The controversy around labour broking occupied centre stage at the public briefing organised by the Department of Labour (DOL), in Port Elizabeth (PE), this week.
The department is hosting briefings across the country to explain proposals made to amend the Labour Relations Act (LRA) and the Basic Conditions of Employment Act (BCEA).
The session in PE was attended by stakeholders from business, organised labour, civil society bodies and government institutions, and was addressed by Thembinkosi Mkalipi, chief director of Labour Market Policy in the department.
Mkalipi said the labour broking debate largely centres on demands by organised labour that labour brokers should be banned, while business feels they should be regulated.
The manifesto of the ruling party on the matter is to avoid exploitation of workers and ensure decent work; introduce laws to regulate contract work, subcontracting and outsourcing; and address the problem of labour broking and prohibit certain abusive practices, according to Mkalipi.
He added that the Bills respond to abuses in the labour market in that labour brokers roll over contracts of employees, thereby making workers permanent temporary employees; that workers employed by labour brokers earn less than their counterparts employed by clients doing the same job; workers employed by labour brokers not being able to take up their dismissal cases with the Commission for Conciliation, Mediation and Arbitration; and workers employed by labour brokers often not having access to social benefits such as retirement funds.
The department says that “as expected, labour unions dug in their heels and said they would settle for nothing short of the 'complete ban' of labour brokers”.
Draft amendments to the LRA, BCEA and Employment Equity Act were published in the Government Gazette, in December 2010. The amendments proposed a repeal of section 198 of the LRA, which regulates labour brokers, effectively prohibiting labour broking and leading to job losses, according to the Democratic Alliance.
Strike again
Mkalipi said highlights in amendments include the protection of vulnerable workers against abuse by labour brokers. “In the new labour regime it is no longer about who registers an employee, but whether a worker gets the benefits he or she is entitled to.”
Another element in the amendments would be tackling violence associated with strikes and lock-outs, says the DOL. “In terms of proposed changes, workers would have to be balloted before embarking on a strike and both parties should respect the picketing agreements which now extend to third-party.”
The Congress of SA Trade Unions (Cosatu) previously called for nothing less than a complete ban on labour broking and held a nationwide strike against it and labour broking on 7 March. However, later that month national spokesperson Patrick Craven said the union is willing to come up with an acceptable solution with government regarding labour broking.
The federation yesterday announced it is mobilising its two million members for “the mother of all protests” to demand the banning of labour broking and the scrapping of the e-toll system on 30 April.
Disbanding Nedlac?
“The process to amend the LRA and BCEA started in 2009 and gathered momentum in 2010, during public hearings. The process later took a year of engagement at the National Economic Development and Labour Council (Nedlac), with 30 meetings being held,” says the DOL.
The Parliamentary committee on labour on Wednesday debated the need for an intensive broader policy debate by social partners from business, organised labour and government about the continued relevance of Nedlac.
Some members of the committee said the relevance of the body had expired and it was time to close shop. Alistair Smith, Nedlac executive director, said the debate should focus on repositioning the institution rather than disbanding it.
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