SACCI comments on labour regulation
In a statement issued today the CEO of SACCI, Mr Neren Rau, said:
QUOTE: The South African Chamber of Commerce and Industry (SACCI) has submitted comments on the amendment bills to the Basic Conditions of Employment Act (BCEA) and the Labour Relations Act (LRA) to the Parliamentary Portfolio Committee on Labour. The BCEA and the LRA constitute the foundations of South African labour law and play a crucial part in forming the conditions for the labour market – it is therefore of the utmost importance that they facilitate job creation and economic growth. Unfortunately, some of the proposed amendments to the BCEA and the LRA do exactly the opposite by imposing further costs on business to employ workers and increasing the rigidity in market for temporary employment services.
Some of the points of concern are as follows:
• An arbitrary limit of 6 months to temporary employment contracts
• Equal treatment of temporary and permanent workers after the 6 month term
• The extension of picketing rights to unrelated third parties
• The default requirement that an employer post the equivalent of 24 months of salary in an application for a review of arbitration
• The provision that temporary workers may able to sue for unfair dismissal due to a reasonable expectation of contract renewal or permanent employment
• The provision that provides the Minister with the power to determine increases on actual rates of pay in Sectoral Determinations.
• Provisions that aims to increase the power of the Minister to prohibit or regulate the use of sub-contracting, labour brokering and outsourcing.