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
Wednesday, 27 March 2019.


MINING LABOUR

“We’re not intimidated”, Sibanye’s Neal Froneman tells Amcu ahead of platinum wage talks

Miningmx reports that Sibanye-Stillwater CEO Neal Froneman has three words for the Association of Mineworkers & Construction Union (Amcu) ahead of platinum wage talks later this year, namely “We’re not intimidated.”  Froneman, who spoke at length at the annual Breakfast Indaba in Johannesburg, took the gloves off in his war of attrition with Amcu president, Joseph Mathunjwa, whom he accused of abusing both his members, as well as Sibanye-Stillwater shareholders.  Amcu has been trying to pressure Sibanye-Stillwater on a range of fronts, but has been left with a bloody nose after multiple setbacks.  Its wage strike at Sibanye-Stillwater’s gold operations has dragged on for over four months, while an attempt to launch a secondary strike to back those demands was blocked earlier this month by a court.  With relations tense ahead of platinum wage talks, Froneman signaled there were lines he would not cross.  “Don’t try and force our hand with the threat of a strike because quite honestly we’ll take a strike.  We’re not intimidated by those types of things.  I’m going to do my best to avoid a strike, but I am also going to do my best to ensure that these historical above-inflation increases are avoided,” he stated.  Froneman also averred that the gold strike was ultimately rooted in Amcu’s opposition to Sibanye-Stillwater’s pending takeover of Lonmin as it was triggered just after the competition authorities approved the merger.

Read the full original of Ed Stoddard’s report in the above regard at Miningmx

Sibanye Gold’s Driefontein mine nearing end of life, CEO says

Bloomberg reports that according to Sibanye Gold, its Driefontein mine, once part of Africa’s biggest gold-mining operation, is nearing the end of its life and the company won’t deepen it because of tight economic conditions.  “To all intents and purposes, Driefontein is mined out,” chief executive officer Neal Froneman said in Johannesburg on Wednesday.  Sibanye bought the operation from Gold Fields in 2013.  At the time, it formed part of the Kloof-Driefontein complex, and the purchase also included the Beatrix operations.  Kloof and Beatrix remained good-quality assets, Froneman said.  SA’s gold industry now employs just over 100,000 people.  Dwindling output has cut gold’s contribution to little more than 1% of the country’s economy, down from 3.8% in 1993

Read the original of a short report by Felix Njini at Moneyweb

Exxaro sticks by decision to release 750 Group Five contractors at washing plant project

Miningmx reports that Exxaro Resources will continue with the termination of about 750 workers’ contracts employed through Group Five Construction despite an instruction from the firm’s business rescue practitioners (BRPs) that employees should hold their positions.  Exxaro’s executive head of stakeholder accountability, Mzila Mthenjane, said:  “Our decision remains unchanged.  There has been a contractual breach in terms of the contract.”  The contractors were employed at GG6, a R4.8bn coking coal project at Exxaro’s Grootegeluk mine in Limpopo.  The BRPs, Peter van den Steen and David Lake, ordered last week that the Group Five Construction’s sites “should not be demobilized until there has been engagement from Group Five representatives and that the safety and stability on project sites are our priority”.  Mthenjane said, however, the GG6 project was only six weeks from completion, that a large part of capital outlay had already been sunk by the company and that the Group Five contractors were only working on a small washing plant.  Exxaro said last week that it was “… engaging with its labour support – legal and human resources – to maintain stability on site”.  Group Five’s workers and subcontractors have moved off-site in the meantime.

Read the full original of David McKay’s report in the above regard at Miningmx

Minerals Council goes to court over Mining Charter

BusinessLive reports that the Minerals Council SA (previously known as the Chamber of Mines) has filed an application for a judicial review of the recently gazetted Mining Charter, citing problems with certain clauses and that past deals were not sufficiently recognised.  Mining executives have said since September 2018, when the charter was gazetted, that there were deeply problematic clauses, particularly those around the requirements to lift black ownership to 30% from 26% when mining leases were renewed and on the transfer of mineral rights.  Council CEO Roger Baxter said the decision to approach the courts had been “very reluctantly taken”.  Neal Froneman, CEO of Sibanye-Stillwater and the vice-president of the Council, indicated that there had been no progress in talks with Mineral Resources Minister Gwede Mantashe and his team over the past 180 days and the industry was protecting its rights.  He said the Council had provided Mantashe and the Department of Mineral Resources (DMR) with the feedback from three senior legal counsels that pointed out that the charter was “wrong and illegal” when it came to how renewals were handled.  Relations between the Council and the DMR have nonetheless started to improve since Mantashe became minister in February 2018, replacing the controversial and deeply unpopular Mosebenzi Zwane.

Read the full original of Allan Seccombe’s report on the above development at BusinessLive. Read too, Mining companies want parts of charter set aside, at Moneyweb

Lonmin shareholders unhappy with directors’ 2018 remuneration

Business Report writes that Lonmin shareholders have snubbed a report that details the remuneration paid to executive and non-executive directors for the financial year ended 30 September 2018.  A total of 73.8% of shareholders voted against approving the 2018 directors’ remuneration report at the annual general meeting (AGM) held in London on Monday.  According to the 2018 annual report, chief executive Ben Magara was paid a total of £1.45-million (R27.57m) in 2018, up from £1.10m in 2017.  Magara was the biggest earner at the company, with a hefty package comprising a £475,552 salary, £95,110 in pension-related benefits, £55,155 in taxable benefits and a short-term incentive of £825,133.  Lonmin’s chief financial officer, Berrie van der Merwe, was awarded total remuneration of £737,268.  There were no long-term incentives in 2018.  The company’s remuneration committee said that in terms of its balanced scorecard compensation bonus plan it had agreed that 65% of the bonus should continue to be linked to operational objectives, with the balance attributable to specific financial and strategic priorities.  Lonmin, which is the subject of a takeover by Sibanye-Stillwater, delivered a strong operational and financial performance in 2018.  But, chairperson Brian Beamish indicated that, despite Lonmin’s milestones in 2018, the group’s liquidity remained insufficient to drive the new projects necessary to avoid shaft closures and job losses.

Read the full original of Dineo Faku’s report on the above story at Business Report


INDUSTRIAL ACTION / STRIKES

Nehawu to press ahead with wage strike on Thursday after SARS talks fail

Fin24 reports that members of the National Education, Health and Allied Workers’ Union (Nehawu) will be pressing ahead with a strike at the South African Revenue Service (SARS) on Thursday, the union said in a statement on Tuesday.  This followed a meeting with SARS, where talks between Nehawu and the tax agency failed to break a deadlock.  SARS will now have to brace for strike action from a 4,036-strong union.  Nehawu’s demands include a salary increase of 11.4%, as well as recognition of improved qualifications in the form of a 1% increase and a 10% bonus.  The union’s statement indicated:  "After extensive deliberations the meeting took a decision to forge ahead with the strike as planned.  As Nehawu, we are happy with the level of readiness for the strike and we are confident that come March 28, 2019 all our members will be at the picket lines as a last resort to force the employer to accede to our demands."

Read the full original of Khulekani Magubane’s report in the above regard at Fin24. Read Nehawu’s press statement at Cosatu News

SARS wage strike to go ahead on Thursday, with unions threatening 'total shutdown'

Fin24 reports that union members at the SA Revenue Service (SARS) will down tools on Thursday, as no wage agreement has been reached between unions and the agency.  "We are dealing with an employer who is hell bent on negotiating on bad faith.  As a result, we are proceeding with the strike tomorrow morning and all our members are ready to join the picket lines at SARS across the country,” the National Education, Health and Allied Workers Union’s (Nehawu’s) December Mavuso said on Wednesday.  December went on to state:  "Since a notice to strike was issued we have held three meetings, on Monday and twice on Tuesday.  Our major gripe with these meetings is how SARS kept shifting the goal posts.  SARS will be facing a total shutdown if they fail to meet our demands."  SARS has offered Nehawu and the Public Servants Association (PSA) a 7% increase across the board, while the unions are seeking an 11.4% increase across the board.  A proposal put together by the CCMA encompasses a multi-year agreement in which SARS would provide an 8% increase from 1 April and consumer inflation plus 1% in years two and three, along with other benefits.  Nehawu said it would be open to the 8% increment offer if it were not linked to a multi-term agreement.

Read the full original of the report in the above regard by Canny Maphanga and Lameez Omarjee at Fin24


NATIONAL MINIMUM WAGE

Appeals to labour court can trip up CCMA rulings over national minimum wage

In a letter to the editor of Business Day, Michael Bagraim, Democratic Alliance MP and well-known labour analyst, writes that employees can now lodge complaints about the nonpayment of the national minimum wage directly with the Commission for Conciliation, Mediation and Arbitration (CCMA).  He says this is fantastic news for all employees who have been bogged down by various badly structured offices in the department of labour.  Claims for nonpayment of salary, overtime, leave pay and disbursements have invariably been retarded by the inefficiency of the department.  Now these claims can go to the CCMA, who will have it mediated and adjudicated within 30 to 60 days.  Unfortunately, a claim under the National Minimum Wage Act sent to the CCMA can be appealed against to the Labour Court, which could take years to make a ruling.  The idea was to ensure that claims in terms of the National Minimum Wage Act would be efficiently done at no cost.  The ability to appeal to the Labour Court would once again bog the matter down for years.  Bagraim laments that, unfortunately, the government has not seen fit to listen to reason by making the rulings of the CCMA final and binding.

The original of the above letter from Michael Bagraim is at BusinessLive

Other internet posting(s) in this news category

  • Department of Labour hosts National Minimum Wage seminar for Chinese employers, at SA Govt News (press statement)


WORKING HOURS / OVERTIME

Defence force union Sandu up in arms over reduced limit on overtime hours

The Citizen reports that the SA National Defence Union (Sandu) plans to take the defence department to court over a unilateral decision to halve the limit of weekly overtime hours.  Military doctors are apparently up in arms about the decision, primarily because it would put patients’ lives at risk after hours and could lead to doctors working unpaid overtime to save lives.  Sandu’s Pikkie Greeff said the union was consulting its lawyers and the affected staff on its plan to take legal action against the department for “unilaterally and unlawfully changing the service conditions of medical staff and endangering the lives of military patients”.  According to Greeff, there had been no consultation process on this issue, nor was there any clarity on what would be done for patients during the hours that doctors were no longer allowed to cover.  He asked:  “How is it going to work if they are cutting overtime hours and yet hospitals are severely understaffed?  Are they going to expect doctors to work for free?”  A memo from the SA Military Health Service was sent to medical staff last week, stating that no specialist, dentist or medical officer would be allowed to exceed eight hours overtime a week.  The limit had previously been 16 hours a week.  The service employs about 400 medical doctors through the department of health and has a total work force of about 10,000.

Read the full original of Simnikiwe Hlatshaneni’s report on this story at The Citizen


DISMISSALS / SUSPENSIONS

PIC suspends acting CEO over claims of tampering with inquiry

News24 reports that the Public Investment Corporation’s (PIC’s) acting CEO Matshepo More has been placed on precautionary suspension, following allegations that she was interfering in processes related to the ongoing commission of inquiry into the asset manager.  "The Board deliberated on the matter and concluded that to ensure free participation of staff in the Commission of Inquiry process, [it should] place Ms Matshepo More on precautionary suspension with immediate effect," the PIC said in a statement on Tuesday.  Vuyani Hako, the Executive Head of Properties, will replace More as acting CEO.  More, who had previously been the PIC’s chief financial officer, was appointed in November after the board removed Dan Matjila.  The commission of inquiry into irregularities at the PIC has heard damning testimony from PIC employees about investment decisions.  The commission revealed in February that several witnesses had received death threats.  The PIC manages around R2trn, mostly on behalf of government employees.

Read the full original of Tehillah Niselow’s report on the suspension at Fin24. Read too, PIC names Vuyani Hako as acting CEO as Matshepo More suspended, at EWN. See the PIC’s short press statement at Politicsweb

Axe your director-general or face revolt, Nehawu warns Limpopo premier

The Citizen reports that the National Education, Health and Allied Workers’ Union (Nehawu) has called on Limpopo Premier Stan Mathabatha to fire the province’s director-general for alleged irregular expenditure, or he will face a revolt.  The union accused the director-general, Nape Nchabeleng, of leading the premier’s office into R3.9 million of irregular expenditure for the 2015-16 financial year.  The expenditure was reflected in the attorney-general’s report for that year and has been rolled over to subsequent financial years.  The union pointed out that Mathabatha had fired the previous director-general, Madikolo Rachel Molepo-Modipa, for the same offence after her office accumulated R39,000 of irregular expenditure and said the premier must axe the current director-general or “he, too, must kiss his job goodbye”.  “The premier’s office is the mirror of Limpopo and it must lead by example.  When such a big office accumulates such irregular expenditure, then the other departments will also follow suit,” Nehawu’s Samson Magomane branch chairperson, Norman Mavhunga, observed.  Branch secretary Ndivhuwo Madzusa said the union had written countless letters to the premier requesting that he should treat the matter with the urgency it deserved.

Read the full original of Alex Matlala’s report on this matter at The Citizen

Other internet posting(s) in this news category


CORRUPTION / WORKPLACE CRIME

Transport union Untu wants prosecutions against SOE executives implicated in corruption

ANA reports that the United National Transport Union (Untu) on Wednesday applauded the suspension and resignation of top executives at state-owned enterprises (SOEs) after they were implicated in corruption in recent months, but bemoaned that none had yet been prosecuted.  In a statement, Untu noted that Public Enterprises Minister Pravin Gordhan two months ago said that the prosecution of corrupt SOE officials was imminent.  The union’s general secretary Steve Harris said:  “Although the leadership of Untu is grateful for any steps to rid our SOEs of the claws of state capture, we are concerned that the South African Police Service and the National Prosecuting Authority do not seem to be playing their part.”  Harris said he agreed with Minister Gordhan that corruption was a cancer eating SA society and went on to state:  “It is of utmost importance that those who allegedly benefited from money that was meant to improve our country for everyone who lives in it must be held accountable.  They must be criminally charged so that the law can take its course.”

Read the full original of the report on the above at The Citizen. Read Untu’s press statement on this matter at SA Labour News

Four officials arrested in Limpopo for issuing false roadworthy certificates

News24 reports that four officials have been arrested at a vehicle testing station in Musina, Limpopo on allegations that they fraudulently issued roadworthy certificates for vehicles that they never physically tested.  The arrests followed months of investigation by members of the Hawks, the Road Traffic Management Corporation's (RTMC’s) National Traffic Anti-Corruption Unit and the Special Investigating Unit (SIU).  The four suspects – three vehicle examiners and a cashier – were arrested at Thusalushaka Testing Station and will be facing charges of fraud and corruption.  It is alleged that they colluded in using the identity particulars of a 60-year-old man to generate roadworthy certificates for scores of vehicles that were never brought to the testing station for examination.  Investigations showed that the man was not even aware his particulars were being used in this manner.  The suspects were due to appear in the Musina Magistrate's court on Wednesday.  A similar raid was conducted at the same testing station in December last year, when two officials were arrested.  They were released on bail and are expected to make another court appearance on 29 April.

Read the full original of the report on the above at News24


COMMUTING / TRANSPORT TO WORK

Nzimande slams City of Cape Town’s plans to take over passenger rail services

Cape Argus reports that Transport Minister Blade Nzimande has lambasted the City of Cape Town’s attempt to take over the passenger rail service from Metrorail.  This came after the City announced the appointment of a multidisciplinary team of rail professionals to assist with “high- level business plans for taking over passenger rail in Cape Town”.  Nzimande said the move was “dishonest, opportunistic and absolute political manoeuvring that seeks to undermine the enormous efforts by the ANC government to change the rail landscape of South Africa, which has been characterised by decades of disinvestment by the apartheid regime”.  He asserted that the City would not, by “reinventing the wheel” and interfering with the mandate of another sphere of government, succeed in bringing about accessible, reliable and cost-effective public transport for rail commuters.  However Riana Scott, Metrorail spokesperson, indicated that a Memorandum of Action (MOA) between the Passenger Rail Agency of SA (Prasa) and the City had been signed in 2015 which clearly articulated the areas and scope of the partnership between the signatories.  “The objective of the MOA is to facilitate delivery of priority projects, programmes and interventions with the strategic focus to achieve integrated public transport, recognising rail as the backbone in the Western Cape,” Scott indicated.

Read the full original of Sisonke Mlamla’s report on the above story at Cape Argus. Read too, Nzimande attacks Cape Town's plans to take over Metrorail, at TimesLIVE

Other internet posting(s) in this news category

  • City of Cape Town: Rail experts to assist with takeover plan for passenger rail in City, at Politicsweb (press statement)


OTHER NEWS HEADLINES AND PRESS STATEMENTS

  • Cash-in-transit heist: Fidelity security officials among seven nabbed for allegedly staging robbery, at News24
  • Bosasa’s Gavin Watson ‘told me to pay Hlaudi Motsoeneng’s R1.1m legal fees’, Peet Venter testifies, at BusinessLive
  • Group Five BRPs to submit business rescue plan by June, at Engineering News
  • Seifsa welcomes gain in employment numbers, but remains concerned about high duress and stress levels facing local business, at Seifsa News (press statement)
  • Imatu motivates for an interest rate cut, at Imatu News (press statement)
  • RTMC welcomes sentencing of taxi driver for bribing traffic officers, at SA Govt News (press statement)
  • Untu welcomes suspensions and resignations at various state-owned enterprises, but is awaiting prosecutions, at SA Labour News (press statement)
  • Saepu condemns the attacks of paramedics in Khayelitsha, at Cosatu News (press statement)

 


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