This year for the Institution has been very unique in many respects and extremely challenging, over and above the work programme of the Institution, Social partners were called upon to factor in a range of special issues which were a result of certain emergency/crisis situations that the country faced. Let me take you through some of the activities that we have tackled this year.

A large numbers of Draft Bills which were either en-route or already in Parliament were dealt with. The energy supply crisis resulting in black-outs never seen before in South Africa kept the Social partners busy. Constituencies had to deal with a crisis that called for swift and decisive decisions and actions to be made and taken for the benefit of our people, the economy and for our Nation and I am proud to say that we excelled in this daunting task.

Escalating food prices impacting heavily on our people was one other task that needed swift action and needed to be dialogued. This task was undertaken with vigour and to a certain extent resolved even though this challenge will continue to be with us for a while especially when one takes into account global changes within our trading partners.

Discussions around the Decent Work Country Programme (DWCP) which aim to translate the International Labour Organisation (ILO) values to national realities have gained momentum and I am pleased to inform you that we are on track. Issues such as Social security, Trade union and employer organisation and collective bargaining, the placement of decent work at the centre of economic and social policies, Enterprise development, strengthening enforcement mechanisms through improved labour inspection in the public sector and in bargaining councils, Promotion of ILO standards and values, Employment Equity, strengthening the employment relationship: atypical work, contract work, subcontracting, casual work, part-time work e.t.c. are some components which are at the heart of the discussions.

The development of the Framework for South Africa's response to the international economic crisis has to be by far one of the biggest projects the Institution has had to grapple with within very tight timeframes. The international economic crisis plunged the country into a recession which we had not seen and experienced in 18 years. This crisis demanded the Institution and the Presidency to respond swiftly, creatively and decisively. The long nights spent by the drafting team, which was mandated by the President of the Republic to develop a response package for South Africa resulted in the Framework for South Africa's response to the international economic crisis, which contained a number of interventions, recommendations and concrete proposals on how to respond to the economic crisis.

I am pleased to notify you that the 5 Task Teams who have been developing action plans to give effect to the Framework have been successful, these teams are now winding down deliberations and the Leadership Team is gearing itself towards presenting a comprehensive report to the President of the Republic. There have been difficulties, such as those proposals which carry cost implications which are often linked to Government budgetary processes. In these instances the Task Team can only signal an agreement in principle subject to the outcome of the Government budgetary processes. Child Support Grant, Extension of the social relief of distress Fund, Emergency food relief programme are some of the cases in point. Difficulties associated with the fact that some interventions require not just tinkering with policy, but substantial overhaul of existing policies, or prescribed lengthy preliminary processes that must be undertaken before a decision can be implemented. (Preferential Procurement; Customs, EPWP, Insolvency, Retirement funds, SETAs etc.) are some examples. These difficulties and challenges are met with resolve and are part and parcel of this kind of situation that we find ourselves in.

While I am on the economic crisis, allow me to detail one of our success stories in this process which many of our people who have been laid off will find interesting and beneficial. A scheme called "The Training layoff scheme"; a training layoff is a temporary suspension of work of a worker or group of workers that is used for training purposes. The training layoff depends on an agreement between an employer and a trade union on behalf of workers, or, in the absence of a trade union, between an employer and individual workers, who may otherwise be subject to dismissal for operational requirements. Participation in a training layoff is voluntary. This scheme is on the verge of being launched. The key design elements of the scheme that have been agreed to by the Social partners and announced by the President of the Republic on 5th August are as follows:

• A temporary suspension of work used for training;

• Retention of the employment contract;

• Training to be flexible, but linked to the skills needs of the employer;

• A training allowance paid to the worker;

• Employer carries cost of a basic package of social benefits.

A training layoff scheme is based on the principle that it will be available to vulnerable workers and employers who are affected by the economic recession. The CCMA, Department of Labour, SETA's and the NSF are the implementing champions of this scheme and such if you need detailed information visit your nearest office of these organisations.

On my message in the coming quarter I will report back to you on further progress achieved. Once again Social dialogue in action is being rigorously practised and is a resounding success.

On the Institution's Work programme I am proud to report that the Institution held a record 178 meetings in the 2008/09 financial year, excluding the Annual Summit, Executive Council, Management Committee, Decent Work Country Programme Strategic session; National Electricity Summit; National stakeholder Consultative session on the WTO, Trade Policy sessions with Deputy Minister Davies in order to give effect to our Work programme.

The Trade and Industry Chamber remains the busiest of all the Nedlac Chambers put together. The output of the Chamber accounts for over 70% of the total work of Nedlac.

The Labour Market Policy Chamber is the second busiest Chamber accounting for 15% of the total output. In the first 4 years of Nedlac the Labour Market Chamber was the busiest of all the Chambers. The decline in volume of work can be attributed to the fact that most, if not all, Labour Market Policies are in place.

The Development Chamber and the Public Finance and Monetary Policy Chamber account for 10% of the total output with the remaining 5% by Manco Task Teams.

It is worth mentioning that Social dialogue is still relatively in its infancy in South Africa and requires more time to mature and be nurtured. The fact that it has not produced some form of 'social pact' as envisaged in some of the Western European models does not reduce its relevance. Some of the constituencies have expressly resolved not to build a photocopy of experiences elsewhere, but to construct a local model of dialogue, enriched by reflections on the international experience.

Nedlac's journey has been one of many twists and turns and the Institution has not achieved all that its Constituencies have wanted. The setbacks and gaps of the past decade must be seen as a learning curve. Social dialogue requires time and patience even if it reaches a deadlock; the answer is not to abandon it. It is all the more reason to ensure that the Institutional framework for social dialogue works effectively. I leave you with these thoughts and reflections and I look forward to interact with you once again next quarter.