Result achieved
Outcome summary
An organizational structure for the National Social Security Fund has ben proposed for adoption
Outcome achieved
Government (Nedlac) in consultation with the Social Partners developed a National Social Security Funds regulatory and governance framework (expected to be adopted by Cabinet by November 2019). The NSSF governance framework proposes an organizational structure, identifying the different role players and their responsibilities in the fund. The establishment of the fund will follow good governance principles adopted from international organizations like OECD and ISSA.
ILO's contribution to the outcome
In collaboration with the Government of South Africa (GoSA), the ILO facilitated the drafting of two technical papers relating to the governance of the proposed NSSF. The first paper focused on good governance for the NSSF within a proposed new institutional framework for comprehensive social security in South Africa. The second paper focused on a proposal for a tier-3 pension arrangement in South Africa with recommendations for its overall design and the design of its default fund.
These papers, and the actuarial valuation, were used to facilitate consultative dialogues amongst the tripartite-plus constituents at Nedlac resulting in a proposed framework for the governance and financial management of a NSSF. The ILO undertook research highlighting international experiences on administration, social security and single delivery systems for social security and coordinated a roundtable on the Governance of Social Security.
ILO capacity-building and training support was provided for the tripartite-plus constituents in Nedlac to facilitate their understanding and effective engagement in social dialogue for an improved governance framework for the NSSF. To this end, a two day interactive workshop held in November 2018 was facilitated for government and the social partners on international standards and good practices on the governance of social security and pensions. ILO also facilitated training for government officials and the social partners on governance of SPFs on 21 -23 May 2019. This three days participatory course was intended to strengthen the regulation and governance of social assistance component of the comprehensive social security system reform process. The ILO also collaborated with the WITS School of Governance to host a roundtable in 2018 for government and the social partners on the governance of Social Security. And partnered with the ILO-ITC ISSA to facilitate 5 days training on ISSA guidelines on good governance from 10-14 June 2019