the Skills Revolution Indaba, Greyville Racecourse
21 May 2007
Deputy President of the Republic of South Africa Ms Phumzile
Mlambo-Ngcuka
MEC for Finance and Economic Development Dr Zweli Mkhize
MEC for Education Ms Ina Cronje
General-Secretary of the South African Communist Party Dr Blade Nzimande
Business and Commerce Representative Mr Glenn Fischer
This two-day Indaba seeks to unravel some of the oddities found in our job
market today. That reality is captured in the fact that the average age of a
toolmaker in South Africa is 55 years old. We are told that a carpenter, a
necessary skill, is "as scarce as hen's teeth." This applies to welders,
goldsmiths and other high end technological qualifications.
In reviewing the economy of KwaZulu-Natal earlier this year we noted that
our programmes aimed at fighting poverty, creating jobs, and promoting social
inclusion and equality were beginning to bear fruit. We said: "The Gross
Domestic Product per region (GDP-R) of the province of KwaZulu-Natal is now the
second largest in the country after Gauteng, and the GDP-R growth rate rose
over fivefold from 1,0% in 1999 to 5,3% in 2005.
* Our provincial government has managed to reduce the unemployment rate from
36,3% in 2003 to 29,9% in 2006.
* According to Global Insight, the percentage of people in poverty in this
province (poverty rate) decreased from 54,0% in 2004 to 51,9% in 2005.
* The literacy rate in this province has improved to 88,6%.
In an article titled South Africa's Economic Development Trajectory:
Implications for Skills Development by Marina J Mayer and Miriam Altman argue
that skills development in South Africa must be aligned to the economic and
political imperatives of reducing unemployment and poverty, while fostering
growth and international competitiveness. I quote:
"The legacy of a resource-based economy, overlaid by apartheid policies, has
resulted in widespread poverty, inequality and unemployment existing alongside
globally competitive industries. It is therefore necessary to foster employment
through the provision of basic needs such as infrastructure, healthcare and
education to the poor, while at the same time deepening linkages within the
domestic economy to broaden economic participation and actively promoting
international competitiveness to enhance exports."
The two authors propose a dual development trajectory and I quote: "The
first level requires a high skills trajectory to support the ongoing expansion
of high-value traded goods and services. The second level requires the
expansion of low productivity, non-traded goods and services to redress
unemployment and must be underpinned by the provision of low and intermediate
skills."
We are therefore pleased to have chosen the theme "KwaZulu-Natal partnering
in skills development" because it speaks to the idea and practice of
partnership which is the overriding approach of the government of
KwaZulu-Natal. As a province, we have developed the Provincial Growth and
Development Strategy (PGDS) which is based on partnership with all stakeholders
including business, government and labour. The PGDS has the following
priorities:
* the eradication of poverty and inequality
* managing the impact of HIV and AIDS and reducing its spread
* re-engineering and enhancing service delivery in government
* investing in infrastructure
* strengthening of governance
* development of human capability.
The current trend in economic growth we referred to above suggests that the
provincial economy has the potential to reach a 10% growth rate by the year
2014, which is far above the Accelerated and Shared Growth Initiative of South
Africa's (AsgiSA's) target of 6,0%. Standing in the way of this projected
growth potential is however the challenge of skills which we face.
It is clear that we cannot deal with the twin evils of unemployment and
poverty without ensuring first of all that all our people are literate. In
KwaZulu-Natal we have a number of people who cannot read or write their own
names. Getting rid of illiteracy is therefore the first step in our attempt to
address the challenges of job creation and the eradication of poverty. In the
21st century there is no country or province that can hope to play an active
role in the world if the majority of its people are illiterate. Through the
Masifundisane Campaign we are sure to deal with this challenge in two years
time.
At the next level we also need to constantly create a new skills base in our
province which is geared towards addressing the needs of our economy in order
to sustain its growth path. In particular, we have identified scarce skills
such as tool making and those of artisans as necessary in our economy.
One of the questions we must answer is how can our Further Education and
Training (FET) Colleges bridge this gap and respond to the demands of industry?
During the State of the Nation Address of 2006/07 the President of the Republic
of South Africa Mr Thabo Mbeki identified Further Education and Training
Colleges as a terrain where the battle to correct this shortage of skills will
be fought.
FET colleges have the necessary resources and facilities to train people for
the 21st century. As Mayer and Altman argue, we must make sure that the
programmes offered are properly aligned towards the skills requirements of our
country or province and remain fully responsive to the changing needs. Through
the Provincial Growth and Development Strategy we aim to address the legacies
apartheid which gives a class and racial tone to the skills shortage debate.
This calls for the effective alignment of the FET Colleges and the PGDS, to
respond to the training needs of the province.
The training provided at FET Colleges covers a wide range of categories
including:
* targets of the National Skills Development Strategy
* custom designed skills training for the local industry
* training for the Expanded Public Works Programme
* training for food production and poverty alleviation
* small medium and microenterprises (SMMEs) and co-operatives job creation
programmes
* integrated education and training for up-skilling and National Qualifications
Framework and the Department of Education qualifications
* training for 2010 and beyond.
Deputy President, we see the FET Colleges as a key which will educate and
train our people in the relevant skills so they can participate fully in their
economic lives.
Skills provide the individual the opportunity to partake of opportunities
that are being created by our economy as it grows and develops. These colleges
are best positioned to provide intermediate and higher skills needed for
economic growth and social development. By giving our people skills we will
provide them with jobs. In the end we will return them to that place of
dignified existence where every man and woman is able to put food on the tables
of their family.
I thank you
Issued by: Office of the Premier, KwaZulu-Natal Provincial Government
21 May 2007
Source: SAPA
