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Huawei, labour dept in settlement talks over employment equity

Admire Moyo
By Admire Moyo, ITWeb's news editor.
Johannesburg, 24 Feb 2022

Chinese telecommunications giant Huawei is making headway in its tussle with the Department of Employment and Labour, which is accusing the firm of breaching South Africa’s employment equity policy.

Earlier this month, the labour department filed papers in court against Huawei Technologies South Africa, due to alleged non-compliance with the employment equity policy.

It alleged Huawei SA was audited in 2020 and found to be non-compliant in that it employs approximately 90% foreign nationals, which violates the policy.

In a statement yesterday, the Chinese-based company says the Department of Employment and Labour and Huawei Technologies South Africa have entered into talks to reach a settlement agreement and have agreed to stay court proceedings instituted by the department against Huawei on 11 February 2022, pending the outcome of the negotiations.

During the meeting, Huawei says it demonstrated its extensive ICT skills transfer and training programmes that are aimed at reducing the ICT skills gap and fostering a strong digital talent ecosystem for South Africa to further embrace 5G, cloud computing, artificial intelligence and other fourth industrial revolution technologies.

Says Huawei: “This was acknowledged by the Department of Employment and Labour, who advised Huawei to expand this further in their employment equity plan.

“Discussions are ongoing. Huawei is committed to being fully cooperative with the department, and both sides are positive that this matter will be concluded shortly.”

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