In our roundup of weekend news, see
summaries of our selection of South African
labour-related stories that appeared since
Friday, 5 June 2020.
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A tourism jobs bloodbath could see two-thirds of staff in sector out of work by mid-2021 The Citizen reports that according to new research, two-thirds of jobs in the tourism business sector could be shed by this time next year as a result of the coronavirus pandemic. This was indicated by research conducted by Stellenbosch University’s Bureau for Economic Research (BER). The bureau said: “Our best-case scenario is estimated to result in 58.2%t fewer domestic trips and 68.4% fewer inbound visitors in 2020. This translates into a loss of R171.4 billion in spending by domestic and inbound tourists. The worst-case scenario is expected to result in about 70% fewer domestic trips and 73.7% fewer inbound visitors. Under this scenario, internal tourism expenditure is expected to decline by R195.5 billion. It is estimated that over a million jobs are potentially at risk under both our best- and worst-case scenarios.” The BER added that its “updated baseline macro forecast sees roughly 1.4 million jobs at risk through 2021 Q2 because of the overall Covid-19 shock to gross domestic product (GDP)”. The tourism sector includes accommodation, restaurants, travel agencies, passenger transportation services and sporting and other recreational services. The BER’s current baseline forecast only expects domestic consumption levels to revert to pre-crisis levels by 2023, which “implies personal travel budgets will remain under pressure for the foreseeable future.” Read the full original of the report in the above regard by Jim Freeman on page 5 of Saturday Citizen of 6 June 2020. Read too, Tourism eyes three-phase opening up as growth strategy, on page 5 of Saturday Citizen of 6 June 2020 Car dealerships could cut staff by a quarter because of Covid-19, but also because they found they can get by with fewer employees BL Premium reports that a quarter of SA’s motor dealership employees may lose their jobs this year because of the impact of Covid-19. A major franchised dealer group confirmed at the weekend it was preparing retrenchment letters for 23% of its staff, including dealership heads. Estimates of total job losses across SA’s 1,600 franchised new-vehicle dealers, which employ about 60,000 people, range from 20% to 30%. Many used-vehicle dealers are also preparing to trim numbers. The cuts are mainly because of dramatic revenue losses, which will continue in coming months. But it is also because, forced into extreme efficiency measures by post-lockdown restrictions, they have learnt to do more with less. According to one dealer principal from another group: “When we were limited to 30% of workshop repair staff, we were able to work at 50% of capacity. We’ve found we can exist with fewer people.” Mark Dommisse of the National Automobile Dealers Association said job losses would have been even more severe if the government had not allowed dealers to jump the post-lockdown queue and resume business in mid-May under level 4 of the Covid-19 risk-adjusted strategy. They were originally on level 2. Even so, there has been no dramatic transformation of fortunes for most dealers. Read the full original of the report in the above regard by David Furlonger at BusinessLive (paywall access only) Other internet posting(s) in this news category
L’Oréal workers demand a shutdown of Midrand plant, citing Covid-19 exposure Mail & Guardian reports that French cosmetics company Oréal has been accused of exposing its Midrand factory workers to Covid-19. According to the General Industrial Workers Union of SA (Giwusa), management at the plant has failed to mitigate the effects of a recent spate of infections, putting workers and their families at risk. The Thursday before last, the union held a lunchtime demonstration calling for the Midrand factory to shut down until the workplace was deemed clear of the virus. L’Oréal has confirmed that, as of 1 June, it had recorded 16 positive Covid-19 cases at the Midrand plant, but the company said it had taken the necessary steps to prevent further infection. However, workers said they believed not enough was done after the first case was identified. The union’s request that the plant be shut down immediately after the first case was reported was refused, one worker stated. Although some of the workers were told to self-isolate, these were only workers who had direct contact with their colleague who had tested positive, the worker claimed. Operations were indeed fully shut down for nine days, between 16 and 24 May. Giwusa pointed to those nine days — five days short of the maximum Covid-19 incubation period — as being inadequate: Instead of allowing the 14 days to expire, the company forced the workers to go for a retest, this time at a private facility, just to make sure that workers come back to work.” Read the full original of the report in the above regard by Sarah Smit at Mail & Guardian Other internet posting(s) in this news category
Angie Motshekga announces that 95% of schools ready to open on Monday BusinessLive reports that Basic Education Minister Angie Motshekga announced on Sunday that about 95% of schools throughout the country were ready to receive grade 7 and 12 pupils from Monday. This was after a “mop-up” week in which an all-out effort was made to get schools ready to receive pupils. Personal protective equipment (PPE) was obtained, water and sanitation facilities were provided, and schools were sanitised. Teachers and support staff were also inducted into the new way of operating under Covid-19. Motshekga said these efforts had “drastically” improved the situation and there were no longer high-risk provinces. She indicated at a media briefing that alternative arrangements would be made for the pupils of the 5% of schools that were not ready as they would not be allowed to open. The five teacher trade unions and the school governing body associations said in a statement on Sunday that they “tentatively” supported the re-opening of schools on Monday, but on the condition that no school could open that was not Covid-19 compliant. The unions and associations stressed there had be an integrated plan to get schools that were not Covid-19 compliant ready in the shortest time. They also called for immediate consultations on a new school calendar and a plan for the sustained supply of Covid-19 consumables. Read the full original of the report in the above regard by Linda Ensor at BusinessLive. Read too, No more delays as schools set to reopen, at Sunday Times Vulnerable teachers and school staff to work from home Saturday Star reports that teachers and school staff with co-morbidities have won a major concession after the Education Labour Relations Council granted them permission to work from home ahead of the reopening of schools on Monday. The agreement, signed last Saturday by the basic education department the SA Democratic Teachers’ Union and the National Teachers’ Union, states as follows: “Employees who have co-morbidities and those who are over 60 years and above will remain home on full pay subject to all requirements being met.” Those over 60 will only report for duty in agreement with the principal and after appropriate safety measures are in place. The agreement lists various ailments such as cancer and chronic diseases like HIV/Aids. Pregnant teachers and staff are also listed as vulnerable in terms of the agreement. “Should the employee have a condition not listed above, which in the opinion of the doctor renders this employee vulnerable, a motivation from the treating doctor would be necessary,” reads the agreement. The Public Servants’ Association has told its members that the agreement applies to workers in the sector facing the risk factors of contracting Covid-19 and who face a higher chance of complications should they be infected with the deadly coronavirus. Read the full original of the report in the above regard by Loyiso Sidimba on page 4 of Saturday Star of 6 June 2020 Other internet posting(s) in this news category
Macsteel’s application to interdict Numsa strike over salary cuts dismissed by Labour Court BusinessLive reports that the Labour Court on Wednesday dismissed an urgent application by steel manufacturer Macsteel to interdict an ongoing wage strike. Members of the National Union of Metalworkers of SA (Numsa) embarked on industrial action on 28 May after management cut workers’ salaries by 20% for the months of May, June and July due to the effects of Covid-19 on the company’s finances. “Salary is a quid pro quo for work rendered and any change that has the effect of changing an employee’s salary or remuneration package, constitutes a change to terms and conditions of employment,” the court stated. Earlier, Macsteel argued in court for the interdict to be granted, saying the process to cut salaries had been transparent and inclusive and pointing out that the company had applied for the Covid-19 UIF Temporary Employer Relief Scheme relief on behalf of employees.” But, Numsa’s general secretary Irvin Jim said the court decision was a victory for workers and their right to strike. “We hope that following this judgment management will realise the error of their ways and engage meaningfully with us on the challenges they are facing financially,” he said. Macsteel CEO Mike Benfield said the company was disappointed by, but respected, the court ruling declaring the Numsa strike as protected. Read the full original of the report in the above regard by Luyolo Mkwntane at BusinessLive
Public-sector unions take state to court over failure to implement wage hikes in April BusinessLive reports that public-sector unions have taken the government to court over its failure to implement a standing wage agreement, which would have seen the salaries of public servants increase in April. The increases were set to be paid in terms of the last leg of the 2018 wage agreement concluded under the auspices of the Public Service Co-ordinating Bargaining Council (PSCBC), but this was not done. On Friday, the Public Servants Association (PSA), the National Professional Teachers Association (Naptosa), the Health and Other Services Personnel trade union (Hospersa), the SA Teachers Union (Saou) and the National Teachers Union (Natu) filed papers in the Labour Court challenging the government’s decision not to implement the agreement. They asked the court to declare the failure by the government to implement the salary increases provided for in the agreement to be in breach of the contracts of employment of the applicants’ members. The trade unions requested an order that the salary increases be implemented, with effect from 1 April 2020. Read the full original of the report in the above regard by Claudi Mailovich at BusinessLive
SA mining gives itself some three months for return of all foreign nationals Miningmx reports that SA’s mining sector had given itself about three months to return all foreign national employees to the country, beginning with a first batch of 9,500 – currently waiting on local government officials to sign their permits. Roughly 10% of the SA mining sector’s 450,000 employees hailed from SADC countries, predominantly Mozambique and Lesotho, advised Niks Lesufi of the Mineral Council SA (previously called the Chamber of Mines). The first batch were mineworkers who had been asked to return by their employers. Lesufi indicated that it was unknown how many foreign nationals employed at the mines had decided to stay in SA when the Covid-19 lockdown was first announced on 26 March. Under level 3 lockdown regulations, the mining sector is permitted to return to 100% of production, but that may take weeks, if not longer, to materialise. Currently, some 227,000 employees have been screened and are at work – roughly half of the workforce. “The screening [of returning employees] will be in their home countries. Those who fail [the screening process] can’t come to the republic and will be diverted to the authorities in the labour sending areas,” said Lesufi. SA mining companies have agreed to assist in the event medical care in their home countries proves to be inadequate. Read the full original of the report in the above regard by David McKay at Miningmx. Read too, SA mining industry seeks return of its foreign workers, at Reuters NUM to interdict Village Main Reef retrenchments over severance package payments plan Business Report writes that the National Union of Mineworkers (NUM) has interdicted the retrenchment process at Village Main Reef (VMR) to ensure its members are fairly compensated amid the company’s restructuring plans. Masibulele Naki, the NUM’s regional secretary for the Matlosana region, said on Thursday that the union had interdicted VMR’s so-called Section 189 plan, which would affect the gold producer’s 6,000-strong workforce. Naki indicated: “They (VMR) received letters from our lawyers yesterday (Wednesday) and were given until the close of business today to respond, failing which they will receive a motion of interdict by tomorrow (Friday). We are interdicting the Section 189 process to get to the bottom of their severance package payment plan. We cannot finalise this process, whereas there are issues of payment hanging.” Naki advised that during the consultation, the company had indicated that 3,977 people would be retrenched and 2,003 would remain. He charged that the company planned to halve the severance packages: “During the consultation process, the company said it would pay severance packages as per the Labour Relations Act, not as per the agreement we signed during wage negotiations.” The act requires that workers receive one week of pay per year of service. According to Naki, the company has not paid employees their salaries since the Covid-19 lockdown in March. Read the full original of the report in the above regard by Dineo Faku at BusinessReport Other labour / community posting(s) relating to mining
Other general posting(s) relating to mining
Comair to halve its fleet and reduce staff so it can resume flying BusinessLive reports that the business rescue practitioners (BRPs) for Comair intend to halve the airline’s fleet of aircraft and reduce staff as part of efforts to save the company. The company, which operates Kulula.com and British Airways (BA) flights in SA, commenced voluntary business rescue proceedings on 5 May after all flights in SA were grounded due to the coronavirus pandemic. In a JSE announcement on Friday, the BRPs indicated that key elements of the business rescue plan included cutting the operational fleet in half and renegotiating and/or refinancing its aircraft finance and lease agreements. The retrenchment process that started before the company went into business rescue would continue. The practitioners have also asked creditors for a short extension for the publication of their plan. It was supposed to be published on 9 June, but the BRPs have asked for this to be extended until 23 June. Read the full original of the report in the above regard by Linda Ensor and Reuters at BusinessLive Numsa and Sacca give support to demands by SA Express staff to be paid their salaries Engineering News reports that the National Union of Metalworkers of SA (Numsa) and the SA Cabin Crew Association (Sacca) have jointly expressed support for the workers of financially embattled state-owned regional airline SA Express. The workers organised a protest march, without any assistance from the two unions, to demand that the government intervene in SA Express and pay the workers’ salaries. SA Express is currently under provisional liquidation and its employees have not been paid since the end of February. The only support they have received was a R7,000 payout from the UIF’s Temporary Employer/Employee Relief Scheme (Ters), which was lower than the salaries of most of the workers involved. “This payout was only possible because as unions we pressurised the Department of Public Enterprises [DPE] and Treasury to make these monies available, a decision which was not supported, because the entity was facing liquidation. But eventually, they relented and money was paid to employees,” the unions advised in their statement. Numsa and Sacca also reported that they have actively been seeking ways to save the airline and have held discussions with creditors, to turn debt owed by the airline into equity in it. Read the full original of the report in the above regard at Engineering News Other internet posting(s) in this news category
Western Cape looking to hire over 5,000 health workers, including 4,000 doctors and nurses News24 reports that ahead of an anticipated deluge of coronavirus patients, the Western Cape government is advertising 5,272 posts for health workers, with 4,004 of them being for doctors and nurses. This after President Cyril Ramaphosa said that "money isn't a problem" when it came to saving lives. Premier Alan Winde advised that by Saturday, 1,082 infected people were in hospital, with 226 of them in intensive or high care units. The province had 11 071 active Covid-19 cases, with 29,136 confirmed cases and 17,366 recoveries. Since the first case was confirmed in the Western Cape on 11 March, 699 people have died. The province was opened field hospitals, such as the one at the Cape Town International Convention Centre, in anticipation of a spike in cases. Read the original of the short report in the above regard by Jenni Evans at News24
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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.