By Jon Herskovitz
JOHANNESBURG (Reuters) - South Africa's ruling African National Congress and its long-time labour partners held talks on Monday to repair their governing alliance, which has been described by union groups as "dysfunctional."
The ANC's discussions with the country's largest labour federation COSATU take place a week before an ANC mid-term policy review where the labour group could turn up the heat on President Jacob Zuma unless he gives them a greater say in policy formation.
"The alliance is facing paralysis, which needs to be unblocked," COSATU said in a policy paper released last week.
Political officials of the two groups met in closed-door talks but no details have been released yet on the discussions, officials from the groups said.
Zuma, derided by critics as ineffective, risks leaving the September 20-24 ANC National General Council in a weaker position with enemies seeing him as a lame duck and lining up their own bids for power well before his term ends in 2014, analysts said.
The ANC has elections for its leader in 2012 and the winner is almost certain to become president given the party's political dominance. Zuma could find himself out of office before his term ends if he cannot win the race for the top position in the ANC.
Zuma also faces elections next year for all local posts and COSATU, which has used its nearly 2 million members to generate votes for the ANC, has threatened to withhold support for candidates it does not see as qualified.
The alliance between the ANC, COSATU and the small but influential Communist Party was forged in their struggle to end apartheid.
It has been strained by a three-week public sector workers' strike and COSATU complaints about what it sees as spreading cronyism in Zuma's government.
"Notwithstanding the work of the government, a danger exists that if the current trajectory continues, is that the entire state and society will be auctioned to the highest bidder," COSATU's policy paper said.
COSATU helped bring Zuma to power but has been disappointed that he has not pushed for left-leaning policies they favour that include massive welfare spending with a greater burden placed on the private sector for funding.
"They will push as far as they can but at this point in time, they cannot force a breach with government," said Mark Schroeder, an Africa specialist in the United States for STRATFOR, a global intelligence company.
COSATU would have trouble breaking away from the ANC because it does not have enough members or funding to become a credible opposition group and the best way for it to influence policy is through the alliance, he said.
(Editing by Angus MacSwan)
