Keynote address by ILO country office - Dar es salaam Director on the annual general meeting of the east Africa employers organization, Arusha, 24 March 2017

Statement | 24 March 2017
Guest of Honour, PMO - Labour, Youth, Employment and Persons with Disabilities, Hon Jenhista Mhagama

The Chairperson for East Africa Employers Organization

Dr Aggrey Mlimuka, Secretary General, East African Employers Organization

Chairpersons and Executive Directors of ATE, FUE, FKE, AEB, PSF and ZANEMA

Representatives of EAC, EABC, EATUC and International Partners

It gives me much honour and pleasure to have been invited to this esteemed gathering and to make a key note presentation on behalf of ILO. I would like to thank secretariat of the EAEO for the invitation, and the request they made specifically for ILO, under the theme ‘skills development, a challenge to employers in East African Community: An employers’ perspective’.

Let me begin by mentioning something that as employers you might already be noticing, that skills development, in particular workplace based training programmes such as apprenticeships are in recent times increasingly being prioritized as a proven approach in promoting employment for young people. Just to cement this, ILO is at the global level is servicing the G20 meetings and one area they are asked to work on is on apprenticeship programmes. Countries at all development levels find that adequate education and skills increase the ability to innovate and adopt new technologies. They make the difference between inclusive growth and growth that leaves large segments of society behind. A workforce that has been appropriately trained and is able to continue learning, boosts investor confidence and thus job growth.

Sound industrial relations is an important and necessary conditions for national productivity that can spur industrial peace for economic growth and productivity. However, in the changing world of work, and work relationships with modern forms of work, high levels of informality, new forms of work such as multiple jobs, part time work, work from home arrangements, among other factors calls in to discussion the traditional role of industrial relations between employers and workers. Indeed, many of us can remember this discussion within the context of the tripartite national dialogue forums on the future of work that we held in our countries last year, in particular the sessions that were under the governance of work and the role of social partners within that.

Since we were asked to provide an update on what ILO is doing to support employers’ organizations on skills development and industrial relations, let me highlight a few points, by country:

In the United Republic of Tanzania, the ILO is supporting a project to upscale the pilot formal apprenticeship in the tourism and hospitality sector, which is working with large hotels in both mainland and Zanzibar. From the first cohort of such training, more than 100% of the graduates were received immediate employment upon graduation most of them with tourism companies and hotels in which they were training. In 2017 alone, more than 160 young people will be recruited to join quality apprenticeship programme in hotels operations. In this programme, let me thank ATE & ZANEMA who have been the key supporters of all workplace based training programmes and who, through the affiliate members on the tourism sector have mobilized more 30 tourist hotels to participate in this programme in Dar es salaam, Arusha and Zanzibar.

ILO is also work with VETA to upgrade informal apprenticeship where by in Tanzania, the ILO has supported establishment and institutionalization RPL system. In 2017, The Government through the PMO LEYD adopted the RPL programme by rolling it throughout the country targeting to assess, recognize and certify 5,000 young people in the 5 trades so far, which include motor mechanics, carpentry and masonry and food processing. The initiative is aimed at improving employability for hundreds of young people who acquired skills outside formal training system. It will provide opportunity to access formal employment, improved business prospects for SMEs, improved skills to be provided through tailor made skills upgrading programmes. In December 2015, ILO hosted a knowledge sharing meeting on apprenticeships in Dar es salaam and I know that employers from Uganda and Kenya visited Tanzania to learn about these two initiatives which were considered impressive.

In order to achieve sustainability and through employers insistence and advise, ILO supported the development of the National Apprenticeship Framework in mainland Tanzania, which is going through the final stages of approval. In Zanzibar, the discussion on the development of the apprenticeship policy and framework is being concluded and will commence pending the outcome of the current pilot programme expected to inform the policy to be developed. In all these interventions, leadership of the employers’ federations and their associations has been ensured as we know that support from private sector and demand is the first important condition for any work place based training programme.

The ILO also continues to provide capacity building to employers to increase their involvement and engagement in linking skills supply with labour market demand. As part of the Norway project activities, ILO will sponsor a number of officials from Tanzania, including ATE, to attend a skills academy where among the topics to be covered, workplace based programmes and how best tripartite partners can work together to achieve lasting results.

On industrial relations, in Zanzibar, ILO has been supporting various capacity building and training events on Collective Bargaining. The aim is to assist social partners register their first collective bargaining agreements in targeted sectors in the current year.

In Uganda, the ILO has been supporting the development of the National Apprenticeship Framework through a consultative process with constituents. This framework, has been endorsed by government and is close to finalization. Already the government has asked ILO for resources to pilot an apprenticeship programme in line with the framework, and ILO is engaged in initial discussions with potential donors for financial support.

Currently, we understand that the Ministry of Gender, Labour and Social Development is drafting a Pilot Proposal on Apprenticeships for submission to Cabinet in coming weeks, along with the National Framework for Apprenticeship. We hope to continue working with them on the proposal and make provide technical inputs on its drafting.

Related to that, we understand that the Ministry is engaged in discussions with the World Bank, who are keen on funding some youth employment interventions in Uganda. So far, these engagements have led to an agreement on five possible areas of focus: Apprenticeship; Informal Sector; Labour Market Information System; Setting up of Common-user Facilities (Industrial Business Shelters), and entrepreneurship. It is our hope that we will collaborate with the Ministry and WB on this big initiatives which will have far reaching impact on young people in Uganda. All these initiatives contribute to the bigger, multi donor funded programme called Skilling Uganda, where FUE is a task force member representing the private sector.

In industrial relations, the ILO last year supported a mission to Tanzania for the newly established Industrial Relations Court (2 Judges, Registrar and 2 Assessors) to learn and share experience with their counterparts on the working of the Industrial Court. The mission as well appreciated and helped identified issued to address in order to further enhance the efficiency of operations of the Industrial Relations Court.

In Kenya, towards the end of last year, ILO won a competitive bid from US Department of Labour in the implementation of a 4 year workplace based project in Kenya titled ‘Better Utilization of Skills for Youth through Quality Apprenticeships (BUSY). The BUSY project immediate objective is to improve the capacity of government, employers and workers organizations to establish and expand workplace-based training programs with a specific focus on vulnerable and marginalized youth. The project will have 3 immediate objectives as follows:
  • Laws or policies supporting quality workplace-based training opportunities for youth in Kenya are improved and/or implemented by key stakeholders.
  • Kenyan Employers, workers’ organizations, and other stakeholders implement best practices related to workplace-based training for youth, and
  • The quality of existing public and private programs in Kenya that provide vulnerable and marginalized youth with prerequisite skills to enter workplace-based training programs is improved.
It is important to note that the project development process required letter of support from constituents (in this case FKE) and we expect that the project implementation will work very closely with the Federation of Kenya Employers. Part of the work will include supporting FKE to establish a national office for the Global Apprenticeship Network, which focuses on supporting apprenticeships as a work based training model.

In addition, ILO in Kenya is currently finalizing a private public development partnership (PPDP) dubbed “Inclusive Growth Through Decent Work In The Great Rift Valley” in partnership with SIDA and Akiira Geothermal Ltd. which is establishing a geothermal power plant in Kenya. The project anticipated to commence in July 2017 aims at address development challenges near the power plant by boosting job creation opportunities through business development, skills development and community engagement. Approximately 20 public and private organisations have committed to provide substantial inputs towards reaching the common goals of the partnership and it is foreseen that this partnership can become a model for replication to achieve inclusive growth in the extractive industries and other industries in Kenya and beyond. The Federation of Kenya Employers will be playing a pivotal role of coordinating the private sector engagement in participating and contributing to skills demand surveys, VTC development, quality instructors, internships and job opportunities as well as promote social dialogue on poverty reduction, community engagement, social protection, skills development and job opportunity subject matters.

In Rwanda, on industrial relations, the ILO is supporting social partners with capacity building support on collective bargaining and labour relations. Already, we have begun to see results, with the first 2 collective bargaining agreements in coffee sector signed. The challenge is not to expand these results to other sectors.

In Burundi, our engagement with employers has just started, but it clear from meetings with government and social partners that skills development and entrepreneurship is high on the agenda as this is seen as helping to engagement young people in productive activities and reduce youth unemployment. While there is no promise yet, we understand the World Bank is engaging on possible support to skills development at TVET level and as ILO, we have opened discussions with them on how we can collaborate.

In implementing these programmes, while we have some ideas, and can support pilot initiatives, we rely on availability of donor funds to do bigger programmes. The success of the programmes such as skills development depend on support from employers, and we count on your members to actively engage in s kills development. There are quite a few initiatives on skills development and WBL in East Africa, and as employers we can spread the word on the results and impact as we get more requests for learning visits from other countries. That can help to unlock more internal resources and technical support.