Sechaba ka’Nkosi
Pressure by the Congress of South African Trade Unions (Cosatu) has led to a decision by the African National Congress to smooth out differences with its communist and worker allies before the much-awaited Jobs Summit this week.
The ANC took a strategic dive on macro-economic fundamentals and showed willingness to refocus its transformation approach towards social upliftment and poverty relief programmes.
In return, the left – largely represented by Cosatu and the South African Communist Party – undertook to desist from making any public attacks on the government’s growth, employment and redistribution strategy (Gear).
The new relationship has been underpinned by the ANC’s commitment to a more socialist approach on transformation, resulting in agreements on a basic income grant for the unemployed and a massive housing pilot programme.
The grant seeks to give the unemployed a minimum of R100 a month, while the government-sponsored pilot project aims to build at least 150 000 houses by the end of 2001. There is also an indication that the government will review its tariff reduction targets and civil service budget.
More crucially for labour, the ANC has hinted that the government may negotiate on retrenchment procedures, as set out in the new Labour Relations Act. This move aims to deal with criticisms of inflexibility in the labour market by organised business.
Also mentioned was a massive public works programme that would provide on- the-job training and temporary employment for unemployed youths.
“We are not necessarily saying that the government needs to review Gear, but a declaration on macro-economic reform is enough to satisfy our members that the government is serious about addressing their concerns,” says senior Cosatu official Mbuyi Ngwenda.
While the summit will, in all probability, be something of a public relations gesture, it is likely to signal the first public healing of differences between the ANC and its allies.
The biggest score for both Cosatu and the SACP would be a government declaration that all parties would work together in formulating an acceptable macro-economic framework.
The declaration would bind the government to fundamental economic policy changes, moving from a focus on fiscal discipline and industrial policy to a new approach on tariff reduction and redirecting the economy.
The shift was first mooted at the party’s national executive committee, held at Gallagher Estate three weeks ago. Just minutes after the meeting, the breakthrough agreement was achieved at a high-level meeting attended by the top brass of the alliance leadership.
Led by ANCsecretary general Kgalema Mothlante, in the absence of party president Thabo Mbeki and his deputy, Jacob Zuma, it included John Gomomo of Cosatu’s central committee and the SACP’s politburo, headed by SACPchair Charles Nqakula and SACPgeneral secretary Blade Nzimande.
Says a senior SACP official: “The parties have realised that it no longer matters whose position is what on Gear – what is important is that we move together as a unit in the transformation programme.”
Interestingly, the process towards the normalisation of relations between the tripartite alliance has left business – an influential player in macro- economics – on the sidelines.
Organised business downplayed the impact of the recent agreements between the ANC, SACP and Cosatu, arguing that they are not binding on its constituency.
South African Chamber of Business representative Gerrie Bezuidenhout told the Mail & Guardian that as far as it is concerned, everything is still going according to plan.
“We go along with the idea that what will come out of the Jobs Summit is a number of deliverables that would be practical in the short term,” said Bezuidenhout.