Today's Labour News

JOB CREATION

Finance minister Godongwana says reforms are expected to add a million jobs

BL Premium reports that the National Treasury says that structural reforms in energy, telecommunications, water supply, transport and the visa regime that attracts investment, skills and tourism are expected to raise SA’s economic growth beyond 2%. According to finance minister Enoch Godongwana, the reforms, geared at kick-starting the economy and making SA an attractive destination for investment, are also expected to add a million jobs to the economy. Operation Vulindlela, the joint delivery unit by the Treasury and the Presidency, last week released a progress update on the reforms, which showed that of the 26 priority areas, eight have been completed with 11 on track. This includes raising the licensing threshold for embedded generation, reviving the blue-and green-drop water quality assessment system, revamping the e-Visa system, auction of spectrum and the launch of bid window 6 of the Renewable Energy Independent Power Producer Procurement Programme. Despite the wins of Operation Vulindlela since its launch in 2020, two critical reforms in the energy sector — the emergency procurement of 2,000MW of energy and raising the country’s energy availability factor to more than 70% — remain a challenge due to long-standing issues including lack of infrastructure and regulations. Nombeko Mbava of the Financial and Fiscal Commission has pointed out that the progress in the energy sector is unlikely to have an immediate impact as “the real-world experience impacting the people is still rolling blackouts and load-shedding”. Responding to the criticisms of slow implementation of the reforms, Godongwana said the government would “redouble its efforts to resolve the energy crisis”.   Business organisations Business Unity SA and Business Leadership SA have rallied around the reform agenda.  

Read the full original of the report in the above regard by Thando Maeko at BusinessLive (subscriber access only)

Other internet posting(s) in this news category

• Agri Minister says new master plan will increase farming investment, create jobs, at EWN

INDUSTRIAL ACTION / STRIKES

Government seeks to bring back secret strike ballot to protect union members from intimidation

Fin24 reports that the Department of Employment and Labour (DEL) says it will reintroduce provisions to make balloting before and during a strike secret. Secret ballots have been opposed by many trade unions who want the decision to strike decided by a show of hands. This has enabled intimidation, which has been rife in SA’s labour history, particularly where strikes are long or become politicised. Workers at Sibanye-Stillwater’s gold operations are now entering the third month of a strike with no apparent end in sight.   Sibanye’s management claims that the strike is not popular and is being sustained by intimidation, but the trade unions involved, namely the Association of Construction and Mineworkers Union (AMCU) and the National Union of Mineworkers (NUM), deny that this is the case. In a court application in 2019, AMCU successfully overturned guidelines on balloting introduced in 2018 that included the requirement for secrecy, on the grounds that the minister of labour did not have the power to determine this through guidelines. DEL acting deputy director-general Thembinkosi Mkalipi said that the department wanted to bring back the secrecy requirement through an amendment to the law.   The proposal is one of many that government tabled at the National Economic Development and Labour Council (Nedlac) last week, as part of a review of the Labour Relations Act (LRA) and other labour legislation. The proposed amendment, after discussion in Nedlac, will be sent to Parliament as a proposed amendment to the LRA. Mkalipi said that government did not challenge the decision in the AMCU case because it believed that the court was correct in limiting the minister’s power.

Read the full original of the report in the above regard by Carol Paton at Fin24 (subscriber access only)

SARS inches closer to strike on Thursday as PSA puts tax body on notice

Fin24 reports that the Public Servants Association (PSA) has put the SA Revenue Service (SARS) on notice that it intends to go on strike after it reached a deadlock with the tax body during wage negotiations.   If the deadlock is not broken ahead of time, the PSA strike is set to begin on Thursday this week. The union has served SARS with notice of a strike in terms of section 64 of the Labour Relations Act. It demanding a 7% pay increase to be applied to across the board.   PSA general manager Marcus Ramakgale wrote to SARS Commissioner Edward Kieswetter last Wednesday notifying him of the union's plans to strike if the employer was not willing to budge from its final offer of a zero-percent wage increase. "The outcome of the conciliation was that the dispute remained unresolved, and the CCMA Commissioner issued a certificate to that effect on 31 March 2022. Parties deliberated on the picketing rules and the CCMA ruled on the picketing rules on 13 April 2022," Ramakgale pointed out. He added that the PSA was prepared to resolve the dispute through negotiation to avoid a strike, if the employer was willing to adjust its position.   The PSA is also demanding full and equal medical aid and housing allowances for all employees, as well as an annual 1.5% pay progression adjustment.

Read the full original of the report in the above regard by Khulekani Magubane at Fin24. Read too, Fedusa wants finance minister to intervene in SARS, PSA wage talks, at EWN

York Timber’s escarpment operations impacted by Numsa strike

Fin24 reports that York Timber Holdings warned its shareholders on Friday that a strike by the National Union of Metalworkers of SA (Numsa) was affecting the company's escarpment business and obstructing its operations. The strike began in late April as Numsa and York were negotiating on job grading at the CCMA. The company said the union issued a strike notice when these negotiations were at an advanced stage. York claimed in its shareholder notice that striking members of the union were flouting picketing rules despite York having obtaining an urgent interdict enforcing the rules. According to the company, its escarpment operations were being disrupted by Numsa members inciting acts of intimidation, harassment, and vandalism.   The notice said the intimidation and vandalism prevented the company from accessing its escarpment facilities to continue operations, so York had obtained an interim order from the Labour Court declaring the strike unprotected. "The company will accordingly proceed with disciplinary action against relevant employees in accordance with the Labour Relations Act," the notice indicated.

Read the full original of the report in the above regard by Khulekani Magubane at Fin24. Read too, York warns Numsa strike blocking sawmill group's operations, at Engineering News

DISPUTES

Tshwane Transport MMC promises Numsa a response to its A Re Yeng demands by Wednesday

EWN reports that the National Union of Metalworkers of SA (Numsa) will receive a response to its list of demands regarding the concerns of workers from the A Re Yeng Bus Services by Wednesday. That was promised by Dikeledi Selowa, City of Tshwane's MMC for Roads and Transport. She said the agencies involved in the matter, namely Tshwane Rapid Transit and Xtremetec, had been consulted and had been granted time till Monday to provide feedback on how they would meet workers' demands.   Among a number of issues, Numsa is demanding an increase in the transport allowance for its members who work for A Re Yeng Bus Services in Tshwane. It said the allowance they were presently receiving was not sufficient because employees were required to work between 4 am and 9 pm, before and after which hours safe and reliable transportation was not available.   Selowa noted: "Fortunately the deadline is Wednesday, it is less than five working days essentially, so we have got three.”

Read the full original of the report in the above regard by Buhle Mbhele at EWN. Read too, City of Tshwane says independent mediator needed to solve A Re Yeng bus dispute, at EWN

MINING LABOUR

Lessons of 2014 Marikana wage strike not learnt as Sibanye-Stillwater’s gold strike enters third month

Fin24 reports that as the gold strike at Sibanye-Stillwater enters its third month with as little as R200 between the parties, it seems that no one has learnt the lessons of the historic Marikana platinum strike. The platinum strike in 2014, which happened two years after the horrific massacre of workers in 2012, was the longest in SA’s history and lasted five months.   Workers made an historic gain in wages but lost heavily thereafter when platinum mines sunk into decline and jobs were lost. Now again, a long strike is under way, with workers taking on huge short-term losses, but this time only for a R200 a month long-term gain. The lowest paid have lost more than R20,000 in basic pay, and R37,000 when benefits and allowances are included. If the strike ended presently with no improvement on the offer, it would take the workers more than two years to recoup their losses.   If they win, it would be 20 months before they broke even. As was the case with Marikana, workers have fixed on a round number. The two unions involved, the Association of Construction and Mineworkers (AMCU) and the National Union of Mineworkers (NUM), have not budged from their starting position of a R1,000 basic wage increase.   Among workers, the number has become non-negotiable. From Sibanye’s point of view, to bridge the R200 a month gap would increase the remuneration package by R1 billion. "Our costs are R40 000/kg and would rise to R46 000/kg. We are already absorbing above-inflation increases for fuel and electricity. This would wipe out any margin we have," explained mine spokesperson James Wellstead. It would also put the gold operations into a loss-making position sooner and shorten the length of mines.

Read the full original of the report in the above regard by Carol Paton at Fin24 (subscriber access only). Read too, As strike drags on, Sibanye CEO defends his R300m pay packet, on page 1 of Sunday Times of 15 May 2022

Workers' concerns on transition to green energy muted at African Mining Indaba

City Press reports that despite the theme of mining for a just energy transition at last week’s African Mining Indaba, and the just transition concept being the brainchild of workers, workers’ concerns on the transition were largely muted at the indaba. Following a clear demonstration by workers, especially mine workers, of their unhappiness with government support of their interests by the booing of President Cyril Ramaphosa on Workers’ Day, mine workers’ issues could have been expected to be high on the agenda, but this was not the case. The importance of the wellbeing of workers and communities as an integral part of national interest was only explicitly articulated in the presidential address by Zambian President Hakainde Hichilema and Ramaphosa, who was emphatic that the SA economy, in which mining continued to play a critical role, would not be sustainable if interests of workers and communities were not considered and the benefits shared by all.   Ramaphosa said mining companies need to constructively and meaningfully engage with labour groupings and communities, driven by the intention of shared prosperity. Beyond the articulations of the two presidents, most of the sessions at the indaba did not include or consider workers’ interests in their deliberations.   Workers have concerns that some stakeholders have reduced the concept of a just energy transition to immediate cessation of the use of fossil fuel energy sources, specifically coal, and replacing them with renewable energy sources. Although this aspect was partly dealt with in the session on the future of coal, it lacked authenticity as it was not put across by workers themselves. Workers’ issues that should have been dealt with at the indaba were unfortunately silenced at last week’s event. In future, this should not be the case.

Read the full original of the report in the above regard by Martin Kaggwa at City Press (subscriber access only)

Other labour / community posting(s) relating to mining

• De Beers in talks with Musina municipality to resolve water issues for the community, at Mining Weekly
• Lack of formal land ownership leaves communities in mining areas vulnerable, at BusinessLive (subscriber access only)
• Is there a new reality for illegal miners and the ‘zama zamas’? at Business Report

Other general posting(s) relating to mining

• Mining production down 9.3% y/y in March, at Mining Weekly
• Diamond prices are spiking and even De Beers can’t fill the gap, at Moneyweb

UNION AFFAIRS

Trade union federation Saftu racked by infighting, leadership battles

Sunday Times reports that deep divisions between general secretary Zwelinzima Vavi and two senior colleagues forced the SA Federation of Trade Unions (Saftu) to call in a mediator to sort out their squabbles, but the effort failed. According to an internal report, due to be tabled at the federation’s conference this month, the organisation is in crisis due to the tension between Vavi on the one hand and Saftu president Mac Chavalala and deputy general secretary Moleko Phakedi on the other hand. Both Chavalala and Phakedi were placed on suspension in March. Phakedi is expected to challenge Vavi for the top post when the federation chooses new leaders. According to insiders, the main bone of contention is due to differences over whether to back the Socialist Revolutionary Workers Party (SRWP), which was created by Saftu affiliate Numsa in the lead-up to the 2019 elections. At the time Numsa pressed Saftu to back the party, but the federation’s leadership refused to do so. A faction supporting Vavi continues to oppose official support for the SRWP, arguing that some members are already supporters of parties such as the Pan Africanist Congress and the EFF. Phakedi’s campaign to unseat Vavi is believed to have the backing of Numsa general secretary Irvin Jim. Vavi confirmed last week that he was standing again for the position of general secretary.

Read the full original of the report in the above regard by Aphiwe Deklerk on page 4 of Sunday Times of 15 May 2022

LABOUR MARKET / XENOPHOBIA

Operation Dudula now targeting ‘both legal and illegal immigrants’

TimesLive reports that Operation Dudula is no longer targeting illegal immigrants only and documented migrants doing menial jobs in SA will not be spared. The movement’s national secretary, Zandile Dubula, revealed this during the launch of its Western Cape branch in Cape Town on Saturday. Dubula indicated: “Dudula is against illegal immigrants. But now we have learnt that the ministers have said that the local businesses are only for South Africans. The other thing is that even if you are legal in the country, if [you do not have] a scarce skill then you cannot be working. Now, it is illegal and legal immigrants. If you are legal here, you are not supposed to be working in a restaurant. Working in a restaurant doesn’t require any special skill.” Dubula denied that the movement was xenophobic. She said it was merely forcing the government to apply the immigration laws: “If you follow Operation Dudula you will notice that we have never attacked anyone.   We are attacking our government.   We want to deal with our government to implement these laws. [This] will not turn into violence. [The ball] is now in the hands of the government. If they [government] co-operate, there won’t be any violence. Dubula also denied that the movement only targeted African immigrants.   “We are also targeting Chinese as well. We are not targeting a specific race,” she said. Reagan Allen, the Western Cape MEC for community safety & police, said he had noted Operation Dudula's launch in the province and hoped the movement would operate within the law.

Read the full original of the report in the above regard by Philani Nombembe at TimesLive

STATE-OWNED ENTERPRISES

Time running out for Denel to restructure to survive, with winning bidders for stakes in Rheinmetall Denel Munition and Hensoldt to be named soon

BL Premium reports that state-owned arms manufacturer Denel is in a rush against time to accelerate its restructuring, dispose of its noncore assets and find an equity partner in the hope that this will bring the company back from the brink of collapse. Although its five-year turnaround strategy, which includes selling some of its shares and reducing its operating divisions from six to two (plus one subsidiary), is gaining momentum, Denel has yet to find an equity partner that is expected to inject capital into the cash-strapped firm.   “We need another R4bn … without us restructuring the business, there’s no way we can survive in the next year or so,” interim CEO William Hlakoane said. Trimming its portfolio by selling stakes in Rheinmetall Denel Munition (RDM) and Hensoldt is expected to generate R2.5bn in revenue. The last day for interested parties to make binding offers for the shares was last week with a decision to be made on the winning bidders expected soon, Hlakoane said, without providing the names of the interested parties. Denel, which owes staff R650m in outstanding salaries and suppliers R900m, is one of many state-owned enterprises that have been embroiled in state capture. Reductions in headcount of key personnel in recent years have affected its ability to deliver on commitments in some of its top divisions such as Denel Land Systems.   Denel lost more than half of its staff in recent years with the headcount falling from 3,500 employees in 2019 to 1,199 in 2021. It will take “deep pockets” for the arms manufacturer to retain or attract skilled specialists “because some of this people are in the Middle East where they are getting paid highly”. Despite the challenges, Hlakoane remains bullish about Denel’s challenges because there is “still a market for Denel’s products”.

Read the full original of the report in the above regard by Thando Maeko at BusinessLive (subscriber access only)

Other internet posting(s) in this news category

• Unions call on Scopa for answers on alleged ‘dodgy’ Takatso SAA deal, at Business Report

MILITARY VETERANS

Military veterans will finally receive pension payouts, says deputy president David Mabuza

TimesLive reports that deputy president David Mabuza announced on Saturday that hundreds of military veterans would receive their long-awaited pension payouts. He indicated: “We are excited that finally the obstacles that were preventing us from dispensing the necessary services to military veterans have been overcome. One service that has been a challenge was the pension rollout. I am glad to say that we have overcome that hurdle. We have finally approved the pension rollout which we think will go a long way to assist our military veterans.” Mabuza was speaking to military veterans — who previously complained about being ignored when it came to housing, social relief, educational assistance, employment and access to land — in Mahikeng, North West.   Mabuza told the gathering that deputy defence minister Thabang Makwetla would elaborate on the pension rollout later. “We want to see this pension being rolled out as soon as possible, without delay,” he stated. The deputy president, who heads the presidential task team on military veterans, said government departments, state-owned entities and the private sector were working together to alleviate the challenges faced by military veterans. Through engagements, he said, the government had conceptualised a number of work streams to pursue specific issues.

Read the full original of the report in the above regard by Amanda Khoza at TimesLive. See too, David Mabuza calls for fast-tracking of pensions, other services for military veterans, at IOL

ALLEGED SEXUAL MISCONDUCT

Two Western Cape officials fired for involvement in ex-MEC Albert Fritz's sexual misconduct case

News24 reports that the Western Cape community safety department has confirmed that two of the four officials suspended for their involvement in sexual misconduct during former MEC Albert Fritz's term of office were dismissed - with immediate effect. Ishaam Davids, the department's head of communications, indicated on Friday that the officials had been dismissed for misconduct.   Apparently, the dismissed officials are the former head of ministry, David Abrahams, and support officer Michael Kwaaiman. They were dismissed following an internal probe. "One official was found guilty of misconduct: Two counts of sexual harassment and facilitated and/or enabled the sexual misconduct committed by Fritz. The other official was found guilty of misconduct: Failure to report and act upon allegations of misconduct committed by Fritz and failure to honour the confidentially and trust of complainants of sexual misconduct by Fritz, by indirectly/directly alerting him to the allegations against him," Davids advised. In January, Fritz's spokesperson, Wade Seale, and another official, Lazola Ndubela, were also suspended amid claims of sexual impropriety. Davids said the investigation against the other two officials was still ongoing. In March, a report compiled by advocate Jennifer Williams found "sufficient credibility" in the allegations of sexual misconduct and alcohol abuse levelled against the former MEC. Premier Alan Winde sacked Fritz after receiving the findings of the independent probe. Fritz subsequently resigned as the DA's provincial leader.

Read the full original of the report in the above regard by Marvin Charles at News24

Other internet posting(s) in this news category

• Two Gauteng high school teachers, one from Krugersorp and one from Soweto, were fired last week for sexual misconduct, at The Star

OTHER HEADLINES OF INTEREST

• Covid-19 in SA: 4,344 new cases, at News24
• Questions on Covid-19 reinfections still up in the air, at BusinessLive
• Sakeliga beplan regsgeding oor gesondheidsregulasies, by Maroela Media
• Looking for a govt job? You no longer have to attach copies of qualifications to application forms, at Fin24
• Naspers subsidiary Prosus says it won't 'abandon' the 4,000 staffers of controversial Russian classified ads site, at Fin24 (subscriber access only)