[ Home ] [ Speeches & statements ]

Whenever we see the source of light and heat looming from the eastern escarpment of our beautiful land, we know that we have been spared yet another day to rise to the challenge to serve our people. Whenever the intrusive rays of the sun make a breakthrough as they permeate the clouds of the skies, we are also reminded of the breakthrough that we are making in moving our country away from its painful and shameful past to its glorious future. As the light of the sun brightens our path we know that we shall neither stumble nor fall as it enables us to clearly see the path on which we travel, as a people, as a country, and as a nation. Indeed, Madam Speaker, steadily and surely our country is breaking through the historical barriers that have constrained our economic growth. Our beloved country has introduced measures to breakthrough obstacles to job creation, even though we know that there is no quick fix solution to the poverty and unemployment that continues to plague our country. Madame Speaker, these breakthroughs we are making in gradually pushing back the frontiers of poverty and underdevelopment in our land will not escape the attention of anyone who has suffered from the injustices and atrocities of our unenviable and invidious past.

Madame Speaker, only those whose judgement is irreparably impaired would fail to observe the strides we have made, the efforts we have taken and the breakthrough we have made; under extremely adverse conditions; in creating an enabling environment for economic growth, increased labour market efficiency, in fostering high levels of productivity, in promoting stable and sound labour relations, in enhancing the development of skills, in eliminating discrimination and inequalities in the labour market, in improving working conditions; especially for vulnerable workers; and in improving our social safety net. Madam Speaker, in this regard I say without equivocation that our country has and continues to make a breakthrough.

However, key amongst our concerns is the problem of unemployment, which according to the most recent Labour Force Survey of Statistics South Africa has increased by 2.9% to a total of 4.5 million. It is worth noting though that recently analysed data shows that over the period 1995 - 1999, total employment increased by 1.1 million jobs. But, at the same period, some 3.1 million individuals entered the labour market. These figures show that our marginal economic growth over the last decade has not been matched by adequate employment creation. This new challenge that our economy faces is being addressed in the economic cluster of government through various interventions. Trends in the labour market also highlight significant inequalities that prevail in terms of race and gender. For instance 85.6% of the unemployed are Africans, the majority of whom are women. And 71.9% of the unemployed are aged between 15 - 34 years. Of course those who are ideologically opposed to the constitutionally sanctioned rights of workers to decent labour standards, will continue to blame all the ills of our economy on labour legislation. This is in spite of the fact that last year this House as well as the NCOP unanimously passed amendments to the Labour Relations Act (LRA) and the Basic Conditions of Employment Act (BCEA) following a protracted period of negotiations amongst social partners, all of whom agreed that the new changes would go a long way in addressing investors' concerns without creating an environment whereby the rights of workers are trampled upon with impunity. Most stakeholders are agreed that as a deal, the new laws have managed to strike a balance between labour market efficiency and decent labour standards.

One of the key challenges our labour market faces is that the global forces that influence it have reduced the demand for lower skilled workers; which our country has an abundance of; and increased the demand for skilled workers of which we have a short supply. A dire consequence of these changing patterns of labour demands is that there is a significant group of people; mostly black, mostly women, and mostly youth who face long-term unemployment. This is the challenge that our Human Resource Development Strategy and the Skills Development Strategy seek to address.

The National Skills Development Strategy that I launched last year seeks to develop a culture of life long learning, foster skills development in the formal economy for productivity and economic growth, stimulate and support skills development in small business, promote skills development for employability and sustainable livelihoods through social development initiatives; as well as assist young new entrants into employment.

Madam Speaker, while I am the very first to admit that this programme is ambitious, our first year's results demonstrate that if we pull together as a country we can achieve the targets we set ourselves. For instance, our learnership target for March 2002 was 3000 learners. By the 27th of March we had already exceeded the target by 6% and the numbers keep growing - at last count we had 7480 people enrolled in learnerships! This illustrious and magnificent breakthrough gives us confidence that the 80 000 mark we have set for the year 2005 will indeed be met.

Overall the 25 Sector Education Training Authorities (SETAs) which were set up nearly two years ago are functioning well, as is evidenced by the fact that already 87% of the funds under their custodianship has either been paid out or allocated to firms and projects. As can be expected of institutions in their infancy, and governed by social partners, some SETAs have experienced teething problems. The Department is entering into a memorandum of understanding with each SETA which sets out sector specific targets that should be achieved during the year. We have also provided dedicated capacity to assist SETAs to address their institutional challenges and achieve their objectives. Three days ago, as many of you know, I launched 18 strategic projects to be funded out of the National Skills Fund. About R1.1 billion over a 31/2 year period, has been allocated to these projects which seek to fund various skills development initiatives linked to existing or planned jobs or income generating opportunities aligned to government's national employment and growth goals.

Madam Speaker, this is yet another breakthrough we have made at developing our country's human resources and enhancing its competitiveness in the world market.

Madam Speaker, we have also made a laudable and splendid breakthrough in protecting the rights of vulnerable workers. The department has published, for public comment, proposed sectoral determinations for the Agricultural and Domestic sectors. These will be gazetted once I have received and given due consideration to the final recommendations of the Employment Conditions Commission (ECC). The ECC is also in the processes of considering a sectoral determination for the retail sector. A sectoral determination for the Security Industry was published during the year, amending minimum wages and conditions of employment in that sector.

Given the unfair discrimination that people with disabilities are exposed to when seeking employment and even when in employment, the department has published, for comment, a Code of Good Conduct for Disability. Madam Speaker, this is yet another breakthrough aimed at ensuring that people with disabilities are accorded the rights promised in our supreme law - the Constitution of the Republic of South Africa. These rights are also enshrined in the Employment Equity Act administered by my department. On the 23rd of August 2001, the Commission on Employment Equity also launched its first report containing data on the extent to which employers were implementing employment equity in the workplaces. Ironically, this report proves in no uncertain terms, how the apartheid styled social engineering has succeeded in fulfilling the dreams of its architects, namely, to prevent black people in general and black women in particular, from entering certain occupational categories.

The Employment Equity Act will turn this dream into a nightmare. Through our Constitution, we as South Africans have committed ourselves to preventing unfair discrimination in any form against anyone on any irrational grounds. We must all now live out the implications of our commitment at the workplace by ensuring that we remove all barriers that continue to prevent blacks, women and people with disabilities from pursuing occupational categories of their choice.

The phenomenal decrease in workplace accidents and fatalities in the past two years is certainly noteworthy. In the year 2001, 5950 workplace accidents were recorded. In the year 2002, this figure was reduced by about 46%. Similarly, the year on year workplace fatality rate reduced within a 12 month period by about 40%. While we believe that one workplace accident or fatality is one too many, who would be so unreasonable as to deny that this drastic reduction in workplace accidents and fatalities is a breakthrough in the fight for healthy and safe working environments? But we pledge ourselves to continue the fight against workplaces that approximate to war-zones, where injury or death is an inherent occupational hazard. This milestone can be attributed in part to the partnership that the department has entered into with organised business and labour aimed at promoting healthy and safe workplaces. On the 8th of April 2002, organised business, government and the three main labour federations, Cosatu, Nactu and Fedusa, signed an accord committing themselves to contributing their respective resources to prevent workplace illness, accidents and fatalities. Madam Speaker, this is yet another breakthrough aimed at ensuring that workers do not go to work to die.

During the year under review 5469 inspections were carried out at workplaces. While the majority of workplaces inspected showed high levels of compliance we were dismayed to find that there were still certain employers who continue to place profits ahead of human life. However, the increased visibility of our inspectors has continued to ensure that recalcitrant employers find no place to hide. With the capacity of our inspectorate having been increased to a total of 1335 posts and with the commitment of unions to ensure that all workplaces have safety committees, a continued remarkable improvement in the OHS environment is anticipated.

During the previous financial year, my department's inspectors also secured the first ever prosecution and conviction for child labour. The process began when my Department spearheaded the adoption of the ILO's Child Labour convention. Implementation of the Convention necessitated the development of a Child Labour Action Programme. The conviction was part of that programme and my department will continue to take steps to eliminate the exploitation of children at work.

However, our success rate will increase dramatically if courageous whistle-blowers continue to ensure that all culprits are reported. This conviction and sentence will undoubtedly send an unequivocal signal that employers who exploit the most vulnerable of our country's citizens by exposing them to employment practices that harm their development and deprive them of their education, shall not escape the full might of the state. Our success in this field of work has received international recognition. South Africa was asked to host one of only six international launches of the recently published ILO global report entitled "A future without child labour".

Madam Speaker, another critical strategic objective of the department is to contribute towards the provision of a social safety net for workers who are temporarily unemployed as well as those who get injured at work or contract occupational diseases. In order to effectively discharge our obligation with regard to the provision of the Unemployment Insurance Fund (UIF), we have had to completely overhaul the entire policy framework. This has resulted in the repealing of the old Act and the passing of new legislation, which extend coverage to certain categories of workers hitherto excluded. The new legislation, underpinned by new administrative efficiencies, also aims to improve the liquidity and solvency of the fund and thereby making it self-sufficient. Madam Speaker, this is yet another breakthrough by the department aimed at strengthening our social safety net to benefit those who need it the most.

In response to the dissatisfaction expressed by claimants regarding delays in the processing of claims by the Compensation Commission, we have introduced new procedures backed up with a new information technology system that aims to drastically reduce the waiting period for future claims. Madam Speaker, this is yet another practical expression of our commitment to government's service charter captured in the dictum "BATHO PELE".

In fact the commitment to efficient and effective service delivery permeates the entire department of Labour. In this department, good performance is rewarded while bad performance is sanctioned through punitive sanctions preceded by attempts to improve the performance of an aberrant official. Corruption and financial impropriety invariably result in dismissal; of course, this only occurs after due processes have been followed.

As regards the development of the people who work in the Department of Labour, we believe in leadership by example. Over and above the senior management-training programme we expose our managers to at the Wits University, we have now secured an agreement with Technikon South Africa to train existing and aspirant inspectors. We have also created an opportunity for those who want to acquire tertiary qualification in their area of work to do so through the E-Degree framework linked to the University of Free State and Chicago. The Department has also committed itself to being one of three government departments that are acting as pilot sites for the Investors in People standard, alongside 37 private organisations. Madam Speaker, this is yet another break-through aimed at ensuring that the department contributes toward the development of its most valuable resource - its people.

Madam Speaker, the department leads by example in the advancement of persons defined in the Employment Equity Act as designated groups. In this regard it is heartening to note that the demographic profile of the department including its leadership is a microcosm of the demographic profile of the country. Madam Speaker, this is yet another breakthrough by the department, aimed at giving practical expression to the spirit and letter of the Employment Equity Act; that seeks to deal a final blow on workplace discrimination.

Madam Speaker, despite the breakthrough we have made in creating a dispensation we envisaged together with those who paid the ultimate price for our liberation, it is not our intention to rest on our laurels and succumb to the complacency that often accompanies success.

Therefore, when the light of the sun succumbs to the darkness of night and its warmth to the freezing cold of winter, we shall not be derailed from doing our work. Therefore, Madam Speaker, we shall only celebrate our breakthrough when everybody who needs work either gets or creates it; when workplaces are characterised by sustainable peace and stability; when workers are provided the training they need to develop their potential; when no employer sacrifices the life of workers at the alter of profit; when the productivity of our workforce enhances our world competitiveness; when no worker is discriminated against on the basis of irrational grounds; and when no worker is dismissed without a just cause and a fair procedure.

Madam Speaker, until then, no ounce of energy will be spared and no sacrifice will be too high. With the support of my esteemed director general, his competent staff, the commitment of the labour portfolio committee and the co-operation of our social partners; I have no doubt that we shall together run this race, that we shall do the full distance and that we shall reach for our dreams.

I thank you.

Issued by the Ministry of Labour, 17 May 2002