By Koketso Mamabolo
“Our generation is so used to getting things quickly that we sometimes forget that to build something of significant value, it will take time,” says Mvelo Hlophe, founder and CEO of Zaio, an online coding school whose graduates work for leading organisations such as Amazon, Wipro and FNB. “Zaio was born to solve the skills shortage in South Africa, and to get my fellow South Africans into employment. Combining this vision with technology was therefore the solution to deliver what we do at scale,” he tells Topco Media.
The new work permit regime announced by the Department of Home Affairs, which includes a digital nomad visa, will likely be a key driving force in addressing this skills shortage. “The immediate economic benefits that South Africa will gain due to the influx of digital nomads is revenue generation as these digital nomads spend on various services and stimulate job creation across sectors like hospitality, tourism, and technology,” explains Mvelo.
Here Mvelo shares his story and the inspiration behind Zaio, as well offering insights on what the digital nomad visa will mean for local coding talent, how we can address the skills gap and more.
The immediate economic benefits that South Africa will gain due to the influx of digital nomads is revenue generation as these digital nomads spend on various services and stimulate job creation across sectors like hospitality, tourism, and technology. This impact will extend to the local talent pool as the digital nomads bring diverse skill sets and global perspectives that local talent can leverage to solve local challenges. So too, will their entrepreneurial spirit within our communities act as catalysts for innovation, fostering a vibrant startup ecosystem that enhances South Africa’s reputation as a tech hub.
However, with these advantages also come challenges, especially regarding the potential displacement of our local coding talent. Digital nomads earn higher salaries and drive up living expenses in city centres like Cape Town and Johannesburg. This results in higher rents and food costs, pushing locals to move to the outskirts and spend hours in traffic to get to their place of work. Because of this decrease in quality of life, lucrative opportunities abroad or even just working remotely for an international company lure many skilled coders. This leads to a depletion of our pool of talented coders, as local businesses find it hard to match the salary packages offered by international rivals.
Local companies will need to step up and adapt their job offerings to compete with attractive international salary packages. Offering benefits, such as flexible work hours and a supportive company culture that can foster a sense of belonging that transcends financial incentives, will go a long way in retaining talent. South African companies should also look at attracting new talent by providing access to on-the-job training, free online learning and mentorship programmes.