DEPUTY PRESIDENT MASHATILE ADDRESSES THE 2025 NEDLAC LABOUR SCHOOL

“Last year in September I had the honour of attending the 29th Annual NEDLAC Summit, in a year that marked the 30th anniversary of South Africa’s democracy and NEDLAC. I am equally honoured today to have the opportunity to address the 2025 annual Organised Labour School. The Annual Labour School remains a critical platform for reflecting on the state of our labour market, addressing the challenges we face, and charting a way forward for the workers of South Africa. In this regard, it continues to uphold the democratic principles enshrined in our Constitution, anchoring workers’ rights and aspirations at the heart of our economic and social policies.

Over the past 30 years, the government and NEDLAC have strengthened collaboration and dialogue, with NEDLAC continuing as the cornerstone of social dialogue and consensus building in our nation, playing a crucial role in advancing our collective vision for a prosperous and inclusive society.

In 2024, shortly after addressing the Summit, we lost two of the key drivers of the formation of NEDLAC, and its development at those elementary stages, former Ministers; Tito Mboweni and Membathisi Mdladlana respectively. In some ways, their departure represents the turning of the tide, and the necessity for new ideas and ways to emerge in advancing the struggle, and “Building Unity for Workers to Advance Decent Work for All”.

Over the past decade, South Africa has made significant strides in advancing workers’ rights and improving labour conditions. Most notably in the Employment Equity Progress, the 2023-2024 Commission for Employment Equity (CEE) Annual Report highlighted a notable increase in the representation of designated groups across various occupational levels, reflecting the positive impact of the Employment Equity Act.

In the 2023/2024 financial year, the Department of Employment and Labour conducted 308,799 workplace inspections, exceeding the annual target by 4%. This proactive approach underscores the government’s commitment to ensuring compliance with labour laws and protecting workers’ rights.

For the first time in a year, South Africa’s official unemployment rate decreased from 33.5% in the second quarter to 32.1% in the third quarter, marking a positive shift in our labour market.

The government’s collaborative efforts have led to the introduction of improved retirement packages and social benefits for dependents of labour union members, providing greater financial security for workers and their families. Comrades, we are meeting at a time when the world is facing a multi-crisis characterised by inequality, high levels of unemployment, climate change, wars, migration, urbanisation, and the growing youth dividend.

As a country, while there are changes in our economic patterns, we must admit that the pace of our economic growth and development is protracted and not at its optimum levels. While the country is trying its best to promote economic growth through the promotion of investments and infrastructure development programmes, these efforts have not yet yielded satisfactory results. The current mooted closures and scaling down of production in the steel industry and some of the companies in the mining sector have resulted in massive job losses.

Through our collective efforts, we have managed to develop collectively agreed sector plans. However, all Stakeholders of NEDLAC must bear the responsibility of facilitating the speedy execution of these plans for them to live up to our expected outcomes. There is evidence that we can do this!

In the past 30 years, we have together introduced policy programmes aimed at ensuring that we create decent employment for the majority of the people. Together we have created an environment for labour unions to practice their democratic rights as enshrined in the constitution, the Labour Relations Act and other critical legislation that reversed apartheid policies thereby introducing progressive policy interventions.

We have also introduced the minimum wage, the two-pot retirement system as well as other policies that cushioned workers and the poor. These and many other progressive policies are a result of our commitment to transforming the economy and society so that many who were excluded can meaningfully participate in the economy.

In 2024, we celebrated further victories, including enhanced mechanisms for fair and equitable labour dispute resolutions, greater participation of women in union leadership, and strengthened labour rights enforcement.

However, despite the progressive policy interventions we have introduced, we are still faced with the challenges of high levels of unemployment and poverty as well as inequality. We are also faced with challenges of crime, Gender-Based Violence, and corruption as well as weak implementation and delivery of services.

The COVID-19 pandemic also tested the resilience of our labour sector and exposed vulnerabilities within our economic framework. It is through the collective efforts of government, unions, and the private sector that we were able to protect millions of workers’ livelihoods even in the middle of adversity.

Through navigating the effects of the pandemic, we were collectively able to develop and implement strategies that expanded access to Unemployment Insurance Fund (UIF) benefits, cushioned workers during periods of economic disruption, strengthened workplace health and safety regulations, and preserved jobs in key industries through innovative wage subsidy programs. These measures not only mitigated the immediate impacts of the pandemic but also laid a foundation for a more robust labour market.

Compatriots, the labour movement is and has always been more than just a defender of workers’ rights, but also a pivotal driver of South Africa’s economic progress. By advocating for better working conditions, the movement inherently promotes increased productivity and, ultimately, GDP growth. Collaborative efforts between unions and employers have fostered a culture of innovation, resilience, and shared prosperity.

NEDLAC has been pivotal in promoting economic development, by engaging in social dialogue and collective bargaining, organised labour has contributed to protecting worker’s rights and the government has created a stable environment conducive to economic growth.

In the aftermath of the 2024 May elections, South Africa has formed a Government of National Unity, which has agreed on the following policy priority areas; growing an inclusive economy, reducing the cost of living and building a capable, ethical, and developmental state. In realising these priority areas, we believe that we must continue to create a social compact with labour, business, and civil society as we have done through NEDLAC.

The year 2025, presents us with various opportunities – first, in the mid-year we will host the National Dialogue that is aimed at drawing from lessons from our past to shape the future beyond the NDP2030. The National Dialogue will take place in a year where we celebrate 70 years of the Freedom Charter, a statement of core principles that have and continue to shape policy in South Africa.

The task of organised labour in this regard is to provide innovative solutions on how best to strengthen our economy, build social cohesion and improve governance systems, placing the needs of the workers at the forefront. 

Furthermore, we believe that the National Dialogue will shape our outlook towards and beyond 2055, a year when we will celebrate the centenary of the Freedom Charter. Our ultimate objective must be to realise a South Africa that belongs to all who live in it, Black and White as envisaged in the Freedom Charter. Indeed, this is the only way that we can realise the country of our dreams as charged by those who gathered in 1955 in Kliptown.

Ladies and Gentlemen, this session also takes place whilst the World Economic Forum is in session, where President Cyril Ramaphosa and other government leaders are representing the nation, and advancing our stance on issues of global significance, specifically as these relate to our economic development as a key player in the global economy, specifically in the continent.

This year, South Africa is hosting the Group of Twenty (G20), a first for an African country. The hosting of the G20 will assist us in putting forward the agenda for Africa’s development as well as that of the global south at large. Hence the theme for the G20 is – Solidarity, Equality, and Sustainability; Leaving no one behind!

We therefore expect that labour in South Africa, will through the Civil Society 20 contribute to discussions that will reshape the global agenda, as we seek to resolve the challenges of poverty, unemployment and inequality, but also reframe and reposition global financial institutions towards social justice.

As we look ahead, it is imperative to harness the collective power of all stakeholders—unions, government, and the private sector—to ensure that South Africa’s labour market is inclusive, fair, and globally competitive. We must address income inequality and improve the quality of life for our workforce, we are not merely fostering economic growth but building a South Africa where every worker feels valued and empowered.

In closing, let us all recommit ourselves to the values of solidarity, equity, and justice. The labour movement, as the backbone of our nation, holds the power to drive South Africa’s economic transformation. Together, through collaboration and collective action, we can overcome the challenges of the 21st century and create a future of dignity, equality, and prosperity for all workers. Thank you.”