South Africa's Social and solidarity economy roundtable sparks renewed momentum

Johannesburg, South Africa – The International Labour Organization (ILO) co-hosted a groundbreaking event on the Social and Solidarity Economy (SSE) in collaboration with the African Union Commission, World Economic Forum, Schwab Foundation for Social Entrepreneurship, Motsepe Foundation, and Africa Forward by Catalyst. The pivotal roundtable, held on 29 November 2024, was marked by vibrant discussions and engaging breakout sessions, reigniting conversations on the crucial importance of the SSE in South Africa.

The event built on the foundation of numerous ILO projects from 2010 to 2021, aimed at promoting the SSE to tackle South Africa’s entrenched challenges of inequality, unemployment, and poverty. A draft SSE policy, developed with the Department for Trade, Industry and Competition (DTIC), was a central point of the discussions.

ILO Director Alexio Musindo highlighted the global momentum behind the SSE, emphasizing its critical role in addressing poverty, inequality, and decent work. He referenced the recent UN resolution on SSE and underscored the ILO’s commitment to promoting decent work and social justice, which aligns with SSE principles. Musindo called for collective responsibility to leverage this momentum, especially as South Africa prepares to assume the G20 Presidency in 2025 under the theme:

Solidarity, Equality, and Sustainable Development."

ILO Specialist for Sustainable Enterprises Jens Dyring Christensen facilitated breakout sessions that yielded valuable insights on advancing the SSE policy in South Africa. Participants, including social entrepreneurs, voiced concerns about the "double burden" of compliance and the need to streamline processes to unlock the potential of the social and solidarity economy. One attendee remarked: "Running a social enterprise in South Africa means first registering a PTY and then an NPO, which involves too much red tape and compliance requirements."

The roundtable was a catalyst for renewed policy discussions, which had stalled due to the COVID-19 pandemic. With the draft green paper under DTIC custodianship, the ILO and DTIC are exploring opportunities to resume the policy approval process.

As South Africa gears up for its G20 Presidency, the time is ripe to capitalize on the global SSE momentum and bring these critical conversations to the forefront of international forums. The call to action is clear: South Africa must step up and lead the way in advancing the Social and Solidarity Economy.