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1 The Evolving Agenda Public Works Plus Graduation Pathways through Labour Market activation and training: Special focus on youth employment, a case study of the South African Expanded Public Works Programme (EPWP) 18 th June
2 10I 1.0 Introduction ti The Expanded Public Works Programme ( EPWP) was launched by the Government of South Africa in May The first phase of the EPWP ended in March 2009 and had a target of the creation of 1 million work opportunities. The EPWP aims at contributing towards the reduction of unemployment and alleviation of poverty through the creation of work opportunities during the implementation of various Government programmes. The creation of work opportunities will be done through the promotion of Labour-intensive methods. The EPWP is one of the South African Government s e short-term strategies to reduce unemployment and 2 alleviate poverty. 2
3 Positioning of EPWP within Government s Development & Anti-Poverty Agenda Expanded Public Works Programme Goal Reduce poverty and alleviate / reduce unemployment Improve social security net Utilise government expenditure to alleviate unemployment and increase skills Improve enabling environment for small business Education and training to increase skills levels Balance economic growth with growth in EAP Intervention type Govt. social welfare budget Govt. budget for procurement of goods and services Regulation Education policy Macro-economic policies Impact timescale Short/ medium-term Short/ medium-term Medium/long term Long-term Medium/long term (EAP = economically active population) 3 3
4 1.0 Introduction cont d In South Africa, the Public Works Programme is funded wholly from the National Budget, a total of $6.7 Billion was spent in EPWP phase 1 on projects, $ 10 Billion is targeted to be spent on projects in EPWP phase 2. Every Public body at the different spheres of Government ( National, Provincial and Municipal) is expected to contribute towards the programme using their line budgets. 4 4
5 1.0 Background cont d The first phase of the EPWP achieved its target of 1 million work opportunities, one year ahead of schedule. A total of 1.6 million work opportunities were created in the first phase of the programme. Considering the extent of the Unemployment challenge in South Africa which is estimated at 25%, the second phase of the Expanded Public Works Programme was launched in April 2009, with a target of 4.5 Million work opportunities estimated at 2 Million Full Time Equivalents or 460 Million person days of work to be created by 31 st March The 2 nd phase of the Expanded d Public Works programme consists of 4 sectors namely; Infrastructure, Environmental, Social and Non-State sectors. 5 5
6 11M 1.1 Measures put tin place to encourage use of Labour-intensive methods Conditions have been attached to grants from National Treasury to the spheres of Government. Guidelines for use of Labour-intensive methods have been developed. Projects need comply with the guidelines. Labour-intensive courses for officials, consultants, contractors have been developed. eloped Training of officials on Labour-intensive e methods has been done, more planned. Technical Support is being given to Public bodies to implement projects labour-intensively. EPWP incentive grant has been introduced. It is paid to Public bodies that create work opportunities above particular thresholds in all sectors of the programme. R5.4 Billion ($0.8 Billion) has been approved for the incentive over the next 3 years. 6 6
7 20SectorsoftheEPWP 2.0 of the 2.1 Infrastructure sector The EPWP infrastructure t sector seeks to promote the use of Labour-intensive methods in the construction and maintenance of Public infrastructure so as to create work opportunities. EPWP infrastructure sector projects are implemented at all spheres of Government and by State Owned Enterprises. EPWP infrastructure sector projects are funded mainly through the conditional infrastructure grants to Provinces and Municipalities. EPWP infrastructure projects also funded through the equitable share received by Provinces and Municipalities. 7 7
8 2.2 Environmental and Culture sector The Environmental sector aims at creation of work opportunities through the use of labour intensive methods on public environmental programmes. Most environmental programmes seek to mitigate the depletion of the natural resources like water, soil, and the Ozone layer whilst encouraging proper waste management and conservation measures. The Cultural programme seeks to promote the preservation of cultures within the South African communities and encourage the use of art work in doing so. 8 8
9 Some the programmes implemented in the Environmental and culture sector include: - Working for water programme which involves the removal of species of plants that negatively affect the water table. - Working on fire programme which involves the fighting of wild fires. - Land care programme which involves the rehabilitation of land affected by soil erosion. - Food for waste programme which involves the mobilization of communities to collect waste in exchange for food parcels. These environmental programmes involve the training of beneficiaries i i who are recruited to work. 9 9
10 2.3 Social sector The social sector aims to create work opportunities in the provision i of Public Social programmes or services. Two of the main programmes focused on in this sector are as follows: - Home Community Based Care (HCBC) programme in which beneficiaries are trained to look after their communities infected with HIV/AIDs. - Early Child Development programme in beneficiaries are trained to look after children from the ages of 0-6 years old. Expansion to additional programmes like; school nutrition programmes, adult education trainers, and sports coaches is being done
11 2.4 Non-state sector The Non-state aims to create work opportunities through services provide by Non-Governmental Organisations ( NGOs), Community Based Organisations (CBOs) or Non Profit Organisations (NPOs). The Government is facilitating work opportunities in the Non- state through the provision of wage costs for beneficiaries employed on these programmes. Two sets of programmes are being implemented in this sector: Area based: These will include programmes within a specific area that will generally involve a large range of activities as identified in consultation with the community and local government Activity based: These will include programmes by non-state actors that have specific focus areas such as health care, child care, community safety
12 3.0 EPWP Training programmes EPWP sub programmes that having a training focus include: 3.1 National Youth Service (NYS) programme This sub-programme is part of the infrastructure sector of the EPWP and aims to train youth from the ages 18 to 35 years in the built environment artisan trades like Plastering, painting and plumbing. The training of the youth is done over a period of one Year which h consists of theoretical ti training i of 6months and practical training of 6 months. This programme is being implemented by the National Department t of Public Works and Provincial i Departments t of Public Works on their Capital and Maintenance projects. The NYS programme has a target of placement of 20% of the beneficiaries after exiting the programme. Placement will include; work with private contractors, Further Education and Training
13 Implementation stages of the EPWP NYS Programme The EPWP-NYS is implemented through the following stages: Phase 1 : Initiation Phase 2 : Pre-Implementation Phase Phase 2A : Recruitment Phase 2B : Induction Training Phase 2C : Technical Training Phase 3 : Implementation Phase 3A : Tender Process Phase 3B : Construction Phase 4 : Exit 13 13
14 3.1.2 Time lines during EPWP-NYS Implementation The time frame for implementation is: Advertisement / Community Awareness 1 month and 1 week. Briefing session 1 day. Selection of Youth (Including SpEEx from DoL) 3 weeks. Notify / Mobilise selected youth 1 week. Induction Training 2 weeks. Computer Skills Training (NEW) 2 weeks. 3 months Driver s Learners programme (NEW) 2 weeks Technical Skills training 8 to 12 weeks. 3 ½ months On site built environment exposure 6 months
15 3.1.3 Guidelines in the implementation of the EPWP NYS Programme The following guidelines are followed in the implementation of the EPWP-NYS Programme: a. EPWP-NYS projects were selected based on the following guidelines: - project value > R 10 million ( $ 1.3 Million) as projects with contract values less than R 10 million is not suitable necessarily as training % become too expensive in relation to the project cost; - contract period > 12 months; - type of contract (high technical/electrical contracts not as feasible as building contracts); - project status from 4 (design stage) onwards; - 5% of contract value not to be exceeded. b. Beneficiaries aged years. c. Funding for EPWP-NYS training is capped at maximum 5% of project value. d. Technical Training is ideally done before the actual start of the project so that there are no disturbances during the implementation phase of the project
16 3.1.3 Guidelines for EPWP NYS implementation continued e. The Technical training are selected to meet the needs of the contract and are included in included in the Bills of Quantities (Specification SL). Items covered are: Travel and Accommodation cost during off-site training Alternative workers for the period of off-site training Employment of Youth Workers [R 1 100/month ( $147) this is less than the minimum wage rate] Provision of EPWP-Overalls Provision of Small Tools Appointment of Youth Team Leaders; and Liaison with Service Provider. f. Life Skills training will be funded by the National Youth Development Agency (NYDA). g. Whilist in training, the stipends are paid by the Department of Public Works (R660 per beneficiary per month, equivalent to $88 per month ) 16 16
17 3.2 EPWP worker skills training In the first phase of EPWP, every worker was entitled to 2 days of training i for every 22 days of work, as stipulated t in the Code of Good practice for Special Public Works Programme, but practically was difficult to implement. The shift in EPWP phase 2 is to have training prioritised at subprogramme level where it adds value to the service being provided. Training for EPWP workers is mainly on short skills courses. There is a shift now to towards accredited courses that are linked to Learnerships. The funding for training of EPWP workers is mainly from the National Skills Fund which was managed by the Department of Labour before it was transferred to the Department of Higher Education
18 EPWP Worker training Business process 8. Place trained workers on projects 7. Provide Training, monitor training, record training, evaluate training and report 9. Exit workers 1. Project approval and or place on other tender processes. upcoming projects of the same or other Public bodies. 2. Public Body appoints Project Steering Committee (PSC) in consultation with Communities 6. Provide Induction / Orientation / Awareness to the selected learners. 5. Confirm Numbers to be trained, Process training applications, approvals, contracting and logistics meetings. 4. Selection of learners by PSC. Assessment to determining existing competencies and learning abilities. 3. Project Steering Committee appoints Community Liason Officer / Social Facilitator 18
19 3.3 EPWP Vuk uphile Contractor Learnership programme The EPWP Vuk uphile Contractor t Learnership programme aims at training small emerging contractors in Labour-intensive methods of construction. The EPWP Vuk uphile Contractors recruit members of communities in areas where they are implementing projects leading to creation of work opportunities. The National Department of Public Works (NDPW) is responsible for formulation of policy guidelines and programme management of the Vuk uphile Learnership programme. The EPWP Vuk uphile Programme is implemented in partnership a Public body ( Provincial Department or Municipality) and the Construction ti Education Training i Authority (CETA) of South Africa. The EPWP Vuk uphile Contractor Learnership consists of classroom training and practical implementation of projects. The Learners are provided with three training projects by the Public Body is partnership p with the National Department of Public Works to implement the programme. The projects are awarded on a negotiated price basis and have a minimum total value of R2,500, ( $333,333). 333) 19 19
20 EPWP Vuk uphileuphile Learnership Model Year 1 Year 2 Training 1 Project 1 Training Project 2 Training 3 Project 3 3 Months 6 Months 2 Months 9 Months 1 Month 9 Months Mentorship 25 Months Programme Management and Support 30 Months Theoretical Training and Assessments 30 Months Year
21 3.3.1 Roles and responsibilities of EPWP Vuk uphile Programme stakeholders Implementing Body Project Budget, Act as Employer, Appoint Compliant Engineer, Community Facilitator (Appointed by Public Body) Informs Community, Establish Community Forum Financial Services Provider Bridging Finances, Financial Training, Monitor Cash Flows Training Provider Theoretical Training, Asses Learner Progress both in classroom and on site, Mentor Guide Learners, Bank Account Signatory, Oversee Works ensuring compliance CETA Appoints Training Provider, Register Learnerships, Quality Assurance NDPW Formulate Guidelines, Appoints Mentors, Quality Assurance 21 21
22 EPWP Vuk uphile Learnership Structure ROLES AND RESPONSIBILITIES VUK UPHILE STAKEHOLDERS CETA NDPW - SF NDPW DOL Training providers for Learners Community Facilitation Support Implementing Body Province / Municipality Programme Management support Mentors for learners Access to Credit Financial Services Provider Training projects Learner contractor 1 or 2 learner supervisors Unemployed EPWP beneficiaries Targets: 55% Women, 40% Youth 2% Disabled 22 Training providers for Beneficiaries 22
23 3.3.2 EPWP Vuk uphile Learnership processes ( Women = 50%, Youth = 50%) (Currently: Women = 45%, Youth = 77%) 1. Signing of MOA by Implementing Body 2. Formation of Management Committee 3. Selection of Learners (In partnership with CETA, Implementing Body and Financial Services Provider) 3.1 Advertisement 3.2 Briefing sessions 3.3 Pre-screening of applicants 3.4 Short-listing for written Assessments Wi Written Assessments 3.6 Short-listing for Interviews 3.7 Financial screening 3.8 Interviews Final selection 23 23
24 3.3.2 EPWP Vuk uphile Learnership processes cont d 4. Training, i.e. Classroom and On-site Training Project, - 30months Phase 1 Classroom Training 3 Months Phase 1 On-Site Training 6 Months Phase 2 Classroom Training 2 Months Phase 2 On-Site Training 9 Months Phase 3 Classroom Training 1 Month Phase 3 On-Site Training 9 Months 5. Exit Strategy, supported by Enterprise Development unit 24 24
25 40S 4.0 Success achieved din the implementation ti of the EPWP Programme EPWP has been successful in achieving i its targets t in terms of creation of work opportunities. The programme achieved its target of creating one million work opportunities in the 1 st phase, one year ahead of Schedule. EPWP has been successful in implementation of Public Works Programmes beyond the infrastructure sector which is the traditional focus of Public Works Programmes. Over 19,000 youth have been recruited on the National Youth Service programme since inception in April Over 1,500 learners including 500 contractors have been trained on the Vuk uphile since 2004, with R1.6 Billion ($ 213 Million) worth of projects implemented, with more than 50,000 work opportunities created. 77% of the learners recruited on Vuk uphile are youth against a target of 50%
26 5.0 Challenges faced in the Implementation of the EPWP Programme Some of the challenges faced in the implementation of the programme included: The Programme was not able to meet its overall training targets in phase 1 of the EPWP. 7,186,143 person days of training target of 15,579,000 was achieved. This was 46% of the training target. There were challenges with obtaining funding for training, mainly because the processes involved. The duration of work opportunities created was shorter than anticipated
27 6.0 Conclusions The EPWP has been able to create work opportunities in other sectors beyond the infrastructure t sector. This shows that t there is potential for creation of work opportunities in other sectors and there should be additional focus to harness potential benefits in terms of job creation. A strategic focused approach should used when providing training of beneficiaries in Public Works Programmes. Training should be conducted d in sub-programmes where it adds value to the service being provided. In addition, processes for funding training need to be streamlined. Public Works programmes should have specific subprogrammes that target youth and other designated groups with the aim of empowerment so that socio-economic goals of the programmes can be achieved
28 THANK YOU 28 28
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