news shutterstockIn our roundup of weekend news, see
summaries of our selection of South African
labour-related stories that appeared since
Friday, 24 May 2019.


TOP STORY - COIDA COVERAGE FOR DOMESTIC WORKERS

Exclusion of domestic workers from occupational injuries and diseases legislation ruled unconstitutional

ANA reports that the United Domestic Workers of SA (Udwosa) indicated on Friday that the North Gauteng High Court had ruled that the exclusion of domestic workers from definition of ‘employee’ in the Compensation for Occupational Injuries and Diseases Act (Coida) was unconstitutional.  Maria Mahlangu had been a domestic worker for 22 years when she drowned in her employer’s pool.  But her family were told they could not be compensated as Mahlangu’s dependants because domestic workers were excluded from the benefits of the Act.  Udwosa’s Pinky Langa said the court victory “signalled the beginning of positive change for over one million workers in South Africa.”  She added:  “While we celebrate the inclusion of domestic workers in Coida, the journey is still long as we look toward a positive ruling on retrospectivity.  The Constitutional Court of South Africa will hand down the final ruling on it.”  Inclusion of domestic workers within the meaning of ‘employee’ in Coida means that their employers will have to register them with the fund, and pay a monthly percentage of their income as a levy.

Based on reports at SA Labour News and Business Insider

Other internet posting(s) in this news category

  • Should you buy life insurance for your domestic worker? at Moneyweb


OCCUPATIONAL HEALTH & SAFETY

KZN cop arrested after killing on-duty colleague on Friday

News24 reports that KwaZulu-Natal (KZN) police are investigating a case of murder after a police officer shot and killed a colleague on Friday.  The incident apparently happened at a police station near Nkandla, where it is alleged that the 43-year-old officer was on duty and got into a misunderstanding with another officer who was off-duty.  Police spokesperson Lieutenant Colonel Thulani Zwane said:  "The off-duty police officer shot and killed his colleague.  The suspect (30) was immediately arrested by police officers that were on duty."  The firearm used was confiscated for ballistic testing.  The suspect will appear in the Nkandla Magistrate's Court on Monday on a charge of murder.

The original of Sesona Ngqakamba’s short report on this story is at News24

Durban man killed after wall he was working on collapsed on Friday

News24 reports that a Durban man was killed after a wall collapsed onto him on Friday.  According to Rescue Care spokesperson Garrith Jamieson, the man believed to be aged in his 30s was working on the wall in South Coast Road in Montclair when it fell on top of him at around 14:00.  Jamieson said when paramedics arrived at the scene they found that the man's co-workers had already freed him.  "He was assessed by Advanced Life Support Paramedics.  However he had sustained major head injuries and there was nothing more paramedics could do, and he was declared deceased on the scene," he indicated.  Jamieson said police were also on scene conducting investigations.

The original of Sesona Ngqakamba’s short report on this story is at News24

Cosatu KZN calls for probe following gunning down of cops protecting Durban councillor

ANA reports that labour federation Cosatu in KwaZulu-Natal (KZN) said on Friday that it was concerned about the inability of the state to put an end to the ongoing killing of political figures and ordinary people in the province.  Two eThekwini Metro police officers were gunned down outside a councillor’s home in Inanda on Monday evening.  “The two metro police officers were killed while on duty taking care of the security of the councillor.  As we condemn this brutal assassination of our police officers on duty, we also say a state that is unable to protect its people, worse, the police from criminals, is doomed,” the trade federation said in a statement.  Cosatu went on to indicate:  “Police are also workers and therefore, as Cosatu, we demand an urgent investigation which will further look at the well-being and conditions of work under which the metro police officers who are taking care of the councillors are operating.”  The federation further demanded answers from the provincial commissioner and the MEC for safety and security on their plans to end political killings in KZN.

Read the full original of the report in the above regard on page 7 of Saturday Star of 25 May 2019

Other internet posting(s) in this news category

  • Truck driver dies after losing control of vehicle on N3 in Pietermaritzburg, at News24


MINING LABOUR

Standard Bank says Lonmin investors should reject Sibanye’s ‘undervalued’ takeover offer on Tuesday

Bloomberg reports that SBG Securities, a unit of Standard Bank, says that Lonmin investors should reject Sibanye Gold’s takeover offer as it undervalues the platinum miner’s assets by as much as R6.64 billion.  In a note to clients, analyst Leroy Mnguni calculated that while Sibanye’s offer equated to R11.60 a share, Lonmin’s value at current metal prices was 45% higher.  If assets such as the platinum producer’s suspended K4 project, spare processing capacity and a concentrator were factored in, Lonmin was worth about R35 a share, he said.  “Given the compelling indications that the pending Sibanye offer grossly undervalues Lonmin, we see increased risk that more than 25% of the shareholders will vote against the offer,” Mnguni said.  While Lonmin CEO Ben Magara is still recommending the deal because the company would otherwise lack capital to invest, Mnguni said the miner could sell some assets to extend the life of its shafts as many of those have lower costs than operations at rival producers.  Sibanye needs the backing of 75% of Lonmin shareholders at a meeting in London on Tuesday.

Read the full original of Felix Njini’s report in the above regard at Moneyweb

Postings on mining charter / transformation

  • Mining Charter III provisions seen by some as too onerous for junior miners, at Mining Weekly


GENDER WAGE GAP

Banyana Banyana players to get the same bonuses as men’s team

BusinessLive reports that the South African women’s national team players could earn the biggest pay-day of their careers at the Fifa World Cup in France and could walk away with almost R1m each.  SA Football Association (Safa) president Danny Jordaan announced on Thursday that the Banyana Banyana players and their Bafana Bafana counterparts would for the first time earn the same amounts when they participate in the Fifa Women’s World Cup and in the Africa Cup of Nations (Afcon).  “This will go a long way towards closing the pay gap between the men and women footballers in this country and it is a happy day for SA football‚” said Jordaan.  The Banyana and Bafana players will get R320‚000 each if their teams are able to reach the last 16 stage of the World Cup in France and the Nations Cup in Egypt.  They will earn R520‚000 for reaching the quarterfinals‚ R670‚000 for getting to the semifinals and R920‚000 for winning their respective tournaments.  Bafana players have always earned more in bonuses during qualifiers or at major tournaments while their Banyana counterparts have received considerably less.  Banyana captain Janine van Wyk welcomed the decision by Safa for remunerating them equally with their Bafana counterparts.

Read the full original of Mahlatse Mphahlele’s report in the above regard at BusinessLive


RESTRUCTURING / RETRENCHMENTS / COMPANY JOB LOSSES

More Standard bank branch closures on the cards in digital revolution

The Sunday Independent more job losses in the banking sector are on the cards after Standard Bank last week said it would not rule out further branch closures as more of its customers bank through digital platforms.  The bank’s chief executive for personal and business banking, Funeka Montjane, said Standard Bank had seen a double digit decline in transactions in the last five years while digital transactions showed a double digit upscale in usage.  Montjane commented:  “The number of transactions that happen in our branches now makes up less than 1 percent.  In terms of how many branches will be closed going forward will be made on a case by case basis based on whether customers are using that branch or not.  It will be irresponsible to keep branches opened and ask customers to pay for them while they don’t use them.  Our people (employees) understand that the nature of work in the banking industry is changing because the servicing jobs are going away.”  In March, Standard Bank said more than 1,000 jobs were on the line as the group closed 91 branches across the country.  The announcement preceded the restructuring of its IT division which saw more than 500 workers sacrificed.  Statistics SA recently reported 94,000 people lost their jobs in the finance industry in the first quarter of this year.

Read more of this Sunday Independent report by Kabelo Khumalo at SA Labour News


RETIREMENT FUNDS

Public Protector finds Gordhan guilty of maladministration in Pillay pension payout

Mail & Guardian reports that the Public Protector, Advocate Busisiwe Mkhwebane, has ordered President Cyril Ramaphosa to act against Public Enterprises Minister Pravin Gordhan for violating the Constitution.  This was in relation to the early retirement and pension payout granted to former SA Revenue Service (Sars) deputy commissioner Ivan Pillay during Gordhan’s first term as finance minister.  Oupa Magashule was at the helm of Sars at the time.  “The allegation that Gordhan irregularly approved the retirement of Mr Ivan Pillay with full retirement benefits and his subsequent retention at Sars is substantiated,” Mkhwebane said in a statement delivered at a media briefing on Friday.  Mkhwebane indicated in her statement that Pillay had not requested the early retirement, nor did Magashule recommend it to Gordhan.  She said that even if the retirement was contemplated, Gordhan was not authorised to approve it and that it amounted to irregular expenditure.  “There was no retirement in fact and in law.  If there was no retirement in fact and in law, it can be concluded that Mr Pillay was not entitled to early retirement with full pension benefits under any statutory provision,” she said.

The original of a short report by Natasha Marrian is at Mail & Guardian. Read too, Public Protector ‘owes Gordhan apology’ over guilty findings, at Sunday Tribune. And also, Gordhan to challenge Mkhwebane’s report calling for his ‘disciplining’, at The Citizen

Other internet posting(s) in this news category

  • Retirement fund industry urged to invest in cyber security, at Engineering News


RESIGNATIONS

Eskom CEO Phakamani Hadebe describes “unimaginable demands” leading to surprise resignation

Miningmx reports that the chief executive of struggling state-owned power utility Eskom, Phakamani Hadebe, said on Friday he was stepping down for health reasons.  He spoke of the “unimaginable demands” that led to his resignation as group CEO of Eskom.  “It is no secret that this role comes with unimaginable demands which have unfortunately had a negative impact on my health.  In the best interests of Eskom and my family, I have therefore decided to step down,” Hadebe indicated in a statement.  He will formally leave the highly indebted organisation at the end of June.  Eskom chairman Jabu Mabuza said the board had reluctantly accepted Hadebe’s resignation, but gave no details regarding a replacement.  Speaking earlier this month, President Cyril Ramaphosa said Eskom was “too big to fail” and that efforts at resuscitating the organisation were afoot.  But he ruled out privatisation and spoke instead of restructuring.  On Wednesday, Ramaphosa said government had a “credible” business plan to get Eskom out of the “mess it is in”.

Read the full original of David McKay’s report on Hadebe’s resignation at Miningmx. See too, Eskom CEO resigns for health reasons, at Mining Weekly


SUSPENSIONS / DISMISSALS

Old Mutual CEO Peter Moyo suspended over ‘breakdown in trust’

BusinessLive reports that Old Mutual has suspended its CEO Peter Moyo after the board of the financial services group decided that “there has been a material breakdown in trust and confidence between him and the board”.  The board, chaired by former finance minister Trevor Manuel, suspended Moyo with immediate effect.  Chief Operating Officer Iain Williamson has taken over as acting CEO.  Moyo rejoined Old Mutual in June 2017 as CEO of Old Mutual Emerging Markets, and later of Old Mutual, after having left in 2005 to take over at Alexander Forbes.  According to Old Mutual’s remuneration report for the year ended December 2018, Moyo’s total compensation increased by 32% to R50.5m.  The biggest contributor to the increase was the managed separation incentive plan, for which he was awarded R15.4m.

Read the original of a short report by Nick Hedley at BusinessLive

Suspended Old Mutual CEO Peter Moyo digs in over full exit deal

BL Premium writes that here could yet be more turbulence ahead for Old Mutual with suspended CEO Peter Moyo signalling he will not go without a fight, not least about his exit package.  Moyo said he was unhappy with the board’s decision to suspend him and denied there were governance issues related to his shareholding in another company, NMT Capital, which had previously received financial backing from Old Mutual.  The relationship predates his appointment as CEO.  Moyo, who was paid just over R50m in the 2018 financial year, told Bloomberg on Friday he would demand a "complete" payout deal before even considering accepting an exit offer.  Old Mutual said on Friday it had decided to "separate" with Moyo because of a material breakdown of trust and confidence.  Though the statement said Old Mutual had "separated" with the CEO, audit committee chair Nosipho Molope said Moyo had been suspended and discussions were yet to take place to determine his fate.  COO Iain Williamson has been appointed as acting CEO.  Old Mutual chair Trevor Manuel emphasised on Friday that Moyo’s suspension was neither a result of poor performance nor financial misconduct on his part.

Read the full original of Londiwe Buthelezi’s report in the above regard at BusinessLive (paywall access only)

Read too, Old Mutual chair Trevor Manuel says Peter Moyo’s performance was not in doubt, at BusinessLive

As Moyo suspension crisis swirls, shareholders reject Old Mutual executive pay

Moneyweb reports that as Old Mutual suspended its chief executive officer Peter Moyo on Friday, then announced it had decided to “separate” with him, shareholders stunningly rejected the remuneration of the company’s executives at its annual general meeting (AGM).  The non-binding resolution on the implementation of the remuneration implementation report, in other words what it paid its executives in 2018, was rejected by 69.13% of shareholders who voted at the AGM.  Only 30.87% voted in favour.  This was only the second time that shareholders of a JSE Top 40 company had rejected outright a company’s remuneration.  The first instance was at Shoprite’s October AGM, where ordinary shareholders voted overwhelmingly against both remuneration resolutions: the policy and its implementation.  Both passed overall thanks to the high-voting deferred shares, a structure the group is trying to unwind.  Old Mutual’s non-binding vote on its remuneration policy received 54% of votes in favour, which was below the 75% required.  Last year, Moyo was paid a total of R50.571 million.  This included nearly R14 million in distributions from the unbundling of Quilter plc and Nedbank – something described by the group as an “unintended consequence”.  He also received a R4.92 million sign-on bonus in 2017.

Read the full original of Hilton Tarrant’s report in the above regard at Moneyweb

Security firm fires hundreds at Eskom’s Kusile power station following protests over unpaid wages payments

The Citizen reports on the mass dismissal of hundreds of outsourced workers at Eskom’s Kusile power station in Mpumalanga after protests threatened operations at the station.  According to a community group calling itself the Waya Waya Community Movement, 500 workers employed by a company contracted by Eskom to provide security personnel were fired after continuous protests over unpaid wages.  Eskom has disputed the number, saying “less than 400” protested.  The group claimed that wage delays were caused by Kusile which, according to them, had for the past eight months been struggling to pay the company, Hlanganani, on time.  This resulted in late payments and eventually no salaries.  According to Eskom, the contract has since been terminated, but the community group has demanded that the workers be absorbed by Eskom, claiming it was the utility’s fault they were fired.  Eskom spokesperson Dikatso Mothae said the utility could neither confirm nor deny whether Eskom failed to pay the company on time numerous times, but he indicated that the matter between Eskom and Hlanganani was in the courts.  According to Mothae, the numerous times Hlanganani security guards went on strike made it impossible for the site to operate optimally.  The company and its employees had entered into a peace accord before it was apparently violated by the workers going on strike again this month.

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


OTHER NEWS HEADLINES AND PRESS STATEMENTS

  • Reserve Bank again keeps repo rate unchanged at 6.75%, at Fin24

 


Get other news reports at the SA Labour News home page