Unemployment
Unemployment is the prime cause of the
deepening poverty that has characterized the post-apartheid era in
South Africa. The magnitude of South Africa’s unemployment crisis is
huge. Latest figures on unemployment in South Africa are estimated at
around 23,2% (STATS SA). In response government has set a target to
reduce unemployment to 15% by 2010, in alignment with the Millennium
Development Goals (MDGs).
The critical need for more employment opportunities and the
development of appropriate skills is profound and immediate.
In response to this problem, in June 2003, the Growth and Development
Summit (GDS) was held by the constituencies of Nedlac to address a
range of challenges facing South Africa namely investment, employment
and poverty. Four themes were adopted by the GDS one of which was
“More jobs, better jobs, decent work for all”. Under this theme a
number of interventions were agreed aimed at reducing household
poverty and vulnerability, one of which was the Expanded Public Works
Programme (EPWP).
Expanded Public Works Programme
The EPWP is a nationwide government led initiative,
using the delivery of public services, to draw one million of the
unemployed into productive work. The initiative is being implemented
through established government structures and budgets. The
implementation of the EPWP is being coordinated by the Department of
Public Works which has established a dedicated unit to perform this
function.
The first phase of the EPWP commenced in the 2004/05
financial year and will end in 2008/09. The second five-year phase of
the EPWP commenced in April 2009.
Business Trust
It was felt that the EPWP would benefit from a strategically
focused, properly structured Support Programme to provide capacity and
add extra value to its efforts. Accordingly the GDS agreed that:
Business commits to mobilise and make available its skills and
expertise, within a framework to be agreed after the GDS, with a view
to enhancing the proper project design and management of the EPWP.
Further, business will explore the potential synergies between
corporate social investments and this initiative, including support
for skills transfer to local communities.
The Business Trust was asked to assist the EPWP by procuring effective
private sector support and participation, through the Expanded Public Works Support Programme.
Shisaka
Development Management Services
Shisaka Development Management Services was
appointed by the Business Trust and Department of Public Works, as the
strategic development partner to assist the EPWP unit in developing
and managing the Expanded Public Works Support Programme for the
period 1 March 2005 to 31 March 2010. Shisaka is a development
management company operating in South Africa, specializing in project
structuring and service delivery management support. Within these two
areas Shisaka’s support encompasses strategy development,
facilitation, capacitating, implementation and delivery management.
Scope of the Expanded Public Works programme (EPWP)
The EPWP’s overall target of one million short-term work opportunities for the first five years of the programme was achieved
one year ahead of schedule. At its current scale, the EPWP reaches
approximately 300 000 people (7% of the unemployed) nationally.
On the 11 June 2008 a submission was made to Cabinet by the
Ministry of Public Works to brief Cabinet on the outcomes and
achievements of the first phase of the EPWP and to obtain approval for
a second phase of the programme. These proposals included the
following:
The submission was approved by a full Cabinet meeting on the 25th
June 2008 on the basis that funding is secured for the programme in
the Medium Term Expenditure Framework and a second submission is made
to Cabinet in January 2009.
In accordance with the Cabinet approval above, a request for
additional funds was made by DPW to National Treasury as part of the
Medium Term Expenditure Committee process. In November 2008, R5.2
billion was approved for EPWP 2 of which R4.2 billion will be directly
under the administration of the DPW.
In January 2009 a business plan was submitted by the Ministry of
Public Works to Cabinet Lekgotla setting out more detailed proposals
on EPWP 2. The business plan was approved. Implementation of the
second phase of the EPWP commenced on the 1 April 2010.
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