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


GOVERNMENT OF NATIONAL UNITY

GNU cabinet receives mixed reactions from labour federations and opposition parties

BL Premium reports that President Cyril Ramaphosa’s “bloated” cabinet of the government of national unity (GNU) has received mixed reactions from labour federations and opposition political parties, which have cast it as nothing but a DA-ANC grand coalition. The announcement by Ramaphosa on Sunday followed weeks of uncertainty that threatened to derail the GNU as SA’s two-largest political parties slugged it out over ministerial posts. The cabinet consists of 32 ministers and 41 deputy ministers, with the DA bagging six ministerial positions and six deputy minister positions.   Cosatu spokesperson Zanele Sabela said the labour federation – a key ally of the ANC – expected the GNU to hit the ground running and get on with the business of unlocking the economy, creating decent permanent jobs and reducing poverty and inequality.   Cosatu said it also wanted to ensure “inclusive growth beyond the paltry 1% the country has endured in recent years”. “As the leading party nationally and provincially, we expect the policy mandate of the GNU to be anchored upon the ANC manifesto, as we cannot afford a free-for-all where each of the GNU’s 10 parties’ manifestos vie for space,” Sabela said. Federation of Unions of SA (Fedusa) president Godfrey Selematsela said that, while the labour federation was not necessarily happy with the expansion of cabinet, it was hopeful the cabinet mix would be able to deliver on their mandates. National Council of Trade Unions (Nactu) general secretary Narius Moloto said the council was satisfied that at least a cabinet had been formed, “but we are still unable to make sense of the direction this government will take”.   But, EFF spokesperson Leigh-Ann Mathys said: “These positions mean that racists are poised to implement regressive and neoliberal policies that will entrench market-fundamentalism and profit maximisation by the corporate and financial sector, at the expense of the poor black majority.”

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

Military union Sandu welcomes appointment of Angie Motshekga as new defence minister

EWN reports that the SA National Defence Union (Sandu) has welcomed the appointment of new Defense Minister Angie Motshekga and her two deputies, Bantu Holomisa and Richard Mkhungo. Their names were unveiled by President Cyril Ramaphosa during his Cabinet announcement on Sunday. The union's Tim Flack expressed the hope the new minister and her deputies would address the needs of SA soldiers. Two soldiers were killed and two others injured when they came under fire from M23 rebels in the Democratic Republic of Congo last week.   Two more soldiers and a military medical practitioner were also killed in February and last month. Flack said that it was clear that SA soldiers lacked the necessary support and resources for warfare. "Some soldiers, it's been reported that they've been complaining about basic necessities like showers and toilets. But the most important thing is that they need the tools that are necessary to be able to do their job correctly," he pointed out.   Flack added that more funds needed to be allocated to the defence budget and went on to indicate:   "I think the sweet spot is usually about 2% of the GDP that goes to defence, that's usually about a good measure to take. But definitely defence ministers in the past, going back to Minister Sisulu, have complained that the budget for defence needs to be addressed and it needs to be raised."

Read the original of the report in the above regard by Ntuthuzelo Nene at EWN. Read too, 'Pray for us' – a cry from South African soldiers stationed in DRC, at City Press (subscriber access only)

Sadtu ‘really not happy’ with appointment of DA’s Siviwe Gwarube as basic education minister

IOL News reports that less than a day after President Cyril Ramaphosa announced his Government of National Unity (GNU) cabinet, the ANC-aligned SA Democratic Teachers’ Union (Sadtu) expressed unhappiness over the appointment of the Democratic Alliance’s (DA’s) Siviwe Gwarube as the new Basic Education Minister. Sadtu general secretary, Dr Mugwena Maluleke, said Gwarube’s appointment to lead the basic education department was problematic, was an affront and had made the union upset. “We really are not happy, I must indicate, with the department being headed by a person from the DA, irrespective of whether black, white, or brown that is not an issue. The issue is that those (people) believe in the ideology that the DA still has, that the poor and the working class must always accept the inferior status and this white supremacy mentality has governed the DA throughout and we have seen it even in the letters that have been leaked, the statements by Helen Zille – obviously that is their culture, their belief, their ideology and that is the issue,” said Maluleke. He went on to say that Sadtu feared that Gwarube would attempt to repeal the Basic Education Law Amendment (Bela) Bill which was passed by the National Assembly and awaits Ramaphosa’s signature. The Bela Bill was vehemently opposed by the DA. “We know that she (Gwarube) is going to attempt to repeal, to reverse that because the DA did not support it. The president has not signed it, and we wonder why the president has not signed it because the president signed a number of Bills just before the elections, and only left this one out. It leaves us with a question mark on why this one (Bill) was particularly left out,” Maluleke stated.

Read the full original of the report in the above regard by Jonisayi Maromo at IOL News. Read too, Sadtu against appointment of DA's Gwarube as basic education minister, at EWN

Popcru welcomes appointment of FF+ leader Groenewald as new Correctional Services Minister

IOL News reports that the Police and Prisons Civil Rights Union (Popcru) has welcomed the appointment of Freedom Front Plus leader Pieter Groenewald as the new Department of Correctional Services (DCS) Minister. Popcru, which represents thousands of police officers and prison warders, emphasised the urgent need for a capable, ethical, and efficient leadership to address the deep-rooted challenges facing the DCS. The union highlighted the critical issues of overcrowding and understaffing within correctional facilities. The current staffing levels have dropped from 40,000 in 2009 to 38,000, with only 27,000 officers actively working in correctional centres, Popcru bemoaned. The union called for the immediate hiring of additional custodial officers to mitigate these problems, which compromised the safety and effectiveness of the correctional system. A key concern for Popcru is the role of private prisons in the correctional system and it strongly opposes the renewal of contracts for private prisons and advocates for a clear plan to wind down these contracts. The union urged the new minister to expedite the process of absorbing personnel from private prisons into the DCS. Popcru insisted that the DCS must undertake several urgent measures such as prioritising promotion policies and shift systems to improve staff morale and efficiency, constructing correctional centres in rural areas to enhance self-sufficiency and accessibility, employing additional personnel to ensure the smooth operation of facilities, and refurbishing dilapidated infrastructure to create a safer and more conducive environment for both inmates and staff.

Read the full original of the report in the above regard by Christopher Buda at IOL News

Popcru wants new police minister Senzo Mchunu to focus on cop killings, while violence monitor sees appointment as a ‘very bad move’

IOL News reports that the Police and Prisons Civil Rights Union (Popcru) has called on the newly appointed police minister Senzo Mchunu to tackle the issues of police killings. The union welcomed Mchunu's appointment and urged him to prioritise transformative leadership aimed at addressing challenges within the police department. But, another leading commentator, KZN violence monitor Mary De Haas, said she was anxious it was a “very bad” move to appoint Mchunu as he remained close with former police minister Bheki Cele, whom she described as a “disaster”.   Popcru spokesperson Richard Mamabolo voiced concern about ongoing police killings, emphasising their expectation for Mchunu to implement measures to address this issue. “Law enforcement officers have become targeted victims of the worst crime, with attacks and killings escalating in the country,” Mamabolo pointed out. He argued that the increasing rate of police killings had the potential to undermine the country’s peace and stability, as many of these officers were killed while on duty preventing and combating crime. “Some are attacked while guarding inmates, traffic and police officers ambushed when conducting patrols, with their potential firearms and uniforms being stolen with the probable intention of committing further crimes,” Mamabolo lamented. He called for the government to declare a stern stance by classifying police killings as treason. Mamabolo added that the union was also concerned about the police to population ratio, which currently stood at 1:450; which still fell short of the UN ratio of 1:220.

Read the full original of the report in the above regard by Simon Majadibodu at IOL News


OCCUPATIONAL SAFETY

Porterville farm manager stabbed to death in pre-dawn attack, wife escaped unharmed

News24 reports that a farm manager was stabbed to death in a predawn attack on Monday that saw a group of armed men storm and ransack the home he shared with his wife on the Tevrede farm in Porterville.   Western Cape police said they were on the hunt for the five unknown suspects who had forcefully entered the farmhouse just after 01:00 and stabbed the 65-year-old man to death.   "They tied up his wife while they ransacked the premises. The motive for this attack is believed to be robbery," police spokesperson Warrant Officer Joseph Swartbooi said.   The suspects fled the scene with four different calibre firearms and ammunition, as well as mobile devices.   The deceased's wife managed to escape and alerted the neighbours. Swartbooi reported that provincial Serious and Violent Crimes detectives were pursuing leads in a bid to apprehend the attackers. Agri Western Cape said it was deeply shocked and saddened by the news of yet another murder on a farm. The organisation's CEO Jannie Strydom said it was unacceptable that those who put food on the table and promoted economic growth had to put their lives at risk while doing their jobs. Rural and Farmworkers Development Organisation director Billy Claasen also condemned the attack.

Read the full original of the report in the above regard by Lisalee Solomons at News24


WAGE STRIKE

Employees of brand sauce manufacturer in Sandton down tools for higher wages

GroundUp reports that about 100 workers downed tools at the Ribas Manufacturers in Sandton on Friday morning to demand a larger wage increase. Most of the workers are affiliated with the General Industries Workers Union of SA (Giwusa) and the SA Federation of Trade Unions (Saftu). Ribas makes and distributes a range of condiments under the TOP Brand franchise and Cash & Carry house brand sauces. On Friday, workers said they would continue striking until their employer increased their wages by R4 per hour rather than the R1.75 offered by the company. The strike follows deadlocked wage negotiations between the company and Giwusa representatives in May. The workers earn about R27.58 per hour (about R5,845 a month), but they say it’s not enough to cover their groceries, transport and electricity as the cost of living has risen. They also claim they work 10-hour shifts but only get one 30-minute lunch break.   “We have workers who have been with the company for more than 10 years, and they are earning a minimum wage, which is too little. Workers also do not have proper working gear. Despite raising all these issues, the employer is refusing to meet our demands. The strike will continue until our demands are met,” said Giwusa’s Sipho Linda.

Read the full original of the report in the above regard by Kimberly Mutandiro at GroundUp


SINGLE-MINDED PROTEST

'Going home not an option', for security guards protesting at Gauteng health department for past 80 days

News24 reports that desperate security guards and cleaners have been protesting outside the Gauteng Department of Health (GDOH) in Johannesburg for over two months after their month-to-month contracts were terminated. They are enduring harsh winter conditions and significant personal sacrifices but remain determined not to leave until their demands are met. The SA Cleaners, Security and Allied Workers Union (Sacsaawu) said the private security guards who have been camping outside also want the health department to terminate contracts with non-compliant companies. "One of our demands is for the outstanding provident funds of members to be paid with immediate effect as from 2019," he indicated. The group started their camp outside the GDOH offices on 10 April. The department obtained a court interdict to remove the protesting guards camping outside its premises, resulting in the protesters moving to Albert Luthuli House, about 800m away from the GDOH offices. Some of them were arrested on 4 May and released on free bail on 6 May.   Nkosinathi Mbokazi, one of the security guards who were arrested, said they were served with a court order at Albert Luthuli House. He reported: "We honoured that court order and moved across the road next to the Star Building. Police followed us there and arrested us." The private security officers worked for hospitals and clinics around Gauteng for more than 10 years, and their contracts were terminated on 31 March. GDOH spokesperson Motalatale Modiba said the court interdict against the security guards was still in place. "At the moment the department is not aware of any strike. Currently there are no officials of the department engaging on a strike, we therefore cannot comment on the protesting employees of other organisations," he said, speaking about the camping and protest.

Read the full original of the comprehensive report in the above regard by Aphelele Mbokotho at News24


REMUNERATION MODELS / EXECUTIVE PAY

Mr Price moving in phased approach to total cost-to-company remuneration model

BusinessLive reports that retail giant Mr Price Group has refined its remuneration structure to align with industry best practices. In its 2024 annual report released on Friday, the group announced a phased transition from a basic salary plus benefits model to a total cost-to-company remuneration framework, a shift aimed at assuring flexibility and transparency in remuneration management. The transition, which began in October 2023, is structured in phases to ensure smooth implementation and to mitigate any potential change frustration among employees. “As part of phase one, the group has restructured its retirement fund contributions. The employer now solely contributes 7.5% to the retirement fund, with the mandatory employee contributions being eliminated. Employees were given the option to make additional voluntary contributions based on their personal financial goals,” the company indicated.   “In the second phase, the employer’s contributions to medical aid and gap cover were converted to cash and added to employees’ basic salaries to allow them to choose their preferred level of medical cover, either through the group’s current schemes or by opting for alternative plans.” The group said further changes are due for the 2025 financial year. CEO Mark Blair saw an increase in his total remuneration for the year ended March 2024 to R45.9m from the previous year’s R10.7m.   This spike was primarily driven by a long-term incentive increase of R27.1m and a short-term incentive of R9.6m.

Read the full original of the report in the above regard by Nompilo Goba at BusinessLive

Bonus of nearly R23m paid to former MultiChoice chair Imtiaz Patel raises eyebrows

BL Premium reports that MultiChoice paid former chair Imtiaz Patel a bonus of about R22.75m for overseeing a partnership between its streaming service Showmax and US content group Comcast, a move that has raised some eyebrows. In its annual report released on Friday, Africa’s largest pay-TV operator said Patel was awarded the bonus because he “played a leading role in the successful completion” of the deal in financial 2024. He started developing the deal over the Covid period, while executive chairman, when discussions commenced for a strategic partner. The report indicates: “On the recommendation of the remuneration committee at the time, a bonus of $1.25m [about R22.75m at Friday’s close], was approved, and payable on the completion of two key deliverables within the prescribed period. These deliverables included: 50% payable on the signing of all required agreements by April 2023, and the remainder was payable following the delivery of the commercial launch by early 2024.” The bonus was slightly more than Patel’s annual salary. The Showmax/Comcast bonus was in addition to his annual remuneration of just over $1.1m. The deal with Comcast has been criticised by MultiChoice’s biggest shareholder, Canal+. The report said the chair of the remuneration committee, Jim Volkwyn, who presided over the meeting at which Patel’s R22.75m bonus was rubber-stamped, saw his board fees rise 25% to R6.4m. The decision to award him an increase five times that of new chairman Elias Masilela, was made at a meeting that, coincidentally, was chaired by Patel. All of the arrangements concerned were considered and approved by the remuneration committee and then by the full board. Other board members received fee increases ranging from 7% to 13%.

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

Investec sets minimum pay at just under R21,000 a month

BusinessLive reports that private banking and wealth management group Investec has set minimum pay for its SA employees at just under R21,000 a month. Investec is listed in London and Johannesburg and has become the latest company in the financial services sector to disclose its minimum pay.   “We increased our minimum salary for employees in SA to R250,000 per annum, with effect from 1 June 2023,” the company advised in its annual report released on Friday. The increase in minimum pay for the group’s lowest earners does little to close the gap between the top 5% best-paid SA employees and the bottom 5%. CEO Fani Titi was paid £5.2m (R120m) in the year under review, down from the £7.5m in the prior year. Investec CFO Nishlan Samujh’s total pay came in at £3m, down from the £4.2m he was paid in the prior year. The decrease in Titi’s and Samujh’s total pay for the year was due to a 44.6% drop in long-term incentives in the period for both men. The lender’s chair, Philip Hourquebie, was paid £471,901 (R10.9m) in the period. At the SA business, the mean hourly pay gap reduced from 28.3% to 27.3%, while the median hourly gap dropped from 23% to 22.6%. The group is also trying to close the gap in its gender pay, which reduced from a mean figure of 72.6% to 64.9%, while the median rate reduced from 18.9% to 7.6%. “We are confident that all our employees are paid fairly and equitably based on their role, skills and experience, and this is central to our reward philosophy,” the company said. As at 31 March 2024, 50% of top management at Investec within SA were people of colour.

Read the full original of the report in the above regard by Kabelo Khumalo at BusinessLive


PRASA CEO REINSTATEMENT

Labour Court dismisses Prasa's bid to set aside reinstatement of axed CEO Zolani Matthews

TimesLIVE reports that the Labour Court has paved the way for axed Passenger Rail Agency of SA (Prasa) CEO Zolani Matthews to possibly make a return to the state-owned entity. On Monday it ruled that his contract was still in force and set aside the rail agency's review application of an arbitration ruling made in his favour. Matthews was fired by Prasa in 2021 for holding dual citizenship, which the entity at the time said was a material breach that he had not disclosed.   Matthews is the son of the late struggle stalwart Joe Matthews, who lived in exile in England, which was when the dual citizenship was obtained. An arbitrator ruled that Prasa should reinstate Matthews with back pay. Prasa ignored this ruling and instead applied for a stay of the arbitration award.   It also applied to the Labour Court to review Nugent's award. The Labour Court, in a judgment handed down on Monday, set aside Prasa's review application and said Matthews' "fixed contract remains extant [and that] this is not a case where the arbitrator or court would be reviving an expired fixed-term contract". It also made the arbitration award an order of the court and slapped Prasa with legal costs.

Read the original of the report in the above regard by Khanyisile Ngcobo at TimesLIVE


OTHER REPORTS OF INTEREST

South African food inflation remained below CPI headline inflation in May, at Engineering News

MyCiTi commuters frustrated as City of Cape Town ups its fares, at News24

Amazon is hiring for 107 jobs in South Africa – here is where to apply, at BusinessTech

KZN government warns public of fake job adverts, at Business Report

Over 800 health professionals scheduled to commence their duties in July, at The Star

SABC presenter seeks R300m in damages after being cleared of sexual harassment allegations, at City Press (subscriber access only)

 


Get other news reports at the SA Labour News home page