Minister Thulas Nxesi addresses 28th Nedlac Annual Summit

Employment and Labour Minister, Nxesi kindles Nedlac to speed-up labour market reform

Employment and Labour Minister T.W Nxesi has lamented the slow progress in the area of labour market reform by social partners in the social dialogue body, National Economic Development and Labour Council (Nedlac).

Addressing the 28th Nedlac Annual Summit held at Gallagher Estate and Conference Centre, Nxesi today said in early 2021, after business, labour and government had tabled their proposals for labour law reform, "I had hoped that within six or eight months, we would have reached an agreement on a number of changes that would improve the efficiency of the labour market without disturbing worker rights.

"Of the amendments proposed by the parties included improving the functioning of the Labour Court and collective bargaining which ensures that in practice, the rights of workers are realised. However, the process is ongoing and we are now too late for this parliamentary cycle," Nxesi said.

Nxesi said Nedlac should intensify dialogue to include extending the rights of workers in non-standard employment relations in areas such as Gig economy and situations of remote work in the advent of the changing world of work.

He further lamented the slowness of processes in labour courts saying, "this has compromised a lot of workers. Some cases go on up to four years unresolved, because there is a lack of judges".

Nxesi commended Nedlac's social partners and the launch of a report on the work done by the body to set up a rapid response task team during the Covid-19 pandemic sub-titled "Learning the lessons, creating a legacy". He said Nedlac tried last year to extend the rapid response approach to high food and fuel prices. He was full of praise that Nedlac for receiving an unqualified audit with fewer findings than in previous years in the 2022/23 financial year.

"This is also an important issue that social partners should remain seized with - both seeking ways to address high prices and mitigating the impact on hunger and poverty," Nxesi said.

According to Nxesi Nedlac has also made progress on "becoming fit for purpose". This, he said has involved a review of the Nedlac Act, Constitution and protocols which govern how social partners work at Nedlac, "the stronger the processes are to discuss laws and policy in Nedlac, the more likely it will be that you can influence changes down the line, including in Parliament".

He said the long-awaited changes to issues of representativity in Nedlac should not diminish the stature of the significant stakeholders in the economy and labour market.

Nxesi said: "we are living in times of disasters". He called on the Summit to respond and build resilience to perilous and crisis-type situation similar to one at Bree (now Lilian Ngoyi) Street in Johannesburg that led to the gas explosion.

"Whether these events are natural, man-made or climate-induced - which at some point was man-made, we have to accept them as part of our new normal. We need to plan better and be more prepared. In my own Department, it requires us to have new approaches to occupational health and safety as the scope of health and safety disasters increases.

"Resilience is the ability to bounce back from adversity and continue to function and thrive despite the challenges we face. If through collaboration at Nedlac, we can build greater resilience amongst ourselves and in society, it is to be welcomed," Nxesi said.

He said: "whether we call what we do social compacting, partnering or collaborating, I continue to believe that Nedlac shines a beacon of light, and brings a message of hope in these times, which can often be seen as dark and unpredictable.

The Nedlac Summit was held under the theme - "Resilience in the face of adversity: Social partner's preparedness for crises". Nedlac is the vehicle by which Government, labour, business and community organisations seek to cooperate, through problem-solving and negotiation, on economic, labour and development issues and related challenges facing the country.

South Africa's Deputy President, Paul Mashatile commended Nedlac for its long history in fostering dialogue - having presided over all the current labour legislation in the country.

"Our labour market has experienced several obstacles," he said the labour market still exhibits the past make up of Apartheid architecture characterised among others skills shortages. Mashatile said government was pleased to note that unemployment has declined to 32,6 percent. He said while the 'trend' was heading in the right direction, however it was moving at a slow pace.

"It is further encouraging that Nedlac partners have taken partnerships to a new level as demonstrated during Covid-19," he emphasised.

According to him the deadline for written declaration has not been met on a new social compact. He challenged all social partners to put aside their ideological differences by summoning their courage to prevent the ticking time bomb of inequality and poverty.

He concluded that Nedlac has a responsibility to demonstrate to the nation that there could be win-win solutions.

Business representative at Nedlac Cas Coovadia said the country cannot afford to reach social compact at all costs. He said: "we cannot afford to spin wheels, when there are other alternatives to pursue to reach consensus". He said business was convinced that Nedlac must grow.

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