POLITICS

COSATU CEC on Guptas, labour laws & other matters

Union federation commits itself to banning of labour broking

COSATU Central Executive Committee

The Congress of South African Trade Unions held a scheduled meeting of its Central Executive Committee on 21-23 February 2011, attended by its National Office Bearers, Provincial leaders and affiliates' representatives.

Alliance Summit

The CEC discussed the Alliance Summit meeting, to be held on 24-25 February 2011, and agreed on a draft document: The Alliance Programme of Action for fundamental transformation of society, which will be debated at the Summit. It deals with:

§  The nature and character of the Alliance,

§  Strengthening the coordinating structures of the Alliance,

§  Our revolutionary heritage/revolutionary morality,

§  Fighting corruption and crass materialism,

§  Balance of forces, opportunities and limits for change,

§  The Alliance programme.

The document will be further discussed at the Summit by the Alliance partners.

State of the Nation

The meeting endorsed the statements outlining our expectations for, and response to, the President's State of the Nation Address. We welcomed his commitment to continue to base government policies on the five priority policy areas contained in the ANC's 2009 election manifesto and fully supported his declaration that 2011 is the "year of job creation, through meaningful economic transformation and inclusive growth", and the placing of job creation as the top priority of government.

COSATU warmly welcome his assurance that government is "working within the premise that the creation of decent work is at the centre of our economic policies". This should finally lay to rest the suggestion that government is abandoning its decent work agenda.

The CEC endorsed the concern that the President did not utter a word on the need to develop capacity of the government to implement its policies, and noted the many studies which reveal that our country is spending more resources on health and education than many developing economies yet we perform worse than they do. There are leakages in our system that need to be addressed.

It was agreed that in order to address this problem government should move towards zero budgeting, so that all departments, in particular health and education, will track every cent of public money to ensure there is no leakage.

Local Government elections

The CEC approved plans for COSATU's intervention in the local government elections. It agreed that this will be the most difficult and contested election campaign ever held. The people are more directly in contact with government at the municipal level and thus all the inherited experience of unequal social and economic opportunities, inferior social and economic infrastructure, mass unemployment and poverty play themselves out at this level in municipalities.

There have been continuing service delivery protests - the burning tyre syndrome - spiralling in a number of municipalities across the country. The ticking bomb is starting to explode!

The crucial areas which the CEC identified as priority areas for its work in support of the ANC are the Western and Northern Cape, the Nelson Mandela Municipality, Sedibeng and Ekurhuleni in Gauteng.

In other provinces - North West, Limpopo, Eastern Cape (apart from NMM) and KZN - support for the ANC remains solid, despite some challenges.

The meeting agreed on inputs COSATU will make to the ANC election manifesto, which will be finalised at the Alliance summit and then launched at a rally in Rustenburg on 27 February. 

The manifesto must apply locally the priorities of the ANC 2009 national election manifesto, reaffirmed by the State of the Nation Address.  It must confront the glaring constitutional, legislative, political, administrative and service delivery crisis of our emerging local government system and turn the tide in order to build a developmental local government.

COSATU is participating in the ANC candidate selection process and implementing our decision to oppose any candidates who are corrupt, lazy or incompetent. This vetting candidates has however led to some attempts by ‘gate-keepers' to manipulate the list process, and this has caused disputes within the ANC over the candidate lists.

The CEC will strive to reinstate any comrades unfairly excluded from lists by ‘gate-keepers', but once the selection process has been completed, COSATU will only support official ANC candidates and oppose any rejected candidates who decide to stand as ‘independents'.

The CEC also expressed anger at deteriorating levels of discipline in some localities with comrades completely damaging the image of the movement to advance their narrow interests. In some areas we have witnessed assaults on leaders and violent behaviour which is so foreign to what we stand for as a broader movement. We call on the ANC and the alliance to enforce iron discipline and expel any members involved.

May Day rallies this year will be used to take the campaign for a clear ANC victory to the masses.

Higher Education and Training

The CEC was addressed by the Minister of Higher Education and Training, Comrade Blade Nzimande. He dealt with the challenges facing the department, progress in implementing ANC resolutions on education, the review of the NSFAS, the National Skills Development Strategy 3 and the role that COSATU can play.

The minister illustrated the biggest challenge by quoting a 2007 survey that showed that a staggering 2 812 471 out of 6.7 million young people between 18 and 24 were neither employed nor receiving any form of education.

We also have an anomaly that South Africa has four university students for every one college student, whereas in most other countries the figures are the opposite.

Skills development has a crucial role to play in job creation. So there is an urgent need to provide more training for artisans and technicians, and encourage employers to use the surplus capacity they have to provide workplace training.

The CEC agreed to take more seriously COSATU's role in taking forward the skills development agenda and the adoption of poor-performing schools and bring reports to the next CEC on what action they have taken.

The minister is acting to deal with non-performing SETAs and urged COSATU to get more involved and send more senior leaders to sit on SETA boards. COSATU is however opposed to the appointment of the chairpersons of the SETA by the Minister and demands that stakeholders be involved.

Another ongoing problem is the number of students who are still prevented from completing their studies because they lack money. NSFAS funds fall far short of demand and only 17% of HE Students receive any funds from them. The government is working on a solution to fund those who do not qualify for NSFAS but still cannot afford the university fees.

Minister of Health

The CEC was addressed by the Minister of Health, Comrade Dr Aaron Motsoaledi, whose report painted a horrifying picture of a health catastrophe in the country. South Africa has less than 1% of the world's population, but 17% of people living with HIV/Aids, the highest incidence in the world.

In one year four French mothers infected their babies with HIV; in the same period 70 000 South African mothers infected their babies with HIV!

South Africa has the highest levels of foetal alcohol syndrome in the world, with 104 babies out of 1000 affected in the town of De Aar alone! We are one of only 12 countries in the world where the level of child mortality is rising. Life expectancy rates are falling and now stand at 56 for women and 51 for men.  The death rate has doubled in nine years!

Yet spending on health care in South Africa is higher than in many countries which have far better records of health care provision. So it is not just a question of money, but the misallocation of resources, with a private health sector which is making mega profits which are rising out of control, and an underfunded and mismanaged public sector which provides absolutely unacceptable levels of health care.

The Department's priority is to phase in the National Health Insurance system as quickly as possible and bring the quality of public health care up to the same and better standard as in the private sector.

The CEC identified the biggest threat to our country's health care which is the private hospitals and clinics who have continued to enjoy mega profits at the expense of our peoples deteriorating health care.

COSATU CEC will expect the forthcoming Central Committee scheduled for 28-31 March to develop a concrete campaign to challenge the power and domination of the private hospitals which have so far rejected pleas of the Minister, medical aids and private doctors to moderate the charges in their hospitals. They have continued to make massive profits despite global recession that have led to 1.17 million jobs being lost in our country.

We have invited the Minister of Health to share with our broader movement in the forthcoming Central Committee the picture he shared with the CEC. We are happy he has gladly accepted our invitation.

COSATU is confident that under the leadership of the Minister who has demonstrated only high levels of passion and energy and undying love for our people we will eventually conquer of our health challenges. We wish him well in his endeavours and enlist ourselves as his allies and friends in the endeavour to addressing this challenge.  

National Growth Path

COSATU has already welcomed the tabling of the Government's New Growth Path document and is pleased noted that government is now grappling with the need to chart a new growth path for the South African economy. 

However, the CEC reiterated that the many of the policies in the NGP document fall far short of placing the South African economy onto a new growth path. We have produced a critique of the NGP document, based on our own growth path document, which contains broad outlines of what we propose to overhaul government's NGP document. 

The federation is engaging with government and business to seek to improve the broad framework and shall continue to argue with our allies and with government to tackle the underlying problems.

Meanwhile however, COSATU has participated in a meeting of all stake-holders in government, labour business and community on 8 February 2011 to discuss how we can take forward those components of the Plan which can be implemented now - on training and skills development, green jobs and basic education. Further such meetings are to be convened on other aspects of the NGP, and it was agreed that these discussions must be channelled through Nedlac.

Climate change (COP17)

South Africa is hosting United Nations Framework Convention on Climate Change (UNFCCC) COP 17 from 28 November 2011 to 9 December 2011 in Durban. COSATU will be hosting the International Trade Unions Confederation (ITUC). In preparation for COP 17 the CEC agreed that:

  • A CEC committee will meet quarterly or to coordinate COSATU work on climate change.
  • This committee will draft the programme for COP 17 and build up events for COP 17.
  • It must also discuss the joint programme with the civil society organisations.
  • Kit will monitor the NALEDI Research on Climate Change.
  • An African unions climate change seminar will be held around June/July

COSATU supports the ITUC's planned ‘World of Work Pavilion' and a strong labour mobilisation on climate change.

We need to engage South African government, in the context of its Presidency role to:

  • Ensure the need for a fair, ambitious and binding agreement remains on the table as the only assurance for protecting the developing world from climate impacts and puts pressure for a decision being made on the 'legally-binding' aspect of a post-2012 framework
  • Work further on innovative sources of financing climate change and ensure at least half of the Climate fund goes for adaptation and resilience activities.
  • Support trade union efforts asking the UNFCCC to give a mandate to the International Labour Organisation to report periodically on progress on dealing with social and employment aspects of climate change policies (a mandate similar to the one given to the International Maritime Organisation).

The CEC agreed to work with civil society organisations in South Africa who have established the Steering Committee of 17 members which includes NGOs, CBOs, Faith Organisations, Labour, Youth, etc. The role of the committee is to prepare, engage government and open the space for civil society in Durban.

Labour law amendments

The CEC received a report on the ongoing discussions at Nedlac on the proposed amendments to the labour laws - the Labour Relations Amendment Bill, Basic Conditions of Employment Amendment Bill, Employment Equity Amendment Bill (EEA Bill) and the Employment Services Bill (ESB).

The meeting reaffirmed that there must be a total ban on labour broking and agreed to apply for a Section 77 Notice in order to mobilise our members in support of this demand.

It was noted that the Bills are poorly drafted in large parts, to such an extent that in some instances when the intention is clearly aimed at protecting workers, the drafting inadvertently favours employers. We shall press for a radical redrafting of all the amendments.

Concern was expressed at threats from business to boycott the Nedlac discussions on these amendments. We agreed that we shall not allow them to derail the consultation process. If they do, labour will present its own proposals directly to government.

Road tolls and lack of consultation

The decision by the Minister of Transport to suspend the implementation of the road tolls is a partial victory for people power. We welcome the postponement of the implementation of this draconian system and hope that consultation with stakeholder will lead to scrapping altogether of this plan. The intervention of COSATU, ANC and the SACP convinced the minister to act, and this proves the continuing effectiveness of the Alliance as a powerful political force.

We shall not drop our guard on this issue however. Suspension is not the same as cancellation. We shall take part vigorously in the public debate which has been promised but will not hesitate to continue with our demonstrations and apply under Section 77 to allow for strike action if the government persists with these tolls, while there is no acceptable public transport alternative.

We will be scaling up our demand for an affordable, accessible, reliable and efficient public transport system. The CEC reject the unilateral attempts to introduce another mega project in the form of a speed train between Durban and Johannesburg which will costs hundreds of billions at the time when workers at times have resorted to burning trains (which we have condemned) to express anger at the extent to which the public transport system is unreliable, exposing them to victimisation by unsympathetic employers.

We call on the ANC to enforce its policies and not allow Ministers to unilaterally introduce projects they copy from developed countries they visit which they then implement in completely different conditions in South Africa. The cost of these personal policies to our country has been huge.

The CEC recalled that it was the previous Minister of Education who closed critical campuses and merged universities, and in the processes destroyed completely our capacity to produce more doctors, nurses and teachers. He was allowed for five years to conduct this programme of destruction. The Minister of Transport must not be allowed to do the same. We reiterate we want a public transport system, not speed trains that will compete with aeroplanes which at the end will only benefit the elite as it is the case with the white elephant called Gautrain!

The meeting expressed its anger at the growing trend of lack of consultation by the Ministers. The CEC noted that government did not consult not only COSATU but even the directly affected unions in the following cases:

1. Appointment of the SAA Board and CEO

2. Appointment of the Transnet Board and CEO

3. Appointment of the chairperson of Telkom

4. Imminent appointment of the CEO of Telkom

5. Announcement that hundreds of billions will be spent on a speed train between Durban and Johannesburg whilst workers have no reliable, cheap and accessible public transport to move from their ghettos to work

6. Installation of electronic toll gates all over Gauteng which in time will be case everywhere in the country

The CEC also expressed concern at the growing number of reports and allegations around the Gupta brothers' involvement, along with the President's son, in various deals in mining, property and elsewhere. Recognising that the newspapers publishing these stories may have their own agendas, it was agreed to commission independent research into these very serious allegations to determine facts and in order to answer these questions:

1. Is it true that the success of the Gupta brothers amounts to plundering of the economy bearing in mind that they remain citizens of another country?

2. If so what is the implication of the involvement of other role players and partners in the plundering?

3. Is the focussed media attention to the Gupta family just a negative preoccupation and a jealousy at the success as genuine business?

4. Are the allegations true that the Gupta family uses underhand means and political influence to advance its interests or is it jealousy on the part of those raising the matter?

Central Committee

The CEC confirmed the agenda for the Central Committee which will take place on 28-31 March 2011. The first day will focus on the Living Wage Campaign and in particular the threat posed by Walmart's take-over of Massmart. Adriana Rosenzvaig, Assistant General Secretary of UNI, has been invited to speak on the history of Walmart internationally.

COSATU is continuing to fight to stop this anti-union monolith, whose turnover is greater than that of South Arica's GDP, from entering the country. We fear that it will destroy jobs not only in the retail sector but manufacturing as well, as it procures the cheapest products from sweatshops around the world. The federation is demanding that a minimum of 70% of goods must be procured locally.

Other guest speakers will be the President of the ANC, General Secretary of the SACP and General Secretary of ITUC, Sharan Burrow, who will outline its campaign against multi-national companies.

International

The CEC congratulated the people of Tunisia and Egypt on their victories for democracy and human rights, which are an inspiration to workers and the poor all over the world. We send our solidarity to the people who are struggling in Yemen, Bahrain and elsewhere and condemn the brutal killing of protesters in Libya and the arrests of our comrades in Zimbabwe, including the ZCTU President, Lovemore Matombo.

Issued by COSATU, February 24 2011

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