South Africa’s National Economic Development and Labor Council agrees to economic recovery action plan

The National Economic Development and Labour Council (NEDLAC) has agreed to an action plan for economic recovery which is due for consideration and finalization by Cabinet and is directed towards building confidence and placing SA on a path of investment and growth.

The agreement was formalised at a meeting today, Tuesday, 15 September 2020, of the NEDLAC Forum for Economic Recovery that was chaired by President Cyril Ramaphosa.

The social partners’ action plan is founded on significant convergence on what needs to be done to set the economy on a new, accelerated, inclusive and transformative growth trajectory.

Social partners have identified priority areas for rebuilding the economy as well as structural reforms and other programmes which will enable sustainable and inclusive growth with an intensive focus on job creation.

Social partners have also agreed on a social compact which commits government, business, labour and community to mobilising funding to address Eskom’s financial crisis in a sustainable manner – in return for an efficient, productive and fit-for-purpose Eskom that generates electricity at affordable prices for communities and industries.

The economic recovery action plan identifies roles and responsibilities of all the social partners – government, community, labour and business – who today declared their commitment to implementation of the plan. 

The President will announce the details of the plan once it has been finalised by Cabinet.

The President welcomed the social partners’ plan for economic recovery as a demonstration of collaboration that had produced “a significant milestone in the history of our democracy and the advent of a new era of confidence”.

“This is a great achievement that rises to the challenge of the moment,” the President said.