The National Union of Mineworkers (NUM) used to be located close to COSATU center. A mineworker was more than just an underground earner. Due to their proximity to the nation's economic engine, organised mineworkers held significant influence in South Africa. Besides wages and salaries, they fought over wealth distribution and South Africa's economic future.

The National Education, Health and Allied Workers' Union (NEHAWU) and other public-sector unions seem to be at the center of COSATU's current focus. This is not a grievance against public employees. The tasks that every society requires are performed by teachers, nurses, medical professionals, and other public servants. More importantly, what does this shift tell us about the economy and what happened to industrialisation, which was meant to improve workers' futures?

When factories close, where do the jobs go?

Economic opportunity and political freedom were the promises that came with the South African democratic transition. The nation would produce more of what it needed, more people would have access to decent jobs, and industrial growth would lessen the severe inequality left behind by apartheid.

However, a robust industrial economy has not always followed political freedom. Young people are unable to find jobs after completing their education, and manufacturing has not increased its role in the economy. Deindustrialiation and the need to restore productive capacity are recognised by the government's own industrial policy.

Therefore, COSATU's shifting equilibrium is crucial. As public-sector unions gain prominence, and industrial unions that once organised workers closer to production weaken, who will keep the nation's pressure on factory development, local production, and new employment?

The issue is not NEHAWU versus NUM

Deindustrialisation is not the fault of NEHAWU. The decline in industrial employment is caused by a variety of causes, such as investment decisions, infrastructure problems, global competition, technological developments, and the choices taken by subsequent governments and businesses. Union expansion in the public sector did not cause any of these problems.

Moreover, classifying employees as "productive" or "unproductive" is incorrect. Teachers play an important role in preparing the next generation of engineers and craftspeople. Nurses protect the health of workers. Health care, education, and public administration are essential for a healthy economy. These services, however, are dependent on a strong economy.

Governments cannot replace a variety of businesses that manufacture goods, develop technology, export commodities, and create jobs across supply chains, even though these businesses are able to employ people and provide the necessary services. Long-term public compensation and services require an economy that generates income and taxes. A country cannot solve a shortage of productive jobs simply by expecting the state to carry more and more of the employment burden.

A wage increase matters. So does the next generation’s future.

Fair compensation, safe working conditions, and job security are the rights of every employee. These are significant issues that impact families' ability to pay for housing, food, transportation, and education. However, a labour movement must also consider the future of today's workers' offspring. If there aren't enough jobs, what does qualification mean? If factories aren't growing, what prospects do young people with technical training have? When mines close and no industries emerge, what happens to communities? What benefits does collective bargaining provide to millions of jobless people without a place to organise?

Wage negotiations alone cannot provide answers to these questions. Manufacturing, mining beneficiation, railroad engineering, energy, construction, agricultural processing, logistics, and technology all need an industrial plan that generates jobs. These industries have the potential to directly employ people and generate additional employment opportunities for suppliers, small enterprises, engineers, craftspeople, and transportation operators.

COSATU’s bigger responsibility

It is anticipated that COSATU's raison d'être is to bring together all workers in all industries without caving in to the power struggles of the political elite. It should bring them together behind a common objective: building an economy that sustains decent jobs and strong public services.

Consider the railways. A well-functioning rail system can do more than just transport people and goods. It can generate demand for locally produced rolling stock, signalling equipment, maintenance, steel goods, engineering services, and technical skills if it is well planned. The same idea holds true for public investments in energy, water infrastructure, and other areas: wherever possible, spending should be linked to developing local capacity and producing long-lasting results.

Announcements of policies and speeches are insufficient. COSATU should pressure business and government to establish clear objectives, including what will be produced locally, what productive investments will be made, how many jobs will be created, what training will be offered, and how workers and communities will benefit. Development funding must support the growth of viable, productive projects, while public procurement should promote domestic capacity when it is appropriate and competitive.

Additionally, the Federation needs to communicate with people outside its current membership. Even if they are not members of a union, young people, unemployed people, informal workers, and workers in precarious positions all have a stake in industrialisation. A labour movement that wishes to influence the future must focus on both preserving current jobs and fostering the creation of more respectable jobs.

What happened to industrialisation?

The transition from NUM's historical significance to increased public-sector influence within COSATU ought to be interpreted as a cautionary tale about how the economy is evolving. It raises a challenging question: can organised labor continue to have a significant influence on what South Africa produces, how it produces it, and who benefits from it as industrial employment declines?

South Africa does not require inadequate public services. A robust, self-sufficient economy is necessary. For monetary and fiscal policies to be consistent with the industrial strategy, there must be a cohesive labour movement. It requires a partnership that links their interests to production, investment, skills, and good work.

A labour movement cannot be measured solely on the basis of the salaries it secures for its current workforce. It must also be assessed whether it contributes to the development of an economy where more people find dignified and safe employment.

The question is whether COSATU can revitalise its contribution to the fight to revive the productive economy of South Africa. The workers of the past fought for a fair share of the wealth produced in mines and factories. Today’s workers—and tomorrow's—need those mines, factories, railways, and industries to be productive, modern, and capable of creating jobs.

What happened to industrialisation? And who is going to put it back at the center of South Africa’s future?

Written by Bongani Mankewu, Director of the InfraFIN Advisory Institute