1. Expanded Public Works Programme (EPWP) Progress report for the roll-out of EPWP Phase 3 to Portfolio Committee on Public Works 23 June 2015

2. 2 Presentation Outline Quarter 4 performance analysis  Work opportunities  Full Time Equivalents  Designated Groups  Spatial Analysis: Sector Performance Financial Performance and Integrated Incentive Grant Performance Beyond the numbers  Outputs and services rendered  Enterprise Development & NSF Funded Training  Progress on Institutionalising the PEP – IMC  EPWP Reporting System  Challenges  Measures put in place to address challenges

3. 3 Overall EPWP Annual Targets (5 Years) per financial year Financial Year EPWP annual work opportunity targets EPWP cumulative work opportunity targets EPWP annual FTE targets EPWP cumulative FTE targets 2014/15 1 045 520 420 952 2015/16 1 127 1862 172 706450 462871 414 2016/17 1 343 1543 515 860519 7241 391 138 2017/18 1 406 7364 922 596574 0891 965 227 2018/19 1 455 8406 378 436591 8462 557 073 Total6 378 4362 557 073 Source: EPWP Phase 3 Targets (dated : 30 April 2014 ) Work Opportunities: Paid work created for an individual on an EPWP project for any period of time. The same person can be employed on different projects and each employment period will be counted as a work opportunity FTE (Full Time Equivalence) : person days of work and training divided by 230 days

4. Discussion on Performance of the EPWP in Q4 4 Work opportunities: By Q4 of the 2014/15 FY, 1 103 983 Work Opportunities (WO) were reported against the annual set target of 1 045 520 which translates to 106% The following sectors: Infrastructure, Social and Non-State: NPOs & CWP have reached their annual targets, except the Environment & Culture Sector which has created 221 090 WO against the set target of 227 650 (97%) leading to a shortfall of 6 560 WO. The major contributor of the WO reported in quarter 4 are from the Infrastructure Sector with 409 209 WO & Non-State Sector (NPOs & CWP) 249 078 WO. Full Time Equivalence: A total of 387 278 Full Time Equivalents (FTEs) were created against the set target of 420 952 translating to 92%. The only sectors that have reached their annual set FTEs targets is Infrastructure sector and the NSS:CWP with100% and 102% achieved respectively. While the other sectors have achieved 91% - Environment & Culture, 82% - Social and the NSS: NPOs – 73% The under performance on FTEs can be attributed to the shorter durations in the WO reported.

5. 5 Overall Progress to date against 2014-15 Targets (1 April 2014 – 31 March 2015) Work opportunities (WO) Source: EPWP Phase 3 Targets (dated 30 April 2014) Work Opportunities: Paid work created for an individual on an EPWP project for any period of time. The same person can be employed on different projects and each employment period will be counted as a work opportunity FTE (Full Time Equivalence) : person days of work and training divided by 230 days

6. 6 Overall progress against 2014-2015 targets Full Time Equivalents (FTEs)

7. 7 Overall Analysis across all sectors and spheres of government: (Q4: 1 April 2014 – 31 March 2015) InfrastructureEnvironment al & Culture Non-State NPOs SocialCommunity Work Total Number of projects/ sites7 0353 377364 92717115 836 Work opportunities (WO)409 209221 09050 371224 606198 7071 103 983 Average Duration of WO 6977919412687 FTEs123 44277 16919 88792 20274 578387 278

8. Discussion on Performance of the Programme in Q4 All Spheres of Govt 8 National Govt Depts: The NSS: CWP has reported 198 707 WO against an annual target of 187 000 translating to 106%, whilst the NSS: NPOs Programme has reported 49 960 WO against a target of 49 000 translating to 104%. All the other sectors at a national level were unable to reach their annual set targets. Provincial & Municipalities All provinces except for the FS and NC have exceeded their combined (provincial and municipal) annual targets on work opportunities. The leading provinces in terms of performance is KZN with 173 774 WO reported at 130%, followed by EC with 109 850 WO reported translating to 129%. For the combined performance, the lowest performing province is the Northern Cape with 74% achieved.

9. 9 National Government Departments progress against 2014-15 annual targets Work opportunities and FTEs (1 April ‘14 – 31 March ‘15) Source: Infra & Enviro Targets – EPWP Phase 3 targets (Apr 2014): NPO & CPW targets – EPWP Phase 3 targets (Apr 2014) Non State sector Directorate, (July 2014) % - Percentage of work opportunities or FTE reported against target Work Opportunities (WO) – Work Opportunities reported by reporting bodies Full Time Equivalence (FTE) – person days of work and training divided by 230 days Sectors WO annual target WOWO % FTE annual target FTEFTE % Infrastructure 20 00013 509686 5224 36167 Environment & Culture 113 99596 9488547 08538 39182 Social 42 21839 3269315 0529 36062 Non-State: Comm Work 187 000198 70710673 17474 578102 Non-State: NPO 49 00050 37110327 20519 88773 TOTAL 412 213398 86197169 037146 57787

10. 10 Infrastructure, Environment and Culture and Social Sectors (TOTAL) (Prov Govt Depts & Municipalities): Work opportunities against 2014-15 targets by Province (Q4: 1 April 2014 – 31 March 2015) Provinces MunicipalitiesTotal Annual Target Wk Opp Reported %Annual Target Wk Opp Reported %Annual Target Wk Opp Reported % EC 40 27682 47720545 11727 3736185 393109 850129 FS 22 38521 7999717 73211 9716840 11733 77084 GP 48 37751 38510663 67074 664117112 047126 049112 KZN 87 637112 15612845 89361 618134133 530173 774130 Lim 39 13132 9168423 69032 40713762 82165 323104 Mp 24 87934 26913819 23916 1988444 11850 467114 NC 17 33912 104706 7445 6888424 08317 79274 NW 27 61339 97114516 69812 6687644 31152 639119 WC 31 49625 0187942 94750 44011774 44375 458101 Total 339 133412 095122281 730293 027104620 863705 122114 % - Percentage of work opportunities reported against target Wk Opp Reported – Work Opportunities reported to date Source: Targets – Infra and Social sectors: EPWP Business Plan (Dated April 2014) Environment & Culture Sector: E&C Sector Plan (June 2014)

11. 11 Work opportunities as percentage of Designated groups by Sector (1 April 2014 – 31 March 2015)

12. 12 Municipalities Reporting per Province 1 Apr 2014 – 31 March 2015 (Quarter 4) ProvNo of munics in Prov (18 May 2011 munic boundaries) No munics reporting Annual WO target (14-15) WO reported (Q3 14-15) WO progress against annual targets (%) Eastern Cape 45 45 55027 37360% Free State 242317 58011 97168% Gauteng 12 63 70374 664117% KwaZulu- Natal 61 47 54161 618130% Limpopo 30 23 61032 407137% Mpumalanga 21 19 22616 19884% Northern Cape 32316 5315 68887% North West 23 16 99312 66875% Western Cape 30 43 19850 440117% TOTAL 278276283 932293 027103%

13. SPATIAL ANALYSIS: SECTOR PEFORMANCE 13 Social : Social Sector targets only exist at a District and Metro level. The performance on FTEs and WOs largely the same trend, i.e. those Districts exceeding their WO target also exceed their FTE targets. Enviro: More Local Municipalities and metros have exceeded their WO target than their FTE targets. 107 Local Municipalities and 5 metros exceeded their WO targets while 90 Local Municipalities and 4 metros exceeded their FTE targets. There are more District that exceeded their WO targets than those that exceeded their FTE targets. There are 18 District exceeding the WO targets while 11 District exceeded their FTE targets. Infra: There are more Local Municipalities and metros that exceeded their WO target than their FTE targets. 103 Local Municipalities and 4 metros exceeded their WO targets while 60 Local Municipalities and 3 metros exceeded their FTE targets. Similarly there are more District that exceeded their WO targets than those that exceeded their FTE targets. There are 10 District exceeding the WO targets while 4 District exceeded their FTE targets.

15. 15 Spatial distribution of work opportunities 1 Apr 2014 – 31 March 2015 All 8 metropolitan municipalities are in the top 10 municipalities i.t.o WO. The WO reported in the top 10 municipalities represent 32% of the total 1 103 983 WO reported in the 2014-15 financial year. Munic codeMunic NameProvProjectsWO CPTCity of Cape Town MetroWC1 54063 568 JHBCity of Johannesburg MetroGP49359 534 TSHCity of Tshwane MetroGP30058 834 ETHEthekwini MetroKN30256 940 BUFBuffalo City MetroEC15333 246 EKUEkurhuleni MetroGP17318 422 NMANelson Mandela Bay MetroEC18917 431 EC157King Sabata DalindyeboEC15316 665 MP325BushbuckridgeMP52216 483 MANMangaung MetroFS21315 975

17. Spatial distribution: Full Time Equivalent (FTE) 1 April 2014 – 31 March 2015. The total FTEs reported in the top 10 municipalities represent 32% of the 123 234 FTEs reported in total for the 2014-15 financial year. Local munic code Local Munic Name District code District nameProvProjectsWOFTE JHBCity of Johannesburg MetroJHBCity of Johannesburg MetroGP49359 53423 250 ETHEthekwini MetroETHeThekwini MetroKN30256 94019 433 TSHCity of Tshwane MetroTSHCity of Tshwane MetroGP30058 83417 188 CPTCity of Cape Town MetroCPTCity of Cape Town MetroWC1 54063 56815 259 BUFBuffalo City MetroBUFBuffalo City MetroEC15333 24614 035 KZN225MsunduziDC22UmgungundlovuKN8913 2457 018 MP322MbombelaDC32EhlanzeniMP27715 3786 981 EKUEkurhuleni MetroEKUEkurhuleni MetroGP17318 4226 927 NW383MahikengDC38Ngaka Modiri MolemaNW19715 8686 637 MP325BushbuckridgeDC32EhlanzeniMP52216 4836 506 EC442UmzimvubuDC44Alfred NzoEC7315 0046 072 EC157King Sabata DalindyeboDC15O.R.TamboEC15316 6655 836 NMANelson Mandela Bay MetroNMANelson Mandela Bay MetroEC18917 4315 512 MANMangaung MetroMANMangaung MetroFS21315 9755 268 NC091Sol PlaatjieDC9Frances BaardNC12710 1894 752

18. 18 EPWP INTEGRATED GRANT PERFORMANCE

19. 19 Expenditure as at end of March 2015 – Integrated grant to provinces ProvincesFinal Grant Allocation Actual YTD Transfers % Actual YTD Transfers Total Expenditure to date Exp % on Allocation (R'000) Eastern Cape 69,544 100% R 64,98693% Free State 26,601 100% R 23,73789% Gauteng 23,565 100% R 20,52687% Kwa-Zulu Natal 97,945 100% R 94,23596% Limpopo 32,247 31,00496% R 26,61983% Mpumalanga 39,928 100% R 35,94690% Northern Cape 20,348 100% R 18,07689% North West 14,249 100% R 13,84697% Western Cape 24,520 100% R 21,79689% Total 348,947 347,704100% R 319,76792%

20. Expenditure as at end of March 2015 – Integrated grant to Provinces The EPWP Integrated Grant to Provinces was completely disbursed to all provinces with the exception of Limpopo province where 96% of the grant was disbursed. This was because funds for Limpopo Departments of Education and Corporate Governance and Traditional Affairs were stopped due to non-compliance. The expenditure for the EPWP integrated grant to provinces is at 92%. Provincial Departments did not have full expenditure mainly due to delays in implementation of projects.

21. 21 Expenditure as at end of March 2015 – Integrated grant to Municipalities Summary by province Allocated (R'000)Transferred to date (R'000) Transfers as % allocation Expenditure to date (R'000) Expenditure as % allocation Eastern Cape 100,628 100% 71,53371% Free State 31,592 100% 22,92973% Gauteng 89,799 100% 77,80187% Kwa-Zulu Natal 129,712 100% 89,03069% Limpopo 49,931 100% 37,43275% Mpumalanga 54,506 100% 39,31472% Northern Cape 38,757 100% 26,55169% North West 40,919 100% 27,39767% Western Cape 58,731 100% 40,54169% TOTAL 594,575 100% 432,52873%

22. Expenditure as at end of March 2015 – Integrated grant to Municipalities The EPWP Integrated Grant to Municipalities was completely disbursed to all eligible municipalities. The expenditure for the EPWP integrated grant to municipalities was 73% at 31 st of March 2015. Municipalities have until the 30 th of June 2015 to spend their full allocation.

23. 23 Expenditure as at end of March 2015 – Social Sector Incentive grant ProvincesFinal Grant Allocation Actual YTD Transfers% Transfers to date Total Expenditure to date Exp % on Allocation (R'000) Eastern Cape 41,714 100% R 40,70998% Free State 11,700 100% R 10,02886% Gauteng 73,338 100% R 71,65398% Kwa-Zulu Natal 19,544 100% R 18,75696% Limpopo 18,632 100% R 17,82696% Mpumalanga 18,844 100% R 17,43993% Northern Cape 22,018 100% R 18,74285% North West 26,306 100% R 25,43697% Western Cape 25,876 100% R 24,54895% Total 257,972 100% R 245,13795%

24. Expenditure as at end of March 2015 – Social Sector Incentive Grant For the EPWP Social Sector grant to provinces, 100% of the allocation has been disbursed. The overall expenditure of the grant is 95%. The Northern Cape, Mpumalanga and Free State had lower expenditure than other provinces.

25. Outputs and services rendered Enterprise Development NSF Training EPWP Reporting Progress on Institutionalizing the PEP - IMC 25 BEYOND THE NUMBERS

26. 26 OUTPUTS – INFRASTRUCTURE SECTOR Sector Description Actual Outputs Reported InfrastructureFence installed 33 070 Km Pipelines installed 109 923 Km Roads constructed to standards 7 942 Km Sidewalks constructed to standards 450 Km Storm water drains constructed 64 632 Km Roads Maintained14 291 Km

27. 27 OUTPUTS – ENVIRONMENT & CULTURE SECTOR Sector Description Actual Outputs Reported Environment and Culture Hectares of areas treated for alien vegetation 1 366 Ha Hectares of land controlled, protected and rehabilitated 51 Ha Fence erected10 112 Km Streets cleaned 7 942 Km Households serviced (Waste Collection) 92 677 Trees planted20 045 Waste management programme established 5 023 Dumping sites cleaned3 969 sqm Grass cutting areas25 077 sqm

28. 28 OUTPUTS – ENVIRONMENT & CULTURE SECTOR SectorProgramme Description Actual Outputs Reported Social Sector Home Community Based Care HCBC practitioners recruited19 570 Victims receiving support under the Victim Empowerment Programme (VEP) 1 134 National School Nutrition Programme Learners benefitting from the National School Nutrition Programme (NSNP) 1 542 830 Early Childhood Development (ECD) Children supported through the Child and Youth care worker services. 1 838 Safety and Security Volunteers reported in the Safety and Security programme. 12 510 Teacher Assistant Programme. Learners supported through the Teacher Assistant Programme. 184 321

29. 29 ENTERPRISE DEVELOPMENT Through the Enterprise Development: 1.A total of 322 Small Medium and Micro Enterprises (SMMEs) have been supported. 2. Out of the SMMEs supported, 482 beneficiaries have benefited, with 247 out of this beneficiaries representing the Youth. 3. In addition, a total of 178 co-operatives have received the following training respectively:  Introduction to Entrepreneurship Training.  Diagnostic Assessment Training.  Practical exercise on Costing and Pricing Tendering, and  Co-operative Workshop.

30. 30 BREADKDOWN OF SMMEs and Coops SUPPORTED

31. EPWP TRAINING 31  The EPWP received funding for training from the Department of Higher Education and Training (DHET) through the National Skills Fund (NSF) for the period 2010 – 2016.  The funding was allocated as follows:  R200 million for Short Courses,  R110 million for Skills Programmes,  R52 million for Artisan Development and Learnerships and  R7.1 million for NECSA training.  Through further engagements with the various Sector Education and Training Authorities (SETA”s); the programme also managed to source R1,6 million from the FPMSETA discretionary grants for training of 639 EPWP participants on FPMSETA skills programmes i.e. chainsaw, brush-cutter, forestry etc.

32. EPWP TRAINING…Cont’d 32  A s per the NSDS III initiative, the EPWP has partnered with 3 various SETA’s up until the 31 st March 2016, to assist with the rollout of the EPWP various training programmes.  The various SETA’s partnered with are AgriSETA, CATHSSETA and MerSETA to ensure that quality training is provided to beneficiaries.  Through AgriSETA, 120 Learnerships will be implemented on animal production and poultry production and 2 521 EPWP beneficiaries will go through Skills Programme on horticulture and plant production.  The CATHSSETA will implement skills Programme to 1 170 EPWP beneficiaries on public area cleaning, culture site guide, craft production, sports coaching and the logistics preparation of the implementation has already commenced.  The merSETA will implement the Artisan Development Programme on various trades including electricians, diesel mechanic, boilermakers to 109 EPWP beneficiaries. Subsequently, for the duration of the training the learners will be placed at Volkswagen South Africa, Toyota SA, Mercedes Benz.

33. EPWP TRAINING…Cont’d 33 Short CoursesSkills ProgrammeLearnershipsArtisan Development Programme ProvinceMultiskillingHeadcountNo of Participants of Trained No of Participants Enrolled No of Participants EC5 0441 548 61 60 10 GP3 6591 125 476 0 22 LP2 7391 549 843 20 10 NW2 7191 981 201 20 5 MP1 8681 089 1348 100 14 NC1 841830 180 0 0 KZN1 762997 274 50 8 WC1 568814 192 0 13 FS1 477800 120 20 7 Total22 69710 733 3 695 27089

34. 34 EPWP Phase 3 Reporting System The EPWP Phase III new reporting will be conducted via a single source reporting system which introduces new built validations. Real time application of validation rules will include ID number validations with the Department of Home Affairs and the DPSA for PERSAL information. An exciting development for the new system is the integration of biometric capability for better quality control. The biometrics will be used as a secondary identifier together with the EPWP participant ID number. Parallel recording for fingerprint recognition, where possible, will allow for the link of participant data to the data sets of other government systems. The system will be set up to accommodate various biometric measurements To date, the EPWP M&E Unit has conducted a number of training workshops with all the sectors and the implementing public bodies. All Public bodies are currently capturing the 2015/16 Quarter 1 (April to June 2015) data on the new system.

35. 35 Progress on Institutionalizing the PEP - IMC The first sitting of the Public Employment Programme Inter-Ministerial Committee is scheduled for the 08 th July 2015 coupled by site visits to EPWP Projects in Gauteng Province. The PEP-IMC will be chaired by the Hon. Deputy President Mr Cyril Ramaphosa comprising of Ministers for the following core departments: Public Works Social Development Environmental Affairs Corporative Governance and Traditional Affairs Other Ministers from National Treasury, Small Business Development, Rural Development, Labour, Trade & Industry and Economic Development are critical members of the PEP-IMC and will be invited as and when required.

36. 36 Key Challenges Low technical capacity of public bodies to implement EPWP. Non attainment of person with disability and youth targets Non-attainment of FTEs targets – due to shorter duration of work opportunities. Social Sector Programme such as the National School Nutrition Programme (NSNP) not adhering to the minimum daily wage stipulated in the ministerial determination.

37. 37 Measures put in place to address challenges Technical support is being provided to public bodies to help them implement their projects labour-intensively and to report effectively. Engagements are being held with Organisations that represent persons with disabilities to improve their participation in EPWP. Engagements are being held with different programmes to enable them adhere to the EPWP minimum wage.

38. 38 Labour Market Dynamics Survey Results From the 2014 Labour Market Dynamics survey released by StatsSA, the following has been reported:  Awareness about the Expanded Public Works Programme and other government job creation programmes has increased from 42,8% to 52,0% in 2014.  Women are more likely to participate in these programmes, with the share of women among those who participated increasing from 59,3% in 2011 to 63,1% in 2014.  In 2011, a larger proportion of youth participated (51,1%), but by 2014 this had reversed in favour of adults (54,4%).  In both 2011 and 2014, participation in the Expanded Public Works Programme was dominated by persons with an educational qualification lower than matric (65,6% and 69,9%).  In 2014, Eastern Cape accounted for 22,7% of those who participated in these programmes, followed by Gauteng (17,0%) and KwaZulu-Natal (14,9%).  In 2014, seven out of ten of those who participated in the EPWP and other government job creation programmes were employed.” This was up from 56.9% in 2011.  The survey also found that 4 out of every 5 participants who were employed had a formal sector job.

39. Thank You! 39