Government concerned over labour instability

Friday, September 20, 2013

Johannesburg – Government says it’s concerned about the current tensions over labour relations in the country.

The strained relations were putting the economy of South Africa under pressure, Minister in the Presidency Collins Chabane said today.

Chabane reminded that Government will not intervene on bargaining issues because it had created institutions to deal with this. He was speaking at the start of the annual National Economic Development and Labour Council (Nedlac) summit in Illovo, north of Johannesburg. His comments come as the country continues to be plagued by workers’ strike actions with some turning violent.

On Thursday, Police Minister Nathi Mthethwa said violent strikes were also putting a strain on the police, as resources were used to contain strikes instead of fighting crime.

Today, Chabane called on participants at Nedlac to seek answers and better understand the current challenges in the labour relations.  

Recent developments in the mining sector have not only demonstrated a strained labour regime but has also exposed deep dissatisfaction among workers at the slow progress in transforming the work place, he said.

He said social dialogue remained one of few instruments available to address challenges facing the country, including in these were poverty and unemployment.  He said there was a need to ask why workers had lost patience and often turn violent in their approach to wage demands.

“We cannot ignore these challenges … after all, our social dialogue is about inclusive participation.”

Chabane said the recent outbursts in the labour market should not take the attention away from South Africa’s rich history of social dialogue.

He could not understand why workers would, for instance, go on strike for weeks on end when the employer is offering eight percent increase and come back after weeks “shouting victory when the employer increases the offer by 0.05 percent”.

“I’m also advised that in some cases, parties end up calling on government to assist. Calling government to get involved in the operations of the industrial relations is undesirable when government has created institutions for this purpose.

“The unwarranted intervention by government has a potential of undermining the very institutions we created in the first place.” Government would continue to ensure institutions like Nedlac facilitates consensus on critical labour matters.

The summit was attended by representatives from labour, business, government and community organisations.

Also speaking at the opening session, Labour Minister Mildred Oliphant urged the participants to strengthen social dialogue to tackle challenges of unemployment, poverty and inequality in South Africa.

She said the rise in the number of unprotected strikes meant that “we need to go back to the drawing board and revisit the bargaining process”.

“I want to say dialogue is what saved this country … we continue to face challenges in the labour market but we should not become despondent nor should we lose sight of the achievements we are recording,” said Oliphant.

Business is also calling for Nedlac to come up with tangible solutions to the current labour disputes and slow economic growth.

“More than ever before, we need effective social dialogue in South Africa … we do need to get business labour, government and the community to work together to understand what the serious challenges that are now facing South Africa,” said business leader Raymond Parsons.

He said the message that needs to come out of the Nedclac meeting was that of willingness by the parties to work together and attend to the “flashing red lights”.

Parsons, who has authored a book titled ‘Zumanomics’ said at the time South Africa and the world were facing serious economic challenges, there was a need for “sober heads” to emerge from Nedlac. The ‘Zumanomics’ book looks at the economic policies of President Jacob Zuma’s administration since 2009.    

“The important message that should come out here is to set a sense of direction for social dialogue over the next year.  I think another important message that’s got to come out is that we are going to use social dialogue more effectively to address the challenges facing our country,” he said.

Business Unity South Africa Chief Executive Nomaxabiso Majokweni said for South Africa to prosper all social partners needed to unite behind a common vision.

She said there was a need to strengthen dialogue among South Africans, adding that BUSA’s concerns was that a lack of dialogue could even affect the country’s political stability.

Majokweni urged stakeholders to unite in contributing in the successful implementation of the National Development Plan “rather than suffer from ideological polarisation”.

South Africa needed leaders that would commit to what was best for South Africa.

“It is not business as usual … South Africa just like many other countries is continuing to experience economic growth that is below our potential, we need to show our capabilities and readiness to act.” - SAnews.gov.za