1. The Department of Labour Annual Performance Plan 2015 – 2016 PRESENTATION TO SELECT COMMITTEE ON ECONOMIC AND BUSINESS DEVELOPMENT 26 MAY 2015 1

2. Table of Contents 1.Summary of the DoL Strategic Plan 2015 – 20 2.The DoL Programmes and Entities 3. The DoL focus in the MTSF: 2014 – 19 4. The Annual Performance Plan for the Financial Year 2015/16 5. Way-forward 2

3. DEPARTMENT OF LABOUR Summary of the DoL Strategic Plan 2015 – 20 3

4. 1. Summary of the DoL Strategic Plan 2015 - 20 The DoL Strategic Plan is a five year plan which takes in cognisance the National Development Plan (NDP) 2030 and the Medium Term Strategic Framework (MTSF) 2014 – 19. Amongst the six pillars of the NDP, the DoL’s Strategic Plan is specifically aligned to; growing and inclusive economy and building capabilities. The following strategic objectives are clearly articulated in response to the two pillars: Promote sound labour relations, Contribute to decent employment, Promote equity in the labour market, Monitor the impact of legislation. Regarding the MTSF, the DoL focus is on the following Outcomes; Outcome 4, Outcome 5, Outcome 11, Outcome 12 and Outcome 14. Based on the Strategic Plan, the Department developed a one year plan (APP). The APP strategically concentrate on annual performance in attempt to reach the five year objectives of the Strategic Plan. The Annual Performance Plan indicates indicators, annual and quarterly targets. 4

5. DEPARTMENT OF LABOUR The DoL Programmes and Entities 5

6. Gauteng Limpopo Mpumalanga North West Free State KwaZulu Natal Northern Cape Western Cape Eastern Cape - HQ and 2 Funds in Pretoria -9 DoL Provincial Offices - 126 Labour Centre -19 Mobile Units to access remote area visiting points -2 well equipped PES Buses - Provide services in 72 out of 139 Thusong Centres - HQ and 2 Funds in Pretoria -9 DoL Provincial Offices - 126 Labour Centre -19 Mobile Units to access remote area visiting points -2 well equipped PES Buses - Provide services in 72 out of 139 Thusong Centres

7. 2. The DoL Programmes and Entities 1.Administration: Ministry; Deputy Minister, Director General’s Office; Corporate Services (CS), Chief Operations Officer (COO), Chief Financial Officer (CFO) 2. Inspection and Enforcement Services (IES) 3. Public Employment Services: 4. Labour Market Policy & Industrial Relations 5. Unemployment Insurance Fund (Schedule 3A Public Entity) 6. Compensation Fund (Schedule 3A Public Entity) 7

8. 2.1 The DoL Programmes and Entities- continues Entities established in terms of various legislations and cabinet decisions to assist DOL in meeting its mandate include: Commission for Conciliation, Mediation and Arbitration (CCMA) National Economic Development and Labour Council (NEDLAC) Productivity South Africa Supported Employment Enterprises (currently trading as Sheltered Employment Factories) 8

9. DEPARTMENT OF LABOUR The DoL focus in the MTSF: 2014 – 19 9

10. 3. The DoL focus in the MTSF: 2014 – 19 In the Medium-term, the Department of Labour will contribute mainly on the following outcomes: Outcome 4: Decent employment through inclusive economic growth Outcome 5: A skilled and capable workforce to support an inclusive growth path Outcome 11: Create a better South Africa, a better Africa and a better World Outcome 12: An efficient, effective and development oriented public service; and Outcome 14: Transforming society and uniting the country 10

11. 3.1 Government Service Delivery Outcomes and the Department of Labour Strategic Goals Strategic outcome orientated goalGoal Statement 4Decent employment through inclusive economic growth 1. Promote Occupational health services 2. Contribute to decent employment creation 3. Protect vulnerable workers 5. Strengthen occupational safety protection 6. Promote sound labour relations 7. Monitor the impact of legislation 9. Development of the Occupational Health and Safety policies 5A skilled and capable workforce to support an inclusive growth path 2. Contribute to decent employment creation 11

12. 3.2 Government Service Delivery Outcomes and the Department of Labour Strategic Goals - continues Strategic outcome orientated goalGoal Statement 11Create a better South Africa, a better Africa and a better World 4. Strengthen multilateral and bilateral relations 12An efficient, effective and development oriented public service 8. Strengthen the institutional capacity of the Department 14Transforming Society and uniting the Nation 10. Promote Equity in the labour market 12

13. DEPARTMENT OF LABOUR The Annual Performance Plan for the Financial Year 2015/16 13

14. 4. The Annual Performance Plan for the Financial Year 2015/16 4.1 Administration 4.2 Inspections and Enforcement Services 4.3 Public Employment Services 4.4 Labour Policy and Industrial Relations 14

15. 4.1 Administration: Performance Indicator RPRP TargetQ1Q2Q3Q4 1.1Strategic Plan and Annual Performance Plan approved and tabled as per prescribed timeframes QAnnual Performance Plan approved by end of January for tabling in Parliament by 31 March 1 st draft Annual Performance Plan approved by end August 2015 2 nd draft Annual Performance Plan approved by end November 2015 Final Annual Performance Plan approved by end of February 2016 Table approved APP in Parliament by 31 March 15

16. 4.1.1 Administration - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 1.2 Improve the Department’s performance based on the Management Performance Assessment Tool (M-PAT) assessment criteria Comply with 50% of the M-PAT level 3 and level 4 standards A55% of total DoL M-PAT standards per KPI at level 3 by March 2016 M-PAT Report received from the DPME in June 2015 Develop and sign off the Departmental Action Plan to address key challenges raised in the M-PAT Report Coordinate the loading of new evidence that will improve the Departmental score on the M-PAT online system based on the Departmental Action Plan by October 2015 Moderation of evidence submitted by the Department conducted by the DPME by January 2016 Release of the moderated report by DPME in February 2016. Coordinate the loading of new evidence that will improve the Departmental score on the M- PAT online system based on the DOL action plan by March 2016 16

17. 4.1.2 Administration - continues Performance Indicator RPTargetQ1Q2Q3Q4 1.3 Number of monitoring reports on Service Delivery Improvement Plan (SDIP) produced within 30 days after quarter end/year end A 4 monitoring reports on SDIP produced within 30 days after quarter end/ year end 2014/15 Q4- 30 April 2015 Q1 – 31 July 2015 Q2 – 31 October 2015 Q3 – 31 January 2016 2.1Number of Risk Reports set to minimise risk exposure and improve Risk Maturity level Q42014/15 Q4- 30 April 2015 Q1 – 31 July 2015 Q2 – 31 October 2015 Q3 – 31 January 2016 17

18. 4.1.3 Administration - continues Performance IndicatorRPRP TargetQ1Q2Q3Q4 3.1Percentage of fraud cases received or detected finalized within 90 working days Q95% of fraud cases received or detected finalised within 90 working days 95% 18

19. 4.1.4 Administration - continues Performance IndicatorRPTargetQ1Q2Q3Q4 4.1Departmental Communication Strategy approved and implemented by end of March 2016 Q and A Communicat ion Strategy and annual action plan approved 85% implementat ion of the activities in the annual action plan Communica tion Strategy and annual action plan approved 85% implementa tion of the activities mapped for Q1 85% implementa tion of the activities mapped for Q2 85% implementa tion of the activities mapped for Q3 85% implementa tion of the activities mapped for Q4 Review the Communica tion Strategy and develop Action Plan for 2016/17 19

20. 4.1.5 Administration - continues Performance IndicatorRPRP TargetQ1Q2Q3Q4 5.1 Percentage of (a) women in SMS, (b) youth and (c) people with disability (PwD) employed in line with the EE Plan by 31 March each year Q (a)50% (b)38% (c)3% (a)45.5% (b)36% (c)3% (a)47% (b)36.5% (c)3% (a)48% (b)37% (c)3% (a)50% (b)38% (c)3% 5.2 Percentage of vacancy rate reduced by 31 March Q8%9.9%9.5%9%8% 5.3Percentage of disciplinary cases resolved in 90 working days Q100% disciplinary cases resolved in 90 working days 20

21. 4.1.6 Administration - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 6.1Percentage of Court Papers to resolve Litigation filed with the Court within 10 working days of receipt Q90% 21

22. 4.1.6 Administration - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 7.1 Implement effective ICT Governance framework Q Review and implement ICT operating model (ICT Governance and ICT Policy Frameworks) ICT Strategy and annual action plan approved by end of April Review the ICT Strategy and develop Action Plan for 2016/17 for approval by 31 March 2016. 7.2Annually review and implement the ICT strategy of the Department QImplementatio n of agreed strategic objectives as specified in the Annual Action Plan 25% implementation of the annual target 50% implementation of the annual target 75% implementation of the annual target 90% implementation of the annual target Remaining 10% (if applicable) of 2015-16 to be addressed in Q1 of 2016-17 22

23. 4.1.6 Administration - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 8.1Number of Annual Financial Statements (AFS) and Interim Financial Statements (IFS) compiled per year that comply with guidelines issued by the National Treasury. A&QA&Q 1 AFS by 31 May, and 3 IFS 30 days after each quarter. Annual report – 31 May 2015 Q1 -31 July 2015. Q2 - 31 October 2015 Q3 - 31 January 2016 23

24. 4.1.7 Administration - continues Performance IndicatorRPRP TargetQ1Q2Q3Q4 8.2 Medium Term Expenditure Framework (MTEF) and Estimates of National Expenditure (ENE) prepared according to National Treasury (NT) prescripts Q MTEF and ENE submitted and published Roll over submission MTEF submitted AENE Draft ENEFinal ENE 9.1 Percentage of compliant invoices paid within 30 days of receipt Q100% 9.2Percentage detection and reporting of irregular, fruitless and wasteful and unauthorised expenditure (TR9.1.2) Q100% 24

25. 4.1.8 Administration - continues Performance IndicatorRPRP TargetQ1Q2Q3Q4 10.1 Procurement of fleet vehicles in line with departmental benchmark Q100% 10.2Vehicles maintained in accordance with the manufacturers specifications Q100% 25

26. 4.2 Inspections and Enforcement Services (IES) Performance IndicatorRPRP TargetQ1Q2Q3Q4 1.1 Number of designated employers reviewed per year to determine compliance with employment equity legislation Q750193229150178 1.2Percentage of non- compliant employers of those reviewed in reference to 1.1 issued with a recommendation within 90 days of the review Q100% 26

27. 4.2 Inspections and Enforcement Services (IES) Performance IndicatorRPTargetQ1Q2Q3Q4 1.3 Number of designated employers inspected per year to determine compliance with employment equity legislation Q4 1761 0441 2538321 047 1.4. Percentage of non- complying workplaces inspected per year with reference to 1.3. dealt with in terms of the Employment Equity Act Q100% 1.5Percentage of employment Equity Plans of those companies inspected/ reviewed in 1.1 and 1.3 above assessed annually. Q80%20% 27

28. 4.2.1 IES - continues Performance IndicatorRPTargetQ1Q2Q3Q4 2.1 Number of workplaces inspected per year to determine compliance with labour legislation Q135 35633 83940 60727 07033 839 2.2 Percentage of non-complying workplaces inspected with reference to 2.1 per year dealt with in terms of the relevant labour legislation Q100% 2.3 Number of advocacy and educational sessions conducted per year in identified sectors Q 4 Seminars 1 Training Program (600 Shop stewards trained) Private Sector: 1 seminar 150 shop stewards Forestry Sector: 1 150 Hazardo us biologic al Agents: 1 150 Constru ction Sector: 1 150 2.4.Percentage of inspections on request for work permits conducted within 5 days Q90% 28

29. 4.2.2 IES - continues Performance IndicatorRPTargetQ1Q2Q3Q4 2.5. One report developed on proposals to improve the capacity of the inspectorate A1 Report 3.1 Number of workplaces inspected per year to determine their compliance with the OHS legislation Q20 4765 1196 1424 0965 119 3.2 Percentage of non- complying workplaces inspected with reference to 3.1 dealt with in terms of the OHS legislation Q100% 3.3 Percentage of reported incidents investigated within 90 days Q60% 3.4Percentage of applications for registration of entities processed within 4 weeks Q100% 29

30. 4.2.3 IES - continues Performance IndicatorRPRP TargetQ1Q2Q3Q4 3.5 Processing of the amendments to the Occupational Health and Safety Act and regulations through the relevant structures A Two regulations amended OHS Amended bill submitted to Nedlac Two regulations amended OHS Amended bill submitted to NEDLAC 3.6Number of employer payroll audits conducted per year to determine employers contribution to the Unemployment Insurance Fund Q11 5762 8943 4732 3152 894 30

31. 4.2.4 IES - continues (Provincial Targets Breakdown) Performance Indicator RPTargetECFSGPKZNLPMPNCNWWC 1.1 Number of designated employers reviewed per year to determine compliance with employment equity legislation Q750 1182419248306036 206 1.2Percentage of non-compliant employers of those reviewed in reference to 1.1 issued with a recommendation within 90 days of the review Q100% 31

32. 4.2.5 IES - continues (Provincial Targets Breakdown) Performance Indicator RPTargetECFSGPKZNLPMPNCNWWC 1.3 Number of designated employers inspected per year to determine compliance with employment equity legislation Q4 17638216819466481209672132612 1.4. Percentage of non-complying workplaces inspected per year with reference to 1.3. dealt with in terms of the Employment Equity Act Q100% 32

33. 4.2.6 IES - continues (Provincial Targets Breakdown) Performance Indicator RPTargetECFSGPKZNLPMPNCNWWC 1.5 Percentage of employment Equity Plans of those companies inspected/ reviewed in 1.1 and 1.3 above assessed annually. Q80% 2.1Number of workplaces inspected per year to determine compliance with labour legislation Q135 356 161281067928848297841196199845712795614304 33

34. 4.2.7 IES - continues (Provincial Targets Breakdown) Performance Indicator RPTargetECFSGPKZNLPMPNCNWWC 2.2 Percentage of non-complying workplaces inspected with reference to 2.1 per year dealt with in terms of the relevant labour legislation Q100% 2.4Percentage of inspections on request for work permits conducted within 5 days Q90% 34

35. 4.2.8 IES - continues (Provincial Targets Breakdown) Performance Indicator RPTargetECFSGPKZNLPMPNCNWWC 3.1 Number of workplaces inspected per year to determine their compliance with the OHS legislation Q20 4762124189656044344142882042013562484 3.2Percentage of non-complying workplaces inspected with reference to 3.1 dealt with in terms of the OHS legislation Q100% 35

36. 4.2.9 IES - continues (Provincial Targets Breakdown) Performance Indicator RPTargetECFSGPKZNLPMPNCNWWC 3.3 Percentage of reported incidents investigated within 90 days Q60% 3.6Number of employer payroll audits conducted per year to determine employers contribution to the Unemployment Insurance Fund Q11 576114011882196177212849607807081548 36

37. 4.3 Public Employment Services (PES): Performance Indicator RPRP TargetQ1Q2Q3Q4 1.1Number of final regulations in terms of the Employment Services Act published by the Minister in the Government Gazette Q3 regulations relating to (1) Private Employment agencies, Temporary Employment Services section 13 and 52, (2) registration of work seekers section 52 and (3) the procedure for employment of foreign nationals, section 52 published by the Minister in the Government Gazette by March 2016 3 Draft regulations approved by the Deputy Director- General: Public Employment Services by end of June 2015 3 Draft regulations concluded by ES Board by end of September 2015 3 ES Board approved regulations submitted to State Law advisor by end of December 2015 3 Final regulations certified by the State Law advisors, approved by the Minister and published in the Government Gazette by March 2016. 37

38. 4.3 Public Employment Services (PES): Performance IndicatorRPRP TargetQ1Q2Q3Q4 1.2 Number of PES provincial and local advocacy campaigns conducted per year Q 18 provincial and 378 local advocacy campaigns conducted 88 Local Provincial: Semester target : 9 105 local 80 local Provincial: Semester target : 9 105 local 1.3Number of work- seekers registered on ESSA system per year Q600 000144 000156 000144 000156 000 38

39. 4.3.1 PES - continues Performance IndicatorRPRP TargetQ1Q2Q3Q4 1.4 Number of registered work-seekers provided with employment counselling per year Q 250 000 work- seekers provided with employment counselling 60 00070 00047 50072 500 1.5 Number of registered work-seekers placed in registered work opportunities per year Q25 0006 250 1.6Number of employment opportunities registered on ESSA per year Q62 00015 500 39

40. 4.3.2 PES - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 1.7 Private Employment Agencies and Temporary Employment Services registered per year Q All complete PEA applications processed within 60 days of receipt 2.1 Applications for foreign nationals corporate and individual work visa processed within 30 working days QAll complete applications for foreign nationals corporate and individual work visa processed within 30 working days 40

41. 4.3.3 PES - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 3.1 Number of MoAs signed between DG and CEOs of statutory bodies and designated organizations, funding transferred and performance reports monitored per year Q8 MoAs signed between DG and CEOs of statutory bodies, and designated organizations and funding transferred and performance monitored by the end of March 2016 8 MoAs signed between DG and CEOs of statutory bodies, and designated organizations. First tranche transferred by the end of April 2015 1st QMR performance assessed and 2 nd tranche transferred before end of July 2015 2nd QMR Performance assessed and 3 rd tranche transferred before end of October 2015 3rd QMR Performance assessed and 4 th tranche transferred before end of January 2016 41

42. 4.3.4 PES - continues (Provincial Targets Breakdown) Performance Indicator RPTargetECFSGPKZNLPMPNCNWWC 1.2 Number of PES provincial and local advocacy campaigns conducted per year Q 18 provincial and 378 local advocacy campaigns conducted 2 provinc ial and 48 local 2 provin cial and 33 local 2 provinc ial and 78 local 2 provinci al and 48 local 2 provi ncial and 39 local 2 provi ncial and 42 local 2 provi ncial and 21 local 2 provi ncial and 30 local 2 provin cial and 39 local 1.3Number of work- seekers registered on ESSA system per year Q600 000 720004800012600010800054000 240003600078000 42

43. 4.3.5 PES - continues (Provincial Targets Breakdown) Performance Indicator RPTargetECFSGPKZNLPMPNCNWWC 1.4 Number of registered work-seekers provided with employment counselling per year Q 250 000 work-seekers provided with employment counselling 367602009651750279042530027904174882269620092 1.5 Number of registered work-seekers placed in registered work opportunities per year Q25 000 32502250475032502750 125017503000 43

44. 4.3.6 PES - continues (Provincial Targets Breakdown) Performance Indicator RPTargetECFSGPKZNLPMPNCNWWC 1.6 Number of employment opportunities registered on ESSA per year Q62 000 806055801178080606820 310043407440 1.7 Private Employment Agencies and Temporary Employment Services registered per year QAll complete PEA applications processed within 60 days of receipt 2.1 Applications for foreign nationals corporate and individual work visa processed within 30 working days QAll complete applications for foreign nationals corporate and individual work visa processed within 30 working days 44

45. 4.4 Labour Policy and Industrial Relations (LP&IR) Performance Indicator RPRP TargetQ1Q2Q3Q4 1. 1 Employment Equity Amendment Act Implemented and evaluated within set time frame by March 2016 Q Conduct 9 workshops on Code of Good Practice on Equal Pay for Work of Equal value -Conduct 9 workshops (1 per province) on Code of Good Practice on Equal Pay for Work of Equal Value by 30 September 2015 AAmended Code on Employment of People with Disabilities published by March 2016 Draft Amended Code on Employment of People with Disabilities published for public comment by 30 June 2015- Consolidate public comment and develop final Draft Code on Employment of People with Disabilities for approval by the CEE by 31 December 2015 Publish Amended Code on Employment of People with Disabilities by 31 March 2016 45

46. 4.4.1 LP&IR - continues Performance Indicator RPTargetQ1Q2Q3Q4 QAQA 2014-2015 Annual Employment Equity Report Public Register published by 30 June 2015 2015-2016 Annual Employment Equity Report and Public Register developed by 31 March 2016 2014-2015 Annual Employment Equity Report Public Register published by 30 June 2015 -- - 2015-2016 Annual Employment Equity Report and Public Register developed by 31 March 2016 Q30 companies’ Income differentials assessed to promote the principle of Equal Pay for Work of Equal Value 8877 46

47. 4.4.2 LP&IR - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 2.1To grant/refuse applications for Exemption within a set time frame by March 2016 QApplication for variation on BCEA processed within 60 days by March 2016 All received applications processed within 60 days 47

48. 4.4.2 LP&IR - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 3. 1 Number of new and existing Sectoral Determination s reviewed and investigated by March 2016. Q Review four Sectoral Determinations by March 2016 (Private Security, Wholesale and Retail, Forestry and Farm sectors) Conduct 18 public hearings for the wholesale and retail sector by 30 June 2015 Compile the ECC report for the private security sector by 30 June 2015 Publish reviewed private security sectoral determination in the Government Gazette by 30 September 2015 Conduct 36 public hearings for the farm and forestry sectors by 30 September 2015 Compile the ECC report for the wholesale and retail sector by 30 September 2015 Compile public hearing reports for the farm and forestry sectors by 31 December 2015 Publish reviewed wholesale and retail sectoral determination in the Government Gazette by 31 December 2015 Publish reviewed farm and forestry sectoral determination s in the Government Gazette by 31 March 2016 48

49. 4.4.3 LP&IR - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 Q 1 New sector (Abattoir)investigat ed for possible setting of minimum wages and conditions of employment by 31 March 2016 Conduct 10 public hearings for the Abattoir sector by 30 June 2015 Compile the ECC report for the Abattoir sector by 30 September 2015 EEC report submitted to the Minister for decision by 31 December 2015 4.1Number of reports on ILO Article 19 and 22 submitted by 30 September 2015 and 31 March 2016, respectively A7 Reports 1 Article 19 and 6 Article 22 6 reports in terms of Article 22 of the ILO Constitution submitted to the ILO by September 2015 1 report in terms of Article 19 of the ILO Constitution submitted to the ILO by February 2016 5.1Number of Collective agreements extended within 60 days of receipt Q184545 49

50. 4.4.5 LP&IR - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 5.2Hundred Percentage of competent and completed labour organisation applications processed within 90 days of receipt Q100% 50

51. 4.4.6 LP&IR - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 6.1A number of Annual Labour Market Trends reports published and Research reports produced A4 Annual Labour Market Trend reports published by September 2016 Two annual statistical trend reports compiled and submitted by June 2015. These include: Annual Labour Market Bulletin and Job Opportunity and Unemploymen t in the SA labour market 2014/15 Four annual statistical trend reports approved and published by September 2015. These include: Annual Labour Market Bulletin, Job Opportunity and Unemployment in the SA labour market 2014/15, Industrial Action report 2014 and Annual Administrative Statistics report 2014 Two annual statistical trend reports compiled and submitted by March 2016. These include: Annual Administrative Statistics report 2015 and Industrial Action report 2015 by March 2016 51

52. 4.4.7 LP&IR - continues Performance Indicator RPRP TargetQ1Q2Q3Q4 A 4 Literature review reports and at least 4 data collection instruments for RME agenda 4 completed by March 2016. Finalise the evaluation of tender and submit recommendations to DBAC 4 Proposals, project plans and scoping of research completed 4 final literature reviews completed 4 Data collection instruments developed, tested and approved by the research steering committee 52

53. Financial allocation for the APP Department of Labour main cost drivers in 2015/16: R’000 Vote:R 2 686 867 TR*:R 956,216 Vote less TR*R1,730,651 Compensation:R1,079,55562,38% Goods & Services:R 604,23934,91% Capital Payments:R 46,857 2,71% 53

54. 2015/2016 PROVINCIAL ALLOCATION PROVINCIAL ALLOCATIONS AS PER THE 2015 ENE 54

55. Way Forward It is recommended that the Select Committee on Economic and Business Development notes the Annual Performance Plan of the Department of Labour. 55

56. Thank You… 56