In our Friday morning roundup, see
summaries of our selection of recent South African
labour-related reports.
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Move to lockdown level 1 gives hard-hit industries some relief BusinessLive reports that as SA emerges from its third wave of coronavirus infections, cabinet has agreed to further ease lockdown restrictions and move the country from adjusted alert level 2 to level 1. This was announced by President Cyril Ramaphosa on Thursday. The move will offer some relief to industries hard hit by the government’s stop-start restrictions, which have hit the tourism, hospitality and liquor industries particularly hard. Simultaneously, the president appealed to the millions of South Africans still hesitating about getting vaccinated to get inoculated as soon as possible and shore up the flagging immunisation drive. He urged people to take advantage of the government’s new weekend vaccination campaign, which kicks off on Friday. The country exited its third wave on Sunday, according to the National Institute for Communicable Diseases. Under adjusted level 1, the curfew will begin at midnight and end at 4am. Curbs on alcohol sales have been scrapped except for a prohibition on sales after 11pm. The size of indoor gatherings will be increased from 250 to 750, while outdoor gatherings will increase from 500 to 2,000, provided social distancing is maintained. Funerals will be permitted to have up to 100 people in attendance, but post-funeral gatherings remain prohibited. Masks will still be required in public. Ramaphosa said the health department was still working on a vaccination certificate. Read the full original of the report in the above regard by Tamar Kahn at BusinessLive. Read too, South Africa moves to Level 1 as government set to introduce vaccine certificates, at Engineering News 'We remain sceptical about vaccine certificates', says Cosatu TimesLIVE reports that Cosatu has called for health authorities to take Covid-19 vaccination to townships, informal areas, taxi ranks, churches, farms and villages as part of scaling up the programme to the required 70% of the adult population by the end of this year. Responding to President Cyril Ramaphosa's address on Thursday night, in which the president eased Covid-19 restrictions from alert level 2 to alert level 1, the trade union federation’s spokesperson Sizwe Pamla also said: “We remain sceptical about the introduction of vaccine certificates. We need to know how they will be protected from abuse, fraud and corruption and be accessible to people in rural areas or those without access to technology. We cannot afford a situation where people end up buying vaccine certificates and then our entire vaccine programme’s integrity will be questioned. This will defeat the very purpose of persuading and mobilising people to vaccinate.” He also indicated that the federation remained “deeply concerned” with the excessive relaxation of some of the non-pharmaceutical interventions, saying the “massive increase” in numbers for public gatherings was very worrying and might accelerate the anticipated fourth wave in November. Cosatu also expressed disappointment at Ramaphosa’s failure to roll out the unemployment fund (UIF) as a relief to thousands of workers still waiting for the long-delayed relief from alert level 4, which was in March and June, and during unrest in KwaZulu-Natal and Gauteng in July. Read the full original of the report in the above regard by Sipokazi Fokazi at TimesLIVE Other internet posting(s) in this news category
Compensation Fund withdraws rule to make payments to medical service providers only and not third-party administrators TimesLIVE reports that the Compensation Fund has agreed at the last minute to withdraw a notice which would have made it compulsory for it to pay claims only into bank accounts of medical service providers who treated employees who were injured on duty. The rule, published by the fund in the Government Gazette on 10 September, was to have applied from Friday. It was designed to ensure that the fund would no longer accept nominated bank accounts of agents, including third-party administrators, for claims repayments. The proposed rule raised the ire of a number of medical service providers, including the Injured Workers' Action Group, a coalition of affected and concerned parties whose objective is the efficient functioning of the fund. The group claimed the fund was chronically dysfunctional and one of the results was that the doctors, private hospitals, physiotherapists and other medical service providers who treated injured workers have to wait for up to two years to be paid by the fund. It was for this reason that medical service providers used the services of professional third-party administrators - at no additional cost to employers, injured workers or the fund itself - to navigate the fund’s dysfunction and secure payment for medical services rendered to injured workers. Department of Employment and Labour spokesperson Musa Zondi confirmed on Thursday that the Compensation Fund had agreed to withdraw the notice concerned. “A withdrawal notice will be published in the government gazette soon. We will be publishing a new notice to give the public an opportunity to comment on this,” Zondi indicated. Read the full original of the report in the above regard by Ernest Mabuza at TimesLIVE
Numsa gives notice of commencement on 5 October of wage strike in the metals and engineering sector Engineering News reports that the National Union of Metalworkers of SA (Numsa) has officially served a notice of strike action in the metals and engineering industries sector. The strike action will start at 05:00 on 5 October with a march in Gauteng, as well as potential marches in KwaZulu-Natal and Cape Town. The Steel and Engineering Industries Federation of Southern Africa (Seifsa) said it would soon, on behalf of its affiliated associations, respond with a formal notice of lock-out in response to the strike. The lock-out notice will reserve the right of companies in the sector to implement a lock-out should they wish to do so. Meanwhile Seifsa, through a duly appointed negotiating team, is continuing to explore all possible settlement possibilities with organised labour in an endeavour to limit the damage industrial action will inflict on the sector. "However, in light of the fact that the action on Tuesday next week will proceed, we once again urge all members to take all necessary precautions and plan for the worst case scenario which we will be doing our utmost to mitigate," Seifsa stated. There is concern in the industry about the economic cost of the planned strike. Read the original of the report in the above regard at Engineering News Other internet posting(s) in this news category
Northam’s countercyclical growth strategy creates 8,000 jobs since 2015, with over 2,000 this year Mining Weekly reports that the record operational and financial performance of Northam Platinum in the 12 months to 30 June was accompanied by the creation of 2,335 new sustainable jobs. This took the total generated by the platinum group metals (PGMs) mining company's growth strategy since 2015 to 8,232. The spectacularly performing JSE-listed company headed by CEO Paul Dunne paid a record R5-billion in salaries in the period and put R5.2-billion in taxes into the coffers of the hard-pressed National Treasury. Northam was now well on its way towards attaining its medium-term production target of one-million ounces a year and was placing its employees and host communities on centre stage to benefit from its empowerment extension, Dunne said during Northam’s presentation of results. Northam’s countercyclical approach has made a tremendous contribution towards vital job creation and extending new empowerment focus to employees brings the prospect of added reward for the workforce, for which greater certainty has been created through five-year wage agreements. Northam recently signed five-year wage settlements at both the Zonderiende and the Eland PGMs mines, which follows the five-year agreement signed at the Booysendal mine last year, providing the company with significant stability during what is expected to be a buoyant PGMs pricing environment. In addition, all of the company’s employees benefit from comprehensive health care, retirement benefits and home ownership assistance, with another 1,279 affordable homes being made available this year. Read the full original of the report in the above regard at Mining Weekly Other labour / community posting(s) relating to mining
Other general posting(s) relating to mining
Finances of South African municipalities imperiled by wage deal Bloomberg writes that the budget frameworks of South African municipalities are at risk of being compromised by a three-year deal that granted their workers inflation-beating increases. Municipalities’ employee-related costs rose 5.2% in the year through June, Statistics SA indicated on Thursday in a quarterly report of financial statistics from selected areas. The costs include basic pay, benefits such as medical and pension contributions, and clothing and other allowances. The increase exceeds an interim 1.5% pay raise agreed by the national government and unions representing a majority of civil servants this year. That’s because most municipalities implemented the first year of a separately negotiated deal that raised annual wages by 6.25% from July last year. The National Treasury said in February: “Not all municipalities have budgeted for these increases. Unless municipalities rapidly improve efficiency, this agreement will compromise the local government fiscal framework and service delivery.” A succession of government reports has shown the mounting risk the 257 municipalities pose to the nation’s finances. Local authorities’ inability to collect payment for rates and services from residents who are unable or unwilling to pay results in them struggling to settle their own bills. Read the full original of the report in the above regard at Engineering News Samwu wants ANC to address municipal workers’ issues IOL reports that the SA Municipal Workers Union (Samwu) said on Thursday following its central executive committee (CEC) meeting that it wants the African National Congress (ANC) to address issues affecting municipal workers and communities. Samwu’s newly elected general secretary, Dumisane Magagula, said that as an affiliate of Cosatu, the union would support the ANC in the upcoming municipal elections, but the ruling party needed to attend to issues affecting workers. “We still need the ANC to address issues that are of great concern to our members, and communities. These include the unlawful dismissal of workers, the failure to pay workers their salaries in time or in full and the general collapse in municipalities,” said Magagula. He said municipal workers, as community members, also wanted to benefit from the delivery of services. “It is for this reason that the CEC is deeply concerned by the number of municipalities which are struggling to deliver on their constitutional mandate of the delivery of services to residents. We therefore want immediate intervention in these municipalities with the aim of arresting the root causes of the systematic collapse in these institutions,” Magagula pointed out. He also noted that some municipalities had already made known their intentions to apply to be exempted from the recently concluded SA Local Government Bargaining Council wage agreement. He indicated that the union “cannot allow municipal workers to forego their salary increases by municipalities that seek to use the pandemic as a scapegoat. Any municipality that applies for exemption would have declared war with workers.” Magagula warned that Samwu expected all 257 municipalities and their entities to pay workers increased salaries in October. Read the full original of the report in the above regard by Molaole Montsho at Independent Media Other internet posting(s) in this news category
State reportedly intends to appeal court rulings on mining charter and tourism relief fund Bloomberg reports that SA’s government will appeal two court rulings that struck down changes to rules requiring mining firms to be at least 26% owned by Black investors in perpetuity and declared it unlawful for payouts to the coronavirus-struck tourism industry to be limited to black businesses. According to Kganki Matabane, the chief executive officer of the Black Business Council, President Cyril Ramaphosa gave the undertaking during a meeting with business lobby groups this week, where concerns around efforts to revive the economy were discussed. The rulings had serious implications for black businesses, and could undermine efforts to racially transform the economy, he said. The Presidency confirmed the meeting took place, while refusing to elaborate on what was discussed. “The president met with representatives of organised business this week to discuss more effective cooperation and coordination between government business and other social partners,” presidential spokesperson Tyrone Seale indicated. Bonang Mohale, the head of Business Unity South Africa, reported that Ramaphosa told the gathering that government’s efforts were severely constrained by the “industrial-scale looting,” that took place under the previous administration. The business groups told Ramaphosa the country needed to create at least 1 million jobs a year, she said. Read the original of the report in the above regard by S'thembile Cele at Moneyweb
Woolworths to hike store employees’ minimum wages by 24% to R41 per hour by 2023 Fin24 reports that Woolworths wants to increase the hourly minimum wage paid to its store employees by almost 24% in the next two years. The retailer will "invest" an additional R120 million to hike its base pay to store workers from R33.40 an hour to R41.25 by 2023, the company indicated in its annual report, which was released on Thursday. Currently, the minimum wage in SA is R21.69 per hour, and the minimum wage in the retail sector is R28.25. More than 20,000 store staff will benefit from the planned increase, which Woolworths believes will go a long way towards its aspirations to pay a "just wage". In its annual report, the company said there was a "critical need to close the remuneration gap in the context of the socio-economic environment in South Africa". Woolworths has received harsh criticism for its remuneration of executives, in particular of its previous CEO Ian Moir. He embarked on the disastrous takeover of the David Jones chain in Australia, but still received R77 million on his departure. Last year, Woolworths’ shareholders revolted in that investors representing almost 80% of shareholding in the company voted against implementing the company’s executive remuneration plan. The vote was non-binding, meaning Woolworths only needed to consult with shareholders about their concerns; but it was still entitled to pay out the remuneration. Read the full original of the report in the above regard at Fin24
Man claims he was mocked about bleeding eye injury at factory accused of having violating labour laws News24 reports that a witness who testified against seven Chinese nationals accused of human trafficking and violating labour laws was accused by the defence on Thursday of being told what to say in court. "You people were told by the police or someone else to say the same thing [and] to remember certain points. Your stories [are] exactly the same," the lawyer for the accused told state witness Alfred Magwaya during cross-examination. During proceedings on Thursday, Magwaya told the Gauteng South High Court that he arrived in SA in July 2019 from Malawi and worked at the accused's factory in Johannesburg as a material cutter. He said that he worked at the factory from 07:00 until 18:00 for R65 a day. He also claimed that while working at the factory, he injured himself with a machine used to "cut cloth". Magwaya said he was not trained on how to use the machine and was also not given protective equipment. He was taken to a hospital, but said that one of the accused thought his injuries were a "joke" when he returned to work. Magwaya alleged he was not compensated by the company for his injuries and spent several days without working or getting paid. The accused, who have pleaded not guilty, face 160 charges, including human trafficking, kidnapping and violation of labour laws. They were arrested in November 2019, following an operation by the Department of Employment and Labour's inspection and enforcement services branch in Gauteng, the police, the Department of Home Affairs and the Hawks. Ninety-one Malawian nationals, including children, were allegedly found in the factory. The matter will be back in court on Friday. Read the full original of the report in the above regard by Jeanette Chabalala at News24
Six more health officials put on precautionary suspension over Digital Vibes scandal BL Premium reports that health minister Joe Phaahla announced on Thursday morning that six health department officials implicated in the Special Investigation Unit’s (SIU’s) investigation into the Digital Vibes scandal were to be placed on precautionary suspension. That will bring the total number of health department staff that will be out of circulation to seven, as director-general Sandile Buthelezi was placed on precautionary suspension on Sunday by President Cyril Ramaphosa. A precautionary suspension is imposed by an employer ahead of an investigation that is expected to pave the way for a disciplinary procedure. It is intended to ensure the employee does not interfere with the investigation. On Wednesday, the president authorised the release of the SIU’s report on its investigation into communication contracts awarded by the health department to Digital Vibes. The SIU found the circumstances in which the department awarded the R150m contract, which was initially for National Health Insurance and then expanded to cover Covid-19, were highly irregular and breached procurement rules set out in the Public Finance Management Act. Acting director-general Nicholas Crisp said the government had strict rules in place governing procurement, but the department had stepped up its vigilance and was regularly seeking legal guidance to mitigate the risk of another scandal. Read the full original of the report in the above regard by Tamar Kahn at BusinessLive (subscriber access only). Lees ook, Amptenare geskors ná Digital Vibes-sage, by Maroela Media
Senior Eastern Cape education official, her husband and brother in court for R4m PPE fraud News24 reports that the Hawks (Directorate for Priority Crime Investigation) arrested a senior Eastern Cape education official after she was reported to the police by her sister for allegedly defrauding the department of R4 million. The siblings allegedly clashed over the whistleblower’s share of the money. The Hawks allege that Nandipha Tembo, the supply chain director for the provincial education department, had authorised fraudulent payments to the extent of R4 million for a supply of personal protective equipment (PPE) to a company owned by her sister, Sinazo Mgwangqa. She allegedly never disclosed to the department that the company was registered under her sister's name and that the company also employed their brother. The Hawks allege that, in exchange, her sister was set to get a 10% cut, but their relationship went sour after Nandipha apparently withheld her sister's share. But, Nandipha's husband allegedly benefitted from the proceeds of the crime. Nandipha was arrested at her home in Qonce on Thursday morning. Her husband, Theophilus, and brother, Mandilakhe Mgwangqa, later handed themselves over to the Hawks, and joined her in the Zwelitsha Magistrate's Court. The court granted the couple bail of R20,000 each, while Mandilakhe was released on R5,000 bail. It is not known if the whistleblower sister, Sinazo, will be charged. On Thursday, the education department said Nandipha had been suspended and her case was subject to internal disciplinary processes. Read the full original of the report in the above regard by Malibongwe Dayimani at News24 Other internet posting(s) in this news category
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