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, 8 May 2020.
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‘We need level 2, fast’, Business for SA tells government Business Times reports that SA’s new private-sector umbrella group formed to fight Covid-19 has been in daily talks with the government over reopening the economy and is urging it to move quickly to lockdown level 2. Business for SA (B4SA) is proposing that companies, in partnership with labour, can take charge of implementing stringent health and safety controls and monitoring in the workplace to ensure the spread of the virus is controlled. It has told government that the current approach is economically impractical and hard to regulate, and that this could have dire socioeconomic and health consequences. This comes as April data show the devastating impact of the first full month of the lockdown, during which many sectors ground to a halt, a growing number of jobs and businesses teetered on the brink and tax collections plummeted. Last week, B4SA urged the cabinet to accelerate the risk-adjusted easing of the lockdown. B4SA's modelling indicates that the move to level 4 will not materially improve economic outcomes because even in the best-case scenario the proportion of the workforce returning to work will no more than double from the 27% active under level 5. And if level 4 continued for a month, with a gradual move to lower levels, the economy would contract 14.5% in 2020. However, a quick move to level 2 would reduce the contraction to 10% and cut the number of formal sector jobs at risk from 2-million to below half that number. At level 2, 97% of the workforce would be allowed to work. Read the full original of the report in the above regard by Hilary Joffe at BusinessLive. Read too, South Africa might take three years to recover from pandemic, forecast predicts, at Business Report With some hairdressers ‘forced to break the law’, court application for re-opening of industry to be heard on 19 May News24 reports that hairdressers, many of whom are small business owners or self-employed, find themselves among the many service providers who have lost their incomes during the national coronavirus lockdown. Despite the easing of lockdown regulations allowing for the sale of beauty and hair-related products - even from salons - this is apparently often disregarded by law enforcement officials. The Employers Organisation for Hairdressing Cosmetology and Beauty (EOHCB) put together a petition and got overwhelming support from the industry and clients to reopen salons, but this was unsuccessful. So, an urgent interdict application will be heard in the High Court on 19 May to allow the industry to reopen. Spearheading the initiative is Jade Delphine Tomé, a South African hair industry entrepreneur living in Portugal. She is pushing for the reopening of salons because the industry has always been strict with hygiene and sanitization. At ground level, life has been dire for those in the industry left in limbo by the lockdown regulations, which has led to many workers plying their trade illegally. According to one hairdresser, she is a law-abiding citizen who has been "forced" to break the law to make a living. She is apparently not the only one doing people's hair privately. Read the full original of the report in the above regard by Riaan Grobler at News24 Plight of workers at famous Joburg restaurant gets worse as wages for March are unpaid SowetanLive reports that employees of a famous Italian restaurant in Maboneng are fuming after their employer failed to pay their March salary and is now allegedly ignoring their calls. According the workers at the Ravioli Contemporary Italian in downtown Johannesburg, they worked in March, but did not get a cent at the end of the month. One of the workers explained: My [manager] said we should apply for government food parcels because the owner of the restaurant does not have money. Everyone is struggling. We’ve been trying to call him and he is not picking up the phone. Our biggest issue is the March salary. We also want to be sure that we will get money from UIF because they were deducting money from us.” She said most of the workers had been forced to borrow money from friends and some were facing evictions as they had failed to pay their rent. UIF spokesperson Makhosonke Buthelezi said the least that any employer could do was to be upfront about the financial situation and inform the workers ahead of time, not at the time they expected to be paid. “Workers should take the matter up with CCMA. I hope CCMA has a way for workers to lodge complaints during the lockdown. The CCMA will mete out a punitive measure equal to the offence,” Buthelezi said. He added that workers could take up the matter for investigation by the department through the 0800 030 007 hotline. Read the full original of the report in the above regard by Penwell Dlamini at SowetanLive Companies accused by Nxesi of withholding UIF payments to employees SowetanLive reports that biscuit manufacturer Unibisco is the first company to be exposed as having allegedly failed to disburse money claimed from the Unemployment Insurance Fund’s Covid-19 Temporary Employer/Employee Relief Scheme (Ters) to its employees. Labour minister Thulas Nxesi named and shamed the company after hundreds of workers last week were up in arms after they were not paid. “We have companies that are misrepresenting us before their workers and the public. For instance, we were accused by a company in the Eastern Cape, Unibisco, when their workers demanded their money that we have not paid them. Nothing could be further from the truth. Our records indicate that this company was paid a total of R539,595 on April 24 to pass on to their workers," said Nxesi. He described employers who were withholding the Ters payments "as callous and insensitive to the needs of workers, especially when many people are facing financial distress due to the Coronavirus pandemic lockdown". He also reported that the UIF “has been inundated with calls from workers complaining that employers have not paid them their benefits despite having received funds from the UIF.” However, according to one company, the money received from the UIF was inadequate: “When the UIF money came back it didn't come back complete, not for everyone." Read the full original of the report in the above regard by Mpho Sibanyoni at SowetanLive. Lees ook, Werkgewers gewaarsku wat WVF-voordele weerhou, by Maroela Media Other internet posting(s) in this news category
SAPS joint operational committee in Tshwane self-isolating after member tests positive for Covid-19 News24 reports that police spokesperson Brigadier Vishnu Naidoo advised on Saturday that members of the SA Police Service's Joint Operational Committee in Tshwane was in self-isolation after one member tested positive for Covid-19 on Wednesday. However, Naidoo added that those under self-isolation were "not the whole of Tshwane management". Earlier reports suggested that the entire unit was in isolation. Members of the committee will have to self-isolate until 13 May and should they test negative they will return to work on 14 May. Meantime, it was reported on Wednesday that the City of Tshwane had closed part of its Disaster Operations Centre, which was set up to bolster its response to the Covid-19 outbreak, after a police officer stationed there tested positive for the virus. In an unrelated case, it was reported on Friday that the Muizenberg police station on Cape Town had been temporarily closed due to a staff member testing positive for Covid-19. The police station was undergoing decontamination on Friday. Read the full original of the report in the above regard by Canny Maphanga at News24 Correctional services department records 15 new cases in prison system News24 reports that the Department of Correctional Services (DCS) has recorded 15 new Covid-19 cases and the total in the prison system, inclusive of inmates and officials, was up to 213 as of Sunday. According to a DCS statement on Sunday evening, 11 further officials and four inmates had been infected with the virus. Ten of these cases emanated from the Eastern Cape and five from the Western Cape. However, the DCS also advised that 91 people within correctional services had recovered. The Eastern Cape has recorded 125 cases made up of 50 officials and 75 inmates, while 59 people have recovered and two have died. The Western Cape has recorded 72 cases (67 officials and five inmates). In that province, 30 people have recovered and one death was recorded. In Limpopo, two officials contracted the virus, with one recovery. Gauteng recorded 13 cases (four officials and nine inmates). At the DCS head office, one official has been diagnosed with Covid-19, with one recovery. Read the full original of the report in the above regard by Azarrah Karrim at News24. Read too, Covid-19 is a grave threat in prisons, at Mail & Guardian. And also, Thousands of SA prisoners to be paroled to contain Covid-19, at BusinessLive KZN premier warns that Kingsway, St Augustine's hospitals must follow strict conditions upon reopening on Monday News24 reports that KwaZulu-Natal (KZN) Premier Sihle Zikalala has advised that, following recent temporary closures due to coronavirus cases, the Kingsway and St Augustine's private hospitals would be allowed to reopen under strict conditions. The Netcare group, which owns both hospitals, confirmed on Saturday that both hospitals had been given the green light to reopen on Monday. Zikalala said the hospitals would need to follow the applicable regulations and that personal protective equipment (PPE) would need to be issued to all staff, who would undergo Covid-19 training. A fever clinic would also be put in place. The provincial health department will monitor the facilities by making unannounced visits. Kingsway Hospital closed for new admissions when 10 staff members tested positive last month. St Augustine's also closed earlier in April after at least 47 staff members tested positive. General Justice Gizenga Mpanza Hospital in Stanger, a government hospital, also shut its doors after 16 people tested positive for Covid-19. Zikalala said that judging by the current patient load in the province, there was enough PPE in stock. However, more was needed as the province prepared for a "worst-case scenario". Read the full original of the report in the above regard by Azarrah Karrim at News24 Other internet posting(s) in this news category
Numsa and Sacca win fight to stop SAA retrenchments BusinessLive reports that two trade unions at SA Airways (SAA) won a crucial victory in the labour court on Friday when Judge André van Niekerk set aside the retrenchment notices issued to employees by the business rescue practitioners (BRPs). This ruling further complicates the struggle over the future of SAA. The BRPs are attempting to wind down the company, which would include retrenchment of all employees. Public enterprises minister Pravin Gordhan is opposed to the wind-down and wants to form a new airline out of the ashes of SAA. Van Niekerk said that the issuing of notices of retrenchment had been “procedurally unfair” and ruled that the notices be withdrawn. The National Union of Metalworkers of SA (Numsa) and the SA Cabin Crew Association (Sacca) had argued that it was unfair for the BRPs to retrench employees before a business rescue plan had been presented. Read the original of the report in the above regard by Carol Paton at BusinessLive. Read too, SAA business rescue practitioners level blame at Pravin Gordhan, at Business Report. And also, Gordhan wants answers about how R5.5bn was spent by SAA BRPs, at Moneyweb SAA business rescue practitioners to appeal judgment stopping retrenchments BL Premium reports that the business rescue practitioners (BRPs) of SA Airways (SAA) are to appeal Friday’s judgment in which the Labour Court set aside retrenchment notices issued to employees on the grounds that these were procedurally unfair. Judge Andre van Niekerk ruled in favour of the National Union of Metalworkers of SA (Numsa) and the SA Cabin Crew Association (Sacca), which maintained that a BRP must first present a business rescue plan before issuing notice of the intention to commence consultation on retrenchments. As it was common cause that no business rescue plan had been issued, Van Niekerk set the notices aside as being procedurally unfair. SAA has been in business rescue since 5 December. Under the Companies Act, a BRP must present a plan to creditors within 30 days. The BRPs, Les Matuson and Siviwe Dongwana, have had several extensions, but were told by public enterprises minister Pravin Gordhan on 10 April that the government could not provide any further funding for the rescue process. They said that this left them with only two options: a structured wind-down, in which assets are sold and employees paid retrenchment packages with any cash realised, or liquidation. However, Gordhan has said he will not allow either option. Numsa and Sacca, which along with other trade unions have agreed a leadership compact with Gordhan to establish a new airline, have also urged Matuson and Dongwana to consider the jointly agreed plan. Read the full original of the report in the above regard by Carol Paton at BusinessLive (paywall access only) Comair business rescue puzzles ex-CEO Erik Venter, who thinks it’s unnecessary Business Times reports that former Comair CEO Erik Venter is "surprised" at the airline's decision to go into business rescue, which he thinks is unnecessary. He commented further: "It's a very dramatic position to take. I don't really understand why they went to that extreme. You normally go into business rescue when the balance sheet has been fully depleted and there's nothing left to sell. In Comair it's quite the opposite." According to Venter, who resigned in July 2019 after 13 years as CEO, the airline has eight "newish" aircraft that are now "very valuable" and highly marketable. Venter reckons some shareholders might prefer liquidation and a massive payout. If Comair resumed operations, its success would depend on SA Airways, Venter reckoned. The disappearance of SAA would relieve a lot of pressure on the supply side of the market, meaning the remaining carriers would get a better load, which would be a big boost for profitability. Read the full original of the report in the above regard by Chris Barron at Business Times Oppenheimer family helps to prevent collapse of horse racing industry BL Premium reports that SA’s largest horse racing group, Phumelela Gaming & Leisure, is to receive a cash injection from the Oppenheimer family. This is to avert what might have been the demise of the sport in SA after the company filed for business rescue on Friday. The group, which among others operates the Vaal racecourse, is believed to have a fighting chance to survive the business rescue process after a post-commencement loan agreement was offered by family office Mary Oppenheimer Daughters (MOD). Wehann Smith, board member of MOD and director of the Racing Association, advised that the total amount of the deal was R100m, based on projections of what was needed by the financial team at Phumelela. The company hopes to turn the corner within the next six months. Smith commented: “From the Oppenheimer family perspective this is not an attempt to save the company as such, it really is an attempt to save an industry as a whole. The failure of Phumelela would have had an absolutely devastating effect on the industry; it could end the industry.” Phumelela’s business rescue application follows those of a string of other financially distressed companies, including Edcon and Comair. In common with many such companies, the effect of the coronavirus lockdown sent Phumelela to the brink of collapse as the horse racing industry froze race meetings and closed retail betting outlets. Read the full original of the report in the above regard by Ntando Thukwana at BusinessLive (paywall access only) Other internet posting(s) in this news category
Eight suspected zama zamas arrested near Giyani, Limpopo, while processing gold News24 reports that eight suspected illegal miners, known as zama zamas, have been arrested in Limpopo, following an investigation by the Hawks (Directorate for Priority Crime Investigation). The miners, aged 31 to 65, were allegedly mining illegally in Hlaneki, Mapuve and Mavalani villages, just outside Giyani when they were arrested on Thursday. A generator, hose pipes, saws, electric cables, hammers, live ammunition, gold nuggets, bags full of gold-bearing material, phendukas, a grinder and other equipment were confiscated. "The confiscated goods have yet to be valued but they are expected to run into millions. The suspects were found processing gold when they were apprehended.” Read the full original of the report in the above regard by Nicole McCain at News24 Other labour / community posting(s) relating to mining
Denel can’t pay employees’ April pensions, taxes or UIF contributions BL Premium reports that state-owned arms maker Denel has told its staff that due to cash-flow problems it cannot pay their April pensions, taxes and unemployment insurance fund (UIF) contributions. In a letter to staff, CEO Danie du Toit said the parastatal could run into a cash crunch in the next six months and paying salaries could become more difficult in future. The manufacturer has paid staff their April salaries. It had until early May to make their pension and tax payments, but missed that deadline. It did manage to pay medical aid premiums to ensure staff could access private health care. In his letter to staff, Du Toit indicated that the company was still awaiting a R576m injection promised in the February 2020 national budget. The most immediate effect of the nonpayments is that the death and disability contributions have not been paid. Trade union Solidarity’s Helgard Cronje said unions were called in on Wednesday and told there would be no payments to the SA Revenue Service, pension funds and UIF. He said Denel had promised to ensure families who needed death benefits would not be affected by the nonpayment of the life insurance payments. Read the full original of the report in the above regard by Katharine Child at BusinessLive (paywall access only)
Western Cape education department advises principals, school managements to hold back from returning on Monday News24 reports that while the phased-in reopening of schools in the midst of Covid-19 remains provisional, the Western Cape Education Department (WCED) has advised principals and school management teams (SMT) to wait a few more days before returning this week. SMTs were meant to return to schools from Monday, 11 May, to prepare for pupils' phasing in, according to an announcement by Basic Education Minister Angie Motshekga two weeks ago. But in a letter to public school principals and SMTs, the WCED advised principals and staff to hold back direction from Motshekga on the national situation was awaited. The letter also advised that Motshekga would be meeting the Council of Education Ministers on Monday, the outcome of which was awaited. Head of Education Brian Schreuder said that while he was aware that teachers were keen to return to school in the interests of pupils and recovering time lost due to the pandemic, there was also a need for safety to be considered. So principals and SMTs should hold back from returning until Wednesday, or until he received clarity on the way forward, on a national level. Read the full original of the report in the above regard by Sesona Ngqakamba at News24 Other internet posting(s) in this news category
Limpopo government spokesperson dismissed for 'leaking sensitive personal information' about premier to EFF News24 reports that Limpopo government spokesperson Phuti Seloba has been dismissed for "leaking sensitive information" about Premier Stan Mathabatha to an opposition party. Late in 2018, EFF provincial leader Jossey Buthane posted on his social media platform that Seloba had told him Mathabatha allegedly missed important meetings sometimes - in some instances, when accommodation had been booked - because of alcohol consumption. Seloba was then suspended and a disciplinary committee was constituted. He was found guilty in March 2020, after marathon proceedings in which Buthane also testified. In the sanction document issued on Friday, the disciplinary committee chairperson chairperson PVH Maoka advised that Seloba and his attorney had failed to submit mitigating factors, despite being requested to do so. Maoka concurred with the evidence that the information "leaked" by Seloba was calculated to undermine the authority of the premier. He noted that Seloba, as the head of provincial government communication, was being paid to be the first line of defence. The National Health, Education and Allied Workers’ Union (Nehawu) hinted that the dismissal sanction might be challenged. The union claimed that Seloba could not submit mitigating factors because his attorney could not be reached due to the Covid-19 lockdown. Read the full original of the report in the above regard by Russel Molefe at News24
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