial warns that the partnership’s perceived exclusivity weakens its moral authority and practical reach. If key partners — notably black business, organised labour and communities — remain marginalised, policy outcomes risk being narrower and legitimacy may erode, particularly among those who feel excluded from decision‑making.
What this means for households and jobs
At household level the stakes are concrete. A partnership that secures faster solutions to logistics bottlenecks, reduces crime and sustains progress on electricity reliability can lower costs for firms and consumers, help stabilise prices and protect jobs. Conversely, a partnership that lacks broad buy‑in could produce uneven benefits focused on established corporate interests rather than the wider labour market, limiting job creation and leaving ordinary households with little input on priorities.
The editorial’s critique underscores a central political economy challenge: co‑operation between government and business can be a powerful instrument for mobilisation in times of crisis, but it must be structured to reflect South Africa’s constitutional and social commitments. Without that, even well‑intentioned initiatives risk aggravating the very inequalities and institutional distrust they aim to remedy.
As phase three unfolds, the partnership faces a test of whether it can expand its membership and processes to be genuinely inclusive — and thereby preserve both effectiveness and legitimacy.
