Chairperson, I should think we need to educate some of our portfolio committee members on how to deal with certain issues. They are talking from a position of comfort. That is where the problem is, particularly when it comes to labour brokers.
To sell a person is a sin. And to sell a person is no less than human trafficking. We believe, as this country, that we do not support that. So, we just want to warn some of these people that they want to enjoy some of the things that they are not supposed to enjoy. Nevertheless, we will come to them later.
A South African developmental state, whilst learning from the experiences of others, must be built on a solid foundation of South African realities. Did you hear "realities"? Whilst engaging private capital strategically, our government must be rooted amongst the people and buttressed by a mass- based democratic liberation movement.
Whilst determining a clear and consistent path forward, it must also seek to build consensus on a democratic basis that builds national unity. Whilst acting effectively to promote growth, efficiency and productivity, it must be equally effective in addressing the social conditions of the masses of our people and realising economic progress for the poor.
A national democratic society should be founded on a thriving economy, the structure of which should reflect the natural endowments of the country and the creativity that a skilled population can offer. It should be an economy in which cutting-edge technology, labour-absorbing industrial development, a thriving small business and co-operative sector, the utilisation of information and communication technologies, and efficient forms of production and management all combine to ensure national prosperity.
A national democratic society requires the deracialisation of ownership and control of wealth, including of land. Our land is still occupied by the minority. The majority of our people are still outside the boundaries of land. They are still sitting in places where they cannot even plant pumpkins. So that also needs to be ensured by the economy of this country. This society also requires the deracialisation of management and the professions.
A thriving economy in a national democratic society requires a market as efficient as possible, shorn of the racial and gender exclusions that characterised apartheid colonialism, and freed from the barriers to entry and competition that the economy endured under colonial capitalism. [Interjections.] You must join the ANC, so that you can understand our manifesto very clearly.
It will also require a state that is able to use its capacities to direct national development through fiscal redistribution, the utilisation of state-owned enterprises and effective regulation.
Social cohesion in a national democratic society will also depend on the extent to which the rights of those on the lower ranks of the socioeconomic ladder are protected. Such a society should proceed from the obvious premise that workers' rights are human rights. These rights should find expression in law-governed measures to ensure decent jobs, job security and a living wage. Through legislation and other means, the state should manage the environment for there to be fair and balanced relations between employers and employees.
With regard to Nedlac - the National Economic Development and Labour Council - Review of 1995 to 2006, the test of the use of state resources and the fiscus is the degree to which those resources actually advance the building of a national democratic society and its democratic institutions. Nedlac's review reveals the extent of Nedlac's contribution and that of social dialogue to the sustainability of the economic and social reform processes. Those who were speaking on that side were part of the formation of Nedlac, and they ran away. And now, they want to throw stones. Don't worry about them. They are worried about where they are now and they want to come back.
This has been no small feat if one considers that the country emerged from a culture of adversarialism and conflict. Within a relatively short period of time, Nedlac created a forum in which the social partners - labour, government, business and the community constituencies - have been able to build a level of trust and engage on a range of policy issues.
Nedlac's major achievements, the review argues, has been its cost-effective contribution to the sustainability of the reform process. This has deepened democracy, created new labour-market institutions and contributed to long- term economic and social reform.
This has been achieved through building an innovative institution in which social dialogue can take place on a multiparty basis. A comparison with social and economic councils in other countries revealed that Nedlac has evolved into a statutory multiparty negotiating body.
With regard to creating social capital, Nedlac - and through its predecessors the National Manpower Commission and the National Economic Forum - created networks of trust between different groupings of people and institutions. The review tracks how these networks were formed over a long period of time, and how social dialogue has extended beyond Nedlac to a range of other institutions. Nedlac has not only facilitated the building of other tripartite institutions, but also the emergence of innovative new policies and institutions.
When it comes to contributing towards economic and social reform, the review argued that despite the unilateral implementation of the Growth, Employment and Redistribution strategy in 1996, Nedlac played an important role in contributing towards a common economic vision, especially through its involvement in the 2003 Growth and Development Summit, and the formulation of policy in relation to trade reform, labour market policy, competition policy, the Masakhane campaign and financial sector reform. The hon Kganare is still pained by the fact that I was his treasurer before he crossed over to Cope.
As highlighted at the outset, there is general consensus that Nedlac remains a critical institution for promoting social dialogue, a key feature of our democracy. Coupled with this, the review argues that a new consensus is emerging internationally, primarily led by the International Labour Organisation in terms of the Geneva Consensus, which proposes that for globalisation to be fair and deliver on its promise of prosperity, it needs to be governed differently - in particular there is a need for more participation by stakeholders at international and domestic levels.
As part of building a network of similar institutions, Nedlac has also facilitated the emergence of innovative new policies and institutions. In 2002 Nedlac convened the Finance Sector Summit, which at the end led to the setting up of the Umzani account - you were not there - and an agreement to develop a financial sector charter.
The proposal, which had been initiated by the community constituency, agreed to set up a task team with community representation. Importantly, this Nedlac initiative led to discussions over the finance charter outside of Nedlac, including the Treasury. This led to the creation of the Financial Services Council which reports back to Nedlac every month.
In addition to building social capital in South Africa, Nedlac has had a significant impact on social dialogue regionally and internationally.
In terms of the key performance indicators of Nedlac, demands on Nedlac continue to increase albeit without the budgetary requirements. For example: we had a presidential jobs summit; growth and development summit agreements were achieved; the electricity crisis led to Nedlac developing the Electricity Accord of 2008; and now, in response to the global economic crisis, a framework has been reached at Nedlac with the negotiations being very successful.
The Medium-Term Strategic Framework raises a number of key strategic priorities for government going forward. Again, Nedlac will provide the platform to rally society behind these efforts. The government programme of action calls for the tried-and-tested approach to policy formulation, and Nedlac is just about the only institution in South Africa that has proved beyond doubt that it can unite social partners behind a programme of national importance. The Minister of Finance recently called for the development of a common vision, which will also be negotiated at Nedlac.
The current situation in the labour market policy chamber is that labour broking is one of the issues that the labour market policy workstream has prioritised in the period under review. Since the Labour Relations Act came into effect in 1995, there have been extensive changes in the South African labour market. Work has become increasingly diverse, with an increasing proportion of work being performed by workers in nonstandard employment.
The South African labour market has witnessed the growth of temporary employment services. The South African Constitution articulates that every employee has a right to fair labour practices. Furthermore, it protects the right of freedom of association.
Also, regarding all the debates that are taking place now in the country concerning labour brokers, we believe that the government will protect the people of this country against labour broking. This is because the Constitution of the country does protect the rights of the workers. The Constitution would never give a blank cheque to anybody to sell the nation for profit, if Comrade Papi would remember that. Thank you very much. [Applause.]