Date: 16/08/2003
Source: Department of Labour
Title: Mdladlana: Cicira College of Education, Umtata
SPEECH BY THE MINISTER OF LABOUR, MMS MDLADLANA, AT THE GALA DINNER OF THE CICIRA COLLEGE OF EDUCATION, Umtata, 16 August 2003
Master of Ceremonies, the Premier, Mayors, Members of the Executive Council, representatives from organised labour, organised business, non-governmental organisations, the political constituencies, the media, other distinguished guests and colleagues,
It is indeed a great pleasure and honour to address you this evening
I was brought up in the Eastern Cape and as such it always gives me particular pleasure to return home. This return is also welcome because of the vital importance of the Eastern Cape. The province can be regarded as a microcosm of the most serious challenges that face our democracy as we approach the tenth year of freedom in South Africa.
The Eastern Cape has the highest unemployment rate in all of South Africa's provinces and shares with the Free State the highest headcount poverty index. The Eastern Cape is a rural province with only 36.6% of the total population living in urban centres as compared to the national average of 54%. In 1999, the overall provincial unemployment rate hovered at 30% while nationally this figure was approximately 23%. However, it should be noted that unemployment rates vary significantly within the regions of the province - and estimates have put the figure as high as 70 percent for the black working population in the rural communities. These statistics highlight the enormous social and economic dislocations in the provincial labour market.
This is the context in which the Department and myself have to operate when it comes to delivering on the ANC's priority of a better life to all our people, including those of the Eastern Cape.
The government at local, provincial and national level is making a series of sustained, coordinated interventions as part of an over-all programme to address these challenges. Tonight, I want to focus on some of the activities of the Department of Labour - particularly those in this province - in ensuring delivery.
The Department of Labour's mission is to reduce unemployment, poverty and inequality through a five-fold set of policies and programmes aimed at:
* Improving economic efficiency and production
* The development of skills and employment creation
* Sound labour relations
* Eliminating inequality and discrimination in the workplace
* Alleviating poverty in the workplace.
Tonight, I wish to focus on the second element - skills development and employment creation. However, before I discuss these specifics, I need to make some broad points about overall policy and programmatic interventions into the labour market.
As I will have no need in reminding an audience from the Eastern Cape, our labour market is defined by the legacy of apartheid - without going into details the oft quoted Irish Coffee analogy of the mining industry remains an apt description. However, it does fail to capture some essential features of the market, namely gender disparities, discrimination against both people with disabilities and those living with HIV/AIDS and the huge pools of unemployed people deliberately created by this system. Another key element that it does not capture is the disregard apartheid engendered in employers for the conditions under which workers have to operate - this finds expression in issues such as inadequate or non-existent health and safety measures, too low wages or to the belief that the right to dismiss is inalienable.
All our interventions at all levels are to a greater or lesser degree defined by having to address this legacy. In any discussion on my Department's activities let us not forget this.
The other point I need to make is that this government, as part of the commitment to deepening democracy, is committed to dialogue. We understand the role negotiations played in bringing about this democratic order, just as we understand the path leading to those negotiations and all the elements that influenced the outcomes.
In labour - at the political and administrative level - the notion of negotiations is extended to that of partnership. We design, implement and enforce our policies and programmes in partnership with three identified constituencies; organised labour, organised business and the community.
These partnerships operate at different levels and I would like to take you through some examples.
As from Monday my inspectors will be visiting the homes of people throughout the country. The purpose of these visits is to ensure that labour legislation - particularly the sectoral determination and the Unemployment Insurance Act - is being implemented by the employers of domestic workers.
Now, the UI Act was thrashed out by the social partners at National Economic Development and Labour Council - or Nedlac - before it was promulgated in 2001. After promulgation, a constant dialogue took place between government and social partners highlighting areas of weakness in the legislation. Amendments to correct these weaknesses have just been presented to Parliament after having been discussed at Nedlac.
In the initial UI Act, provision was made for the incorporation of domestic workers. The domestic worker sectoral determination - emerging from the Basic Conditions of Employment Act - also involved stakeholder consultation and was developed in partnership.
The approach to next week's inspections is also one through partnership - my inspectors are visiting the employers of domestic workers not only to check levels of compliance, but also primarily to assist employers in achieving compliance. These inspections are taking place in every province. There are safeguards against criminals exploiting the situation. If a person claiming to be an inspector arrives at your house, demand to see identification and should you have any doubts contact your nearest labour centre.
Another manifestation of partnerships that I should mention is the Growth and Development Summit. This national event, where labour, business, government and the community, came together to develop focused interventions that would deliver targeted solutions to issues of economic growth, sustained development and job creation. These interventions were developed in the context of the recognition among social partners that the Freedom won in 1994 has brought new opportunities. The challenge is to ensure that we expand them and bring them in the reach of all our people. There is also an acknowledgement of the progress made in rebuilding our economy, but the task is not complete. The economically active population has grown faster than the jobs we created. Our economy needs more and more skilled workers and skills training is critical.
Agreements reached - with the social partners commitment to building enduring partnerships that will address urgent challenges - can be broadly grouped into the following areas:
* All social partners have made commitments to work for more jobs, better jobs and decent work for all in specific areas
* All social partners have made commitments to work towards addressing the investment challenge in the economy in specific areas
* All social partners have made commitments to advancing equity, developing skills, creating opportunities for all and extending services, focusing on specific areas
* All social partners have made commitments to engage in local action and implementation for development in specific areas
Government's commitments on the issue of job creation include Public Investment Initiatives - with a an emphasis on infrastructural development, particularly labour intensive projects in rural areas - and Expanded Public Works Programmes. While the issue of investment challenge will include a review of current policies that maybe discouraging Foreign Direct Investment and the implementation of the agreement to invest up to 5% of investable income of institutional funds for productive purposes. While local action and implementation for development, will see an expansion in the number of MPCCs from 37 to 60 over the next 18 months and the strengthening of the Imbizo and Letsema Campaigns, coupled with the strengthening local government.
The Department's commitments are primarily located within the advancement of equity, developing skills, creating opportunities for all and extending services, focusing on specific areas.
The Department is also committed to the delivery of a communication campaign on the Employment Equity Act, and I can assure everybody here that a significant component of this campaign is the enforcement of the provisions of the Act.
The Summit made commitment on joint partnerships with business to promote learnerships in the private sector and the public service for at least 72 000 unemployed learners by May 2004. This is coupled with the firm commitment by private sector employers - as well as government departments - to taking on young, unemployed people into learnerships.
The Strengthening the Sectoral Education and Training Authorities and the Promotion of literacy where government has expanded access to literacy programmes through Adult Learning Centres and other providers.
During my visit to the Eastern Cape I have focused on projects that develop skills and create employment. I must emphasise that I am very excited by these projects - particularly the Thutuka Project at the University of Fort Hare, which will develop a cadre of accountants from previously disadvantage backgrounds - and I wish to outline some of the sterling work done in the Province.
The government has made tremendous strides in trying to address the challenges of social development and poverty reduction.
For the period 1999 to June 2003, this province allocated R202 million from the Social Development Funding Window of the National Skills Fund to train over 106 000 unemployed and under-employed people. Eighty-nine percent of those trained have been placed in formal employment and job-creation projects.
The issue of gender is also being taken seriously in the province with 60% of the trainees being women. Furthermore, 1.8% or 1 544 of the trainees have disabilities, while 95% of the trainees were African. It is clear that in most instances equity targets are being exceeded.
There are still a number of challenges, not least of which is ensuring that more people with disabilities benefit from these projects and ensuring the projects are both sustainable and deliver long-term employment solutions.
This Eastern Cape Imbizo is an opportunity for me to hear first hand from the people in the communities on the challenges they face and not just those relating to skills development.
I expect to hear directly from them how far we are in terms of meeting the ambitious goals we have set ourselves in delivering a better life. These visits give me the chance to assess both the effectiveness of our legislation and the effectiveness of my staff in the Department.
It is here in the Eastern Cape that delivery faces it acid test and as such - ladies and gentlemen - it is here where we will meet and surmount or greatest challenges, ensuring that in partnership we can stride towards an equitable and fair labour market for all South Africans.
I thank you
Source: Department of Labour (http://www.labour.gov.za)
Source: Department of Labour
Title: Mdladlana: Cicira College of Education, Umtata
SPEECH BY THE MINISTER OF LABOUR, MMS MDLADLANA, AT THE GALA DINNER OF THE CICIRA COLLEGE OF EDUCATION, Umtata, 16 August 2003
Master of Ceremonies, the Premier, Mayors, Members of the Executive Council, representatives from organised labour, organised business, non-governmental organisations, the political constituencies, the media, other distinguished guests and colleagues,
It is indeed a great pleasure and honour to address you this evening
I was brought up in the Eastern Cape and as such it always gives me particular pleasure to return home. This return is also welcome because of the vital importance of the Eastern Cape. The province can be regarded as a microcosm of the most serious challenges that face our democracy as we approach the tenth year of freedom in South Africa.
The Eastern Cape has the highest unemployment rate in all of South Africa's provinces and shares with the Free State the highest headcount poverty index. The Eastern Cape is a rural province with only 36.6% of the total population living in urban centres as compared to the national average of 54%. In 1999, the overall provincial unemployment rate hovered at 30% while nationally this figure was approximately 23%. However, it should be noted that unemployment rates vary significantly within the regions of the province - and estimates have put the figure as high as 70 percent for the black working population in the rural communities. These statistics highlight the enormous social and economic dislocations in the provincial labour market.
This is the context in which the Department and myself have to operate when it comes to delivering on the ANC's priority of a better life to all our people, including those of the Eastern Cape.
The government at local, provincial and national level is making a series of sustained, coordinated interventions as part of an over-all programme to address these challenges. Tonight, I want to focus on some of the activities of the Department of Labour - particularly those in this province - in ensuring delivery.
The Department of Labour's mission is to reduce unemployment, poverty and inequality through a five-fold set of policies and programmes aimed at:
* Improving economic efficiency and production
* The development of skills and employment creation
* Sound labour relations
* Eliminating inequality and discrimination in the workplace
* Alleviating poverty in the workplace.
Tonight, I wish to focus on the second element - skills development and employment creation. However, before I discuss these specifics, I need to make some broad points about overall policy and programmatic interventions into the labour market.
As I will have no need in reminding an audience from the Eastern Cape, our labour market is defined by the legacy of apartheid - without going into details the oft quoted Irish Coffee analogy of the mining industry remains an apt description. However, it does fail to capture some essential features of the market, namely gender disparities, discrimination against both people with disabilities and those living with HIV/AIDS and the huge pools of unemployed people deliberately created by this system. Another key element that it does not capture is the disregard apartheid engendered in employers for the conditions under which workers have to operate - this finds expression in issues such as inadequate or non-existent health and safety measures, too low wages or to the belief that the right to dismiss is inalienable.
All our interventions at all levels are to a greater or lesser degree defined by having to address this legacy. In any discussion on my Department's activities let us not forget this.
The other point I need to make is that this government, as part of the commitment to deepening democracy, is committed to dialogue. We understand the role negotiations played in bringing about this democratic order, just as we understand the path leading to those negotiations and all the elements that influenced the outcomes.
In labour - at the political and administrative level - the notion of negotiations is extended to that of partnership. We design, implement and enforce our policies and programmes in partnership with three identified constituencies; organised labour, organised business and the community.
These partnerships operate at different levels and I would like to take you through some examples.
As from Monday my inspectors will be visiting the homes of people throughout the country. The purpose of these visits is to ensure that labour legislation - particularly the sectoral determination and the Unemployment Insurance Act - is being implemented by the employers of domestic workers.
Now, the UI Act was thrashed out by the social partners at National Economic Development and Labour Council - or Nedlac - before it was promulgated in 2001. After promulgation, a constant dialogue took place between government and social partners highlighting areas of weakness in the legislation. Amendments to correct these weaknesses have just been presented to Parliament after having been discussed at Nedlac.
In the initial UI Act, provision was made for the incorporation of domestic workers. The domestic worker sectoral determination - emerging from the Basic Conditions of Employment Act - also involved stakeholder consultation and was developed in partnership.
The approach to next week's inspections is also one through partnership - my inspectors are visiting the employers of domestic workers not only to check levels of compliance, but also primarily to assist employers in achieving compliance. These inspections are taking place in every province. There are safeguards against criminals exploiting the situation. If a person claiming to be an inspector arrives at your house, demand to see identification and should you have any doubts contact your nearest labour centre.
Another manifestation of partnerships that I should mention is the Growth and Development Summit. This national event, where labour, business, government and the community, came together to develop focused interventions that would deliver targeted solutions to issues of economic growth, sustained development and job creation. These interventions were developed in the context of the recognition among social partners that the Freedom won in 1994 has brought new opportunities. The challenge is to ensure that we expand them and bring them in the reach of all our people. There is also an acknowledgement of the progress made in rebuilding our economy, but the task is not complete. The economically active population has grown faster than the jobs we created. Our economy needs more and more skilled workers and skills training is critical.
Agreements reached - with the social partners commitment to building enduring partnerships that will address urgent challenges - can be broadly grouped into the following areas:
* All social partners have made commitments to work for more jobs, better jobs and decent work for all in specific areas
* All social partners have made commitments to work towards addressing the investment challenge in the economy in specific areas
* All social partners have made commitments to advancing equity, developing skills, creating opportunities for all and extending services, focusing on specific areas
* All social partners have made commitments to engage in local action and implementation for development in specific areas
Government's commitments on the issue of job creation include Public Investment Initiatives - with a an emphasis on infrastructural development, particularly labour intensive projects in rural areas - and Expanded Public Works Programmes. While the issue of investment challenge will include a review of current policies that maybe discouraging Foreign Direct Investment and the implementation of the agreement to invest up to 5% of investable income of institutional funds for productive purposes. While local action and implementation for development, will see an expansion in the number of MPCCs from 37 to 60 over the next 18 months and the strengthening of the Imbizo and Letsema Campaigns, coupled with the strengthening local government.
The Department's commitments are primarily located within the advancement of equity, developing skills, creating opportunities for all and extending services, focusing on specific areas.
The Department is also committed to the delivery of a communication campaign on the Employment Equity Act, and I can assure everybody here that a significant component of this campaign is the enforcement of the provisions of the Act.
The Summit made commitment on joint partnerships with business to promote learnerships in the private sector and the public service for at least 72 000 unemployed learners by May 2004. This is coupled with the firm commitment by private sector employers - as well as government departments - to taking on young, unemployed people into learnerships.
The Strengthening the Sectoral Education and Training Authorities and the Promotion of literacy where government has expanded access to literacy programmes through Adult Learning Centres and other providers.
During my visit to the Eastern Cape I have focused on projects that develop skills and create employment. I must emphasise that I am very excited by these projects - particularly the Thutuka Project at the University of Fort Hare, which will develop a cadre of accountants from previously disadvantage backgrounds - and I wish to outline some of the sterling work done in the Province.
The government has made tremendous strides in trying to address the challenges of social development and poverty reduction.
For the period 1999 to June 2003, this province allocated R202 million from the Social Development Funding Window of the National Skills Fund to train over 106 000 unemployed and under-employed people. Eighty-nine percent of those trained have been placed in formal employment and job-creation projects.
The issue of gender is also being taken seriously in the province with 60% of the trainees being women. Furthermore, 1.8% or 1 544 of the trainees have disabilities, while 95% of the trainees were African. It is clear that in most instances equity targets are being exceeded.
There are still a number of challenges, not least of which is ensuring that more people with disabilities benefit from these projects and ensuring the projects are both sustainable and deliver long-term employment solutions.
This Eastern Cape Imbizo is an opportunity for me to hear first hand from the people in the communities on the challenges they face and not just those relating to skills development.
I expect to hear directly from them how far we are in terms of meeting the ambitious goals we have set ourselves in delivering a better life. These visits give me the chance to assess both the effectiveness of our legislation and the effectiveness of my staff in the Department.
It is here in the Eastern Cape that delivery faces it acid test and as such - ladies and gentlemen - it is here where we will meet and surmount or greatest challenges, ensuring that in partnership we can stride towards an equitable and fair labour market for all South Africans.
I thank you
Source: Department of Labour (http://www.labour.gov.za)
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