This 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.
In our Tuesday morning roundup, see
summaries of our selection of recent South African
labour-related reports.
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Key sectors hit with absenteeism of over 50% as violent taxi strike grips Cape Town TimesLIVE reports that the taxi strike in Cape Town has led to absenteeism of more than 50% in key sectors of the economy, with the fishing industry the hardest hit. The Cape Chamber of Commerce and Industry said on Monday that although it was too early to quantify the economic impact of the strike, various sectors had been affected with workers unable to make it to work. The SA National Taxi Council (Santaco) abruptly halted all minibus taxi operations in the Western Cape last week after an impasse with City of Cape Town authorities. This followed a blockade by taxi operators last Tuesday in response to the impounding of about 15 vehicles. The situation escalated into clashes with police and metro police. While the fishing industry reported 80% absenteeism, the retail motor industry, which has implemented a “no work, no pay” policy, has seen an absenteeism rate above 50%. Some large companies in the furniture manufacturing sector reported as much as 60% absenteeism. The tourism sector has also suffered reputational damage as a result of the strike. Several health facilities have been closed or have suspended services as staff were unable to get to work. The strike prevented 456,020 pupils and 17,449 staff from attending school on Monday. Police arrested 35 people for alleged violence related to the taxi strike on Monday. Of the arrests, 27 were related to a taxi blockade on the N2 that caused major traffic disruptions. Read the full original of the report in the above regard by Khanyisile Ngcobo & Bobby Jordan at BusinessLive City of Cape Town granted urgent interdict against Santaco as taxi strike violence escalates The Citizen reports that on Monday night the Western Cape High Court granted an urgent interdict against the SA National Taxi Council (Santaco) and its 166 affiliates. The crippling and violent minibus taxi strike has been blazing a trail of mayhem and destruction since its start last Thursday following impoundments of minibus taxis earlier in the week in accordance with new by-laws. Cape Town police have confirmed that at least two people have died so far and 72 people have been arrested for public violence. The order by Judge Patrick Gamble prohibits any person or vehicle from unreasonably blocking Cape Town’s roads with the intention of harming or delaying passengers using other modes of transport. Members of the taxi industry are also prohibited from coming within 100 metres of a transport depot. Gamble’s order followed a six-hour-long hearing on Monday evening during which the City of Cape Town and Golden Arrow Bus Services (GABS) made submissions against Santaco and the 166 taxi associations affiliated with the taxi council. On Sunday, DABS had secured an urgent interim interdict against the respondents, but returned to court on Monday arguing that Santaco was in contempt of court. This after four more of the company’s buses were attacked on Monday, despite Santaco having agreed to the interim interdict. A total of 10 GABS have been torched since the start of the strike. Judge Gamble is expected to make a ruling on the contempt application by GABS on Tuesday. Read the full original of the report in the above regard by Cornelia Le Roux at The Citizen. Read too, City of Cape Town granted urgent interdict against taxi council, at GroundUp Other internet posting(s) in this news category
Senior Hawks detective gunned down on Sunday in suspected hit near Hammanskraal The Citizen reports that the Hawks (Directorate for Priority Crime Investigation) have launched a manhunt for suspects involved in the murder of one of their senior detectives. Lieutenant-Colonel Frans Mathipa was the lead investigator in the abduction of alleged Isis leader Abdella Abadiga from the Mall of Africa in December – allegedly by SA military special forces. Mathipa was killed on Sunday night in a suspected hit. Hawks spokesperson Brigadier Thandi Mbambo said Mathipa of the Hawks’ Serious Organised Crime Investigation Unit in Gauteng was on duty conducting an investigation when he was shot and killed while driving on the N1 highway near the Hammanskraal toll plaza. “He sustained gunshot wounds to the head and lost control of the vehicle which rolled and landed on the ditch. He was pronounced dead at the scene. A case of murder has been opened at Hammanskraal police station which will be investigated by the Hawks’ Serious Organised Crime Investigation team,” Mbambo indicated. Read the full original of the report in the above regard by Faizel Patel at The Citizen. Read too, Hawks officer shot dead during probe into kidnapping of alleged IS leader, at BusinessLive
City of Tshwane dismisses 38 employees involved in wildcat strike EWN reports that the City of Tshwane has dismissed 38 of its employees who were involved in wildcat strike action. Last week, the City also issued 89 warning letters to electricity-switching staff for failure to perform their duties, seemingly because of intimidation. Since last month, workers affiliated with the SA Municipal Workers’ Union (Samwu) have held a number of protests across the capital city. This has resulted in the city suspending many of its services and closing some of its clinics owing to intimidation of its employees. City of Tshwane Mayor Cilliers Brink on Monday released a statement indicating that the protracted strike action had affected the city’s ability to carry out effective service delivery and that the strike action by the workers was unprotected. Samwu provincial secretary Mpho Tladinyane indicated that they were still studying the dismissal letters. He said the Labour Court’s refusal to place the union in contempt of court was a win for the workers. Read the full original of the report in the above regard by Thabiso Goba at EWN
Barometer shows slight rise in strikes in first half of 2023, with most over pay and permanent jobs BL Premium reports that according to the strike barometer of the Casual Workers’ Advice Office (CWAO), there was only one strike more in the first half of the year than in the previous first half. There were 39 labour strikes in the first half of 2023 versus 38 in 2022’s matching period. In 2022 the CWAO identified 86 strikes for the full year. Most of the industrial action involved pay increases, nonpayment of wages, overtime and allowances. In its latest report, the organisation said of the 39 strikes, 19 (49%) were wildcat (unprotected), 20 (51.2%) were protected, and four were work-related actions (pickets and demonstrations). Most (54%) of the strikes concerned pay issues. “This mainly reflected a growing trend in municipalities where the overtime budget is cut, even though essential service workers continue to work overtime without knowing that they will not be paid. Sometimes, workers’ contributions to their medical aid funds or unions are retained by corrupt or unstable municipalities.” Demands for permanent employment were the second most common reason for striking, while the third-highest cause was workers wanting employers to recognise their unions. According to the barometer, most of the strikes (37.5%) took place in the public sector. Expanded Public Works Programme workers, community health workers and public sector-linked security guards were involved in seven of the 19 wildcat strikes. Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (subscriber access only)
Water sector workers get above-inflation 7% wage increase BL Premium reports that in a one-year pay deal, water sector workers represented in the Amanzi Bargaining Council will receive an across-the-board, above-inflation wage rise of 7%. According to Dumisane Magagula of the SA Municipal Workers’ Union (Samwu), the wage agreement is effective from 1 July. As part of the deal, workers will be entitled to a R3,500 housing allowance and five days’ long-service leave for each five years of service, while all water boards must conduct a benchmarking exercise within three months. That exercise, which could put a strain on the water boards’ finances, is aimed at harmonising workers’ salaries across the water boards. The country’s water boards include Amatola Water, Bloem Water, Lepelle Northern Water, Magalies Water, Mhlathuze Water, Overberg Water, Rand Water and Umgeni Water. The boards’ functions include operating dams and other bulk water supply infrastructure and providing technical know-how to municipalities. Magagula said further demands pertaining to annual leave, funeral transport, first aid/firefighting/safety, health, environment and quality allowances, cellphone/data, maternity leave, overtime/statutory, overtime/parental leave, meal allowances, pay progression, retirement functions, and tool allowances “have been deferred to plant level and shall be concluded within three months of signing this agreement”. Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (subscriber access only) No new spending in 2024, fund wage agreement increases yourselves, Treasury tells government departments Fin24 reports that Treasury has informed all government departments that they will face budget cuts across the board in 2024, and no new spending will be allocated. They have also been told to fund the 7.5% wage increase for public servants from their existing budgets for 2023/24 and the following two years. The wage increase has led to a R35.7 billion shortfall across government. The budget cuts come on top of spending reductions already written into the expenditure framework that saw education and health budgets – which are usually protected at all costs – to shrink in real terms. Noting that the government faced a triple whammy of lower-than-expected growth, falling revenue, and a rising cost of borrowing, head of the budget office, Edgar Sishi, said: “Our approach is that everything must be on the table to make sure the public finances are in a healthy state.” He added that the environment for borrowing, which included elevated interest rates and political risk, had not improved. Revenue numbers at the end of the first quarter showed the corporate tax take to be 22% lower than at the same time last year. The revenue numbers have prompted economists to project that Treasury will not meet its target of a 3.9% budget deficit before borrowing in the 2023/24 financial year. Sishi said that efforts to strengthen the fiscal framework “includes working with stakeholders in government in the budget process to find savings.” Read the full original of the report in the above regard by Carol Paton at Fin24 (subscriber access only)
Unions angry that Mpumalanga security companies don’t comply with bargaining council requirements BL Premium reports that the National Union of Metalworkers of SA (Numsa) has called on the Mpumalanga provincial treasury to stop doing business with security firms that fail to comply with requirements of the National Bargaining Council for the Private Security Sector (NBCPSS). The call by Numsa comes after it and members of unions such as the Abanqobi Workers Union, Kungwini Amalgamated Workers Union and the SA Transport and Allied Workers’ Union marched to the Mpumalanga provincial treasury on Thursday “to demand that they stop doing business with security companies which are noncompliant”. Numsa’s Irvin Jim indicated: “There are 462 security companies, including some contracted to the Mpumalanga provincial treasury, that are deducting millions of rand from the salaries of security workers, but they have failed to pay that money over to the service providers. This is fraud and it denies workers their well-deserved benefits such as healthcare insurance and a provident fund. Many of these noncompliant companies are also charged with protecting government departments including National Key Points.” In September 2022, the sector signed a four-year pay deal for a 13% rise in the first year that came into effect in March, a 6.5% rise in the second year and 7.5% in the next two years. Employment & Labour Minister Thulas Nxesi extended the agreement to nonparties. Jim pointed out that compliance included registration with the Private Security Sector Provident Fund and the NBCPSS Health Insurance administered by Affinity Health, and payment of the minimum wage and the agreed allowances and overtime. Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (subscriber access only)
Numsa on indefinite wage strike at Ekapa Mines in Northern Cape EWN reports that on Monday the National Union of Metalworkers of SA (Numsa) embarked on an indefinite strike at Ekapa Mines in the Northern Cape seeking a 17% wage increase for entry-level workers. The union said that pleading poverty and claiming it could not afford workers’ demands, Ekapa Mines had instead offered a 6.5% increase across the board. Numsa’s demands include, among other items, an increased housing allowance and medical aid allowance. Union spokesperson Phakamile Hlubi-Majola said: "Basically, what Ekapa is saying is that it expects workers to risk their lives mining underground for R5,700, for starvation wages which, as Numsa, we utterly condemn, and this is why they have provoked this strike and they have to take responsibility for it." Read the original of the short report in the above regard by Tamika Gounden at EWN Other labour / community posting(s) relating to mining
Domestic workers march over lack of COIDA coverage and workplace abuse GroundUp reports that nearly three years since the Constitutional Court (ConCourt) ordered that domestic workers be included in legislation aimed at giving them better occupational protection in the workplace, domestic workers still struggle to get compensation, and they also suffer widespread abuse and unfair treatment by employers. A hundred domestic workers gathered at the Union Buildings on Friday to hand over a memorandum to the Presidency. “The rights of domestic workers are still being violated. They are suffering from sexual abuse by employers, they are being attacked by dogs, and are being exploited without any compensation. And nothing is being done about it,” said Pinky Mashiane of the United Domestic Workers of SA (Udwosa). In a landmark ruling in November 2020, the ConCourt ruled that domestic workers must be covered by the provisions of the Compensation for Occupational Injuries and Diseases Act (COIDA) and that damages could be claimed for work-related injuries, illnesses and death. Despite this ruling, the union is still inundated with calls for help from workers. Udwosa has found that many domestic workers across SA are still not registered with the Unemployment Insurance Fund (UIF) or for Compensation for Occupational Injuries and they earn well below the national minimum wage. On 1 March 2023, a new minimum hourly wage of R25.42 came into force. Eunice Dladla of the SA Domestic Service and Allied Workers Union indicated: “Employers do not want to comply with labour laws. We have found that it’s only a few who give their domestic workers the stipulated minimum wage. They are ill-treated, undermined and discriminated against by employers.” Read the full original of the report in the above regard by Kimberly Mutandiro at GroundUp
Arena Holdings CEO Mzi Malunga to exit top job after just over a year Fin24 reports that Arena Holdings chief executive Mzi Malunga is to exit the company's top job just a year and four months after taking up the position. Pule Molebeledi, managing director for news and media, will step in as acting CEO. Malunga's predecessor, Andy Gill, had been in the post for less than two years. A memo to staff, issued by Arena's chair Tshepo Mahloele, indicated Malunga had "agreed on a mutual separation" in order to "pursue other interests". He took the reins at the beginning of May 2022. According to the memo, Malunga negotiated an agreement with shareholders to leave the company before his contract ended to, among other things, "enable smooth implementation of the changes happening in the business". He is set to leave at the end of August but will remain available to "support" a smooth transition beyond that. Arena Holdings is one of Africa's largest English-language news publishers i and print titles include Sunday Times, Business Day, Financial Mail, The Herald, Sowetan and Daily Dispatch. Read the full original of the report in the above regard at Fin24
Employees at PPC bag a 10% stake in the construction material company BL Premium reports that the PPC board has approved a R380m loan for the group’s newly formed employee share ownership trust to buy up a 10% stake in the construction materials company. The 10% share capital is set to be linked to the performance of the company’s operations rather than that of the share price, the company said. Some 1,500 of the group’s 1,800 workers will qualify for the incentive, when dividends are declared. The Johannesburg-based company last paid dividends in 2015. MD at PPC Cement SA, Njombo Lekula, noted on Monday that the formation and financial backing of the employees’ share scheme followed its recent June announcement of a R200m share buyback programme, which it believed was the best way to offer value to investors. The loan, which will accrue interest at the local prime rate, has no final repayment date. Of the dividends paid to the scheme, 75% will go towards the loan and the balance to the beneficiaries. “PPC has been built upon the shoulders of its employees and this transaction provides a meaningful way of rewarding those in SA who do not participate in PPC’s long-term incentive plan to share in the creation of shareholder value,” said group CEO Roland van Wijnen. But, with a link to company performance, it remains to be seen how much value will be created in a muted cement and construction market in SA. Read the full original of the report in the above regard by Michelle Gumede at BusinessLive (subscriber access only)
Blade Nzimande tells Unisa he intends putting the university under administration TimesLIVE reports that Higher Education Minister Blade Nzimande has notified the University of SA (Unisa) of his intention to place the institution under administration. On Monday, his department confirmed that the minister had notified Unisa council chair James Maboa of his intention to appoint an administrator on Friday. The Unisa council will be dissolved upon the appointment of an administrator. The department stated: “The minister’s decision follows reports by an independent assessor‚ Prof Themba Mosia‚ and the ministerial task team (MTT) on Unisa chaired by Dr Vincent Maphai. Nzimande is satisfied that the independent assessor’s report reveals financial and other maladministration of a serious nature, which affects the effective functioning of Unisa.” In May, Mosia made 26 recommendations to Nzimande in a 308-page report, which included that Unisa be placed under full administration and the council and management be relieved of their duties. Nzimande's decision also comes after an application was brought by Unisa’s former registrar‚ Prof Steward Mothata‚ in the North Gauteng High Court to declare the council was no longer “properly constituted” after the resignation of several members. Mothata was fired by vice-chancellor Prof Puleng LenkaBula on 27 June Read the full original of the report in the above regard by Khanyisile Ngcobo at BusinessLive
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