SOUTH AFRICA — Deputy President Paul Mashatile has issued a strong call for trade unions to take a proactive role in the artificial intelligence (AI) revolution, emphasizing the need for worker-centric technological policies during his keynote address at the Federation of Unions of South Africa’s (FEDUSA) 8th National Congress.
Speaking to the national trade union federation, which represents workers across both public and private sectors, Mashatile framed the rise of AI as a historic opportunity for organized labour. He warned, however, that failing to anticipate these technological shifts could deepen existing societal divides.
“The rise of artificial intelligence presents organised labour with a historic challenge and opportunity. Those who anticipate change and prepare workers with the skills, protections and voice needed in the digital economy will help shape the future,” Mashatile stated.
To prevent technological change from driving exclusion, the Deputy President urged unions to modernize their bargaining strategies. He advised them to prepare for negotiations surrounding workplace data, technological restructuring, and access to reskilling programs. Furthermore, he emphasized the necessity for unions to expand their representation to include workers in the informal, digital, and otherwise insecure sectors of the economy.
Addressing Deep-Rooted Labour Inequalities
Beyond the digital frontier, Mashatile challenged FEDUSA and other labour institutions to critically evaluate their effectiveness in advancing workers’ interests. He noted that South Africa’s progressive labour laws have not been enough to eradicate deep-seated disparities.
“Despite our progressive labour laws, the labour market still reflects inequalities of race, gender and disability, particularly at senior management levels,” he explained.
Mashatile stressed that formal compliance is insufficient and that true transformation must be visible in the actual structure of the economy. He called on employers to actively rectify unequal recruitment practices, pay disparities, and inadequate skills development, while urging trade unions to rigorously monitor employment equity plans to ensure they deliver tangible results.
Tackling the Cost of Living and Electricity Crisis
Shifting focus to the immediate economic pressures facing citizens, the Deputy President expressed deep concern over the rising cost of living, specifically highlighting the crippling expense of electricity. He noted that high energy costs are severely straining household incomes and weakening energy-intensive industries, including steel, ferroalloys, and chemicals.
“We cannot build our industry without addressing electricity affordability,” Mashatile asserted.
In response, he revealed that the government is currently reviewing its electricity pricing policy. The goal is to strike a balance between protecting vulnerable households, maintaining industrial competitiveness, and ensuring the sustainability of the power supply. Additionally, the government is taking aggressive action against poor maintenance, cable theft, and weak revenue management within municipal distribution networks to ensure that responsible consumers are not forced to subsidize avoidable systemic losses.
Confronting Unemployment and Economic Contraction
The urgency of these interventions is underscored by South Africa’s current economic climate. Mashatile identified stronger economic growth and large-scale job creation as the nation’s most critical tasks, pointing to an economy that contracted by 0.2% in the second quarter of 2026. The mining, manufacturing, and trade sectors are currently under considerable pressure.
The human cost of this economic stagnation is profound. According to the Deputy President, approximately 8.5 million South Africans are currently unemployed, pushing the official unemployment rate to 33.6%.
“These figures represent people unable to provide for their families, graduates unable to enter the labour market, and communities where opportunity is limited,” Mashatile said, noting that factory closures trigger a domino effect that devastates local suppliers, enterprises, and entire communities.
A Call for Conscious Unionism and Collaboration
Concluding his address, Mashatile drew inspiration from the congress theme: “Reclaiming and Organising the Future: Workers’ Dignity, Power, and Justice through Conscious Unionism in an Age of Crisis.” He argued that this theme must serve as a blueprint for all sectors of society.
He outlined a tripartite responsibility for national recovery: government must demonstrate competent administration and accountability; business must commit to responsible investment and fair employment; and organized labour must practice democratic, ethical leadership accountable to its members.
Ultimately, Mashatile called for a renewed commitment to the country’s foundational democratic principles. “Our democratic settlement was built on the conviction that negotiation could resolve differences. We must renew that conviction through our actions,” he concluded.
