This morning we held the Labour Working Group Meeting convened by President Jacob Zuma.

The meeting was attended by all Labour Federations including COSATU, FEDUSA and NACTU.

The meeting received shared information on the global economic outlook, challenges and interventions introduced by South Africa to weather the storms occasioned by the persisting global economic crisis.

The Department of Trade and Industry briefed the meeting on the progress made in the implementation of the 9 Point Plan, a programme introduced by government 2 years ago to give expression with priorities set out in the National Development Plan. 

Organised labour also tabled issues of concerns and alternative solutions to the challenges confronting our country. 

The meeting agreed on the need to: 

Reaffirm commitment to work together to overcome challenges facing South Africa as we have recently done in the past year or so. We need to build on partnership and solidarity forged in 2008 when Social Partners crafted a pact which protected workers from the global economic crisis. There is clear evidence that when all social partners work together, putting South Africa first, our resilience is fortified.

We need to recognise that SA operates in a context of global low growth and weak confidence – this affects our ability to trade with the outside world and has an impact on the fiscus as well, as we collect lower taxes due to declining revenues and profitability. 

We face the challenge of high administrative prices like broadband costs and port tariffs which are higher than those of our global peers.

Going Forward 

The meeting reiterated the need to forge partnership with a new strategic posture that helps us reimage the economy of South Africa in a manner that is responsive to the current challenges whilst taking forward progressive socio-economic policies.  

There was an agreement to create a ten person task team that will deal with some of the urgent matters identified by the meeting whose primary task will include doing work towards the Jobs Summit which will involve all stakeholders in society.     

The meeting agreed on a need to monitor implementation of policies including monitoring of the implementation of Labour Market policies and their impact in the economy and take measures to improve enforcement thus protecting vulnerable workers.

Find practical and intervene effectively in the informal economy that make the business viable. 

We agree to focus on improving implementation capacity especially on short term interventions that restore confidence, reduce wastage and increase support for SMMEs as well as measures to promote domestic demand.

Also identify concrete timelines for the work ahead, giving effect to a common narrative and short to medium term goals that we must achieve in the next few months.  

There was consensus that we should manage social instability like violent protests in a manner that gives credibility to our narrative of a common purpose and a clear vision.

The meeting was clear that priority must be to protect jobs, create more decent jobs especially for young people and improve working conditions of all workers in order to create a better life for all.

Enquiries: Dr Bongani Ngqulunga 082 308 9373 or bongani@presidency.gov.za  

Issued by: The Presidency
Pretoria