1. PORTFOLIO COMMITTEE ON BASIC EDUCATION – 9 MARCH 2010 THREE-YEAR STRATEGIC PLAN FOR THE FINANCIAL YEARS: 2010 TO 2013 ONE-YEAR SERVICE DELIVERY PLAN FOR THE FINANCIAL YEAR: 2010/11

2. HONOURABLE MEMBERS OF THE EDUCATION PORTFOLIO COMMITTEE: Ms FI Chohan, ChairpersonANC Ms N GinaANC Ms MT KubayiANC Mr ZS MakhubeleANC Mr KD MatabogeANC Ms AC MashishiANC Ms FF MushwanaANC Ms G SaalANC Ms NW Madikizela-MandelaANC Ms N MkhulisiANC Dr JC Kloppers-LourensDA Mr DC SmilesDA Ms A MdaCOPE Ms L AdamsCOPE Mr AM MpontshaneIFP Ms HS MsweliIFP Mr MH HoosenID Mr NM KganyangoUDM Mr RB BhoolaMF Ms C DudleyACDP

3. TABLE OF CONTENTS: 1.INTRODUCTION Accounting Officer – Mr M Govender 2.SUMMARY OF PROGRAMMES - OPERATIONAL Accounting Officer – Mr M Govender 3.SUMMARY OF PROGRAMMES - BUDGET Chief Financial Officer – Mr J Moshakga 4.CONCLUSION Accounting Officer – Mr M Govender

4. 1.INTRODUCTION: As we enter 2010 with the theme “Perfecting the Art of Teaching”, it gives us great pleasure to present our THREE-YEAR STRATEGIC PLAN FOR THE FINANCIAL YEARS: 2010 TO 2013 & ONE-YEAR SERVICE DELIVERY PLAN FOR THE FINANCIAL YEAR: 2010/11

5. Perfecting the art of teaching 5 The ELRC is devoted to enable educators to deliver a standard of education that is reflective of our transformation as a nation. A sound investment in our educators is ultimately an investment in our children. The ELRC through its core services and special projects forms an integral part of our country’s primary goal to improve the overall quality of education in South Africa.

6. Perfecting the art of teaching 6 ELRC aims to ensure quality in teaching and learning by: being Prudent through efficient use of resources being Compliant with laws and the will of the people ELRC negotiates Policies that ensures professionalism and service delivery in public education The Social Contract of the Unions is self realised and achieved: through the organised profession’s commitment to quality education through the establishment of a partnership with the other role players in education

7. VISION To strive towards the continuous maintenance and promotion of labour peace, accomplished in the spirit of parties to the Council working together and contributing towards the transformation and development of quality South African Public Education Sector. 7 MISSION To be the leading provider of quality, effective, efficient and non-partisan administration and facilitative mechanisms for labour peace and for the development of a quality South African Public Education Sector.

8. EXECUTIVE SUMMARY The core business of the ELRC is primarily Dispute Resolution Services and Collective Bargaining. In 2008 the ELRC expanded the scope of its constitution to include bargaining and dispute resolution for the FETC sector. On the 17th February 2009 Collective Agreement 1 of 2009: Further Amendment of the ELRC constitution as certified by the Registrar of Labour on 25th April 2007 and as ratified by Collective Agreement 6 of 2007 was signed. The Founding Agreement: Further Education and Training Colleges sector interim Bargaining Unit within the ELRC was signed on the 9th June 2009. In 2009 the Registrar of Labour Relations had approved the variation of the scope of Council to include the FETC bargaining. 8

9. EXECUTIVE SUMMARY (Continued…) It is envisaged that with the new scope as approved by the Registrar of Labour Relations, the ELRC will become a true bargaining sector and thus in future will include the non- educators for both Basic and Higher Education. The accompanying operational plans and budgets have been developed to include Dispute Resolution Services and Collective Bargaining for the now current sectors which include: Basic Education (PART B – page 17) Higher Education and Training (PART C – page 203) 9

10. 10 Investment Sub Committee Interview Sub Committee Higher Education and Training Bargaining Chamber Basic Education Bargaining Chamber 25 Delegates Employer 25 Delegates Trade Unions 10 Delegates Employer 10 Delegates Trade Unions ELRC - PRESENT ELRC - FUTURE Interview Sub Committee 380 000 Educators 8 000 Lecturers Finance Sub Committee Legal Sub Committee Budget Sub Committee EXECUTIVE COMMITTEE H R Sub Committee Finance Sub Committee EXECUTIVE COMMITTEE Legal Sub Committee H R Sub Committee Investment Sub Committee Budget Sub Committee Basic Education Bargaining Chamber Educators Bargaining Unit PS Employees in Education Bargaining Unit Higher Education and Training Bargaining Chamber Lecturers and Managers Bargaining Unit Support Staff Bargaining Unit

11. ELRC SERVICES 11 DISPUTE RESOLUTION SERVICES COLLECTIVE BARGAINING Basic Education CORE SERVICES Basic Education National Higher Education and Training National SUPPORT SERVICES 1 Management, Intervention and Facilitation Services 2 Compliance and Investigation Services 3 Governance Support Services 4 Mobilising Employees Services 5 Research and Development 6 Training and Development 7 Media and Communication 8 Finance and Accounting Services 9 Facilities Management Services Higher Education and Training Provincial

12. 2.SUMMARY OF PROGRAMMES page10 12 The activities of the Council are organised in the following five programmes:

13. Programme 1: Dispute Resolution Services Strategic Objectives To resolve grievances and disputes in education To ensure compliance with ELRC constitution To promote the prevention of grievances and disputes Establishment of quality control for awards To ensure compliance with LRA 13 Programme 1.1: Dispute Resolution Services – page 18

14. Strategic Objectives To coordinate training of Negotiators and Dispute Resolution Practitioners with the relevant knowledge & skills to carry out their responsibilities effectively and efficiently. To coordinate the development of Panellists to carry out their duties effectively in order to increase productivity and efficiency. 14 Programme 1.2: Training and Development – page 29 Programme 1: Dispute Resolution Services

15. Programme 2: Collective Bargaining Services Strategic Objectives To conclude collective agreements in public education To ensure compliance with LRA 15 Programme 2.1: Collective Bargaining – National – Page 35

16. Operational Objectives Task Team reports Collective Bargaining Quarterly report Communication to ELRC stakeholder (The Negotiator Publication) ELRC research reports workshops Ratification of Collective Agreements Vote Weights Research Annual Conference 16 Programme 2.1: Collective Bargaining Services – National

17. Strategic Objectives To conclude collective agreements specific to the province To ensure compliance with the ELRC Constitution. To promote consultations iro National Education Policy Act. To ensure implementation of national policies and collective agreements. To promote consultation on matters of mutual interest 17 Programme 2.2: Collective Bargaining Services – Provincial – page 43

18. Operational Objectives HIV & AIDS and Employment Wellness Dispute Prevention and Dispute Resolution Curriculum Development Realignment of schools Early Childhood Development (ECD) and Adult Basic Education and Training (ABET) 18 Programme 2.2: Collective Bargaining Services - Provincial Eastern Cape – page 45

19. Operational Objectives Safety of educators Advertising and filling of posts Further Education and Training Institutions Skills development plan 19 Programme 2.2: Collective Bargaining Services – Provincial Free State – page 56

20. Operational Objectives Adult Basic Education and Training (ABET) National curriculum statement (NCS) Performance management Temporary educators 20 Programme 2.2: Collective Bargaining Services – Provincial Gauteng – page 62

21. Operational Objectives Appointments in terms of amendments to EEA Distribution of Curriculum Transformation Post Pay, Grade, and Accelerated Progressions Educators Development Structured Upgrading Programmes (NPDE/ACE/etc) PMDS for Office Based Educators Seminars on Challenges in Employment Equity and Affirmative Action Policies Phasing out of Mainstream Educators 21 Programme 2.2: Collective Bargaining Services – Provincial KwaZulu-Natal - 71

22. Operational Objectives Provincial Collective Agreements Filling of vacant posts Advertisement and filling of posts ABET and ECD 22 Programme 2.2: Collective Bargaining Services – Provincial Limpopo – page 83

23. Operational Objectives Post provisioning norms (MTEF) Filling of posts HIV/AIDS Curriculum development 23 Programme 2.2: Collective Bargaining Services – Provincial Mpumalanga – page 92

24. Operational Objectives Early childhood development (ECD) Teacher development Inclusive Education/LSEN Further Education and Training National Teaching Awards 24 Programme 2.2: Collective Bargaining Services – Provincial Northern Cape – page 98

25. Operational Objectives School Health and Occupational safety Educator Professional and Curriculum Development HIV/AIDS and Educator Wellness ECD, ABET and LSEN Training and capacitating of negotiators School safety 25 Programme 2.2: Collective Bargaining Services – Provincial North West – page 108

26. Operational Objectives Safe school environment Training on: Negotiation Skills (Mutual Gains) The New Dispute Procedure and Labour Law Excess educators Transformation and Restructuring Internal dissemination of Arbitration Awards 26 Programme 2.2: Collective Bargaining Services – Provincial Western Cape – page 116

27. To provide support (shop stewards) in the prevention and resolution of disputes. 27 Programme 2.3: Dispute Prevention Support Services Strategic Objectives – page 122 To provide tools & information to stakeholders to govern the Council effectively & efficiently. Programme 2.4: Governance Support Services Strategic Objectives – page 125

28. Programme 3: Executive Services Strategic Objectives To ensure the sound management of the Council To intervene and facilitate matters of national importance / that threatens labour peace To evaluate and improve effectivenes of risk management, control and governance process 28 Programme 3.1: Management, Intervention and Facilitation Services Page 140

29. Strategic Objectives To ensure the sound financial management of the Council. To ensure adherence to relevant national laws & regulations, best practice and the established policies & procedures. 29 Programme 3.2: Compliance and Investigation Services – page 145 Programme 3: Executive Services

30. Strategic Objectives To effectively mobilise employees to deliver the best services To attract, develop & retain a highly qualified and diverse workforce. To create a culture that promotes excellence throughout the Council. 30 Programme 3.3: Mobilising Employees Services (HR) – page 150 Programme 3: Executive Services

31. Strategic Objectives To Conduct market research and needs analyses for the education sector to improve access to and quality of education To engage in research to support the quality initiatives (NEG & DR) in public education. 31 Programme 3.4: Research and Development – page 162 Programme 3: Executive Services

32. Strategic Objectives To comply with the Public Finance Management Act in compiling an annual and quarterly report. To promote dialogue with the employees in order to develop a better understanding of the business To build the corporate image of the ELRC with its stakeholders To market the ELRC To comply with the Promotion to Access of Information Act 32 Programme 3.5: Media and Communication – page 167 Programme 3: Executive Services

33. Programme 4: Corporate Services Strategic Objectives Implement, maintain and improve internal control procedure Manage and regulate supply chain management processes To identify and manage the risk assessment and fraud prevention plans Sound cash flow management 33 Programme 4.1: Financial Services – page 175

34. Strategic Objectives To provide the necessary resources and to ensure the effective utilisation of resources Manage and safeguard assets of the Council To maintain and upgrade infrastructure. Creation of a secure working environment 34 Programme 4.2: Administration Services Page 184 Programme 4: Corporate Services

35. Programme 5: Capital Expenses Strategic Objective To ensure timeous procurement of resources To manage the property of the ELRC with particular focus on increased effectiveness, efficiency, economy, transparency and integrity 35 Strategic Objectives – page 197

36. 3.NOTES TO BUDGET 1.From the 1 July 2009 the scope of work carried out by secretariat has changed whereby new sub programmes were added and old sub programmes re-aligned as follows: 1.1Executive Services will make up the following services: 1.1.1Management, intervention and facilitation services 1.1.2 Compliance and Investigation Services 1.1.3 Mobilising employee’s services (HR) 1.1.4 Research; and 1.1.5 Media and Communication 1.2Corporate Services (Finance/Facilities services) 1.3Training and Development services are included under Dispute Resolution Services. 36

37. NOTES TO BUDGET (Continued…) 1.4The Dispute Prevention Services has been incorporated into Collective Bargaining. 1.5Governance Support is also included under Collective Bargaining 1.6Negotiation Support Service changed to Collective Bargaining and will include Implementation of Acts, Agreements and Policy Development. 1.7Capital Expenditure 2.The income of the FETC sector is insufficient to meet their expenditure. Consequently the Basic Education sector of the ELRC has to subsidise the deficit in the Higher Education and Training budget. 3.The budgeted income for 2009/2010 is based on a levy of R10 which is the same as in the previous year. 37

38. NOTES TO BUDGET (Continued…) As at end of first quarter 30 June 2009 the reserve funds stands at R30,489,335. These funds are insufficient to carry us up to year 2011/2012. We require an additional R19,587,144 to carryout all functions in year 2011/12 and 2012/13. Savings in previous years would enable accumulation of funds which can be used in year 2011/12 and 2012/13. CCEM/ CT 38

39. NOTES TO BUDGET (Continued…) Reserve funds as at 30 June 2009 30,489,335 Less: Transfer for 2009/10 and 2010/11 26,648,476 Total funds remaining end of March 2011 3,840,859 Funds required in 2011/12 and 2012/13 19,587,144 CCEM/ CT 39

40. SUMMARY OF BUDGET – page 12 40 Expenditure EstimateMedium-term expenditure estimate SubprogrammeOutcome ActualMTEF Audited Budget 2007/082008/092009/102010/112011/122012/13 Income Received 36 792 195 51 281 729 45 600 000 Transfers from Reserve Funds - - 9 523 722 18 120 332 9 550 657 13 566 024 EXPENDITURES 26 992 328 35 599 939 55 123 722 63 720 332 55 150 657 59 166 024 CORE SERVICES 22 349 490 30 812 465 46 435 223 50 374 549 46 854 327 50 140 061 1. Dispute Resolution Services 2 917 451 3 995 536 7 561 566 9 634 855 8 268 732 9 095 605 1.1 Dispute Resolution Services 2 917 451 3 628 371 6 585 228 8 419 386 7 960 216 8 756 237 1.2 Training & Development Services - 367 165 976 337 1 215 469 308 516 339 368 2. Collective Bargaining 15 155 398 18 021 185 24 091 489 28 499 248 28 413 840 29 855 526 2.1 Collective Bargaining (National) 2 324 411 1 464 774 3 565 240 5 874 248 5 404 639 5 945 103 2.2 Collective Bargaining (Provincial) 4 863 655 4 886 677 6 678 938 7 581 539 8 159 063 8 960 003 2.3 Dispute Prevention Support Services 7 967 333 11 669 734 13 847 312 2.4. Governance Support Services 699 037 462 114 1 087 409 1 196 150 1 002 826 1 103 109 SUPPORT SERVICES 4. Executive Services 4 276 641 8 333 629 13 694 759 12 240 446 10 171 755 11 188 931 4.1. Management, Intervention and Facilitation Services 569 233 1 941 146 5 760 271 2 420 100 2 662 110 2 928 321 4.2. Compliance and Investigation Services 1 845 182 2 323 852 1 400 000 1 540 000 1 694 000 1 863 400 4.3. Mobolising Employees Services 1 002 214 1 045 729 2 364 180 3 310 574 2 692 396 2 961 636 4.4 Research Services 1 855 497 1 800 000 1 980 000 - - 4.5. Media and Communication 860 012 1 167 406 2 370 309 2 989 772 3 123 249 3 435 574 5. Corporate Services 4 642 838 4 787 474 7 343 828 12 159 209 7 296 330 8 025 963 Finance, Accounting and Facilities Services 4 642 838 4 787 474 5 624 828 7 159 209 7 296 330 8 025 963 6. Capital expense 1 719 000 5 000 000 - - 7. Subsidy to Higher Education from Reserve funds 1 344 671 1 186 574 1 000 000 Total 9 799 867 15 681 790 - - - -

41. ALLOCATION OF BUDGET TO VARIOUS PROGRAMMES – page 13 41

42. 42 Summary of Budget – page 19 Programme 1.1: Dispute Resolution Services

43. 43 Allocation of Funds – page 19 Programme 1.1: Dispute Resolution Services

44. Summary of Budget – page 29 44 Programme 1.2: Training and Development

45. Summary of Budget - page 36 45 Programme 2.1: Collective Bargaining Services – National

46. Allocation of Funds – page 36 46 Programme 2.1: Collective Bargaining Services – National

47. 47 Summary of Budget – Page 44 Programme 2.2: Collective Bargaining Services – Provincial

48. 48 Programme 2.4: Governance Support Services Programme 2.3: Dispute Prevention Support Services Summary of Budget – Page 122 Summary of Budget – Page 125

49. Summary of Budget – Page 139 49 Programme 3: Executive Services

50. Allocation of Funds – Page 139 50 Programme 3: Executive Services

51. 51 Summary of Budget – Page 175 Programme 4: Corporate Services

52. 52 Summary of Budget – Page 197 Programme 5: Capital Expenses

53. 4.CONCLUSION With the variation of the scope of Council to include the FETC sector the Council’s operation has been broadened to include Basic Education and Higher Education and Training. As from the 1st July 2009 operations were also separated into 2 areas namely: Basic Education (PART A – page 17) Higher Education and Training (PART B – page 203) 53

54. CONCLUSION (Cont..) The income of the FETC sector however is insufficient to meet their expenditure. Consequently the Basic Education sector of the ELRC has to subsidise the deficit in the Higher Education and Training budget. – page 15 Higher Education and Training Income Vs. Expenditure 54

55. CONCLUSION (Cont..) On Behalf of the Accounting Authority of the ELRC, the Executive Committee and the Audit Committee members, we convey our gratitude to you for assisting the Council in fulfilling its responsibility for oversight of the quality and integrity of the accounting, auditing and reporting practices of the ELRC and other duties as were directed by the Council from time to time. For all the wisdom and the valuable time spent ensuring that the Council did not falter on its role to focus on the qualitative aspects of financial reporting to its stakeholders. THANK YOU 55