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Numsa Policy Resolutions

 

Edited Version

 

Section 5

 

Socio Economic Resolutions

 

1987 to end June 2012

(includes NC 2012)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Section 5

 

Socio Economic Resolutions


 

Table of Contents

Believing. 8

Capitalism.. 8

Neo-liberalism.. 8

Alliance and economic strategy. 8

Codetermination. 9

Industrial strategy. 9

Informal sector. 9

BEE. 9

Land, housing and shelter. 9

Social Sector. 10

Social welfare. 10

Public transport 10

Energy. 10

Unemployment, poverty and price increases. 10

Crime. 10

Xenophobia. 10

Supplier parks. 10

Socio-Economic Policies. 10

Class Perspective. 10

Macro-Economic Policy. 10

Perspective. 10

Reconstruction Accord. 10

Gear and alternatives. 10

Developmental State. 10

New Growth Path. 10

Economic Restructuring. 10

Growth and Development Summit 10

Response to Global Crisis. 10

National Planning Commission. 10

Labour Market Policy. 10

Principles of Labour Market Policy. 10

Outsourcing and subcontracting. 10

Restructuring. 10

Extended Collective Bargaining, not co-determination. 10

Deregulation. 10

Social Ownership. 10

Co-operatives. 10

Numsa Co-operatives. 10

Labour Brokers. 10

Employment Equity Act 10

Export Processing Zones (EPZs), Spatial Developments Initiatives (SDIs), Industrial Development Zones (IDZs) 10

Call Centres. 10

Chinese Companies. 10

Youth Wage Subsidy. 10

Finance Policy. 10

Finance Sector 10

Capital Mobility. 10

Foreign direct investment 10

Debt 10

Banking. 10

Retirement Fund Investments. 10

Fiscal policy. 10

Progressive Tax System.. 10

Monetary Policy. 10

Reserve Bank. 10

Inflation Targeting. 10

Exchange Controls. 10

Trade Policy. 10

Trade and Tariffs. 10

Demands on tariff regulation. 10

Non-tariff barriers. 10

Customs and Excise. 10

WTO, NAMA and Social Clause. 10

Industry Policy. 10

Background. 10

Vision. 10

Strategy. 10

Buy South African. 10

DTI initiatives. 10

Industrial Policy Action Plan. 10

Industrial Policies in Africa. 10

Industry Funds. 10

Research and Development 10

Scrap Metal Policy. 10

MIDP / APDP. 10

Importation of second hand minibuses. 10

Competition Policy. 10

Competition Commission. 10

Import Parity Pricing. 10

Beneficiation. 10

Iscor / Arcellor-Mittal 10

Immigration Policy. 10

Black Economic Empowerment. 10

Background. 10

BEE Deals in the Factory. 10

BEE Policy. 10

Small Business Development. 10

Approach to SMMEs. 10

Support Measures for SMMEs. 10

Land, Housing, Shelter, Agriculture. 10

Principles of land justice. 10

Land and Housing. 10

Company Housing Schemes. 10

Guidelines. 10

Hostels. 10

Land reform and rural development. 10

Agriculture and food production. 10

Farmworkers and land. 10

Townships. 10

Foreign ownership of land. 10

Equipment for new houses. 10

Social Sector 10

Orientation. 10

Social Expenditure. 10

Social Grants. 10

Retirement Funds. 10

Strategy. 10

State Retirement Fund. 10

Retirement fund contributions. 10

Retirement Fund Benefits. 10

Service Delivery. 10

Transformation as a prerequisite. 10

Improving service delivery. 10

Transformation of Public Service. 10

Social Wage. 10

Health. 10

National Health Provision. 10

HIV/AIDS. 10

Education and Skills Development. 10

Education. 10

Principles of skills development 10

Rights of Workers. 10

Problems in Skills Development 10

Improving Implementation. 10

RPL. 10

Adult Education. 10

Public Transport. 10

Utilities. 10

Local Government. 10

Transformation. 10

Race and elections. 10

State sector of the economy. 10

State-owned Enterprises. 10

Restructuring SOEs. 10

Strategic direction. 10

SOE Mismanagement. 10

Proposed State Minerals Company. 10

State and SOE Procurement Policy. 10

The importance of State procurement policy. 10

State Procurement Policy Conditions. 10

Government Departments, Parastatals and DFIs. 10

Socio Economic Issues. 10

Poverty. 10

Jobs. 10

Fight Job Losses. 10

Jobs Summit 10

Energy. 10

Energy Policy. 10

Energy crisis. 10

Energy pricing and supply. 10

Saving energy but not at the expense of the working class. 10

Green energy. 10

Building a Socially-Owned Renewable Energy Sector in SA. 10

Rollout of solar water heating systems. 10

REDS. 10

Environment. 10

Significance for workers. 10

Action in the community. 10

Climate Change. 10

Privatisation. 10

Principles. 10

Restrictions on privatisation. 10

Re-nationalisation. 10

Action. 10

Food. 10

Underlying causes of food crises. 10

Actions required. 10

Crime. 10

Corruption. 10

Xenophobia. 10

Social Contract. 10

Technology and work. 10

World Cup. 10

Transformation of Judiciary. 10

E-tolling. 10

Socio-economic Forums. 10

NEDLAC. 10

Millenium Labour Council 10

Provincial Development Councils. 10

Windfall Profit Monitoring Body. 10

Index. 10

 


 

Believing

 

This section is drawn from all the ‘Believing’ sections of all the socio-economic resolutions from 1987 to 2011.

 

Capitalism

1.     Capitalism all over the world cannot solve the problems of unemployment, poverty, lack of basic facilities, nor can it meet the aspirations of the working class.

1.1.  The sweat of workers is continuing to boost economic growth and create profits for capitalists.

1.2.  The working class is not reaping the benefits of this labour in the form of positive job creation programmes or improved social services.

2.     Only a democratic people's state under control of the working class can solve the present economic crisis.

3.     Organised workers must intervene decisively to achieve an economic reconstruction that:

3.1.  deals effectively with unemployment, poverty and lack of basic facilities.

3.2.  strengthens the power of the working class in its advance towards a democratic socialist society.

3.3.  develops both South Africa and the economies of Southern Africa in a way where their relations with the world economy will be of mutual benefit. The external orientation of our economy must build and strengthen international worker solidarity.

 

Neo-liberalism

1.     Rich northern countries continue to impose their neo-liberal policies by calling for increased tariff reduction under the guise of market access for agricultural products.

2.     The so-called attempts to boost market access under the guise of a developmental agenda that would benefit developing countries is nothing more than a sham to sell neo-liberalism and rupture the relationships amongst developing countries

3.     Transnational companies continue to blackmail governments to lower labour standards in return for investments.

4.     Wholesale liberalization of the market cannot be acceded to by developing countries like South Africa as it can lead to an unprecedented collapse of our industries and the worsening of the already unacceptable unemployment levels.

 

Alliance and economic strategy

1.     An opportunity exists for the alliance to build a broad consensus on economic strategy that will among others confront poverty, unemployment, work and job insecurity  thereby advance the objective of a better life for all.

2.     The Freedom Charter’s vision of a society in which “people shall share the country’s wealth” is still relevant in the current socio economic conjuncture.

 


 

Codetermination

1.     Co-determination in the private sector together with participation on the Board of Directors is politically dangerous:

1.1.  it will make our interest/agenda the same as that of the bosses

1.2.  it will force us to succumb to market forces that operate the individual enterprise

1.3.  it will force us to manage the crisis of capitalists and make us participate in retrenchments and downsizing of our members.

 

Industrial strategy

1.     There is a need for an industrial strategy that requires active state intervention on behalf of the poor and the working class and democratic participatory planning.

3.     Manufacturing creates sustainable value for economies and employment

4.     We cannot rely on minerals and oil that will run short in years to come

 

Informal sector

1.     The capitalists and the state benefit directly from the promotion of small businesses in the so-called informal sector, because:

1.1.  capitalists do not have to negotiate with workers over rational programmes of job creation and investment in the economy;

1.2.  the development of small businesses form part of a move by capital to push for deregulation and other measures which undermine the gains made by the organised working class;

1.3.  multinational capital can continue to benefit from the enormous capital outflow from the country;

1.4.  capital and the state are attempting to divide workers and protect their own interests through creating a petty bourgeois class  of small business men and women.

BEE

1.     BEE has actually benefited a few elites who continue to reap the fruits of a deracialised capitalist system.

1.1.  Banks are still the majority owners of the majority of BEE enterprises.

1.2.  Workers have not benefited anything from the current BEE policy

1.3.  Large chunks of the economy remain in white hands in a very few conglomerates 

2.     When government departments give tenders to BEE companies they do not consider whether the product is manufactured locally.

3.     Capitalism corrupts our shop stewards at the expense of our members; shop stewards are entering into business deals with immediate employers and suppliers.

 

Land, housing and shelter

1.     A comprehensive response to the issues of land, housing and shelter which is located within broader urbanisation strategies is urgently required.

2.     The main responsibility for building and facilitating the provision of affordable housing lies with the State, which must allocate large resources to address this issue urgently.

3.     The employers also have an important responsibility to provide housing, which so far they have not been fulfilling.

4.     The issues of housing and land offer some of the most substantial opportunities to build an engine for economic growth.

5.     Redistribution of agricultural land is an important step in redressing the crimes of apartheid.

6.     It also provides an opportunity to restructure agriculture so as to increase its contribution to economic growth by involving disadvantaged communities in new types of farming.

 

Social Sector

 

Social welfare

1.     A universal social welfare system is a minimum condition of any macro-economic strategy.

2.     The minimum requirements for a universal welfare system for South Africa are health care, retirement incomes, public transport, housing and land.

 

Public transport

1.     Investing in public transport, particularly light rail and buses, does not rely as much on imports as our existing auto or heavy vehicle assembly industry. It will therefore link to industry policy issues, boost employment and generate wealth.

 

Energy

1.     Access to energy especially electricity is a basic right.

2.     Nuclear energy is expensive and unsafe for people of South Africa and the rest of the world and can cause irreversible harm to the environment.

3.     South Africa does not have the capacity and resources to deal with radioactive waste.

4.     Eskom is demanding huge increases in tariffs due to load-shedding, which is a result of privatization.

5.     The government can be induced to implement a combination of measures  to reduce South Africa’s dependence on imported oil such as making South Africa more energy efficient.

6.     Reducing dependence on imported oil will impact positively across the economy in terms of creating jobs and promoting economic growth in a sustainable low interest rate environment without the tedious cycle of boom and bust driven by dependency on imported oil and its impact on the price of every commodity.

 

Unemployment, poverty and price increases

1.     People have a right to eat and be fed but the price of basic needs (food, health, electricity, education etc)is unacceptably high and is affecting our country's poor; the majority of our people cannot afford these basic needs of life. (N Cape)

2.     Unemployment and poverty amongst the majority of our people are worsening rather than improving.

3.     The spate of price increases will endanger the stability of our society giving rise to riots and divisions among the poor e.g. xenophobic attacks.

4.     50% of South African workers still earn less than R1000 per month.

 

Crime

1.     Crime is primarily caused by the capitalist system which produces unemployment and poverty.

2.     Sufficient community involvement will eradicate crime 

3.     Lack of wealth distribution engenders values of selfishness and individualism that perpetuate the crime situation

Xenophobia

1.     If not brought to an end decisively, xenophobic eruptions have a potential to divide the African working class along nationalities and weaken the working class struggle against the bourgeoisie on the continent and elsewhere.

2.     The main causes of the xenophobic eruptions include:

2.1.  The capitalist system that increases and reproduces the reserve army of labour (the unemployed) and replaces locals by foreign nationals at low wages and cruel conditions of employment:

2.2.  competition for scares resources;

2.3.  poor performance and corruption in the home affairs department

2.4.  Bad border control policies which result in failure to record who leaves and enters the country.                                                

 

Supplier parks

1.     Supplier parks are at the mercy of the main companies they are supplying.

1.1.  Working hours, shifts and many conditions are imposed by the main companies, affecting the ability of the union to improve conditions.

1.2.  The price of products imposed on companies based in the supplier ultimately affects the wages of Numsa workers.

2.     Working conditions are miserable and difficult to improve.

3.     Numsa members in the main companies have a false belief that they are better than workers in companies in supplier parks thus weakening solidarity between Numsa members to improve conditions together.

 


 

 

Socio-Economic Policies

 

From here onwards all the text is drawn from the ‘Resolving’ sections of resolutions.

 

Class Perspective

1.     On the tale of the so-called two economies and what it represents, we must assert that the classical understanding of economic systems in the world reveal that 2 classes, namely the working class and the capitalist class, are pitted against each other in a contestation for the domination of capitalism or socialism. We must therefore resolve that the South African economy is one economy that is capitalist in character and in form and that the working class suffers from the inherent negative impact of the capitalist system which sees profit before people. The CC after the congress to develop a strategy to discuss the issue of the two economies.

2.     We need a strategic plan for the transfer of economic and political power into the hands of the working class.

3.     We reject the notion that there are two distinct economies, recognising that it is capitalism that has displaced and dispossessed millions of poor people in South Africa

4.     We maintain that the Freedom Charter is the guiding document together with the RDP on economic development and wealth distribution

5.     We must expose the class bias of economic analysts/commentators when they launch attacks with their utterances against the aspirations, needs and interests of the working class. In this regard we should develop a solid consistent articulation that shows the class character of these conservative economic analysts even if it means buying printing space in the media.

 

 

Macro-Economic Policy

 

Perspective

1.     We should constantly reflect on the Freedom Charter and remind ourselves that the Alliance has an obligation to implement the fundamental principles of the Charter. Service delivery should be addressed in the context of the Charter that speaks of ‘shared wealth’ and not as if it is something that exists independently of the Freedom Charter. Government therefore has a responsibility to assist the poor and marginalised communities in our society.

2.     We believe that the role of the state remains central to the maintenance and driving of macro-economic policy. We believe that the state’s economic strategy should target areas like job/employment creation.

3.     The key areas of focus should be raising the skills and capacity of our workforce through skills upgrading and training, an active industrial policy which identifies sectors and clusters to be promoted and defended, infrastructure development and an active labour market policy.

4.     It is also Important to look at the pricing of raw materials in the domestic market. The state should recognise that it is a major player in the market and should use its muscle in relation to procurement policy to ensure that it creates demand in the domestic market.

 


 

Reconstruction Accord

1.     We agree with the Reconstruction Accord subject to the condition that the ANC achieves, in the constitutional negotiations, a bottom line of a strong and democratic unitary state based on majority rule without any minority veto.

2.     We agree that Cosatu should enter into the Reconstruction Accord with other organisations and parties.

3.     Parties to the Reconstruction Accord should be Cosatu and other Trade Unions, ANC SANCO, SACP and other organisations who fit the following criteria:

3.1.  have a history of opposition to apartheid

3.2.  fought consistently to unite organisations of the oppressed people

3.3.  have democratic practices

3.4.  support majority rule

3.5.  agree to put working class interests and issues high on the agenda.

4.     The Accord should:

4.1.  Reflect Cosatu's position on nationalisation; this is a prime objective

4.2.  Include a general statement on the need for a wage policy that addresses poverty, inequality, racism, gender discrimination and the collective bargaining structures.

4.3.  Include, on the social wage a pensionable age of 55, with the right to work and receive benefits, equal payment of pensions to males and females and an unemployment and social benefit fund.

5.     After the signing of the Accord, Cosatu should monitor and assist with the implementation of the Accord.  The signed Accord should be used to mobilise people to support ANC.

6.     Cosatu should now look at strengthening and uniting the Working Class inside and outside the factories; in urban and rural areas.  We should do this by:

6.1.    carrying out the resolution of our Congress to call a conference on socialism

6.2.    call a conference of Civil Society

6.3.    Look at new forms of organisation that will unify the Working Class organisations and parties to take forward a programme to implement socialism.  This could take the form of a Working Class Party.

6.4.    Set into motion a concrete programme of action to address the needs of the unemployed and under-employed.

6.5.    Instead of simply calling conferences, we want a mechanism to be put in place to monitor the decisions implemented after these two conferences.  This mechanism must be based regionally and nationally.

7.     Along with the Reconstruction Programme there should be a specific agreement between Cosatu and the ANC with the following specific objectives:

7.1.    To provide basic social infrastructure to all of South Africa's people by the end of this century.

7.2.    To carry out a policy and institutional reform that will lead to stable and environmentally sound economic growth with a rising standard of living for all.

7.3.    To ensure that we develop mutually beneficial socio-economic relations within Southern Africa and Africa as a whole.

7.4.    To carry out the above objective through a process of domestic participation and the establishment of rights that will remove all forms of discrimination by race, sex or creed and that will ensure that all persons - in particular women, youth and rural peoples - benefit from socio-economic reconstruction.

Gear and alternatives

1.     We remain firm in our rejection of Government’s Growth, Employment and Redistribution (GEAR) strategy

2.     We need an alternative to GEAR, since no industrial strategy can succeed under the current macro-economic framework. SACP/Cosatu must put resources into developing an alternative accumulative framework to GEAR.  A revised framework must be based on:

2.1.  Dealing with the problem of the Apartheid debt.

2.2.  A review of current fiscal and monetary policy and a reconstruction of a new set of parameters for fiscal and monetary policy within the framework of a redistributive and expansionary, sustainable fiscal policy. The target in this regard will be the Medium Term Expenditure Framework (MTEF)

2.3.  The scrapping of inflation targeting

2.4.  Reinstatement of exchange controls to prevent the asset-stripping of South African industry

2.5.  The alignment of macro-economic strategy with a people-centred industrial, agrarian and environmentally friendly policy.

3.     The National Office Bearers are mandated to table at Cosatu a vigorous sustainable campaign through mass action to engage the government and public corporations, like Eskom, Transnet, etc. on the neo-liberal policy i.e. GEAR, globalisation, privatisation, outsourcing, downsizing, right-sizing, rationalisation, and at a theoretical level to revive RDP as the guiding policy for social delivery and economic growth.

4.     We reaffirm Cosatu’s 2003 resolution (cluster 3, on social protection). The social security system should be extended to include the unemployed and rural women, with the objective of ensuring that such a system is able to sustain decent life. The current grants should be increased annually above inflation rate to meet the household minimum living levels.

5.     The government should develop a comprehensive National Health Care Plan.  

6.     Government should provide a basic income grant for the unemployed and we support  the Cosatu NC 2000 resolution on the basic income grant. All grants should be close to the minimum living level. 

7.     The realignment of the social security net should be a continuous agenda item for discussions to address the imbalances created by apartheid.

8.     Workers should retire at age 55 so that we contribute to new entrants into the labour market. In the short term we should campaign for the pensionable age for men to be 60.

9.     South Africa must

9.1.  maintain its financial independence from World Bank and International Monetary Fund.

9.2.  deepen national sovereignty and build popular social forces in our societies to confront neo-liberal forces to slow down globalisation.

10.  Numsa must:

10.1. Harmonise our programmes and campaigns on jobs, transformation and diversifying the financial sector.

10.2. Continue the struggle for a strong state which intervenes and directs the economy

10.3. Campaign for government to introduce a progressive tax system whereby the rich are taxed more than the poor.

10.4. Demand that government make available much needed resources for the rural poor i.e. tractors, fertiliser, etc. In this regard, the Land Bank should be proactively used to assist our people in the rural areas who wish to access land and resources for productive use.

 


 

Developmental State

1.     The developmental state through its planning commission should decisively intervene to redistribute resources away from the developed to the underdeveloped areas using a variety of policy instruments including taxation

2.     The developmental state should also intervene to build a social economy that is orientated towards meeting social needs

3.     Numsa must undertake a visit to Venezuela and Cuba to draw lessons from the model of development and transformation project.

 

New Growth Path

1.     The fiscal policy in the New Growth Path is too restrictive

2.     There is nothing new in monetary policy proposals

3.     The exchange rate policy is illogical

4.     The macroeconomic package around which other elements of the policy are organised have the potential to undermine the very aims that New Growth Path seeks to achieve.

5.     As Numsa we have serious reservations about the proposals in the document ;: we as a union do not endorse the New Growth Path. We are of the firm view that the New Growth Path does not:

5.1.  represent the interests of our members, of organised workers or of the working class and the poor

5.2.  fundamentally change patterns of investment and ownership eo that we could have a more equitable economy

5.3.  take us onto a new economic trajectory

6.     Inside Numsa, we commit ourselves to the following to inform and educate our members on the contents of the New Growth Path:

6.1.  We will run workshops for regional leadership on the New Growth Path in the last week of January 2011 in all our regions

6.2.  We will produce the first edition of Numsa News with an insert that compares growth path of Cosatu, the government’s document and the response produced by Business Unity South Africa (Busa).

7.     Cosatu needs to develop a fighting strategy to confront the government over the NGP. The Cosatu proposal needs to be advanced, and a formal response from government obtained.[1]

 

Economic Restructuring

1.     For the working class, any restructuring must have as its primary objective the empowerment of the working people through higher skills, job security, creation of new job opportunities amd technological innovations appropriate to our needs and a sustainable environment.

2.     While we accept that in the context of "free trade", we may have to deal with institutions such as the International Monetary Fund (IMF) and the World Bank, we must resist any attempt by these institutions to dictate or shape the restructuring and investment agenda.

 

Growth and Development Summit

1.     Numsa commits itself to the broad thrust of the Cosatu resolution and should develop an implementation plan of all areas agreed upon in the GDS in the sectors organised by us.

2.     Sector summits should be convened to give effect to the agreement of the GDS.

3.     All Cosatu affiliates should have a structure linked to the secretariat for GDS resolution implementation.

4.     Numsa and the federation must evaluate whether the GDS is working in the interests of the unemployed; we must assess whether targets set in the GDS are being met.

5.     While not forgetting macro-economic issues, Numsa, Cosatu and the SACP should take immediate steps to ensure that changes are implemented on a micro-economic level e.g. establishment of cooperatives and joint ventures with workers who are confronted with retrenchment and/or have become redundant as a result of industrial restructuring.

6.     A further round of the GDS should focus on changes in macro-economic policy as a means of addressing escalating poverty and joblessness.

7.     To promote job creation, employers should stop outsourcing/retrenchment, invest in community development programmes and expand production capacity by increasing end users.

8.     All agreements that are entered into with government must be gazetted.

 

Response to Global Crisis

1.     Capitalists in the world are in crisis and are looking for governments to bail them out. We must appreciate therefore the fact that Capitalism has failed and the time is opportune to search for alternatives.

2.     The trade union movement must develop one common perspective on the international developments. We must also reflect on the stance taken by our sister unions in Europe and USA because in instances of crises these Unions invariably defend their own members against international solidarity.

3.     We must revive the call that “Another World is possible” and rally the international social movement to respond to the current developments.

4.     The current crisis must be used to deepen the class consciousness of the international working class.

5.     The current crisis is not necessarily a financial crisis - it is a deepening global capitalist crisis - we need to then find the tools to deal with this crises - there is currently no coherent response to how we resolve or deepen the crisis - we are an export oriented country and it will therefore hit deep in the engineering sector - the ANC need to develop a plan to say how we defend and save jobs.

6.     The 1945 crisis was resolved on the basis of increasing industrial capacity - budgetary priorities of the state must be about inducing demand in the economy - an expansionary fiscal policy is therefore required.

7.     The Reserve Bank is failing to control free capital flow out of our country; we need to demand liquidity control.

8.     Price fixing requires attention so that we address the recent tendency amongst companies that collude and fix prices.

9.     As an immediate response, the Cosatu short term proposals are welcomed and supported.

10.  Numsa and Cosatu in collaboration with the SACP must intensify struggles to achieve working class hegemony and political vigilance, to combat neo-liberalism in the ranks of the revolutionary movement and our society broadly, and, to advance and defend the radical nature and character of the NDR.

11.  Numsa agrees with the government’s proposed stimulus package to save jobs. Such a package should ensure maximum local content and that provincial governments receive equitable shares.

12.  Numsa’s detailed response to the crisis focuses on the following[2]:

12.1.   Economic strategy:

2.1.1.     The role of the solidarity economy and co-ops

2.1.2.     The role of nationalization

2.1.3.     Green jobs

2.1.4.     Using infrastructure to boost the economy

2.1.5.     Diversifying the economy

2.1.6.     Jobs in the electro-technical sector

12.2.   Protecting victims of the crisis:

12.2.1.  Dealing with ailing companies

12.2.2.  Stopping short-time, layoffs, retrenchments

12.2.3.  Training

12.2.4.  Home-owners stretched by the economic crisis

12.3.   Trade union response::

12.3.1.  Engagement with government

12.3.2.  Engagement with local government

12.3.3.  Engagement with employers

12.3.4.  Social campaigns

12.3.5.  Organisational issues around the global crisis

 

National Planning Commission

1.     Numsa is disappointed that the Diagnostic Report, while noting our unjust history and its heritage of a highly unequal country characterised by mass unemployment and national poverty – all highly racialized with black people in general and Africans in particular placed at the bottom – fails to recognise and use this historic fact to consistently analyse South African economy and society. Thus in some instances, such as the rot in our inherited Apartheid health and education sectors, blame is erroneously placed on the working class.  

2.     Further, the NPC Report fails to recognise the impact of our continuing post 1994 neo-liberal macro-economic policies as worsening our triple crisis of extreme inequalities, mass unemployment and mass poverty

3.     We believe that the propositions of the NPC are in opposition to the aspirations of the Freedom Charter.




 

Labour Market Policy

 

Principles of Labour Market Policy

1.     Close the apartheid wage gap

2.     Train and develop the workforce

3.     Through NEDLAC guide the impact of Public Works Programmes to ensure training in communities and job creation.

4.     Reject the three tier labour system now being introduced by the Minister of Finance, in the interests of capital, because all young people who leave tertiary institutions need quality jobs that pay a living wage[3].

5.     Call on government to appreciate that in a country that has just shed 900000 jobs, much greater resources must be spent on creating decent jobs that pay a living wage[4].

 

Outsourcing and subcontracting

1.     Regardless of who is being outsourced to, including black  consortiums, we should continue to demand that:

1.1.  There is no downgrading of labour standards and benefits

1.2.  Workers should not be misplaced

1.3.  Employers should consult unions 6 months prior to outsourcing.

1.4.  There should be full disclosure of information.

1.5.  Outsourcing should not result in job loss.

2.     Companies which outsourced their marketing departments should be encouraged to re-insource their marketing departments so that the workers through the union could have some control on the companies’ marketing strategies.

3.     We condemn the practice of sub-contracting and our members will fight it with all their energy.

 

Restructuring

1.     We need to mobilise communities on land reform, training and skills development, training and public works programmes and with issues concerning women’s development and job creation.

 

Extended Collective Bargaining, not co-determination

1.     Numsa condemns the efforts of companies to co-opt, fool and divide workers through sale of parts of their businesses to workers and will carry out education among our members to clarify to members the aims of this management policy.

2.     We reject participation in corporate governance i.e. participation in company boards. The agenda/interests of employers is not the same as the agenda/interests of workers. In public enterprises our agenda must be to look at how we transform those companies from the bottom right to the top.

3.     It is high time that as a union we should put forward a programme of workplace democratisation, in line with our ideal of workers control.

4.     As a counter to co-determination, labour should pursue a policy of extended collective bargaining. What this means is that as unions, we should fight for extending our role into areas that up to now have been considered as management prerogative[5].

5.     We should conduct this extended collective bargaining:

5.1.  At plant level

5.2.  Through normal collective bargaining institutions

5.3.  Through representations to the Board of Directors and shareholders’ general meeting.

6.     In our fight for the above we must insist on:

6.1.  the right of the union to be directly involved in the negotiations. In multi-union plants and where management argues that we are not representative, we must opt for joint union structures where unions that are active in the plant will be proportionally represented

6.2.  voluntary dispute resolution mechanism

6.3.  the duty of the employers to disclose information

7.     There must be legislation to compel companies to disclose to unions plans to go to Board of Directors and shareholders annual general meeting. (see also policy on Corporate Governance)

8.     In line with this, unions must not trigger workplace forums. Instead we must use traditional union structures.

 

Deregulation

1.     We also commit ourselves to fight all attempts at deregulation and exemptions which allow employers outside the main centres to pay slave rates and to give no benefits at all to workers; this includes any deregulation of small businesses or their exclusion from industrial council agreements;

2.     Numsa will strongly oppose attempts being made by the Department of Manpower to destroy national bargaining and industrial council agreements which are an obstacle to the policy of deregulation;

3.     Numsa will oppose any exemptions from industrial council wages and conditions of employment for firms in rural areas, unless the workers in those firms freely and democratically, without any pressure being placed on them, support the request for exemption.

4.     Numsa accepts that the only way to stop deregulation is to organize these businesses, and this congress instructs the secretariat to develop ways of doing this.

 

Social Ownership

1.     We are opposed to privatised companies being transformed into socially owned companies, but we support Cosatu/Naledi investigations/research on how companies that go under can be socially owned.

 

Co-operatives

1.     Numsa will continue to support co-operatives which currently exist within the union for as long as they play an educating and organizing role in the union and outside.

2.     We will educate our members on savings and the formation of co-operatives

3.     We will encourage the establishment and development of co-operatives based on the principles of:

3.1.  democratic participation of co-op workers and co-op members through mandates and report backs;

3.2.  a commitment to the development of the skills and leadership of co-op workers and co-op members to ensure democratic control of the project :

3.3.  open membership to persons from the communities where our members live :

3.4.  co-op awareness and commitment to the needs of workers and working class communities.

4.     We will actively support co-operative projects initiated through Numsa structures by;

4.1.  establishing appropriate structures and monitoring the role of existing structures of co-operatives in relation to union structures;

4.2.  scrutinizing budgets submitted to Numsa through the Central Committee and thereafter to raise such financial support as agreed to by the Central Committee;

4.3.  exercising caution in setting up any new co-operatives by investigating thoroughly the feasibility of such proposed new co-operative projects to be established under the support of Numsa or existing Numsa supported co-operatives;

4.4.  mandating (in the region or local where the co-operative is based) regional and / or local representatives to serve on the co-ordinating structures of the co-operative;

4.5.  calling, through the National Co-operative co-ordinator Department, a minimum of three National Meetings of Numsa supported co-operatives per year;

4.6.  promoting an awareness of co-operatives among Numsa membership around the issue of co-operatives through the regular publication of a co-operative newspaper;

4.7.  developing the understanding of Numsa membership around the issue of co-operatives by ensuring that co-op educators participate fully in the Numsa education structures and attend Numsa national education meetings.

4.8.  engaging Numsa Investment Company to investigate the possibility of the establishment of a programme of cooperatives and to purchase a farm to be used as a school for cooperatives to train our members who want to pursue farming in a collective form.

5.     We will support the development of co-operatives in Cosatu or its affiliates in any way which Numsa deems necessary.

6.     We call on the developmental state to force development finance institutions to finance worker owned co-ops that are producing socially useful products.

 

Numsa Co-operatives

1.     Cooperatives must account to constitutional structures for monitoring of programmes

2.     The CC must develop a programme identifying these cooperatives and their linkage to respective provinces and regions.

3.     The NOB, the Research Unit & Benefit Coordinator must give training on Cooperatives.

4.     A unit within the NIC should be dedicated to coordinating cooperatives.

5.     Numsa should do research on cooperatives including looking at our own cooperatives and draw lessons from those.

6.     The December 2013 CC must review the experience of having a national cooperatives coordinator and will assess whether there is a need to employ regional coordinators of cooperatives as well.[6]

 


 

Labour Brokers

1.     Numsa calls on our ANC to remind all our ministers that the ANC promised the people and the workers of this country decent work; decent work is not available through labour brokers therefore the ANC must ban labour brokers.

2.     We must reinvigorate our campaigns (through Nedlac, bargaining councils and mass action campaigns in case Nedlac process is not capable) to outlaw labour brokers and temporary employment services and labour laws that are rolling back the gains that workers have made

3.     Cosatu must lead an intensive campaign against casualisation and labour brokers.

4.     Labour brokers must be banned within the first 100 days of the new government with appropriate legislation to give effect to this.

5.     Numsa has been consistent in the fight against labour brokers during our collective bargaining processes. The boardroom talks in Nedlac must now be taken to the masses so that an intensive campaign can be undertaken. We must take up a fight with the Ministry of Labour which seems not to take labour market issues seriously, including occupational health and safety matters. Key in this battle must be the legacy of apartheid that continues to reside in our workplace with particular reference to employment equity patterns that show no transformation of the workplace[7]

6.     All efforts to cause Cosatu to participate in reforming labour brokers must be combated, and resisted. The banning of labour brokers must be understood also as a Freedom Charter demand.[8]

 

Employment Equity Act

1.     The CC in March 2009 must adopt a clear programme headed by the presidency to implement EEA, SDA in all the sectors and report to the Secretariat on a yearly basis until the 9th National Congress for review.

2.     Very little effort is paid to women who are retrenched; Numsa must declare that the Employment Equity Act will be used to protect women workers

3.     There must be a review of the Schedule on maximum permissible fines that may be imposed for Contravening the Act with the aim of imposing stiff penalties on those who do not comply with EEA, particularly in relation to black women.

4.     Whenever a Department of Labour inspector visits the company, they must first see the employees representatives and make them part of the visit.[9]

 

 

Export Processing Zones (EPZs), Spatial Developments Initiatives (SDIs), Industrial Development Zones (IDZs)

1.     We remain opposed to EPZs etc. as they down-grade labour standards.

2.     In engaging those who propagate the concept, the following principles underpin our engagement:

2.1.  Community participation in the project development

2.2.  Capacity building as it relates to human resource development and training programmes

2.3.  Diversification of investment to avoid possible failures

2.4.  Backward and forward linkages to stimulate local and regional industries to such zones

2.5.  Guaranteed labour standards

2.6.  RDP based development.

3.     NUMSA rejects the Special Economic Zones Bill in its current form.

4.     The NUMSA Research Department must examine the Bill in more detail and submit a response to the DTI outlining our concerns before the Bill is hurriedly passed through parliament.

 

Call Centres

1.     Asgisa projects such as call centres should not undermine collective bargaining agreements and labour laws in the name of employment creation thus widening the gap between rich and poor.

2.     We will campaign against  call centres that exploit and violate the rights of workers in such centres

 

Chinese Companies

1.     We must gather the necessary information with a view to engage the relevant departments.

2.     We must be prepared to publicly demonstrate our objection to our country being exploited without decent employment and procuring local goods and services

3.     We must improve membership representation and mobilise workers across the sectors in these companies.

4.     The information officer must write press releases to expose the companies that are flouting labour laws and collective bargaining agreements.

5.     We will report such companies to the relevant governments departments for action to be taken.

6.     We oppose Ministers who sign bilateral agreements that sacrifice certain labour standards and rights.

 

Youth Wage Subsidy

1.     The implementation of the national Youth Subsidy stands to benefit only the Capitalists.  Numsa must be seen to provide leadership in the struggle against the National Youth Subsidy through an active campaign. The Numsa draft discussion document must therefore become our basis for the campaign against the National Youth Subsidy.

2.      We must stop the implementation of the youth wage subsidy since it has the potential to exploit young workers and further produce unreasonable retrenchments of permanent employees.

 

Finance Policy

 

Finance Sector

1.     Cosatu to commission an investigation on measures that can be taken to regulate the financial sector in a manner that will lead to:

1.1.  the sector contributing to reconstruction and development

1.2.  the sector becoming accessible/affordable to the majority of our people (the working class and the poor)

1.3.  the sector redistributing their wealth and investing in the productive section of the economy.

1.     The report of this commission to be used as a basis for intervention.

 


 

Capital Mobility

1.     In response to the effects of capital mobility, we will:

1.1.  Build and strengthen the labour movement in Southern Africa

1.2.  Demand the representation of the federation in all multi-lateral trade negotiations.

1.3.  Impose strict regulations on labour rights abusing countries.

 

Foreign direct investment

1.     Foreign Direct Investment (FDI) such as Wal-Mart is not creating any economic growth nor creating decent jobs.  We note with concern that there is yet another merger underway which involves Pick n Pay who are already planning to retrench many hundreds of workers.  Cosatu must coordinate an intensive campaign to place conditions on which FDI must be allowed and which disallowed. 

 

Debt

1.     We reject the obsession around the reduction of the deficit because it places serious constraints on the development of communities and the delivery of basic needs.

2.     Cosatu must:

2.1.  investigate the make-up of the internal debt. Depending on the outcome of this, we should develop terms of repayment that include:

2.1.1.     the period

2.1.2.     interest rate and

2.1.3.     evaluate the internal debt to say which of those we should not repay.

2.2.  set up a co-ordinating committee at National, Regional and Local level for publicity purpose and mobilisation of members.

3.     Government should investigate other sources of borrowing that would not lead to an escalation of interest and also should explore creating its own institutions of borrowing.

4.     A People’s Budget should be drawn up to address this problem.

5.     Media coverage must be stepped up locally and internationally.

6.     We must support the world campaign by Jubilee 2000.

 

Banking

1.     The state must establish its own bank, bringing together the land bank, post bank and development finance institutions that it already owns together with commercial banks to break the monopoly of the South African banking institutions.

2.     The mandate of this bank will be to address the issues of transfer of ownership of property in SA.

3.     The state must tax foreign banks like ABSA thirty percent of their profit including taxing another ten percent of any one million leaving our country to go off shore.

 

Retirement Fund Investments

1.     Pension/provident schemes should invest money in housing developments on the following conditions:-

1.1.  it will directly benefit lower paid and poor sections of the working class

1.2.  the p/p scheme does not itself become directly involved in the development

1.3.  investments are spread throughout SA

1.4.  the investment is secured albeit with a lower rate of return.

2.     The National Office Bearers must come up with standard provident fund rules and investment policies.  In this way the union will be able to keep an eye on the investment managers.

3.     We support efforts by Cosatu to block unilateral access to surpluses of retirement funds. We further call on Cosatu to convene a conference where the Federation:

3.1.  will debate and formulate strategies of how retirement funds are to be utilised for productive investments,

3.2.  will explore ways in which funds will be utilised for assisting in the building of experiments with other forms of ownership such as co-operatives.

4.     Government must avoid any regulatory environment that allows DFIs to access pension fund.[10]

 

Fiscal policy

1.      We must call on the ANC-led Alliance government to use expansionary fiscal policy to develop a proper infrastructure for our previously and still marginalised communities as we cannot afford the current conditions where townships and rural areas and schools in these poor communities are still as they were in the past or have experienced little progress.

 

Progressive Tax System

1.     Labour should campaign and engage government for the introduction of a progressive tax system (low for the poor, high for the rich) that is aimed, inter alia, to relax heavy tax burden at retirement (Pension & Provident Fund). There should be a thorough ongoing review of the taxation system based on the following principles of a progressive tax system:

1.1.         All taxes should be progressive (low for the poor, high for the rich)

1.2.         Sufficient resources should be available for the efficient collection of tax;

1.3.         The system should allow for effective exemption for unemployed, as well as those who receive disability and social pensions;

1.4.         Basic commodities should be zero-rated;

1.5.         All citizens should be registered for tax purposes;

1.6.         Pension and provident funds should be taxed progressively at retirement, i.e. exemption for workers and tax the rich accordingly.;

1.7.         Taxation on retrenchment packages should be reduced.

1.8.         There should be effective taxes on fringe benefit, luxury items and capital gains

1.9.         There should be an investigation into tax evasion by all companies; all possible loopholes must be closed.

1.10.      There should be an increase in corporate tax; the neo-liberal strategy to reduce corporate tax must be reversed

1.11.      There should be a Reconstruction Tax of 1% of Annual Turnover to be imposed by Government on Business (Companies).

5.     Small Micro and Medium Enterprises contracted in the private sector must also be closely monitored and ensure that they are registered with the Receiver of Revenue and comply with Collective Agreements in their respective industries.

6.     In the informal sector, those who make substantial gains must be liable for tax.

7.     Should there be no serious attempt to redress the inequities of the tax system then Numsa calls for a major campaign of all civil society bodies and the Alliance on tax.

8.     We urge investigations into how a health card which would give access to basic health services and would be accompanied by proof of lodgement of tax returns, or the registration with the Receiver of Revenue as earning insufficient to pay tax, could assist with widening the net of tax revenue. 

 

Monetary Policy

1.     Price stabilisation measures must be reviewed and different instruments be explored.

2.     Cosatu must make use of the ‘Walking through the Open Doors’ to engage progressive experts in responding in favour of the working class and the poor how inflation must be handled.

3.     SARB to lower interest rates to create employment.

 

Reserve Bank

1.     The SARB should be nationalised and its scope should be further expanded to include job creation[11]..

2.     As Numsa we must revive our campaign against the Reserve Bank as nothing has drastically changed in its orientation since our last intervention[12]

3.     In the short term, Cosatu should:

3.1.  Agitate for the changing of the Reserve Bank Act in such a manner that elected representatives can have influence over the policies and measures taken by the institution.

3.2.  Explore the possibility of a policy of differentiated rates so that projects that are benefiting the people and labour intensive industrial development communities are not prejudiced or made impossible by the policy of high interest rates.  The Government and its institutions are to look at a broader approach to fight inflation and desist from using the blunt instrument of high interest rates to fight inflation.

3.3.  Pursue measures which include:

3.3.1. A broader approach to fight inflation without compromising collective bargaining

3.3.2.  Price controls

3.3.3. Subsidies on basic needs

3.3.4.  An industry policy to stimulate the productive capacity of the economy

 

Inflation Targeting

1.     Cosatu must explore the possibility of a policy of differentiated rates so that projects that are benefiting the people and labour intensive industrial development communities are not prejudiced or made impossible by the policy of high interest rates.

1.1.  There must be negotiations around inflation targeting with Reserve Bank, civil society, Cosatu and business.

1.2.  If negotiations fail, Cosatu must place a demand at Nedlac.

1.3.  Targeting should not hamper development or repress wage settlements.

1.4.  The process to review fiscal and monetary aggregates as agreed in the alliance must be maintained.

2.     The Government and its institutions are to look at a broader approach to fight inflation and desist from using the blunt instrument of high interest rates to fight inflation. Such an approach should include:

2.1.  Price controls

2.2.  Subsidies on basic needs

2.3.  An industry policy to stimulate the productive capacity of the economy.

3.     Numsa and Cosatu should develop a document that explains the differences between Core Inflation and Consumer Price Index  (CPI).

 

Exchange Controls

1.     Cosatu should meet with the relevant government departments/the Alliance to:

1.1.  put its position on the effect of the measures on our people.

1.2.  call for the review and stopping of the planned programme of relaxing controls on residents (including domestic capital).

2.     Cosatu should:

2.1.  inform the public at large about the consequences of such measures.

2.2.  commission a study on what the impact of relaxing controls on non-residents has been on job creation; such a study will form a basis of intervention on controls on non-residents.

 

Trade Policy

 

Trade and Tariffs

1.     The ongoing reduction of import tariffs has brought about the increase of cheaper imports from abroad, more specifically from China and India. This increase in imports has the effect of harming local manufacturers as can be seen with the crisis in the local textiles sector. Keeping in mind South Africa’s obligations in terms of WTO agreements, there should be a balanced approach to trade negotiations where we can make concessions on non-sensitive industries while ensuring that our vulnerable industries are protected.

2.     Trade policy should include

2.1.  A provision for local content.

2.2.  Positions on tax holidays and counter-trade.

2.3.  Anti-dumping provisions

3.     Trade policy should be driven by a strong industrial policy; trade agreements should not impact negatively on our industrial aims but rather be informed and guided by a strong industrial policy that is already in place.

4.     Tariff reduction without supporting policies in affected sectors leads to job losses.

 

Demands on tariff regulation

1.     The tariffs for sensitive  industries should not be reduced at a rate faster than required by the WTO obligations;

2.     Where tariffs in the industry have been reduced faster than the WTO obligations, we demand that they be increased, for targeted products, within the parameters of international obligations;

3.     Concrete social adjustment programmes to transfer workers into new jobs must be introduced if tariff reduction would lead to retrenchments;

4.     Alternatively, where raising tariffs is not possible, we are proposing that safeguard tariffs should be introduced for an appropriate number of years on specific targeted products and sub-sectors that are experiencing hardship.

5.     The Board of Trade and Tariffs must fast-track regulations to enable the adoption of safeguard measures for targeted sub-sectors of the industry.

6.     There must be an aggressive drive against illegal trading and counterfeit goods that stifle economic growth and development.

7.     Government must be transparent in Trade Agreement (TA) processes and respect the imperative of employment creation and protection in deciding to enter into such agreements. 

8.     We call for the setting up of a tri-partite forum funded by the IDC to do an audit of the effects of tariff reductions on particular sectors or industries and make proposals to renegotiate the agreement with WTO. This forum should also investigate how foreign policy impacts on those trade agreements.

9.     We support the proposal by Cosatu for the replacement of GEIS with a National Restructuring Fund that assists companies to address the fundamental problems of uncompetitiveness in the areas of education and training, technology upgrades and work organisation.

10.  Government must stop concluding and signing trade deals that have a negative impact on labour, amongst others; we call for a major economic policy shift on the issue of import tariffs.

 

Non-tariff barriers

1.     The biggest threat to fair trade with our trading partners at the moment is the existence of non-tariff barriers erected by these partners. The barriers make it difficult for South African companies to penetrate international markets and thus contribute negatively to the growth of exports.

2.     Government must actively work to eradicate all non-tariff barriers affecting our local industries in foreign markets.

3.     Alternatively, government must introduce non-tariff barriers to protect local industries against rising cheap imports. 

 

Customs and Excise

1.     There is an alarming increase of illegal imports finding their way into our economy. These imports pose a serious threat to the continued growth of our industries and the job security of workers. Measures should therefore be put in place by the government to ensure that such imports do not enter the country. More specifically, government should build and strengthen the capacity of the customs and excise authorities so that they are better able to effectively deal with the increase in illegal imports. Furthermore, there is a growing problem of dumping of goods by foreign companies into this country. This poses a serious threat to the growth of the affected industries. The current investigation procedure is lengthy and costly for local companies and often the local company goes under, before evidence of dumping can be established. The government should therefore strive to strengthen the capacity of the Board of Trade and Tariffs to effectively and speedily investigate dumping when it is reported by labour and business in the industry.

 

WTO, NAMA and Social Clause

1.     NAMA in its current form or as envisaged by the developed countries remains rejected until demands by developing countries are met.

2.     Numsa and Cosatu must ensure that the country’s trade negotiators remain steadfast with the positions of NAMA.

3.     South Africa must avoid being dislodged from countries that are defending and demanding the right to protect their industries through the use of tariffs; even if so called flexibilities from the WTO stand to benefit our industries, we must be cautious not to alienate ourselves from the poorer developing nations of the world and work towards:

3.1.  building solidarity against the might of the rich northern countries, the G8, EU, etc.

3.2.  using the space created by the collapse of the WTO talks to reignite and solidify its international trade position with all stakeholders at NEDLAC, including community based organizations, social movements, the unemployed and informal workers of our country.

4.     Government should develop an alternative strategy on tariffs, eg raising selected tariffs to the WTO binding rate for SA so as to build and protect the South African manufacturing industry.

5.     Cosatu and Numsa should continue campaigning against countries violating labour laws and using child labour.

 

Industry Policy

 

Background

1.     Numsa aims to develop a relevant and informed industrial policy position paper which will serve to guide the union in its interactions with other relevant stakeholders. The importance of developing a comprehensive industrial policy in the context of the current economic environment in South Africa cannot be emphasised enough. In as far as an industrial policy serves to initiate and co-ordinate the activities of government, with the ultimate aim of leveraging the productivity and competitiveness of the economy to higher levels, there needs to be critical intervention from all stakeholders.

2.     It has become critical for direct interventionist policies in determining the path of economic growth in South Africa. Market forces on their own will not build internationally competitive industries and they will not always work in the national, social and economic interest. For example, market forces may not see the value in generic education and training but rather favour expenditure on narrow short term task-specific skills. An interventionist approach on the other hand could employ taxation sticks and incentive carrots to encourage industries to invest in education and training.

 

Vision

1.     We have to move our industry policy away from the bias towards commodity production to a strategy for the development of more high value-added products for both domestic consumption (import replacement) and exports. Numsa believes that current strategies (e.g. cluster studies, Spatial Development Initiatives (SDIs)) place too much reliance on existing commodity and semi-processed raw material production as the basis of industry policy. Continuing support and extension of these industries encourages capital intensive production rather than labour intensive production.

2.     The export-led growth and economy strategies that have been followed by the government have failed to respond to local needs but focus too narrowly on exports. Emphasis on government policies, through for example the Motor Industry Development Programme, should be centred around local needs such as the need for a sustainable and adequate public transport system.

3.     One of the most important determinants of economic growth should be the increase in domestic market and domestic demand. Both government and industry should propagate policies that boost demand for goods produced and provide support to those who are supplying those goods.

4.     The existing structure of wealth and ownership is greatly distorted and at best totally unsustainable. South Africa remains as the most unequal country in the world in terms of income inequality and wealth distribution. Greater efforts than those that are currently in place are needed to address this anomaly. More emphasis needs to be placed on the implementation of broad-based BEE and land reforms.

5.     There needs to be sustainable job creation and retention. Both the problem of employment as well as that of the working poor should be addressed. Emphasis should move away from focusing on the shortcomings of labour legislation towards use of other policy instruments to create employment e.g. the  investment of state in labour intensive public infrastructure development

 

Strategy

1.     We will struggle for a vibrant industrial strategy that will place local demand for goods and services and the creation and protection of quality jobs at its centre; it must be characterised by the following features:

1.1.      Transformation of production, ownership and control patterns in the economy in the interests of the working class and the poor in line with the Freedom Charter’s call that the people shall share the country’s wealth.

1.2.      State intervention in favour of the working class and the poor.

1.3.      Emphasis on downstream industries and small scale agricultural production which includes co-operatives.

1.4.      Strengthening of competition laws to impose heavy fines and to bite.

1.5.      The reversal of colonial, apartheid, neo-liberal, dependent development trajectory.

1.6.      Adequate balance between industrialisation on the one hand and agriculture and rural development on the other.

1.7.      Local content promotion.

1.8.      All government departments working together to develop a uniform approached towards an Industrial Policy.

1.9.      Government to introduce a heavy tax on scrap metal exports.

1.10.   The promotion of investment in the productive sectors of the economy rather than speculative financial markets.

1.11.   Provisions that deal specifically with import parity pricing

1.12.   A transparent tendering process within parastatals

1.13.   An increase local production and reduced reliance on foreign direct investment (FDI)

1.14.   Funding for research and development from government

1.15.   Monitoring by South African Bureau of Standards (SABS) to ensure that products that are imported comply with specific standards required.

1.16.   No employment subsidies; these were abused in the past. If they are going to be used there must be stricter and proper monitoring systems.

2.     We must guard against allowing parastatals that are involved in strategic equity partnerships with foreign companies being granted licences to manufacture goods. This carries the potential to create job losses in industries/ companies  that are manufacturing the equipment for the parastatal because the SEP can claim that their product (although produced overseas) can be submitted for tender. (i.e. Telkom)

3.     We will push for the regulation of key industries involved in the manufacturing of industrial goods through consultation between the stakeholders at NEDLAC and international level.

4.     Government must provide more financial support to companies involved in the manufacturing of locally produced goods and also fast-track the establishment of cooperatives.[13]

 


 

Buy South African

1.     We have noted the influx of imported goods, and therefore propose that the federation should step up a “buy South Africa goods” campaign and that campaign should be linked to tariff reduction. Key components of the campaign are that:

1.1.  We should push all South African companies to also source their products in South Africa

1.2.  Efforts centred around encouraging local content as well as other measures such as the Proudly South African campaign must ensure that there is an increase in local demand should be encouraged. Demand-led growth is a viable tool for economic growth and more measures should be put in place to effect this.

1.3.  COSATU must take a stand in insisting that all affiliates must buy 100% South African content. In addition, the federation must develop monitoring mechanisms for implementation of this policy in accordance with commitments made in the Local Procurement Accord.

1.4.  In accordance with the Local Procurement Accord, the private sector should aspire to reach and surpass the target of at least 75% local production.

1.5.  Government should investigate measures to incentivise companies that procure a minimum percentage of their products locally.

2.     We would like to see all levels of government lead by example.

3.     Numsa will:

3.1.  Educate our members on the contents of the Local Procurement Accord so that they are able to engage their employers and make them procure locally.

3.2.  Meet with municipalities and the national department of transport to ask them to review the procurement of buses from outside the country and instead procure locally to encourage the creation and retention of jobs.

3.3.  Engage the government to ensure that its trade policies are in support of the buy local campaign. 

4.     The campaign must be intensified to improve the quality of the products, to ensure satisfaction of consumers.

5.     Arising from the ANC Manifesto on rural development, we call upon the incoming minister of rural development to issue a policy instruction that will enable all agricultural equipment to be procured locally

 

DTI initiatives

1.     The Department of Trade and Industry’s incentive schemes have not proved adequate to deal with obstacles to investment. They are not linked to sectoral strategies that would plot a way forward for economic development and they do not consistently support labour intensive growth or improved training. Most firms in the sector, especially the downstream sector do not utilise the incentives mostly due to lack of information about the incentives available as well as the lengthy procedures involved in accessing the schemes. The failure of local companies to utilise the measures is undermining the growth of the sector.

2.     The incentives should be designed to support labour intensive growth and encourage investment;

3.     The incentives must be linked to job creation

4.     The incentives should not only be geared for exports, but should also focus on promoting local production

5.     Government must make the incentives accessible to many potential beneficiaries in the industry by ensuring that they are marketed effectively

6.     the decision by the DTI to designate rolling stock and buses as a way of stimulating local production should be implemented as a matter of priority to create employment in a sector that has suffered heavily as a result of imports.[14]

 

Industrial Policy Action Plan

1.     Black Women should make up 50% of the target of new jobs in the Industrial Policy Action Plan.[15]

 

Industrial Policies in Africa

1.     National centres in the continent and labour confederations should strive that governments should put industrial policies in place in their own countries

2.     Wealth generated by mineral and oil should be invested in building the manufacturing sector.

3.     Nepad should develop extensive plans to build manufacturing in the continent.

4.     Governments should invest in beneficiation in their own countries and should set cooperation at continental level.

5.     Governments should set up a cartel like OPEC to control the production and prices of mineral to have an advantage.

 

Industry Funds

1.     That the organization must develop a program that will deal with industry funds headed by a president, that such a program must include investment strategies and surplus distribution that must happen within a year from this congress.

 

Research and Development

1.     The lack of research and development capacity is preventing the development of an effective manufacturing base that fully beneficiates and fabricates our raw materials down the value chain. Furthermore inadequate research into the characteristics of our sectors in those countries with which we compete for trade opportunities hinders our ability to negotiate favourable terms of trade.

2.     In the instances where research is carried out it is more often than not irrelevant and incomplete in as far as it addresses the concerns of organised labour with regards to employment creation and retention.

3.     To redress this situation:

3.1.  A research body must be established consisting of all stakeholders which will facilitate the sharing of information and the consistent evaluation of the areas of industrial policy that need research input.

3.2.  Sectors with the most potential for growth and in which South Africa has a comparative advantage should be identified and funding from institutions such as FRIDGE should be used to explore ways in which these industries, especially those in the infant stages, can be nurtured and stimulated to increase their growth potential so as to facilitate increased employment in such sectors.

3.3.  Substantial research should be carried out prior to trade agreements being negotiated. This research will identify the strengths and weaknesses in our various sectors and help us develop appropriate offensive and defensive strategies which will protect our economy.

 

Scrap Metal Policy

1.     Several companies in the metals and engineering sector face closure due to the issue of scrap metal producers and distributors refusing to meet local demand and exporting their goods. Local companies who utilise this steel for their operations have been failed by thedti in as far as their plight has not been given the appropriate attention it deserves. The state should play a central role in regulating the exportation of scrap metal, in order to allow local businesses access to scrap metal at a competitive price. thedti should finalise its scrap metal policy as soon as possible in order to ensure that these companies do not close down and jobs are not lost.

 

MIDP / APDP

1.     Whilst we support the extension of the MIDP, government must embark on a thorough investigation that must tell us who actually benefited out of the MIDP since it was introduced. Such investigation must talk to the number of jobs created, the profit generated by employers both in the exporting and importing of vehicles and components.

2.     The Numsa NEC MIDP document must constitute the basis for the federation's engagement at government level and at the Alliance economic conference/summit.

3.     The starting point of any such programme should be the defence and creation of jobs.

4.     We must Increase the involvement of our auto shop stewards in MIDP/MIDC

5.     Specific comments on the MIDP include the following:

5.1.    Government must increase the duty rate on imported vehicles to 80% as is the case in Thailand.

5.2.    The DTI must impose a limit on the number of fully imported vehicles and tyres which are flooding the South Africa market.

5.3.    There must be a review of imported cars that add no local content, including cars imported by OEMs with companies in SA. It appears that companies are dealing with their global problem of overproduction by using SA as a dumping ground and as a gateway to the continent.

5.4.    Companies that do not have local plants must be penalized via extra duties for imports[16].

 

Importation of second hand minibuses

1.     Numsa rejected an offer from a black empowerment group of shares in exchange for support,

because it will undermine the existing jobs . There was also agreement to:

1.1.  engage the stakeholders consistently so that they understand the implications of the importation of goods.

1.2.   Seriously raise the issue in the Cosatu congress, so as to effect discussions around the privatisation of the public transport system in South Africa.

 

Competition Policy

1.     Any effective industrial strategy developed should be linked to sound competition policy. Competition should not be used just as an instrument to control the functioning of large firms but to ensure change in the economic structure of the country and increased access to economy for all

2.     Competition policy should not lead to job losses, down-grading of labour standards or deterioration of social welfare. Furthermore it will be a fundamental part of a successful trade and industrial policy to ensure that competition policy serves to effectively monitor the activities of conglomerates especially in so far as they have an impact on the creation and retention of jobs in their industry.

3.     Competition Policy is set to play an influential role in Numsa’s sectors given the presence of large conglomerates such as Mittal Steel as well as the ongoing investigations around the issue of car pricing in the automotive sector.

4.     We call for amendment of the Competition Act to establish a price and monitoring system to ensure compliance by companies and prevent companies from exerting undue market influence.

 

Competition Commission

1.     Empower the Competition Commission to:

1.1.  increase penalties on those Companies that are operating unethically Collusion by these Companies should be crimilalised, with jail sentences and blacklisting for the CEOs.

1.2.  investigate whether any job losses took place pre-merger in preparation for the merger, and if this is the case, must make it a condition of the merger approval that retrenched workers are reinstated.

1.3.  Require notification of any merger or acquisition irrespective of the size of the deal.

2.     Extend notification for trade unions to participate in the acquisition or merger process in terms of section 13a to at least 14 working days, which will give trade unions enough time to prepare and participate meaningfully.

3.     The Department of Economic Development must intervene when large foreign companies acquire South African firms. A study group must be set up to assist the Competition Commission to not rely only on statements by acquiring and acquired firms.

4.     In the event there is a merger of companies there should not be any job losses regardless of how big or small the merger is.

5.     The Competition Act must be amended to make it mandatory that no retrenchments take place in any acquiring company for at least 5 years after the approval of the merger.

6.     NUMSA must campaign for the President to effect the promulgation of the Competition Amendment Act which seeks to set harsh penalties for contraventions to Competition Policy without any further delays.[17]

 

Import Parity Pricing

1.     Import parity pricing is a practice adopted by firms of linking the selling price of their products with, or fixing them at, the same level as the import price of that product.

2.     Import parity pricing has the effect of:

2.1.  undermining beneficiation and also fabrication (i.e. the last phase of production in the value chain) of raw material.

2.2.  raising the barriers to entry for the small and medium enterprises (SMME), and co-operatives, thus stifling the growth of the sector.

3.     The suppliers of raw material provide export rebates to exporters of downstream metal products. However, these discounts do not apply to other downstream producers. Lack of such support, for example, has constrained the growth of an intermediate component industry.

4.     Import parity pricing must be corrected. This problem can be effectively addressed if one of the alternative proposals is implemented:  

4.1.  Prices should be adjusted down to a level suitable for the local market.

4.2.  Primary and processing producers must increase their discounts and cash rebates

4.3.  Primary and processing producers must increase their cash rebates officially;

4.4.  If the import parity pricing is not removed, a windfall tax should be instituted, where companies are taxed 90% of their profits. The revenue generated should be used to aid the companies that are negatively affected by the import parity pricing.

5.     Import parity pricing must be strictly controlled in particular with respect to products that are significant to poor people such as food, medicine and housing material.

6.     Cosatu should be regularly highlighting the negative effect of import-parity pricing on jobs.

 

Beneficiation

1.     We will push for the creation of an environment where our raw materials are processed internally as a job creation strategy.

 

Iscor / Arcellor-Mittal

1.     NUMSA condemns and reject the unilateral announcement by Arcelor-Mittal to close the Saldana plant as a result of their dispute between them and Kumba as noting but an untimely provocation. Numsa won’t allow a situation where metalworkers will be victims of undemocratic management prerogative.

2.     In the context of the current dispute the NUMSA CC renewed the call for the ANC government to renationalize Arcelor-Mittal and mines.  NUMSA further condemns the fact that our economy is vulnerable and can be held hostage by inter-capitalist rivalries over the distribution of profits, with the result that workers suffer[18].

 

Immigration Policy

1.     The government must do all in its powers to secure the country’s borders to ensure that only deserving people are granted political asylum and refugee status which should be to prioritise among economic and political migrants and we believe that the government should put strict measures and monitor the situation. The influx control should not only focus on the inflow of our fellow Africans but also international immigrants

2.     The government must tighten security to ensure that criminals escaping the laws of their countries do not take advantage of the situation and hide among honest migrants and asylum seekers.[19]

 

 

Black Economic Empowerment

 

Background

1.     The Black Economic Empowerment Commission in its report broadly defines black economic empowerment as “an integrated and coherent socio-economic process within the context of the national transformation programme which is aimed at redressing the imbalances of the past by substantially and fairly transferring the ownership, management and control of South Africa’s financial and economic resources to the majority of its citizens” (BEECom Report, 2001).

2.     The objectives of BEE may also be defined in terms of how the ANC measures the success of BEE as set out in their 2002 conference resolutions. Five indicators are used:

2.1.  Ownership

2.2.  Operational participation and control within firms

2.3.  The transfer of skills to blacks, particularly in senior positions

2.4.  The contribution of firms to employment creation; and

2.5.  Whether schemes lead to an overall reduction in poverty and income inequality.

3.     In 2003 the Department of Trade and Industry released a document outlining a strategy for BEE. This strategy is underpinned by four key principles, namely that BEE is broad-based; is an inclusive process; is associated with good governance; and is part of South Africa’s growth strategy (DTI, 2003). Most recently (December 2004), the Department of Trade and Industry has released a draft document titled, ‘The Codes of Good Practice on Broad-Based BEE’. In essence, this draft document serves to define and clarify what broad-based BEE is and also sets out the guidelines to be followed in the application of the BEE-scorecard.

4.     A comprehensive strategy will have to be developed to guide Numsa’s position on the matter of BEE. A research study is currently being undertaken aimed at investigating the practice of BEE in the sectors within which Numsa organises.

 

BEE Deals in the Factory

1.     Deals should be done outside the company premises and should not compromise our members’ situations in the plants

2.     No shop steward must enter into business deals with employers whilst still a representative of a worker

3.     If a shop steward has an interest in doing so, he/she must relinquish his duties as a shop steward.

 

BEE Policy

1.     Those who have already immensely benefited from BEE should now be excluded.

2.     BEE should be reviewed to address its short-comings taking into account challenges of economic transformation, especially the aim of building a strong manufacturing sector and of guaranteeing members’ jobs.

3.     The penalty for fronting should be imprisonment and forfeiture.

4.     Department of Trade & Industry capacity to monitor compliance with BEE codes should be enhanced to ensure effective monitoring.

5.     The BEE points system should be revised so that it prioritises local content.

6.     BBBEE should be about spreading resources to historically disadvantaged communities.

7.     The kind of BEE that undermines local manufacturing through imports should be discouraged and condemned; instead the state must assist the historically disadvantaged to own rather than serve as representatives of banks.

 


 

Small Business Development

 

Approach to SMMEs

1.     Instead of spending money on the development of small business programmes, employers should:

1.1.  negotiate positive job creation programmes with the Union;

1.2.  spend that money in consultation with the union on the training of all workers, especially women and youth, to develop their skills;

1.3.  fight to stop South African capital being invested abroad.

2.     Government should provide incentives to SMMEs but not at the expense of workers; SMMEs should:

2.1.  Adhere to current labour standards

2.2.  Create sustainable jobs and displace employment

3.     Government should invest more funds into providing venture capital in order to encourage more local entrepreneurs to open SMMEs

4.     There should be strict monitoring mechanisms on their progress

5.     SMMEs should be used as a tool for collective empowerment instead of self-enrichment.

 

 

Support Measures for SMMEs

1.      The banking sector can be encouraged to be transformed to support SMMEs, and co-operatives by ensuring that:

1.1.  Banks are regulated to relax their lending practices towards SMMEs, Co-ops and the poor;

1.2.  Banks make finance available at lower interest rate to the poor and the SMME’s and Co-ops.

1.3.  Banks are transparent in their lending practices

1.4.  Government puts in place legislation on community investment, prescribed assets, co-operatives and co-operatives banks

2.     Public financial institutions such as Development Bank of Southern Africa, Khula, Ntsika, the Land Bank, and IDC should be strengthened, especially their developmental role and their assistance to SMMEs and Co-ops.

3.     The IDC should re-orientate its investment assistance from bigger upstream projects to smaller downstream projects in the economy

4.     Organisations such as NYDA and IDC (Industrial Development Corporation) must conduct workshops for young people to inform them about accessing funding so that they can become entrepreneurs and facilitate the creation of employment for other young people.

 


 

Land, Housing, Shelter, Agriculture

 

Principles of land justice

1.     The willing buyer willing seller mechanism into which our constitution locked questions of land justice is not capable of delivering land to many of our people who need it, both in the urban and rural areas.

2.     The Property clause in the Constitution should be reversed together with other clauses inhibiting land restitution.

3.     Land should be nationalised. 

4.     Land restitution, redistribution and reforms must be fast tracked in favour of the majority of our people who need and work it, in line with the Freedom Charter.

5.     Government departments and metros must research how much land is available for South African society. 

 

Land and Housing

1.     The selling of land by the State should be stopped forthwith.

2.     The people who were forcibly removed from their land should be returned, where possible. Where this is not possible they should be compensated with equivalent land.

3.     National government and local authorities must be responsible for delivery of housing (accountability).

4.     The right of people to remain on and to develop land where they currently reside until other options, agreed to by all parties, are provided by the state must be protected

5.     A single National Housing Corporation should be established with its job being to obtain sufficient funds to begin a massive ongoing housing construction program. Its program must be integrated into industrial policy proposals and as far as practical, involve unemployed labour.

6.     While in no way ignoring the needs of higher paid members who have access to formal housing, the Union must campaign to compel the State to address the needs of the lower paid and unemployed sectors of the working class by:

6.1.    Providing free houses to the poorest of our people

6.2.    Releasing sufficient and suitably located land at affordable prices to provide for the housing needs and shelter of all citizens

6.3.    Providing free land to those who can afford to build their own houses.

6.4.    Stopping the demolition of shacks while the government builds affordable houses complete with all infrastructure

6.5.    Repealing all legislation (e.g. Land Act, Group Areas Act, Illegal Squatting Act) which restricts the rights of people to freely choose where to live

6.6.    Increasing subsidies, on a non-racial basis and not tied to jobs, to all citizens for all housing needs including rental options

6.7.    Subsidising financial institutions and developers which provide small loans and build low cost housing

6.8.    Subsidising infra-structural development and services and halting privatisation and by re-assuming its responsibilities for the provision of such infrastructure and services

6.9.    Protecting the rights of people to remain on and to develop land where they currently reside until other options agreed to by all parties are provided by the State.

6.10. increasing the availability of rental stock with secure tenure and at affordable prices through a large scale national housing development programme negotiated with representative organisations;

6.11. Using provident and pension schemes to assist employees with their housing needs;

6.12. Changing housing policy to enable stakeholders to control the process through structures based on a tripartite representation + 1 which will be government, labour, financial institutions and CBO (SANCO). This structure must exist at local, provincial and national level.

6.13. Restructuring Local Authorities to redefine their role in this area

7.     Wherever possible the Union must develop viable and secure alternatives to private home ownership. This should involve:

7.1.  Company Housing Schemes, favouring lower paid workers, to be available to all workers for all housing needs. These should not be linked to pension/provident fund schemes. They must be negotiated with the Union.

7.2.  Negotiating a housing allowance applicable to all workers.

8.     In order to achieve the above, we must build joint campaigns with other trade unions and community groups. This should include building a Cosatu/NACTU/Civics forum to prepare for a wider negotiating forum to include Cosatu/NACTU/ Civics/ SACCOLA/ State.

 

Company Housing Schemes

 

Guidelines

1.     CHS should be for all workers for all housing needs

2.     a housing allowance applicable to all workers should be negotiated.

3.     CHS should favour lower paid workers

4.     CHS should not be linked to pension/provident schemes

5.     all CHS must be negotiated with the Union

 

Hostels

1.     All metal companies must:

1.1.  clearly condemn these systems now

1.2.  commit themselves to a programme of building decent and acceptable family houses for their workers near the place of work, in consultation with our union

1.3.  Scrap their use of hostels as soon as possible;

1.4.  Until then, agree to make substantial improvements to the hostel accommodation of their employees in consultation with our union.

 


 

Land reform and rural development

1.     It is time to put in place a revolutionary rural development strategy and programme that will change the economies and societies of the countryside on behalf of the majority of the people of this country. This demands revolutionary land redistribution and agrarian programmes.[20]

2.     The land should be distributed justly and freely to the people who can afford to farm and the Government should subsidise the farmers.

3.     Land restitution, redistribution and reforms are not moving fast enough to meet the needs of our people who need land to survive and work; we call upon the democratic government to make land available for farming in all regions for cooperative usage for food. Land restitution should be speeded up and land should be distributed equally to the landless and peasant families through genuine agrarian reform and land reform. This should include the control over and access to water, seed, credits and appropriate technology and training for small farmers from disadvantaged groups.

4.     There must be a comprehensive transformation of the current white owned farms and the introduction of state owned farms and the establishment of cooperatives

5.     Land reforms should promote small and medium size farmers.

6.     There should be a rapid distribution of productive land to a state-led agricultural sector.

7.     Land currently used for game farming and golf estates should be expropriated and restored to productive use.

8.     There is a need for a conference on rural development involving unions and non-governmental organisations. Critical to this conference would be to look at:

8.1.  Land reform and tourism

8.2.  Reforming Trust land

8.3.  The role of the Land Bank to carry out effective transformation

8.4.  Certain changes to the Constitution i.e. the property clause.

9.     Government should invest in agricultural skills and training and research into new uses for land.

10.  Any land grabbing land eviction and expansion of land allocation for the expansion of agri-business led agriculture has to be stopped.

11.  Numsa CC must convene a post congress workshop on Land, Land Redistribution, Rural Development and Agrarian Reform to address the issue of compensation and related matters. The draft resolution on Land Reform and Rural Development should form part of the workshop.[21]

 

Agriculture and food production

1.     Countries should give priority to their domestic food production in order to become less dependent on the world market.  This means increased investment in peasant and farmer based food production for the domestic market. Developed countries should be enabled to achieve food self-sufficiency.

2.     Government must subsidise the agricultural sector to reduce food prices and ensure food security.

3.     Import controls with taxes and quotas are needed to regulate imports and avoid dumping or low price imports that undermine domestic production.

4.     Government must champion state-led agricultural activity as a basis for thoroughgoing industrial development.

5.     State programme must ensure proper support to agriculture including seed distribution, supply of implements and tractors; and access to managers and extension officers to assist the process. Assistance should also be provided to secure and access markets.

6.     Former irrigation schemes must be revamped and people employed.

7.     Development of new agricultural co-operatives must be encouraged and accelerate their outcomes so that members can buy food at a lower price.

8.     Cheap finance for farmers must be made available but former co-operatives which now operate as private companies in the agricultural sector should not benefit.

9.     Local manufacture of agricultural implements and tractors should be encouraged.

10.  Internal market prices have to be established at a reasonable level for farmers and consumers.

11.  Direct sales from peasants and small farmers to consumers have to be encouraged.

 

Farmworkers and land

1.     The incoming Numsa leadership, through Cosatu, must audit the performance of the legal infrastructure put in place since 1994, which is meant to protect farm workers rights to land. 

2.     Farmworkers must be allowed farming and grazing rights.

 

Townships

1.     The time has come to begin to prioritize the destruction and reconstruction of “townships.” We note that 10 years after democracy, while much may have been done to improve life in our townships, the structural and systemic foundations of these socially and economically depressed residential areas remain unchanged.

 

Foreign ownership of land

1.     We call upon our government to commission a research study with China and India on how they are dealing with non citizens who want to buy land or infrastructure development in their country. 

2.     Develop a leasing system in the country for land to foreign nationals.

 

Equipment for new houses

1.     As a way of dealing with asset poverty, the new Minister of Human Settlement must make sure that all the newly built houses have a Refrigerator, Stove and solar geyser

 


 

Social Sector

 

Orientation

1.     We defend and extend a democratic public sector capable of providing strategic leadership to economic and social growth and development.

 

Social Expenditure

1.     Since 2002, the government of South Africa has increased its social spending, compared to the first five years of the ANC in government. However, this increased spending, does not fundamentally alter South Africa's inherited capitalist social and economic structural and systemic inequalities.Social Expenditure should increase in real terms. 

2.     Numsa through Cosatu must call for a progressive democratic participatory budget process in all spheres of government.

3.     Cosatu must continue to participate in the parliamentary budget hearing and make sure that the budget process is transformed into a “people’s budget” wherein interest groups would be able to input on the process before the budget is announced.  As elected representatives, we should have powers to amend or oversee the budget.  The People’s Budget should be drawn up in collaboration with other sectors of civil society Health, education, housing, social pension and welfare, and transport).  At local government level, ward committees must be empowered to understand and make an impact on the budget at local level and the Alliance must be influential in the capacitation of the local state and budgeting at local government level.

4.     Cosatu should find a way to simplify its submissions for the general members’ understanding. This will assist members to defend the federation’s position when confronted with debates.

 

Social Grants

1.     BIG should be implemented by our government as a matter of urgency.

2.     Pension grants must be increased above the inflation rate

3.     Child grants must be increased.

 

Retirement Funds

 

Strategy

1.     These funds should be rationalised to provide for a small number of large funds. These would be industry based e.g. manufacturing, mining, retail and services.

2.     Cosatu should:

2.1.  convene a conference to discuss our strategy on retirement funds

2.2.  educate its membership around the importance of saving and using their retirement funds wisely.

3.     The summit must come up with a common framework for union investment companies as well as defining their role in the economy.

4.     A Commission be established to identify and trace the beneficiaries or dependents of surpluses. The composition should be Labour, Business and the Govt. (FSB).

 


 

State Retirement Fund

1.     The Public Service Pension Fund must become a Pay-As-You-Go-System.

2.     The Old Age Pension (OAP) should remain in place as a proper income support system.

2.1.  We challenge the notion by the Government that workers who are paid provident funds should not qualify for old-age pensions.          

3.     A State Retirement Fund should be established along the same principles as the National Health Insurance Fund needs to be speedily addressed.

 

Retirement fund contributions

1.     Pension and provident contributions should be extended by legislation to all wage and salary earners regardless of industry sector or incomes. Such an approach should ensure that only those without access to employment are dependent on the OAP.

 

Retirement Fund Benefits

1.     Numsa should not accept that levels of payouts to previous and present state employees are reasonable in the current circumstances. There need to be urgent discussion on their levels of payments to bring them in line with the expectations of the majority.

2.     Cosatu must approach the National Financial Services Board and demand that the easy withdrawal of funds by members is frozen.

3.     We furthermore uphold the Numsa/Cosatu resolution that the non-taxable threshold on pension/provident fund withdrawals to be the first R120,000.

4.     That workers must not be penalised if they go on early retirement or resign; money from the surplus must be used to buy off their balance years.         

 

Service Delivery

 

Transformation as a prerequisite

1.     Numsa has consistently articulated a view that it is wrong and a dangerous political approach to trap the ANC in the “politics and ideology of service delivery”. “Politics and ideology of service delivery” make one fundamental error: they prescribe an approach that hopes to provide “service delivery” without addressing material conditions that directly produce working class miseries

2.     Unless we carry out thoroughgoing social and economic transformation on the lines contained in the liberation movement’s major policy documents like the Freedom Charter, Green Book and ANC’s Strategy and Tactics document adopted in Morogoro in 1969; we are faced with a scenario and a risk where the ANC is reduced to managers of areas historically known as Bantustans and “Black Local Authorities”. The fact that the ANC easily wins local governments and wards in historical “black areas” is a pointer to this danger.

3.     The ANC cannot afford to compete with the DA or any opposition party on the politics and ideology of “service delivery". This is not the place of the ANC. The ANC-led Alliance is a revolutionary Alliance that seeks to transform the semi-colonial nature of our economy as a precondition to guaranteeing “service delivery” to all people. Without the destruction of  the current semi- colonial growth path and replacing it with one designed to  eliminate national, gender and class oppression and exploitation embedded in colonial and apartheid growth paths, reformist efforts at providing “services” and “improving service delivery” will amount to nothing.

 


 

Improving service delivery

1.     The alliance needs to continuously monitor the performance of government, in the spirit of the Reconstruction and Development Programme (RDP), at every level of our structures. Cosatu Office Bearers to give analytical report at all constitutional structures on such a review. In the absence of Cosatu structures, Numsa structures should step in to do the review.

2.     We should criminalize the under spending by government departments and heads of these department to serve jail sentences if found guilty.

3.     We support the creation of a highly trained, paid, motivated civil service that is committed to our society and a caring society.

4.     We call upon all Numsa and Cosatu locals and regions to campaign on service delivery within their locals and regions to ensure the accountability of politicians and government’s officials not to compromise service deliver; service delivery should be a priority and resources (human) should be deployed on a full-time basis as a priority to our revolutionary transformation agenda.

5.     Those serving in public office eg Ward Committee Members, hospital board members should be compensated in the form of a stipend enjoyed by other volunteers in Government Departments with the right to recall if they are not performing adequately.

6.     The ANC must look at amending the agreement reached at CODESA to allow the state to release all public servants that served the apartheid regime at the level of management for a period of more than 15 years and replace them with new managers that will implement current government policies.

7.     There must be a Moratorium on downsizing of public institutions indefinitely and the state must fill all vacant posts across all departments within a year of the 2009 elections.

8.     The state should discourage volunteers in semi-skilled work and concentrate on training of volunteers at the level of skilled work with a view to absorb those workers after completion of their training; no volunteer must be allowed to work for more than six months in all state departments.

9.     We need to debate whether the public sector workers are assisting our government in service delivery. We can have the best government but unless public sector workers are committed to the people and government programmes are compromised

 

Transformation of Public Service

1.     The alliance should develop a policy on political deployment into these institutions to drive transformation.

2.     The deployee should be a tested cadre of our movement who understands and respects the policy of our organizations and who can be deployed on a part time basis at local government level.

3.     Civil service training institutions should be established to train and retrain public service employees in line with the present government policies and develop a new cadre of public servants; training must cater for lateral entry for progressive academics, activists, Chris Hani brigades, organisers and NGO workers, top level management development.

 

 


 

Social Wage

1.     A universal social welfare system is a minimum condition of any macro-economic strategy.

2.     The following elements are the minimum requirements for a universal welfare system for South Africa. 

2.1.  health care

2.2.  retirement incomes 

2.3.  public transport 

2.4.   housing and land 

 

Health

 

National Health Provision

1.     The state must take immediate steps to "nationalise" both health care institutions and the related funding system.

2.     Proposals for the funding of a national health care system from levying additional income tax to pay for it, are a good option. As an income tax levy it also preserves the progressive nature of the direct tax system i.e. the more you earn, the more you pay; the less you earn, the less you pay.

3.     If these proposals go through, Government must guarantee (possibly through legislation) that this revenue will only be spent on health.

4.     If any state assets are restructured, those resources should go into building a national health care system.

5.     As part of this programme, the state should bring medical aid schemes under one single national insurance system.

6.     Clinics as primary health care facilities should be open 24/7

7.     We welcome the government’s announcement of the Green Paper  on the National Health Insurance (NHI).  This is what the Polokwane Resolutions demanded.

8.     We continue to subscribe to the Freedom Charter that says:  “A preventive health scheme shall be run by the state;  free medical care and hospitalization shall be provided for all, with special care for mothers and young children.”

9.     We view the matter of destroying the monopoly of health resources in the country by the capitalist private sector and a small segment of our population as anti democratic and unsustainable[22].

10.   We note that there are challenges with getting traditional healers to register as health practitioners in terms of the BCEA and that focus must be placed on resolving this matter; where there is still a need we will subject the matter to collective bargaining.[23]

11.   More colleges should be opened to curb the shortage of nurses and doctors in our public health system. Salaries and benefits must be improved to avoid them seeking employment abroad.

 


 

HIV/AIDS

1.     We must change the mindset of all the leadership.  We must speak about the epidemic in all Numsa general meetings.  We need to develop our own Programme of Action.  We also need to embark on an ideological campaign and target schools. 

1.1.  The decision around the employment of a Health and Safety officer by the organisation needs to be revisited.

1.2.  At Numsa constitutional structures we should make available facilities so that our leadership and officials can voluntary test their status - at local, regional and national level

2.     Numsa and Cosatu must continue to play a supporting role and promote Aids Awareness amongst our members. Support should also be in the form of referrals to appropriate counselling services.

3.     Government and business also have a responsibility and must channel adequate resources towards medical research to find a cure for HIV/AIDS and continue with AIDS Awareness Programmes,

4.     The medical fraternity as well as traditional healers must be encouraged, recognized and be incorporated in to research and treatment of HIV/AIDS.

5.     The drug companies must be approached by Government to supply HIV/AIDS drugs at reduced and affordable prices so that the Government can supply them free of charge to HIV/AIDS sufferers.

6.     The State to provide AZT and other drugs that can assist HIV positive pregnant women to stop/minimize the spread of HIV from mother to child despite the dispute between the experts on the percentage of effectiveness (some say 50% others says 90%). Government should subsidise the costs of medicines to assist the poor.

7.     All condoms must be manufactured to meet good quality standards and carry a necessary stamp of approval. E.g. by the South African Bureau of Standards.

8.     Condoms for both male and female and medication must be made available at all Health Centres and Community Clinics - free of charge,

9.     People who are HIV positive and Aids sufferers must be persuaded to volunteer, after counselling, for testing of new drugs to find a cure for the disease.

10.  There must be proper provisions relating to core schemes such as medical Aids, Provident Funds and Insurance schemes to take care of Aids sufferers,

11.  Workers must donate a day’s wage/salary and employers to donate an equal amount of that of their employees towards the building of shelters for Aids sufferers in the highly populated areas and especially in the rural areas and the State to supply them with medication and the necessary nutrition.

12.  Aids Education to form part of the schools syllabus and be compulsory in all schools and the workplaces.

13.  Paid time-off / sick leave to be granted to HIV/ AIDS sufferers to undergo treatment.

14.  Those HIV/AIDS sufferers who are intentionally found to be spreading the disease must be locked in solitary confinement and the key thrown away for life.

15.  All HIV/AIDS related policies, should be availed and be known.

16.  Health and Safety structures at all levels must deal with this issue.

17.  The society at large should preach abstinence especially among young and unmarried persons.

18.  Numsa and Cosatu must fight against any form of discrimination of people living with HIV/AIDS and monitor companies’ compliance with the Employment Equity Act.

19.  We must campaign against MNCs to provide affordable drugs.        

20.  Numsa to form support groups within the companies to help comrades who already have HIV/AIDS.

21.  People who know that they are living with the virus should be encouraged to come out publicly and sensitize the public about living with the disease.

22.  People should be encouraged to abstain from having multiple partners.

 

Education and Skills Development

 

Education

1.     Society must appreciate that our education is not producing quality as can be seen in the consistently bad matric results. Cosatu must establish a team to focus on how we turnaround education in the country and spend time with SADTU on the system and what is required to drive an education system capable of achieving the skills required by society and economy.

2.     our education system and curriculum should be structured in a way that addresses our economic needs[24]

3.     Numsa should hold bilaterals with SADTU and push for a campaign to be taken up by the Federation for access to quality public education focusing on the following demands:

3.1.  Resourcing of township schools with facilities equal to what exists in former model C schools,

3.2.  Key focus on knowledge and knowledge production for the tertiary sector,

3.3.  A pro working class curriculum from lower primary to high school, and above.

3.4.  Promotion of the culture of teaching and  learning,

3.5.  Fighting illiteracy.

3.6.  Spelling out the role of SADTU, Sasco, Cosas and the YCL cadres and even PTAs in schools in understanding education as a contested terrain.

4.     This campaign must be about taking control of education as well as exposing the fact that under capitalism, education is always reproducing the ruling class hence it is a contested terrain. We must use education as a tool to liberate society.

5.     COSATU should negotiate and campaign through NEDLAC, that the first degree/ diploma must be free.

 

Principles of skills development

1.     Formal education must be free and compulsory; there must be clear links between the formal schooling system, the adult education system, the industrial training system and other education and training systems eg. for the youth and unemployed.

2.     Employers and the State have a duty to train; both have a role to play in financing such training.

3.     Training must be linked to economic planning.

4.     Trade Unions must play a central role in planning, implementing and monitoring training.  There must be agreed procedures for selection and testing.

5.     Trade Unions must fight to end the effects of past class, race and sex discrimination in training.

6.     Training must be based on short courses that allow workers to progress from one course to the next.  The courses must lead to national or industrial certificates.

7.     Training must be linked to grading, and hence to pay. An increase in skill must lead to an increase in pay. The grading system must allow workers to advance up a career path from the lowest to the highest level through training.

8.     There must be career paths for trainers.  Training trainers must be a central part of the system.

 

Rights of Workers

1.     All workers should:

1.1.  Enjoy access to paid training:

1.1.1.     be allowed to do 2 modules per year from the Industry's education and training system

1.1.2.     200 hours of training should be guaranteed but not limited for all workers.

1.2.  Have a right to assessment to see what skills they have and pay for the skills they possess, even if they are greater than the job they are doing; if their skills are less than the job they are doing, then they should be allowed to upgrade their skills. There must be recognition and pay for skills that workers already have

1.3.  Receive training during working hours. If after working hours, it must be paid.

1.4.  Have paid education and training leave. 

1.5.  Have access to retraining, if they are facing retrenchment or experiencing unemployment, as a stepping stone to secure employment.

1.6.  Enjoy access to education and training throughout life to ensure that skills keep pace with technological change, are needed by society and enable the person to develop his or her abilities.

 

Problems in Skills Development

1.     In spite of the high rate of unemployment in our country, there is a shortage of skilled operators and artisans in our industries. Government and the private sector have not been able to provide adequate skills training to workers who are in need of such skills.

2.     Furthermore, there continues to be a situation where workers on the shopfloor are given irrelevant and incomplete training which centres purely on their current job while management spends most of the training budget on expensive courses that have no contribution to the increased productivity of the company.

 

Improving Implementation

1.     Companies should implement the procedures laid down in the Skills Development Act.

2.     All skills and training should be linked to grading and South African Qualifications Authority (SAQA).

3.     Quotas for skills and training to companies should be implemented on a yearly basis. 

4.     The skills levy by companies to the Manufacturing, Engineering and Related Services Seta (MERSETA) must increase from the current 1% to 3-4%.

5.     The Skills Development Act (SDA) must be amended to give it more teeth.  The Act must enable the Department of Labour to send inspectors to companies not paying the levy and those that are paying, but are not claiming the grants. The inspectors should also visit the plants to verify whether companies are training their workers

6.     Where companies are not implementing, the Skills Development Levies Act should be amended to allow for fines, jail sentences or other penalties to be imposed.  

7.     Companies who make use of labour brokers and contract labour services must be responsible for providing skills training and development to workers provided by such brokers and contractors;

8.     The Department of Labour must increase its human resources in order to adequately enforce or monitor the implementation of the Employment Equity Act (EEA).

9.     Numsa must lobby and work towards a national training entity that would ensure that there are training initiatives for retrenched workers in all provinces.

10.  That entity must monitor, evaluate and moderate training so that there is a qualitative outcome for skills training of workers and not just any kind of training. We must ensure a more accountable way of monitoring what kind of training is happening in regions.

11.  All closed FET colleges must be reopened in order to develop young people. These centres must be located close to communities to make them more accessible to young people. [25]

12.  We advocate for fully fledged woman development and co-operative education training institutes that will provide the necessary skills for the success of women businesses. We further say that black women must be given first access to the market and ensure that their participation in decision making is increased.

 

RPL

1.     The process must be jointly administered by management and the union. Both parties must be trained as RPL assessors.

2.     RPL should be compulsory for employers but voluntary for employees.

3.     No employee must be down-graded as a result of RPL.

4.     Assessment methods should be flexible and include: interviews, demonstrations, written tests and portfolios.

5.     All skills acquired must be paid for, even if they are not being used or applied.

 

Adult Education

1.     An adult education system should be nationally negotiated and be recognised by both management and the State.  The system should be negotiated by Cosatu, rather than individual affiliates where practical, in order to ensure that the courses are recognised across all industries.

2.     Courses must be recognised as providing sufficient education for entry into training courses.  The course must also be recognised nationally as equal to formal education standards.

3.     All courses, including literacy and numeracy must be developed to allow clear steps to advance from one course to the next.  The courses must lead to nationally recognised certificates.

4.     There must be paid time off for literacy and numeracy courses.

5.     Employers must provide facilities for literacy classes and negotiate with Unions both the paying and training of literacy and numeracy teachers as well as the development of suitable materials.

6.     Numsa must work in cooperation with companies to ensure that ABET is compulsory and implemented in all sectors without loss of pay to those employees.

7.     Career-pathing must be identified.[26]

 


 

Public Transport

1.     There must be substantial investment in public transport infrastructure and subsidies for others providing public transport.

2.     Numsa supports the development an efficient, safe, affordable and accessible  public transport system that would meet the developmental needs of the country

3.     Numsa supports the government’s Public Transport Strategy adopted in March 2007 which aims to transform the rail, bus and taxi system and implement networks of rail priority corridors and bus rapid transit systems in six of the country’s metropolitan areas, in six other cities and in six rural districts by 2014.

4.     The union publicly states its support for the Bus Rapid Transit (BRT) system as this is in line with our demands for a public, safe, efficient and accessible public transport system. Our concerns about procurement should not be interpreted as an opposition to what are pro-worker and pro-community public transport proposals that are contained in the BRT system.

5.     the BRT system and other forms of public transport must be state-owned and operated.[27]

6.     We call on Cosatu in the province to also publicly endorse the BRT in the context of opposition from taxi owners and drivers.

7.     COSATU must engage for the provision of improved services to our communities by PRASA through Metro rail and develop mechanisms to improve the security system to safeguard against cable theft, provide advance training to their staff and to ensure continuous service of their trains. Furthermore, COSATU must engage with the Minister of Transport to develop mechanisms for public transport to fully comply with road laws

 

Utilities

1.     The government proposal to implement a competitive cellular telephone system without adequate consultation will result in a commercially profitable service for the urban centres only with no cross subsidisation or benefit to rural services.

2.     the implementation of the proposed Government schedule should immediately be suspended.

3.     A proper process of consultation and planning should take place as a matter of urgency in liaison with the National Economic Forum, the Standing Committee on Electronics and other appropriate bodies.

4.     Any telephone system which is approved should be capable of delivering a high quality, affordable service to all who need it in the shortest possible time.

5.     Numsa will approach the Electronics Industries Federation and Cosatu to approach the government on these issues.

 

Local Government

 

Transformation

1.     The demarcation process should be revisited.

2.     Large metro municipalities that exclude small towns and rural areas that previously relied on them are a disaster and must be reviewed and include these poor rural areas.

3.     The ANC nationally must accept that it can’t use a state structure designed to defend the interests of private property, to serve its own mass constituency, most of whom are poor and working class.

4.     We must therefore build a completely different local state whose first mission is to transform the inherited apartheid infrastructure that prioritized a tiny minority. We need a local state that plans for the majority of the people[28].

5.     In doing a review of the municipality, the guiding principle should be the developmental needs of the community and society.

6.     Prioritisation of the Local State and Rural Areas:

6.1.  Numsa through Cosatu must fight for a budget/funding model that ensures that resources go to the local state as it is the closest to the people

6.2.  Intergovernmental collaboration must be prioritized in relation to provision of the basic needs of our people

6.3.  There should be a bias towards rural areas on the question of provision of services such as road networks, running water, electricity  and sanitation at affordable prices.  Rural area municipalities must be allocated the highest percentage of funding by the national state.

7.     The local state must:

7.1.  accelerate public education on dumping and its consequences

7.2.  intensify ‘know your neighbour’ to share information and fight against the selling of stolen goods and drugs

7.3.  make a concerted effort to develop infrastructure and its proper maintenance

7.4.  put in place skills development programmes that include the training of youth irrespective of gender on highly technical skills like electrical and civil engineering. This should be done in partnership with Setas, technical colleges and universities of technology. The National Youth Development Agency should be visible in taking part in these programmes

7.5.  intervene in improving small scale agriculture in rural  areas

8.     Vacancies in all state departments need to be filled as a matter of urgency. This includes qualified engineers, nurses, doctors and other specialist professions. This must be backed up by appropriate training and skills acquisition.

9.     ANC cadre deployment policy must take into account qualifications and skill; deployment of councillors and managers to positions of  service delivery with no technical know-how must be stopped and suitable and qualified people must be deployed or employed

10.  There is a need to build capacity in ANC branches to understand relevant legislation as it relates to the local state

11.  In relation to Ward Councillors:

11.1. Lines of accountability must be strengthened at local level to ensure that ward councillors fulfil their mandate

11.2. There must a smooth handover between outgoing and incoming ward councillors to curb the culture of blaming each other. 

11.3. Councillors must have a meeting with community once a month. If a councillor fails to comply, the community must recall the councillor.

11.4. Government must capacitate councillors to enable them to deal with complex matters such as proper budgeting and IDP’s 

11.5. We need to name and shame corrupt councillors

11.6. Councillors should be forced to interact with the ward committees. In doing so the community should be brought on board to participate and the councillors should be forced to account on all the work to be done through the ward committees.

12.  There must be increased accountability at the local government level

13.  Government must introduce incentive vouchers for small farmers, with a special focus on women and youth.

14.  There must be a return to having a Roads Department to maintain Roads

15.  COSATU, NUMSA and SANCO must fight against high prices of electricity, water, and other basic  services

16.  NUMSA through COSATU must call a service delivery summit to deal     with poor service in all provinces

17.  Real planning by well-resourced civil and electrical engineers is a must before any development of RDP settlements or any settlement in townships is undertaken.

 

Race and elections

1.     An incorrect view is being peddled that the recent elections were more about “service delivery” than race. Race still matters in South Africa.

2.     If this election was about “service delivery”, then whites in Sandton should have voted ANC as their wealth has increased under ANC rule and as delivery of services like the Gautrain addresses their needs. In the Western Cape, the results cannot be indicative of satisfaction with services delivered by the DA in coloured communities. In our campaign we spoke and uncovered how the DA delivers to rich white suburbs at the expense of townships; both coloured and black African ones. What is evident from the results are strong and deep fears and anxieties among white, Indian and coloured communities about the ANC’s rule.

3.     A frightening feature of the election results is that they have once more confirmed the extreme racial nature of South African capitalism. It is true that the architects of the apartheid system must be laughing in their graves and wondering what all the fighting and bloodletting was about.  The liberation movement has been reduced to a large Bantustan government and the local government system is split perfectly in two: white and coloured voters vote DA and Africans vote for the ANC. The ANC is in charge of previous “Black Local Authorities”.

4.     For Numsa, this is a call to intensify our anti-racism campaigns and the struggle for a truly non-racial society. 

 

 

 


 

State sector of the economy

 

State-owned Enterprises

1.     There should be co-ordination and realignment of existing enterprises. The state must have a plan for its economic activities in its parastatals.

2.     Cosatu should draw up a balance sheet on the current privatisation programme and the role of the Unions in it.

3.     On the basis of this balance sheet Cosatu should revisit the NFA and move from the approach which encourages sectoral approaches to restructuring of state assets. Because of the adverse implications of privatisation, Cosatu should be central in negotiating restructuring.

4.     In implementing this, Cosatu should look at how activities of different enterprises can be realigned and what is considered as non-core by one enterprise can be a building block for new parastatals or can be transferred to other parastatals.

5.     As part of its expansion programme, Cosatu must investigate the establishment of a financial parastatal.

6.     While Cosatu is campaigning for a financial parastatal, we need to fight for regulation of the macro-lending sector i.e. “cash loans”.

7.     As a matter of urgency, Cosatu should oppose further deregulation of this sector as this is leading our members into serious debt.

8.     Government must set a ceiling on the interest rate that this sector charges.

9.     As a way of transforming parastatals, labour must advocate the policy of worker reps on the Board of Directors.

10.  These worker reps should act on the mandate of the Union and should pursue a transformation agenda.

11.  This policy of having worker reps on the Board of Directors should apply to all companies where the state has majority shares, even if this is through the IDC.

12.  We support the transformation of development and financial institutions eg. IDC, DBSA etc.

13.  Severance packages to government employees should be stopped as the government has no national plan on restructuring.

14.  Any rationalisation that takes place must not affect delivery of services;  there should be no outsourcing in all key SOEs

15.  The practice of employing consultants must be discouraged. If any employment of consultants takes place it must be on the basis that existing personnel cannot do the job, and that any consultant will be paid the rate of the ordinary public servant.

16.  Cosatu should insist that any increase that MPs receive must be the same rate as that of public servants.

 


 

Restructuring SOEs

 

Strategic direction

1.     the union rejects the neo liberal agenda that Government has no business in business SOEs must remain under Government control

2.     the objective is not to challenge the union theory of socialism and nationalisation

3.     the strategy is about positioning ourselves in such a way that we are able to influence things rather than staying out and marginalising ourselves.

4.     on the programme of action, our priority is to identify and defend those state assets which are critical for delivery processes of basic services to the poor; if they are already in state hands we should defend them, if not they should be nationalised.

5.     this implies that it is possible for strategic withdrawal on areas which are not critical for basic delivery.

6.     Government departments linked to the SOEs should play a direct mandating role at all times including the appointments of the board members.

7.     All restructuring and transformation should involve the trade unions at all levels.

8.     Numsa should intensify the campaign on anti-privatisation.

9.     The mandate of the parastatals should be to improve the quality of life of ordinary South Africans, to focus on basic needs and develop society; they must be used to fight poverty and fast track the pace of service delivery.

10.  The role played by SOEs in the transfer and development of technical skills needs to be revitalised in order to speed up the process of job creation as per the New Growth Path[29]

 

SOE Mismanagement

1.     Top Management’s assets must be attached should any of them be found guilty after a detailed forensic audit and the exhaustion of the Criminal Justice System (CJS) procedures; heavy jail sentences must also be imposed where appropriate. 

 

Proposed State Minerals Company

1.     We must ensure that the proposed state minerals company mandates discussed in the ANC discussion document should include the development of strategic minerals, in partnership with other investors if necessary, in order to supply them in the domestic market at competitive or utility prices. Accordingly it should hold the exploration rights to these minerals through a first-sight of all new state financed geo-data (through the CGS-Council for Geo-Science). A major element of its mandate should be to facilitate mineral knowledge linkages through appropriate investments into technical HRD and R&D. Furthermore, MPRDA must give more mining rights to communities with hereditary ownership.

 

 


 

State and SOE Procurement Policy

 

The importance of State procurement policy

1.     Government buys approximately R56bn of goods per annum so procurement can be a major source of demand in an economy. But current government policy only binds national government departments to adhere to its procurement policy.

2.     State owned enterprises and provincial and local government appear not to be using this strategic instrument for the benefit of the local economy and its people. So a growing chunk of government’s procurement spend is now going to foreign companies instead of local industries. As a consequence, South Africa’s engineering sector is facing a variety of serious problems that may affect its transformation, growth and ability to create quality employment. These problems include:

2.1.  Resistance to “local content” and the “voluntary nature” of procurement policies

2.2.  Rise of imports into South Africa's market;

2.3.  Informalisation and outsourcing; and persistence of “fronting” by companies

2.4.  Abuse or wrong definition of application of black economic empowerment.

3.     Government and SOEs’ procurement policies appear to be based on cost alone and ignore other factors such as job creation, local content, quality and tax. Furthermore, there is no uniformity on procurement policies in all organs of the state, including local government, SOEs and statutory commissions, which undermines some of the stated key objectives (i.e. promotion of development and transformation of the country’s economy) of the national government’s procurement policy. 

4.     Although procurement alone cannot be blamed for the continuing loss of jobs in the industry, the shift to buying products externally has added to job losses.   

5.     Preferential procurement is intimately linked to the proliferation of BEE in our economy and should be encouraged not only for government agencies but also for companies operating in the private sector. Industry Charters should be more firm around matters of preferential procurement and issues of cronyism between white suppliers and company buyers as well as the issue of fronting should be investigated and dealt with effectively.

 

State Procurement Policy Conditions

1.     State Procurement Policy should comply with the following conditions:

1.1.  the policies must not be used to keep firms alive that fail to meet minimum standards;

1.2.  policies must be transparent so that corruption can be minimised;

1.3.  decisions should not be made simply by judging the good or service, but also the production process etc.;

1.4.  centralised purchasing can only be relaxed after basic standards have been achieved;

1.5.  assistance should be provided for new or innovative firms which are considering tendering;

1.6.  purchasing policy should be tied to research and development efforts

1.7.  government should purchase only locally produced goods and services where these are available

2.     The state tender board  should be restructured and an immediate commission of enquiry instituted to investigate contracts that have been awarded. If any government employee is found to be guilty of colluding with parties to get the tender, s/he should be criminally charged. Laws to be passed to enable this to take place.

3.     Government should resist pressures at the WTO to bring procurement policies/activities of the state under the control of the WTO because such a situation would clearly limit the role of the Government as an economic agent.

4.     We must publicly name and shame SOEs such as Eskom which have not procured their products in SA.

5.     We should use procurement policy as an instrument to diversify and beneficiate our economy

6.     Government and development finance institutions must use their leverage to force companies that get support from these institutions to procure locally so as to build and protect the local manufacturing base.

7.     Tender Boards should be re-established to bring about a much more transparent process of all government tenders at local, provincial and national level; labour should be represented on these Boards

 

Government Departments, Parastatals and DFIs

1.     The activities of all government departments, parastatals and DFIs should be reviewed to ensure more purposeful achievement of decent work outcomes.

2.     The Public Investment Corporation (PIC) as a major shareholder and investor in the economy, must leverage investment and shareholder activism to advance industrial policy objectives. [30]

3.     Parastatals and government at all levels must have mandatory set-asides for co-ops as part of a broader initiative to “de-tenderise” the state. e.g. Department of Public Works must have their own construction departments in all municipal regions who will be responsible for building houses, new government buildings, road building/maintenance. Government must bring provincial administrations where the state must take full responsibility in construction and maintenance with a full time workforce.[31]

4.     Government and private business must ensure that all levels of government provide learnerships and apprenticeships in order to give young people the opportunity to acquire reasonable experience for employment.


 

Socio Economic Issues

 

Poverty

1.     The South African constitution should outlaw poverty as unconstitutional and impose a responsibility on the state to intervene to eradicate poverty

2.     Development institutions and co-operatives must be strengthened and redirected to prioritise rural development.

3.     There must be a state-led vibrant integrated rural strategy which should prioritise agriculture, i.e. land cultivation, farming, etc.

4.     The current closure of local authorities must be rejected and such local authorities must be utilised to drive the above rural strategy to eliminate and uproot poverty.

5.     The social security net must be extended and there must be a basic income grant for the unemployed.

6.     Funds that are set aside for poverty relief should be strictly monitored to ensure that it is spent where required.

7.     RDP Public Works Programmes must be implemented.

8.     Cosatu should explore using Kopano Ke Matla to open a fundraising wing by creating a Section 21 company.

9.     The National Lotteries Monies and Section 21 company to promote music festivals and engage the sporting codes to contribute towards poverty relief programmes by arranging charity games.

10.  Each worker must contribute 10c a month to be deducted through the tax system, this will be all workers at all levels up to management, and companies to be encouraged to contribute too. By agreeing on the levy the government to increase the poverty relief grants.

11.  Affiliates’ investment companies must donate 10% of profits to poverty relief programmes / projects. A control mechanism to be discussed by Cosatu with government and business and it must be made public.

 

Jobs

 

Fight Job Losses

1.     Working class organisations should be united around a programme to fight job losses which are aimed at increasing profit and to demand very big investments in affordable housing for all, affordable electrification for all, schools for all, technical training etc.

2.     This programme should be based on militant actions such as demonstration, marches. etc. The campaign should be developed through Worker Summits which should also invite political organisations to send representatives.

3.     Cosatu and its Affiliates should investigate ways in which workers in other countries can support this struggle. This should include more serious co-operation between unions internationally to influence policy making on trade, workers' rights and similar issues which can lead to job losses and to develop real solidarity in facing multi-national companies.

4.     Cosatu should demand that major investments be made in infrastructure projects such as affordable housing for all, affordable electrification for all, schools for all, training for all etc. The conditions on which these investments are made and the way in which the projects work, must be negotiated with Cosatu and the civics, so that they are able to create very many jobs at a living wage, rather than just creating more profits for a few capitalists.

5.     Employers must be forced to reinvest profits in productive sectors to expand and employ more workers.

6.     Employers who have not yet contributed must contribute at least 1% of their wage bill to the Umsobomvu Fund towards job creation through Mega Bargaining councils, Nedlac and collective bargaining forums.

7.     Public works programmes should be negotiated in Nedlac but with the involvement of unions organising the various sectors; approved public works programmes should not be granted to big corporations but rather to communities.

8.     Numsa must demand a 5-year moratorium on retrenchments with a minimum of 4 weeks severance pay for each completed year of service with no ceiling.

9.     All retrenchees to undergo retraining process, training to last for not less than 6 months,

10.  We must develop a set of demands for job security, industry interventions to create more jobs, skills development, etc. Numsa must as a precursor convene a conference of all industry employer associations in the Numsa organized sectors to place before the conference the demand for job security, industrial strategies for the sectors and what role government must play to assist our industries.

11.  A Work Security Fund must be compulsory for all employers.

12.  Our struggle against the triple crises of unemployment, poverty and inequality in our country has made us to be labeled but Numsa should continue to articulate our perspective and views on the need to resolve the triple crisis and therefore the Numsa Mini jobs conference with employers and government departments must be convened as one such platform to advance our struggle on this front.  This must include a focus on regional economic development[32].  

13.  Government should conduct feasibility studies on liquidated companies and target companies that would be profitable and take them over in order to save jobs and support our economic growth[33]

14.  We must continuously assess the budgets of provincial and local government every year, and what they say on job losses and distressed sectors[34]

 

Jobs Summit

1.     We have always welcomed the Jobs Summit initiative and believe that parties should make their agendas public and should show a willingness to review their economic policies and where possible look for alternatives.

2.     There should be an Alliance Summit where the alliance partners should look at the content and agree on any approach.

3.     The Jobs Summit should not be a mere publicity event but deliver to the needs of the poor.

4.     There must be a review of the debt repayment in order to allow developmental programmes.

5.     There should be Industry Summits after the Presidential Jobs Summit to deal with the process of implementation and also to look at sector specific issues.

6.     Cosatu must make sure that all agreed job summit resolutions are implemented. Monitoring to be done by Cosatu Exco.

 


 

Energy

 

Energy Policy

1.     A platform for proper stakeholder participation (similar to the Energy Policy Council) must be created and coordinated to counter the divisive strategy used by government where agreements have been made on the one hand (e.g. the use of nuclear energy) as if there has been adequate consultation with representatives from civil society.

2.     Numsa must also commit resources for a national trade union conference on energy matters so that the union can adopt an informed decision on international carbon-trading, global warming, nuclear energy and the use of alternate energy resources such as solar, wind and wave powered  energy. The Conference must also be used to strengthen ties with progressive environmental groups, such as the South Durban Community Environmental Alliance (SDCEA), groundWork, Earthlife, etc. 

3.     We must revive the energy caucus - Numsa, NUM & Energy NGO’s. As a precursor Numsa must internally workshop our position on energy policy.

3.     Together with civil society broadly and progressive social movements, Numsa and the federation must wage a sustained campaign against governments attempt to forge ahead with privatization of our energy resources. Our proposal instead must be to assemble a team of experts to investigate: 

3.1.  the cost-drivers that make the Eskom not viable

3.2.  the forces behind the huge tariff hikes demanded by Eskom

3.3.  the procurement practices and the role of consultants in driving Eskom’s costs

3.4.  the technical capacity of Eskom to manage mega-projects

3.5.  the capacity of Eskom management to pull together a turnaround strategy for such a national asset

3.6.  the extent to which the pricing of electricity promotes priority sectors

3.7.  rejection of the $4 billion World Bank loan, with all that it implies for privatization and higher consumer tariffs hitting the poor hardest, and instead source local savings where grid expansion is required

4.     In the absence of such a comprehensive investigation, it is premature for government to suggest a role for the private sector’s profit motive to build capacity for energy supply[35].

5.     Eskom must be discouraged from working with the World Bank and its subsidiary the International Finance Corporation as this will give the bank more leverage to impose its neo-liberal agenda on the policies of our country.

 

Energy crisis

1.     The matter of the ongoing energy crisis in South Africa must be thoroughly investigated; Numsa must take a keen interest in this matter as it is organized in this company;  we must challenge Escom in respect of the electricity crisis and the effect it has on working class communities

2.     Numsa should make a study on load-shedding and its impact.

3.     Government should invest in the power generation capacity of Eskom and other environmentally friendly sources of energy. The increase in capital expenditure required by Eskom must not be funded through higher tariffs by consumers.

4.     No developmental projects must be frozen due to load-shedding.

5.     We demand that no single job should be lost as a result of the government and ESKOM engineered electricity crisis in our country. Further, we demand that the working class must not be made to pay and suffer for the incompetence of those responsible for the crisis both at ESKOM and in government.

 

Energy pricing and supply

1.     With the increase of electricity tariffs we demand that the 50Kwh of free electricity be increased by 100% to 100Kwh.

2.     Pensioners, unemployed and the poorest of the poor should be further subsidised on their electricity consumption.

 

Saving energy but not at the expense of the working class

1.     Numsa will engage with strategies that exist to save electricity with the aim of reducing pressure on the grid and ensuring a cleaner environment.

2.     We must discuss within the union how savings that accrue as a result of energy efficiency strategies are distributed in society and in the workplace.

3.     A worker’s fund should be used to bail out Eskom from the World Bank and Bank of England with the proviso that workers have a stake in Eskom.

4.     We must return to electricity councils from the current boards that are for profit maximization.

5.     Agreements of discounts between heavy users of electricity and Eskom must be made public. These heavy electricity users must be compelled to create more jobs

6.     We must intensify the living wage campaign against rising electricity tariffs and other socio-economic matters through section 77 notices.

7.     The involvement of municipalities in increasing the tariff of electricity and the impact of these increases on poor consumers must be looked into

8.     We demand the standardisation of electricity tariffs nationally.

9.     Government should curb the salaries and bonuses of Eskom executives

10.  South African companies must take first priority in the sale of coal in order to secure supply for Eskom. 

11.  As the labour movement we call for transparency in the way the long-term electricity price path is determined.

12.   We mandate the union’s national leadership to intervene at the highest level to ensure that strategies to balance demand and supply of electricity such as DRAPP do not adversely affect our members and the working class.

 

 

Green energy

1.     Numsa together with Cosatu should oppose building of nuclear stations and the investment therefrom should be re-directed to environmentally friendly sources of energy.

2.     All the CFLs that are used in the Department of Minerals and Energy’s campaign for efficient use of energy must be produced and procured locally.

3.     Labour should engage the Department of Trade and Industry in order for the CFLs to be produced in South Africa.

4.     Government to lead a drive to convert to solar heating for hot water in all existing domestic and industrial users via generous tax rebates. This could reduce the amount of oil the country (ESKOM) imports to cope with peak demand times

 

Building a Socially-Owned Renewable Energy Sector in SA

1.     As a union we should, in opposition to plans to build an RE sector driven by the private sector, fight for a socially-owned RE sector; a sector made up of a mix of  energy parastatals, cooperatives, municipal-owned entities and other forms of community energy enterprises.

2.     In discussions about building a renewable energy sector in South Africa, we should put the question of social ownership and control at the centre. The mandate of socially-owned RE enterprises should be service provision, meeting of universal needs, de-commodification of energy and an equitable dividend to communities and workers directly involved in production and consumption of energy.

3.     Existing state-owned energy enterprises (SOEs) such as Eskom and Central Energy Fund (CEF) should be socialised through a change in their mandates from the current profit orientation to service provision. Instead of boards of directors appointed by Ministers and other politicians, we need to agitate for significant representation of energy consumers and energy producers on new and legislatively-empowered governing councils of these SoEs.

4.     Enterprises that make up the socially-owned sector will have to act under a strict social mandate; where a large share of economic benefits of renewable energy production and consumption accrues to producers and owners of the actual means of renewable energy production. For this to happen there will have to be prioritisation in the grid of electricity generated by socially-owned RE entities.

5.     As immediate steps to build a socially-owned renewable energy sector, NUMSA should struggle and call for the following:   

5.1.  The bringing of sites with the greatest abundance of useable renewable energy sources such as land under public, community or collective ownership.

5.2.  Social ownership of utilities (generation, transmission and distribution).

5.3.  Bringing the fossil fuel industry such as coal and synthetic fuel under social ownership and control.

5.4.  The introduction of strategic and targeted local content requirement regime aimed at building a RE manufacturing base in South Africa.

5.5.  Creation of concrete learning situations by establishing NUMSA RE coops. This should also include experimentation with different scales of technology including both on and off-grid technology.

6.     As NUMSA we must encourage other socially-owned entities to enter the RE space. Where we can, we should do likewise with municipalities; encourage and struggle with them to establish municipal-owned solar and wind parks.

7.     We should use the bidding process as a focus to build a movement for socially-owned renewable energy sector. To carry out this work the union commits itself to establishing a RE-bid Watch; a network made up of Friends of NUMSA (locally and internationally) to monitor and report on the bidding process.

8.     While insisting that government should set aside public investments for renewables, the union should explore:

8.1.  how fossil fuel revenues can be harnessed to fund renewables

8.2.  possibilities of using workers’ pension funds as a vehicle for financing socially-owned renewables.

9.     The union should embark on ongoing education on socially-owned renewable energy sector that develops a rigorous critique of existing development path in the RE sector.

10.  NUMSA commits itself to organising workers in all branches of the renewables sector.

11.  We must advance gender equity in the renewable energy sector through a demand to RE companies that calls on them to adhere to Employment Equity legislation and to absorb women at all levels of the occupational ladder. 

12.  NUMSA will build and strengthen relations with organisations and institutions in countries where there are examples either of different forms of social-ownership within the renewable energy sector, or examples of the conflicts generated by capitalist renewable energy development. In addition we are keen to have contact with unions, organisations, specialist institutions and individuals who share our perspectives of a socially-owned RE sector, wherever they may be.

 

Rollout of solar water heating systems

1.     As a union we should identify loopholes that allow cheaper imports of SWH to enter at lower duties and on that basis call for amendment to tariffs.

2.     NUMSA should call on the Minister of Trade & Industry to use Section 9 of the revised regulations to the Preferential Procurement Policy Financial Act (PPPFA) to designate solar water heaters (SWHs) so that organs of state and public entities will only procure locally-produced solar heating systems.

3.     MERSETA should embark on a development of installers and execution of a plan to train up to 10 000 qualified plumbers required to support the rollout plan by 2014.

4.     As a union we should agitate for a shift in the rollout of solar water heaters from a rebate system to a contract model where government will drive the programme through large-scale contracts. This is the only way to ensure consolidation of the SWH sector in a manner that ensures certainty, job creation, quality, sustainability, after sale maintenance and guarantees.

5.     Government contracts for supply and installation of SWH should be awarded using a scorecard that emphasises factors such as job creation, BBBEE, supplier development, set-asides for cooperatives, localisation and local content requirements. 

6.     NUMSA must make progress on the establishment of Solar Water Heater Installation Coops.

 

REDS

1.     Numsa and other unions at national level who are engaged with REDs process must meet immediately after the 8th national congress to define a common perspective and challenges and such a process must take lower structures on board.

2.     Numsa would have to ensure that this process does not lead to privatization through sophisticated process of management techniques and that instead of improving service delivery these REDS end up being managed on a profit basis because if that is the case such a management structure would be different to privatization

3.     We would also have to make sure those municipalities that will lose revenue as a result of REDs such municipalities do not transfer the costs to poor communalities.

4.     National Holding Company to be permanent (Electricity Distribution Industry) eg to use cross-subsidies.

5.     Cosatu should co-ordinate, and facilitate common position of Cosatu affiliates with regard to the issue of Regional Electricity Distributors (REDs).

 


 

Environment

 

Significance for workers

1.     The state of the environment has a substantial impact on the sustainability of both our economy and our livelihood. For too long now, workers have been exposed to the adverse effects of production on their safety and health as well as damage to their surroundings. Companies cannot be allowed to plunder resources indiscriminately and pollute the environment without sufficient and constant regulation.

2.     It is therefore essential that any efforts undertaken with regard to strengthening industrial policy should ensure that all necessary environmental concerns are taken into consideration.

 

Action in the community

1.     Start and intensify the environmental awareness at schools, churches, workplaces and in the community at large.

2.     Direct the cleaning campaign towards employment creation through the recycling of materials like paper, tins, aluminium, steel, iron, copper etc.

3.     Youth and women in particular, as they form a higher percentage of the unemployed, should be fully trained to play an important role in the recycling process.

4.     Our training and education institutions should promote the recycling process as an important light industry.

5.     The government should provide financial assistance towards the establishment of this light industry.

 

 

Climate Change

1.     We need to link our struggles around climate change with global anti-capitalist struggles.

2.     As NUMSA, we endorse the 15 principles of the COSATU Central Executive Committee (CEC) as the basis for engagement in climate change negotiations.

3.     Stopping wars (especially US-led ones, which have a high carbon footprint and are exempted from emissions calculations) should be a vital component of attempts to reduce global warming.

4.     Nationalisation and socialisation of hydrocarbons such as coal are central to the struggle against climate change. This will give political control over the industries and ensure that the economic revenue from fossil fuels stays in the country.

5.     To avoid “just transition” being another capitalist concept, the path to a low carbon economy must be based in worker-controlled, democratic social ownership of key means of production and means of subsistence. There is a need for long term collective planning of wealth and production and how needs are met.

6.     Collective and democratic planning is needed in order to make far reaching interventions that are on the scale that is needed and at the pace it is needed, and doing so in such a way that workers avoid bearing all the costs of the transition. 

7.     As a union we should we reject market based solutions to climate change and argue that we cannot own nature, we are part of nature. NUMSA and COSATU should call on government to review the Carbon Development Mechanisms (CDMs) and other elements of carbon trade that are being championed in South Africa by global finance institutions.

8.     It is vital to develop ways that avoid “solutions” that pit workers in one part of the world in competition with workers in other parts of the world.

9.     The question of reproduction and land is central in the fight against global warming. Women’s struggles are therefore central, as is the struggle of informal workers who are the most vulnerable of all workers.

10.   Entering into alliances with other organisations, especially civil society and rural communities is critical in our work on climate change.

11.   A concerted self-education of our members on climate change is necessary.

12.  NUMSA will be pro-active in the development of mitigation plans, carbon budgets, sector jobs resilience plans (SJRPs) and sectoral mitigation and lower-carbon development strategies that the White Paper on Climate change calls for.

13.  COSATU should call for the formalisation of the status the National Committee on Climate Change (NCCC) which advises the Minister of Environmental Affairs on matters of climate change into an advisory council with statutory powers and responsibilities.

 

Privatisation

 

Principles

1.     That the obsession to reduce Government consumption expenditure is in fact just an excuse to justify de-manning within the public sector and to speed up privatization and therefore should be rejected with contempt.

2.     Therefore Cosatu should rather strive for expansion of the role of the state by stepping up the struggle against privatisation and rightsizing of the public sector.

3.     The government must ensure that there is no more privatization of parastatals.

4.     The Alliance resolution on the moratorium on privatization and outsourcing should be supported.

5.     There must be a moratorium on outsourcing.

 

Restrictions on privatisation

1.     The restructuring of state assets can only be considered if the existing employment policy is defended and if social services are extended to the poor.

2.     The following key assets for the provision of social services should not be privatised.

2.1.  land

2.2.  water

2.3.   electricity

2.4.  health

2.5.  education

2.6.  transport

3.     If these social services are already in state hands, we should defend them.

4.     We reject the involvement of the private sector in the delivery of National Health Insurance, in public hospitals management, and especially in the generation of electricity through so-called independent producers.

5.     Where state assets are restructured, the proceeds should be allocated to a social welfare net and social delivery in particular.  

6.     Such proceeds should not be used to service debts.

7.     The NFA should be re-negotiated and involve all stakeholders.

8.     Employers must not be permitted to create a monopoly as a direct result of the restructuring of state assets.

9.     The state should engage PPPs only as an interim measure in order to build capacity and develop skills.

10.  In this context it remains the state’s primary responsibility to provide water, electricity, transport, health care and education.

 

Re-nationalisation

1.     If any of the key assets for the provision of social services have been privatized, they should be re-nationalised.

2.     All previously privatized SOEs must be renationalised[36]

 

Action

1.     Numsa and Cosatu must continue with the anti-privatisation campaign.

2.     We must mobilise civil society in general and our membership in particular to protest against the continued privatisation policies of the South African Government.

3.     Numsa through Cosatu must roll out a campaign on education for our members and communities on privatisation and its effects.

4.     We must work together with the PIC to reverse the process of privatisation through ownership.

5.     Together with civil society broadly and progressive social movements, Numsa and the federation must wage a sustained campaign against governments attempt to forge ahead with privatization of our energy resources.

6.     We need to audit what has been privatised and what the reasons for this were. This audit must be carried out at national, provincial and local levels so as to bring the information to our constituencies for better mobilisation.[37]

 

Food

 

Underlying causes of food crises

1.     The property clause which compromises land and agrarian reform remains intact

2.     Farms are still owned and run by whites

3.     There is an absence of a clear industrial strategy

4.     Farmers are turning their farms into game farms and tourist attractions rather than producing food to ensure food security

 


 

Actions required

1.     Alternative forms of food distribution to current food production and retail monopolies should be investigated.

2.     The state must as a matter of urgency establish its own chain store to supply the working class and the poor with affordable goods specially food stuff. Cosatu must make sure that this is achieved by 2011.

3.     National buffer stocks managed by the state have to be built up in order to stabilize the domestic market. Numsa through Cosatu must champion a campaign that will call on government to regulate food prices to be within the earning power of workers and the poor. Such a campaign should include a progressive tariff on electricity and water.

4.     Cosatu must research what additional foods should be zero-rated.

5.     Cosatu must:

5.1.  engage government to subsidise basic food (eg maize meal and sunflower oil) like it is doing with electricity and water.

5.2.  mobilise civil society around consumer activism so that we consumers determine the prices rather than leaving the price to the market.

5.3.  research what additional foods should be zero-rated.

6.     Price collusion should be punishable through fines and a jail term  and the penalties paid by companies for price fixing must be ploughed back into communities through lowering the price of the specific item.

 

Crime

1.     Government and trade unions should work together in reducing unemployment and together tackle the issue of drugs and human trafficking.

2.     Police intake should be increased accompanied by bettering their wages and conditions of employment including training and resource them to be able to carry out their functions.

3.     Numsa should cooperate with the ANC and SACP on setting up street committees that are ideologically well-trained to ensure that they are not hijacked for other purposes. The street committees should be allowed to deal with crime in their own communities including setting up volunteer programmes to ensure that young people serve their communities with pride.

 

Corruption

1.     Numsa to urgently give effect to parts of Cosatu’s 8th Congress resolution:

1.1.  To intensify our participation in the Moral Regeneration Movement.

1.2.  To educate members to be aware of white-collar crime and not to accept bribes.

1.3.  To encourage further government legislation to stricter restrictions on companies to ensure that they do not evade policies and rules governing their activities.

2.     We will act in defence of all cadres of the national liberation movement deployed in government who are seen to be acting decisively against corruption.

3.     We must take a strong stance in the Cosatu August 2011 CEC so that our membership and broader ANC supporters may have confidence in what our movement is doing to stem and deal with corruption in government.

4.     We  welcome the recent statement of the ANC Secretary General arising out of the ANC NEC Lekgotla that society sees the ANC and government as not acting fast enough on corruption. Numsa therefore calls on all ANC deployees in governance to be decisive in acting when there are fraudulent acts, wrong doing and corruption inside the state so that the courts of law and law enforcement agencies may act without fear or favour.

5.     Numsa further believe that Capitalism inherently breeds and reproduces corruption and therefore our continued fight must be about smashing of the Capitalist system but simultaneously deal with current day corruption in the public and private sector.

 

Xenophobia

1.     Numsa condemns the xenophobic attacks against fellow workers from neighbouring countries and urges government to put measures to protect them. We condemn the sporadic attack on Somali nationals in our country; this kind of xenophobia is unacceptable and the state security agents must apprehend and prosecute all those involved.[38]

2.     Numsa acknowledges that poverty, unemployment, lack of resources and inequality are at the heart of this violence

3.     NUMSA must condemn the widespread abuse and exploitation of migrant workers by employers and by agents and intermediaries and the failure to act adequately to protect them[39]. Immigrant workers, whether legal or not must be protected by the formal labour system and existing bargaining agreements and authorities must ascertain those facts before deportation. Cosatu should assist foreign nationals to benefit from Skills Development Act. Department of Labour to check the skills of foreign nationals so that they can help this country develop.

4.     NUMSA must extend solidarity, social justice, equal treatment and gender equality to all migrant workers, regardless of their legal situation, in order to secure non-discrimination and equal treatment with workers who are nationals of the host country.[40]

5.     We must rebuild civil society in communities that are poor and banished onto the periphery of the system. Numsa should educate members and the broader community against Xenophobia.

6.     We must repair and boost the capacities of service organization to help those communities press home their concerns and demands.

7.     We should have the necessary policies in place to protect foreign nationals working in our country for the purposes of skills transfer. Foreign workers with special skills must be accepted to practice in the country as we need their skills for the development of our country and region

8.     We must ensure that foreign workers in our country have the correct papers and We must ensure that foreign workers are not exploited by employers; and as a Unions we must make sure that the venues (hotels) that we use are not exploiting the Foreign Nationals that they employ

9.     A Non-Racism conference should be hosted by government which should include Trade Unions, business and NGOs[41]

10.  We must put the ideals of non racialism back in the spotlight of debate and share experiences of the xenophobic attacks. We should cooperate with SACP branches in building working class consciousness and we should integrate foreign nationals back into our communities eg through exchange programmes so that we can understand where they come from and move forward.

11.  Border control policies, Home Affairs, Safety & Security Department and the Housing Department must overhaul and re-orientate to realize efficient and effective public service. Decisive action needs to be taken to root out corruption in these departments.

12.  Government must educate civil servants and ordinary citizens on how to handle, respect and forge cordial relations with foreign nationals.

13.  The re-integration of the displaced as a result of xenophobic and Afro-phobic eruptions back into communities where they were displaced must address the fundamental causes of the problem of high levels of unemployment, delivery of basic services such as water, housing & electricity, etc.

14.  The Disaster Management Act should be amended in order to be explicit about the roles of different spheres of government and non-governmental organisations.

15.  Numsa will:

15.1.   encourage its structures and workplaces to hold REC’s/LSSC’s/general meetings and invite foreign workers to come and say why they have come to this country. This will be a way of finding out about neighbouring countries and the problems that they are experiencing.

15.2.   actively recruit foreign workers so that employers are not able to exploit them. 

15.3.   demand and mobilise that employers who employ foreign workers illegally are dealt with by the law.

15.4.   Produce and circulate to the regions a concept paper including the reflections of the CC.

 

Social Contract

1.     We remains opposed to a social contract based on a common and shared economic vision; Cosatu should avoid entering an accord which leads to deteriorating employment standards and a wage freeze.

2.     Cosatu must continue to engage and fight (State & Capital) for socio-economic transformation, guided by the RDP and our Socialist Vision.      

 

Technology and work

1.     Technology innovations should not displace workers but rather protect the existing jobs and have regard for the health and safety of workers.

 

World Cup

1.     All the products for the event should be produced locally.

2.     Cosatu should participate within tripartite institutions and or local government where decisions to build stadiums and other developmental projects, so that they can even be useful after the tournament.

3.     Processes of tendering should be transparent.

4.     Cosatu should negotiate through NEDLAC, that workers during the month of the event should be released such that they are able to attend or watch the games.

5.     Cosatu should ensure that local communities should not be left with any debt after the tournament.

6.     All games should be broadcast live through all channels of the SABC .

 

Transformation of Judiciary

1.     Further transformation must be undertaken within the judiciary to ensure that it retains its credibility and integrity in the eyes of the general public.

2.     We will hold after National Congress a CC seminar on the transformation of the judiciary which will formulate a Numsa position on it[42]

 

 


 

E-tolling

1.     Through COSATU we need to campaign tirelessly for the complete scrapping of e-tolling with the involvement of other stakeholders.

2.     The SACP should play its role of being a vanguard of the working class and the poor.

3.     The country must find ways of financing road maintenance without overcharging citizens.

4.     Numsa believes that new Gauteng high ways can be resolved through progressive and redistributive taxation rather than through burdening the working and middle classes with e-tolling.[43]


 

Socio-economic Forums

 

NEDLAC

1.     Cosatu should put its demands (guided by RDP and socialist vision) at NEDLAC and ensure that mobilisation and campaigns are behind our demands.

2.     In this way we strengthen Nedlac through mass action and ensure that our delegates improve mandating and report-backs.

3.     We must bring on board the broader community and other progressive formations behind our demands.

4.     In order to build capacity to engage at Nedlac level, we must develop a research department at Cosatu Head Office.

5.     No agreement reached at Nedlac should be altered by Parliament

 

Millenium Labour Council

1.     Numsa rejects the establishment of the Millennium Labour Council and the Presidential Trade Union Group.

 

Provincial Development Councils

1.     Develop a framework for the establishment of PDC’s so that we may contest economic development at provincial level and how we mainstream our work with NEDLAC on the matter.

 

Windfall Profit Monitoring Body

1.     The CC is tasked with developing practical measures to establish, as proposed in Cosatu’s 8th National Congress resolution, a tripartite body to investigate and monitor whether companies are making windfall profits.

 

 

 

 

 

 

 

 

 

 

 

 

 


 

Index

 


A

Adult education............................................................. 46, 48

Agriculture........................................... 10, 29, 37, 39, 40, 56

Alliances

The Alliance................. 8, 12, 24, 25, 26, 32, 41, 57, 63

Alternative production relations

Cooperatives..... 16, 19, 20, 24, 29, 33, 36, 39, 40, 56

Workplace democracy............................................... 9, 18

Arcelor Mittal......................................................................... 34

B

Banks.................................................................... 9, 23, 35, 36

Bargaining Councils.............................................................. 21

Black Economic Empowerment................ 9, 28, 34, 35, 54

C

Call centres............................................................................. 22

Capitalism...................................................................... 8, 9, 16

China................................................................................ 26, 40

Chinese companies.............................................................. 22

Civil society............................................................................ 13

Class struggle......................................................................... 11

CODESA................................................................................... 43

Co-determination............................................................. 9, 18

Commodity pricing policy................................................... 24

Competition policy........................................................ 32, 33

Competitiveness and new management techniques..... 28

Constitution

Property clause.................................................. 37, 39, 64

COPE........................................................................................ 59

Corruption........................................................ 11, 54, 65, 66

Crime................................................................................ 10, 65

Cuba........................................................................................ 15

Customs and excise............................................................. 27

D

Deregulation.......................................................................... 19

Developmental state..................................................... 15, 20

E

Economic policy

Capital mobility................................................................ 23

Exchange Controls................................................... 14, 26

Finance.............................................................................. 22

Fiscal............................................... 14, 15, 16, 24, 44, 56

Gear.................................................................................... 14

Macro-economic...................................................... 12, 16

Monetary Policy................................................ 14, 15, 25

New Growth Path............................................................ 15

Economic restructuring....................................................... 15

Economy

Finance sector........................................................... 14, 22

Education and training................................... 27, 28, 46, 47

Employment Equity

Employment Equity Act.................................... 21, 45, 48

Energy.......................................................... 10, 18, 58, 59, 64

Environment..................................................... 10, 15, 28, 62

Eskom.......................................................... 10, 14, 55, 58, 59

Exchange Controls......................................................... 14, 26

Exchange Rate........................................................................ 15

Exemption....................................................................... 19, 24

Export Processing Zones..................................................... 21

F

Federations............. 16, 23, 24, 30, 32, 41, 46, 49, 58, 64

Food

Prices.......................................................................... 39, 65

Freedom Charter.......................................... 8, 12, 29, 37, 42

G

Gear......................................................................................... 14

Gender

Wages................................................................................ 13

Globalisation......................................................................... 14

Grading............................................................................ 32, 47

Growth and development..................................... 15, 27, 41

H

Health and Safety........................................................... 45, 67

HIV/Aids........................................................................... 45, 46

Hostels.................................................................................... 38

Housing............... 9, 10, 23, 34, 37, 38, 41, 44, 56, 66, 67

I

Industrial Councils............................................................... 19

Industry policy.............. 10, 12, 25, 26, 28, 29, 31, 32, 62

Scrap metal................................................................ 29, 32

Inflation............................................................. 14, 25, 26, 41

Informal sector................................................................. 9, 24

Interest rate................................................ 10, 23, 25, 36, 52

International

Solidarity........................................................................... 16

International financial crisis........................................ 16, 17

International Monetary Fund...................................... 14, 15

ISCOR....................................................................................... 34

J

Jobs........................................................................... 17, 56, 57

Judiciary.................................................................................. 67

K

Kumba Iron Ore..................................................................... 34

L

Labour brokers............................................................... 21, 47

Labour market................................................................ 12, 18

Land reform............................................................. 18, 28, 39

Land, housing and shelter..................................................... 9

Literacy.................................................................................... 48

Living Wage..................................................................... 18, 56

M

Membership education................................................ 65, 66

Millenium Labour Council.................................................. 69

Monetary Policy...................................................... 14, 15, 25

Motor Industry Development Plan................................... 32

N

NAMA...................................................................................... 27

National Democratic Revolution....................................... 16

National Union of Mineworkers........................................ 58

Nationalisation........................................................ 13, 53, 64

NDR......................................................................................... 16

NEDLAC........................... 18, 21, 25, 28, 29, 46, 57, 67, 69

Non Agricultural Market Access........................................ 27

Non-tariff barriers................................................................ 27

NUM........................................................................................ 58

Numsa

Constitution..................................................................... 45

Education.......................................................................... 20

Finance

Investment.................................................................. 20

Investment Company................................................ 20

Investment Company..................................................... 20

Membership and subscriptions.................................. 20

News.................................................................................. 15

Office Bearers............................................................ 14, 24

O

Outsourcing............................................... 14, 16, 18, 54, 63

P

Pension and Provident Funds...................... 24, 38, 42, 45

Privatisation............ 10, 14, 32, 37, 52, 53, 58, 61, 63, 64

Procurement.............................................. 12, 49, 54, 55, 58

Productivity.................................................................... 28, 47

Provincial Development Council....................................... 69

Public sector............................................................ 41, 43, 63

Public transport........................................ 10, 28, 32, 44, 49

Public works programmes.................................... 18, 56, 57

R

Recognition of Prior Learning............................................ 48

Reconstruction and Development Programme 12, 14, 22, 43, 56, 67, 69

Research and development.................................. 29, 31, 54

Reserve Bank................................................................... 16, 25

Retrenchment.......................................................... 16, 24, 47

Right to work......................................................................... 13

Rural development.......................................... 29, 30, 39, 56

S

SABC........................................................................................ 67

SACP............................................................ 13, 14, 16, 65, 66

SADTU..................................................................................... 46

Service delivery................................... 12, 42, 43, 51, 53, 61

Short time............................................................................... 17

Skills development.................................... 18, 46, 47, 57, 66

Skills Development Act..................................... 21, 47, 66

SMMEs................................................................. 9, 19, 33, 36

Social clause........................................................................... 27

Social contract....................................................................... 67

Social expenditure................................................................ 41

Social grants........................................................................... 41

Social wage...................................................................... 13, 44

Socialism................................................................... 12, 13, 53

South African Broadcasting Corporation........................ 67

South African Communist Party............ 13, 14, 16, 65, 66

State-owned enterprises....................................... 53, 54, 55

Subcontracting...................................................................... 18

Supplier Parks........................................................................ 11

T

Tariffs................................................... 10, 26, 27, 28, 58, 59

Technology............................................................... 27, 39, 67

Time off............................................................................ 45, 48

Trade policy............................................................................ 26

Trade unions.............................................. 13, 38, 46, 53, 65

Transnational Corporations.................................................. 8

V

Venezuela............................................................................... 15

Violence.................................................................................. 66

W

Windfall profits..................................................................... 69

Work organisation................................................................ 27

Worker control...................................................................... 18

Working class consciousness..................................... 16, 66

Workplace forums................................................................ 19

World Bank.............................................................. 14, 15, 58

World cup.............................................................................. 67

World trade organisation............................... 26, 27, 28, 55

WTO.................................................................... 26, 27, 28, 55

X

Xenophobia.................................................................... 11, 66


 



[1] CC Aug 2011

[2] The full text of this response is available in the Complete Text version of Numsa’s Resolutions, in Section 5: Socio-economic Resolutions, on Pages 23 to 28

[3] NEC February 2010

[4] NEC February 2010

[5] For a full list of these areas, see Complete Texts, Section 2, Page 23

[6] NC 2012

[7] CC Aug 2011

[8] CC Aug 2011

[9] NC 2012

[10] NC 2012

[11] NC 2012

[12] NC 2012

[13] NC 2012

[14] NC 2012

[15] NC 2012

[16] For a comprehensive list of the support expected from the MIDP, see Complete Texts, Section5, Pages 69 and 70

[17] NC 2012

[18] CC July 2010

[19] NC 2012

[20] NPC Feb 2012

[21] NC 2012

[22] CC Aug 2011

[23] NC 2012

[24] NC 2012

[25] NC 2012

[26] NC 2012

[27] NC 2012

[28] For a complete list of proposed changes to Local Government, see Complete Texts, Section 5, Pages 94 and 95

[29] NC 2012

[30]  NC 2012

[31] NC 2012

[32][32] CC Aug 2011

[33] NC 2012

[34] NC 2012

[35] NEC February 2010

[36] NC 2012

[37] NC 2012

[38] NC 2012

[39]  NC 2012

[40] NC 2012

[41] NC 2012

[42] NC 2012

[43] CC May 2012