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 Tuesday morning roundup, see
summaries of our selection of recent South African
labour-related reports.


TOP REPORT – TREASURY CRACKS WHIP

Treasury withholding nearly R1 billion in funding from Nelson Mandela Bay over choice of new head of development agency

News24 reports that almost R600 million in grant funding has been withheld from the Nelson Mandela Bay Municipality by the National Treasury and the city is at risk of losing a further R388 million that is due before the end of July. This is because Anele Qaba was named as the new chief executive of the Mandela Bay Development Agency (MBDA), which receives its mandate from the municipality.   Qaba was the metro's executive director for Economic Development, Tourism and Agriculture (EDTA) and was suspended in June last year following alleged financial misconduct. However, the municipality finalised a settlement agreement with him in February this year and he received a golden handshake equivalent to the remuneration for the remaining 16 months of his employment contract. In a letter to the city manager, Dr Noxolo Nqwazi of the National Treasury expressed concerns about Qaba's new role and said this could lead to penalties for the city, such as conditional grant funding being withheld. The National Treasury pointed out that to its knowledge, Qaba was suspended on allegations of gross misconduct as it related to supply-chain management processes on the appointment of socio-economic consultants.   The Treasury's Malijeng Ngqaleni indicated: “These processes about Mr Anele Qaba raise questions about the legality of the process on his appointment as the CEO of the agency.” The National Treasury also requested more insight in the form of reports pertaining to Qaba's suspension as the head of EDTA, the grounds on which the golden handshake was made, information about Qaba's formal qualifications as well as a council resolution for Qaba's appointment as MBDA CEO. Furthermore, it said Qaba's appointment should be suspended until such information was received. The mayor's office said that an internal process with the MBDA had commenced and, in the interim, they were “engaging with National Treasury regarding the release of the funding, as we are fully co-operating with them."

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


ESKOM / LOADSHEDDING

Jan Oberholzer to leave Eskom in surprise development

Fin24 reports that in a surprise announcement, Eskom said that the utility and its former chief operating officer Jan Oberholzer would "part ways by mutual agreement". Last month, Eskom confirmed that it had signed a two-year contract with Oberholzer to oversee key projects at coal-fired power station Kusile and nuclear power plant Koeberg. Oberholzer officially retired in April this year, with the board saying it planned to scrap the position of COO upon his departure. His retirement followed the contentious exit of former chief executive officer André de Ruyter. Eskom's acting group CEO Calib Cassim said at the time that he had appointed Oberholzer on a contract basis to oversee the completion of the critical projects at Kusile and Koeberg. Oberholzer worked for the utility for more than 30 years.   "Eskom expresses gratitude to Mr Jan Oberholzer for his dedicated service, expertise and valuable contributions during his tenure. We wish him well in his future endeavours," the state-owned utility said in a statement. Eskom indicated on Monday that Oberholzer's last day would be 31 July 2023.     However, according to two well-placed sources, he left at the end of last week.

Read the full original of the report in the above regard at Fin24. Lees ook, Jan Oberholzer groet Eskom, by Maroela Media

A 'very, very worried' Ramokgopa sounds alarm on Koeberg refurbishment

Fin24 reports that Minister of Electricity Kgosientsho Ramokgopa says that he is "very, very worried" that the Koeberg refurbishment is behind schedule, which will result in higher stages of load shedding continuing into 2024. At a briefing on the state of the electricity supply on Monday, he said:   “I've asked for a more detailed report, and the more we get an indication of what the issues are, the more we are getting very, very, very worried. It is something that requires urgent attention.” Koeberg, SA's only nuclear power station, is undergoing an extension of life which involves the replacement of all the steam generators in both units. Ramokgopa said if the outages of the two units overlapped, it would be "a huge dent" in Eskom's generating capacity. The licence for Koeberg to continue operating expires in July 2024, after which it must close unless the plant has been successfully refurbished and relicensed. Ramokgopa, who two weeks ago announced that Eskom had turned a corner only for the utility only to be hit again by Stage 6 load shedding, said that he believed SA was now through the worst of winter. He added that he did not expect load shedding to reach Stage 7 or 8.

Read the full original of the report in the above regard by Carol Paton at Fin24. Lees ook, Koeberg-opknapping: Mantashe wys hulp van die hand, by Maroela Media

Police probing over 1,500 cases of possible sabotage at Eskom, says Ramokgopa

IOL reports that Electricity Minister Kgosientsho Ramokgopa says issues related to possible sabotage at Eskom, including matters of fraud, corruption, and security at the power utility, are receiving urgent attention, with police currently investigating at least 1,500 cases.   Speaking at a media briefing in Pretoria on Monday, Ramokgopa said since April last year, over 2,000 cases had been reported to the police for investigation as Eskom tried to get a grip on the power crisis affecting the lives and livelihoods of all South Africans.   Ramokgopa advised that of the 2,147 cases which had been reported, 1,586 were still under investigation by the police and this had resulted in over 126 people having been arrested.   These included alleged diesel thieves who were arrested last year after fleecing thousands of litres of fuel from the state-owned enterprise. In June, Eskom placed head of security Karen Pillay on precautionary suspension following allegations she was involved in irregularly awarding a R500 million security tender to Fidelity. “In addition to the technical solutions that we are seeking to resolve the issues at Eskom, we are also focused on addressing some of the underlying problems which have been issues of fraud, corruption and security,” said Ramokgopa. He indicated that this involved interactions with officials and staff at Eskom, working with police, doing patrols at power stations and visiting coal yards and local scrap dealers in a bid to understand the nature of the criminal activities. Ramokgopa, who also apologised to South Africans after the country was plunged into Stage 6 load shedding at the weekend, said load shedding was unacceptable and Stage 6 blackouts should never become the norm.

Read the full original of the report in the above regard by Sihle Mlambo at IOL

Other internet posting(s) in this news category


SAFETY & SECURITY

Gang of 12 that tried to rob a Pretoria police building and wounded cop ‘must have had inside info’

News24 reports that suspects posing as police officers who attempted to gain entry into a SA Police Service (SAPS) building in Pretoria late on Sunday evening, are believed to have been given inside information about what was stored there. A Ford Ranger, which was allegedly fitted with police lights and a siren, arrived at the SAPS buildings. While security guards were speaking to the driver, who was dressed in a police uniform, a group of armed men emerged from behind the bakkie and overpowered the guards. There were at least 12 suspects. After the guards were tied up and two suspects kept watch over them, the rest of the armed men proceeded directly to a specific SAPS building. While they were trying to gain access to the building, an on-duty police officer intervened. A shootout ensued, and the police officer was wounded. According to police spokesperson Brigadier Athlenda Mathe, the armed men fled the scene with the member's service pistol, car keys, a petrol card and R145 in cash. The wounded police officer was rushed to hospital, where he is in a stable condition. According to a source, the evidence pointed to information having been fed from the inside, while another said that only a few people knew what was being kept in the building and when would have been the best time to attempt a break-in.   Mathe said that for security reasons, they were not at liberty to discuss what was stored or kept at the building, but she dismissed speculation that the suspects were attempting to steal police uniforms.

Read the full original of the report in the above regard by Alex Mitchley & Botho Molosankwe at News24 (subscriber access only). Read too, Vigilant cop foils armed robbery at police building in Pretoria, at SowetanLive. En ook, Swaargewapende aanvallers slaan toe op polisiegebou, by Maroela Media

Other internet posting(s) in this news category

  • Gunmen open fire on metro cops in Ekurhuleni on Monday, hit petrol tanker driving by, at News24


TRUCKING SECTOR ATTACKS

Five suspects held for torching trucks face attempted murder charge

News24 reports that the five men arrested for allegedly torching trucks also stand accused of attempting to kill a truck driver.   The attempted murder charge stems from the men having thrown petrol bombs at the truck. The men allegedly assaulted the truck driver, Bhongolwethu Bhongo Dayimani, and attempted to take a trailer containing chrome valued at R3 million. They made a brief appearance in the Ermelo Magistrate's Court on Monday. Three of the accused are from KwaZulu-Natal and two are from Mpumalanga. They face charges of attempted murder, robbery with aggravating circumstances, malicious damage to property, conspiracy to commit a crime of malicious property damage, and possessing a firearm. The men informed the court they would be appointing private attorneys.   They also claimed they were assaulted by the police. Twenty-one trucks were set alight in the recent past across three provinces.   According to the charge sheet, on 12 July, near Sheepmoor, the accused unlawfully and intentionally damaged trucks worth millions of rands. It claimed they unlawfully and intentionally conspired with fellow truck driver forum members to damage trucks transporting goods on the N2, near Kinross. The matter was postponed to 27 July.

Read the full original of the report in the above regard by Iavan Pijoos at News24. Read too, Case against five arrested for truck attacks postponed as three claim assault by police, at SowetanLive. And also, Four drivers among five suspects who torched trucks, at SowetanLive

Other internet posting(s) in this news category

  • SAPS rubbishes claims that Operation Dudula and All Truck Drivers Forum are behind truck attacks, at IOL


WAGE NEGOTIATIONS

Employees at Eskom subsidiary Eskom Rotek Industries get 7% wage increase

BusinessLive reports that employees of Eskom Rotek Industries (ERI) will now enjoy the same benefits as their colleagues at cash-strapped Eskom after recently reaching an above-inflation pay deal.   ERI is an Eskom subsidiary providing construction, maintenance and transportation services to the power utility’s operations. Numsa general secretary Irvin Jim said the multi-term wage agreement would see Rotek employees – just like their Eskom counterparts – receiving increases of 7% a year for three years. Lowest-paid employees who are party to the central bargaining forum will get taxable payments of R10,000 for the first two years. The deal, which is effective from 1 July to 30 June 2026, includes a 7% annual rise in the housing allowance for the period of the agreement. Jim commented on Friday that achievement of inflation-based increases for three years “is definitely an achievement given the current economic climate”. In June, Eskom management, Numsa, Solidarity, and the National Union of Mineworkers signed a similar agreement at the central bargaining forum. Numsa has clinched several wage deals across the various sectors. Two weeks ago, the union reached a one-year above-inflation wage increase of 8% across the board for Gautrain workers. In May, Numsa signed a multi-term wage agreement with ArcelorMittal SA that will result in workers in the steel manufacturer increases of 6.5%.

Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive


E-HAILING STRIKE

Some Bolt and Uber drivers, ‘left with nothing’, strike over high commission, safety fears

Fin24 reports that a number of drivers on e-hailing platforms such as Bolt and Uber embarked on a national strike on Monday, protesting both their pay structures and raising concerns over their safety.   Services on the platforms appeared to still be largely available, although Bolt noted that the protest action had resulted in customers waiting longer than usual for rides across SA's cities. There also seemed to be no national command structure behind the action, with strikes seemingly organised on an ad hoc basis by driver associations in different provinces. The central issues appeared to include the pricing of rides, which drivers claimed were too low, as well as the 25% service fee e-hailing that platforms generally charged. According to one of the posters advertising the protest action in KwaZulu-Natal (KZN), it appeared drivers wanted a standard fee of R50 to apply for all trips between 0km and 5km instead of the more variable rate that was applied currently. They were also seeking that the 25% commission that was paid to the e-hailing platforms be reduced to 15%. Additionally, they wanted to introduce a cancellation fee on cash and card trips and the "verification of clients for driver safety against hijacking", including the use of ID numbers when customers uploaded the app. An Uber driver indicated that drivers were finding it "difficult to make a living" and said they were effectively "left with nothing" after paying the 25% commission. Sipho Mabika of the KZN E-Hailing Council, said the protest would last "until further notice", adding that the strike had been "successful" in KZN.

Read the full original of the report in the above regard by Nick Wilson & Tshepiso Motloung at Fin24


SURPRISE AMSA RESIGNATION

ArcelorMittal SA chief financial officer resigns after just 16 days into the job

BusinessLive reports that the chief financial officer (CFO) of ArcelorMittal SA (Amsa), Siphamandla Mthethwa, has resigned with immediate effect after a 16-day stint in the position. In a statement to shareholders on Monday, the steel giant said Mthethwa was stepping down as CFO and executive director “for personal reasons”, but did not elaborate. Mthethwa’s appointment was announced in April just hours after Airports Company SA said that Mthethwa had resigned as CFO of the state-owned company that manages airports. At the time, Amsa said his appointment would come into effect on 1 July “or sooner if circumstances permit”. His predecessor, Desmond Maharaj, vacated the position in May 2021, leaving Amsa without a permanent CFO for 23 months. The board of the R4bn JSE-listed company indicated that it had approved chief strategy officer Gavin Griffiths to act as CFO until a new candidate was chosen. The Amsa board added that Griffiths – a qualified chartered accountant with experience at a senior executive level – “is well qualified and has the necessary experience and understanding of the steel industry and the company to fulfil this role effectively.”

Read the full original of the report in the above regard by Michelle Gumede at BusinessLive


NO WORK, FULL PAY

Union blames Eastern Cape health that 45 workers were paid R67 million for sitting at home for two years after hospital was closed

News24 reports that the National Education, Health and Allied Workers’ Union (Nehawu) has defended a group of 45 Eastern Cape health workers who have notched up salaries totalling R67 million for the past two years while sitting at home. They allegedly refused to work at other government hospitals after the provincial health department closed the Orsmond TB Hospital in 2021 because of dwindling patient admissions. While the DA has slammed the department, which has been tight-lipped about the situation, and accused it of failing to act against the employees, Nehawu defended them. According to Nehawu provincial secretary Mlu Ncapayi, the department decided to transfer the workers without any consultations with unions and employees.   The union then obtained a court interdict to prevent the department from applying a no-work-no-pay rule and deducting staff salaries. Ncapayi claimed that in some cases, employees, who were for instance managers at the hospital, would lose their job titles if they agreed to be transferred to hospitals where senior positions were already filled. He commented as follows: "Our firm view is that all this is created by the poor leadership of the senior managers of the [Eastern Cape health department]. We have been complaining for some time that the senior managers at the helm of the department have no capacity to lead such a complex organisation."   Apparently the department is working with Nehawu and other unions to resolve the matter.

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


RESTRAINT OF TRADE

Swimming instructor successfully challenges restraint of trade bid by former employer

BL Premium reports that a swimming instructor successfully challenged a restraint of trade bid against her after a swimming school claimed she was violating a restraint clause. Last week, the Cape Town High Court found the school was only trying to stifle competition, not enforce a lawful restraint. In 2016, Crazy Splash Swim School in Worcester employed Talitha Nortje as a swimming instructor. During her employment, Nortje’s colleague, Carla Kock, bought Crazy Splash from the previous owner, Ingrid Van der Westhuizen. Kock, when she took over, noticed Nortje did not have a written contract, and sent her a contract to sign in 2021. The restraint clause therein stipulated that workers could not compete directly or indirectly with Crazy Splash for two years after resigning, within a radius of 50km. Nortje refused to sign and, as a result of neither side budging, she resigned in 2022. Nortje then started advertising her services on social media. Kock’s attorneys then sent a demand requesting Nortje refrain from breaching the restraint clause and remove all advertisements, but Nortje persisted. Kock applied to the court to enforce the restraint, seeking an order that Nortje terminate her private coaching and remove advertisements. Judge James Lekhuleni agreed with Nortje’s version that she had not agreed to any restraint. In addition, he noted that there were no trade secrets Nortje was using “to the prejudice” of Crazy Splash. Trade secrets, he said, must be “unique” to the employer, which is not public knowledge, for it to warrant protection. None were demonstrated. Lekhuleni concluded that “the only objective of the restraint that [Crazy Splash] seeks is to prevent its [competitors] from acquiring the services of [Nortje].”

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


WORK CRIME

Hawks arrest truck driver after finding R75m worth of heroin in 'concealed compartment'

News24 reports that a 49-year-old man travelling from Mozambique was arrested in Mpumalanga on Sunday for being in possession of heroin worth R75 million. Hawks spokesperson Colonel Katlego Mogale advised: "Hawks' Secunda SANEB, with the assistance of Elukwatini Local Criminal Record Centre, Elukwatini Fire Department and SAPS Badplaas, pulled the identified truck over and it was escorted back to the station. The fire department assisted with opening the concealed compartment, where 250 x 1kg heroin bricks, with an estimated street value of R75 million, were discovered." Mogale added: "The drugs destined for the international market were coming from Mozambique. An investigation is also underway to determine how the truck managed to enter South Africa without being thoroughly checked at the border."   The national head of the Hawks, Lieutenant-General Godfrey Lebeya, indicated: "The drug bust was a result of the Trilateral Planning Cell, which is a team established by the ministries responsible for policing the Republics of South Africa, Mozambique and Tanzania to counter heroin trafficking through the Southern Route." The man is expected to appear in the Carolina Magistrate's Court on 19 July on charges of possessing illegal drugs with intent to distribute.

Read the original of the report in the above regard by Tshepiso Motloung at News24


OTHER REPORTS OF INTEREST

  • The great unretirement - Most simply can't afford to rest in their old age, at City Press (subscriber access only)
  • Kaya FM 'is a toxic workplace', claims Dineo Ranaka, at City Press (subscriber access only)

 


Get other news reports at the SA Labour News home page