Today's Labour News

TOP STORY – NUM/LIMUSA MERGER

Cosatu affiliates NUM and Limusa merge

IOL reports that the Liberated Metalworkers Union of SA (Limusa) has merged with the National Union of Mineworkers (NUM). Limusa was established as a Cosatu affiliate in 2014 after the federation expelled the National Union of Metalworkers of SA (Numsa).   Registrar of Labour Relations advocate Lehlohonolo Molefe on Tuesday announced that Limusa and NUM would amalgamate to form a new union, which will retain the name NUM. The new NUM was registered with effect from Monday, 22 November. In 2019 Cosatu decided to merge Limusa and NUM. At the time, NUM said a special congress had been convened to finalise the work of its national congress, including issues pertaining to constitutional amendments that included the merger. Cosatu described Limusa as a special project which was relevant at a particular time and that it was necessitated by politics of the time.   “Now Limusa competes in the sector with Numsa. Numsa on its own is no longer a metalworkers’ union per se; it is a general union because it has realised that to survive it needs to get out of the metal sector and explore mining and other areas. So, as a way of responding to these economic changes, the central executive committee of November 2018 took a decision that NUM and Limusa should merge,” the federation explained. It asserted that it needed a few but stronger unions, hence the need for realignment as retrenchments had dealt blows to some unions, resulting in them struggling to survive.

Read the original of the report in the above regard by Loyiso Sidimba at IOL

COVID-19 PANDEMIC

SA delays Covid vaccine deliveries as rate of inoculations slows

Reuters reports that SA has asked Johnson & Johnson and Pfizer to delay delivery of Covid-19 vaccines because it now has too much stock because vaccine hesitancy has slowed the inoculation campaign.   About 35% of South Africans are fully vaccinated, higher than in most other African nations, but half the government’s year-end target. The country has averaged 106,000 doses a day in the past 15 days in a nation of 60 million people. Earlier this year the programme was slowed by insufficient doses. Now deliveries have been delayed due to oversupply, making the country an outlier in the continent where most are still starved of vaccines. Nicholas Crisp, deputy director-general at the health department, indicated that SA had 16.8 million doses in stock and confirmed that deliveries had been deferred. “We have 158 days’ stock in the country at current use,” a health ministry spokesman advised. It was not said when deliveries would now take place. Stavros Nicolaou, chief executive of Aspen Pharmacare, which is packaging 25 million doses a month of J&J vaccines in SA, said most of the vaccines bound for SA would now go to the rest of the continent.   Nicolaou, who is also chairman of Business for SA (B4SA), said deliveries would likely be deferred until the first quarter of next year.

Read the full original of the report in the above regard by Promit Mukherjee at Moneyweb

Court reserves judgment as religious bodies challenge Covid lockdown laws

SowetanLIVE reports that it was argued in the South Gauteng High Court on Wednesday that courts should show caution before encroaching upon the terrain of the national executive when deciding on challenges to the lockdown regulations that had banned faith-based gatherings.   Rusty Mogagabe SC, counsel for co-operative governance and traditional affairs minister Dr Nkosazana Dlamini-Zuma, made this submission in response to arguments made by four organisations that had launched the legal challenge. The SA National Christian Forum, Solidariteit Helpende Hand NPC, Freedom of Religion SA (FOR SA) and the Muslim Lawyers' Association were seeking an order declaring that regulations which restricted the right to gather to worship unconstitutional and unlawful. They were also seeking to set aside the regulations promulgated by the Minister in December 2020 and January 2021, which imposed a ban on all religious gatherings during those periods of the lockdown. The Minister opposed the applications and said the matter was moot because the regulations that were being challenged had been replaced with regulations that permitted faith-based gatherings. However, counsel for Solidariteit, Greta Engelbrecht SC, said it was not good enough for the minister, without the support of the record, without the support of information, to seek to justify her decisions under challenge in the review. After three days of hearing arguments from the parties, Judge Bashier Vally reserved judgment.

Read the full original of the report in the above regard by Ernest Mabuza at SowetanLIVE. Read too, Lockdown ban on church gatherings is ‘life and death’ for some pastors, at SowetanLIVE

Other internet posting(s) in this news category

• 1,000 new Covid-19 cases in Gauteng as SA breaches 1,200 mark in 24 hours, at TimesLIVE
• With half of SA’s adult population unvaccinated, experts urge more to roll up their sleeves, at IOL
• Kerkgroep hof toe oor verpligte inentings, by Maroela Media

ALLEGED COVID-RELATED FRAUD

MPs told that naming and shaming of parties who received fraudulent Ters payments from UIF would be illegal

BL Premium reports that companies which received fraudulent payments from the Covid-19 Temporary Employee/Employer Relief Scheme (Ters) from the Unemployment Insurance Fund (UIF) won’t be named and shamed because do to so would be illegal. Marsha Bronkhorst, acting director-general of the Department of Employment and Labour, told the Standing Committee on Public Accounts (Scopa) on Wednesday that legal opinion received stated that the memorandum of agreement signed by the department and the UIF did not provide for the naming and shaming when the companies signed it; therefore to do so would be illegal.   But the opinion recommended that the UIF institute legal action against the employers and this had started with some of them, Bronkhorst said. Some of those responsible for the irregular expenditure in the UIF have already been sanctioned, she advised. Bronkhorst added that a disciplinary hearing had been finalised for UIF commissioner Teboho Maruping, who was suspended in September last year in relation to allegedly wrongful Ters payments, and its sanction was to be implemented. The hearing of CFO Fezeka Puzi would commence in the next few weeks, she said.   The slow pace of finalising investigations into unlawful payments under Ters and of holding those responsible to account also came under the spotlight at Scopa.

Read the full original of the report in the above regard by Linda Ensor at BusinessLive (subscriber access only). Read too, Covid-19 grants: 'Unfair' to name and shame companies who cheated, Scopa told, at Fin24

MPs grill UIF official on Covid-19 Ters payments made to dead people

SowetanLIVE reports that members of parliament’s standing committee on public accounts (Scopa) on Wednesday lambasted an Unemployment Insurance Fund (UIF) official for not accepting responsibility for Covid-19 Temporary Employer/Employee Relief Scheme (Ters) payments to deceased people. Employment and labour minister Thulas Nxesi and UIF officials briefed the committee on progress in implementing corrective measures at the UIF and Compensation Fund. It had previously been reported that the Special Investigating Unit (SIU) had found a criminal syndicate involving government officials and private companies, among others, using ID numbers belonging to deceased people to claim Ters payments. Scopa then demanded that UIF officials should appear before it to explain how payments were made to deceased people. A heated exchange started when UIF acting commissioner Mzie Yawa was asked to explain why the UIF did not notice it was making payments to deceased people. Yawa told MPs it was due to initial miscommunication with the home affairs department. This raised the ire of committee chair Mkhuleko Hlengwa, who asked Yawa why he was apportioning blame to another department. “This is your system and you should be the ones who innovate and create a functional and effective environment. When I listen to your response, I hear that it is home affairs, it is fictitious employers, it's the families who bury the dead and not us,” Hlengwa stated. Yawa responded: “I agree. We are not responding and trying to be angels and everyone [else] is the devil. The assurance we are giving is that now, all those things paid, from whatever the source is, we do not have those problems [any more].”

Read the full original of the report in the above regard by Amanda Khoza at SowetanLIVE

SIU guns for ‘inflated’ profits of Gauteng Covid school-cleaning firms

TimesLIVE reports that companies linked to fishing, arts, entertainment, vehicle repairs, real estate, construction, mining and quarrying allegedly scored some R431m worth of Covid-19 school decontamination and sanitisation contracts from the Gauteng department of education. These were just some of the claims that emerged in a special tribunal hearing on Wednesday. The Special Investigating Unit (SIU) had approached the tribunal to have the contracts, awarded to 173 companies in 2020 for Covid-19 decontamination, declared unlawful, set aside and profits made by the companies forfeited to the state.   The contracts, according to the SIU, were allegedly awarded via WhatsApp messages and phone calls, with companies paid between R250,000 and R270,000 to clean primary schools, R250,000 and R290,000 for the cleaning of secondary schools, and R250,000 and R300,000 for decontaminating district offices. The SIU alleges the 173 companies were not on Gauteng education department’s service providers’ database listed as providing cleaning and sanitation services. In May the tribunal granted the SIU an interim order to freeze funds in business and personal banking accounts belonging to the directors of the companies, as well as the accounts of several trusts, some of which belong to the service providers’ directors. Adv Harold Epstein, who represented the Mpofana group of companies, including the Insimu Medical Group, said the matter emanated from the department and not from his clients. He questioned why the SIU was chasing specific service providers, “when none of the service providers were registered on the database”. Judgment was reserved.

Read the full original of the report in the above regard by Graeme Hosken at TimesLIVE

MINING LABOUR

Sibanye-Stillwater, unions still at odds over gold mine wage increases

Mining Weekly reports that precious metals producer Sibanye-Stillwater says it and labour unions were again unable to reach an agreement on wage increases for employees at Sibanye's SA gold operations.   Sibanye's management and four unions, namely the Association of Mineworkers and Construction Union, the National Union of Mineworkers, Solidarity and Uasa met again on Wednesday to discuss the latest offer made by Sibanye on 18 November. Sibanye’s Richard Cox commented: “It is disappointing that, while the company has increased its offer five times, the unions have not moved significantly from their initial demands. These demands are not sustainable and we will not be intimidated into acceding to above inflation demands that will compromise the sustainability of our gold operations and therefore all our stakeholders.” Sibanye pointed out that, given that the offer was not accepted, the company had reverted back to the offer tabled on 19 October, which proposed wage increases of R520, R610 and R640 in years one, two and three of a three-year deal for category four to eight employees. The 19 October offer also set out proposed increases of 4.1%, 4.7% and 4.7% in years one, two and three, respectively, for miners, artisans and officials. Because the parties could not reach an agreement, a certificate of non-resolution of the dispute was requested. The Commission for Conciliation, Mediation and Arbitration (CCMA) is required to establish picketing rules before the certificate of non-resolution can be issued and the conciliation process has been extended by another two weeks to allow for the finalisation of picketing rules. The parties will reconvene on 13 December for a final engagement session when a certificate of non-resolution will be issued.

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

Minerals Council says over 300,000 partial and full Covid-19 vaccines have been given in mining sector

BusinessLive reports that the Minerals Council SA (previously called the Chamber of Mines) has hailed the mining industry reaching more than 300,000 full and partially vaccinated employees. The industry body has urged all those in mining to ensure they were immunised against Covid-19 in anticipation of a fourth wave in SA. “With 300,779 vaccinations, more than two thirds of the industry’s 450,000 employees and contractors are fully (80%) and partially (20%) vaccinated as the sector moves steadily towards its target of an 80% vaccination level,” the council said in a statement on Wednesday. “We have done well in reaching this significant milestone, but we still have some way to go to reach the target we set for ourselves.   It is more important than ever for people to be vaccinated as there are growing concerns that the fourth wave of infections is not far off,” said Minerals Council head of health Dr Thuthula Balfour. Certain mining companies have reportedly ensured the vaccination of more than 80% of their workers against the pandemic. According to council, some of its members have improved vaccination rates though innovations such as “bringing vaccines to the shaft” and incentives including “giving the day off for those vaccinated on that day”. The council credited company leaders and unions in advocating for vaccination. Workers’ movements praised included Amcu, NUM and Solidarity.

Read the full original of the report in the above regard at BusinessLive

RETIREMENT FUNDS / PENSION INVESTMENTS

Twelve retirement funds set up forum to boost infrastructure investment

Citywire reports that twelve retirement funds with an estimated R3 trillion in assets under management have established a forum to collaborate regarding infrastructure investment in SA. The new entity is known as the Asset Owners Forum South Africa (Aofsa). United States Agency for International Development (Usaid) and Mobilizing Institutional Investors to Develop Africa’s Infrastructure (Mida) Advisors will provide technical and advisory support to the new forum. The World Bank is offering capacity building and advice on infrastructure investments.   The Batseta Council of Retirements for South Africa convened the forum’s launch and provided secretarial services. The forum’s chair is Ndabezinhle Mkhize, who is also CIO of the Eskom Pension and Provident Fund. Mkhize said the forum aimed to support infrastructure investments by sharing knowledge, resources and due diligence costs. The formation of the new entity comes as National Treasury reviews Regulation 28 of the Pension Funds Act to make it easier for retirement funds to invest in infrastructure. During the launch, Kgosientsho Ramokgopa, head of investment and infrastructure in the Office of the Presidency, said that infrastructure would be the flywheel to help achieve local GDP growth. US Consul General in Johannesburg Vincent Spera said the US government was committed to working with the forum to lay the groundwork for enabling local pension funds to invest in alternative asset classes such as infrastructure and private equity.

Read the full original of the report in the above regard by Justin Brown at Moneyweb

GEPF to cut allocation to PIC unit, new mandate to include ‘more consequence management’ for poor investment decisions

Bloomberg reports that the Government Employees Pension Fund (GEPF) expects to cut the amount of money it allocates to a division of Public Investment Corporation (PIC) that has to date helped it fulfill some of its environment, social and governance aspirations. The GEPF allowed a R70 billion allocation agreement with the PIC, the continent’s largest fund manager, to lapse in March and is now negotiating a new mandate. That, according to GEPF Head of Investments Sifiso Sibiya, will include “the introduction of more consequence management” for poor investment decisions. The GEPF’s decision comes after the R2.34 trillion PIC was the subject of a judicial inquiry that concentrated on its Isibaya Fund, which makes investments in unlisted assets and focuses on Black economic empowerment transactions and social infrastructure projects. While the GEPF, which oversees R2.09 trillion, will still benefit from the money that has been spent, no new investment can take place without a fresh mandate. The so-called Mpati Commission questioned the governance of the division and the flouting of investment procedures. “There would be a reduction (in the allocation), the extent to which will be communicated once the agreement is in place,” Sibiya said in an interview on Monday. Sibiya added that the size of the allocation would also be influenced by the impact the Covid-19 pandemic has had on business and the pension fund’s own strategic asset allocation. While it may take as long as a year to agree a new mandate the aim was to do so within six months, he indicated.

Read the full original of the report in the above regard by Antony Sguazzin at Moneyweb

APPOINTMENT TERMINATIONS

Eleven teachers fired by education department over misconduct charges, including sexual offences against learners

Cape Times reports that a total of 11 teachers have been axed by the Department of Basic Education after they were found guilty of a range of charges, including sexual misconduct. The SA Council of Educators (Sace) on Tuesday appeared before Parliament where it listed cases of misconduct against teachers. The council received 443 cases of misconduct against educators for the 2020/21 financial year. During the briefing to Parliament’s portfolio committee on education, Sace chief executive Ella Mokgalane broke down the figures per quarter since April 2020. The top three categories of cases of professional and unethical misconduct against educators during the period under review included corporal punishment and assault; sexual misconduct, which included rape, indecent assault, sexual assault and sexual harassment; and verbal abuse or use of improper language, victimisation, harassment, defamation among other things. Mokgalane gave a breakdown of the 11 teachers removed from the Sace register per province. Five of those misconduct cases were linked to sexual misconduct, which saw two Gauteng teachers, one Free State teacher, one North West teacher and one teacher from the Western Cape being fired. The Sace report indicated that the ability to finalise cases had been impacted due to disruptions in the schooling system and lack of access to the children as witnesses. This had escalated the number of roll-over cases.

Read the full original of the report in the above regard by Tarryn-Leigh Solomons at Cape Times

Sipho Pityana asserts that Absa removed him unlawfully from the board

Moneyweb reports that Sipho Pityana has hit back at Absa, saying the banking group “disappointingly and unlawfully” removed him from the Absa Group and Absa Bank boards after he refused to resign.   He added that he was given just 48 hours’ notice to resign as director due to legal action he had instituted against the Prudential Authority, claiming it had gone outside legal processes to block his appointment as chair at Absa. Pityana refused to resign because “to have done so would have meant succumbing to corporate bullying and intimidation tactics that should have no place in our society.” Absa on Wednesday said Pityana had been neglectful or derelict in his duties as a director. This came barely a week after Absa removed Pityana as lead independent director and as chair of the bank’s remuneration committee. Pityana recently filed a suit in the Gauteng High Court, claiming the SA Reserve Bank’s Prudential Authority had run an informal selection process which denied him possible selection as chairman of the Absa board.   Also cited in Pityana’s court application is Absa. Pityana was investigated over sexual harassment claims while chairman at AngloGold Ashanti (AGA), a position from which he resigned in December 2020. In his papers before the court, Pityana denies the sexual harassment claims and says the investigation at AGA was improperly conducted. Pityana’s court papers lay out a sequence of events in which AGA chair Maria Ramos is purported to have shared information about the sexual harassment investigation into Pityana at AGA.

Read the full original of the report in the above regard by Ciaran Ryan at Moneyweb. Read too, Pityana to take Absa to court for removing him from its boards, at BusinessLive (subscriber access only)