Today's signal is more of a trend (or "trend confirmation" as we say Flux Trends when we're feeling smug and/or sad, as in today's case). It refers to the promised tax boycott in Durban, where rates payers are paying their property rates and service bills into a community account rather than paying the municipality, which has failed to provide services in exchange for those rates for too long now.
Social contract breakdown and vigilante tax payers are nothing new for South Africa - in 2021 a North West community won the legal right to take over water and sewerage maintenance (and billing) from its own filling municipality.
Social contract break down, wherever it is (San Fransico, anyone? As I have said many times, the rest of the WEIRD West should take South Africa as a promise and a threat - a leading indicator of their own future to come if they reside to learn our lessons) will only be tolerated so far before citizens push back.
How much further can you bend?
Do you feel like your social contract is fair? Or are you paying too much and getting too little?
What risks does social contract breakdown pose for your business, and indeed any company that is trying to operate as rule of law breaks down? (hint, investors love certainty - uncertainty kills businesses)
Do you think tax revolts in the face of social contract break down are useful or hurtful for society, democracy and the economy?
I'd love to know your thoughts - but I have a few of my own in my "The Future of Us" keynote which unpacks social contracts and what they MEAN to us as individuals, companies and societies (and what you can do to strengthen yours). If you'd like to book it, or come along to a preview in Cape Town on the 23rd of August, mail me at bronwyn@fluxtrends.co.za and we'll sort you out.
It's only the future. Our future.
Read more:
Social contract cracks : https://whatthefuturenow.com/portfolio/the-social-contract-cracks-business-day/
Our future - a conversation : https://fluxtrends.com/our-future-of-us-salon-is-coming-to-cape-town/
Rate strikes back : https://www.news24.com/news24/southafrica/news/durban-revolts-civic-groups-launch-ethekwini-rates-boycott-in-what-the-city-calls-a-mob-mentality-20230802
The co-dependent class is the key : https://whatthefuturenow.com/2023/07/11/the-great-divide-and-the-disappearing-co-dependant-class/
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