Today's Labour News

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transnetlogo thumb100 BL Premium reports that according to a legal opinion obtained by the two biggest unions at Transnet, the state-owned logistics company is likely to reduce its more than 55,000-strong workforce should it go ahead with the partial privatisation of its flagship Durban container terminal (DCT 2).

The United National Transport Union (Untu) and the SA Transport and Allied Workers’ Union (Satawu) say despite Transnet’s assurances that no jobs will be lost once Philippines-based multinational port operator International Container Terminal Services Inc (ICTSI) takes over operations of the DCT 2, the entity will be forced to implement a retrenchment process. “We cannot as yet quantify the number of job losses because that will be the decision of the new equity partner,” Satawu’s Anele Kiet noted. ICTSI was announced in July as Transnet’s preferred equity partner that will run the Durban container terminal for the next 25 years. Transnet previously indicated that the transaction between it and ICTSI would result in no retrenchments and employees would retain the same terms and conditions before and after the introduction of the private sector partner. A joint statement by the two trade unions advises that the legal opinion obtained by them highlights that Transnet has failed to guarantee job security and, after a period has lapsed, Transnet would be entitled to implement a section 189 retrenchment process should there be redundant positions. The issue of automation “remains a grave concern for labour which could render the jobs of Transnet employees obsolete,” the unions asserted. “Labour will study the legal opinion obtained and decide on the best recourse to pursue while considering that whichever route we pursue should we have the least detrimental effect on sustainable employment,” the statement reads.

  • Read the full original of the report in the above regard by Thando Maeko at BusinessLive (subscriber access only)
  • Read too, ‘Durban port acquisition deal value sensitive’, at Sunday Independent


Get other news reports at the SA Labour News home page