Proposed Labour Law Amendments
Meeting Summary
The Committee received a presentation from the Parliamentary Research Unit on the proposed changes to
The proposed amendments to the labour laws in
The Labour Relations Amendment Bill of 2010 proposed to stop the exploitation of workers, ensure decent work for all workers; and prohibit certain abusive practices. A proposed amendment aimed to stop the practice of repeated contracting for short-term periods. The onus would be on employers to justify the use of short-term or fixed term contracts, in place of contracting employees on a permanent basis. The Bill proposed to repeal section 198 that deals with Temporary Employment Services in the Labour Relations Act (no 66 of 1995) amongst other proposals.
The Basic Conditions of Employment Amendment Bill address Government’s commitment to avoid exploitation of workers, ensure decent work, and protect the employment relationship. The Bill would introduce laws to regulate contract work, sub-contracting and outsourcing, address the problem of labour broking; prohibit certain abusive practices; and effect certain consequential amendments as a result of the insertion of new definitions and to effect certain corrections. Amendments were proposed in the Bill to give the Minister the power to prescribe thresholds of representativeness of a trade union to have the organisational rights of access to employer premises. This was intended to apply to situations where unionisation is difficult but where a more flexible threshold may facilitate unionisation within a sector or area.
The Employment Equity Amendment Bill would aim to ensure compliance with
The Employment Services Bill would aim to contribute to the Government’s objectives for “More jobs, decent work and sustainable livelihoods”. The Bill repositions employment services to play a major role in employment promotion and employment preservation and will assist employers and workers to adjust to changing labour market conditions. The Bill seeks to elevate opportunities for citizens over those of foreign workers by requiring employers to make use of the public employment service before employing foreign nationals, and to submit reasons to the Director General as to why citizens with suitable profiles referred to them by the department could not be employed instead of foreign nationals. Employers engaged in sectors designated by the Minister for this purpose will be required to notify the Department of any vacancy or new position in their establishment within 14 working days after the position has become vacant or was created, and to notify the Director General of the filling of any vacancy within 14 days.
Certain members commented that
They asked whether the Employment Equity Amendment Bill related to racial demographics in provinces. They asked whether the Employment Services Bill would legalise labour brokers. They asked whether the Labour Relations Amendment Bill would not protect uncategorised workers and take away their right to go to the CCMA before approaching the
Meeting report
Presentation on Labour Amendment Laws
Ms Ronelle Barreto, Committee Researcher, (Labour and Public Enterprises) and Mr Lwazi Mahlangu, Committee Researcher (Economic Development) presented the Committee with the proposed changes to
Mr Mahlangu touched on some of the historical issues affecting the labour market in
•Dual labour market model has challenged the notion of the informal sector as a free entry sector of last resort
•The existence of two or more sectors with different wage setting mechanisms, with limited upward mobility for workers in the “less productive” sectors
•Institutional barriers to mobility (wage settings coupled with skills)
•Geographical barriers (poor infrastructure connecting urban and rural areas)
•Legal barriers (such as weak enforcement of property rights
•Barriers due to discrimination based on ethnicity, race or gender (may make it difficult for the poor to participate in sectoral growth)
The government had put in place a number of policies to attempt to tackle structural unemployment. These measures included education and training, training and retraining programmes, changes in the tax structure with tax incentives, wage subsidies, and restrictions on labour union power. They included the promotion of Small and Medium and Micro Enterprises (SMMEs), strengthening the informal sector, restructuring of the agricultural sector and land use and an improved public works programme. Most of the unemployed people in
Ms Barreto addressed the issue of the proposed changes to the labour laws in
The Labour Relations Amendment Bill of 2010 proposed to stop the exploitation of workers, ensure decent work for all workers; and prohibit certain abusive practices. A proposed amendment aimed to stop the practice of repeated contracting for short-term periods. The onus would be on employers to justify the use of short-term or fixed term contracts, in place of contracting employees on a permanent basis. The Bill proposed to repeal section 198 that deals with Temporary Employment Services in the Labour Relations Act (no 66 of 1995). The Department would introduce a new Employment Services Bill which would address both Private and Public Employment Services. The Bill proposed substantial changes to the jurisdiction of the
The Basic Conditions of Employment Amendment Bill address Government’s commitment to avoid exploitation of workers, ensure decent work, and protect the employment relationship. The Bill would introduce laws to regulate contract work, sub-contracting and outsourcing, address the problem of labour broking; prohibit certain abusive practices; and effect certain consequential amendments as a result of the insertion of new definitions and to effect certain corrections. Amendments were proposed in the Bill to give the Minister the power to prescribe thresholds of representativeness of a trade union to have the organisational rights of access to employer premises. This was intended to apply to situations where unionisation is difficult but where a more flexible threshold may facilitate unionisation within a sector or area.
The Employment Equity Amendment Bill would aim to ensure compliance with
The Employment Services Bill would aim to contribute to the Government’s objectives for “More jobs, decent work and sustainable livelihoods”. The Bill repositioned employment services to play a major role in employment promotion and employment preservation and will assist employers and workers to adjust to changing labour market conditions. The Bill sought to elevate opportunities for citizens over those of foreign workers by requiring employers to make use of the public employment service before employing foreign nationals, and to submit reasons to the Director General as to why citizens with suitable profiles referred to them by the department could not be employed instead of foreign nationals. Employers engaged in sectors designated by the Minister for this purpose would be required to notify the Department of any vacancy or new position in their establishment within 14 working days after the position has become vacant or was created, and to notify the Director General of the filling of any vacancy within 14 days.
Discussion
Mr H Groenewald (
The Chairperson replied that Mr Groenewald was out of order. This was not the correct forum to raise those issues and the researchers were not in apposition to respond to them. Mr Groenewald should rather bring those issues up in a meeting with the Departments of Labour or Economic Development.
Mr Groenewald referred to the figures quoted in the presentation about the Apartheid schools and questioned where it had been taken from. He commented that
Mr Mahlangu replied that the statistics had been garnered from the Department of Labour. The figures provided context to the issues affecting the labour market in contemporary times. There was a crisis at various border posts but blame should also be placed on the door of people who employed illegal foreign nationals. Employers sought to maximise their profit margins with minimal expenditure on labour, this created a problem for native nationals seeking employment.
Ms Barreto added that the Employment Services Bill had been introduced specifically to deal with the issue of foreign nationals being employed in places where locals could be employed. The Bill would place responsibility on employers to employ nationals ahead of foreign nationals but in cases where foreign nationals were employed, proper explanation would have to be provided for that.
Mr M Jacobs (
Mr Mahlangu replied that the numbers varied but the information that the researchers had sourced had given them that specific set of numbers. The average ratio of teachers to students in classes was 1 is to 30.
Ms Barreto confirmed that the Labour Relations Amendment Bill would seek to curb casualisation and would bring in fixed term contracts for workers. The onus would be on employers to show valid reasons for temporarily employing an individual. The Employment Equity Bill would seek to level racial demographics in the workplace but there would still be room to address unfair employment practices in the
Mr Z Mlenzana (
Ms Barreto replied that Mr Mlenzana was correct in his assessment; uncategorised workers would have to go to the
Mr Jacobs commented that the Committee would do well to learn from its study tours such as the trip it had taken to
The Chairperson thanked the researchers for their presentation.
Adoption of Outstanding Minutes
The Committee considered and adopted minutes from meetings held on 9 February, 16 February, 2 March, 16 March, 23 March, and 30 March.
Adoption of Outstanding Reports
The Committee also adopted its Report on the Department of Labour’s Strategic Plan. It further adopted a report on its Koeberg Study Tour and its Japan Study Tour.
The meeting was adjourned.
Present
- We don't have attendance info for this committee meeting
Download as PDF
You can download this page as a PDF using your browser's print functionality. Click on the "Print" button below and select the "PDF" option under destinations/printers.
See detailed instructions for your browser here.