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 roundup of weekend and recent reports,
see the following summaries of our selection of
South African labour-related articles.
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PIC suspends chief investment chief for alleged misconduct News24 Business reports that the Public Investment Corporation (PIC) has suspended Chief Investment Officer Kabelo Rikhotso following allegations of misconduct. The state pension fund manager said in a statement on Friday that it had received a report from a whistleblower, but the suspension in no way constituted any finding of wrongdoing. “Effected in line with applicable labour legislation and internal PIC policies and procedures, the suspension is intended to ensure continuity,” the PIC indicated. It did not elaborate on the nature of the allegations and said that Chief Risk Officer August van Heerden has been appointed to Rikhotso’s position in an acting capacity. The PIC, which oversees about R3 trillion in state employees’ pensions, is wholly owned by the SA government. Rikhotso is also a non-executive director on the boards of Africa Finance Corporation, which seeks to catalyse infrastructure projects, and Heineken Beverages. Prior to joining the PIC, he was an executive and fund manager at Visio Fund Management. He was the founder CEO and executive director of Royal Investment Managers, an investment holding entity with assets under management of about R80 billion. Rikhotso was also the head of investments for what is now Alexforbes Investments for nearly a decade. Read the full original of the report in the above regard by Karl Gernetzky at News24 Business (subscription / trial registration required). See too, PIC suspends investment head on misconduct claims, at Moneyweb David Masondo asks for space after PIC suspends chief investment officer BL Premium reports that Deputy Finance Minister David Masondo has framed the decision by the Public Investment Corporation (PIC) to suspend its chief investment officer Kabelo Rikhotso as a prudential, fiduciary act, signalling that governance, not politics, would steer the fund through the inquiry. Rikhotso, who is expected to defend himself against allegations of impropriety against him by a whistle-blower, was placed on precautionary suspension to allow the process to verify or dismiss the unspecified allegation to proceed without bias or undue influence. “We strongly want to categorically state that we are in no way pronouncing any verdict on the allegations of misconduct. This is due process. We want to resolve this matter as speedily as possible,” said Masondo, who is also chair of the PIC board. Masondo went on to say: “Our reputation as one of Africas largest fund managers is as important as our obligation to those we have contracted to do the operations. I would like to request that the board be given space to apply prudence to this matter.” As chief investment officer, Rikhotso sits on the board alongside new CEO Patrick Dlamini. He took over the reins at the PIC from Abel Sithole, who retired at the end of July. The asset manager, which controls more than 10% of the JSE, said its chief risk officer, August van Heerden, would act in Rikhotso’s position during his suspension. Read the full original of the report in the above regard by Kabelo Khumalo at BusinessLive (subscriber access only)
DPSA staff decry shocking, unsafe and unhealthy state of Batho Pele House in Pretoria TimesLIVE Premium reports that poor ventilation, black dust particles from air conditioners, broken toilets and leaking ceilings are just some of the conditions at Batho Pele House, which houses the Pretoria headquarters of the Department of Public Service and Administration (DPSA). The DPSA, the very department tasked with setting rules and guidelines for the public service, is itself operating in what staff describe as crumbling and unsafe conditions. A worker claimed that employees have been working from home and on rotation since June this year because Batho Pele House was unsafe. He said although the building was billed as a “green building”, it was anything but that. “We have been complaining about the quality of oxygen in the building. Because it is a green building, it does not have windows. There’s a terrible smell from the toilets, the building leaks when it rains, and corridors are often flooded,” the worker claimed. National Education, Health and Allied Workers’ Union (Nehawu) spokesperson Lwazi Nkolonzi confirmed that members had repeatedly raised safety and health concerns. Last week, the Department of Employment & Labour (DEL) conducted an unannounced inspection and issued several prohibition notices over safety violations. Structural engineers have since been called in to assess those. The DPSA told staff they would continue working remotely until all issues flagged by labour had been resolved. DPSA spokesperson Moses Mushi said the building belonged to public works and that the department was merely a tenant. Read the full original of the report in the above regard by Yoliswa Sobuwa at TimesLIVE Premium (subscriber access only) Gift of the Givers staff kidnapped in Khayelitsha on Friday night IOL News reports that a 40-minute hijacking ordeal in Khayelitsha on Friday night has left three Gift of the Givers staff members deeply traumatised after they were kidnapped at gunpoint. The team, a male driver and two female colleagues, had been driving through the area when seven armed men cut them off, forced them out of their vehicle, and bundled them into a blue Toyota Yaris. Meanwhile, two other suspects sped off in the organisation’s branded van. The hijackers later abandoned the staff in the middle of a dark, informal settlement. The hijackers triggered the alarm in the Gift of the Givers bakkie, which activated the vehicle’s tracker. Police later recovered the vehicle. Project coordinator Ali Sablay confirmed the incident and extended gratitude to SAPS members who had responded promptly, ensuring the safe recovery and escort of the team. He said: “The vehicle is currently in police custody for further investigation. Our staff members are understandably deeply traumatised, having been driven around for close to 40 minutes in an area where Gift of the Givers has been actively involved in social upliftment and disaster relief projects for many years. Read the full original of the report in the above regard by Mandilakhe Tshwete at IOL News Other internet posting(s) in this news category
Chinese and Indian car firms commit to full-scale manufacturing in SA Reuters reports that SA has secured commitments from Chinese and Indian car companies to upgrade their semi-knocked-down (SKD) vehicle assembly operations to full-scale manufacturing, Department of Trade, Industry and Competition (DTIC) Minister Parks Tau advised on Thursday. The government is currently in talks with multinational carmakers who have SA factories on ways to safeguard the industry’s future as it navigates declining production volumes, stiff competition from China, tariff uncertainty and an expensive shift to electric vehicles. Automotive leaders warned on Wednesday at an annual automotive conference that if SA did not protect its industry from imports, it risked driving deindustrialisation in the country. Speaking following recent engagements with industry players in China and India, Tau told delegates at the conference “in both those markets, the companies that have SKD operations in SA have committed to transition to CKD [complete knocked down]”. The SKD manufacturing technique involves turning partially assembled kits into finished vehicles, while CKD puts together cars from parts delivered to the site. Tau said the government’s role would be to support companies in reaching full production capability, which would not only strengthen SA’s industrial base but also position the country as a manufacturing hub for the continent. The minister said discussions with other investors in China and India had also yielded interest in either partnering with existing car manufacturers to use excess capacity or building new factories in SA. Read the full original of the report in the above regard at BusinessLive
Minerals Council hits out at disparity between pay and productivity in mining Business Times reports that the Minerals Council SA (MCSA), which represents 90% of SA’s mining industry, says a "highly unionised" labour force in mining has led to a "decoupling" between real gross earnings and labour productivity. In response last week to Stats SA’s Quarterly Employment Survey for the second quarter, the MCSA said: "Growth in real gross earnings is faster than labour productivity. Mining employees are getting paid more relative to the value they produce ... This is an indication of a highly unionised workforce which can negotiate relatively higher wage increases." Acting chief economist Bongani Motsa said the mismatch between productivity and wage growth could lead to inflationary pressures, tighter profit margins and a reduction in global competitiveness. The economy as a whole recorded a 0.2% quarter-on-quarter increase in wages, including bonus payments and overtime, and a 3.4% year-on-year growth in remuneration to R986.8bn. In the mining sector, remuneration was up 2.2% in the quarter at R49.8bn. Motsa commented: "I am not a proponent of low wages compared to inflation; we should acknowledge that they should be in line with the growth of production and productivity … The legislation is pro-labour instead of a balance; it should also cater for businesses." National Union of Mineworkers (NUM) spokesperson Livhuwani Mammburu said Motsa’s comments reflected an agenda by members of the council to replace permanent employees with contractors. Gideon du Plessis, general secretary-of Solidarity, argued that wage hikes in mining were not excessive and that offering decent wage packages ensured labour stability and productivity. He called on the MCSA to scrutinise the substantial remuneration packages and annual increases awarded to mining executives. Read the full original of the report in the above regard by Dinei Faku at Business Times (subscriber access only) Other general posting(s) relating to mining
As SABC loses millions in revenue over missed ads, retrenchments reportedly being weighed City Press reports that insiders at the SABC have revealed that the public broadcaster may face another round of retrenchments as the organisation continues to lose revenue due to radio presenters allegedly not playing scheduled advertisements. An internal exception report shows more than 800 adverts were skipped in August across 18 stations, raising concerns about revenue and job security. An exception report is generated when a client has purchased airtime at the SABC in any form of advert or live read, but, if a particular station fails to carry it, the money is refunded to the client. Insiders say the amounts run into millions of rands, with investigations under way into missed slots. Metro FM, Ukhozi FM, Umhlobo Wenene and Radio 2000 were reportedly among the biggest culprits. A source explained that the sales team and producers could not be held accountable because presenters ran their own desks, and it was their duty to ensure adverts were played as scheduled. With retrenchments already having shaken the organisation in recent years, the prospect of another round is adding to the uncertainty that staff across multiple divisions face. Read the full original of the report in the above regard by Nompumelelo Magagula at City Press (subscription / trial registration required) Other internet posting(s) in this news category
ConCourt rules that moms and dads can share four-months ‘maternity’ leave News24 reports that the Constitutional Court (ConCourt) has given the thumbs-up to a groundbreaking 2023 High Court judgment allowing two parents to share the maternity leave that was previously reserved for biological mothers. In October 2023, the South Gauteng High Court found that by providing for four months of maternity leave and just 10 days of paternity leave, the Basic Conditions of Employment Act (BCEA) unfairly discriminated between mothers and fathers, and was unconstitutional and invalid. The High Court’s ruling then came before the ConCourt for confirmation and it was upheld in a judgment handed down on Friday. The case was brought by Limpopo couple Werner and Ika van Wyk, after the birth of their son, James, in April 2021. The High Court found that the BCEA – as well as the corresponding sections of the Unemployment Insurance Fund (UIF) Act – unfairly discriminated between mothers and fathers. It also found the legislation unfairly discriminated against different types of parents whose children were conceived via surrogacy or adopted. The ConCourt by-and-large agreed with the High Court. It differed from the High Court, however, in finding that capping the age of an adopted child in respect of whom parents were entitled to leave was also unfairly discriminatory. The ConCourt has given Parliament 36 months to rectify the legislation. In the interim, it has effected a reading-in in the BCEA, to the effect that the four months and 10 days that were previously afforded to two parents cumulatively, should be shared between them. It, however, declined to effect a similar reading-in in the UIF Act, saying it did “not have sufficient information at its disposal regarding how the benefits in the corresponding provisions of the UIF Act are calculated” Read the full original of the report in the above regard by Bernadette Wicks at News24 (subscription / trial registration required). Read too, ConCourt redefines parental leave: Key implications for employers and professionals, at CDH. En ook, Wye steun vir uitspraak oor gelyke ouerskapverlof, by Maroela Media
Salary increases for councillors but not for workers tear Polokwane council apart The Citizen reports that a war of words is underway at the Polokwane local municipality in Limpopo between the Congress of the People (Cope), the municipality, and the ruling ANC over salary increases for councilors. This comes after the municipality was recently granted a Grade 6 status by the Minister of Cooperative Governance and Traditional Affairs (Cogta). This classification is a step towards full metropolitan status. At the centre of the controversy is the municipal council’s decision to approve a salary increase only for councillors, leaving other staffers in the lurch. This has left Cope spitting fire. “We, as Cope, strongly condemn the decision by the Polokwane municipal council to consider salary increases for councillors only,” said acting general-secretary Erick Mohlapamaswi. He reported that a proposal was tabled during a council meeting on Wednesday to adjust councillors’ salaries in line with the Grade 6 classification. However, he said no similar provision was made for the municipality’s administrators and workers, whose efforts were instrumental in achieving that milestone. “It is deeply unjust that only councillors are set to benefit from the Grade 6 upgrade, while the very people who worked day and night to secure this achievement are being left behind,” Mohlapamaswi asserted. He branded the decision discriminatory and exploitative. Municipal spokesperson Thipa Selala characterised Cope’s sentiments as totally devoid of truth. Read the full original of the report in the above regard by Alex Japho Matlala at The Citizen
Justice Minister Kubayi reveals ongoing hearing for suspended director-general Mashabane IOL News reports that Justice and Constitutional Development Minister Mmamoloko Kubayi has confirmed that work is under way in respect of the disciplinary proceedings against Director-General Doctor Mashabane. The suspension of Mashabane and the Deputy Director-General responsible for ICT, Jabu Hlatshwayo, was made public on 26 August. The suspensions came days after the Madlanga Judicial Commission of Inquiry into Criminality, Political Interference, and Corruption in the Criminal Justice System revealed it could not commence its work as scheduled on 1 September. The delay was attributed to infrastructure procurement issues faced by the Justice Department that had significant implications for the inquiry’s timeline. This was despite Kubayi’s ministry instructing departmental officials to work closely with the commission to ensure that all administrative and logistical arrangements were in place. Kubayi said at the time of the suspensions that the delays had had an impact on the commission starting its work. Mashabane was formally suspended on 12 September. Kubayi now stated: “Work is under way for the disciplinary process, of which the outcome will be communicated publicly.” Kalayvani Pillay, deputy director-general responsible for legislative development and legal services, has been appointed to act as the director-general. Deputy Director-General for Court Administration Charles Mohalaba has been appointed to act in the position of Hlatshwayo. As Mashabane’s contract is set to expire in February 2026 with no plans for extension, concerns have been raised regarding the urgency of the disciplinary proceedings, particularly given the limited timeframe. Read the full original of the report in the above regard by Mayibongwe Maqhina at IOL News
Fired Social development official takes aim at Minister Tolashe in falsified CV scandal TimesLIVE Premium reports that if Department of Social Development (DSD) Minister Sisisi Tolashe and her director-general Peter Netshipale fail to withdraw the summary termination of the suspended chief of staff Zanele Simmons, they could find themselves hauled before the Labour Court (LC) and be personally on the hook for legal costs. Simmons was fired on Friday afternoon after being suspended for allegedly falsifying the CV of a 22-year-old political appointee. She has given the Minister and DG until Monday morning to retract both her termination and suspension, failing which she will seek urgent relief from the LC. Simmons’s firing follows her suspension for allegedly falsifying the CV of Lesedi Mabiletja, the 22-year-old niece of Tolashe’s special adviser Ngwako Kgatla. Mabiletja, who holds a diploma and has almost no work experience, was appointed to the senior chief of staff post in the minister’s private office — a job that comes with a salary of about R1.4m a year. Her CV had been sent by her uncle to Simmons, who forwarded it to HR. Simmons, who does not have a personal relationship with Mabiletja beyond office dealings, merely passed the CV on to HR. Internal documents show that Mabiletja’s appointment did not comply with public service regulations. Simmons was seconded to the National Development Agency — a DSD entity — on 25 August. Last Monday, she and Mabiletja were served with notices of precautionary suspension. The letter accused Simmons of using the minister’s electronic signature without permission and of falsifying a CV. But even before the department’s investigation had begun, Simmons’s suspension turned into an outright dismissal. The termination was seemingly issued without a disciplinary hearing, without notice, and without compliance with the SMS handbook. Read the full original of the report in the above regard by Gill Gifford at TimesLIVE Premium (subscriber access only)
Tembisa Hospital corruption: Nehawu calls for lifestyle audits for all employees News24 reports that the National Education, Health and Allied Workers’ Union (Nehawu) in Gauteng has taken an unwavering stance against corruption at the embattled Tembisa Hospital. It has called for decisive eradication measures that spared no one, including its own members. The union had not ruled out the involvement of its members in the corruption scandal and has demanded urgent lifestyle audits and the attachment of properties of those implicated. Nehawu members marched last week to the offices of Gauteng Health MEC Nomantu Nkomo-Ralehoko in Johannesburg, demanding swift and decisive action to address the looting of public funds at Tembisa Hospital. The march came in the wake of explosive revelations that exposed rampant corruption – first identified by whistleblower Babita Deokaran three weeks before her murder in 2021. An interim report released on Monday by the Special Investigating Unit (SIU) shed light on the staggering theft of R2 billion from Tembisa Hospital through fraudulent tenders. Nehawu Gauteng secretary Mzikayise Tshontshi described the findings as a glaring example of systemic corruption crippling the Gauteng health department. Tshontshi declared: “All implicated individuals, from junior staff to senior officials, must face the full might of the law. The department must take disciplinary steps swiftly and decisively if it expects tangible results.” He demanded lifestyle audits for all employees at the hospital, and said “every cent stolen must be recovered, even if it requires auctioning properties of those involved.” Read the full original of the report in the above regard by Ntwaagae Seleka at News24 (subscription / trial registration required)
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