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 Wednesday morning roundup, see
summaries of our selection of recent South
African labour-related reports.
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Tshwane won’t appeal order to pay 3.5% wage increase backdated to 2021/2022 Moneyweb reports that the City of Tshwane on Tuesday afternoon announced that it would be implementing the bargaining council ruling made the previous day and pay – retrospectively – the 3.5% wage increase its staff was entitled to in 2021/22. This means the city must find at least R2 billion to foot the bill that is payable in the next six months, according to the ruling. Leon Claassen of Ratings Afrika pointed out that this was a huge setback for the city, which had started making modest progress towards financial recovery. He noted that the city’s financial statements for 2023/24 showed a liquidity deficit of R9.7 billion. It did record a R500 million operating profit, but that is not enough to now fund the backdated salary increase. “Tshwane is in a deep hole that it must dig themselves out of. The outlook is dark, and I cannot see it improving soon. The city has no cash reserves and who will lend them money? Banks consider cash and cash reserves … It will impact the city’s whole financial situation. The liquidity shortage will increase, and service delivery will remain poor,” Claassen commented. Making the announcement, Deputy Mayor Eugene Modise said the city would engage the unions “to explore practical, convenient, and sustainable modalities for implementing the award”. Following the ruling, the DA called it legally flawed and financially ruinous. The party stated: “If not taken on review, the decision will be paid for by residents in the form of deteriorating service delivery and infrastructure.” Read the full original of the report in the above regard by Antoinette Slabbert at Moneyweb
FlySafair seeks CCMA intervention to resolve cabin crew wage dispute Business Report writes that FlySafair is to apply to the Commission for Conciliation, Mediation and Arbitration (CCMA) for a Section 150 intervention to expedite the resolution of a labour dispute with members of the SA Cabin Crew Association (SACCA). They were locked out by the airline on Monday following failed wage negotiations. The employer-initiated work stoppage commenced at midnight on Tuesday night, with no disruption to flights on Tuesday. The airline says it has secured full operational coverage over the upcoming roster cycle and remains confident that all flights will continue as scheduled. Currently, more than two-thirds of FlySafair’s cabin attendants are committed to work, comprising both non-union members and union-affiliated crew who have formally accepted the company’s offer. Section 150 empowers the CCMA to appoint a commissioner to try and resolve a dispute through conciliation. This can happen with the consent of the parties or, without their consent, if the CCMA believes it is in the public interest. SACCA unequivocally indicated earlier that its members have not embarked on a strike and accused FlySafair of acting in bad faith in that it prematurely declared a dispute with the CCMA in direct violation of the recognition agreement. The union alleged that even before the negotiation process concluded, “FlySafair was already preparing for industrial action by recruiting scab workers, bypassing proper recruitment and training procedures, and reducing its flight schedule.” SACCA advised that the outstanding issue preventing resolution remained the company’s refusal to compensate employees for their legally entitled lunch hour. Read the full original of the report in the above regard by Banele Ginindza at Business Report
Deadly Pollsmoor prison attack in which two officials were injured and three inmates died was gang-related EWN reports that according to National Correctional Services Commissioner Mokgothi Thobakgale, the recent deadly attack at Pollsmoor prison was gang-related. Two officials were injured in last week's attack, and three inmates died. Thobakgale reported on Tuesday that the injured officers had since been discharged from hospital. The commissioner indicated that the deceased inmates had been high-ranking members of a prison numbers gang. While on cleaning duties, inmates Bonginkosi Jali, Ricardo Kotze, and Andre Gouws ambushed the officials and stabbed them. "The assault began when Mr Jali emerged from the toilet facility and attacked our official Somjala. Despite his injuries, Mr Somjala managed to run to the unit office for assistance. This is where Mr Rhubushe was stationed and the three detainees followed him into the office and continued their attack on both officials. Mr Peters, another official, arrived during the assault and called for back-up," Thobakgale reported. A probe into this incident is still ongoing. Read the original of the short report in the above regard by Ntuthuzelo Nene at EWN Municipality withdraws R10m claim against owners of collapsed George building SABC News reports that George Municipality has withdrawn an almost R10-million claim for recovery costs against the owners of the collapsed building property in Victoria Street. This comes after news that the site will be auctioned later this month so that liquidators can recover their money from the owners. Thirty four people died when the building collapsed in May last year, with many suffering horrific injuries. Victims as well as members of the public have expressed disappointment in hearing that the property will likely be turned into apartments. A municipal spokesperson indicated: “The municipality is aware that the company has been liquidated and for that reason the initial claim for recovery costs was withdrawn. Any outstanding municipal claims do not stop the auction from proceeding. Any new owner that buys the property will not be allowed to continue to use the previously approved plans. Those plans are no longer valid and must be resubmitted for formal approval by the municipality in line with the National Building Regulations.” Read the original of the short report in the above regard by Sagree Chetty at SABC News
Amid rising living costs, NUM demands 15% wage increase from Eskom IOL Business reports that the National Union of Mineworkers (NUM) has opened wage negotiations with Eskom with a demand for a 15% salary increase for its members. Other demands reportedly include a monthly housing allowance of R7,000 and that the power utility cover 80% of employees’ medical aid contributions. NUM spokesperson Livhuwani Mamburu said on Tuesday: “The National Union of Mineworkers is firm on its demand for a 15% wage increase for Eskom employees. A figure justified by the high cost of living, we stand in solidarity with other unions that are organising at Eskom in demanding that negotiations remain within the central bargaining forum." He added that the union was closely monitoring Eskom’s unbundling into three separate divisions, warning that the move could complicate negotiations by weakening collective bargaining and fragmenting union representation. "Eskom and government must understand that the unbundling of Eskom must not be used to abandon workers’ unity and collective bargaining rights, as members prefer to negotiate in the central bargaining forum,” Mamburu indicated. Read the full original of the report in the above regard by Mthobisi Nozulela at IOL Business
SA’s GBS sector ‘success story’ added over 8,000 jobs from April to June ITWeb reports that SA’s global business services (GBS) sector shows no signs of slowing down, having added 8,180 net new international jobs from April to June. This was revealed in non-profit organisation Business Process Enabling South Africa’s (BPESA’s) quarterly GBS Sector Job Creation Report, released ahead of the GBS and BPO Investor Conference in Durban. The report covers April to June 2025). It reviews international jobs and export services, including growth in the GBS sector across provinces, vertical industries, youth jobs, inclusive hires and key global source markets. BPESA’s report shows youth jobs accounted for 90% of new hires in the period, with the Western Cape still in the lead. The coastal province added 4,119 new jobs, accounting for 50.35% of the total of new jobs recorded during the period. KwaZulu-Natal followed with 2,434 jobs (29.76%), while in third place was the Eastern Cape with 900 (11%) new international jobs. Gauteng maintained steady job creation with 727 new jobs. The US and the UK remained SA’s largest markets for outsourced services during the period, contributing 76.5% of new jobs collectively. Most of the positions (71%) were frontline, voice-based contact centre roles, servicing sectors such as utilities and energy (26.86%), insurance (22.75%) and retail and e-commerce (20.61%). The GBS sector, formerly classified as business process outsourcing, was identified several years ago as a key growth driver to create jobs, with a particular focus on youth and women. Read the full original of the report in the above regard by Simnikiwe Mzekandaba at ITWeb Altron to grow AI staff locally amid job cuts globally ITWeb reports that Altron anticipates that its artificial intelligence (AI) factory will be a net creator of jobs, which will buck a global trend of widespread tech industry layoffs set to reach more than 244,000 by year-end. According to CEO Werner Kapp, the AI factory, which was launched towards the end of last month and is the first of its kind in SA, has the potential to enable small local companies to join forces with Altron and its partners in the digital ecosystem, while also creating jobs. An AI factory has been described as a purpose-built computing system that transforms raw data into intelligence, supporting the full AI life cycle. “We hope to grow our people because Altron Digital Business is the go-to market for that AI factory,” said Kapp on Monday. However, he declined to specify how many jobs the initiative might create, noting that it was “early days for the AI factory”. Analytics firm Dataviue, headquartered in Pretoria, has partnered with Altron to provide clients with customised systems that it says on its website “transform data into actionable insights”. Education non-profit MathU, which works with young people in SA and schools across Africa using AI and personalised learning via video, is also on board. Read the full original of the report in the above regard by Nicola Mawson at ITWeb
AMSA confirms output at Newcastle plant has ceased, moves to appeal Labour Court reinstatement ruling Engineering News reports that steel producer ArcelorMittal SA (AMSA) has confirmed that production has ceased at its Newcastle Works, in KwaZulu-Natal, and that the process of placing its long-steel business into care and maintenance is proceeding. “Engagements to explore alternative solutions continue. Further announcements will be made in relation to these matters as and when appropriate,” AMSA said in a statement, which came amid reports suggesting that the company could be sold. AMSA also confirmed that it had applied for leave to appeal a Labour Court judgment stipulating that retrenched workers from its longs operations in Newcastle and Vereeniging be reinstated. The National Union of Metalworkers of SA (Numsa) approached the court in early October seeking an interdict to compel AMSA to either issue a new Section 189 retrenchment notice, or to engage in further consultations under a notice issued in January. The court found that the company should conduct further consultations, that no further dismissals should take place until these consultations were completed and that employees should be reinstated. “ArcelorMittal South Africa has applied for leave to appeal the decision,” the company advised. Read the full original of the report in the above regard at Engineering News Former SA Express staff ‘left in the cold’ for three years after liquidation want answers News24 reports that a committee of Parliament will be looking into the liquidation three years ago of SA Express (SAX) after receiving a petition from a representative of the 691 workers who lost their jobs. Petitioner Hlumani Khasibe said former employees were struggling and had received minimal payouts and support. He asked why state-owned airline SA Airways (SAA) received bailouts, but SAX did not. “At the end of the day, SAA was bailed out, yet we were left in the cold,” he pointed out. Khasibe indicated in a letter to the committee that the 691 workers were still owed salaries from before the airline was wound up. They were also owed pension and provident payouts, as well as retrenchment packages. “The government stole from us!” he lamented. The Select Committee on Public Petitions and Executive Undertakings is now planning to schedule hearings with the defunct airline’s business rescue practitioners and liquidators to hear how and why it couldn’t be rescued. The committee, which is part of the National Council of Provinces, receives and considers petitions from the public. Minister of Transport Barbara Creecy deflected questions about the airline’s demise and indicated: “At the end of the day, those who must explain the decisions are the business rescue practitioners and liquidators. They must explain why labour is not receiving a share of the proceedings.” Read the full original of the report in the above regard by Jan Cronje at News24 (subscription / trial registration required)
As Pick n Pay turnaround advances, CEO Sean Summers rewarded with R56.6m in shares BusinessDay reports that Pick n Pay has shown a vote of confidence in CEO Sean Summers’ turnaround efforts, officially handing him ownership of half of the four-million performance-based shares he was awarded last year. The company said that two-million shares to the value of R56.6m vested at the end of October after two pillars of the turnaround strategy were successfully implemented. The pillars, including a new leadership and operational structure, form a part of the group’s multi-year plan to restore the struggling core Pick n Pay business back to profitability after it suffered billions in losses and a loss of market share. “The board views this vesting as an important milestone in the delivery of Pick n Pay’s turnaround plan, marking the achievement of foundational structural and leadership objectives that underpin the next phase of the multi-year strategy,” Pick n Pay said. The remainder of the shares will vest upon completion of the strategy, which includes the development of a CEO succession plan and breakeven, which is expected by 2028. Summers earned a R25m basic salary with no additional benefits or short-term bonuses, according to the retailer’s annual report. Summers was brought back to the group from retirement to reassume the role of CEO in October 2023 under a three-year contract, which was recently extended to May 2028. Read the full original of the report in the above regard by Nompilo Zulu at BusinessDay (subscriber access only). Read too, Pick n Pay CEO secures R56million stake as shares vest, now the value hinges on a turnaround, at IOL Business Other internet posting(s) in this news category
Ex-police constable sentenced for submitting fake grade 12 certificate to join SAPS The Citizen reports that a former police constable has been found guilty of fraud for submitting a fake Grade 12 certificate to secure an appointment within the SA Police Service (SAPS). Eric Nyadzani Ravhura, 43,-appeared in the Polokwane Specialised Commercial Crimes Court, where he was convicted and sentenced after several court appearances. He was sentenced to twelve months’ imprisonment or a fine of R30,000 suspended for five years, on condition that he did not commit a similar offence during the suspension period. Additionally, he was declared unfit to possess a firearm. During court proceedings, the court heard that in September 2019, the SAPS advertised posts for the 2020 Police Trainee Intake. Applicants were required to possess a Grade 12 or NQF Level 4 qualification. Ravhura, who was then serving as a police reservist, applied for the post and submitted a fraudulent Grade 12 certificate. Based on this misrepresentation, he was accepted, underwent police training, and was permanently appointed as a constable at Alldays SAPS. In June 2021, a verification process conducted by the SA Qualifications Authority (SAQA) revealed that the certificate submitted by Ravhura was not authentic. Read the full original of the report in the above regard by Faizel Patel at The Citizen
Council on Higher Education to consider fate of Damelin’s higher education qualifications News24 reports that on Friday the Council on Higher Education (CHE) will deliberate on a recommendation that the higher education qualifications accredited by Damelin be put on “notice of withdrawal of accreditation, with conditions”. The CHE said its Higher Education Quality Committee (HEQC) had reviewed the report of a panel of independent peer academics, which had investigated the provision of Damelin’s accredited programmes. It added that the HEQC had resolved to give Damelin an opportunity to submit representations in response to the recommendation. Dr Rose Masha, the CHE’s acting CEO, reported that Damelin had submitted its representations, which would be considered at the HEQC’s next meeting on 7 November. She explained that the CHE did not share academic peer panel reports and recommendations as they were confidential. But Masha confirmed that “a final decision will be taken by the HEQC and communicated to Damelin and the public.” However, Dr Sipho Nzimande, the strategic advisor of the Damelin recovery process, expressed grave concern about “the premature and public exposure of matters that are still under active review by the CHE and HEQC”. The council’s CEO, Dr Whitfield Green, previously advised that in view of complaints that had been received in regard to Damelin, the CHE had resolved to investigate the state of provisioning of the accredited higher education programmes it offered. Read the full original of the report in the above regard by Prega Govender at News24 (subscription / trial registration required)
Pension Funds Adjudicator says two-pot retirement system rules are still misunderstood The Citizen reports that although the two-pot retirement system has been running for just more than a year, many people still do not understand the rules and the fact that pension funds cannot make changes to help specific members, despite the tight financial position they might find themselves in. This system splits contributions into three components, namely the vested pot, the savings pot and the retirement pot. Many people are eager to access the savings pot, but current rules limit withdrawals to a minimum of R2,000 per tax year, up to the maximum amount in the savings pot, and no more. Withdrawals are taxed at marginal income tax rate and if money is owed to SARS, the withdrawal may be reduced to pay debt to the taxman first. Many people were left with R0 because the whole amount available was swallowed up by unpaid tax. Naheem Essop, deputy Pension Funds Adjudicator, advised. “Despite a substantial education drive by the retirement funds industry around its implementation, some misunderstandings persist and led to complaints lodged with the Office of the Pension Funds Adjudicator (OPFA).” Essop recently dismissed two similar complaints from fund members when he found that in refusing multiple withdrawals from the savings pot, or a withdrawal from the vested pot, the funds rightly ollowed their own rules as well as national legislation. The two-pot retirement system allows members to access a portion of their retirement savings before retirement without resigning from their jobs. Read the full original of the report in the above regard by Ina Opperman at The Citizen. Read too, Adjudicator backs funds in two-pot withdrawal disputes, at Moneyweb
Gauteng health department HOD fights suspension based on lifestyle audit in court News24 reports that the head of the Department of Health, Lesiba Malotana, has gone to the Labour Court (LC) to challenge his suspension. His central argument in the LC on Tuesday was that Gauteng Premier Panyaza Lesufi acted outside the scope of his contract and the Public Service Act when he placed Malotana on precautionary suspension. The suspension in October followed a recommendation by the Special Investigating Unit (SIU), which had conducted a lifestyle audit on Malotana. According to the SIU’s interim report, more than R1.6 million in cash deposits from commercial activities could be traced across various bank accounts that did not reconcile with Malotana’s salary. He has allegedly been associated with a company that has links to a business providing contracted services to Tembisa Hospital, which the SIU contended raised concerns of a possible conflict of interest. The SIU called for a full investigation to be conducted, which Lesufi acceded to when he suspended Malotana. Malotana’s challenge to his suspension did not delve into the SIU’s allegations, except that the report allegedly contains contradictions, omissions and errors. Instead, his case focused on his employment contract and the Public Service Act. Lesufi was said to have failed to meet the requirements for an allegation of serious misconduct or interference with an investigation that would have allowed him to suspend Malotana. Judgment was reserved. Read the full original of the report in the above regard by Alex Mitchley at News24 (subscription / trial registration required) Other internet posting(s) in this news category
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