The department of social development yesterday vowed to work together with labour unions to ensure the establishment of the National Social Security Agency (NSSA) would not lead to job losses.

Director-General Vusi Madonsela said the department would also work closely with all relevant people to ensure "smooth" running of the agency, that would pay out more than R50-billion in social grants.

Social Development Minister Zola Skweyiya announced on Thursday the agency would be established to eliminate fraud and corruption in the paying of social grants and also to enhance service delivery.

Labour unions have since expressed fears that the establishment of the agency would result in job losses.

Madonsela and Fezile Makiwane, NSSA acting chief executive, were also expected to visit all the nine provinces to "consult and engage various stakeholders (including MECs) with regard to the process of starting the new agency".

"It is our belief that the establishment of the NSSA will in fact create more jobs rather than lead to job losses," said Madonsela. - Sapa