A Call For Productivity SA To Increase Its Footprint
A Call For Productivity SA To Increase Its Footprint. The Deputy Minister of Employment and Labour (DEL) Mr Jomo Sibiya has urged one of the Labour Department ‘s entities, Productivity SA to increase its visibility amongst South African businesses and also widen its reach to SMMES in the country. Delivering the keynote address at the 2024 Productivity SA Annual General Meeting (AGM), Mr Sibiya lauded the interventions implemented by Productivity SA within small businesses that lead to job creation and prevention of job losses.
Productivity SA is a Public Entity listed under section 32 of the Employment Services Act, No. 4 of 2014 as juristic person and an Entity of the Department of Employment and Labour, with a mandate to promote employment growth and productivity, thereby contributing to South Africa’s socio-economic development and competitiveness. Productivity SA has primarily focused on economic growth and job creation by creating an enabling environment to improve the productivity of industrial SMMEs, both informal and formal, particularly within the manufacturing sector. This is achieved through its Enterprise Development Programmes, namely the Business Turnaround & Recovery (BT&R) Programme and the Competitiveness Improvement Services (CIS) Programme.
According to the Acting Chief Executive Officer of Productivity SA, Ms Amelia Naidoo , “during the 2023/24 Financial Year (FY), Productivity SA build the capacity and trained 5195 SMMEs, entrepreneurs, workers and managers on productivity tools and trained them on competitiveness improvement initiatives through its Workplace Challenge Programme.
The Workplace Challenge Programme is funded by the Department of Trade, Industry and Competition (the dtic) and implemented by Productivity SA. The Workplace Challenge Programme was created to bring business, labour and government together to discuss and reach agreement on a set of arrangements and measures to improve the competitiveness and sustainability of enterprises and increasing higher levels of employment across all industrial sectors. Ms. Naidoo says 76% of the businesses supported by the Workplace Challenge Programmes are Black owned. Additionally, 46% of the businesses have part or full women ownership, and 19% have part or full youth ownership. Over 3,241 jobs were preserved through these interventions.
The BT&R Programme which is funded by the Unemployment Insurance Fund (UIF) and run by Productivity SA saved 5392 jobs during the 2023/24 FY. The Department of Employment and Labour Deputy Minister could relate to the challenges faced by SMMEs as he is also an entrepreneur within his own right and has founded small businesses in the electrical, alien plant eradication and landscaping fields. Sibiya said Productivity SA had made inroads into SMME development and should increase its footprint countrywide to assist more South Africans.
The Department of Employment and Labour highlights the President’s priorities and Government of National Unity Statement of Intent of growth and jobs, focusing on active labor market policies to preserve and create jobs. It aims to provide training that aligns with the skills demanded by the labour market.
Department of Employment and Labour entities also includes Unemployment Insurance Fund (UIF), Compensation Fund and the CCMA. The AGM also marked the end of term for the current Productivity SA Board. The acting Productivity SA Board Chairperson, Dr Anneline Chetty said Productivity SA has not only maintained an unqualified audit outcome for over two decades but have also continued to support businesses through its key programmes which are vital in preventing job losses and fostering the growth of SMMEs and cooperatives.
Dr Chetty said Productivity SA programmes continue to form the bedrock of resilience for many businesses. Dr Chetty has been acting as the Productivity SA Board chairperson for almost a year following the recusal of former Productivity SA chairperson and Thuja Capital head Prof Mthunzi Mdwaba. Dr. Chetty has expressed heartfelt gratitude to both the Department of Employment and Labour and the Department of Trade, Industry and Competition (the dtic) for their steadfast support over the years.
