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Monday, 10 April 2017 09:24

The Sunday Independent reports that Cosatu’s three powerful public-sector unions have forced the labour federation to resolve that President Jacob Zuma should step down.

The newspaper has reliably established that the National Education Health and Allied Workers’ Union (Nehawu), the Police and Prisons Civil Rights Union (Popcru) and the SA Democratic Teachers’ Union (Sadtu) pushed, amid fears, arguments that Zuma must step down.

On Monday last week, Cosatu joined its left-wing ally, the SA Communists party (SACP), in calls for Zuma to stand down.  This was after a meeting of its highest decision-making body, the central executive committee (CEC) in Johannesburg.  The three unions were also at the centre of masterminding Cosatu’s decision on endorsing Deputy President Cyril Ramaphosa to succeed Zuma when the ANC holds its elective conference in December.

The Sunday Independent understands that the National Union of Mineworkers (NUM) and the SA Transport and Allied Workers’ Union (Satawu) were among the industrial unions that opposed the move.

Satawu general secretary Zenzo Mahlangu said their argument was Cosatu had to further engage with the leadership of the ANC on Zuma’s decisions, especially his controversial cabinet reshuffle.  “We never wanted that (Zuma’s resignation).  Our argument is let’s talk to the ANC first.  Besides it is the prerogative of the president (to reshuffle the cabinet),” he said.  “We were saying that let us not play to the gallery of the opposition,” he added.

It has been established that the public-sector unions – which became power brokers after the expulsion of the National Union of Metalworkers of SA (Numsa) and the shrinking of the NUM – were angered by the ANC’s failure to meet Cosatu late last year.  There was no voting on the matter.  A Cosatu CEC member said affiliates were told the ANC had rejected efforts by Cosatu leaders to meet.  He decried how the debate and subsequent decision on Zuma had divided the federation.  “We are more divided now. Cosatu is backtracking,” a CEC member said.

On Wednesday, Cosatu president S’dumo Dlamini and its general secretary, Bheki Ntshalintshali, met Zuma over the federation’s calls for him to step down.  In a statement, Cosatu said it was decided that the CEC would meet with the top six after the Easter weekend.

Popcru general secretary Nathi Theledi did not respond to questions about his union’s stance on Zuma.  “The CEC engaged, resolved and officially pronounced to the public on that matter.  The discussions that preceded the resolution should not be the bone of contention,” he said.

Dlamini would not be drawn on the matter.  “It is a Cosatu position.  I wouldn’t want to talk about how we arrived at it,” he said.

NUM general secretary David Sipunzi did not respond to text questions, and Nehawu general secretary Bereng Soke could not be reached for comment.  Sadtu general secretary Mugwena Maluleke referred questions to his deputy, Nkosana Dolopi, who did not respond to text questions.

After its CEC meeting on Monday, Cosatu was scathing in its criticism of Zuma.  “We reject that it’s the president’s prerogative to reshuffle the cabinet, because the ANC campaigned not as individuals, but as a team, and the voters gave the mandate to the organisation, not to any individual.

“The president derives his mandate like any other ANC deployee from the movement,” Ntshalintshali said.

The original of this report by George Matlala is on page 4 of The Sunday Independent of 9 April 2017

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Wednesday, 05 April 2017 11:40

Business Report writes that Isando-based Girlock Brakes SA has launched a retrenchment programme based on its operational requirements after the reduction by 95% of a Volkswagen (VW) SA contract for the production of rear brakes.

Dean Fragale said the planned retrenchments would affect an estimated 37 employees at the company, which were likely to take effect on 15 June when the VW contract “runs to a close”.  Girlock Brakes currently employs 136 people.

Fragale said the new brakes were now to be fully imported and criticised the trade and industry department (DTI) for not promoting local manufacturing, which could provide employment.

He said two of Girlock’s sub-suppliers had closed down since the start of this year because of cheap imports.

“The reason for importing is the agreement with the DTI with the motor industry (Automotive Production and Development Programme), which does not enforce any local content.  “This will result in unemployment throughout the industry,” he said.

However, Matt Gennrich, the communications general manager at VW SA, said the reason for the reduction in the contract was that Girlock was unable to meet the technical specifications for the brakes for the new Polo.

Gennrich said Girlock had attempted to extend its technical agreement with Thompson Ramo Wooldridge (TRW) and enter into a technical agreement with another global brakes company but was unsuccessful with both these initiatives.  He added that there were limited automotive component suppliers in South Africa and there was not another domestic supplier that could meet the technical specification for the brakes for the new Polo, which had resulted in the decision to now import these brakes.

Fragale said VW’s reasoning was “an excuse not to localise as they don’t want to spend money on tooling and testing” related to a technical agreement.  “TRW and other brake designers give any agreement as long as it’s approved by VW.  Girlock has been connected to TRW for 50 years and there is no problem getting specifications as long as VW requests it,” he said.

Fragale added that Girlock has supplied VW with about 700 brakes a day for years and has had zero defects in parts per million with the brakes supplied to VW.

He said Girlock had also made brakes for the Ford Motor Company of Southern Africa for 20 years, also with zero defects parts per million, but it lost this contract about four years ago with the start of production of the new Ford.

Read the original report by Roy Cokayne in full on page 18 of Business Report of 5 April 2017

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Thursday, 30 March 2017 13:13

The Star reports that former members of the SA Transport and Allied Workers’ Union (Satawu) on Tuesday turned to the High Court to force the union to pay the R1 million it owed to them.  

The eight former members were in the High Court in Pretoria to get payment from a settlement relating to an unfair retrenchment case in the Labour Court which began in 2010 and ended last year.

Workers said their former employer at the time did not follow due processes during a retrenchment process.

Daniel Mokwatedi said he was retrenched while he was on leave.  Mokwatedi and James Tshabalala said the union had enlisted attorneys to represent them, and were successful in the matter.  A sum of approximately R6.7m was to be paid to the workers.

Tshabalala said the Labour Court had ordered the former employers to reinstate the workers, but the company claimed there were no positions available, and the two parties agreed on a financial settlement.

“The attorneys told me that Satawu wanted the money to be paid into its bank accounts, and it would then pay us,” Tshabalala said.  However, he said that, after receiving proof that the attorneys had deposited the money, Satawu did not pay over.

The union received the money on 3 November last year, but had not deposited it two weeks later.  On 21 and 22 November, the workers each received R390,000, which was less than what they were meant to receive as per the settlement agreement.

“When we asked them about the rest of the money, they told us that they had a limit on how much they could transfer, and that they could only transfer the amount the following month,” Tshabalala said.

Court documents stated that Satawu had never denied owing the money.  In an email from the union, it promised to pay the balance on 25 and 26 February.  “We are still waiting for our money,” Tshabalala said.

During the proceedings, Judge Ronel Tolmey was unhappy that the attorneys representing the workers had not approached the sheriff to serve Satawu with the court papers.  She adjourned the matter to 30 March to allow them an opportunity to do so.

This report by Nomaswazi Nkosi is on page 11 of The Star of 29 March 2017

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Sunday, 26 March 2017 20:08

Business Times reports that SABMiller’s new owner, Anheuser-Busch InBev, is recruiting again after a higher than expected number of former SABMiller managers took voluntary separation packages and left in January.  This was amid allegations that positions were made redundant, thereby forcing some people to leave.

But Richard Tadeu, Africa Zone president at AB InBev, said the company now needed to hire at least 100 new people as it planned new developments.

“We are going to invest in two new production lines in South Africa.  That will be announced in [the] future.  So we’ll need people to run those lines,” Tadeu told Business Times on Friday.

Of just more than 1,000 managers that SABMiller employed when AB InBev completed the $103-billion takeover in October last year, 378 departed through the severance package as part of the company’s global cost cutting plans.

The process only affected managers at headquarters, not operations, to minimise disruption, Tadeu said.  It was the first time such a large scale restructuring had been done at SABMiller.

“At the end of the day we ended up with more people leaving that we ideally wanted.  Now we’re in the process of rehiring some of the positions,” he said.

These posts are required in the legal, corporate affairs and finance departments and include administration roles such as analysts and are not limited to management positions, Tadeu indicated.

Up until early this month the roles were offered internally before being offered externally.  “We’re in the process of matching people’s interest with positions available,” Tadeu said.

Last year, when it sought approval to buy SABMiller, AB InBev agreed to not retrench staff over the next five years, while workers at shop floor levels and those protected by the bargaining unit would also not be offered voluntary severance packages during this period.  The company also agreed to maintain the workforce at around 5,600 positions over five years, but when this period expired AB InBev may not cut staff, Tadeu said.

South Africa will be home to a regional business centre, which will service some countries on the continent and others in other markets where AB InBev operates globally.  AB InBev apparently regards Africa as a growth engine.

Meantime, in AB InBev’s 2016 annual report, which was published on Thursday, it was stated that the integration process was well underway.

Read the full report by Asha Speckman on page 1 of Sunday Times Business Times of 26 March 2017

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Monday, 23 January 2017 09:53

The New Age reports that the future of thousands of contract workers working for the Tshwane municipality with the threat of job losses is looming. It is also uncertain if the municipality's offices situated at 373 Pretorius Street will be up and running on Monday after last week's disruptions following protests by workers demanding permanent job placements. The workers have also accused a director in the city's electricity depot in Centurion of using the "K" word on employees.

Tshwane mayor's spokesperson Samkelo Mgobozi, said the city was not a primary employment agency. "As a city, our position is to create opportunity of employment, we cannot employ everyone permanently. We are not sure if services at the Pretorius street building would be back to normal or not - we will see today," Mgobozi said.

South African Municipal Workers Union (SAMWU) Tshwane region secretary Mpho Tladinyane, said last year they had a meeting with the city management to absorb the workers permanently. "The employer said that it would be finalised by the mayoral committee, but to date it has not," he said.

He denied reports that workers had held two officials hostage last week, saying the workers had merely wanted to know where they stood after learning that only about 3000 of them would be absorbed by the city. "There are about 8000 workers - if the city said they would absorb 3000, what about the others?" Tladinyane said. "The second issue that caused a stand off was the racism at the electricity depot in Centurion," he said, accusing the depot director Frank du Toit of referring to black students as baboons and employees using the 'K' word." However, Mgobozi reiterated that the city was investigating the allegations and called on people with proof to come forward.

"In a period of just two weeks, the city has experienced two disruptive and unlawful protests in regions 3 and 4, in part, because employees allege they are being racially prejudiced," Tshwane mayor, Solly Msimanga, said.

The original of this report by Ntombi Nkosi is on page 3 of The New Age of 23 January 2017

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