The labour department will establish provident funds for domestic and farm workers by March next year, according to budget documents tabled by Finance Minister Pravin Gordhan on Wednesday.

It will also look at a medical aid scheme for the private security sector.

According to the 2012 Estimates of National Expenditure, these objectives are in line with the spending focus over the medium term, which is to protect vulnerable workers in these areas, as well as in the hospitality and forestry sectors.

Other goals were to re-integrate work seekers into the labour market and ensure decent work.

The department would receive R2.1-billion to achieve set goals, up from R1.9-billion in 2011/2012.

An amount of R429-million had been set aside for inspection and enforcement services.

The department aimed to inspect 130 000 workplaces for compliance with labour legislation.

It would also conduct audits and "blitz inspections" in high-risk sectors such as construction and chemicals, to reduce accidents and injuries.

With an unstable labour market, caused by the global economic crisis, workers were vulnerable to abuse from employers.

The department had increased the budget of the Commission for Conciliation, Mediation and Arbitration to accommodate the likely increase in cases.

It had done the same for the Unemployment Insurance Fund, with a focus on implementing poverty alleviation schemes for registered members.

In his budget speech on Wednesday, Gordhan said a wide range of government programmes and policies had come under scrutiny in the past year in respect of job creation.

He said his budget was aimed at supporting job creation through education and skills development.

"At this time last year, funding was allocated to a new Jobs Fund, aimed at supporting innovative public or private sector projects with potential to create sustainable job opportunities," he said.

"The fund began in June, and received over 2500 applications in its first call for proposals."

Gordhan said project allocations of over R1-billion had been committed, and a second round of applications would be announced shortly.