This 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.
In our roundup of weekend news, see
summaries of our selection of South African
labour-related stories that appeared since
Friday, 14 February 2020.
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Government to top-slice 1% off national budget for ambitious initiative to address crisis of youth unemployment BusinessLive reports that President Cyril Ramaphosa announced an ambitious programme to address youth employment in his state of the nation address (Sona) in parliament on Thursday night. More than half of all young people are unemployed and of the 1.2-million youths who enter the labour market each year, about two-thirds remain outside employment, education or training. Ramaphosa said the presidential youth employment intervention, which will consist of six priority actions over the next five years, would be implemented immediately. The intervention will involve a youth employment initiative which will be funded by setting aside 1% of the budget. “This will be through top slicing from the budget which will require that we all tighten our belts and redirect resources to address the national crisis of youth unemployment,” the president stated. Minister of finance Tito Mboweni will prioritise this initiative and give specific details when he delivers the medium-term budget policy statement later in 2020. The intervention will involve creating pathways for young people into the economy either by online, the phone or in person to give them active support, information and work readiness training. Five prototype sites for these pathways will be launched in five provinces in February to form the basis of a national network that will reach 3-million young people through multiple channels. Read the full original of the report in the above regard by Linda Ensor at BusinessLive. Read too, Ramaphosa talks tough on youth unemployment crisis, at Moneyweb Government seeks to cut 30,000 state jobs, freeze pay, Cosatu claims Bloomberg reports that according to the Congress of South African Trade Unions (Cosatu), the government is seeking to cut 30,000 state jobs and freeze pay increases for three years as part of the state’s proposal to reduce its wage bill. There are about 1.3 million government workers and the wage bill makes up 35.4% of national spending. President Cyril Ramaphosa said on Thursday in his state-of-the-nation address that his administration was engaging with labour and other stakeholders on measures to contain the spending on salaries and reduce wastage. Finance Minister Tito Mboweni would announce plans to reduce spending in the 26 February national budget, Ramaphosa indicated. “We’re not going to entertain those” proposals, said Sizwe Pamla, the spokesman for Cosatu, the country’s biggest labour federation. “Government has a right to engage with its employees but government doesn’t have the right to its own slaves,” he observed. Read the original of the above report by Prinesha Naidoo at Moneyweb Three-year wage agreement with government sacrosanct, not open for review, says Nehawu Reuters reports that the National Education, Health and Allied Workers’ Union (Nehawu), one of the largest affiliates of union federation Cosatu, said on Friday that current wage agreements were sacrosanct and not open for review. The union’s comments came after President Cyril Ramaphosa said the government was speaking to unions about measures to contain the public sector wage bill. The public wage bill is a key worry for ratings agencies as it accounts for about a third of consolidated government expenditure. “We note that the president stated that the government is engaged with unions on reducing spending ... These discussions are not collective bargaining engagements on the salaries and conditions of service — we would never allow the undermining of this. The current wage agreements are sacrosanct and not open for review,” Nehawu’s statement on the matter read. The government agreed a three-year, public sector wage deal in 2018 that runs until the end of March 2021. Nehawu indicated that it has not yet received a mandate from its members about how to negotiate over salaries from April 2021. Fitch Ratings agency said on Friday that it did not expect finance minister Tito Mboweni to make clear commitments on reducing the public sector wage bill in his budget speech later this month. Read the original of the above report by Alexander Winning at BusinessLive Other internet posting(s) in this news category
Labour Court dismisses unions’ bid to halt SAA job cuts as airline has not 'contemplated dismissals' Fin24 reports that the Johannesburg Labour Court on Friday dismissed a joint urgent application by the National Union of Metalworkers of SA (Numsa) and the SA Cabin Crew Association (Sacca) to halt job cuts at South African Airways (SAA), ruling that the airline had not yet contemplated dismissals. The unions lodged the interdict earlier in the week in a bid to prevent the carrier's business rescue practitioners (BRPs) from proceeding with they said were "accelerated retrenchment" processes for employees that they averred did not follow the correct legal channels. The unions wanted the court to compel the airline to engage with them via provisions in the Labour Relations Act. Judge Graham Moshoana said it was the court’s conclusion that the carrier had not yet contemplated retrenchment procedures. "[As such] the duty to consult in the contemplation of section 189.1 of the LRA did not arise," he indicated. The legal bid by the unions followed an announcement by the BRPs earlier in the month that "a reduction in the number of employees will unfortunately be necessary" due to cancellations of many domestic routes. Later on Friday, the court heard arguments from the unions to be granted leave to appeal, along with arguments from SAA in opposition. Moshoana reserved judgment until further notice. Read the full original of the report in the above regard by Phumi Ramalepe at Fin24 SAA unions to appeal Labour Court judgment on possible retrenchments BusinessLive reports that the National Union of Metalworkers of SA (Numsa) and the SA Cabin Crew Association (Sacca) on Friday said they would appeal against a court decision dismissing their application for an order to stop possible retrenchments at South African Airways (SAA). The unions described Friday's judgment as "a travesty of justice". Sacca president Zazi Nsibanyoni-Mugambi commented: "We have proven [on Thursday] that they [the business rescue practitioners] have told us that there’s going to be an accelerated head count reduction. We have proven that [our] members in Durban, PE, were told that by March 1 they will have no more employment. So this is what shocks us on what the judge has ruled on today. We are going to appeal it." She went on to say: “They [the practitioners] also blatantly denied the fact that they told us in an employee committee meeting that they want an accelerated head count rationalisation: In other words they wanted to retrench workers without following the process. They told us. In their [court] papers they blatantly denied it, under oath. They are acting in extremely bad faith and hence we are appealing this.” On Thursday, the airline’s rescue practitioners averred that the court had no jurisdiction to hear the unions’ application. They noted that SAA was in business rescue and argued that, according to the Companies Act, no legal proceedings should proceed without their consent or without the leave of the court. Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive Other internet posting(s) in this news category
New Eskom CEO extends lifestyle audits to lower level staff City Press reports that Eskom’s new CEO, Andre de Ruyter, has extended lifestyle audits to lower level staff, in a renewed push to clean up graft and wastage. He spoke about lifestyle audits in a speech delivered to staff on Thursday, calling for a range of measures to curb reckless spending, end corruption, and stabilise operations. This follows the same audits of Eskom’s senior managers and their families, starting two years ago, which resulted in a number of disciplinary actions and the referral of staff files to the Special Investigating Unit. Eskom spokesperson Sikonathi Mantshantsha said the audits that De Ruyter spoke about were a continuation of the clean-up process at Eskom that started two years ago, that had now "cascaded" down to the rest of the staff. De Ruyter told staff that Eskom’s leadership had become scared to take decisions, after 10 years of state capture, and that accountable leadership had to return to the organisation. He emphasised that the number one priority for Eskom was "preventative, reliable and scheduled" maintenance on its fleet. Deon Reynecke of Solidarity confirmed that De Ruyter had said this during a meeting with the trade union this week. De Ruyter also said that Eskom had to cut back on staff costs, but that this would be done through voluntary separation and early retirement packages, and that there would be no forced retrenchments. He stated that this had to be done while retaining skills at Eskom. Read the full original of the report in the above regard by Sarah Evans and Londiwe Buthelezi at News24 Eskom’s new CEO takes first step to trim outsized wage bill by offering voluntary severance packages to over 60 year-olds Bloomberg reports that Eskom’s new boss has taken a first step to reduce the indebted power utility’s bloated wage bill while avoiding a potential clash with trade unions. CEO Andre de Ruyter intends trimming Eskom management by offering voluntary severance packages to personnel aged 60 to 62. The utility has set aside R400 million for the plan, an allocation it expects to recoup through savings within a year. Asking staff to leave of their own accord is a relatively easy measure that can be utilised to start trimming staff numbers, according to well-known labour analyst Andrew Levy. “It is really top heavy. The voluntary package is a portent of things to come,” he commented. De Ruyter embarked on extensive cost cutting during his previous tenure as CEO of packaging company Nampak, disposing of loss-making units and reducing staff numbers to shore up the company’s balance sheet. While he’s ruled out firing Eskom workers, the utility does need to further reduce a workforce that’s expanded more than 23% in the past decade even as electricity sales volumes declined. Applications for the voluntary packages will start in the third week of February, with exits planned by the end of April, and no critical skills will be lost in the process, according to Eskom. The voluntary severance won’t be offered to staff who don’t hold management posts. Read the original of the report in the above regard by Paul Burkhardt at Moneyweb
NUM members allegedly ‘held hostage’ last week at Rustenburg mine Mining Weekly reports that the National Union of Mineworkers (NUM) on Thursday voiced its concern that more than 100 of its members were allegedly “being held hostage” underground at the Lanxess chrome mine, in Rustenburg. According to the NUM’s statement on Thursday, the situation was as a result of members of the National Union of Metalworkers of SA (Numsa) having gone on an unprotected strike during a mass meeting on Thursday morning. The NUM’s offices at the operation were allegedly “taken over by force”, according to NUM branch chairperson at the Lanxess mine, Unforget Dube. According to the NUM, Lanxess management’s “inability” to control the situation ensured that NUM members “are victimised with impunity daily”. Lanxess MD Ben Marais indicated that, for safety reasons, the mine's management had decided to stop mining operations immediately and to clear the mine underground. Until further notice, no one would be allowed underground, he stated. The reason for the work stoppage had not by Thursday been communicated to the mine management. Marais advised that Lanxess had asked the workers to address possible demands through the Numsa leadership and discuss them with the mine management in the appropriate forums. It has not since been reported whether or how the ‘hostage’ situation has been resolved. Read the original of the above report at Mining Weekly Other general posting(s) relating to mining
Eastern Cape slashes number of ambulances on road by almost half due to staff shortages News24 reports that staff shortages have forced the Eastern Cape Department of Health to almost halve the number of state ambulances on the road. The province has 447 ambulances – just over half the number that national standards apparently require. But presently, less than 250 of those vehicles are actually on the road, according to the Eastern Cape's latest annual report. The document says that routine maintenance and a shortage of emergency medical workers are to blame for the cuts. With fewer operational ambulances, the department says it has eliminated dangerous "one-man ambulance crews" – a term used to describe vehicles staffed only by a driver. Internationally, it is an invariable rule that emergency response teams must have at least two members. In the last five years, only 30 paramedics have graduated with a degree in emergency medical care from Nelson Mandela University, the only college to offer paramedic training in the province. Since 2016, the health department's EMS training college has also produced 150 trained ambulance assistants. Provincial emergency medical staff are also dissatisfied about working conditions – including pay – and have engaged in periodic strikes since mid-January. The Eastern Cape health department spends about 5% of its total budget on emergency medical services. Read the full original of the report in the above regard by Joan van Dyk at News24 Peter Moyo asks court to stop appointment of new CEO at Old Mutual BusinessLive reports that former Old Mutual CEO Peter Moyo filed an urgent application on Friday to stop the process of appointing a new CEO. Old Mutual has until 20 February 2020 to file a notice of opposition to the application. The insurance group has been involved in a bitter battle with Moyo since May, when it suspended and later fired him over alleged conflicts of interest related to investment company NMT Capital. A previous high court judgment that Moyo had been fired illegally was overturned by a full bench of the court on 14 January. The later judgment allowed Old Mutual to start the process of appointing a new CEO. Moyo had one month in which to file an appeal and he did so on 28 January. On 5 February, his legal team asked Old Mutual for an undertaking that it would not continue with the CEO appointment process. On 10 February the company said it would not give such an undertaking, which led on 14 February to the filing of an urgent application to stop the process, Moyo’s lawyer, Eric Mabuza, indicated. The case is to be heard on 10 March, but Mabuza said the insurer still had the option of giving an undertaking that it would not go ahead with the appointment. That is said to be unlikely. Read the full original of the report in the above regard by Mudiwa Gavaza at BusinessLive
Job cuts of about 390 as Tongaat Hulett shuts Darnall sugar mill BL Premium reports that agri-processing company Tongaat Hulett could retrench about 390 employees at its SA sugar milling and refining operations. The retrenchments at Tongaat come as the company races against time to reduce debt by R8.1bn by March 2021. It is in talks to sell its starch business to reduce its multibillion-rand debt. The group, which has been embroiled in a scandal that resulted in an unprecedented restatement of 2018 financial results, is also considering a R4bn rights issue. Tongaat said on Thursday it had decided to mothball the Darnall sugar mill as part of its drive to reduce costs to ensure its long-term sustainability. The company said its four sugar mills were producing at levels lower than their installed capacity. "The removal of additional fixed costs will help us make strides towards lower production costs in our sugar business, and in turn afford us opportunities for investments for long-term sustainability through diversification," the sugar producer indicated. Sugar cane previously delivered to Darnall mill would be diverted to the Amatikulu and Maidstone mills, also in KwaZulu-Natal. "While this was not an easy decision, it is critical that we do everything we can to ensure the long-term sustainability of our sugar business in SA, create a springboard for future growth and deliver on our strategic objectives for the benefit of all," the company indicated. Read the full original of the report in the above regard by Siseko Njobeni and Karl Gernetzky at BusinessLive (paywall access only) DA staff face more retrenchments, which could amount to 300 according to a report City Press reports that the Democratic Alliance (DA) is looking into the possibility of retrenching more staff to create a structure that is more suitable to its needs. The decision will be made before the end of the party’s financial year next month. This will be the second time in the past six months that the official opposition finds itself having to axe employees. In September, the party retrenched 51 employees after the poor election results. In a letter to its employees dated 11 February, the party explained that its federal council was undergoing a review process and would be “restructuring”, a move that could see the party cut down on jobs. “We will soon meet with employees who may be affected by this process, and we remain committed to engaging openly to reach the best possible outcome,” the letter indicated. DA federal finance chairperson Dion George said the party was working on finalising its new structure, after which it would be able to determine exactly how many employees would be axed. He added that the process was not due to financial difficulties in the party because, in fact, the DA had been able to attract investors even after it lost a substantial amount of support in last year’s general elections. The organisational review steering committee will meet on Friday to work out exactly how the restructuring will unfold. Meantime, The Sunday Times report over the weekend that the DA’s national management committee (NMC) took a decision last week to retrench 300 staffers, which has not yet been communicated to employees. The party employs about 700 people. “The NMC pre-empted that it will take 300 layoffs to secure the salary bill, but some leaders have proposed that provinces must be allowed to see if they can save jobs,” a provincial leader told the newspaper. Read the full original of the report in the above regard by Queenin Masuabi at City Press. Read too, ‘Secret decision’ made to axe 300 DA staffers, on page 7 of The Sunday Times of 16 February 2020 Other internet posting(s) in this news category
North West teacher placed on special leave for allegedly throwing water bottle at and injuring Grade 10 pupil News24 reports that the North West Education department has placed a teacher from the Geelhout Park Secondary school in Rustenburg on special leave following an incident earlier this month which left a pupil injured. It is alleged that the teacher threw a water bottle at pupils while they were making their way to class after break. It hit one of the children and he sustained an injury on his head. The Grade 10 pupil was later rushed to the nearest clinic, where he received stitches for a deep cut on his head. Soon after the department was notified of the incident, officials from the Labour Unit were sent to the school to investigate the matter. Spokesperson for the North West Education department, Elias Malindi, advised: "The teacher was on leave from the day of the incident, February the 6th but was however placed on special leave from Friday the 14th of February for further investigations." The department is apparently set to send in a team from the Inclusive Education unit to provide counselling to all pupils who were affected by the incident. Malindi said the teacher would face a disciplinary hearing once the investigation by the department had been finalised. Read the full original of the report in the above regard by Nhlanhla Jele at News24 Schools in Khayelitsha demand security guards and metal detectors GroundUp reports that hundreds of residents, teachers and pupils marched to the Khayelitsha Magistrate's Court on Thursday to hand over a memorandum demanding measures to make their schools safer. The protest, organised by the Khayelitsha Education Forum (KEF), called for the Western Cape Department of Education to install metal detectors at all schools and hire security guards 365 days a year. The KEF also called on the department to start a walking bus in which pupils, under the supervision of an adult, walked in groups to and from school. The protesters furthermore called for proper fencing. The memo went on to demand an "end to gangsterism and drug abuse at schools" as well as an investigation into all such reported cases. KEF chairperson Nowawethu Mosana said: "We have been asking the department to deploy guards at all the schools in Khayelitsha, but we have not yet received the guards," and added that that teachers felt vulnerable when they taught pupils as there was no one to guard their schools. "Criminals disrupt learning and tuition and rob teachers of their belongings at gunpoint in broad daylight, leaving them traumatised," she said. Mosana claimed armed "thugs" had shot three teachers at several schools last year and four this year. She added that residents were angry at the courts for letting off "school robbers" and giving them bail. A Western Cape Education Department spokesperson said the department had allocated extra funding to schools in the area for security. Read the full original of the above GroundUp report regard by Vincent Lali at News24
Limpopo government spokesperson's suspension for divulging info to EFF found to be illegal and unfair News24 reports that the General Public Service Sectoral Bargaining Council (GPSSC) has ordered the reinstatement of Limpopo government spokesperson Phuti Seloba after it found that his suspension had been illegal and unfair. The GPSSC ordered that Seloba be allowed to resume his duties on Monday, and that he be paid an equivalent of four months' salary as compensation. Seloba received the suspension letter on 6 November 2019, following allegations that he had since 2017 been divulging sensitive information to the EFF provincial chairperson, who posted that information on a social media platform late last year. Seloba then challenged his suspension on the basis that it was illegal and unfair. Meantime, the employer proceeded with the disciplinary hearing, the outcome of which is still awaited. At the GPSSC hearing, evidence was led that Seloba only received the main charges last month after he wrote a letter to his employer as a reminder that his 60-day suspension had lapsed. In his finding, the GPSSC panellist said: "In the circumstances, the applicant (Seloba) had a courtesy to make the employer/respondent aware that the suspension lapsed as per the collective agreement. The employer did nothing to postpone or to extend the suspension. I take it that the respondent's action was deliberate. The fact that the applicant was paid the salary during the time he was on suspension did not license the respondent to do as it wished." However, a provincial spokesperson indicated that Seloba would not be allowed to return to work because the employer would be challenging the award “on the basis that it has nothing to do with the main charges of which the decision is still awaited.” Read the full original of the report in the above regard by Russel Molefe at News24
Transport union Untu urges that the board of the Railway Safety Regulator be dissolved SowetanLive reports that a call has been made for transport minister Fikile Mbalula to dissolve the current board of the Railway Safety Regulator (RSR) following a train collision that claimed the life of a passenger on the West Rand. The crash that left scores injured happened at around 10pm on Wednesday when a Passenger Rail Agency of SA (Prasa) Premier Classe train collided with a stationary Transnet goods train between the Roodepoort and Horizon stations. Steve Harris of the United National Transport Union (Untu) on Thursday urged Mbalula to get rid of the RSR board as it was "toothless" in the face of fatal crashes. Harris said” "The RSR has no teeth and cannot be compared to other watchdog institutions like Civil Aviation. If Civil Aviation grounds an airline, it remains grounded until it is declared safe to start operating again. The RSR, on the other hand, simply turns a blind eye. Minister Mbalula needs to dissolve the current board of RSR, which has been appointed on a month-to-month basis since their contracts expired last October." Mbalula said his department would identify the cause of the crash and "devise strategies to minimise similar occurrences in future". Read the full original of the report in the above regard by Tankiso Makhetha at SowetanLive Other internet posting(s) in this news category
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