ADDRESS BY DEPUTY PRESIDENT JACOB ZUMA AT THE ANNUAL NEDLAC SUMMIT

Sandton Conference Centre, 9 September 2000

Chairperson
Social Partners
Colleagues & Friends

At this point in our transformation process Nedlac, as we are all aware, is a critical institution for the attainment of our national goals. This council has played, and continues to play; an important role in bringing together stakeholders whose input in our economic and social transformation is fundamentally vital.

You will all agree with me that though we successfully negotiated political liberation for our people, six years into democracy we are still faced with difficulties at the economic level.

Nedlac, together with other institutions we have established to address this problem, is therefore critical as a centre for negotiating an agreed upon path that we must take to finally bring about this socio-economic emancipation.

This implies reaching consensus here on how to address some crucial challenges of our historic legacy. This huge task that is given to this forum should serve as an indication to all of us of how important Nedlac is as an institution and thus indicate the kind of respect and authority that we ought to accord to it.

Nedlac is tasked with a duty to manage a complex, but very necessary social dialogue, a partnership between the various players in our society for the benefit of our country and its people. For this reason, if the partners undermine Nedlac, by whatever means, its essence as this fundamental centre for social dialogue would be lost.

We have to ring-fence therefore, an arena in which we agree to disagree and be able to put our boxing gloves away and speak with a common voice on issues of how to grow our economy. We must make common choices in relation to identified key areas, because if we continue to war, then we risk finding ourselves engaged in struggle over declining spoils. Thus I want to stress that there can be no spectators, this is a matter on which we rise or fall together.

Despite the differences in opinion that the partners might have we must commit ourselves to a set of key national priorities around which strategic engagements are held to make this partnership smarter.

These include, amongst others:

• Improving the economic potential of our country,
• Increasing investments, improving overall productivity and service,
• Dealing with socio-economic disparities, rooting out poverty, dealing with unemploymentand the threat of diseases such as HIV/AIDS

At the last NEDLAC Executive Council meeting a number of issues were put on the table such as skills development, productivity, international trade, our relationship with Africa, public sector restructuring and other macro-economic issues.

The first and most important of these, skills development, is one area where agreement abounds, but where action and real commitment is limited. Is it because there is agreement that the issue is at the bottom of the agenda?

To deliver on either provincial or sectoral strategies, we need to address the skills shortage that exists in our country - be it at managerial level, professional and technical level or at production and service level - as a matter or urgency.

There is still, however, a low level of co-operation from employers in paying the skills levy, and few have submitted their workplace skills plans. This needs to move nearer to the top of our national agenda - and employers' organisations, trade unions and community groups all need to actively participate to ensure the long-term success of this initiative.

Linked to the issue of skills is productivity. Labour has called for a pact on 'equity and productivity'. Government has put in place a series of enabling laws - but laws by themselves cannot create skill, increase participation of black people, women and people with disabilities in the economy, improve wages and reduce income differentials. They certainly cannot improve working conditions and health and safety, labour stability and the re-organisation of work without the participation and co-operation of all stakeholders.

It is only the conscious actions of employees and employers, union and employer organisations, shop stewards and human resource managers that can ensure that these laws have the desired effect, namely high productivity in the work place.

Thus it is important that we reach agreement or an understanding, at national level, on what constitutes the conditions for enhanced productivity so that this can lead the way for sectoral and workplace agreements and initiatives.

Similarly we need to speak with one voice in the area of international trade. There is agreement that the rules of the WTO, that govern international trade, could become friendlier to developing countries - without this, no amount of national or even regional endeavour is likely to make a significant impact. Therefore a common strategy and building of alliances are needed to shift the international balance of power.

At the sub-regional level, we need to support every effort that seeks to promote democracy, stability and social partnership in Southern Africa.

We may not agree on all details, but we do need to work together to build the institutional architecture in which disagreements can be contained and overall stability maintained. As past experience has shown, our economy cannot grow in isolation - our fortunes are inter-linked with those of our neighbours.

At the national level we need to agree on which key issues will have the most impact to support a growth strategy, most importantly, we need to agree on what can be practically achieved. Wherever possible, agreements should translate into strategies that can be 'pulled down' into sectoral or provincial strategies.

As smart partners we should be able to reach consensus at some stage about some basic and pragmatic approaches for the attainment of the goals we have set for ourselves.

If we are to achieve the purpose for which this council was created, which was to dialogue, away from the formal negotiation arena, mature leadership is required on the side of Nedlac and its constituencies.

This leadership must be evident in the manner in which negotiations are handled and proceedings communicated to the rest of society. The principle of "give and take" should become a dominant feature in interactions between the parties represented in Nedlac, and this means making compromises in the interest of the nation.

Although the role of Nedlac involves ensuring a win-win situation for the various parties, this must not be done at the expense of delivery - the consequences for continued delays in the reconstruction of our society are too detrimental.

Nedlac is the most appropriate platform to monitor progress regarding the Job Summit Agreements. I urge you therefore to make the review of the Job Summit Agreements, the focus of one of the Nedlac sittings in the month of October.

In concluding let me say that we cannot afford to go another year without a 'tough employment accord'. To guide this process we need to agree on a common vision and a number of key and measurable targets towards which we can collectively strive.

The experience gleaned from six years in government must enable us to be more specific, more pragmatic about the choices and trade-offs to be made. Needless to say we cannot achieve everything all at once - priorities need to be identified and actions taken.

Nedlac must gain a reputation as a successful platform for social dialogue. The focus cannot always be on disputes, there ought to be a point where we all agree on issues that concern us all - issues of national priority that cannot be delayed.

Nedlac should continue to create the capacity for constituencies to engage in the manner that I have suggested. It is important also that it should consolidate its leadership to enable itself to provide the kind of strategic direction required.

Ladies and gentlemen, if we succeeded so well in negotiating political liberation, there is no reason why we should fail to successfully negotiate socio-economic emancipation.

We cannot afford to fail.

I thank you.