Today's Labour News

newsThis news aggregator site highlights South African labour news from a wide range of internet and print sources. Each posting has a synopsis of the source article, together with a link or reference to the original. Postings cover the range of labour related matters from industrial relations to generalist human resources.

news shutterstockIn our afternoon roundup, see summaries
of our selection of South African labour-
related stories that appeared thus far on
Tuesday, 20 November 2018.


MINING LABOUR

Sibanye and Amcu dig in their heels over wage increases

BusinessLive reports that gold producer Sibanye-Stillwater faces a strike from the Association of Mineworkers and Construction Union (Amcu) over unhappiness with a wage increase settled with other unions.  Amcu said on Monday the settlement with the other unions at the gold operations fell short of its wage demand of R1,000 extra a month and it had issued Sibanye with a 48-hour notice of a protected strike.  The union, which represents 43% of the gold division’s 32,200-strong workforce, balloted its members on Sunday and secured a mandate to go on strike from Wednesday evening.  Sibanye agreed with the NUM, Solidarity and Uasa to increase the wages of the lowest-paid workers by R700 a month in the first two years of the deal and R825 a month in the third year.  Sibanye CEO Neal Froneman blamed Amcu’s national leadership for the breakdown in talks, saying they intervened and stuck with their opening demands, which were unaffordable.  The uncompromising stances of Froneman and Amcu president Joseph Mathunjwa have set the stage for what could be a long strike at the gold mines of Kloof, Driefontein and Beatrix.  Froneman appealed for a peaceful strike.

Read the full original report by Allan Seccombe at BusinessLive. Read too, Amcu workers to strike at Sibanye’s South Africa gold mines, at Mining Weekly. And also, Amcu delivers 48-hour strike ultimatum to Sibanye-Stillwater as wage talks stall, at Miningmx

SA gold mines facing medium-term existential crisis if cost headwinds continue unchecked

Miningmx writes that the medium-term feasibility of SA’s remaining deep level gold mines has been thrown into doubt by cost headwinds.  These include the latest three-year wage agreements and the possibility Eskom could hike electricity costs by 15% a year.  “Given the current macro environment, with further headwinds facing the industry on the back of Eskom’s push for a 15% electricity price hike, we are of the view that the medium-term sustainability of mining companies offering above-inflation increases are at risk,” said Yatish Chowthee, an analyst for Australian bank Macquarie.  Margin erosion was therefore likely notwithstanding the weakening of the rand against the dollar in the second half of this year and the rally in the US dollar gold price.  On back of the wage and Eskom (potentially) headwinds, Chowthee reiterated the bank’s “sector thesis of steering clear of deep level assets.”  Chowthee’s comments came as Sibanye-Stillwater prepared for a strike by the Association of Mineworkers & Construction Union (Amcu) on Wednesday.  Meantime, members of the National Union of Mineworkers downed tools at Gold Fields’ South Deep more than a fortnight ago over looming job cuts.  These strike developments are said to present significant social risks ahead of Christmas.

Read the full original report by David McKay at Miningmx

Other labour / community posting(s) relating to mining

  • ConCourt has reset the power balance between villagers, mines and chiefs, at The Citizen


MARCHES / PROTESTS / CAMPAIGNS

ConCourt judgment affirms right to protest without notice to municipal authorities

GroundUp reports that the Constitutional Court (ConCourt) has ruled that the failure to give notice of a protest should not be made a criminal offense.  The judgment, delivered on Monday in a case that has become known as the SJC10, was unanimous.  The legal battle began after activists from the Social Justice Coalition (SJC) chained themselves to the railings of the Civic Centre in Cape Town as an act of civil disobedience in 2013.  They were fighting for better sanitation in Khayelitsha.  According to the Regulation of Gatherings Act 205 of 1993, organisers of gatherings of more than 15 people have to give notice of their protest to the responsible officer of a municipality.  Ten elected leaders, known as the SJC10, were convicted for contravening the Act by failing to provide notice.  The Western Cape High Court then ruled that the applicable section of the Act was invalid and unconstitutional.  The state appealed the judgment and the matter was heard by the ConCourt, which upheld the High Court judgment.  It said that the criminalisation of not giving notice for a protest deterred the exercise of the right to assemble and “deterrence by its very nature limits the exercise of this right”.  Zackie Achmat, one of the ten, commented:  “The right to protest has been freed from its colonial and apartheid shackles.  Protests, demonstrations and sit-ins can be convened anywhere without having to give notice.”

Read the full original report by Zoë Postman at GroundUp. Read too, Constitutional Court strikes powerful blow in favour of peaceful protest, at BusinessLive. And also, Landmark ruling on gatherings and demonstrations affirms one of democracy’s greatest tools, at Daily Maverick

State disappointed with ConCourt ruling on right to protest without notice

EWN reports that lawyers representing the state said that, while they were disappointed with the Constitutional Court’s (ConCourt’s) judgment regarding peaceful protests, they would abide by its decision.  The apex court on Monday upheld the ruling of the Western Cape High Court that found it unconstitutional for a group of people to be criminally charged for convening a peaceful demonstration without notifying the authorities.  Earlier this year, the same court overturned the convictions of 10 activists from the Social Justice Coalition who had been found guilty of convening an illegal protest in Cape Town back in 2013.  The police minister then appealed the matter.  State attorney Simangele Bedrow commented:  "We’re actually disappointed but we commit to abide by the court’s decision regarding this matter.  It was not what we were expecting based on the arguments that we advanced on our behalf."  The police minister has been ordered to pay the costs of the appeal and the ConCourt has also set aside the arrests and convictions of the 10 activists.

Read the full original report by Thando Kubheka at EWN

In Johannesburg you have to pay to protest and activists have had enough

GroundUp reports that dozens of people marched to the Johannesburg City Council in Braamfontein on Friday morning to protest the municipality’s charging of fees to protest.  The protest was led by Right2Know (R2K), which demanded that the municipality immediately stop charging fees for protests.  The group demanded the right to give notice of a protest any day of the week, in person, on paper or digitally and that the Joburg Metropolitan Police Department (JMPD) should stop only accepting notices in person and only approving marches on Wednesdays.  Murray Hunter of R2K said the organisation was aware of only two municipalities that charged protest fees.  He said this was unconstitutional as it forced people, particularly poor communities, to pay for a constitutional right.  The fees apparently start at R180 and can run into thousands of rands.  For Friday’s march, the JMPD and the municipality wanted R2K to pay a fee of R446 for “planning costs”.  According to R2K’s submission, the practices by the municipality “are additional and unfair obstacles placed before people who are seeking to follow the lawful procedures set out in the Regulation of Gatherings Act.”  A Joburg representative said the municipality would respond within 14 days.

Read the full original report by Zoë Postman at GroundUp

EPWP workers march in Cape Town demanding permanent employment

GroundUp reports that dozens of City of Cape Town employees marched to the Civic Centre in Cape Town on Friday to demand permanent employment and the right to join unions.  “We want the City to hire workers permanently and stop using labour brokers,” said Prince Nyovu, deputy chairperson of the Expanded Public Works Programme (EPWP) steering committee.  The EPWP is an initiative of the Western Cape Government and the National Department of Public Works that provides temporary work opportunities to unemployed and unskilled individuals.  MyCiTi bus drivers also took part in the march demanding that drivers be insourced.  “EPWP employees work on a temporary basis and get R80 per day without benefits.  Other City workers who do the same job as them get R350 and benefits,” Nyovu claimed.  He also claimed that EPWP workers sometimes do not get issued with safety gear such as face masks, gloves and overalls.  The memorandum presented also demanded that the City allow EPWP staff to join trade unions of their choice and that workers be hired long enough for them to acquire skills which they can use in future jobs.  

Read the full original report by Vincent Lali at GroundUp

HPCSA workers protest over job security

EWN reports that workers at the Health Professions Council of South Africa (HPCSA) in Pretoria abandoned their posts on Tuesday morning over concerns about job security.  About 100 employees protested against a new automatic data capturing system.  Workers want the system scrapped, claiming they were not consulted about its implementation.  The National Education, Health and Allied Workers' Union (Nehawu) claimed this threatened the jobs of its members who had previously done this work manually.  Nehawu's Khuliso Masianuga said:  “They are introducing automation.  So, when it happens like that, Nehawu questioned why they were not consulting us because it will affect our members and it may also result in our members being retrenched in the near future.”

Read the short original report by Sifiso Zulu at EWN


RECRUITMENT / APPOINTMENTS

No prior experience needed from April 2019 for entry-level government jobs

BusinessLive reports that in an effort to address high youth unemployment, the government plans to change public service regulations to allow for recruitment in all entry-level posts in the public service without prior experience.  The focus of recruitment will in future be on minimum academic qualifications.  The amended regulations to remove what the Department of Public Service and Administration (DPSA) says are "unnecessary barriers to entry into the public service" will take effect from 1 April 2019.  They will also provide a platform for new graduates to acquire work experience.  DPSA minister Ayanda Dlodlo indicated in a statement on Monday that the changes would not remove professional requirements in fields such as engineering and medicine.  An e-recruitment system will also be rolled out from next month by introduction of a digital job application form.  Paper applications will still be accepted from those who do not have access to the internet.  The decision to create a digital application form was in response to job seekers' complaints about the cumbersome and unaffordable nature of the paper-application process.

Read the full original report by Linda Ensor at BusinessLive


EXECUTIVE PAY

Imperial’s substantial pay hikes for executives irk investors

Financial Mail reports that shareholders at transport and logistics group Imperial are clearly unimpressed by the hefty increases awarded executives as part of the restructuring of the group into two entities, Motus and Imperial Logistics.  At the company’s AGM two weeks ago, an unprecedented 48% of investors made their displeasure felt by voting against the remuneration policy.  But, Imperial should have expected such opposition, given that shareholders have received almost no return from the company for several years, thus making it clear that the interests of executives are not exactly aligned with those of shareholders.  Over the past year, Imperial’s share price fell 23%, and it hasn’t grown earnings or dividends for the past five years.  Yet last year, three of its executives scored R80.1m — a 54% increase on the R51m of the year before.  The substantial pay hikes came at a challenging time for the group as it is on the verge of spinning off a separate listing for its motoring-related operation (Motus) in a bid to boost its fortunes.  But, the shareholders have yet to see any benefit from this overhaul.  Nonetheless, Motus CEO Osman Arbee’s "total taxable remuneration" shot up 50% to R30.3m from R20m the year before.  

Read the full original report by Ann Crotty at BusinessLive


RESTRUCTURING / RETRENCHMENTS / COMPANY JOB LOSSES

Barloworld Automotive cut 1,000 dealership jobs over 18 months

Engineering News reports that Barloworld Automotive had been forced to reduce its headcount by around 1,000 people over an 18-month period, CEO Keith Rankin said on Monday.  He indicated this at the announcement of the Barloworld results for the year ended 30 September.  The business closed four dealerships in a stagnant new-vehicle market, of which three were General Motors (GM) facilities.  GM pulled out of South Africa in 2017.  The Automotive business also closed BMW Randburg and sold BMW Cape Town.  While the total dealer market in South Africa was up 0.5% in the 2018 financial year, the Barloworld Automotive business saw a 4.9% decline in new-unit sales, impacted largely by declining premium segment sales.  “Twenty per cent of our vehicle sales are in premium brands,” said Rankin.  Barloworld CEO Dominic Sewela said he expected the automotive business to continue facing challenges in 2019, as consumer confidence was low ahead of the elections and SA Inc was “not doing well”.

Read the full original of this report at Engineering News

Eskom flattens executive structure in quest to enhance operational and cost efficiencies

Business Report writes that Eskom said on Monday that it was going ahead with plans to flatten its top structure and merge certain divisions in its quest to enhance operational and cost efficiencies.  The troubled state-owned power utility confirmed that it had given Section 189 (i.e. retrenchment) notices to the F-Band employees that comprise mostly of the utility's top management.  The new structure would merge the roles of group executive distribution and group executive customer service to increase accountability.  The changes would also see the heads of IT and procurement being demoted to E-Band general managers.  Heads of strategy, risk and sustainability, security, audit and forensics and corporate affairs would moreover form a single unit.  Eskom has put the number of its top executives at about 400, saying most were involved in the build programme of Kusile and Medupi power stations.  Energy analyst Chris Yelland said the shuffling of the organogram and reduction of executives would not save Eskom and that the utility needed to be unbundled to address financial, operational and environmental performances or its bottom line.

Read the full original report by Luyolo Mkentane at Business Report


HLAUDI MOTSOENENG

Hlaudi Motsoeneng loses final bid to appeal personal costs order in SABC8 case

TimesLive reports that former SA Broadcasting Corporation (SABC) boss Hlaudi Motsoeneng has failed to escape personal liability for the legal costs associated with a 2016 ban on coverage of violent protests ahead of the 2016 local government elections.  The Constitutional Court finalised the matter on Monday by dismissing, with costs, Motsoeneng’s application for leave to appeal the costs order.  The Labour Court had originally ordered Motsoeneng to personally pay the legal costs of trade unions Solidarity and Bemawu, which had represented the SABC 8 in their case opposing their unlawful dismissal as a result of having defied the ban.  Motsoeneng has ever since unsuccessfully been attempting to appeal that costs ruling.  Back in June, Anton van der Bijl‚ head of Solidarity’s labour law division‚ observed that Motsoeneng was simply postponing the inevitable.  “He is playing a cat-and-mouse game with the courts‚ but he will back himself into a corner yet again‚” Van der Bijl said at the time.  In a press statement on Tuesday, Solidarity’s CE Dr Dirk Hermann estimated that the parties’ total cost could amount to between R1.6 and R1.8 million.

Read the full original of this report by Naledi Shange at TimesLive. Read Solidarity’s press statement at Solidarity News. Read too, Hlaudi Motsoeneng loses final bid to appeal costs order, at The Citizen

Legal battles far from over for former SABC boss Hlaudi Motsoeneng

News24 reports that former SA Broadcasting Corporation (SABC) chief operating officer Hlaudi Motsoeneng says his court battles are far from over.  He was speaking after the Constitutional Court refused leave for him to appeal against an order finding him personally liable for the legal costs stemming from the 2016 ban on the broadcasting of protest action.  The ban led to eight journalists being fired after they protested against Motsoeneng's decision.  He vowed to challenge any court ruling against him up to the highest court in the land, the judgments of which he said he would respect and abide by.  Motsoeneng also said he was busy challenging a CCMA ruling against him in respect of his bid to get back his job.  He plans to take the decision on review to the Labour Court.  But, Motsoeneng refused to disclose who was funding his legal battles.  He simply replied that he had worked at the SABC for many years.  Motsoeneng also observed:  I can't wait for the Labour Court to conclude before I start something new.  The case can drag for over two years and I won't wait for that.  I need to do so more new stuff.  My future is in my hands."

Read the full original report by Ntwaagae Seleka at News24. Read too, I am not to blame for SABC's financial woes, says Hlaudi Motsoeneng, at IOL News


NEWS BRIEFS

  • Golden Arrow commuters call for security after robberies, at EWN
  • German giant BASF in the dock over its links to Marikana massacre, at BusinessLive
  • Optimism in South Africa's economic recovery fading, says IMF, at Engineering News
  • IMF warns that SA faces constraints in implementing reform, at BusinessLive
  • Eskom whistle-blower Suzanne Daniels will have to fight to clear her name, at Daily Maverick

 


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