In our Wednesday morning roundup, see
summaries of our selection of recent South African
labour-related reports.
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Pressure is unbearable, says acting head of generation Rhulani Mathebula as he quits Eskom BL Premium reports that Eskom COO Jan Oberholzer said on Tuesday after announcing the resignation of the state power company’s acting head of generation, Rhulani Mathebula, that there needed to be realistic expectations about the speed at which Eskom’s management would be able to “turn around the ship”. Mathebula’s abrupt departure comes just six months after his predecessor, Phillip Dukashe, left the company. Oberholzer said turning around the generation business was “extremely demanding”. Addressing the media, he said Mathebula informed the company that the demands of the job had become unbearable and were affecting his health and family. Dukashe, who left the company after 26 years, cited “the critical need to achieve a balance for the benefit of his health, family and work responsibilities”, in his resignation letter. Eskom has now suffered at least five high-level resignations in 2022 while battling to improve the performance of its generation fleet during SA’s worst year of load-shedding to date. Oberholzer emphasised the need for “better understanding” of the situation Eskom was faced with. The challenge of “finding a lasting group executive” for generation was made worse by the constant criticism Eskom’s executives were subjected to, he said. Lethabo power station manager Thomas Conradie has been appointed acting head of generation. Riedewaan Bakardien, the chief nuclear officer at Koeberg, resigned in July. Koeberg also lost its acting GM, Nomawethu Mtwebana, earlier in 2022. Mandy Rambharos, the group’s head of energy transition, left at the end of October. Read the full original of the report in the above regard by Denene Erasmus at BusinessLive (subscriber access only). See too, Eskom's acting head of generation quits, at Fin24. En ook, Eskom se opwekkingshoof bedank, by Maroela Media No relief from load-shedding as Eskom’s diesel budget runs dry BL Premium reports that seven months into its current financial year, Eskom has already exceeded its R11bn diesel budget by about R1bn, which means that for the next few months it will struggle to afford to run its diesel-powered emergency generation fleet. Presenting the state of the system outlook for the 2022/ 2023 summer period, Eskom COO Jan Oberholzer said the power company was now in the “difficult position” where it is forced to implement load-shedding because it does not “have the money to burn diesel at the rate [it] has been doing up to now”. Oberholzer said Eskom was facing “significant financial challenges”, which contributed to it not having the resources to increase spending on diesel. As the utility continues to battle financial troubles and breakdowns at its power stations, it has had to implement 145 days of load-shedding since the start of its financial year in April, and it may have to implement another 120 days before the end of March. Diesel is used to power the open-cycle gas turbines, which have a combined generation capacity equal to two stages of load-shedding. These emergency generation units are used to make up for a shortfall in generation capacity when there are outages at coal-fired stations, enabling Eskom to avoid having to resort to higher stages of load-shedding. Eskom predicts that up to 155 days of stage 3 load-shedding may have to be implemented over the six months from December to May. Oberholzer described a “shrunken generation system bereft of any reserve margin”, which meant that every single breakdown pushed the whole system to the edge. Read the full original of the report in the above regard by Denene Erasmus at BusinessLive (subscriber access only). Read too, Stage 3 load shedding and worse: Brace yourself for Eskom's new normal, at Fin24 (subscriber access only). En ook, 155 dae van beurtkrag en nóg kom, by Maroela Media Other internet posting(s) in this news category
Public service unions to embark on national strike next week, key government services may come to a halt BL Premium reports that as the government pushes on with implementation from Thursday of its rejected 3% pay offer to more than 1.3-million public servants, unions say they will down tools next week to back their demands for above-inflation increases. Strike certificates have been issued to Cosatu’s largest affiliates, including Nehawu, Popcru and Denosa. The SA Policing Union (Sapu) and the Health and Other Service Personnel Trade Union of SA (Hospersa) have also received strike certificates and are considering going on strike. “On Thursday, we are having a joint media conference of public service unions. We are going to outline our programme of action,” said Nehawu’s Lwazi Nkolonzi. The SA Democratic Teachers Union (Sadtu) won’t be part of the strike next week because it has accepted the 3% offer, as has the National Professional Teachers’ Organisation of SA and the Suid-Afrikaanse Onderwysersunie. The planned strike comes after the Public Servants Association (PSA) embarked on a one-day strike across the country last week. The union gave the government seven days to respond to its demands. But a Department of Public Service & Administration spokesperson said on Tuesday that the employer would not be responding to the PSA as “there is nothing to respond to.” The PSA’s Reuben Maleka said the union would intensify its strike action by strategies such as a joint industrial action planned for next week Tuesday. Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (subscriber access only) PSA warns of intensified action over public sector wage increases, mulls marches to ministers' homes Fin24 reports that the Public Servants Association (PSA) has threatened to intensify its industrial action in the public service sector and is entertaining a revolt against paying municipal rates and possible marches to the homes of Cabinet ministers. This comes as the deadlock in the public wage talks rages on, after the government unilaterally implemented a 3% baseline wage increase in the public service, which will be paid to all qualifying public servants from this week. The PSA is demanding a 10% baseline increase, as are public service unions affiliated with the ANC-aligned Cosatu. Only the SA Democratic Teachers' Union (Sadtu) has accepted the 3% wage offer from the government, albeit reluctantly. The PSA said in a statement that after last week's action, it was prepared to turn up the heat on the government with protest demonstrations that would bring the pressure straight to ministers' front doors. "Marches on national roads and night vigils at strategic places, including ministers' residences, are not ruled out as workers are frustrated by increasing poverty while thieves are enriching themselves with public funds. Public servants may further consider boycotting payment of municipality bills owing to unaffordability and privileges for politicians until government pays attention," the statement indicated. The union warned that an intensified strike would frustrate processes at border posts and slow down, if not halt, the issuing of identity documents and passports. Read the full original of the report in the above regard by Khulekani Magubane at Fin24
Tongaat Hulett gets nod from lenders for extension of business rescue plan Fin24 reports that the business rescue practitioners of distressed sugar producer Tongaat Hulett said on Tuesday the majority of its lenders had agreed to extend the date for the publication of its rescue plan to the end of January. The extension of about two months comes as Tongaat also secured the advancement of initial amounts of post commencement financing, which has facilitated payments of salaries and certain critical suppliers and creditors. This financing was still subject to "the perfection of the general notarial bonds registered in favour of the lenders," Tongaat said in a business rescue update, with this referring to the identification of assets that will form as security for the creditors. Tongaat entered into business rescue, a form of bankruptcy protection, in late October. The fate of a firm which produces over 40% of SA's sugar has raised serious concern the livelihoods of tens of thousands of people as well as thousands of small and large firms that rely on the sugar producer. Read the original of the short report in the above regard at Fin24
Petrol set for price hike in December, but diesel may be cut Fin24 reports that according to the latest information from the Central Energy Fund, petrol prices may be hiked in the first week of December, ahead of SA’s peak travel season. However, diesel could ease from record high levels. The fuel prices are usually adjusted on the first Wednesday of a month and determined by the price of oil and the rand-dollar exchange rate. The data shows that 95 unleaded petrol could be increased by around R1.10 a litre in December, with 93 petrol due for a 97c hike. But diesel may be cut from record-high levels, and currently looks set for a decrease of between 27c and 35c. Following another hike this month, the Gauteng diesel price is now at R25.49 a litre – a new record high. A year ago, Gauteng's diesel price was around R17.20 per litre. In Gauteng, 95 petrol costs R22.87 a litre, compared to R19.54 a year ago – but down from a peak of R26.74 in July. Read the original of the report in the above regard at Fin24
Health department’s court bid to reverse ruling on ‘certificate of need’ for healthcare providers postponed BL Premium reports that the North Gauteng High Court has postponed the Department of Health’s (DOH’s) application to scrap a judgement handed down earlier in 2022, which torpedoed its plans for deciding where doctors work. In June, acting judge Thembi Bokakao upheld an application brought by trade union Solidarity and five other parties challenging the constitutionality of the National Health Act’s “certificate of need” provisions, which are an integral part of the government’s plans for National Health Insurance (NHI). Her ruling requires confirmation by the Constitutional Court (ConCourt) before it comes into effect. Under NHI, the government intends to manage the distribution of health services by requiring healthcare professionals and facilities to obtain a certificate of need before they can set up shop or expand a practice. The DOH, which did not oppose Solidarity’s original high court application, launched a high court bid on 28 July to rescind Bokako’s judgement. It then launched a stay application on 27 September to delay the ConCourt’s confirmation of her finding of unconstitutionality, pending the outcome of its recission application. On Tuesday, acting judge Jaco van Heerden ruled that the recission application be postponed while the ConCourt considered the matter, and awarded costs to Solidarity. “Without [the certificate of need], they cannot tell doctors where and how they should practice. The medical sector in SA does not need yet more bureaucracy … this type of legislation leads to ineffective care, a sicker country, and outrage among medical staff whose rights are being trampled on,” Solidarity’s deputy CEO for legal matters, Anton van Bijl, commented. Read the full original of the report in the above regard by Tamar Kahn at BusinessLive (subscriber access only) Other internet posting(s) in this news category
KZN social development MEC hits back at DA over social worker 'exodus' claims, saying they’re ‘absolute lies' News24 reports that the Democratic Alliance (DA) is demanding answers from KwaZulu-Natal (KZN) Social Development MEC Nonhlanhla Khoza after the reported resignation of numerous social workers from the provincial department. But Khoza says the allegations are "absolute lies" and that the party is "clutching at straws in order to tarnish the image of the department". According to the DA, the "exodus" of social workers was raised during a recent social development portfolio committee meeting. "The exodus comes at a time when the department is already experiencing challenges due to insufficient social workers on the ground. The situation also indicates a major problem within the department and a lack of measures being taken to mitigate ongoing issues," the DA claimed. The party has demanded to know how many social workers are in the province, how many have resigned and the department's plans to retain staff. But Khoza said the DA "twisted facts" to create "panic among the public". She reported that of the 1,735 employees, including social workers, supervisors, and managers, 11 had resigned since the beginning of April. Khoza said: “The conduct of the DA is highly irresponsible and deeply regrettable because there is absolutely no mass departure of social workers. What we shared with the portfolio committee was a normal report of human resources issues within the department.” She added that it was a normal turnover rate and that some of the resignations were employees who were retiring or "seeking greener pastures". Read the full original of the report in the above regard by Nicole McCain at News24
City of Joburg to re-verify CV of Joburg Roads Agency CEO after fake qualifications claims News24 reports that the City of Johannesburg says it will re-verify the qualifications of the Johannesburg Roads Agency's (JRA’s) CEO, Tshepo Mahanuke, amid questions over his qualifications. According to Daily Maverick, Mahanuke claimed to have a degree that doesn't exist. The publication reported that the honorary doctorate from Trinity International University of Ambassadors in the United States can be bought for a small "support honorarium". It also reported that Mahanuke's resumé and CV state that he has a master's degree in "competitive intelligence" from ACI College, Harvard Business School. However, this degree is reportedly not offered at Harvard and ACI is a separate college. His resumé reportedly also states that he received an "undergraduate engineering degree from the Vaal University of Technology (VUT)", but he holds a diploma after completing an engineering technician course. On Monday, Mayor Mpho Phalatse called for an investigation into the allegations and said she had requested a full report from MMC for transport, Funzela Ngobeni, and the chairperson of the JRA board, Thabo Motloung. Ngobeni said the allegations had the "potential to sully the good work done thus far, to bring stability to an organisation that, in recent times, has not lived up to the responsibility for which it was created". Read the full original of the report in the above regard compiled by Nicole McCain at News24. Read too, Joburg Roads Agency CEO, Tsepho Mahanuke, distances himself ‘fake qualifications’ claims, at IOL
Cosatu and Fedusa call for an extra Xmas public holiday, but Busa says SA can't afford to close businesses SowetanLive reports that the Congress of SA Trade Unions (Cosatu) together with the Federation of Unions of SA (Fedusa) have called for President Cyril Ramaphosa to declare 27 December a public holiday. With Christmas Day falling on a Sunday this year, the two biggest union federations said in a joint statement that workers would forfeit their pay or resting day if the president did not make the declaration. “The 25th of December 2022 is on Sunday and the Goodwill Day's public holiday would fall on Monday the 26th. This means that workers would lose out on both holiday pay and rest time during this public holiday,” Cosatu spokesperson Sizwe Pamla pointed out. He said this was important for workers as the Christmas period was the only time they could travel home to rural areas to spend time with their children and families after a long year’s hard work. However, Business Unity SA’s Cas Coovadia disagreed with the proposal, saying the closure of businesses would negatively affect the economy. "It will have significant impact on an economy that is already not growing. In the current context we need to grow the economy, we need to grow jobs, we need to increase our tax income. All I am saying is that we should be bending over backwards to do business on as many days as we can rather than closing the businesses," he said. Read the full original of the report in the above regard by Noxolo Sibiya at SowetanLive
Four-day work week pilot gathers momentum - but not all experts agree that it will work in SA Saturday Star reports that the debate around whether SA is ready for a four-day work week is gaining momentum as more businesses sign up for a pilot, due to kick off in February 2023. But not all the experts agree that this could work in SA. The project is the brainchild of the Stellenbosch University (SU) Business School’s director, Professor Mark Smith, who said the five-day work week was a made-up rule after the Industrial Revolution and the pilot would present many opportunities to work differently. “But I don’t want people to see this as some kind of magic bullet. Work will become more intense. You will have fewer spaces in your work day.” According to Smith, the four-day work week was already working well in the UK and Europe and was showing that people were more effective. IQbusiness, SA’s largest management and technology consulting firm, last week took the lead in announcing its participation in the pilot. Director of the 4-Day Week SA, Karen Lowe, said smaller companies and those in the professional services sector were generally the early triallists because it was easier for them to make big changes. But, Professor Dieter von Fintel, from the Department of Economics at SU, said he believed only high-end service sector companies who employed professional workers would opt in. “It is my opinion that it is infeasible for the majority of employees to work fewer hours and get the same outputs, and that the four-day work week is only suited to a small group of highly skilled workers. In other words, I don't believe it is broadly suited to the structure of our labour market,” he stated. Read the full original of the report in the above regard by Norman Cloete at Saturday Star
Cosatu urges state to probe graft at UIF after R221m spent on training employed people SowetanLive reports that Cosatu has called on the government to urgently deal with allegations of serious corruption at the Unemployment Insurance Fund (UIF). The institution plays a critical role in helping workers who have lost their jobs. But, it was reported at the weekend that the UIF blew R221m in three months, training over 14,000 workers in KwaZulu-Natal who were already employed and being paid a monthly stipend through a conditional grant from the national department of basic education. Cosatu spokesperson Sizwe Pamla said the report of “dubious” courses costing millions of rand was deeply alarming. “It is also disheartening that this comes after allegations emerged a couple of months ago that UIF was fleeced of about R1.7bn through some questionable investments, including the R2.7bn which was reported to have been flagged by the A-G’ s office. These are big sums of money which should be paid to deserving workers who have no income replacement,” Pamla said. He claimed that it had become clear to the federation that the Department of Employment and Labour could not be trusted to run the UIF as it has become a “slush fund for corrupt elements in both government and the private sector”. He went on to say: “The federation will be engaging with other labour federations and stakeholders on a roadmap to overhaul the UIF and ensure it is an efficient institution that can provide efficient services to workers. We will also be calling on President (Cyril Ramaphosa) to put the UIF under administration with certain conditions to protect this institution against further looting both in government and the private sector.” Read the full original of the report in the above regard by Penwell Dlamini at SowetanLive
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