Members of the Portfolio Committee on Employment and Labour have called for more detailed and comprehensive information from the Department of Employment and Labour and the Unemployment Insurance Fund (UIF), saying effective parliamentary oversight depends on the quality and depth of information placed before the committee.
The view emerged during today’s briefing by Employment and Labour Minister Ms Nomakhosazana Meth, acting Director-General Ms Jacky Molisane and UIF officials on progress made in implementing the UIF’s Labour Activation Programme (LAP).
As the engagement progressed, committee members raised concerns with parts of the presentation, saying it lacked sufficient detail to enable meaningful engagement on governance controls, project implementation, expenditure patterns and employment outcomes. This became particularly evident during exchanges on the programme’s probity process, approved applications and project assessments, with some committee members asking the presenter for fuller explanations before proceeding further with the briefing.
The department’s briefing focused on the LAP, which was initially introduced as a pilot project in Gauteng before being expanded nationally in response to rising unemployment and economic pressures. The programme seeks to reduce unemployment, preserve jobs and improve employability through training, workplace placement opportunities and enterprise support initiatives.
It currently operates through employability projects, the Temporary Employer/Employee Relief Scheme (TERS), and business turnaround and recovery interventions across all nine provinces. LAP currently supports learnerships, apprenticeships, internships and skills programmes aimed at transitioning beneficiaries into employment or self-employment, while simultaneously providing income support through training stipends.
LAP Chief Director Ms Nompumelelo Mnconywa told the committee that 139 employability projects have been approved nationally, targeting more than 342 000 beneficiaries at a contracted value exceeding R11.4 billion. Meanwhile, 35 TERS projects have been approved nationally, supporting over 15 000 workers, and 110 companies have participated in the business turnaround and recovery intervention implemented through Productivity SA. Ms Mconywa further disclosed that the initial employment absorption rate for completed employability projects stood at 7.2% in February 2026.
The committee also heard that four approved applicants failed probity assessments while two withdrew voluntarily. In addition, 16 projects under consideration failed probity outright and five withdrew. Additional projects were declined following further financial and governance assessments.
However, the department’s acting DG, Ms Molisane, acknowledged several implementation challenges, including inadequate staffing capacity, monitoring weaknesses, duplication of beneficiaries across programmes and concerns regarding some training providers prioritising profit over sustainable employment outcomes. She indicated that 143 additional posts are currently being filled to strengthen monitoring and oversight capacity nationally.
Minister Meth then told committee members that the department is repositioning the programme through a revised Labour Activation Strategy for 2026–2030, with a stronger focus on demand-led skills development, workplace placement opportunities, partnerships with employers and support for small and medium enterprises. She further indicated that 70% of future LAP targets would focus on youth participation in recognition of the 50th anniversary of the 1976 youth uprising.
Minister Meth also reflected on lessons arising from abuses linked to COVID-19 TERS funds and government’s continuing efforts to strengthen accountability mechanisms. “When the whole world was suffering from the COVID-19 pandemic, some people in our country were so cruel in that they stole the funds meant to ease the pain of South Africans,” the Minister said.
She noted that investigations undertaken with the Special Investigating Unit, the Directorate of Priority Crime Investigation and other law-enforcement agencies through the Fusion Centre had already resulted in convictions, prison sentences and substantial recovery of public funds. More than 65 suspected COVID-19 TERS fraud cases had been identified and investigated, while 24 companies and directors had been convicted. Approximately R2.8 billion has been recovered to date.
Minister Meth said the lessons from these investigations had contributed to the UIF strengthening probity and due diligence processes within the LAP.
Returning to concerns about the lack of detailed information, committee Chairperson Mr Boyce Maneli said the committee would wait for the department to provide the additional information before determining what further steps may be required. He further indicated that the department had committed to enhancing the presentation with the finer operational details requested. This will be submitted to the committee Chairperson and circulated to members as soon as possible.
Mr Maneli nonetheless welcomed the proposed strategic shift in the programme but stressed the need for stronger oversight systems, improved internal controls and broader dissemination of employment opportunities, particularly for unemployed graduates and young people.
The committee is expected to continue engaging with the department and the UIF once the additional information has been submitted.
Temba Gubula
21 May 2026
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