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 afternoon roundup, see summaries
of our selection of South African labour-
related stories that appeared thus far on
Wednesday, 29 November 2017.
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First ever private member's bill passed in Parliament provides paternity leave for fathers History was made in Parliament on Tuesday when a private member's bill was passed for the first time in the National Assembly. The Labour Laws Amendment Bill, proposed by ACDP MP Cheryllyn Dudley, aims to give fathers the opportunity to take paternity leave. "The bill seeks to provide for parental leave, adoption leave and commissioning parental leave. It also provides for the payment of parental benefits as well as commissioning parental benefits from the Unemployment Insurance Fund," the ACDP said in a statement earlier in the process. Fathers would accordingly get 10 days’ of parental leave on the birth of a child when the bill is enacted. The bill also provides for 10 weeks of adoption leave for one parent when adopting a child under two years; increases in unemployment insurance benefits from 238 to 365 days; and increases in maternity benefits to 66%. Public servants have also been included under the Unemployment Insurance Fund. Labour federation Cosatu welcomed the passage of the bill. Based on reports at News24 and BusinessLive
Taxi drivers talk health On Monday, the departments of health and transport signed a pledge with the SA National Taxi Council (Santaco) to encourage taxi drivers to prioritise their own health and that of their passengers. This formed part of the launch of the PHILA Taxi Industry Campaign, a first-ever health promotion campaign, targeted at the taxi industry to strengthen and intensify delivery of health and wellness services in the industry. Addressing scores of taxi drivers at Bosman taxi rank in Tshwane, Health Minister Aaron Motsoaledi called on taxi drivers to change unhealthy lifestyles and prioritise their health. He called on citizens to think twice about compromising their health and encouraged taxi drivers to regularly go for check-ups and get tested. The Minister added that government was looking into bringing clinics closer to taxi ranks to enable drivers to get services. His colleague, Transport Minister Joe Maswanganyi, also emphasised the importance of taking health seriously. The launch also served as an official collaboration between the PHILA campaign and Santaco's Operation Hlokomela in an effort to promote and contribute towards responsible behaviour as part of the 2017 World AIDS Day focus. Read a full report in this regard at SA Govt News Agency Other internet posting(s) in this news category
Tension rises over Mineral Resources' relocation of managers out of ‘Gupta’ areas BusinessLive reports that the rift between the Department of Mineral Resources (DMR) and three disgruntled regional managers, whom it wanted to shift to other provinces, has deepened. The DMR has been accused of double dealing in handling the dispute. One of the concerns raised by people in the department was that the forced relocations were designed to put more pliable regional managers in place in Mpumalanga and KwaZulu-Natal (KZN), where the controversial Gupta family owns or indirectly owns various coal mines. According to the latest papers filed in the Labour Court, the DMR has filed an application for a ruling that the three managers from KZN, Mpumalanga and Limpopo opposing their relocation had breached a rule by failing to deliver an amended or varied affidavit within a prescribed time frame. But the applicants have argued that the DMR’s application was an attempt to avoid dealing with the merits of the application. The filing delay was apparently because of an attack on Aaron Kharivhe, Limpopo’s regional manager, as well as his own multiple suspensions from his job in Mpumalanga. Kharivhe had to be hospitalised with serious head wounds. Read this report by Allan Seccombe in full at BusinessLive Lonmin's future in balance as government probes SLP non-compliance allegations Fin24 reports that the future of platinum producer is in the balance as the Department of Mineral Resources (DMR) probes allegations that it has violated its mining licence. The department confirmed that it was studying the contents of a letter sent by Mining Forum SA, which alleged that Lonmin was in breach of its social and labour plan (SLP). Only thereafter would it decide on the “appropriate course of action”, the department indicated. Mining Minister Mosebenzi Zwane’s spokesperson Fidel Hadebe said claims of non-compliance still needed to be verified and “there are just too many allegations levelled against the company”. Mining Forum SA, a non-profit organisation representing mining communities, wrote to Zwane on 25 November asking him to suspend Lonmin’s mining licence due to SLP non-compliance and the continuing violence in the Marikana community in North West. The Mineral Resources and Petroleum Development Act 2004 requires all mining companies to submit a SLP, reviewed on annual basis, in order to be awarded and retain a mining licence. Commitments usually include upgrades to communal infrastructure, employee housing and skills development, and promises of local procurement. Read this report by Tehillah Niselow in full at Fin24
DTI warns in new report that large-scale job creation not as simple as it seems Engineering News writes that the structure of the SA economy does not allow for the creation of large numbers of jobs, nor can it support a large number of new jobs at appropriate skills levels, the ‘State of Manufacturing 2017’ report has indicated. The report, which was released by the Department of Trade and Industry (DTI) on Tuesday, found that one of the major reasons for the inability to create a large number of jobs or skilled professionals lay in the composition of the domestic economy, which, given development challenges, was not appropriately composed in terms of the primary, secondary and tertiary sectors. It also found that labour intensive sectors, in particular, were not growing fast enough to support the creation of a large number of jobs. A major impediment to creating a large number of jobs in a short time frame was the impact of apartheid-era spatial planning, which the DTI noted was continuing to constrain the domestic economy with detrimental factors. These included extended travel time and costs, and an inability for companies to run multiple shifts. In response to the Manufacturing Circle’s ‘Map to a Million New Jobs in a Decade’ report, launched last week, DTI Minister Dr Rob Davies on Tuesday said one-million new jobs seemed like “a big ask”. Read this report in full at Engineering News. See too, SA ‘running out of skills needed for economic growth and development’, at BusinessLive Nersa’s nod to Eskom on pricing package for Silicon Smelter plants will save jobs Business Report writes that the National Energy Regulator of SA (Nersa) has approved Eskom’s application for a two-year incentive pricing package for Silicon Smelter’s plants in Polokwane and eMalahleni. Eskom made its case for a negotiated pricing agreement to Nersa earlier this year after Silicon Smelters, which is owned by global silicon metal and silicon-based alloys producer Ferroglobe, asked the power utility to supply electricity at an “appropriate” price for the company to reconsider its decision to cease silicon production at its two sites. Nersa last week confirmed that the regulator had approved the application in August and said it would release the reasons for its decision in due course. The approval of the incentive pricing package should entice the group to include production from South Africa in a revised global production plan. The pricing agreement was moreover meant to save 3,600 jobs that would be lost if the company ceased operations. Nersa’s consultation paper on Eskom’s application indicated that silicon metal producers around the world were facing difficult conditions as silicon prices were at their lowest levels. Read the original of this report by Siseko Njobeni in full at SA Labour News
Surge in business professionals wanting to leave South Africa TimesLive reports that an annual survey of top SA executives and managers has revealed an "alarming" dip in confidence and outlook‚ with a record 78% of people surveyed indicating they would consider opportunities abroad. This represents a more than 30% increase from last year‚ when the majority of respondents indicated they were here to stay. The annual ‘Bonus‚ Salary and Business Confidence Survey’, conducted by executive search firm Jack Hammer‚ polls senior executives and managers in various sectors about their expectations of bonuses‚ salary increases and business growth in the year ahead. Jack Hammer CEO Debbie Goodman-Bhyat commented: “This year’s survey is quite unprecedented in terms of the negativity of outlook‚ and raises serious concerns about another exodus of some of our country’s most talented‚ experienced and qualified leaders.” She added: “It is quite alarming that only 22% of individuals polled indicated that they would not consider a move abroad‚ and that all of the 78% who said they would‚ already had potential destinations in mind.” Expectations of year-end bonuses are also more tempered this year. In terms of increases next year‚ both middle management (66%) and executives (52%) expected to receive a higher than inflation raise. Only 11% of respondents expected to receive no increase or lower than that of inflation. Read this report in full at TimesLive. Read too, Business confidence in SA is still on a downward trend, at Business Report Other internet posting(s) in this news category
SARS wants court to rule on R3m executive bonus dispute Fin24 reports that the SA Revenue Service (SARS) is in the process of seeking a declaratory order from the North Gauteng High Court on whether bonuses of R3m awarded to members of the executive committee (Exco) in August 2016 should be regarded as irregular expenditure or not. This was indicated in a report submitted by SARS commissioner Tom Moyane to Parliament’s standing committee on finance on Tuesday. According to the report, no bonus payment was made to the commissioner during the period covered. The Auditor General queried the authorisation of the payment of the bonuses to the Exco members and as an interim measure it was agreed that it would be reported under irregular expenditure in SARS' financial report. SARS now wants the court to decide on the powers given to the SARS commissioner in terms of the SARS Act to authorise such payment of bonuses. The DA’s Alf Lees asked Moyane why the court has been approached to make a ruling on the legality of the payment of the bonuses instead of approaching the minister of finance at the time for permission to make such payments. In Moyane’s view, the court would be the best suited to solve the matter. Read this report by Carin Smith in full at Fin24
PSA threatens court action against Gigaba to secure better labour representation on PIC board Fin24 reports that Finance Minister Malusi Gigaba might face court action from the Public Servants Association (PSA) if he does not agree to the union’s demands to have better representation on the board of the Public Investment Corporation (PIC). PSA’s spokesperson Tahir Maepa indicated that three letters of demand have been written to the minister in this regard without response. In those letters, the PSA raised concerns over the composition of the PIC board, which it said contravened the PIC Act of 2004. The PIC acts as the primary investment agent for the Government Employees Pension Fund (GEPF) and other state funds. The majority (207,000) of the PSA’s members are GEPF members. The PIC board is appointed by the finance minister, but in terms of the Act he should have due regard for nominations submitted by depositors. “All we are saying is from where we are sitting, the board is wrongfully constituted. It does not comply with the Act,” said Maepa. Currently there are three vacancies on the board. The PSA wants the minister to amend the memorandum of incorporation to include GEPF representation on the board and for the vacancies to be filled by labour representatives. Read this report by Lameez Omarjee in full at Fin24. Read the PSA’s press statement in this regard at PSA online. See too, Public Service Association demands Gigaba response on PIC board, at BusinessLive Solidarity’s court case over Molefe’s pension fiasco to be heard from Wednesday Fin24 reports that a court will hear why the circumstances surrounding former Eskom CEO Brian Molefe’s early retirement pension pay-out and his subsequent reappointment as Eskom CEO, to remedy the situation, was unlawful. The court case will kick off on Wednesday morning. Trade union Solidarity and political parties filed a consolidated court application to challenge Eskom’s decisions to reappoint Molefe as CEO, as well as the approval of his R30m pension pay-out. Public Enterprises Minister Lynne Brown also filed explanatory affidavits, but she is not challenging the relief sought by the applicants. Solidarity’s Anton van der Bijl said that the union was demanding that Molefe pay back all pension payments and benefits he was granted. They also want the National Prosecuting Authority (NPA) to investigate the matter. A Hawks spokesperson confirmed that the Serious Economic Offences Unit was probing the allegations. In a statement Democratic Alliance (DA) MP James Selfe said that Molefe’s reappointment had been “irrational”. Molefe has since left Eskom’s employ. Read this report by Lameez Omarjee in full at Fin24. Read too, Molefe’s R30m pension was unlawful, must be paid back, DA tells court, at The Citizen Empowerment scorecard for retirement funds left out of Financial Sector Code BusinessLive reports that the final version of the Financial Sector Code has been gazetted with a crucial omission, namely a mandatory scorecard for retirement funds that would have seen more black principal officers and trustees appointed. During negotiations, a mandatory scorecard emerged where retirement funds could earn up to eight points for appointing black principal officers, executives and senior management and a further eight points for black trustees with voting rights. A total of 80 points could be earned for procuring services from black-owned asset consultants, actuaries, employee benefit providers and asset managers. This scorecard has disappeared from the final code and has been replaced by a voluntary dispensation. The scorecard was withdrawn during negotiations due to concerns regarding the cost of compliance for funds, Financial Sector Charter (FSC) Council CEO Isaac Ramputa said. But the Association of Black Securities and Investment Professionals (Absip) strongly disagreed with suggestions that the scorecard would have cost retirement funds. "The cost of a verification certificate is less than R30,000 per annum for a retirement fund," said Asief Mohamed, an Absip representative to the FSC Council. "This excuse is not valid." Read this report by Moyagabo Maake in full at BusinessLive
Hope for injured and ill workers as Compensation Fund gets its act together GroundUp reports that attempts to fix the bottleneck of claims to the Department of Labour’s Compensation Fund are finally showing results. The Fund pays compensation and medical bills for workers who were injured or contracted diseases due to their work. An exception is lung diseases due to dust in mines‚ which are handled by the Department of Health. For many years the Fund and the Compensation Commissioner’s Office that have been the subject of complaints from many quarters, including trade unions and employers. But a report last week to Parliament’s Labour Portfolio Committee by the Fund’s Operational Manager‚ Vuyo Mafatha‚ suggests that investments over the last three years in new skilled staff‚ reorganisation‚ training and better monitoring are beginning to show results. For one thing‚ the bottleneck in payments to health practitioners dealing with occupational disease cases is being eased. Settlements of medical claims rose from R2.195bn for 2013-14 to R2.982bn for 2016-17. Pension payouts to workers with permanent disabilities and their dependants more than doubled in the same period. Backlogs in compensation and pension payouts on documented claims are now at last being eliminated. Progress is also being made chasing up missing documents which are holding up settlement of other unsettled claims. Read this report by Pete Lewis in full at TimesLive Other internet posting(s) in this news category
Eskom chairman defends integrity of Matshela Koko’s disciplinary hearing BusinessLive reports that power utility Eskom has noted with "great concern" reports that suspended group executive Matshela Koko’s disciplinary hearing has collapsed. "Eskom wishes to unequivocally state that this disciplinary hearing is being conducted in a fair‚ professional‚ and transparent manner‚ with the media being granted permission to attend in a matter that would ordinarily be treated as an internal matter‚" Eskom interim chairperson Zethembe Khoza stated. He added: "It is regrettable that the events of October 20 2017‚ where Eskom’s previous evidence leader was involved in an altercation with a journalist‚ have overshadowed the integrity of the disciplinary inquiry.” Noting with concern allegations made about witnesses who had declined to testify in the proceedings, Khoza indicated that Eskom “accordingly has had no option but to continue with the hearing in the absence of these witnesses and to close its case on November 25 2017.” Koko will be testifying in his own defence on 30 November. He is facing six charges of misconduct relating mainly to his failure to declare a conflict of interest concerning contracts worth approximately R1bn. Read this report by Nomahlubi Jordaan in full at BusinessLive. Read too, Koko disciplinary hearing 'fair and transparent', says Eskom, at Engineering News
Minister Mokonyane's plan to throttle water is 'evil', says municipal union Samwu SowetanLive reports that the SA Municipal Workers' Union (Samwu) has come out guns blazing against Water and Sanitation Minister Nomvula Mokonyane’s threat to cut water supply to 30 municipalities‚ describing it an “evil” plan. The union said in a statement on Tuesday that it had learnt “with disappointment the plans by the department of water and sanitation to cut off water supply to more than 30 municipalities‚ an evil plan which would essentially leave millions of South Africans without water - which is by the way a basic right.” Mokonyane announced on Monday that her department had issued notices to 30 defaulting municipalities‚ demanding they make arrangements to pay their share of R10.7bn owed to several water authorities before 8 December. If no action is taken, bulk water suppliers will throttle supply to the municipalities‚ which will have to “replenish” their water reserves by paying up. “It is very disappointing that Mokonyane‚ as someone who has ambitions of being in the national leadership of the ANC‚ could hatch such a plan without taking into consideration the ramifications‚ particularly on the working class and the poor‚” the union stated. Read this report by Nomahlubi Jordaan in full at SowetanLive. Read Samwu’s press statement in this regard at Samwu Other internet posting(s) in this news category
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