Today's Labour News

TOP STORY – CORONAVIRUS LOCKDOWN

CCMA faces a deluge of retrenchment applications, which will likely be just the tip of the iceberg, says Nxesi

BusinessLive reports that the Commission for Conciliation, Mediation and Arbitration (CCMA) has been inundated with applications for the retrenchment of workers as the national Covid-19 lockdown takes its toll on businesses.  The large-scale applications already before it were likely to be the tip of the iceberg, Department of Employment & Labour Minister (DEL) Thulas Nxesi told MPs on Tuesday.  He advised that the CCMA had received 17 applications for large-scale lay-offs, as well as 151 applications for smaller retrenchments.  According to CCMA director Cameron Morajane, the possible number of workers who could be retrenched in the large-scale applications was 3,300.  Some of the smaller applications amounted to single-employee retrenchments.  Small, medium and micro enterprises “have taken a hammering as a result of the pandemic and the lockdown to slow the spread of the virus”, the minister said.  The CCMA offices will open on 18 May.  Nxesi advised that it was implementing a decentralised model to cope with the increased workload.  Working out of local offices would mean that parties to a dispute would not have to travel long distances to have their matter heard.  The DEL would assist with its own provincial and regional offices and its labour centres.  To assist with the expected deluge of disputes, the CCMA regulations have been amended to allow for bargaining councils and the leadership of trade union movement to mediate with some limited disputes so that they did not become full-blown disputes.

Read the full original of the report in the above regard by Linda Ensor at BusinessLive

SA’s economy is past tipping point, laments Sibanye-Stillwater’s CEO Neal Froneman

BL Premium reports that according to Neal Froneman, CEO of Sibanye-Stillwater, an apparent lack of co-ordination at cabinet level and no decisive, urgent leadership on restarting the SA economy were leading to irreparable harm.  Known for voicing strong views that others were too cautious to make public, Froneman opined that the promising start from President Cyril Ramaphosa in dealing with the coronavirus pandemic in SA by locking down the economy has been lost in political and positional jockeying among his ministers.  "It’s incumbent on the government to do the right things.  They’re doing more damage now by keeping businesses at level 4 than they are doing good by preventing Covid-19.  They’ve got to get the balance right.  They’re destroying the economy.  We need real, clear, decisive actions from the government," Froneman said.  Asked if the economy had reached tipping point, where there could be no recovery even if restrictions were lifted, Froneman was bleak in his view:  "I think we’ve gone past that tipping point.  You can’t go through an underperforming economy pre-Covid, then go through a downgrade, then this Covid lockdown, and now there’s this indecision on restarting the economy.  It’s very bleak.  We need to kick-start our economy.  We have divided leadership.  We are facing an incredible recession and we’re caught like rabbits in the headlights."

Read the full original of the report in the above regard by Allan Seccombe at BusinessLive (paywall access only)

Economic carnage spurring National Command Council to consider easing lockdown restrictions

Bloomberg reports that SA’s National Command Council, the body overseeing the government’s response to the coronavirus crisis, is considering easing lockdown rules more rapidly as the economy tanks and poverty levels soar.  This is according to three senior officials with knowledge of the talks.  Curbs could be relaxed in some provinces or areas with low infection rates, and retained in hotspots such as Cape Town.  While one official said a decision was likely to be taken within 10 days, another said no timeline had been set for adjusting the lockdown level.  While restrictions originally imposed on 27 March were eased from 1 May, many businesses remain partially or completely closed, job losses are mounting and the SA Reserve Bank has warned that the economy could shrink 6.1% this year.  The current restrictions are unworkable for many firms, according to Busi Mavuso of Business Leadership SA, who indicated as follows:  “Some companies simply can’t open with 50% of their staff – there are complex production lines that either all operate or none at all.  Others can’t function because they might be deemed able to open, but key suppliers are not, so they cannot access inputs to restart production.”

Read the full original of the report in the above regard by Paul Vecchiatto and Loni Prinsloo at Moneyweb. Read too, ‘End Lockdown SA’ grouping urges restart of economy, on page 2 of The Star of 13 May 2020

Solidarity wants employers to pressurise government to amend lockdown restrictions

ANA reports that trade union Solidarity on Wednesday advised that it had sent letters to more than 10,000 players in the SA economy asking each to pressurise government into revising its Covid-19 lockdown restrictions.  Among the recipients were several thousand small and medium-sized businesses, large companies such as Sasol and ArcelorMittal, mining houses, employers and business organisations such as Neasa, the Minerals Council, Busa, and trade union federations such as Cosatu and Fedusa.  “When we see that the economy and jobs are being destroyed, we cannot just sit back and wait.  Role players in the economy have a responsibility to actively let their voices be heard.  That is what is expected of an active citizenry.  Solidarity is undaunted in its resistance to the virus but is also undaunted in its stance in favour of work and the economy,” said Solidarity chief executive, Dirk Hermann.  He warned that it would be "catastrophic" for the economy and jobs if there were not a radical intervention in the current lockdown strategy.  The consequences on the economy, health, and the loss of life would be greater than the consequences of Covid-19, he said.  In a survey that Solidarity conducted among its members, 50% of participants indicated they were already only receiving a portion of their salaries.

Read the full original of the report in the above regard at Business Report. Read too, Solidarity slams current lockdown, calls for 'smarter restrictions' to save economy, at Independent News

Government launches R100bn Covid-19 loan guarantee scheme to help SMBs pay operating expendes such as salaries and rent

BusinessLive reports that the government’s Covid-19 loan guarantee scheme, which is aimed at helping businesses battered by the pandemic fallout, has gone live.  The scheme will provide government-guaranteed loans to small and medium-sized businesses (SMBs) with a turnover of less than R300m, to help cover their operational expenses such as salaries, rent and lease agreements.  The money will be made available through six participating banks, namely Absa, First National Bank, Investec, Mercantile Bank, Nedbank and Standard Bank.  The Treasury has provided a guarantee of R100bn to the scheme — with the option to increase the guarantee to R200bn “if necessary and if the scheme is deemed successful”.  It forms part of the R500bn stimulus package announced by President Cyril Ramaphosa in April.  The intention was not for the banks to make a profit from the loans, and any net profits would be pooled to offset losses in the scheme to minimise total losses to SA taxpayers, the Treasury said.  “It will assist businesses that are facing liquidity issues to stay alive for the duration of the lockdown and return to being economically productive once the restrictions are lifted,” noted Mike Brown, CEO of Nedbank.

Read the full original of the report in the above regard by Lynley Donnelly at BusinessLive

‘Significant’ improvement to functioning UIF’s Ters relief scheme, but some challenges remain

Moneyweb reports that several issues with the application and processing of the government-initiated Temporary Employer-Employee Relief Scheme (Ters), but many challenges remain.  Moreover, the Unemployment Insurance Fund (UIF) has stated on its website that May applications for claims under the UIF Covid-19 Ters scheme have not opened yet.  Natalie Singer of Global Business Solutions is hopeful that when the process for May starts many of the problems experienced with the April applications will have been dealt with.  She suspects that the applications for May are being held back in order to clear the existing backlog.  Ters provides emergency relief for employers to claim benefits on behalf of their employees during the national Covid-19 lockdown.  The main frustration for employers claiming benefits under the scheme relates to the constant changes to the system.  However, it seems as if the launch of the online application portal by the Department of Employment and Labour has brought some relief.  Applications are being processed more quickly, and many employers have received payments for their workers.  There has reportedly been a “significant improvement”, with claims being dealt with faster and payments being calculated more accurately.  The UIF has apparently been working extremely hard to fix its systems, to reprocess incorrect or rejected claims, and in dealing with further submissions in general.

Read the full original of the informative report in the above regard by Amanda Visser at Moneyweb

Other internet posting(s) in this news category

• DA disgusted by Nehawu’s plan to ‘capture’ lockdown crisis relief fund, at The Citizen
• Lockdown is killing the labour movement, with some trade unions likely to exit the lockdown crippled, at Moneyweb
• Car dealers allowed to open their doors again, at BusinessLive
• SA’s legal practitioners face financial collapse amid strict lockdown regulations, at BusinessLive
• Spur to cut staff’s salaries and work weeks from June, at BusinessLive

OCCUPATIONAL HEALTH & SAFETY

Wife of acting commander of Middelburg police station taken by Covid-19 says he was a dedicated man who lived for his family

TimesLIVE reports that the acting commander of Middelburg police station in the Eastern Cape, Captain Andrew Leslie, was felled by Covid-19 on Monday evening.  He had been struggling with a fever, cough and a sore throat, but could still walk when his wife, Colette, persuaded him to go to hospital.  Just hours after being admitted to Wilhelm Stahl Hospital, a doctor told his wife that he had passed away.  “My husband was very active in his role at the police and served the community.  With the Covid-19 outbreak, he tried his utmost to keep everyone safe,” Colette said on Wednesday.  It is still unclear where Leslie contracted the virus.  Fellow police officers have been temporarily relocated and will undergo their own tests.  Leslie's former colleague and friend, Jacques Frazenburg, remarked about Andrew:  “We always helped each other.  He was extremely focused and always put his family first.  His wife and children were his everything. Andrew's work was his pride and joy and he was a very neat person.”

Read the full original of the report in the above regard by Iavan Pijoos at TimesLIVE

INTERNATIONAL NURSES DAY

SA nurses on front line of Covid-19 fight honoured on International Nurses Day

Cape Argus reports that nurses on the front line of the Covid-19 fight were honoured on Tuesday as part of International Nurses Day.  Nehawu commemorated the occasion and held a virtual address for all workers, and for nurses in particular, amid the outbreak of the novel coronavirus.  The theme for this year’s commemoration was ‘Nurses: A voice to Lead - Nursing the world to health’.  Nehawu’s Nobukhosi Xulu said:  “These front line workers, especially the nurses fraternity, are required to perform miracles with limited protective equipment, infrastructure and human resources.  As we mark International Nurses Day, it’s important to emphasise the urgent need for the broader overall transformation of the healthcare sector in particular the nursing fraternity.”  Health Minister Zweli Mkhize dedicated this year’s International Nurses Day to the health practitioners who had died in the ongoing arduous battle against the novel coronavirus.  “As a department, we recognise the need to prioritise the nursing profession along with the well-being of nurses, and strengthening nursing education, training and practice is one of our strategic objectives,” Mkhize said in a speech marking the occasion at King Edward VIII Hospital in Durban.  Fedusa’s Riefdah Ajam called on the SA Nursing Council (SANC) to intensify demands for the Department of Health to provide protective gear to nurses and other healthcare workers.  President Cyril Ramaphosa saluted SA’s nurses and thanked them for their critical contribution to the country’s well-being in a message to mark International Nurses’ Day.

Read the full original of the report in the above regard by Marvin Charles at Cape Argus

Nehawu calls for the overhaul of the SA Nursing Council, saying it’s a stumbling block to transformation of the profession

BusinessLive reports that the National Education, Health and Allied Workers’ Union (Nehawu) has called for the overhaul of the SA Nursing Council (SANC), saying it has become a stumbling block to the transformation of the nursing profession.  Nehawu’s Nobukhosi Xulu said her colleagues have encountered several challenges when dealing with the council regarding issues such as nursing education, professional development, governance and leadership, and professional statutory fees, among other things.  The SANC is an autonomous, financially independent, statutory body entrusted to set and maintain standards of nursing education and practice in SA.  “The SANC has, over the years, been a stumbling block to the transformation of the nursing profession and in many instances hindered progress of the profession,” Xulu claimed in her speech to mark International Nurses Day on Tuesday.  She added that the transformation of the sector must be supported through implementation of the National Health Insurance (NHI) fund and the overhauling of regulatory body SANC itself, among other things.  Democratic Nursing Organisation of SA (Denosa) president Simon Hlungwani criticised the government for not having a “staff retention strategy” in place for the nursing industry, saying the Covid-19 pandemic had become a “serious test” of the profession’s resilience.

Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive

MINING LABOUR

DMRE invites comment on Covid-19 guidelines for mining sector

Mining Weekly reports that on 11 May the Department of Mineral Resources and Energy (DMRE) published for public comment a guideline relating to the compilation of a mandatory code of practice for the mitigation and management of Covid-19 in the mining sector.  In a statement, the department confirmed that this was in compliance with the outcome of a recent Labour Court process, as well as the efforts of the department to ensure the spread of the virus was contained.  The closing date for public comments is 14 May.  The DMRE requires that an employer must prepare and implement a code of practice (COP) on Covid-19, which must comply with relevant regulations in the Disaster Management Act.  The objective of the guideline published for public comment is to assist employers to establish and maintain a Covid-19 mitigation and management programme at mines, which will assist in ensuring the health and safety of employees.  The employer will be required to apply the department’s guideline as a minimum guiding principle in its guideline in preventing and managing Covid-19 transmission.

Read the full original of the report in the above regard at Mining Weekly

NUM ‘highly disturbed’ after Anglo’s Mogalakwena mine allegedly kept Covid-19 case secret

The Citizen reports that the National Union of Mineworkers (NUM) in Limpopo said it was “highly disturbed and extremely shocked” to learn that the mine which registered the first case of Covid-19 during lockdown kept quiet about the matter.  The Mogalakwena mine, which is in Limpopo and is owned by Anglo American, apparently registered the first case of Covid-19 in the mining industry after it was granted permission to operate during the lockdown.  NUM North East Regional Secretary Phillip Mankge said:  “It came as a shock to everyone’s ears during the meeting which was held between the company, department of mineral resources and energy and NUM when the company disclosed to have been the first company to register the first case of Covid-19, but decided to keep it secret.  The reason behind that is only informed by the company being greedy and focusing on profits.  General manager Richard Cox claims to be misinformed by the occupational medical practitioner.”  Mankge also said the union was worried by the number of cases already confirmed since the mines were allowed to resume operation on a 50% capacity in Limpopo.  “We have about five confirmed cases of Covid-19 and this calls for an urgent call to Limpopo provincial government to be radical and enforce measures to flatten the curve,” he said.  Mankge stated that another mine with a Covid-19 case was Tubatse Alloys Smelter, which registered the case on 9 May.

Read the full original of the report in the above regard at The Citizen

Other labour / community posting(s) relating to mining

• Miners learning lessons from global Covid-19 experiences, at Mining Weekly

STAFFING / RECRUITMENT

‘Nxesi’s proposal of quotas limiting employment of foreign nationals in some sectors is misguided’

In its Wednesday editorial, Business Day notes that plans are afoot to introduce quotas for South Africans in certain sectors of the economy where foreign employees dominate.  The paper says this raises questions not only about the practicality of the measure and its implications for business, but also about its justice and wisdom.  Employment and labour minister Thulas Nxesi recently gave notice in parliament of these plans, which he said were necessary because of the number of foreign nationals employed in certain sectors such as agriculture, restaurants and the private security and hospitality industries.  In terms of the plan being drawn up by his department, the minister could have the right to set sectoral targets or quotas for foreign nationals in certain sectors.  The minister said it was well known that employers preferred to hire foreign nationals.  In some cases, this had to do with skills, but in other cases it was a matter of exploiting cheap labour.  Business Day argues that what is needed is in-depth research into why employers prefer to hire foreigners, and then to address that issue rather than impose yet another legal restraint on employers.  Immigrants the world over are known to be willing to work harder and longer hours as they try to build their lives in a new country.  Those in SA are said to probably be no different, which is perhaps why employers prefer to hire them.  But, SA workers have to meet this challenge head-on rather than rely on the state to protect them.

Read the full editorial at BusinessLive. Read too, Plan to limit hiring of foreign nationals not xenophobic, says Nxesi, at SowetanLive

MISCONDUCT / DISCIPLINARY ACTION

SACE halts disciplinary proceedings against teachers due to Covid-19 lockdown

News24 Wire reports that the Covid-19 pandemic has put a halt to the SA Council for Educators’ (SACE’s) disciplinary procedures against teachers.  On Tuesday SACE presented its annual performance plan to the Portfolio Committee on Basic Education and the Select Committee on Education and Technology, Sports, Arts and Culture.  CEO Ella Mokgalane indicated that for the duration of the Covid-19 lockdown investigations and disciplinary hearings would “not be executed as planned due to the inevitability of social contact, travelling by teachers and learners, as well accessibility of learners as witnesses during school closure.  This may contribute to a very slow turnaround time, rolling over many cases to the next financial year, and delaying justice on the part of the children.”  She advised that online sessions, such as using video link and its admissibility, were explored, but the disadvantages outweighed the advantages.  Mokgalane added that there were legal questions about the admissibility of virtual testimony.  She also said parents were refusing to release their children for hearings during the lockdown.

Read the full original of the report in the above regard at The Citizen