In our Thursday morning roundup, see
summaries of our selection of recent South African
labour-related reports.
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Shocked Eastern Cape premier says 'We live in hell', after murder of metro director who had survived two previous hits News24 reports that just over a year after surviving a second attempt on his life, Buffalo City Metro infrastructure departmental director Nceba Ncunyana died in a hail of bullets on Wednesday afternoon. He oversaw a department that handles the lion's share of the metro's R13 billion annual budget. Two other people, one believed to be Ncunyana's driver and the other a bodyguard, were critically wounded in the attack and are reportedly fighting for their lives in hospital. The attack happened on the N2 freeway, halfway between Qonce and East London near Ntabozuko town. An unknown number of men besieged Ncunyana and his two companions, opening fire using high calibre rifles until his vehicle came to a halt. Eastern Cape Premier Oscar Mabuyane expressed his shock at the murder and simply texted: “We live in hell.” Ncunyana’s assassination comes after a gunman shot and wounded him at his home in East London in August 2022. In September 2021, gunmen stormed his home with news that they had been hired to end his life and demanded money from him to spare it. The suspects ransacked his home and made off with cash. Ncunyana was forced to go into hiding at the time. SA Local Government Association (SALGA) national deputy chairperson, Xola Pakati, who is also a councillor in the same metro, said the slaying of municipal officials and councillors in SA was concerning. He added: "We are shocked by the developments with regards to this murder and I must add that this is very worrisome.” Read the full original of the report in the above regard by Malibongwe Dayimani at News24 (subscriber access only) Joburg High Court is a 'death trap', with 2022 report flagging fire risks ignored News24 reports that Gauteng Deputy Judge President Roland Sutherland says the largely unaddressed fire safety risks at the Johannesburg High Court are a 'life-or-death" situation. His decision to publicly appeal for the government to urgently address the fire safety crisis at the court comes after repeatedly trying and failing to ensure that the fire risks were addressed. "There are hundreds of people who work in this building every day, never mind the hundreds who come here as professionals or witnesses or whatever the case might be. And there’s at least a moral responsibility on me for the safety of people in the building," he indicated. An 11-page City of Joburg fire inspection report in April 2022 found that: “This building does not provide a safe environment for the occupiers/users anymore. In case of a fire the safe evacuation of occupiers/users is not guaranteed. In addition, in case of a fire it will be unsafe to send any operational firefighters into the building because the fire doors that serve as protection of openings and division areas in the emergency routes, division areas, smoke control and required fire installation systems (smoke detection systems, gas suppression systems) do not comply anymore”. The report issued an instruction that all the contraventions identified had to be addressed and remedied “on or before 25 April 2022”. While the court’s fire extinguishers have recently been re-serviced, none of the other fire risk contraventions identified in the report have been addressed. Public Works Minister Sihle Zikalala has now reportedly instructed his department to work with the justice department to respond to the immediate safety compliance challenges at the court. Read the full original of the report in the above regard by Karyn Maughan and Jan Gerber at News24 (subscriber access only)
Census 2022 indicates that foreign nationals make up only 3% of SA's population News24 reports that newly released census data may undercut the perception that foreign nationals place strain on government services. Statistics SA released its fourth democratic census on Tuesday, focusing on population and housing. The latest statistics recorded that the overall population in SA increased by around 10 million, with a total of 62 million people living in the country as of 2022. According to Stats SA data, more than 2.4 million immigrants call SA home, which equates to around 3% of the total population. Most immigrants come from the Southern African Development Community region. More than one million people come from Zimbabwe, which translates to 45.5% of the foreign national population, followed by around 400,000 people from Mozambique (18.7%) and over 220,000 people from Lesotho (10.2%). But, senior members of Stats SA have acknowledged the difficulty in counting foreign nationals, especially those who are undocumented. The census did not seek to find out whether foreign nationals were in the country legally. The only questions asked were where they were born and when they came to SA. Political analyst Ebrahim Fakir questioned whether the data was reliable. Well-known analyst Professor Susan Booysen also pointed out that the census statistics might not be entirely accurate, but said: "It will be a modest undercount of foreign nationals and not an overwhelming figure." Read the full original of the report in the above regard by Alex Mitchley, Belinda Pheto and Alex Patrick at News24 (subscriber access only)
‘Maverick’ Makwana’s exit as Eskom chair had been coming BL Premium reports that according to insiders in government and at Eskom, Mpho Makwana's departure as the power utility’s board chair has been long coming. Some people described him as a “maverick” who often had a disregard for process, something for which Eskom’s shareholder, public enterprise minister Pravin Gordhan, is historically known to be a stickler. Makwana and Gordhan clashed publicly over the appointment of a new group CEO for the power utility to replace André de Ruyter. The Eskom board only submitted one candidate instead of the required three. “PG [Pravin Gordhan] does not take kindly to being embarrassed, that was the last straw. There had been some other major issues around transmission challenges,” a government source said, adding that conversations about Makwana’s exit and his possible replacement started months ago. “He seemed to have very quickly forgotten that he reports to the minister and it is the minister that is blamed for everything that Eskom could be or should be doing faster to end load-shedding,” the source pointed out. “He has also gradually stopped taking advice from us on important matters,” an Eskom board member claimed. “Everyone had long been convinced that he should go, it was about the timing,” another government source said. Gordhan took months to respond to the board’s preferred CEO candidate, saying in a statement that no appointment could be made because the board had failed to comply with the memorandum of incorporation by not submitting three candidates for the role of CEO as prescribed. Both Gordhan and Makwana when contacted said they would prefer to stick to their public statement, that in the end they parted ways amicably. Read the full original of the report in the above regard by Hajra Omarjee & Denene Erasmus at BusinessLive (subscriber access only)
The 640 resignations from the justice department in 2022/2023 reveal ‘a stampede, an exodus' News24 reports that the Department of Justice and Constitutional Development presented its annual report to the Portfolio Committee on Justice and Correctional Services on Wednesday. It revealed that 640 staff members had resigned during the 2022/2023 financial year. Zooming in on the "shortage of human capacity" referred to in the report, the ANC's Qubudile Dyantyi observed: “So it is one thing to say your problem is attraction. The problem that you have is that there is a stampede, there is an exodus, of people leaving the department in droves. They're getting out of the bus, they just can't wait to leave there. So, you've got a problem of retention.” He noted that the problem was not improving because, in the previous year, it was 486 who left the department, and the year before that, it was 420. "It looks like people have made a decision. They have decided that this is not a department of choice – not only those that are outside, those that are inside are literally leaving. So that, for me, is very serious," Dyantyi pointed out. The department's director-general, Doc Mashabane, responded that he could see why "someone will think people are running away", but the 600 persons who resigned “are not running away from public service, they take opportunities somewhere else." According to Mashabane, senior managers only left the department in "exceptional circumstances when people get promotions to other departments". Deputy director-general, Conny Mametja, explained that some employees resigned for "greener pastures", while others resigned to access their pensions, and then came back to the department later. She indicated: “We are really focusing on building the department as an employer of choice.” Read the full original of the report in the above regard by Jan Gerber at News24 (subscriber access only)
SA doctors are suffering salary stagnation, earning only what they made a decade ago News24 reports that SA doctors reportedly earn salaries similar to what they had earned in 2012 and 2013, and are currently receiving 13% below the expected income levels for their profession due to inflation. This was revealed at a panel hosted by the SA Medical Association (SAMA) which examined the trends in doctors' salaries over the past decade. Key findings showed that doctors' salaries have stagnated relative to inflation, with no growth in earnings since 2020. Doctors are now in essence earning what they did in 2012 and 2013 in real terms. Interns, medical officers, and registrars have also been impacted. “Interns are earning R40,000 below what they should earn per year today,” said health economist Dr Sandile Mhlongo. He added that medical officers were suffering a similar fate, earning R60,000 less than they should earn annually. The findings also revealed that registrars were making R75,000 less than they should be making per annum. One of the key findings was the remarkable reliance on overtime pay to boost the salaries of medical professionals. SAMA board member Dr Zanele Bikitsha revealed that overtime pay constituted about 45% to 50% of a doctor’s salary. This put them in a higher tax bracket, although they did not benefit in the long run through pension fund contributions. Many doctors find themselves working long hours to compensate for inadequate incomes, which could lead to issues such as patients being neglected. The research presented did not directly compare South African doctors' salaries to international counterparts, but highlighted an alarming trend of healthcare professionals leaving clinical medicine for the private sector and international markets due to feelings of being undervalued within the local healthcare system. Read the full original of the report in the above regard by Phumi Ramalepe at News24 (subscriber access only)
Xolani Nciza, brother of ANC heavyweight TK Nciza, challenges his Ekurhuleni suspension for alleged fraudulent qualifications News24 reports that a showdown between Xolani Nciza, ANC heavyweight TK Nciza's brother, and the City of Ekurhuleni is looming after Nciza accused Ekurhuleni of "unfair labour practice" following his suspension for allegedly submitting fraudulent academic qualifications. On Friday, Nciza and the city will square off at the SA Local Government Bargaining Council in the senior official's first step to challenge his suspension for alleged fraudulent qualifications and insubordination. Nciza is Ekurhuleni's divisional head for employee relations, a senior post that pays nearly R2 million annually. His older brother is Gauteng ANC's secretary TK Nciza. According to a letter from Linda Gxasheka, Ekurhuleni's HR head and Nciza's supervisor, the suspension related to Nciza's alleged failure to comply with "instructions" to provide copies of his qualifications. In the letter, dated 7 September, the qualifications listed were a matric qualification and two legal degrees. Nciza's suspension elicited a raft of political reactions, with ActionSA's Ekurhuleni caucus leader, Siyanda Makhubo, alleging that Nciza's rise within Ekurhuleni's ranks was due to his brother's influence. "ActionSA has written to the city manager, Dr Imogen Mashazi, requesting that Mr Nciza be terminated rather than undergo disciplinary procedures as he still has not produced genuine qualifications necessary for the role he occupies," Makhubo indicated. Read the full original of the report in the above regard by Khaya Koko at News24 (subscriber access only)
Disgraced mayor's wife 'lied' about experience to secure senior management post in KZN municipality News24 reports that Nonkululeko Maphisa, the wife of sacked IFP Abaqulusi Local Municipality mayor Mncedisi Maphisa, allegedly lied about her work experience to secure a position as director of corporate services in the eMadlangeni Local Municipality in KwaZulu-Natal. She was appointed to the position despite allegedly having fewer than five years' worth of the requisite work experience. She took office in her current position in July 2022. A report by an independent researcher Maxwell Nzuza claims that Maphisa falsified her documents. Nzuza also found that Maphisa only has three years of experience, not five. In an apparent attempt to clear her name, Maphisa shared with News24 a document showing that she was an assistant manager for legal services at Ulundi Local Municipality from 1 January 2017 to 6 March 2018. But a letter written by the then-director of corporate services at Ulundi municipality Zweli Dlamini, refutes Maphisa's claim. Dlamini is now a municipal manager at the IFP-run Abaqulusi Local Municipality, where he is facing possible removal in an unrelated issue. It is not clear why Nzuza investigated Maphisa or who gave him the mandate to do so, but his report is given credence by the fact that eMadlangeni is now investigating the matter. The municipality said Cogta brought the matter to its attention, using the information emanating from the Nzuza report. Read the full original of the report in the above regard by Soyiso Maliti at News24 (subscriber access only)
Asset managers Allan Gray warn of risks of ‘rushing’ implementation of two-pot system BL Premium reports that asset management group Allan Gray has warned of unintended consequences of “rushing” the implementation of the new pension regime, colloquially called the “two-pot” system. The Treasury has set 1 March as the implementation date for the new system, which will see one-third of future retirement contributions allocated to a savings pot and two-thirds to a retirement pot. Allan Gray’s Richard Carter said it was important to have balanced legislation and sufficient time for industry changes. “There needs to be time for the industry to make the administrative changes and make them properly so that people retain their trust and confidence in the system. If you hurry the legislation through and rush the changes that need to be made, and you then cannot pay people what they expect, it can end up doing more harm than good,” Carter said. The Treasury first proposed changes to the retirement regime in 2022, with the aim of enabling limited access to retirement fund savings before retirement. The Draft Revenue Administration and Pension Laws Amendment Bill will allow members of retirement funds to access up to one third of their pensions savings once a year, in the event of an emergency, while preserving the other two thirds for retirement. It was reported in September that the retirement industry and trade unions were at loggerheads over the proposed implementation date for the new system, and the maximum amount that workers could withdraw when it came into effect. The industry wants the two-pot system to be delayed by 12 to 18 months after promulgation of the law so that it has time to prepare. Trade union federation Cosatu is adamant the implementation date should remain 1 March 2024. Read the full original of the report in the above regard by Kabelo Khumalo at BusinessLive (subscriber access only)
Sixty percent of Gauteng's healthcare workers could face suspension for failing to disclose financial interests City Press reports that the Gauteng Department of Health (DOH) is considering drastic action against doctors, nurses and other healthcare workers who have failed to disclose their financial interests in terms of the department's policies meant to guard against conflicts of interest. According to DOH spokesperson Motaletale Modiba, out of the 14,116 health officials in the department meant to file disclosures, only 5,380 (38.11%) have adhered to the call by the Public Service Commissioner. This means that 8,736 or nearly two-thirds of employees have not complied. The department is now threatening to issue suspensions to some of these healthcare workers and officials, after subjecting them to disciplinary hearings. Disclosures of financial interests are mandated in terms of chapter 2(2) of the Public Service Act Regulations of 2016. For doctors and nurses, the disclosures are supposedly meant to prevent healthcare staff from moonlighting in the private sector or holding other jobs besides their government employment without proper permission. Modiba indicated that continuous non-compliance was a serious challenge and, although CEOs of hospitals were annually instructed by the HOD to take disciplinary steps, only a few CEOs complied by issuing written warnings. During the 2021/22 financial year, only 12 CEOs adhered to this instruction. But according to sources, one West Rand hospital might be completely crippled by the department's threatened suspensions, since entire departments failed to disclose their interests. Read the full original of the report in the above regard by Noxolo Majavu at City Press (subscriber access only)
ConCourt dismisses convicted Absa employee’s appeal of fraud conviction BL Premium reports that after being convicted of more than 200 charges of fraud-related crimes totaling millions, a former Absa employee tried unsuccessfully to appeal against her sentence of four years, claiming the courts had used inadmissible evidence. The Constitutional Court (ConCourt) this week dismissed her case because previous courts had used her own admissions and other evidence to convict her. She now must return to jail to carry out the remaining years of her imprisonment. Natasha Liebenberg worked as an estate administrator at Absa in Kimberley, dealing with deceased estates. Following an inquiry, she was dismissed and then criminally charged with 269 counts uncovered by Absa. During the criminal trial held at a magistrate’s court, Liebenberg’s statements to the inquiry were referenced. Liebenberg objected, claiming those statements were coerced and were inadmissible. However, the trial court found Liebenberg’s objection to this evidence was without merit. Eventually, Liebenberg changed her plea to guilty and admitted to a number of the initial charges. At the ConCourt, Liebenberg repeated her argument about the evidence at the inquiry and bias. In a unanimous judgment on Tuesday, acting justice Sulet Potterill dismissed Liebenberg’s claims. Potterill noted importantly that the case did not engage the Constitutional Court’s jurisdiction. There was no issue about Liebenberg’s fair trial rights, which is a fundamental right that would have warranted the court’s attention. Liebenberg’s claim that her rights were violated by bias was said to be “pure speculation”. Read the full original of the report in the above regard by Tauriq Moosa at BusinessLive (subscriber access only)
High Court absolves SABC in sexual harassment suit but keeps door open for victim BL Premium reports that a former SA Broadcasting Corporation (SABC) employee who claimed her manager sexually harassed her has been partially vindicated a decade later after other forums dismissed her case. After her supervisor sexually harassed her in 2007, the employee (LM) resigned. A decade later, the SABC instituted an internal inquiry, calling her as a witness. This resulted in her supervisor, who was still employed by the SABC, being dismissed. The inquiry also recommended LM be given some form of reparation. LM and the SABC entered into discussions but nothing materialised. LM then tried to institute a claim of “constructive dismissal” against the SABC, where an employee feels forced to resign due to a toxic work environment, at the CCMA. However, her claim was dismissed as being brought too late. In 2021, LM sued the SABC for damages in terms of vicarious liability – in other words, the SABC’s failure to protect her from the harmful actions of one of its employee. However, before the trial began, the SABC challenged the entire matter on procedural grounds. It said LM had instituted her claim years too late. This week Johannesburg High Court judge Stuart Wilson was constrained to agree with the SABC, though he was sympathetic to LM’s situation. While he found in the SABC’s favour on the legal question, he left LM with options. As a result, “LM will be permitted, if she can, to lead evidence showing that [she had mental or emotional incapacity that] suspended the running of prescription”. That would allow the matter to go to trial. Read the full original of the report in the above regard by Tauriq Moosa at BusinessLive (subscriber access only)
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