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
Thursday, 18 January 2018.
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Solidarity’s Gideon du Plessis says the public sector wage outcome will set tone for other sectors Gideon du Plessis, general secretary of trade union Solidarity, writes that the outcome of the current public sector negotiations, where public service unions and the government are heading for confrontation, may determine the labour relations climate for 2018. A negotiated settlement would be a victory for collective bargaining, but a strike by 300,000 public servants would be catastrophic. At beleaguered Telkom and ArcelorMittal, negotiations will kick off in February. Telkom has already indicated that it may not be able to grant an increase and a strike is therefore a real possibility. Salary negotiations at ArcelorMittal will follow on the heels of a retrenchment process. Eskom’s salary negotiations will start in April. Negotiations in the gold mining sector are set to commence in June, providing once again a platform where the NUM and Amcu can continue their rivalry. Negotiations in the petroleum sector of the National Bargaining Council for the Chemical Industry will start in the second week of May and are expected to be tough. The fight by the SA Federation of Trade Unions (Saftu) to get a seat at the National Economic Development and Labour Council (Nedlac) will also come to a head in 2018. Du Plessis concludes by noting that, while 2018 could be a tough one for labour relations, credit ratings agencies could bring ideologically driven players in the labour relations environment back to reality with a further downgrade. Read this informative article in full at BusinessLive
Sadtu and PSA reject state’s salary increase offer The Star reports that the SA Democratic Teachers’ Union (Sadtu) has slammed the government’s offer of an inflation-based salary increase of up to 5.3% for the lowest-paid public servants, saying politicians gave themselves more than that as a pay hike. Sadtu general secretary Mugwena Maluleke stated that the offer did not take into account that the standard of living of public servants would be affected by a negative increase. Public sector wage negotiations continued on Wednesday at the Public Service Co-ordinating Bargaining Council (PSCBC) in Tshwane. The talks took place under the facilitation of two CCMA commissioners. The government is currently offering employees in the lowest 10 salary levels a consumer price index (CPI) salary increase, while it has proposed that the two levels of middle management get pay hikes of CPI minus 1%. The University of Stellenbosch’s Bureau for Economic Research (BER) has forecast 5% inflation this year and expects it to increase to 5.3% next year. The unions representing public servants are demanding salary increases of between 10% and 12% depending on the salary level. The Public Servants Association’s (PSA’s) Tahir Maepa warned that if the talks were not concluded by a 31 March deadline, government employees might go on strike. He added that the government’s wage offer was ridiculous and unions would not even bother taking it to their members. According to Maepa, unions expect a revised and improved offer next week when negotiations resume and several concessions are expected to be made. The government has already acceded to some of the unions’ other demands. Read an extended version of this report by Loyiso Sidimba at SA Labour News Wits vice-chancellor Adam Habib calls for compromise as staff rejects wage offer BusinessLive reports that University of the Witwatersrand (Wits) vice-chancellor Adam Habib on Wednesday urged labour unions to exercise restraint in their wage demands. Saying the institution had a responsibility to ensure that salary increases did not compromise the university’s financial stability, he called on all role players “to start looking at the bigger picture” and compromise. Wits’ offer of a 6.8% increase was the second-highest offer in the higher education sector, and was 1.8% points above inflation, he noted. Four unions, namely Asawu‚ Nehawu, ALTSA and Numsa, have threatened to strike over salary increases, the university’s new performance management system and medical aid benefits. They are seeking an 8% increase, and an additional 1% to cover increased medical scheme premiums. The unions on Wednesday agreed to enter into talks with management facilitated by the CCMA, a development which means that a threatened strike from Monday is now on hold. Read this report by Tamar Kahn in full at BusinessLive
Dis-Chem initiates discussions with 760 strikers at distribution centre, head office ANA reports that retail firm Dis-Chem said on Thursday that approximately 760 employees had gone on strike at its Midrand distribution centre and head office but trading and operations at its 131 stores were not affected. The company claimed that the strikers, who were affiliated to the National Union of Public Service and Allied Workers (Nupsaw), comprised less than 6% of its workforce. The company stated: “Their dispute relates primarily to union organisational rights as well as disagreement on decisions relating to discretionary bonus payments to a portion of its members. Dis-Chem has initiated discussions with the affected employees in an effort to arrive at a common understanding of certain issues and agree on a suitable resolution.” This short report is at The Citizen. See too, Dis-Chem target of union’s anger, at The Citizen. And also, Striking Dis-Chem workers demand bonuses, at eNCA Fawu concerned over protracted wage strike at Tongaat Hulett Starch Division The New Age reports that the Food and Allied Workers Union (Fawu) is deeply concerned about the protracted strike at Tongaat Hulett Starch Division, as it does not see any end in sight. Tongaat Hulett is an agriculture and agri-processing business focussing on sugar cane and maize. With 15 days having passed since it commenced, the strike is mainly over wages. Fawu is demanding a 10.5% wage increase, while Tongaat Hulett offered 6.25% during a meeting of the parties facilitated by the CCMA. Fawu’s other demands relate to long service awards and overtime pay. "We are deeply concerned about the situation, this has badly impacted about 300 of our members," Fawu’s Thabo Khota said. According to the union, production has come at a standstill. Tongaat Hulett's Michelle Jean-Louis said: "Fawu representatives and Tongaat Hulett management will meet again on Friday to find a satisfactory outcome for all stakeholders." Read this report by Refilwe Magashule in full at HTSyndication (The New Age) DUT students encouraged to register online due to Nehawu strike Business Report writes that Durban University of Technology (DUT) employees went on strike this week demanding a 10% annual salary increase. DUT is offering a 4% annual salary increase, which the National Education Health and Allied Workers’ Union (Nehawu) has described as an insult. In a press statement, the union expressed its strong view that the management of DUT, and especially the Vice-Chancellor Professor Thandwa Mthembu, has been treating the employees with disdain. DUT’s communications manager Noxolo Memela commented that management remained committed to resolving the issues and making sure that the university and its operations went back to normal as soon as possible. Regarding the salary negotiations, Memela noted that DUT management engaged with the labour unions and representatives on an ongoing basis. Union leadership will apparently be invited to a meeting scheduled to take place this week, where there will be more talks to resolve the stalemate. At present, student registration is underway at the university and according to Memela, registration has been slightly affected. The university has encouraged all students to register online because of the strike. Read this report by Dhivana Rajgopaul in full at Business Report. Read Nehawu’s press statement at Cosatu Today Other internet posting(s) in this news category
Police officer shot and killed in Brakpan after withdrawing money from ATM EWN reports that a police officer has been shot and killed in Brakpan, on the East Rand, after he withdrew a large amount of money from an ATM machine. It is understood the officer was followed from the ATM at Carnival City to his home where he was attacked by three gunmen. The police's Lungelo Dlamini said: “Apparently, he drew money at Carnival City whilst he arrived at his home, he was attacked by three suspects. They shot him and he was taken to hospital where he died. At this stage, we have launched a manhunt for these three suspects.” This short report by Katleho Sekhotho is at EWN
Dead illegal miners found near Benoni shaft all Lesotho nationals The New Age reports that the seven suspected illegal miners (zama zamas) whose bodies were found in Benoni on Sunday have all been identified as Lesotho nationals. Their families are arranging for their funerals. The police confirmed this on Wednesday but said no arrests had yet been made in connection with the deaths. They were, however, following leads which could lead to the arrests of people who might also be involved in illegal mining. The seven decomposing bodies were found scattered in the veld in Benoni in an area where violence regularly breaks out between rival illegal miners fighting over access to disused mine shafts. It is suspected that the men were killed elsewhere and their bodies later dumped in the veld. The families believe that the killings were the result of violence between two groups of illegal miners, one of them being Basotho, on Friday at one of the mine shafts that has been a scene of conflict. "The two groups fought at the mine shaft and started shooting at each other. One illegal miner who survived told us that we might find our cousin among the dead," a family member who had arrived to identify one of the bodies said. The war between illegal miners has been ongoing in the Benoni and Boksburg areas for some time. Read this report by Dikeledi Molobela in full at HTSyndication (The New Age)
Eskom in secret talks on golden handshake for Matshela Koko BusinessLive reports that embattled state-owned power utility Eskom, which has described its financial situation as "very dire", is in secret discussions to terminate the employment of controversial executive Matshela Koko. The parties are apparently close to a separation agreement as the talks are now centred on the amount the head of generation would take to agree to leave. Talks are at a sensitive stage, according to three informed sources. Last week, Koko was replaced by Willy Majola as interim head of generation, a move Eskom said was "a mutual agreement" for Koko "to settle in" following his reinstatement after a disciplinary hearing cleared him of various charges including conflict of interest. Two senior government officials outside Eskom, however, confirmed there were plans to remove Koko within days. Asked detailed questions about the negotiations and the legality of any proposed golden handshake, Eskom skirted the questions, instead only confirming Koko’s "current status" as an employee. A short report by Sikonathi Mantshantsha is at BusinessLive. See too, Singh, Koko to face parliamentary inquiry next week, at The New Age
In merger with UFO, Competition Tribunal bars Lewis from retrenching for two years Fin24 reports that the merger between furniture companies Lewis and United Furniture Outlets (UFO) has been granted by the Competition Tribunal, on condition that there are no merger-related retrenchments for the next two years. Following a hearing on 10 January, the matter was stood down to give time for further submissions to be made by the SA Commercial Catering and Allied Workers’ Union (Saccawu), which was concerned that the merger would lead to layoffs. According to the union, Lewis had embarked on retrenchments in anticipation of the merger as an attempt to reduce the duplication of functions. Previously the Competition Commission had concluded that retrenchments were unlikely to happen, but referred the matter to the Tribunal to make a final ruling. The R320m merger, announced by Lewis in October 2017, will see the company acquire UFO in an effort to diversify its offering. The merger will come into effect from 1 February 2018. Read this report by Lameez Omarjee in full at Fin24
Gauteng first-year nursing candidates to begin academic year in April EWN reports that the Gauteng Department of Health has advised that first-year nursing candidates will begin their academic year in April and not in January as initially planned. The department announced in December that it could no longer afford to fund the nearly 700 prospective students this year, despite having informed them that they qualified for the course and promising to fund them. This triggered criticism, with Economic Freedom Fighters (EFF) activists occupying nursing colleges on Monday, calling on the students to study by force. Chief director of nursing in the department, Johanna More, indicated: “Their programme won’t start in January, instead it will start in April. And therefore, the completion time will also be appropriate. We are going to discuss with the South African Nursing Council, we will discuss with the universities, the National Department of Health. So that we are assisted to re-adjust the programme.” A short report by Koketšo Motau is at EWN Other internet posting(s) in this news category
DA proposes PIC chair be appointed by Cabinet, with board to have union representative BusinessLive reports that the Democratic Alliance (DA) has proposed that the chairperson of the Public Investment Corporation (PIC) should be appointed by Cabinet on the recommendation of the National Assembly. The PIC manages about R1.9-trillion in assets on behalf of the Government Employees Pension Fund (GEPF) and other statutory funds. The proposal was contained in a private member’s bill — the Public Investment Corporation Amendment Draft Bill — which DA finance spokesman David Maynier submitted to the speaker of the National Assembly for introduction into the house. In terms of the bill, the chairperson of the PIC (currently appointed by the Finance Minister) would be appointed by the minister on the recommendation of the National Assembly. The 10 non-executive members of the board appointed by the minister would, in terms of the bill, include one representative of Treasury, each major depositor of the PIC (such as the GEPF and the Compensation Fund) and a registered trade union that represents the majority of GEPF members. The draft bill, if enacted, would also require the PIC to disclose all its investments — both listed and unlisted — on an annual basis. Read this report by Linda Ensor in full at BusinessLive. Read too, Parliament’s finance committee hopes to finalise PIC bill ‘reasonably soon’, at BusinessLive Fedusa and PSA head to Steinhoff offices to get access to company records BusinessLive reports that the Federation of Unions of SA (Fedusa) and its largest affiliate, the Public Servants Association (PSA), will be visiting the Stellenbosch offices of troubled global retailer Steinhoff on Friday. They will be demanding access to the company's records in terms of section 26 of the Companies Act. The two organisations have an interest in protecting the pension fund investments of their members, the majority of whom are public servants and members of the Government Employees Pension Fund (GEPF), which invested in Steinhoff through the Public Investment Corporation (PIC). “Our attorneys already informed Steinhoff in the prescribed manner and in writing according to the Promotion of Access to Information Act, 2000 about our intended inspection," Fedusa general secretary Dennis George said in a statement on Thursday. He went on to note that it would be an offence for Steinhoff “to fail to accommodate any reasonable request for access, or to unreasonably refuse access, to any record that a person has a right to inspect or copy in terms of section 20 of the Companies Act.” Read this report by Linda Ensor in full at BusinessLive. Read Fedusa’s press statement in this regard at SA Labour News
Resumption of service on Cape Town’s Central Line halted by train derailment ANA reports that the resumption of Metrorail services on Thursday morning was marred when a train came off the rails along the notorious Central Line in Cape Town. The train service on the line had been suspended for nearly two weeks because of safety concerns sparked by the shooting of a security guard on the platform of the Chris Hani Station. The United National Transport Union (UNTU) reported: “Early this morning an empty train with a train driver, metro guard and a section manager went out on the route to do a final check before the service resumes this morning. This train derailed just after 04:00 between the Netreg Station and the Heideveld Station. Nobody was injured, but the train has been severely damaged.” The derailment was apparently caused by the absence of “rail clips” that had been stolen. UNTU’s Steve Harris said that as a result of the derailment the Central Line “has once again been suspended due to the vandalism of infrastructure”. The incident on Thursday in Cape Town comes after another Prasa train derailed in Germiston in Gauteng on Wednesday, where it was established that the rail clips had also been stolen. Read this report in full at The Citizen. Read too, Metrorail suffers setback after train derails on Cape Town’s Central Line, at Cape Times. And also, Train derailment scuppers plans to reopen Cape Town central line, at EWN. As well as, Vandalism causes train derailment in Germiston, at EWN
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