The Expanded Public Works Programme (EPWP) of South...
Transcript of The Expanded Public Works Programme (EPWP) of South...
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The Expanded Public Works Programme (EPWP) of
South Africa
Irwin Friedman, Research DirectorHealth Systems Trust, South Africa
Acknowledgementsto the EPWP and the Development Bank
of South Africa
Background to the programme
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Structure of this presentation
• Background on South Africa• Some challenges to overcome• National Public Works
Programme• The EPWP• Summing up
South Africa
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People and unemployment
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
Number
0-4 5-9 10-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 70-79 80+Age Groups
South African Population 2006
People
Unemployed4-8 million,
Dependson definition
25-50%
Many deaths especially young
women due to HIV
2/3 of the population are below 35
33 - 35 million people
TotalPopulation50 million
in 2010
Life expectancyWomen 55 years
Men 53 years
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Some challenges facing South AfricaSouth Africa faces some exceptional
challenges to poverty & health• Racial inequity over many generations• Social fragmentation and diversity of culture• Multiple burdens of epidemic disease• High levels of migration• High levels of unemployment & poverty• Mid-level income, but high levels of inequity• Strongly dualistic economy
Global life expectancy
Global HIV 2007
• Over a quarter of the people severely affected
Global TB 2008
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Poverty & unemployment
• Trends are downwards since early 2000
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
Strict unemployment Poverty %
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Growth trends in the SA Economy
• Economy needs mechanisms for redistributing the growing wealth
Gini coefficients
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The inequitable dual economy
• Few people• Extreme wealth• Meaningful work• Considerable well-being• Enormous capacity• Threatened by crime• Capital intensive• Vast increasing output• Monopolises resources• Full employment
• Many people • Severe poverty• Menial labour• Disease & social problems• Capacity deficiencies• Crime inducing• Surplus labour• Diminishing output• Market exclusion• Massive joblessness
ELR > EPWP
Government anti-poverty strategies
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(not mutually exclusive)
Reduce poverty bythe alleviation/reduction of
unemployment
Strategies
Utilise governmentexpenditure to
alleviate and reduceunemployment
Balanceeconomicgrowth with
growth in EAP
Govt. budget/procurement Regulation Education
policyMacro-economic
policies
Short/medium-term
Improveenabling
environment
Interventiontype
Improveeducation
sytem
Medium/longterm Long-term Medium/long
termImpact
timescale
(EAP = economically active population)
Improve socialsecurity net
Govt. socialwelfare budget
Short/medium-term
Expanded PublicWorks
ProgrammeGoal
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National Public Works Programme
Employment & Unemployment in South Africa
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•=•FULL TIME WORK6.6 million•CORE
•OUTSOURCED 3.1 million •TEMP/PART-TIME/DOMESTIC
•NON-CORE
•PERIPHERY
•UNEMPLOYED=8.4 million broad definition
•INFORMAL WORK = 2.2 million
•Skilled 2.6 million
Potential EPWP Target Group•Unskilled 5.8 million•(incomplete Secondary School)
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16 years of innovation in employment intensive public works
• Aims to provide an opportunity to earn & learn.• Since 1994, Government created opportunities for
implementing employment intensive public works primarily in the infrastructural sector.
• In 2003, programme broadened the infrastructure focus as the EPWP Phase One– Four sectors infrastructure, environment, social &
economic• Focused on unemployed, under-skilled, poorly
qualified, especially youth, women & disabled• In 2009 entered Phase two – NGO sector replaced
economic sector
Background to targets• State President’s State of the Nation Address Feb 03• Growth & Development Summit June 2003• Cabinet approved conceptual framework Nov 2003• Phase One EPWP – five years till 31 March 2009
– Target one million jobs• State President’s State of the Nation Address Feb 2009• Phase Two EPWP – 5 years till 31 March 2014
– Target five million jobs ; 500,000 for the first year– Actual achievement: 490,000 by 31 March 2010
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EPWP as a public work creation or employer of last resort programme
• The EPWP draws a proportion of the unemployed into productive work to redistribute national income, using public budgets in four sectors, infrastructure, environment, social and economic develoment, now the NGO sector
• Labour-intensivity is coupled with training to develop people, social capital as well as physical infrastructure
• Workplace-acquired skills are intended to lead participants to other work opportunities in the labour market or in entrepreneurial activity
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EPWP Objectives• Draw significant numbers of the unemployed into
productive work to enable them to earn an income • Provide unemployed people with education, skills
&income in temporary work governed by a code of good employment practice or learnership employment conditions
• Ensure participants are either enabled to set up their own business/ service or become employed.
• To utilise public sector budgets to reduce and alleviate unemployment
• Build infrastructure, improve environment and enhance social capital
• Strengthen government service delivery
How does the EPWP work?
Early childhood education
Home & community based care
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Increase in public works employment
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Num
ber
unem
ploy
ed
Employed in Community Public Works
Community Based Public Works Programme Expanded Public Works Programme
Phase 2Scaling up
Phase 1
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Significance of the scale of programmes
< 5% of the unemployed are involved before 2009; may grow to 10%
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Num
ber u
nem
ploy
ed
Employed in Community Public Works Narrow definition Expanded definition
Community Based Public Works Programme Expanded Public Works P
Phase 2
scaling up
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Achievements of the EPWP• Providing meaningful employment on a albeit
small scale within the short-term;• Redistributing income to poor households;• Reducing social inequity & crime;• Helping to reach social targets by mass
mobilisation of additional social services;• Provision of widescale training opportunities• Integrating the dual economy• Building social & infrastructural capital• Stimulating pro-poor economic growth
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EPWP growth
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EPWP by sector
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Work opportunities are shorter than anticipated
Average length of a Work Opportunity, days
88
132
51 46
165230
0
50
100
150
200
250
Infrastructure Environment Social
Projected length of WOAchieved length of WO
•Income per beneficiary also smaller!
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Impact on the lives of participants • Provides basic income that elevates
households out of poverty;• Improves dignity of individuals who earn
their stipends, especially young women;• Provides structured learning environment
on the job;• Creates opportunities for people to get
longer-term employment;• Is stimulating pro-poor economic growth
– good for women, children & the vulnerable
Web based monitoring
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Potential cost of scaling up
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
100.0%
1 2 3 4 5 6 7 8
Millions of unemployed people given work
% o
f all
Gov
erm
ent E
xpen
ditu
re
2007
/200
8
Infrastructure sector Environment sector Social sector
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Creating decent, meaningful work
Meaning& esteem
Exercise& strength
Socialcapital Work
Experience & skill
PhysicalAssets
Engagement &participation
Workethic
Income &Household security
Summing up
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Vicious cycles
Joblessgrowth
Crime &conflict
Poor capacity
Disease & destruction Poverty
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Creating virtuous circles
Meaningfulwork
Peace &cohesion
Wisdom &knowledge
Health &Well-being Wealth
Thank you
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“Without work all life goes rotten, but when work is soul-less, life stifles and
dies”Albert Camus
Irwin Friedman [email protected] www.hst.org.za
www.epwp.gov.za