Pretoria: Productivity growth must be the cornerstone of South Africa's push to create decent jobs, boost industrial competitiveness and bridge deep-seated economic divides. This was the message from Deputy Minister of Employment and Labour, Judith Nemadzinga-Tshabalala, during her keynote address at the National Economic Development and Labour Council (NEDLAC) Symposium in Pretoria.
According to South African Government News Agency, the symposium, themed "Advancing Productivity and Decent Work through Social Dialogue in Southern Africa," highlighted the importance of productivity beyond traditional macroeconomic metrics. Deputy Minister Nemadzinga-Tshabalala stated, "Productivity is not a technical statistic reserved for economists. It is the foundation on which decent jobs are created, on which businesses remain competitive in an unforgiving global economy, on which household incomes rise and on which the promise of social justice becomes real rather than theoretical."
She pointed out the challenges faced by governments in Southern Africa and beyond, such as unemployment, especially among youth, persistent skills mismatches, high levels of informality, and the dual forces of digitisation and the green transition. These challenges are interconnected, and productivity growth is seen as a way to alter this trajectory by generating productive, decent work.
The Deputy Minister warned that without proper oversight, productivity gains could exacerbate economic inequality. "Left unmanaged, productivity gains can just as easily concentrate in fewer hands, displace workers without a plan for their transition, or widen the very inequalities we are trying to close," she stated. She emphasized the role of social dialogue in ensuring that these gains lead to shared prosperity rather than exclusion.
Nemadzinga-Tshabalala reaffirmed the government's commitment to social compacting, citing NEDLAC as a vital democratic mechanism for facilitating social dialogue. She noted that both the African Union and United Nations frameworks identify social dialogue as crucial for achieving development and decent work objectives.
NEDLAC is set to host its 31st Annual Summit, where Minister of Electricity and Energy Dr. Kgosientsho Ramokgopa will address the attendees, further emphasizing the importance of integrated strategies and active social dialogue in transitioning to a formal and productive economy.