1. PORTFOLIO COMMITTEE PRESENTATION 27 MARCH 2007
STRATEGIC PLAN
PORTFOLIO COMMITTEE PRESENTATION
27 MARCH 2007
DIRECTOR-GENERAL: DR. VAN MKOSANA

2. CONTENTS VISION MISSION STATEMENT
MINISTERIAL PROGRAMME OF ACTION
ACHIEVEMENTS
STRATEGIC OVERVIEW AND KEY POLICY DEVELOPMENTS
MEDIUM-TERM STRATEGIC OBJECTIVES 2007/2010
SERVICE DELIVERY IMPROVEMENT PROGRAMME
INFORMATION TECHOLOGY PLAN THROUGH A PUBLIC PRIVATE PARTNERSHIP (PPP)
HUMAN RESOURCE PLAN
PUBLIC ENTITIES AND OTHER AGENCIES
MTEF ALLOCATIONS
CONCLUSION

3. 1. VISION
The Department will strive for a labour market which is conducive to economic growth, investment and employment creation and which is characterized by rising skills, equity, sound labour relations, respect for employment standards and worker rights.

4. 2. MISSION STATEMENT
The Department of Labour will play a significant role in reducing unemployment, poverty and inequality through a set of policies and programmes developed in consultation with social partners, which are aimed at:
Improved economic efficiency and productivity
Skills development and employment creation
Sound labour relations
Eliminating inequality and discrimination in the workplace
Alleviating poverty in employment
Enhancing Occupational Health and Safety awareness and compliance in the work place
Nurturing the culture of acceptance that worker rights are human rights

5. ORGANOGRAM MINISTER OF LABOUR DIRECTOR - GENERAL DDG ESDS & HRD DDG
LP&LMP
DDG SD
DDG CS

6. 3. MINISTERIAL PROGRAMME OF ACTION 2004-2009
STRATEGIC OBJECTIVES
Contribution to employment creation
Enhancing skills development
Promote equity in the labour market
Protecting vulnerable workers
Strengthening multilateral and bilateral relations
Strengthening social protection

7. MINISTERIAL PROGRAMME OF ACTION (continued)
STRATEGIC OBJECTIVES
Promoting sound labour relations
Strengthening the capacity of labour market institutions
Monitoring the impact of legislation
Strengthening the institutional capacity of the Department

8. 4. ACHIEVEMENTS 5.1 Employment creation By end of December 2006
unemployed people trained of which placed and 35,8% of training quality assured

9. ACHIEVEMENTS (continued)
5.2 Skills development
By end of December 2006
National Skills Fund
Total projected NSF income is R 2.4 billion. R 1.47 billion was committed to projects and R 640 million paid out
7 tenders awarded to the amount of R103m under the NSF to train 20,000 ABET learners. SETAs trained on all ABET levels
Scarce and critical skills list developed and widely distributed and 6,548 Skills Development Facilitators/ Sector specialists received training

10. ACHIEVEMENTS (continued)
Seta Coordination
All 23 SETA Service Level Agreements concluded by 30th July 2006
( unemployed workers ) learners have entered learning programmes, and ( unemployed ) successfully completed
1 729 learners entered new venture creation programmes

11. ACHIEVEMENTS (continued)
Indlela
6 889 apprenticeship assessments were arranged, 79 candidates withdrew and were absent, were tested and (40%) passed.

12. ACHIEVEMENTS (continued)
5.3 Employment equity
Director-General review system was developed and implemented
6 Large JSE listed companies out of the companies assessed were subjected to a review by Director-General due to their unacceptable representation levels
The 6th Commission for Employment Equity Annual Report was launched in September 2006

13. ACHIEVEMENTS (continued)
5.4 Protection of vulnerable workers
Total number of workplaces reached totalled and the level of compliance is 70%
Three sectoral determinations were reviewed during the reporting period i.e. Private Security, Contract Cleaning and Civil Engineering.
An awareness strategy has been developed about the nature and extent of child labour in SA.

14. ACHIEVEMENTS (continued)
5.5 International relations
SA remains a titular Member of ILO Governing Body and the Minister was appointed chairperson of ILO Governing Body for a year
SA was instrumental in the revival of SADC Labour and Social Sector structures

15. ACHIEVEMENTS (continued)
5.6 Strengthening social protection
Unemployment Insurance Fund
Workers covered by UIF have increased by 2.5% to 6.6 million. Total number of claims was of which was approved by December 2006.
The fund collected R5.8 billion as at December 2006 an improvement of 18% compared to the same period in the previous year.
UIF currently has assets of R18.9 billion, an increase of 27% on the 2005/06 financial year end
All beneficiaries are being paid their benefits through Electronic Funds Transfer with effect from January 2006.

16. ACHIEVEMENTS (continued)
Compensation Fund
73% of claims that were part of the backlog prior to December 2004 have been settled
53% of claims received with complete documentation are settled within 90 days compared to 46% last year.

17. ACHIEVEMENTS (continued)
5.7 Promoting sound labour relations
38 Collective agreements were extended to non-parties covering workers
Between April 2006 and December 2006 CCMA received referrals and settled 64%
Monitoring of developments in the industrial relations arena has improved with the annual industrial action report published

18. ACHIEVEMENTS (continued)
5.8 Strengthening capacity of labour market institutions
R was allocated to the Strengthening Civil Society Fund (SCSF) for training of organized and unorganized vulnerable workers

19. ACHIEVEMENTS (continued)
5.9 Monitor the impact of legislation
Bi-Annual labour market review, annual industrial action reports and quarterly and annual labour market bulletins published
Human Sciences Research Council appointed as research partner to ensure objective implementation of research projects

20. ACHIEVEMENTS (continued)
5.10 Strengthening the Department’s institutional capacity
An Employment Equity Plan for the Department covering the period June 2006 until May 2009 was developed and is being implemented and annual reports on progress will be submitted in line with Employment Equity Act
An HIV prevalence study was conducted and it revealed that 88% of staff who participated was HIV negative and 12% tested HIV positive
Introduction of project management as a way of doing DOL business
Upgrading of Provincial heads ranks to Chief Director as part of IBS initiative

21. 5. STRATEGIC OVERVIEW AND KEY POLICY DEVELOPMENTS
Decentralising functions and delegating authority
Labour market legislation and policies
Skills development
Restructuring the Compensation Fund – phase 2
Integration of occupational health and safety competencies across government
Decent work country programme

22. 6. MEDIUM-TERM STRATEGIC OBJECTIVES 2006-2009
Service Delivery
Decentralisation of functions and delegation of authority to provincial offices and labour centres.
A single, improved and integrated Employment Services System is rolled out to ensure improved access to employment services
unemployed learners trained, 26% of trained received accredited training and 70% trainees placed

23. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
Inspection and Enforcement Services
Director-General review system implemented, targeting critical sectors for substantive compliance by March 2008.
Turnaround time for employment equity designated employers (to be ?) inspected for procedural compliance following a complaint is within 90 days.
Compliance Employment Equity Award System implemented by March 2008
Adjusted Inspection and enforcement strategy implemented by April 2008.

24. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
Labour Market Information and Statistics
Labour market information and statistics collected, analysed and disseminated to various stake holders
Trends analysis including performance review reports quarterly
Job placement verification, including impact assessment study by March 2008

25. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
Occupational Health and Safety
Institutional framework for integration of occupational health and safety competencies finalised by March 2008
Legislation promulgated and Act implemented by March 2008

26. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
Employment and Skills Development Services / Human Resources Development
NSF
Implementation of National Skills Development strategy year 3 targets aligned with ASGISA with emphasis on artisan development.
Achieve first year NSF strategic projects targets in support of provincial growth and development strategies/ASGISA

27. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
400 non-levy paying co-ops receive skills development support by March 2008
ABET unemployed learners trained

28. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
SETAs
At least 600 SMMEs, NGOs; CO-OPs and small BEE enterprises receive skills development support by March 2008
employed ABET learners trained by March 2008
workers and unemployed people assisted to enter scarce and critical programmes in learnerships, apprenticeships, internships, bursaries and skills programmes

29. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
2 000 learners in areas of critical skills placed for experience locally and internationally.
2 000 youth trained in new venture creation
Scarce and Critical skills list and database updated by September 2007
Framework for Quality Council for Trades and Occupations developed by March 2008
Strategy approved to refocus Indlela to cater for apprenticeship moderation, learner assessment and specialised training by March 2008

30. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
Labour Policy and Labour Market Programmes
Projects targeting vulnerable workers in rural and remote areas supported
Collective agreements extended to non-parties and labour organisations registered

31. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
Employment Equity and Standards
7th and 8th Commission for Employment Equity reports published
Employment equity analysis report on website
2007 employment equity public register published
Finalise investigations into hospitality and welfare sectors by September 2007
Review wage differentials, earnings threshold and taxi sectors by March 2008

32. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
Start investigation into low skilled labour and review farm workers by March 2008
Child labour programme of action submitted to Cabinet for endorsement

33. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
Research, monitoring and evaluation agenda implemented by March 2008
Commissioned research reports completed by March 2008
Frequency of reports on the implementation of the Growth and Development Summit agreement by June, September, December 2007 and March 2008
In collaboration with the International Labour Organization (ILO) the Decent Work Country Programme developed

34. MEDIUM-TERM STRATEGIC OBJECTIVES 2007-2010 (continued)
Sheltered Employment Factories legal form determined by March 2008

35. 7. SERVICE DELIVERY IMPROVEMENT PROGRAMME
Establishment of an effective Employment Services System
Establishment of an effective Inspection and Enforcement System
Development and implementation of Service Delivery Standards
Innovations including use of ICT and provision of tools of trade to staff for effective service rendering

36. STRATEGY FOR BETTER SERVICE DELIVERY (Continued)
Access Strategy
Multimedia Call centre with CRM capabilities
MPCC further roll out
Mobile Labour Centres ICT enabled and fully resourced
Further roll-out of the Shared Service concept
Partnerships with Private sector and public sector entities expanded and strengthened
Cellular telephony used for transaction based services and information dissemination

37. SERVICE DELIVERY IMPROVEMENT PROGRAMME(Continued)
A unit dedicated to audit queries and public enquiries established
Telephone line and interactive questionaire on the Web site for clients

38. 8. INFORMATION TECHNOLOGY PLAN THROUGH A PUBLIC PRIVATE PARTNERSHIP (PPP)
Employment Services System( Phase 2 & 3)
( SETA Performance Management System , Grant Disbursement system, National Skills Fund Disbursement Information System (NSFDIS) and Career Information system)
Inspection and Enforcement System
Claims and Fund Disbursement Systems in terms of the Compensation Fund and the Unemployment Insurance Fund
Human Resource Management System
Financial Management System
Management Information System

39. INFORMATION TECHNOLOGY PLAN THROUGH A PUBLIC PRIVATE PARTNERSHIP (PPP) (Continued)
On-going Refresh of the IT infrastructure
Improvement of the efficiency of the Department’s Virtual Private Network which is provided by SITA
Use of mobile and wireless technologies to facilitate service delivery in remote areas.
Call centre technologies to facilitate Customer Relationship Management (CRM)
Cellular telephony for transaction based services and for information dissemination

40. 9. HUMAN RESOURCE PLAN
The Human Resource plan that supports the strategic plan through an appropriate organizational structure and implementation of HR policies
Competencies ensured through a Skills Audit and the gaps addressed through Training and development
Vacancy rate be maintained at <10%
Staff Attrition to be addressed through the career management and retention strategy and succession planning.

41. HUMAN RESOURCE PLAN (Continued)
Uniform remuneration and grading across similar jobs ensured through job evaluation
Employment Equity addressed as per the EE plan
Workplace well being addressed through the establishment of on-site wellness centres, counselling and life skills programmes
Management of performance monitored and done promptly

42. 10. PUBLIC ENTITIES AND OTHER AGENCIES
The National Skills Authority (NSA)
Unemployment Insurance Fund (UIF)
Compensation Fund (CF)
National Productivity Institute (NPI)
Twenty-three Sector Education and Training Authorities (SETAs)
National Economic Development and Labour Council (NEDLAC)
Commission for Conciliation, Mediation and Arbitration (CCMA)
Umsobomvu Youth Fund (UYF).

43. 11. MTEF ALLOCATIONS

44. 2007/2008 Final Vote

45. 2007/2008 Final Vote
In terms of the 2007 ENE, the Department of Labour’s Vote number has been adjusted to Vote 16.
Major increases to the Vote in respect of the 2007/2008 financial year are attributable to an allocation of R400 million in respect of the recapitalization of the Umsobomvu Youth Fund (UYF), a R 27 million increase to the funding of the Commission for Conciliation, Mediation and Arbitration (CCMA), an additional allocation of R8 million in order to address aspects of the Department’s Integrated Business Strategy (IBS) within Programme 2: Service Delivery and an increased allocation of R1 million to address the carry-through effect of the higher than anticipated salary adjustments in July 2006.

46. 12. CONCLUSION
Strategic Plan to be seen within context of the five year Ministerial Programme and ASGI-SA
Strategic Plan to be used as a basis for measuring the Department’s performance in the next three years

47. THANK YOU