Today's Labour News

newsThis 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.

news shutterstockIn our roundup of weekend news, see
summaries of our selection of South African
labour-related stories that appeared since
Thursday, 15 June 2023.


YOUTH DAY / YOUTH MONTH

Mashatile claims government has created 'employment opportunities' for young people, despite sluggish economy

News24 reports that Deputy President Paul Mashatile says government remains concerned over the slow performance of the economy, which makes it tougher for young people to find employment. He indicated that the government was committed to accelerating youth-driven programmes to create employment opportunities.   Mashatile was speaking virtually on Youth Day on Friday after his office said he could not attend an in-person event due to weather disruptions. The deputy president lamented that the economy was performing at dismal levels, making it difficult for the country to make a dent in the worrying unemployment rate, particularly among the youth. But Mashatile said there had been some government successes in creating youth training and temporary work programmes.   He indicated that entrepreneur grants through the National Youth Development Agency had yielded gains.   The government had also provided working opportunities through the Presidential Employment Stimulus, with around 650,000 work opportunities having been created, with 80% of those among the youth. While Mashatile highlighted the government's successes, opposition political parties holding their Youth Day commemoration events pointed to the ANC's failures. DA leader John Steenhuisen told a crowd of supporters in the Eastern Cape that most young people had no work because of the ANC's cadre deployment policy. He continued: "Through its disgraceful education system, the ANC of 2023 is condemning the majority of young people in this country to a life of poverty just like the government of 1976 did. […] Over a third of young people with university degrees cannot find work."

Read the full original of the report in the above regard by Zintle Mahlati at News24. See too, Government concerned with slow pace of economic growth, youth most affected, says Mashatile, at EWN

We must create job opportunities for young people, says Angie Motshekga

News24 reports as the country celebrates Youth Month, Basic Education Minister Angie Motshekga says high unemployment continues to be a concern. During a media briefing on Sunday, Motshekga said young people needed to be equipped with skills that would sustain them for their future.   "We have a responsibility to create employment opportunities, particularly for the youth who are neither in employment, education nor training," Motshekga pointed out.   Her department said it would be implementing the Presidential Youth Employment Initiative (PYEI). Now in its fourth phase, the Basic Education Employment Initiative seeks to give effect to the objectives of the PYEI, which is SA’s most comprehensive response to addressing rampant youth unemployment. This phase will see 255,000 young people appointed in ordinary public schools as well as schools for pupils with special education needs across the country, Motshekga advised. Last month it was reported that the official unemployment rate increased by 0.2 of a percentage point to 32.9% in the first quarter of 2023. The Quarterly Labour Force Survey showed the number of unemployed people increased by 179,000 to 7.9 million.   Motshekga also said reading was crucial in getting young people to understand their role in society. Over the past month, there has been a raging debate about reading in schools.

Read the full original of the report in the above regard by Lisalee Solomons at News24. Read too, Unequal education system risks ‘snuffing out’ SA youth’s potential: Amnesty International, at EWN

Other internet posting(s) in this news category

  • Malema calls for unemployed youth to receive monthly stipend, at Daily News
  • Metropolitan partners with Uber to get youth geared up for success, at Sunday Independent


ESKOM WAGE DEAL

Eskom three-year wage deal hailed for ushering in stability

BL Premium reports that in a move hailed for heralding labour stability for Eskom’s operations, the state-owned power utility and three unions have signed a pay agreement that will see all nonmanagerial staff get increases of 7% a year for three years. The deal hammered out at the central bargaining forum (CBF) is effective from 1 July 2023 to 30 June 2026 and was signed by Eskom management and the National Union of Metalworkers of SA (Numsa), the National Union of Mineworkers (NUM), and Solidarity. It includes a 7% annual rise in the housing allowance for the duration of the agreement. The lowest-paid employees that are party to the CBF are to receive a once-off taxable payment of R10,000 for the first two years. NUM and Numsa, the two largest unions representing the majority of Eskom’s estimated workforce of 42,000, initially demanded raises of 15%, which they reduced to 11% and 12%, respectively. Solidarity members demanded 3% more than the average inflation rate. The cash-strapped power utility started with an initial offer of 3.75%, which it adjusted to 4.5%, and then 5.25%, but unions rejected these offers. The parties finally settled on 7% on Thursday.   Eskom acting group CEO Calib Cassim commented on the deal: “The collective agreement will go a long way in stabilising our organisation by providing Eskom with sufficient space and time to collaboratively work together to urgently address our most pressing challenges. This is the first time in more than a decade that the parties have reached agreement in the [negotiating] room.” Eskom staff are essential service workers, meaning they cannot legally go on strike.

Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (subscriber access only). See too, Eskom workers get 7% pay rise, at Moneyweb

Some economists shocked over Eskom agreeing to 7% annual wage hikes

EWN reports that some economists have expressed shock after Eskom agreed to a 7% annual increase for all non-managerial employees over the next three years. During their central bargaining forum meeting on Thursday, Eskom reached an agreement with the National Union of Mineworkers (NUM), the National Union of Metalworkers of SA (Numsa) and Solidarity. Chief economist of the efficient group, Dawie Roodt, said the 7% annual wage agreement was a slap in the face of taxpayers. “We’ve got something like 45,000 people getting paid by Eskom and they are getting increases well ahead of the inflation rate in South Africa while many millions of South Africans are losing their jobs. There is no way we can allow this,” he reacted. CEO for the South African Savings Institute, Gerald Mwandiambira, said the cost of this agreement was likely to be felt by the taxpayer: “It will have an impact on the majority of the country in terms of the Eskom customers because that cost is likely to be passed on to the customers either directly through electricity bills or indirectly through subsidies which are obviously supported by the government.”   The wage agreement will come into effect from next month until 2026.

Read the original of the short report in the above regard by Orrin Singh at EWN

Other internet posting(s) in this news category

  • Eskom-loonverhoging sonder haakplekke op 7% vasgestel, by Maroela Media


GAUTRAIN WAGE NEGOTIATIONS

Numsa secures strike certificate, says the ball is in Gautrain's court

EWN reports that as a possible strike by Gautrain workers looms, the National Union of Metalworkers of SA (Numsa) says the ball is in the high-speed commuter company’s court. The union has secured a strike certificate and will be balloting its members on 28 June. This follows deadlocked wage talks after a decision to do away with staff cards that allow employees to use the Gautrain for free. According to the union, it has requested a meeting with the Gautrain management team scheduled for 28 June in hopes of finding a resolution.   Numsa spokesperson Phakamile Hlubi-Majola said the company needed to rethink the staff card matter. “We hope Gautrain management will avail themselves for this meeting because we would prefer not to go on strike. So, the ball is in their court. If they want to avoid strike action, then they really need to renegotiate their position on the staff cards because it really has become a major hurdle and a major source of the deadlock between us in these wage talks,” she indicated.

Read the original of the short report in the above regard by Bernadette Wicks at EWN

Numsa abandoned Gautrain wage negotiations, claims Bombela Operating Company

EWN reports that according to the Bombela Operating Company, the National Union of Metalworkers of SA (Numsa) has abandoned Gautrain wage negotiations. Meantime, Numsa has warned of a looming Gautrain strike following a deadlock in wage negotiations with the company. The union claims the company wants to “abolish” housing allowances for its members. The other bone of contention in the talks is the cancelling of cards permitting free train rides for staff. Gautrain spokesperson Kesagee Nayager claimed that Numsa walked out amid engagements. "Wage negotiations between the Bombela Operating Company and Numsa has unfortunately deadlocked and the CCMA has since issued a certificate of non-resolution.   The Company and Numsa had agreed upfront to have three wage negotiation sittings, but Numsa abandoned the negotiations after the second sitting," said Nayager. According to Nayager, the union has in principle agreed to a proposed increase for housing allowances, which was contradictory to Numsa’s allegations that the company sought to abolish the housing allowance. He also asserted that the cancellation of cards permitting free train rides affected less than ten employees based at the depot. The company remained open and willing to engage further with Numsa to reach an amicable agreement, said Nayager.

Read the full original of the report in the above regard by Bernadette Wicks at EWN


MINING LABOUR

Two arrested with catalytic converters worth R1.7m stolen from Impala Platinum Mine

TimesLIVE reports that following up on information about a Bidvest Protea Coin Security vehicle in Rustenburg on Thursday, the Hawks’ serious organised crime investigation unit arrested a company employee and his alleged accomplice. “The vehicle was traced to a house in Phokeng, where the team searched the premises, including a shack, and allegedly found catalytic converters worth approximately R1.7m,” Hawks spokesperson Lt-Col Tinyiko Mathebula reported. The shack tenant, an employee of Impala Platinum Mine, was arrested, while the Bidvest employee, who allegedly drove the vehicle, was traced to Boitekong.   He was taken to the scene and allegedly confirmed the goods were stolen from Impala Platinum Mine. Both suspects will appear in the Tlhabane Magistrate's Court on Monday, where they will face charges of theft.

Read the original of the short report in the above regard by Rorisang Kgosana at TimesLIVE. Lees ook, Twee vas wat glo peperduur omskakelaars by myn buit, by Maroela Media

Other labour / community posting(s) relating to mining

  • Mining’s inability to absorb youth raises questions about its sustainability, at Mining Weekly


APPOINTMENTS / RECRUITMENT

Cell C appoints former Vodacom executive Jorge Mendes as its new CEO

Fin24 reports that SA's fourth-biggest mobile operator Cell C has appointed former Vodacom executive Jorge Mendes as its new CEO with effect from the beginning of July. Mendes was most recently chief consumer officer at Vodacom and has more than 25 years' experience in the industry. He replaces Craigie Stevenson, who was appointed in 2019, but stepped down in March to pursue other opportunities. Mendes’ appointment comes at a pivotal time for the company with increasing competition in the market. "He has a proven track record of driving growth and profitability in challenging market conditions, and his appointment is seen as a positive step towards restoring Cell C’s position as a key player in the industry," Cell C staed. "I am excited to be joining Cell C at such a critical time in its history. My focus will be on delivering a true customer-centric approach that exceeds the expectations of South Africans,” said Mendes.

Read the full original of the report in the above regard compiled by Karl Gernetzky at Fin24

Johann Kotzé appointed new CEO of Agri SA as sector faces tough challenges

Business Report writes that Johann Kotzé was appointed on Thursday as the new CEO for agricultural organisation Agri SA, with his tenure beginning in October. He grew up in a farming family in North West and went on to complete a bachelor’s degree in agricultural economy at the University of Pretoria, a master’s degree in business management and administration, as well as an executive development programme at the Stellenbosch Business School. Kotzé started his career as a farmer and, thereafter, he became an agricultural banker at Absa. After working as a corporate banker in Mozambique, he became an independent business consultant. Kotzé returned to banking and oversaw Africa agriculture for FNB.   Since 2017, he has served as CEO of the South African Pig Producers Organisation. Kotzé is appointed at a time the agriculture sector faces several challenges. In the first quarter of this year, agriculture gross value added sharply contracted by -12.3% quarter on quarter (seasonally adjusted). Jaco Minnaar, Agri SA president, congratulated Kotzé on his appointment and said it came at a critical point in SA’s trajectory. “In the coming years, agriculture will have to navigate the combined impact of challenges such as climate change, deteriorating infrastructure, decaying service delivery, rural safety, shifts in global markets and policy uncertainty,” he commented.

Read the full original of the report in the above regard by Given Majola at Business Report. Lees ook, Nuwe hoof vir Agri SA, by Maroela Media

NPA to charge two senior cops for dodgy appointments

City Press reports that the National Prosecuting Authority (NPA) has decided to lay criminal charges against two senior police officers for their involvement in nepotism and corruption in recruitment processes within the SA Police Service (SAPS). The two Limpopo officials are expected to appear in the Pretoria Magistrate’s Court on 28 June. “Their case followed the Independent Police Investigative Directorate [Ipid] probe which found that the pair had altered scores for candidates applying for promotions within the police service,” said a source privy to the investigation.   The complainant in the case was apparently Matome Mohale, former police station commander in Westenburg, Limpopo. “The complainant holds an honours degree in policing, among other qualifications.   He was always shortlisted for interviews, but candidates with less experience and fewer qualifications always got the promotions, while his career within the service remained stagnant,” the source indicated. Another source alleged that the two senior police officers, who always sat on interview panels, frequently altered the scores of candidates to suit their preferred choices. However, on one occasion, someone else on the panel decided that this malpractice had to stop and refused to cooperate. The panellist made a sworn statement to Ipid, which led to the prosecution service preferring the charges against the officers. The NPA has apparently also instructed Ipid to establish whether the implicated officers received any gratifications for altering the scores.

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


UNPAID SALARIES

Contract nurses at Dr George Mukhari Hospital desperate after Gauteng health department fails to pay them for two months

News24 reports that about 200 contract nurses at Dr George Mukhari Academic Hospital in Ga-Rankuwa are at their wits' end after they not receiving their salaries for at least two months. Nurses said their last salary payment was at the end of March and that they had been sent from pillar to post in their quest for answers.   One nurse said about the situation:   "On 31 March, we signed new contracts, however after two weeks, we received letters apologising for the late payment. We went to HR for more inquiries and were told there were no posts for us. They were still waiting for the head office to issue them with our posts. They didn't give us a specific date for receiving our salaries." One of the nurses indicated: "We were told the reason for us not getting paid was the unavailability of posts. The nurses on the ground are very anxious and demoralised." The nurses, who are on fixed-term contracts, are referred to as "Covid-19 contract staff" in the department because they were employed during the height of the Covid-19 pandemic. Communication from the department suggested that the intention was to create permanent nursing assistant and staff nurse posts which the contract nurses could apply for. But they were left in confusion when they saw the Gauteng health department advertise vacancies for staff nurses at the hospital after they were told there were no posts available. When the nurses threatened to strike over non-payment they said they were reminded that there was a no-work, no-pay policy. The nurses are not aligned to a union and are representing themselves.

Read the full original of the report in the above regard by Yoliswa Sobuwa at News24 (subscriber access only)


RETIREMENT FUND CONTRIBUTIONS

Stricter rules put in place to ensure retirement fund contributions are paid by employers

Smart About Money reports that employers who fail to pay retirement fund contributions as agreed will find it increasingly difficult to do so without employees and the public at large knowing about it. New measures have been put in place to oblige funds to inform members directly when contributions have not been paid as required by the fund rules. In addition, the regulator plans to name and shame offending employers. Members have until recently often been oblivious to the fact that employers have failed to pay contributions deducted from their pay into their fund, or that this amounts to theft. Typically members have only found out that their own or their employer’s contributions have not been paid when they claimed their benefits on resignation, disability or retirement. This has resulted in more than 3,000 complaints to the Pension Funds Adjudicator annually. A new conduct standard under the Financial Sector Regulation Act that became effective in February this year, obliges employers to provide funds with the contact details of all employees who become members of a fund.   This will enable funds to contact members directly. The conduct standard also introduces stricter deadlines for administrators and principal officers to report the failure to pay contributions to the fund to members, the regulator and the police. The Pension Funds Act obliges employers to pay contributions to a fund by the 7th of the month following the month for which they are due. The new conduct standard obliges trustees to determine the name of the person at any employer who is to be held personally liable for the unpaid contributions. Thats person can be fined R10 million or sent to prison for 10 years for not ensuring contributions are paid.

Read the full original of the informative report in the above regard by Laura du Preez at Fin24

Other internet posting(s) in this news category

  • The next workplace trend: the ‘Great Unretirement’, at The Citizen


ALLEGED CORRUPTION / FRAUD

Polokwane municipality suspends two senior officials after forensic report implicates them in corruption

News24 reports that two senior officials at the Polokwane Local Municipality in Limpopo have been suspended following a forensic report that detailed a litany of corruption. According to the municipality, more officials implicated in the report will be subjected to "consequence management".   The report, compiled by forensic firm Bowman-Gilfillan, was tabled at a recent council meeting and revealed how some senior officials were involved in corrupt activities. These included major irregularities with supply chain management processes and officials altering documents to hide inadequacies.   Another issue related to irregularities in the appointment of a service provider for rapid bus transport, which could see the municipality losing R17.8 million due to prepayment for buses. There were also verified cases of malfeasance in water projects and numerous contraventions of the Municipal Finance Management Act. But, councillors were only allowed access to the summarised version of the report during a recent council meeting. Mayor John Mpe said while the report contained names of officials, "this does not mean they are guilty of wrongdoing".   He stated that the report should not be seen as a witch hunt and the implicated officials had to go through the proper disciplinary processes to test the validity of the allegations.

Read the full original of the report in the above regard by Russel Molefe at News24

Other internet posting(s) in this news category

  • Tronkstraf vir hoftolk wat dossier vir geld wou laat verdwyn, by Maroela Media
  • ‘Lokval’ by Medupi fnuik vermeende kabeldiewe se planne, by Maroela Media

 


Get other news reports at the SA Labour News home page