In our Wednesday morning roundup, see
summaries of our selection of recent South African
labour-related reports.
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Unions read riot act to Ramaphosa over Treasury’s cost-cutting plans BL Premium reports that organised labour on Tuesday read the riot act to the government over cost-cutting measures proposed by the Treasury due to unprecedented revenue and spending pressures. President Cyril Ramaphosa met with leaders of trade union federations Fedusa, Saftu, Cosatu and Nactu virtually under the auspices of Nedlac to discuss the administration’s challenges in meeting its priorities and how to “fast-track economic recovery”. Fedusa’s Riefdah Ajam said austerity measures contained in a Treasury note have spread “much panic within the membership ranks, and at a macro level, create the risk of anarchy”. She added: “This latest move by government will most certainly hamper all forms of service delivery and the freezing of critical posts will have a lasting impact on crime and security, policing, the ability to move forward on the [National Health Insurance] and so on.” Saftu also rejected cost-cutting measures proposed by the Treasury “as they have dire impact on the quality of public service.” Cosatu said it was “shocked the Treasury has tabled proposals to close various departments and key government programmes, reduce the public service headcount by 200,000 and raise VAT by 2%, in addition to freezing vacancies and suspending infrastructure investments.” In a statement, the Presidency said it was agreed at the Nedlac meeting that tackling unemployment and poverty would improve social and political stability and lead to economic growth. Nactu advised that the unions requested a follow-up physical meeting with the government to further reflect on its presentation. Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (subscriber access only). Read too, Saftu warns government against austerity measures as Ramaphosa, unions wrap up meeting, at EWN Ramaphosa to push ahead with cutting government's size to stabilise economy News24Wire reports that according to the Presidency, SA’s R4.7-trillion "unsustainable public debt levels", including low growth rates, have forced President Cyril Ramaphosa to consider cutting the government's size to stabilise the economy. On Tuesday, Presidency spokesperson Vincent Magwenya said public sector spending would be cut over the next nine months to "restore confidence and bolster the growth strategy going forward". Magwenya went on to say: "Work is ongoing on the reconfiguration of government; necessary consultations are taking place and will continue to take place as required with a broader section of stakeholders, including labour." He was reacting to a recent news report that Cabinet had mandated the National Treasury to "work with all government departments and relevant stakeholders in [the] national government, as well as with provinces, to identify immediate measures to reduce the level of government spending". But the Public Service and Commercial Union of SA alleged on Tuesday that the government would be "insane to get rid of 80 000 public servants", adding that, should the planned retrenchments go ahead, it would be akin to "cutting the flesh, not fat". Cosatu also rejected expected job cuts, saying although the union "appreciated" the State's financial constraints, the Treasury was "reckless" in recommending employment losses during a bleak economic period. Read the full original of the report in the above regard at Engineering News Treasury director-general says updates on 'state reconfiguration' coming soon TimesLIVE reports that according to National Treasury director-general Duncan Pieterse, SA will have a clearer sense of how government reconfiguration aimed at reducing costs has been going by the time finance minister Enoch Godongwana tables the medium-term budget policy statement on 1 November. Addressing journalists on Tuesday, Pieterse said the work to reconfigure the composition of government had been progressing since President Cyril Ramaphosa first announced it during his state of the nation address in 2019. “The president indicated that the Treasury and Presidency are working together on recommendations for the cabinet on the reconfiguration of the state. That is about identifying areas in which the state is organised that are not fit for purpose. That work has continued, and the outcomes will be announced either at the time of the medium-term budget policy statement or sooner. That work remains under discussion between the Presidency and the Treasury,” said Pieterse. At a meeting last week, the Treasury advised Ramaphosa on proposals to reconfigure the state, cut costs to the fiscus, and keep the social relief of distress (SRD) grant going. Programmes proposed for closure included the department of social development’s social assistance programme to save R253m; the Mine Health and Safety Inspectorate to save R233m; and the Maritime Transport programme to save R379m. Read the full original of the report in the above regard by Khulekani Magubane at TimesLIVE. Read too, We need to explain budget tradeoffs 'very starkly' to Cabinet, new Treasury DG says, at Fin24
Police hunt suspects after security officer shot and wounded last week at V&A Waterfront Cape Argus reports that a security officer was shot and wounded outside a restaurant at the V&A Waterfront in Cape Town last Thursday. V&A Waterfront head of communications Donald Kau said the incident took place outside of the boom gate entrance to Grand Africa eatery. Police spokesperson Wesley Twigg indicated that the suspects shot the victim in the chest before fleeing the scene. He advised that Table Bay police were investigating an attempted murder case and added that the motive for the shooting was unknown. No arrests have been made. The victim was taken to a medical facility for treatment. Read the full original of the report in the above regard by Mandilakhe Tshwete at Cape Argus Other internet posting(s) in this news category
Tshwane issues dismissal notices to seven employees who stopped buses from being serviced on Monday EWN reports that after the resumption of bus services in Pretoria hit a snag, Tshwane Bus Services issued seven employees with letters notifying them of the intention to dismiss them. Bus stops around the capital were deserted on Tuesday morning, despite the planned resumption of services. This after the crucial service was suspended for over a month when employees affiliated to the SA Municipal Workers' Union (Samwu) embarked on a strike. Allegedly, the seven employees prevented several buses from being serviced on Monday. According to the city’s Selby Bokaba, five of the seven alleged instigators were Samwu shop stewards. The seven employees were given 24 hours in which to make representations as to why they shouldn't be permanently dismissed. Bokaba said that a total of 123 employees had so far been axed for participating in the strike. Read the full original of the report in the above regard by Veronica Mokhoali at EWN. Lees ook, Tshwane wil nog sewe afdank oor staking, by Maroela Media
iSimangaliso Wetland Park creates another 2,000 jobs for neighbouring communities The Mercury reports that iSimangaliso Wetland Park says that working with the Department of Forestry, Fisheries and the Environment (DFFE), it has created 2,000 jobs for communities living in and neighbouring the park through a Cleaning and Greening project. iSimangaliso spokesperson Bheki Manzini said that this was the second time that the Park had run the project. A few months ago, iSimangaliso created 300 job opportunities in three local municipalities for people living in and adjacent to the Park through this project. Manzini indicated that the main activities of the programme were street cleaning, litter picking, illegal dumps clearing and tree planting. He said the project was one of a multiple ways that iSimangaliso was promoting the development of communities within the uMkhanyakude District, a known poverty node. Amongst the 2,000 that will receive employment, 488 will be from St Lucia, 378 from Mtubatuba, 297 from Hluhluwe, 192 from Mkhuze, 433 from Mbazwana and 287 from Manguzi. Manzini explained that iSimangaliso had engaged with municipalities, Amakhosi and community leaders to assist in identifying families and focus areas that were engulfed by poverty in each municipality so that they were prioritised. Read the full original of the report in the above regard by Yogashen Pillay at The Mercury
What ordinary South Africans earn compared to politicians and top business executives IOL writes that SA is ranked as the world’s most unequal society and this is no more evident when one gasps at the wage gap between ordinary citizens, politicians and top business executives. A report by Statistics SA has highlighted that the top 10% of the country's earners take home more than half of all wage income, while the bottom 50% earn less than 8%. This disparity is further exacerbated by gender, with women earning, on average, 30% less than their male counterparts. The disparities in South African salaries have once again come under the spotlight, as recent data reveals a widening chasm between the country's top executives, politicians, and the average citizen. The Minister of Cooperative Governance and Traditional Affairs (Cogta), Thembi Nkadimeng recently announced revised salary scales for mayors, speakers, and mayoral executive council members. On a national level, President Cyril Ramaphosa approved a 3% salary increase for all public office bearers for the 2022/23 period. Stats SA's Quarterly Employment Survey for Q1 2023 showed that the average monthly salary in SA was R25,304. The vast disparities in earnings between SA’s top executives, politicians, and the average citizen are stark. The median salary for politicians is roughly 4.7 times the average salary of a regular South African. The median salary for business executives is a staggering 353 times the average salary of a regular South African. While, the social grant for the elderly is only about 8% of the average South African's salary. Read the full original of the report in the above regard by Lee Rondganger at IOL
Pravin Gordhan says he won’t be bullied into sale of Mango BusinessLive reports that Department of Public Enterprises Minister Pravin Gordhan has insisted in response to a Pretoria High Court judgment ordering him to decide on a Mango disposal application within 30 days that he has a duty to apply the law and will not be bullied. He indicated in a statement on Tuesday that he was studying the judgment by acting judge Moses Phooka, who ruled that if Gordhan failed to make a decision within the stipulated time period on the application by business rescue practitioner (BRP) Sipho Sono for the sale of Mango, then Sono could legitimately assume in terms of the law it had been approved. Phooko found that Gordhan’s failure – lasting several months – to make a decision in terms of the Public Finance Management Act (PFMA) was “unlawful and constitutionally invalid”. The status of the BRP’s application “cannot eternally remain in limbo. I do not see how a delay in taking a decision could be considered as rational,” the judge said. In his statement Gordhan said he “will not be cowed to submit to pressure that certain elements, with zero regard for public interest, sought to exert on him and the department regarding the business rescue process of Mango Airlines, a subsidiary of SAA”. He said the PFMA required him to request further information about the proposed sale to make a judiciously sound decision. Low-cost airline Mango went into business rescue in July 2021 and an unnamed consortium has been selected to purchase it, but Gordhan’s delay in reaching a decision on the sale threatens to subvert it. Read the full original of the report in the above regard by Linda Ensor at BusinessLive
Heads set to roll at Safa after poor crowd at Bafana’s friendly against Namibia The Citizen reports that following the disappointing turnout for Bafana Bafana‘s friendly against Namibia at Orlando Stadium last Saturday, fingers are apparently being pointed and some people are set to lose their jobs at the SA Football Association (Safa). According to an insider, Safa president Danny Jordaan is angry with the way things turned out, as only a few spectators attended. Apparently, less than 500 tickets were sold for the clash, which was unexpected since the team has been doing well lately. An informant inside the association’s offices indicated: “The president was so frustrated during the weekend. He didn’t believe what he saw at Orlando. It seems like people have really turned their backs on Bafana Bafana. If you were at the stadium you would understand what I’m talking about, it was really heartbreaking.” The source added: “Once the president (Jordaan) realised that the stadium was near-empty, he was furious. He didn’t know who to blame. But, some people are set to lose their jobs. That’s what I have been hearing since that game.” Read the full original of the report in the above regard by Mgosi Squad at The Citizen
MPs told that legal action not ruled out against De Ruyter for 'unauthorised' Eskom probe News24 reports that the Special Investigating Unit (SIU) has not ruled out legal action against former Eskom CEO André de Ruyter to hold him to account for commissioning an "unauthorised" investigation into corruption at the power utility. "The former CEO did not have authority to investigate the affairs of Eskom and it does appear that he had a distrust of law enforcement agencies. As the CEO, it was incumbent on him to raise the distrust appropriately … but he commissioned a parallel investigation," SIU head Lekgoa Mothibi told Parliament's Standing Committee on Public Accounts on Tuesday. He added: "Consideration should be given to holding the former CEO to account … It becomes a legal question as he is no longer employed by Eskom, and in this regard, we will consider the options that are available, together with the board, and advise accordingly." The SIU is considering formally reaching out to De Ruyter, who is currently working as a fellow at Yale University in the US, as part of that process. De Ruyter authorised an intelligence investigation by the former police commissioner George Fivaz's forensic firm, George Fivaz Forensic and Risk (GFFR). The operation was funded privately. De Ruyter left Eskom in February, a month earlier than scheduled, after a bombshell television interview in which he made accusations of political involvement and endemic corruption at Eskom. Read the full original of the report in the above regard by Na'ilah Ebrahim at Fin24. Read too, SIU finds André de Ruyter was not authorised to conduct intelligence operation at Eskom, at IOL Other internet posting(s) in this news category
Bloemfontein law firm clerk jailed for eight years after stealing R4.9m from trust funds, deceased estates News24 reports that a Free State law firm clerk has been handed an eight-year prison sentence for stealing almost R5 million from trust funds and deceased estates, and then distributing the money between himself, friends and family. Free State Hawks spokesperson Colonel Zweli Mohobeleli said the 36-year-old Herman Daniel Badenhorst had been a clerk at Phatshoane Henney Attorneys in Bloemfontein. Part of his job was to administer deceased estates and trust funds. It was discovered in November 2019 that illegal transfers had been made between 2008 and 2018. The case was investigated by Serious Commercial Crime Investigation based in Bloemfontein. Last week the accused was convicted of fraud, money laundering, and the contravention of the Electronic Communication and Transactions Act. This was not the first time that an employee of the law firm was found guilty of defrauding it. Last year, 45-year-old Giselle Taylor Maritz was given a five-year sentence for defrauding the firm of R6 million. Read the full original of the report in the above regard by Botho Molosankwe at News24 Former Crime Intelligence cop to pay back money he stole from the police meant for informants IOL reports that a former Crime Intelligence cop has been ordered to pay back every cent he stole from the SA Police Service (SAPS). Warrant Officer Wilson Thanduxolo Buqa, who was attached to Crime Intelligence in Kokstad, was convicted this week of fraud in the Kokstad Regional Court. Directorate for Priority Crime Investigation (Hawks) spokesperson Warrant Officer Ndiphiwe Mhlakuvana said Buqa was responsible for information gathering, but claims submitted to the Crime Intelligence office were never received by the registered informants, “but rather went straight to Buqa’s pocket.” The SAPS was prejudiced to the extent of R122,500. After numerous court appearances, Buqa was sentenced to five years imprisonment, which was wholly suspended for five years. He was ordered to compensate the SAPS by paying back the whole amount that he had defrauded. Mhlakuvana said Buqa was ordered to begin paying monthly instalments of R2,500 on or before the seventh of each month starting from October 2023. Read the full original of the report in the above regard by Jolene Marriah-Maharaj at IOL
IFP-led municipality orders staff to wear black, women to wear doeks in mourning Mangosuthu Buthelezi IOL reports that the Inkatha Freedom Party-led Inkosi Langalibalele Municipality in Estcourt has ordered staff to wear black and women to wear doeks on Thursday after declaring a day of mourning for Prince Mangosuthu Buthelezi. Buthelezi, who was the founding president of the IFP and the traditional prime minister of the Zulu nation, died on Saturday morning at the age of 95. Sthembiso Mthembu, the municipal manager of the Inkosi Langalibalele Municipality issued a circular to staff on Monday. The document reads: “Please be informed that due to the death of the late Prince Mangosuthu Buthelezi, the Municipality will observe Thursday, September 14, as a day of bereavement. In lieu of this, all employees (male and female) must use black clothing. Female employees must use a doek with their black clothing.” But notwithstanding the wording he used, Mthembu denied it was an order, or an instruction to staff. Meanwhile, some on X (Twitter) have responded with shock, angst and surprise at the order. Buthelezi will be buried on Saturday in a special official funeral declared by President Cyril Ramaphosa. The Mangosuthu University of Technology has also suspended its academic programme to allow staff to attend memorial services and the funeral. Read the full original of the report in the above regard by Sihle Mlambo at IOL
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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.