NEDLAC

1
NEDLAC EXECUTIVE DIRECTORS REPORT (FOR THE
PERIOD APRIL 2003 TO MARCH 2004) ANNUAL
SUMMIT 02 OCTOBER 2004
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SOCIAL DIALOGUE

• A system is a 'whole' that cannot be divided into
  independent parts, because the behaviour of the
  parts and their effect on the whole, depends on
  the behaviour of all the parts interacting with
  each other (Gharajedaghi Ackoff, 1985).
• The essential properties of a system are
  therefore lost when it is taken apart.
• I am what I am through the qualities and
  contributions of people around me. Umuntu
  ngumuntu ngabantu

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CONTEXT

• THE FIRST DEMOCRATIC GOVERNMENT - 1994
• - POVERTY
• - UNEMPLOYMENT
• - ECONOMIC STAGNATION
• - RACISM AND
• INEQUALITY
• ? DEALING WITH JUST ONE OF THESE ISSUES WOULD
  HAVE BEEN A FORMIDABLE CHALLENGE FOR ANY
  GOVERNMENT HAVING TO TACKLE ALL FIVE AT THE
  SAME TIME IS A DAUNTING TASK INDEED.
• IN ADDITION TO THE FIVE ALREADY DIFFICULT
  CHALLENGES, ANOTHER WAS EMERGING.
• GLOBALISATION

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KEY FOCUS AREAS FOR THE 2003 -2004 PERIOD

• STRENGTHENING SOCIAL DIALOGUE
• GIVING EFFECT TO THE NEDLAC FOUNDING DECLARATION
  GOALS.
• - GROWTH
• - EQUITY
• PARTICIPATION
• LIFTING SOCIAL DIALOGUE TO HIGHER PLANE

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KEY HIGHLIGHTS

• THE CONVENING OF THE ICT AND FINANCE SECTOR
  SUMMITS
• THE SIGNING OF THE GROWTH AND DEVELOPMENT SUMMIT
  AGREEMENT IN JUNE 2003.
• More Jobs, Better Jobs and decent work for All
• Addressing the Investment Challenge
• Advancing Equity, developing skills, creating
  economic opportunities and extending services to
  all.
• Local action and Implementation
• THE QUADRI-PARTITE DELEGATION TO CANCUN TRADE
  TALKS.
• THE FINANCE CHARTER

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KEY OUTCOMES

• THE ANNUAL SUMMIT WAS HELD ON 27 SEPTEMBER 2003
• THREE EXEUTIVE COUNCIL MEETINGS WERE HELD IN THE
  PERIOD UNDER REVIEW. THREE FOCUS SESSION WERE
• GROWTH AND DEVELOPMENT SUMMIT
• MONETRAY POLICY
• BUDGET
• SEVEN MANAGEMENT COMMITTEE MEETINGS

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KEY OUTCOMESMANCO

• WORK PROGRAMME FOR 2004/5 PERIOD
• GDS IMPLEMENTATION PLAN
• SKILLS DEVELOPMENT AMENDMENT BILL
• UIF AMENDMENT BILL
• INDUSTRIAL STRATEGY REPORT
• SECTOR SUMMIT GUIDELINES
• HIGHER EDUCATION REPORT

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INDICATORS SHOW A DRAMATIC IMPROVEMENT FROM THE
PAST DECADE

• PROBLEMS OF THE 1980s
• Stagnation in output growth
• Inflation entrenched at over 13
• A weak and weakening rand
• A permanent decline in foreign exchange reserves
• Historically low personal savings ratios
• Massive and growing unemployment

• REASONS TO CELEBRATE
• 1994 -2004 HIGHLIGHTS
• Lowest interest rates in 20 years
• Lowest inflation rate since December 1959
• Social expenditure from 44,42 of general
  government expenditure to 56,72 in 2002/03
• Public sector debt below 50 of GDP
• Longest period of positive GDP growth since
  1940s and improved wealth per capita
• Unbelievably Strong currency

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THE LABOUR MARKETThe official unemployment rate
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THE LABOUR MARKET

• Unemployment (official definition) has declined
• However, there is no significant increase in
  employment during this period

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LABOUR COSTS AND PRODUCTIVITY Productivity and
Employment
Source Stats SA
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LABOUR COSTS AND PRODUCTIVITY

• While productivity growth has slowed, it has
  remained above real wage growth
• Real unit labour costs are still declining

13
HOUSES COMPLETED OR UNDER CONSTRUCTION 1994
MARCH 2004
Source Department of Housing
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SOCIAL WELFARESocial Grants
15
NATIONAL HIV PREVALENCE TRENDS 1990 -2002
Source Department of Health
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SECTOR SUMMITS

• FOUR SECTOR SUMMITS TASKS TEAMS EST.
• ICT
• CHEMICALS
• - METALS AND ENGINEERING
• CONSTRUCTION
• DEDICATED RESOURCES

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TRADE AND INDUSTRY CHAMBER(INDUSTRIAL STRATEGY)

• KEY FOCUS AREAS IN THE CHAMBER WERE INTER ALIA
• COMMERCIALIZATION OF THE NATIONAL COMMERCIAL
  PORTS
• INTEGRATED MANUFACTURING STRATEGY
• RESEARCH DEVELOPMENT STRATEGY
• ADVANCED MANUFACTURING AND TECHNOLOGY STRATEGY
• POTENTIAL SOCIO-ECONOMIC IMPACT ON THE SA ECONOMY
• BIODIVERSITY
• ASBESTOS REGULATIONS

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TRADE AND INDUSTRY CHAMBER(ENTERPRISE
DEVELOPMENT LEGISLATION)

• KEY FOCUS AREAS IN THE CHAMBER WERE INTER ALIA
• - BEE STRATEGY
• SUPPLY SIDE MEASURES
• DEVELOPMENT OF COOPERATIVES
• SMME STRATEGY
• LEGISLATION
• CORPORATE LAW REFORMS
• CREDIT LAW REFORMS
• CONSUMER PROTECTION POLICY

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PUBLIC FINANCE AND MONETARY POLICY (PFMP)

• FOUR BUDGET POLICY SESSIONS
• 8 CHAMBER MEETINGS
• 9 FINANCIAL SECTOR TRANSFORMATION AND DIVERSITY
• TASK TEAM MEETINGS
• 2 GDS TASK TEAM MEETINGS

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PUBLIC FINANCE AND MONETARY POLICY (PFMP)

• KEY FOCUS AREAS IN THE CHAMBER WERE INTER ALIA
• Regulation of Credit bureaus
• Creation of an enabling Legislative framework -
  Cooperative banks, not-for-profit micro credit
  schemes
• measures to end unfair discrimination in the
  finance sector
• proposals to guide investment into developmental
  initiatives
• increase savings

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DEVELOPMENT CHAMBER

• KEY FOCUS AREAS IN THE CHAMBER WERE INTER ALIA
• Education
• Social Security
• Review Of The Water Services White Paper
• Property Rates Bill
• Amendments To The Municipal Systems Act
• Community Reinvestment Bill
• Free Basic Electricity Policy
• Cooperatives Bill Policy

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LABOUR MARKET CHAMBER

• KEY FOCUS AREAS IN THE CHAMBER WERE INTER ALIA
• Demarcations Bargaining Councils
• Employment Equity People With Disabilities
• Skills Development
• Insolvency Technical Team
• ILO Maternity Protection Convention
• Jobs Impact
• Productivity
• Statutory Bodies

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LABOUR MARKET CHAMBER

• KEY FOCUS AREAS IN THE CHAMBER WERE INTER ALIA
• Demarcations Bargaining Councils
• Employment Equity People With Disabilities
• Skills Development
• Insolvency Technical Team
• ILO Maternity Protection Convention
• Jobs Impact
• Productivity
• Statutory Bodies
• (34 Meetings in total)

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GROWTH AND DEVELOPMENT SUMMITGDS

• GDS - STANDING AGENDA ITEM ON ALL NEDLAC
  STRUCTURES.
• TASK TEAM TO FOCUS ON THE GDS IMPLEMENTATION
• 23 TASK TEAMS SET UP TO FOCUS ON GDS
  IMPLEMENTATION
• IMPLEMENTATION PROJECT PLAN WAS TABLED AT THE
  NOVEMBER 2003.
• THE GDS INCORPORATED INTO THE CHAMBER WORK
  PROGRAMMES
• THE CONSTITUENCIES ARE TAKING STEPS TO IMPLEMENT
  THEIR COMMITMENTS

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SECTION 77 NOTICES

• THE STANDING COMMITTEE DEALT WITH 7 SECTION 77
  NOTICES
• 1 WITHDRAWN
• 1 DISQUALIFIED AS NON-COMPLIANT
• 3 STILL PENDING
• 2 SETTLED

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VISITS TO NEDLAC

• NEDLAC RECEIVED THE FF DELEGATIONS
• 20 COSATU ORGANISERS
• FRENCH SENATE BUDGET COMMITTEE
• THE PEOPLES REPUBLIC OF CHINA
• CUBAN MINISTER OF LABOUR
• CUBAN INTERNATIONAL RELATIONS TEAM

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COMMUNICATION

• 4500 COPIES OF DIALOGUE WERE PRODUCED
• PUBLICATION OF SOCIO ECONOMIC DEVELOPMENT
• WEBSITE AVERAGED 3000-3500 PER MONTH.
• NEDLAC EXHIBITION
• NEDLAC IN THE MEDIA -1200 ARTICLES

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FINANCES

• INCOME
• GRANTS RECEIVED 7 673 001
• OTHER INCOME 488 748
• ________
• TOTAL
• 8 161 749
• ________
• EXPENDITURE 6 268 415
• SURPLUS (DEFICIT) 1 893 334