Tag Archive | lumka yengeni

Poor showing from Department of Labour

sent to clients 6 October…..

Department roasted by MPs….. 

The Department of Labour (DOL) managed to spend 99% of the money allocated to it in the yearmildred-oliphant 2014/5, but in the same period achieved only 43% of its targets, according to the Auditor General (AG).

Parliament’s Portfolio Committee on Labour in response has now requested that Minister Mildred Oliphant appear before the committee to explain a dismal track record for the department built up over five years.

The committee was studying its own parliamentary overview of the DOL annual report which presentation also included DOL’s first 2015/6 quarterly financial and tasking targets. The overview was prepared in the light of  the AG’s recent audit of the department.

No better than before

In the first quarter of 2015/6, it was noted by the parliamentary overview that performance was little better than a bad previous year, with DOL spending R778.8m of the annual R2.6bn budget in that quarter, reflecting an under-expenditure of R130m with performance against targets also no better despite complaints lodged last year by the parliamentary PC on Labour.

The position was evident after the committee’s parliamentary financial oversight researcher had analyised the Auditor General’s report on DOL’s figures and perfomance in conjunction with reports from the Department of Public Service and Administration (DPA) on the same subject, represented by Phelelani Dlomo of DPA.

Bad history

The sad litany of poor organisation, said Dlomo, went back to 2012 and the R880 000 misspent in a “fruitless and wasteful” manner when a labour imbizo was cancelled at the last minute “due to unforeseen circumstances” in Gauteng.   At no stage over the next 12 month, Dlomo showed, there was little evidence of any marked improvement.

Subsequent failures by the Department of Public Works to “produce invoices for the right year” for new buildings for DOL and failures with inspection and enforcement programmes on labour issues were subsequent reasons for the overall financial misfire. The excuses for underspending of budget in the current 2015/6 first quarter were “slow spending on stationery, office leases and travel, and unfilled but funded vacant positions.

Lumka YengeniChairperson Lumka Yengeni and the Committee were warned by the Parliamentary Legal Advisor that it could not touch upon the issue of the DOL strategic plans because such had been approved by Parliament but what needed to be investigated was the underperformance of employees, since it was at management level that the department was failing on a regular basis.

No show minister

Minister of Labour, Mildred Oliphant, has had a running battle with the main Opposition Party for some time now because of her regular non-appearance before the Portfolio Committee on Labour. In a reply to a tabled parliamentary question on her absence by Ian Ollis MP (DA) that she had “defied and not heeded requests to attend Parliament”, the Minister replied in writing that she had never received any formal invitation, request or summons to attend the Portfolio Committee meetings.

The statement from her Ministry added “there is nothing unusual in parliamentary practice when a Minister is represented by her director general on issues requiring answers on departmental operations and plans.”

“This is not the practice of most Ministers”, said Ollis and added that the majority of Ministers liked toian ollis attend so that they appeared in touch with their departments and are conversant with the issues that their departments.  Without a doubt, he said, this was not the case with the Minister of Labour “who obviously rejected any financial oversight of her department’s performance.”

How bad can it get

Ms. Meisie Nkau of the Auditor General’s office completely supported the parliamentary research and analysis findings undertaken and added “DOL was spending but underachieving”. Opposition members at question time had a field day and asked the auditor general’s office if “DOL was not perhaps the worst department in government”.

Ms. Nkau of the AG’s office replied the DOL was “not the worst department at meeting its targets” but asked all MPs to rather “measure performance of all government departments against the best.”

The questioner, Michael Bagraim of the DA, said that he also suspected corruption in the Compensation Fund and called for a specific report from the Auditor-General’s office on this as soon as possible.

Top down problems

Derrick America (DA) said the accounting officer, DOL, must be held accountable as well. There had been a lack of “consequence management” and what was now evident was the retrogressive nature of the DOL and its entities.

“The Minister must give this committee a commitment as to when action would be taken against non-performing senior managers, who were also tolerating under-performance from their juniors”, he said.

Other articles in this category or as background

Labour : nobody at top biting the bullet – ParlyReportSA

Labour committee ignores strikes – ParlyReportSA

Posted in Labour, LinkedIn, Special Recent Posts, Trade & Industry0 Comments

Labour relations bill rejected

LRA amendment on strike violence rejected….

ian ollisThe Portfolio Committee on Labour has rejected a Private Member’s Bill, the Labour Relations Amendment Bill proposed by Shadow Minister of Labour, Ian Ollis, to make provision for trade unions to be accountable in the event of violence, destruction of property and intimidation by union members during a protected strike.

The background to the Bill noted that “statistics from the protest action in the metal and engineering sector showed that in the first two weeks of that strike, 246 cases of intimidation, 50 violent ‘incidents’ and 85 cases of vandalism were recorded.

Duty to take reasonable steps

“The Bill seeks to provide a statutory duty on trade unions to take reasonable steps to prevent harm to persons and property within the Act”, said Ian Ollis MP, when tabling the Bill noting that his Bill had been stalled since 2010.

COSATU spokesperson Patrick Craven at the time responded with the statement that “COSATU will campaign relentlessly, thorough the alliance, in Parliament, at the Constitutional court and in the streets, to ensure that such a law is defeated.”\

Cabinet says we have the tools

Meanwhile, when President Zuma addressed the House in his State of Nation Address he condemned violence associated with strikes but said, “We have enough instruments in our labour relations machinery to resolve labour disputes.”

When presenting the Bill to Parliament in the current session, Ian Ollis said that the Bill could specify penalties, but also it envisaged a situation where the Labour Court is given permission to order parties, if a strike turned violent, to arbitration.

The Department of Labour (DoL) distanced itself from the Bill, Director-General, Thobile Lamati sayingThobile Lamati that these issues that were being addressed at NEDLAC level.

As a result of the meeting, a further Labour Portfolio Committee meeting heard the advice of Parliamentary Legal Adviser, Ms Noluthando Mpikashe, who told the Committee that although the Bill has no constitutional defects, existing legislation catered for all its contents.   She cited the Gatherings Act (Section 11) as a satisfactory answer and that the proposed Bill was pre-empting the NEDLAC deliberations.

Back to Marikana

Ollis responded that the Bill simply proposed that unions be held accountable for the conduct of their members during strike action. This will ensure not only accountability, but safety of the non-striking workers and added that “had the Bill been in place, lives would have been saved at Marikana.”

He complained “The Gatherings Act does not regulate any behaviour outside an approved gathering. The Bill before the Committee speaks to actions resulting from unapproved gatherings. The Bill also calls for the granting of permission to the Labour Court to force arbitration once a strike had turned violent,” he said.

He also complained in previous meetings that that the Opposition did not have a voice in NEDLAC. It could not give any input. The duty of the Opposition was to propose new ideas with regard to legislation, and the only way to reach NEDLAC was through the Portfolio Committee.

Bill voted out

Chairperson Yengeni rejected totally the claim that Opposition parties could not address NEDLAC directly. She said there were channels available to engage any entity of government.  She thanked Shadow Minister Ollis for his Bill and all the work that had gone into it but said “When the NEDLAC process is complete, the Committee will be the wiser”. Using its majority, ANC MPs rejected the Bill in its totality, the IFP abstaining.

Chairperson Lumka Yengeni stated afterwards, “The Bill is rejected by the Committee as it is not raising anything new. All its contents are captured in the Regulation of Gatherings Act,” she said. “The Department of Labour is on top of the situation”, she added.

Shadow Minister Ollis said, “The violence will continue. Therefore the current platform is inadequate.”

Other articles in this category or as background
Parliament delays process on Labour Relations Bill – ParlyReportSA
Muscle may be added to LRA – ParlyReportSA

Posted in Facebook and Twitter, Labour, LinkedIn, Security,police,defence, Special Recent Posts, Trade & Industry0 Comments

Lumka Yengeni

National minimum wage hearings completed

Labour committee to get consolidated report…..

ncop

 

In the light of the fact that any legislation to be considered on the subject of a national minimum wage would involve all undertakings on a national basis and a major cross section of its citizenry, Lumka Yengeni, chairperson of the parliamentary portfolio committee on labour, finalised the provincial stage of her hearings.  Localised hearings were held in the Northern provinces last year and now in the balance of provinces after Parliament re-assembled.

The reason for this laborious process is that any such labour legislation would come under section 76 of the Constitution, which demands that debate and approval is not only at national level within the National Assembly (NA) but also with the concurrence of the relevant select committee of the National Council of Provinces (NCOP).

Hearing the people……

Such legislation has to have the approval of each of the nine provincial legislatures and such mandates are passed back to the NCOP and have to be found in tandem with any NA approval.   Yengeni is therefore sounding out the market place, as it were, for the idea of a national minimum wage

Whether it would require a separate Bill or an amendment to the LRA is a premature thought at this stage, probably the former in the light that it would need another commission, another departmental structure, probably a tribunal, enforceable laws with penalties and very specific regulations.

ANC seems set on changes

BUSA, Chamber of Mines, labour brokers, Agri-SA and others have already made submissions on a national basis before Parliament closed and the extraordinary thing was that a parliamentary committee should have taken upon itself to debate the whole issue just before meetings on the same subject scheduled by Deputy President, Cyril Ramaphosa.

Nevertheless, Agri-SA, in responding from one of the most problematic perspectives, told parliamentarians that a minimum wage set at a higher level than at present as part of a national application would result in a “considerable number of structural changes within the farming industry to accommodate what would undoubtedly be a call for higher wages in many spheres at many different levels of training and expertise.”

They warned that “to adjust and maintain their competitiveness and profitability” such a policy would be characterised by the shedding of jobs, increased mechanisation and the consolidation of farming units” – as had happened in the past they said.

FAWU zeroes in on agric

Food and Allied Workers Union said that any comparison to the minimum wage in nearby countries “was an insult” and said that that South African farmers on the whole were paying “poverty wages”. The cost of food to poorer families became a major debating area during the hearings, although there seemed to be tacit acceptance that the issue was to become an accepted fact on the labour horizon.

During the hearings recently in Gauteng, COSATU now seems to be suggesting remuneration somewhere in the area of R7,000 per month, submissions also coming from major industrial players in South Africa’s heavy industry sector. COSATU comments after the hearings where finally completed and in interview seemed to come “poker style” to an admittance that a minimum to them was seen at about R4,500.

Other articles in this category or as background
Agri-SA gives views on minimum wage – ParlyReportSA
Parliament debates national minimum wage – ParlyReportSA
Labour committee ignores strikes – ParlyReportSA

 

Posted in Labour, LinkedIn, Trade & Industry0 Comments

Lumka Yengeni

Parliament debates national minimum wage

Sector views on national minimum wage ….

editorial …  Feisty or not, Lumka Yengeni of the parliamentary portfolio committee on labour certainly knows how to advance her career. Whether all her recent parliamentary activity is in line with what Lithuli House wants one never knows but whatever she does seems to attract attention.

The recent hearings on the possibility of a national minimum wage (NMW), which the ANC has stated as a policy imperative, caught most by surprise by the wide ranging topics brought up in debate.  Lumka Yengeni seems to have latched on to ANC policy and summonsed many parties to Parliament to give their views on the subject, including BUSA, the Chamber of Mines and Agri-SA.   Invited to the debates in many cases were also the appropriate union affiliates to that particular sector

Reports on the consequent debates are with clients and will be posted on our website in a fortnight’s time, since immediacy is the purpose of our reports to them.

Maximum pressure for NMW

 The unusual thing about these meetings, as South Africa pivots on the edge of economic direction, is that Parliament should take it upon itself to debate the whole issue of the national minimum wage when the subject also has been scheduled by Deputy President, Cyril Ramaphosa  for a national gathering.

Whether this is naiveté on the part of Lumka Yengeni or plain political upstaging only those close to her will know but the experience of the apple farmers in Elgin over labour broking will testify to the fact that she knows the art of political theatre.

Perhaps, on such a difficult subject, forewarned is forearmed.

Other reports in this category

http://parlyreportsa.co.za//labour/labour-committee-turns-away-strikes/

http://parlyreportsa.co.za//labour/labour-relations-act-changes-passed/

 

 

Posted in Facebook and Twitter, Finance, economic, Labour, LinkedIn, Trade & Industry0 Comments

Labour committee ignores strikes

Strikes not given as labour problems….

dol logoActing DG of the department of  labour (DoL), Sam Morotua, when asked before the recent short recess for “the major challenges” faced by his department in the labour market, noticeably failed to mention any of the issues surrounding the current spate of strikes both in the mining and metalworkers section.

This was despite later stating that one of his departmental tasks was to run programmes evaluating the effects of labour issues upon the economy.

New chairperson of the labour portfolio committee, Lumka Yengeni, had broken with normal procedure and asked Morotua to enumerate the most important issues currently being dealt by DOL before commencing the department’s strategy briefing Parliament together with the department’s justification of the current labour budget appropriation for 2014/5.

Chair Yengeni had already put her energetic stamp on the committee’s work programme with a more interactive and vigorous approach during the first weeks of the new Parliament.

Seven problem areas

In response to the question by the chair, DG  Morotua listed DoL’s main “challenges” as unemployment and under employment; the changing nature of work in the country; inequalities and unfair discrimination in the workplace; domestic and cross border labour migration; inadequate instruments for constant performance; monitoring and evaluation of labour market and completing programmes to determine impact of such on the economy.

During the DoL briefing, Bheki Maduna, in charge of finance at DOL, re-confirmed to parliamentarians that for 2013/14 the department received a total of R2.4bn whilst the current appropriation before them for 2014/15 had been increased to R2.5bn.

He said that in the last year, 95% of the budget for administration was spent and also 97% of the inspection and enforcement services budget. Funding “challenges” ahead would be the implementation of the new Employment Services Act; the funding of the new office of chief information officer; new ministerial offices and positions; and the general rising costs of inspection and enforcement generally.

Minimum wages question

In a subsequent meeting of the same committee, when approving the passage of the budget vote to National Assembly (NA), the EFF took the opportunity to make a proposal calling for the introduction of minimum wages in all workplaces, including a wage of R12 500 for mine workers.  A second proposal was made by EFF calling for new labour laws to be amended so that labour broking was scrapped in entirety.

There was overwhelming agreement by members not to debate such changes.

However, in the same meeting, the committee called upon DoL to immediately expedite the process of building the DoL communications technology capacity and investigate the possibility of using the reserves of the unemployment insurance fund (UIF) to improve on benefits payable to UIF beneficiaries and to increase the period over which payments were made, particularly maternity benefits.

Subsequently when the DOL budget vote came before the NA, labour minister, Mildred Oliphant brought the House up to date on the DoL legislative programme.

Labour law amendments

She stated that amendments to the Compensation for Occupational Injuries and Diseases Act were in final draft stage but the questions of rehabilitation, re-integration and return to work were awaiting consultation with stakeholders.

She announced that the Basic Conditions of Employment Act would be amended regarding the issue of inspection and enforcement, confirming DOL’s earlier statement to the portfolio committee that additional budget would be required in this area.

All new regulations to the Employment Equity Act had been finalised, she said, publication being awaited; the Unemployment Insurance Act was to be amended and that these changes related to improvements of benefits and the submission of information by employers to the unemployment fund; and amendments to the Occupational Health and Safety Act were necessary because of the shortcomings in the way that health and safety was being regulated in the country.

Other articles in this category or as background
http://parlyreportsa.co.za//labour/labour-relations-act-changes-passed/
http://parlyreportsa.co.za//cabinetpresidential/parliament-delays-process-on-labour-relations-bill/
http://parlyreportsa.co.za//bee/rumblings-in-labour-circles-on-bee/
http://parlyreportsa.co.za//bee/dates-for-new-labour-law-amendments-outlined/

Posted in Facebook and Twitter, Labour, LinkedIn0 Comments


This website is Archival

If you want your publications as they come from Parliament please contact ParlyReportSA directly. All information on this site is posted two weeks after client alert reports sent out.

Upcoming Articles

  1. Jeremy Cronin back on land expropriation issue
  2. Integrated Energy Plan reflects cleaned-up thinking
  3. Changes to Companies Act headed for Parliament
  4. State Bank a strong possibility with certain provisos
  5. No more Competition Commission yellow card warnings
  6. Business to meet transformation targets by law

Earlier Editorials

Earlier Stories

  • AARTO licence demerit system studied  …. In what has been a legislative marathon, the update of the Administrative Adjudication of Road Traffic Offences Act (AARTO) has now reached a stage […]

  • SARS role at border posts being clarified …. In adopting the Border Management Authority (BMA) Bill, Parliament’s Portfolio Committee on Home Affairs agreed with a wording that at all future one-stop border […]

  • Modernising SAPO a culture change ….. sent to clients 27 February…. Stage by stage, Mark Barnes, Group Chief Executive Officer of South African Post Office (SAPO), appears to be reforming cultures and […]

  • OECD money task force waiting for SA   ….sent to clients Feb 7…. Chairperson of the Standing Committee on Finance, Yunus Carrim, made it quite clear in terms of parliamentary rules that […]

  • President Zuma vs Parliament on FICA Bill …..editorial……The convoluted thinking that is taking place in South Africa to avoid the consequences of the law has once again become evident in […]