In our Wednesday roundup, see summaries
of our selection of South African labour-
related stories that have appeared since
midday on Tuesday, 6 June 2017.
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Damning report into Elandsfontein train collision The Star reports that the Railway Safety Regulator’s preliminary report into last week’s Elandsfontein train collision was released on Tuesday. It found that an “abnormal working process littered with numerous poor safety checks” was among the factors that caused the accident. This comes after Metrorail last week blamed cable theft for the train crash that resulted in the death of one man and left 102 passengers injured. “The train control officer authorised two trains into same section of track at the same time,” said regulator spokesperson Madelein Williams. She said the report indicated that the train control personnel on duty failed to observe and implement the requirements of abnormal working, as stipulated in train working rules and went on to state: “Prasa Elandsfontein train control personnel embarked on an abnormal working process littered with numerous poor safety defences or uncontrolled risks, routine violations and lacking several key safety procedures.” Read this report by Tankiso Makhetha in full at The Star. Read too, Regulator finds two trains authorised on single track at same time, at TimesLive Eskom employee Thembisile Yende was murdered, say police News24 reports that a post mortem examination has shown that Eskom employee Thembisile Yende had suffered head injuries and bruises on her neck before she died. Police spokesperson Captain Kay Makhubele indicated that the case was still being investigated. He went on to say: “We have changed the case from an inquest to murder, and we are appealing to anyone with information to come forward.” Yende, 29, was laid to rest on Saturday. Her body was found in an office at Eskom’s remote Pieterboth substation in Springs on 27 May. She had been dead for 10 days before her body was found after employees reported a smell in the corridor near her office. Read this report by Nation Nyoka in full at News24. See too, Family of Eskom employee Thembisile Yende 'shattered' by postmortem results, at EWN One police officer and eight suspects dead after shootouts in KZN ANA reports that police said on Monday that a police officer and eight suspects were killed in shootouts after police foiled a planned ATM bombing in the Hammarsdale Industrial area, near Durban. In an incident which began on Sunday night and continued through to Monday morning, the SAPS NIU and K9 units responded to information about a possible ATM bombing that was going to take place. Police spokesperson Brigadier Jay Naicker said: “Our members confronted the suspects, and they were met with gunfire during which a 44-year-old Warrant Officer from the National Intervention Unit was tragically shot dead. The suspects fled the scene on foot, but they were later found in the nearby bushes, where another shootout with police took place. Three suspects were fatally wounded during this exchange of gunfire.” A second group of suspects were tracked down to a homestead in the Mophela area and in another exchange of gunfire, a further five suspects were fatally wounded. Read this report in full at The Citizen Other internet posting(s) in this news category
Release of revised Mining Charter imminent Business Report writes that Mineral Resources Minister Mosebenzi Zwane expects the long awaited revised Mining Charter to be finally gazetted very soon. “Next week we will be gazetting the charter. It is a very straight forward charter. People must work together. We must transform our country,” Zwane said at the reopening of the Highveld structural mill in Emalahleni. Zwane indicated last month that he was confident that the Mining Charter would “be reflective of the careful consideration given, substantive inputs received and with meaningful engagement with stakeholders”. However, the Chamber of Mines has complained that it has not received feedback from the Department of Mineral Resources (DMR) on the draft. Former chamber president Mike Teke said last month at the Chamber’s AGM that the organisation had not met with the DMR for two months. It was reported at that time that the Chamber’s major bone of contention with the new charter was that the mining industry would face additional levies and taxes of R2bn to R3bn a year. Read this report by Dineo Faku in full at Business Report Pensions adjudicator slams mine fund for delay in paying out death benefit Fin24 reports that the pension funds adjudicator on Monday spoke harshly about retirement funds that fail to pay out death benefits to beneficiaries timeously, resulting in an increase in unclaimed benefits. The registrar of pension funds recently said that in the mining industry specifically there was R10bn worth of unclaimed benefits. “These amounts and the number of beneficiaries (who don’t receive death benefits) increase year on year,” Pension Funds Adjudicator Muvhango Lukhaimane said. She illustrated these shortcomings with a specific case in which she ordered the Mineworkers Provident Fund (MPF) to pay 10% in compensatory damages to a complainant, because the fund had failed to timeously investigate the existence of beneficiaries of a deceased member. The fund failed to complete its investigation nine years after the death of the member. Lukhaimane ordered the fund to complete the investigation and ensure death benefits were paid to the member’s beneficiaries. In her determination, Lukhaimane also ruled that the complaint against the fund was not “time-barred”, as there were particular circumstances under which the so-called prescription (three-year time period) might be interrupted. Read this report in full at Fin24 Klipwal gold mine reopens using former zama zamas as workforce Mining Weekly reports that Birrell Mining International has reopened the recently acquired Bosveld Mining’s Klipwal gold mine in KwaZulu-Natal, the company said on Monday. Under the chairmanship of Graham Briggs, the former CEO of Harmony Gold, Birrell completed the purchase of Bosveld Mines from Stonewall Mining earlier this year, after having been responsible for the care-and-maintenance programme since early 2016. Production began last month. Owing to the high levels of illegal activity at Klipwal, it was decided to make use of the local former illegal miners as the main workforce, within strict safety regulations and managerial control and adherence to legislative requirements around contractor employment. The former illegal zama zamas, which have formed cooperatives, are contracted as legal personnel to complete hand-lashing and tramming within portions of the mine that are rendered safe by the company. The cooperatives are remunerated on each ton lashed and trammed to a collection point. Read this report in full at Mining Weekly Platinum price remains muted as firms uphold output in order to retain jobs BusinessLive writes that the platinum price is likely to remain subdued until there is a reduction of primary supply from SA, but given the reluctance of the government and unions to agree to cutting jobs entailed in stopping unprofitable shafts, production has been kept relatively high. A Bank of America Merrill Lynch report said on Monday that the concentration of ownership in the sector had diminished in time as Sibanye Gold bought the large Rustenburg mining complex from Anglo American Platinum as well as the whole of Aquarius. "Usually, a reduction of industry concentration is positive, because competition increases. Yet, in the case of platinum, it has, in our view, prevented a rebalancing of the global market for various reasons," the report said, singling out the Sibanye transaction. "This meant that especially the marginal Rustenburg operations, whose performance Anglo Platinum had been discontent with for years, have been sustained for now." The inability of mining companies to shut unprofitable production because of fierce opposition from the government and unions has meant "miners have sustained production to spread fixed labour costs over as large an output base as possible". Read this report by Allan Seccombe in full at BusinessLive Other labour/community posting(s) in this news category
Amid financial crisis, Nehawu wants Parliament’s accounting officer fired BusinessLive reports that the National Health and Allied Workers’ Union (Nehawu) is putting pressure on Parliament to sack its accounting officer, Gengezi Mgidlana. The union blames him for the financial crisis at the institution, including the delay in effecting salary increases for this financial year. Nehawu, which represents most of Parliament’s staff, has not ruled out downing tools if management fails to table a reasonable wage offer in the next few months. Nehawu wants a 10.3% increase backdated to April, when workers were due to receive their annual increases. With Parliament facing financial problems, wage negotiations have not yet begun. Nehawu said Mgidlana, who was the focus of an investigation by Public Protector Busisiwe Mkhwebane, should be placed on suspension, pending the conclusion of the investigation. The union also said it would push for his dismissal. Read this report by Bekezela Phakathi in full at BusinessLive. See too, Workers call for suspension of Secretary to Parliament, at EWN Stop treating Mgidlana like a ‘golden boy’ say Nehawu members working in Parliament ANA reports that the union representing workers in Parliament on Tuesday demanded an independent probe into the national legislature’s secretary, Gengezi Mgidlana, whom they accused of corruption and maladministration. Mgidlana this past weekend released a statement in which he slammed the National Education Health and Allied Workers’ Union (Nehawu) of character assassination, saying the union’s claims that he erroneously awarded himself a bursary and a bonus of R70,000 were “misleading and disingenuous”. Nehawu, which is currently engaged in a dispute with Mgidlana and senior management over the 2017 salary increases, hit back on Tuesday and said it would provide documentary proof of Mgidlana’s transgressions. Nehawu regional secretary Baxolise Mali weighed in, asking presiding officers to stop treating Mgidlana like “a golden boy”. Mgidlana on Sunday also denied that staff would not get their annual salary increases and appealed to staff to “return to the negotiating table”. The union said its previous meetings with management had been reduced to “tea sessions” with no offers being put on the table. Read this report in full at SABC News. See too, Suspend Mgidlana, or we will remove him, say Parliament’s workers, at News24. And also, Mmgidlana says allegations of corruption are unfounded slander, at EWN
Strike by Mangaung employees continues The New Age reports that, with the workers in the Mangaung metro continuing with a strike to demand a salary adjustment, the city has had to make provision for services to be paid in by residents. Since the strike started two weeks ago, most services have not been paid for as residents have struggled to access the Bram Fischer building and other municipal buildings around the metro. City spokesperson Qondile Khedama said city management was ensuring that all essential services were not severely interrupted. He advised residents and businesses who wanted to pay rates and taxes or purchase water or electricity services to do so at various third party points. Workers in Mangaung are demanding salary adjustments in line with the status of the city as a metropolitan municipality. Mangaung became a metro in 2011. Among other demands, workers want the municipality to reinstate the contracts of temporary workers which were terminated earlier this year. Read this report by Kamogelo Seekoei at SA Labour News Samwu members threaten to strike over wages in Ekurhuleni The New Age reports that members of the SA Municipal Workers’ Union (Samwu) in Ekurhuleni on Monday threatened to unleash a bout of industrial action if the municipality failed to accede its demand for higher wages by Thursday. The union's regional chair Chris Mavunda said: "Workers have returned to work on Monday after a march to mayor Mzwandile Masina's offices last week Friday. We are waiting for a certificate to embark on a strike if our demands are not met by Thursday." He also lamented management's hardened attitude towards wage negotiations and claimed that as a result of the mayor's salary structure, “some of our members have been demoted and their contracts of employment tampered with." Ekurhuleni spokesperson Themba Gadebe said the municipality “welcomes any constructive engagement with Samwu on the salaries matter.” Read this report by the The New Age at HTSyndication Hundreds of outsourced workers on strike at Port Elizabeth export company GroundUp reports that hundreds of workers have been on strike since 24 May at Dynamic Commodities, an export fruit and ice cream manufacturing company operating from the Coega Industrial Development Zone in Port Elizabeth. The workers, who are contracted by labour broker firm Outsource, are demanding an increase in their wages and an improvement in working conditions. Thokozani Nogoqa of the Security Officers Civil Rights and Allied Workers’ Union (Socrawu) said: “We are angry that Outsource does not want our members to organise in their factory… The bone of contention is the working conditions of the workers.” Amongst other grievances, he claimed that employees were working for over 12 hours in fridges, but the company refused to provide special clothing. It also did not provide transport at night. Cronje Van Zyl of Outsource said the union did not have organisational rights as it was registered in the security sector and not certified for food production. According to Van Zyl, the dispute was over a provident fund and the dismissal of an employee. Read this report by Joseph Chirume in full at News24 Former Servest employees charged with public violence after defying court interdict ANA reports that a group of 29 former employees of the company Servest, in the Epping Industrial area in Cape Town, appeared in the Parow Regional Court on Monday, all charged with public violence. The case was remanded to 21 July, when the trial is expected to commence. Their case is a sequel to unrest during a wage dispute at Servest’s premises nearly two years ago, when the group is alleged to have ignored a Labour Court interdict, restraining them from causing any further damage to the premises. In the course of the unrest, the group was “locked out” and it is alleged that they first torched and then broke down the main gate to the premises. The police were called and had to use tear gas to disperse the protestors. It is alleged that the group defied the Labour Court Interdict, and returned to the premises to protest. Based on a report at The Citizen
Mbalula gets final warning to upgrade 10111 operators’ salary level or face shutdown TMG Digital/TimesLive report that a march on Tuesday by 10111 call centre operators to the offices in Pretoria of the minister of police, Fikile Mbalula, was said to be a last warning of what could happen if their demand to be upgraded from salary level five to level seven was not met. The march was led by the SA Policing Union (Sapu) and supported by the newly formed SA Federation of Trade Unions (Saftu). One marcher said: “We have been fighting for what is rightfully ours since 2013 and we have been patient enough. It is either we get what we deserve or there will be a shutdown of 10111 call centres nationwide.” According to the memorandum presented to Mbalula's office‚ Sapu is demanding that the salary upgrades recommended by a task team set up by suspended police commissioner Riah Phiyega in 2013 be implemented. The union has charged that instead of upgrading the salary scale to level seven, as recommended, the SAPS wants to migrate the 10111 posts from the Public Service Act to the SA Police Act. Sapu gave Mbalula 14 days to respond or 10111 services centres nationwide will shut down. Read this report by Sipho Mabena in full at TimesLive. See too, Police call centre workers halt traffic in Pretoria, at The Star Police personnel deployed to striking 10111 call centres News24 reports that that new interim-acting national police commissioner Lesetja Mothiba has announced that the SA Police Service (SAPS) has decided to send police officers to manage the emergency 10111 units where staff are on strike. Call centre workers threatened a national shutdown on Tuesday after the South African Policing Union (Sapu) said they had been underpaid for too long. Mothiba made his first appearance in Parliament on Wednesday as police head, and said negotiations around sending police officers were at an advanced stage. Sapu general secretary Oscar Skommere indicated on Tuesday that they were giving police 14 days to respond to their demands presented at a march in Pretoria. The call centre agents act as the first port of call during an emergency situation for people seeking help or assistance from the police. Read this report by Paul Herman in full at News24 Uber drivers protest outside East Gate mall over safety TMG Digital/TimesLive report that Uber drivers operating around East Gate mall in Johannesburg on Tuesday staged a protest over alleged ongoing intimidation from meter taxi drivers. About 250 Uber operators were expected to deliver a memorandum to management at the shopping centre. Uber drivers have previously accused metered taxi drivers of damaging their cars and assaulting them while they operate in the area. Gauteng meter taxi drivers recently distanced themselves from a circulating message that threatened violence against Uber drivers. “We are aware of a strike by Uber drivers to the management of the mall; it has nothing to do with us. As far as I am concerned‚ I have no idea what the memorandum is about‚” said Abner Mashikinya‚ a Meter Taxi Association spokesperson. A short report by Kgaugelo Masweneng is at TimesLive
Some Joburg Samwu members want union contribution deductions halted BusinessLive reports that, as the crisis within the SA Municipal Workers’ Union (Samwu) deepens, some of its members have requested the City of Johannesburg to withhold their membership subscriptions from the union. Samwu has been dogged by infighting for almost a decade as different leaders battle it out for control of the union’s coffers, which run into millions, with some facing arrest over fraud and corruption. The biggest union in the municipal sector is also being investigated by the Hawks. Unhappy members said in a letter to the city council that their monies were being used to fund factional battles in the union. The council has been negotiating labour matters with two factions of the union, pending a ruling on a Labour Appeal Court (LAC) application. “Until the LAC decides on the matter, it is incumbent on us to treat both factions as equals," said Christo Marais, acting group executive director of group corporate services for the city. The issue of withholding membership subscription funds will be tabled before the next mandatory committee meeting. Read this report by Claudi Mailovich and Theto Mahlakoana in full at BusinessLive
Sugar tax under fire from producers, unions and business over effect on jobs BusinessLive reports that labour federation Cosatu, Business Unity SA (Busa) and the SA Sugar Association (Sasa) have agreed that the introduction of a tax on sugar-sweetened beverages should be delayed as it would have a negative effect on employment in the industry. The three organisations argued in Parliament on Wednesday that the team set up by Nedlac should be allowed to conclude its work and a socio-economic impact assessment study should also be undertaken. Busa said that time was needed for mitigation measures to be developed to counteract any negative effects of the proposed levy. The Treasury has proposed the tax as a way to deal with obesity and non-communicable diseases such as diabetes. Cosatu highlighted the threat of job losses posed by the proposed tax and called for its implementation to be delayed so that a comprehensive transition and jobs plan could be developed. Cosatu’s parliamentary liaison officer, Matthew Parks, pointed out that the Treasury had estimated that the introduction of the tax would cause 5,000 job losses. Read this report by Linda Ensor in full at BusinessLive
Highveld Steel looks after retrenched employees BusinessLive reports that Highveld Steel has paid about R50m to retrenched employees so far and continues to pay them from rentals from the businesses that now occupy the site outside eMalahleni. The company was put into business rescue in April 2015 after a prolonged downturn in the steel industry. This resulted in the retrenchment of almost 3,500 people, including about 1,800 of its own staff as well as contractors, in February 2016. Business rescue practitioner Piers Marsden indicated on Tuesday at the official restart of the Highveld Structural Mill that the total amount owed to employees, who are being paid out first, was originally R300m. An agreement was reached with ArcelorMittal SA (AMSA) in 2016 to reopen part of the plant. AMSA supplies the primary steel. Marsden expects the business rescue process will take about another two years to resolve. About 500 people are working in various businesses on the site, including a black-owned logistics company that uses Highveld’s extensive rail infrastructure to ship coal for small producers in the area. Read this report by Charlotte Mathews in full at BusinessLive. See too, Highveld Steel droom van spoorlyne, at Netwerk24 As Stuttafords winds down, staff to get full retrenchment packages Fin24 reports that, although disappointed that Stuttafords was in a winding down process, chief executive Robert Amoils said he was glad the retailer could at least pay staff their full retrenchment packages. Following a business rescue process that lasted seven months, creditors voted last week to a wind down of the retailer, which was founded in 1858. “Over the course of the next few months, should a third party not come forward to buy one or more of the stores, it will mean that by July or August our entire store base would have closed,” said Amoils. So far four department stores have been closed and five still operate. For Stuttafords’ 950 staff members, in a case of liquidation their years of long service would have “been for nothing” and their retrenchment packages would have been capped, but with the wind down, the full retrenchment packages will be payable without any limitation. Read this report by Lameez Omarjee in full at Fin24
Board of Trustees of Community Medical Scheme suspended BusinessLive reports that Community Medical Scheme has been placed under provisional curatorship by the High Court in Pretoria after the Council for Medical Schemes (CMS) discovered alleged governance failings by its board. The council approached the high court urgently and last Friday it appointed a provisional curator, pending the outcome of a hearing on 4 August. The apparent failures in fiduciary oversight include allowing a R1.1m bonus to be paid to the scheme’s principal officer, which was outside the scope of her employment contract, and allowing illegal advance payments to the scheme’s administrator Allcare to go ahead. Community Medical Scheme had 13,109 beneficiaries at the end of 2016. The CMS’s head of legal services said members should rest assured that it was "business as usual" for the scheme, which had sufficient funds to cover their medical bills. Read this report by Tamar Kahn in full at BusinessLive
Molefe agrees to not report for duty at Eskom pending court decision Cape Times reports that ousted Eskom group chief executive Brian Molefe has agreed not to report for duty at the power utility pending legal proceedings regarding his future at Eskom. This agreement followed the postponement on Tuesday of the Democratic Alliance’s (DA’s) high court application against him in which the party had asked that the decision to reinstate him be set aside. Although the reinstatement decision was rescinded on Friday by the Eskom board, the DA said it would go ahead with the application if Molefe was successful in the Labour Court, where he has made application for the Board’s decision to be overturned. The DA’s urgent high court application, which was due to start on Tuesday, was accordingly postponed indefinitely. In terms of the agreement reached, Molefe will not report for work at Eskom, and Eskom will not expect him to perform his duties. James Selfe of the DA said the party would meanwhile attempt to intervene in Molefe’s Labour Court matter. Should Molefe be successful in the Labour Court, the DA would take the necessary steps to re-enrol its high court application to interdict his continued employment at Eskom. Read this report by Zelda Venter in full at Cape Times
Hlaudi lashes out at SABC board member as he fights disciplinary charges TimesLive reports that embattled former SA Broadcasting Corporation (SABC) chief operating officer Hlaudi Motsoeneng has lashed out at board member Krish Naidoo‚ accusing him of lying to Parliament and of “slandering” him. The comments were made in an affidavit filed on Tuesday in response to disciplinary charges that Motsoeneng faces into alleged misconduct. The scathing attack on Naidoo relates to comments he made during his appearance before a parliamentary ad hoc committee. Motsoeneng described Naidoo as a "sell out" who had lied under oath. "I have been subjected to unjustified slandering and malingering by the press‚ politicians and specifically Mr Naidoo. A typical example is the suggestion that I am unqualified for my current role. Mr Naidoo in his address before the ad hoc committee referred to me as a ‘high school drop-out’ and a ‘squatter at a national key point’‚" the affidavit reads. Motsoeneng’s disciplinary hearing is expected to resume on Friday. Read this report by Neo Goba in full at TimesLive
Special investigators appointed to probe corruption in Tshwane SowetanLive reports that City of Tshwane executive mayor Solly Msimanga has appointed two special investigators to deal exclusively with priority corruption in the capital city. The investigators‚ who will be based within his office‚ will deal with high-level corruption cases‚ including upgrades made to the City Hall and the mayoral mansion. “The move to add the two skilled special investigators ought to be celebrated as it allows for more transparency and will bolster our efforts to ultimately stop corruption‚” said Msimanga. Everything possible was being done‚ he added‚ to ensure that “communities are not robbed of quality services and standard of living by thieves masquerading as public servants.” The investigators will work with the existing Forensic Services Division‚ which deals with corruption and fraud cases involving city officials. Read the original of this report by Shenaaz Jamal at SowetanLive
See our listing of links to labour articles published on the internet on Tuesday, 6 June 2017 at SA Labour News
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