Abstract

This article explores the impact of leadership in driving employee performance through diversity and social inclusion in Amajuba (ADM) and Ugu District Municipalities (UDM). A qualitative research approach was used, and data was acquired through purposive sampling of four general managers, four senior managers, six managers, and eight general employees of the two district municipalities. An inductive thematic analysis was used to compare the data. The article reveals that leaders promote diversity and inclusiveness, which has an impact on employee performance and is considered as a strategy to attract and retain top performers. Despite Chapter 2 of the South African Constitution, which mandates diversity and inclusion, this study found that the rate of workplace diversity has been modest, ranging from 30% to 51%. The article proposes that municipal leadership act quickly to increase diversity and social inclusion to at least 80%, focus strongly on people with disabilities so that they are not viewed as people who need to be spoon-fed with social grants but rather as people with talents that could be used to improve the performance of our public sector. It is further proposed that in order to achieve diversity and inclusion, strict penalties be put in place for the execution of the new Employment Equity Act of 2023. The impact of leadership in fostering employee performance through diversity and social inclusion in the institutions found in the rural and semi-urban areas of the ADM and UDM has not yet been studied, despite academics making progress in making leadership theories a priority.