presentation to parliament elrc annual report 2014/15 presentation to parliament elrc annual report...

Presentation to Parliament

ELRC Annual Report

2014/15

14 October 2015

“Realising the importance of a unified determination to address labour imbalances that impedes progress in public education.”

Ms N Gina, ChairpersonANC

Ms NR Mokoto ANC

Mr TZM Khoza ANC

Ms JV Basson ANC

Mr HD Khosa ANC

Mr D Mnguni ANC

Ms A Lovemore DA

Ms D Van Der Walt DA

Ms HS Boshoff (ALT) DA

Ms NR Mashabela EFF

Mr AM Mpontshane IFP

Ms CN Majeke UDM

Mr MS Mabika NFP

Mr LM Ntshayisa (ALT) AIC

Honourable members of the Education Portfolio Committee

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Table of Contents

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Section ALegislative and other MandatesStrategic OverviewStrategic outcome-oriented goals

Section BService delivery environmentOrganisational environmentPolicy developments and legislative changes

Performance information by Programme

Programme 1: Administration ServicesProgramme 2: Dispute Management ServicesProgramme 3: Collective Bargaining Services

Section CAnnual Financial Statements

Conclusion

SECTION A

Strategic Overview

Dedication

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The ELRC is delisted in terms of the Public Finance Management Act (PFMA) 1 of 1999 from 1st April 2015.

Applicable legislation LRA 66 of 1995 (as amended) PFMA 1 of 1999 (as amended) EEA 76 of 1998 (as amended) FETC Amendment Act 3 of 2012

Legislative and other mandates

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Other mandates Service Delivery Agreement of the Minister of

Basic Education Action Plan to 2014: Towards the Realisation

of Schooling 2025

Legislative and other mandates (Cont.)

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Vision To improve the quality of teaching and learning through

labour peace.

Mission Quality services for excellence in teaching.

ValuesThe ELRC has adopted the following values:

Professionalism: Promote behaviour that is generally accepted to be correct and proper;

Transparency: Ensure access to information by citizens;

Strategic Overview

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Independence: The right to making informed decisions independently that minimise or avoid conflict of interest;

Accountability: Accepting responsibility for actions and decisions taken with allowance for corrective action and penalty for wrong doing;

Fairness and equity: Adjudication of grievances and disputes;

Social Responsibility: Respond to the social issues of the day; and

Efficiency: Delivery of quality services economically.

Strategic Overview (Cont.)

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Strategic outcome-oriented goals

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Strategic Outcome Oriented Goals Progress

Goal 1:Research and monitoring and evaluation activities provide an evidence base for improved policies and policy implementation in basic education.

Council approved research concept document on Policy and Conditions of Service for the Institutionalisation of Grade R Practitioners and appointment of a researcher to conduct in-country research.

Goal 2:Equal importance is attached to proactive dispute prevention and dispute resolution.

Dispute prevention committees in 9 provinces played role in resolving grievances related to promotional posts.

Pool of Panellists & intermediaries was increased.

Appropriate venues were secured for special disputes.

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Strategic outcome-oriented goals (Cont.)

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Goal 3:Collective bargaining processes maximise the scope of the parties’ shared interest.

Three (3) national collective agreements were concluded:

CA 1 of 2014: The Process of Acquiring Organisational Rights in the Education Sector.

CA 2 of 2014: Quality Management System (QMS) for School Based Educators.

CA 1 of 2015: Appointment of a Panel of Conciliators and Arbitrators.

No incidences of labour unrest reported in any of the nine provinces during period under review.

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Strategic outcome-oriented goals (Cont.)

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Goal 4:Provide appropriate support and training for all involved in dispute resolution and collective bargaining.

Training for Panellists (94) and DRPs (345)

Goal 5:Sound communication strategies, special initiatives and campaigns support and complement the core activities of the Council.

Marketing initiatives: Education Handbook; NTA

Message of Support in Mail & Guardian; Education Week exhibition and national and at provincial party conferences.

Survey research

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SECTION B

Performance

Information

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Dispute Management Services

Dispute Prevention and Facilitation Proactive approach – a focus on prevention; Functional Dispute Prevention Committees /

Task Teams (all provincial chambers); and Work of the Dispute Prevention Task Teams

focussed on need for a comprehensive workshop on Discipline of Educators in KwaZulu-Natal and Gauteng.

Service Delivery Environment

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Dispute Management Services

Dispute Resolution Improvement of efficiencies related to resolution of

disputes on appointments and promotions; Recruitment and training of Interpreters and

Intermediaries; Secured appropriate venues for special hearings; Collective Agreement No. 1 of 2015 on the appointment

of a panel of Conciliators and Arbitrators; and Draft Collective Agreement on ELRC Guidelines for

Promotion Arbitrations.

Service Delivery Environment (Cont.)

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Collective Bargaining Services

Parties continued to monitor the implementation of the current policy on incentives;

Research: Conditions of service of ECD Practitioners in South Africa;

PAM task team concluded its work during period under review;

Draft Collective Agreement No. 1 of 2014: Quality Management System (QMS) for School-Based Educators.

Service Delivery Environment (Cont.)

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Administration Services

Functional SCM unit; Recruitment and Retention Strategy; Total Reward Strategy, Salary Benchmarking and

Remuneration Policy; Council developed 5-year Employment Equity Plan; In-house internal audit function to improve effectiveness

of governance, risk management and control processes and ensure compliance;

Safety, Health and Environmental (SHE) Committee for staff; and

Draft Collective Agreement to address static revenue.

Organisational Environment

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FETC Bargaining Unit Council approved the FETCBU submission for

the designation of the ELRC to include lecturers employed in terms of the Public Service Act and as per the FETC Amendment Act 1 of 2013.

Policy developments & legislative changes

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ELRC delisting as Schedule 3A Public Entity Council embarked on process to delist as Schedule

3A Public Entity in 2014/15 financial year; Registrar of Labour Relations highlighted the

Council’s non-compliance with the LRA 66 of 1995, sections 53 (1) and 53 (2)(b). Failure to delist in terms of PFMA, would have led to review of the Council’s registration as bargaining council;

Minister of Finance, acting in terms of Section 47 & 48 of the PFMA, 1999 – delisted the Council with effect 31st March 2015.

Policy developments & legislative changes (Cont.)

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Performance

Information by

Programme

Dedication

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Purpose: To provide support services to the core

operational functions of the Council to ensure that it delivers an efficient and effective service on its mandates.

Strategic objectives: Maintain and improve financial and administrative

systems; Procure goods and services within policies and

guidelines; Maintain good labour relations;

Programme 1: Administration Services

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Strategic objectives: Train and develop staff; Ensure a healthy and safe work environment; Maintain and improve the premises and security

systems respectively; and Provide reliable information technology and

communication systems.

Programme 1: Administration Services

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Performance for 2014/15

Strategic objectives

Planned Target2014/2015

Actual Achievement2014/2015

Status

Administration Services

Minimise fruitless and wasteful expenditure

Reduce by 100% Not Achieved

Objective not achieved due to Parties not attending scheduled meetings.

Eliminate irregular expenditure

No irregular expenditure Not Achieved

Incurred due to non-compliance with the requirements of Treasury Regulations 16A3 & Practice note 8 of 2007/8.

Establish a SCM unit and provide training

SCM officials trained and developed

Not Achieved

Unit established during period under review & officials recruited in month of October – training to be in the new financial year.

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Actual Achievement

2014/2015

Status

Administration ServicesTrain and develop staff 30 Achieved

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Introduce and conduct employee wellness programmes

4 Achieved

4Implement the Council’s Marketing Strategy to promote the image of the ELRC

Conduct survey research to measure how the Council is perceived by educators(Sample: 4 000 educators)

Achieved Survey research conducted and findings presented to management (Sample: 1 862 educators)

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Actual Achievement

2014/2015

Status

Administration ServicesManage the property and assets of the Council with focus on increasing effectiveness, economy, transparency and integrity

80% of refurbishment completed

Not Achieved 100% demolition work done and excavation has commenced.

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Finance and Administrative Systems Council finalised process of changing banks; SARS refunded the Council an amount of

R920 675, in relation to R1,8-million that was incorrectly deducted.

Information Technology Majority of IT findings addressed in 2014/15; IT Policies were updated (Disaster Recovery Plan

and IT Policy on Hardware & Software);

Overview: Administration Services

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Information Technology (Cont.) New policies were drafted (IT Change

Management Policy & Patch Management Policy).

Communications Survey research was conducted on how

Council is perceived by educators. Recommendations of study has informed marketing activities for 2015/16;


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Communications (Cont.) Council’s profile was featured in the Education

Handbook and message of support for the NTAs was placed in the Teacher supplement of Mail & Guardian;

Council participated in 10 provincial Party conferences (exhibitions);

Exhibition at Education Week; Inspired Teachers’ Conference and SA Basic Education Conference.


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Building Refurbishment Project Site was handed over to appointed contractor; Project will be completed in November 2015.


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Strategy to overcome areas of under performance

Fruitless and wasteful expenditure The Council will introduce a “Cost Order” process in the

2015/16 financial year in an effort to curb wasteful expenditure.

SCM unit The training of SCM Officials has been deferred to the

2015/16 financial year.

Irregular Expenditure Disciplinary actions instituted against the SCM

officer.


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Purpose: To manage disputes proactively (prevention and

resolution).

Strategic Objectives: Provision of dispute resolution services Training of Dispute Resolution Practitioners Panellists Professional Development Services

Programme 2: Dispute Management Services

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Actual Achievement

2014/2015

Status

Dispute Management ServicesProvision of dispute resolution services Conciliations finalised within 30 days

100% Not Achieved67% 464 disputes were in jurisdiction, 309 were conciliated within 30 days

Training of Dispute Resolution Practitioners Dispute Resolution Practitioners Trained

240 Achieved345

Panellists Professional Development Panellists Professionally developed

80 Achieved 94

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Referrals: 762 disputes received Predominantly related to ULP – Promotion and

Appointments Recruitment and training of interpreters

Jurisdiction:

Out of 762 referrals: 464 in jurisdiction 298 out of jurisdiction

Overview: Dispute Management Services

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Provincial Referrals:

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Strategy to overcome areas of under

performance Continuation of process to recruit and train

Interpreters and Intermediaries in an effort to overcome delays and postponements.

Appropriate venues for special hearings. Continuous provision of training to both

Panellists and Dispute Resolution Practitioners to improve the efficiencies in terms of the quality of outcomes.


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Purpose: To contribute to the Council’s vision of a

strengthened social contract between government, teacher unions and civil society.

To create a conducive environment for improved quality in teaching and learning.

To promote collective bargaining at national and provincial levels.

To ensure development of effective policies for quality public education in a non-disruptive environment for teaching and learning.

Programme 3: Collective Bargaining Services

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Collective Bargaining – National

Strategic objectives: Collective bargaining Research Services QLTC

Programme 3: Collective Bargaining Services

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Actual Achievement

2014/2015

Status

Collective Bargaining Services: NationalCollective Bargaining Conclude bargaining on identified matters of mutual interest in public education

4 Achieved7

Research Services A report on the factors that promote labour peace, educator morale and wellbeing is available

1 research report available Not AchievedCouncil approved the research concept document on the Policy and Conditions of Service for the Institutionalisation of Grade R Practitioners and the appointment of a researcher to conduct the research, but no report has been tabled at Council.

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Actual Achievement

2014/2015Collective Bargaining Services: National

Quality Learning & Teaching Campaign (QLTC)Establish and empower all-inclusive and functional QLTC structures on all levels i.e. provincial, district, circuit/ward and school levels

27 structures Not Achieved

13 structures

The training of districts only commenced in the second quarter of 2014 and it impacted negatively on achievement of the set targets.

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One evidence-based teacher welfare and national development issue was identified: Conditions of service of ECD Practitioners;

Thirteen (13) delegates participated in ILO Conference in Geneva during period under review;

Three (3) national agreements were concluded; and

Five (5) provincial agreements were ratified.

Overview: Collective Bargaining Services

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Three national agreements:

CA 1 of 2014: The Process of Acquiring Organisational Rights in the Education Sector.

CA 2 of 2014: Quality Management System (QMS) for School Based Educators.

CA 1 of 2015: Appointment of a Panel of Conciliators and Arbitrators.


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Five provincial agreements ratified:

Mpumalanga CA 1 of 2014: Transfer of Serving Educators in terms of Operational Requirements and permanent Appointment of Temporary Teachers in Vacant Substantive Posts.

KwaZulu-Natal CA 1 of 2014: Procedure for dealing with the placement of Further Education and Training (FET) College Lecturers who remain in Employment with the Department of Education KwaZulu-Natal in terms of Collective Agreement Numbers 4 and 5 of 2007.


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KwaZulu-Natal CA 2 of 2014: Framework and Guidelines for Implementation of Educator Incentives in KZN.

Gauteng CA 1 of 2014: Collective Agreement 1 of 2014 on the Conversion of Temporary Appointment of Post Level 1 Educators into Permanent Appointment.

• North West CA 1 of 2014: The Provincial Procedures for Principals Displaced as a Result of Rationalisation, Merger and/or Closure of Schools in giving effect to Collective Agreement 2 of 2003.


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performance

Proposed recommendations for considerations by the

QLTC Coordinators to ensure the training programme is

strengthened:

Close cooperation between QCT and provincial Coordinators;

Provincial coordinators to assist in the dissemination and advocacy of the training of districts and stakeholders;

Compilation of accurate data of all QLTC structures and stakeholders.


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Performance Research on Conditions of Service for the

Institutionalisation of Grade R Practitioners, will be concluded in the 2015/16 financial year.


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Provincial performance for 2014/15

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Actual Achievement

2014/2015

Status

Collective Bargaining Services: ProvincialConsultation, Implementation and Monitoring of Collective Agreements and Policies

Post ProvisioningA consolidated report on the consultation process for post provisioning is available.

4 Meetings Achieved4 Provinces

Not AchievedFree StateGautengKwaZulu-NatalLimpopoMpumalanga

Incentives for EducatorsMonitoring reports on the implementation of incentives for educators are available.

4 Meetings Achieved4 Provinces

Not AchievedFree StateGautengKwaZulu-NatalMpumalangaWestern Cape

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SECTION C

Annual Financial

Statements

Success

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Analysis of Levy Contributions

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DETAILS 2014/15 2013/14 2012/13 2011/12

TOTAL LEVIES (Rmil) 49,213 49,322 49,319 49,693

TOTAL NUMBER OF CONTRIBUTORS 409,236 410,816 410,991 414,104

AVG INCREASE/(DECREASE) IN TOTAL LEVIES (Rmil)

(109) 3 (374) 271

AVG INCREASE/(DECREASE) IN CONTRIBUTORS

(6,931) (175) (3,113) 2,254

Financial Performance

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2014/15 2013/14 2012/13 2011/12

R’000 R’000 R’000 R’000

TOTAL REVENUE 49,213 49,322 49,319 49,693

OTHER INCOME 7,276 5,696 4,949 4,492

PERSONNEL RELATED EXPENSES (19,988) (15,549) (14,555) (14,625)

TOTAL OPERATING EXPEDITURE (31,667) (30,033) (29,350) (33,312)

SURPLUS/(DEFICIT) 4,833 9,436 10,364 6,247

Financial Performance

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2014/15 2013/14 2012/13 2011/120

10,000

20,000

30,000

40,000

50,000

60,000

FINANCIAL PERFORMANCE

Total revenue Total expenditure Employee cost Surplus for the year

Financial Performance per Programme

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Programme Name Budget Actual Expenditure(Over)/Under Expenditure

Actual %

Dispute Management Services 10,115 12,712 (2,597) 126%

Collective Bargaining Services 30,602 24,028 6,574 105%

Executive Services 4,493 3,772 721 84%

Corporate Services 12,764 12,938 174 101%

Capital Expenditure 9,820 2,859 6,961 29%

Total 67,794 56,309 11,485 83%

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Financial Position

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2014/15 2013/14 2012/13 2011/12

R’000 R’000 R’000 R’000

TOTAL INCOME 56,489 55,018 54,268 54,185

CASH & CASH EQUIVALENTS 136,541 127,197 109,749 95,814

Conclusion

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The Council appreciates oversight role that the Portfolio Committee played over the years.

Principles of good corporate governance will remain an integral part of the Council’s operations.

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Thank You.

presentation to parliament elrc annual report 2014/15 presentation to parliament elrc annual report...

Documents

strategic overviewdedication

ms n gina

delivery of quality

public education

dispute resolution

proactive dispute prevention

dispute prevention committees

programme programme