Furthermore, powerful unions can lead to macroeconomic problems such as wage inflation and lost productivity due to strike action. << The strikes, mainly affecting the mining and auto sectors, hit exports, widening the trade and current-account deficits. << “There are no winners in … South Africa has a history of state owned enterprises that haven’t been very successful, this would place more doubt in the mind of the foreign invertor. Gavin Stansfield, Director, Employment, Cliffe Dekker Hofmeyr. /SMask 4 0 R equally spread South Africa is world leading in mining. A filmmaker can find there any background desired as the scenery for his motion picture, but variety is not the only true value of the African landscape. For the current account, the losses will be magnified as South Africa’s government embarks on a spending binge for big ticket items such as over 1 000 trains that will be imported from foreign companies. When workers in one industry get a pay boost, others are not satisfied until they do too. For instance, in December 2011 the security and electricity services at airports in South Africa were declared essential services by the ESC. << /Resources Causes of strikes in South Africa are multifaceted and their effects detrimentally catastrophic. With the discussions at NEDLAC and a labour indaba planned, the department is confident that such interventions will produce results. Our Team | Contact Us | Copyright © 2020 All rights reserved, Show your support for Child Protection Week, Strengthening local govt to improve lives, Bekkersdal Ubuntu restores damaged clinic, Collective bargaining paves way for agreement, Help a call away for gender violence victims, Housing project brings joy to KZN pensioner, China to give SA lessons in maths, science, Chicken business puts businesswoman on the map, Energy-saving baking brings in extra dough. Exploitation Of Mining In South Africa 1594 Words | 7 Pages. We conduct our analysis using a dynamic CGE model of South Africa. Once the strike is over, even if the business has not been closed down by it, the feelings of hostility resulting from the strike can severely damage teamwork, productivity and profitability. /FormType 1 During apartheid, their objectives were distinctly political. >> South Africa is one of the countries with rich and fascinating history in the world. They called a general strike. South Africa has a relatively stable economy, as seen by its GDP growth, which has been the lowest in volatility when compared against BRIC peers over 1994-2017. If one union has more power than a single worker, then several unions banded together are very powerful indeed. /Intent /RelativeColorimetric In a sympathy strike, other unions in the same industry, or employed by the same company, will strike at the same time, putting even more pressure on the employer to resolve the original strike. Proponents of this topic mention the following benefits, amongst others: Re-industrialising South Africa's economy, Emphasis on black ownership in terms of land ownership and the economy, The removal of monopoly structures and; The development led and driven by state. Another disadvantage claimed by anti-collective bargaining is the time it takes for the negotiations to finish and materialize. South Africa's main assets are: This is set out in section 23 of the Constitution of South Africa No 108 of 1996 (hereafter referred to as the Constitution1996). Strikes bring about various advantages and disadvantages. South Africans would be more inclined to support … ù†ú©;3ûíÖ¾’7, cdpV¸QpЧ7—íw+ÛKUDg„yZO²tW?pÈ%ª9J)ž‰*WJ³ÁßÀó§KlB]K÷³1=M'>zXÃÒOç. The National Health Insurance advantages and disadvantages include that it will provide health services for all the citizens of South Africa without eliminating the budget from other sectors. The initiatives further analysed the total value of production foregone as a proportion of the GVA to assess the impact of strikes on South Africa. >> About 80,000 gold miners in South Africa walked out on strike on Tuesday night, raising fears of renewed violence in the crisis-hit industry and underlining the government's dwindling authority. South Africa has large market potential, well developed infrastructure and a competitive domestic economy. The police had put an end to this strike with their brutal means and this had given rise to the National Party (NP). /VSamples [1 1 1 1] South Africa is a country that has institutionalised marches. /ImageName /ps5D9.jpg In many cases, workers face several challenges in their places of work, which they fear airing out due to repercussion or ignorance by the management. “There are no winners in prolonged strikes. The department is also planning a Labour Relations Indaba where various issues relating to strikes will be discussed by government, business and labour. South Africans are dissatisfied with the manner in which healthcare workers conduct strikes. However, we are aware that there are measures in place to deal with this phenomenon.”. 1. South Africa spends 0.75% of its GDP on tertiary education which is less than the African or world average. The writer looks at the strikes which took place South Africa by the farmer workers in 2012 and 2013, the result of those strikes... premier. South Africa has hosted events any football events like this, however it has hosted rugby, cricket, grand prix and the confederations cup. /Type /XObject Employment relationships between both parties could become strained and this could affect teamwork and profitability. These strikes continue to negatively impact on the socio-economic factors in the South African society and particularly the businesses. Disadvantages of nationailsation Nationalisation would create panic among foreign investors. In the past few years, the country has been gripped by a wave of strikes resulting in the destruction of property, loss of income and lives. /Im0 2 0 R A System of Abuse When they where first established, labor unions served a wonderful purpose. The immediate impacts on local mining towns were partic-ularly severe, but our research shows that the strike could also have long lasting negative impacts on the South African economy as a whole. /Length 169283 The country's democracy is also well-established and the rule of law is observed. Available at GCIS provincial offices, GCIS district offices & Thusong centres in your area! However, the history of their involvement in both industrial actions and political protests over the years, has revealed that these workers, despite the disabilities forced upon them, do possess an advanced pr… Negotiations can take months and even years to finish, excluding the time it will take to execute the stipulations in the agreement contracts. ”0}û.ô]¿ÄÇhœë¥6A)qíŽ-ʬ.2K;/:"뚑{°…-¦A*Õ strike in South Africa’s platinum industry. This paper explored the incidents of strikes in post-apartheid South Africa … /QFactor 0.0 The strike lasted …ve months, ending in June 2014 when producers reached an agreement with the main labour unions. /BitsPerComponent 8 So if your motivation for investing is to reduce costs, probably not a good idea. Difference in income, race and gender are some of the major causes of strikes. /Height 3508 “Inequality in earnings is compounded by a lack of income security, particularly for workers when they reach retirement and for those outside of secure, permanent or regular temporary employment. Labor strikes are a useful tool for a union when it negotiates a new contract or better working conditions for the workers whom the union represents. The Congress of South African Trade Unions (Cosatu) will begin a major strike action this week as ongoing disputes between labour and government come to a head. Investor con…dence is likely to be, at least, tem-porarily harmed, in which case it would take many years for the e¤ects of the strike to disappear. South Africa, because it is a member of the ILO, ratified the said Conventions and more specifically granted every worker with a constitutionally entrenched right to strike. Timeline 2015 12–19 October. 4. It usually encompasses negotiations on number of hours worked, health and safety, salaries and grievances, among others. South Africa is an upper-middle-income economy, one of only eight such countries in Africa. It took place on 16 August 2012, and was the most lethal use of force by South African security forces against civilians since 1976. Disadvantages of Labor Unions. A disadvantage of strikes is that they can cause financial damage to the company involved since no work is being performed. This information has not been provided to meet the individual requirements of a specific person and LegalWise insists that legal advice be obtained to address a person’s unique circumstances. The economy of South Africa is the second largest in Africa. This is according to the Department of Labour, which added that wages lost because of strikes went up from R6.6 billion in 2012 to R6.7 billion in 2013. Labour unions have played an integral role as a voice for social transformation in South Africa. The mining sector, after nationalisation, could take a very long time to boast a profit. South Africa's main assets are: The rand, however, is one of the most volatile currencies among the same peer set, over the same period. stream The South African Department of Higher Education and Training calculated the damage caused to universities during the 2015 #FeesMustFall protests to R300 302 848.58, with the North West University's Mahikeng campus having suffered the most damage at R151m due to unrest that saw buildings torched, students shot at with rubber bullets and the university closing for a month. Restricting the Right to Strike. Coming of Age, a Fictional Rendition. The union will negotiate with an employer or a group of businesses on behalf of an employee or employees. /XObject /Colors 3 The most appropriate form of strike action was considered to be an ‘industrial action’-orientated lunchtime picket. << The strikes, mainly affecting the mining and auto sectors, hit exports, widening the trade and current-account deficits. The effects of strikes in the South African gold mining . We aimed to evaluate public attitudes towards healthcare worker strikes. However, this will mean that those receiving treatment from different areas, public or private, will be required to … >> Economists agree that the affect of strikes on the economy are difficult to calculate but, is detrimental to the country and its workers. As the law currently stands, there are three procedural requirements which must be complied with by a party (usually a trade union) who wishes to embark on protected strike action. The world cup has affected the economy, the population and the environment of South Africa, the main impact for the country itself is tourism. << towards South Africa. /Columns 2480 Though a federal minimum wage is set in the US, individual states are still allowed to choose to make their own laws on this. Prolonged strikes hurt both the employer and employees and also have a negative impact on the country’s economy. 1 0 obj /Subtype /Image South Africa is situated in the most southern part of the continent Africa, and is now hosting the world cup 2010. As a productive pole, it is the most industrialised, technologically advanced and diversified economy on the African continent. Mkhize: COVID-19 exposes all the weaknesses in SA’s social, economic structures. It is regarded as the most developed state in Africa and among the last to have an elected black president towards the end of the 20 th century. The discovery of minerals in this country has attractive many investors and has been the backbone of the country’s economy – leading to many benefits that the people of South Africa … Collective bargaining is referred to as a process or negotiations between an employer or organization and a group of employees who are members of a trade union. The right to strike in South Africa is clearly indicated and stipulated in Section 23 of the Constitution. Businesses suffer production and financial losses and consumer confidence is adversely affected. Land expropriation without compensation is a controversial topic in South Africa. The African National Congress (ANC) as well as the South African Communist Party (SACP) had wanted the African Mine Worker’s Strike to turn into a general strike. What are the advantages and disadvantages of mining gold. /DefaultRGB 3 0 R Strikes may take different forms. /Width 2480 But in South Africa, a poll found out that 76 percent of young South Africans support the death penalty and want it to be re-introduced in their country. “South Africa is in the top three countries with the highest death rates from lightning,” said senior research manager at the weather service, Dr Nhlonipho Nhlabatsi. The Marikana massacre, was the killing of 34 miners by the South African Police Service (SAPS). The country experienced its highest increase in labour strikes in 2017‚ with the figure rising by 8%. “There are no winners in prolonged strikes. Striking protects workers from unfair action being taken against them when they speak out against unacceptable … Dealing effectively with South Africa’s massive unemployment problem and the harmful effects of frequent strikes on productivity and economic growth will require major structural reforms to … The department is also worried about the behaviour of some parties during strikes. The information contained on this website is aimed at providing members of the public with guidance on the law in South Africa. They hurt both employers and employees the same - employers lose income while trade unions or employees lose wages, which is hard to recover after a prolonged industrial action. South Africa South African landscapes provide us with the lush greens of the jungle, the dry grass of the savanna, the majesty of the mountains, the eroded clay of the desert and the high-rise mortar of the city. The South African Human Rights Commission (SAHRC) hosted a dialogue yesterday in Johannesburg on striking a balance between the right to access of … Essential Services and the Right to Strike. Learn more about the gold-mining advantages and disadvantages in South Africa... Gold-mining in South Africa started in full force in 1887... Read more. The term "protected" strike action refers to a lawful strike which is in compliance with the requirements of the Labour Relations Act 1995 ("LRA"). “The lack of income security places pressure on workers to maximise earnings when they are in paid employment … and makes compromise difficult,” it added. They may be protected or unprotected, and they may be partial or complete. benefits and disadvantages of implementing a wealth tax in South Africa by CHELESILE MATOBELA A dissertation submitted in partial fulfilment of the requirements for the degree LLM TAX LAW in the FACULTY OF LAW University of Pretoria Supervisor: Advocate C Louw December 2012 G ©GUniversityGofGPretoriaG G G. G. G. ii Declaration I, Chelesile Nontobeko Matobela, hereby … Strikes that continue for a long time have a negative impact on the economy and do not benefit anyone. /ColorSpace /DeviceRGB For South Africa to be the strongest African economy and attenting positions such as being a member of the g8 as been a clearl work of globalization making it at the center of the Africa. South Africa?s economy has become an extremely competitive one, and losing business to a competitor is a serious blow. The working conditions in factories during the late 1800’s were horrible, and the pay was just as bad. >> Land expropriation without compensation is a controversial topic in South Africa. While some companies are strong enough to survive the damage caused by a strike, they can still lose market … benefits and disadvantages of implementing a wealth tax in South Africa by CHELESILE MATOBELA A dissertation submitted in partial fulfilment of the requirements for the degree LLM TAX LAW in the FACULTY OF LAW University of Pretoria Supervisor: Advocate C Louw The South African labour market requires leadership, and it needs real change. /Type /XObject Negative perceptions of service quality during strikes were voiced strongly by the study population. South Africa has large market potential, well developed infrastructure and a competitive domestic economy. The recent strikes in South Africa illustrate the damage that can be caused: the workers have lost pay due to absence from work, and the employers have lost business. South Africa has a history of state owned enterprises that haven’t been very successful, this would place more doubt in the mind of the foreign invertor. The majority stated that withholding services completely during a strike was unacceptable. An important element of most successful strikes is the sympathy strike. Critics of trade unions argue they can be disruptive to firms, discouraging investment and improved working practices. The country's democracy is also well-established and the rule of law is observed. “The intention of the indaba is to address the issues of violent strikes, the duration of industrial action, minimum wages as well as consider introducing interest arbitration as a way of limiting or dealing with long duration of industrial actions,” the Department of Labour said. Migrant workers, circulating between wage-labour and the reserves, do not represent a stable and permanent labour force. It grew in 2013 to 5,8% of GDP, its widest since 2008. The union was subsequently banned. Students at the University of Witwatersrand started protesting on 14 October 2015 in response to an announcement by the university that fees would be raised by 10.5%. endobj The first advantage is that strikes allow workers to protest actions by the employer they deem unfair without fear of losing their jobs. ׄ Neither The Constitution nor the Labour Relations Act make any reference as to whether a strike … The South African economy is vulnerable at this point in time and striking season could harm the country’s investment reputation internationally. Reuters 2012) Within the mining sector the gold mining industry in South Africa not only holds historical value but has also contributed on average 21 1% per annum of the mining income to the GDP from 2002 to 2011 thus making it an important economic sector in South Africa (Chamber of Mines South Africa 2012) %PDF-1.5 2 0 obj /Blend 1 /Name /ps5D9.jpg “Strikes also have a negative impact on government’s efforts to create jobs,” the Department of Labour said. Nine men were killed, and seventy men were dismissed. /ColorSpace Things Fall Apart by Chinua Achebe, Social and Political Theory. Labor strikes are a useful tool for a union when it negotiates a new contract or better working conditions for the workers whom the union represents. /BBox [0 0 595.2 841.92] In all other industries, including education (at present), disputes on employment issues of mutual interest such as remuneration and other terms and conditions of employment, are resolved through bargaining and eventually industrial action. Such problems include … Besides its rich history, the South African state has abundant natural resources, fertile farms and a wide range of minerals including gold. The massacre has been compared to the 1960 Sharpeville massacre. The need for more cheap black labour after the Second World War led the South African government to look for migrant workers outside South Africa… Strikes that continue for a long time have a negative impact on the economy and do not benefit anyone. /Subtype /Form >> stream In an effort to prevent strikes and deal with the violence accompanying them, the department will discuss the introduction of a system of compulsory negotiations with its social partners at the National Economic Development and Labour Council (NEDLAC). The purpose of this paper is to explore the legality of these strikes and to suggest what the law could do to better manage them. In 9 pages this paper discusses Achebe's novel as it relates to African social and political theory considered in The Dual Mandate... premier. Most of the strikes in South Africa are undertaken by trade unions during the collective bargaining process, when trade unions and employers fail to agree on some issues of mutual interest. As a productive pole, it is the most industrialised, technologically advanced and diversified economy on the African continent. Strikes in South Africa are becoming more and more common and this affects not only the local economy but, businesses and employees alike. /ProcSet [/PDF /ImageC] They talk about bureaucracy and what it does to the people involved in the process. 1. Proponents of this topic mention the following benefits, amongst others: Re-industrialising South Africa's economy, Emphasis on black ownership in terms of land ownership and the economy, The removal of monopoly structures and; The development led and driven by state. Strikes, all too often accompanied by violence, are common in essential services in South Africa, as the recent public sector strike demonstrates. South Africa is not a low cost country. Presently the death penalty or capital punishment has been abolished all over South Africa. Labor laws legally protect strikes. Introduction. While some strikes come as a protest against some deeply resented action on the part of management, the most common single strike cause is still the demand for more money. /DecodeParms The migrant labour system in South Africa, besides restricting the freedom of mobility of the worker and his family, creates additional difficulties within the field of trade union organizing. This suggests that we misprice risk and miss opportunities. /Length 47 This section gives effect in the form of an entire section named “Labour Relations”. “We have seen parties acting outside the legal framework provided for by legislation, which is an area of concern. /ColorTransform 1 The unions: South Africa has long suffered from toxic labour relations, but waves of violent strikes in the past year, some deadly, have scarred the country. HOW TO RESOLVE CONSTRUCTIVELY THE CONFLICT THAT CAUSES INDUSTRIAL ACTION. The Office of Registrar of Labour Relations says it is now illegal to embark on a strike action before conducting a secret ballot of members. The effect of embarking on protected strike action is that no employee may be dismissed by reason of their participation in the strike, nor do they commit a breach of their contracts of employment by participating in protected strike action. /Matrix [1 0 0 1 0 0] endstream >> This is according to the Department of Labour, which added that wages lost because of strikes went up from R6.6 billion in 2012 to R6.7 billion in 2013. << This is according to the Industrial Action report released by the Labour Department on Tuesday. The Act states in regard to protected strikes that a union or representative of the employees must first refer the dispute that they have with the employer for reconciliation; a certificate stating that the dispute remains unresolved must be issued by the bargaining Council or CCMA. Disadvantages of nationailsation Nationalisation would create panic among foreign investors. The SATLC was broken up by 1954. A protected strike will follow a legal process as set out in the Labour Relations Act 66 of 1995. A disadvantage of strikes is that they can cause financial damage to the company involved since no work is being performed. In general definition, minimum wage is the minimum amount of compensation that laborers must receive under the law and is regarded as the lowest wage employers are allowed to pay. This consuming desire for more money is contagious. %âãÏÓ Strikes in South Africa could have long-term economic consequences In South Africa, 1.3 million striking public service workers refuse government offers, further disrupting schools and … As a manufacturing hub, it is the most industrialized, technologically advanced, and diversified economy on the African continent. Studies have been conducted on the bargaining processes to ascertain proper engagement This is according to the Department of Labour, which added that wages lost because of strikes went up from R6.6 billion in 2012 to R6.7 billion in 2013. The incident took place on the 25th anniversary of a nationwide miners' strike. /Rows 3508 /Filter /DCTDecode /HSamples [1 1 1 1] Frequent and prolonged labour strike actions in the South African mining industry are widely acknowledged. The current account deficit is already a key weakness in South Africa’s economy, putting its rand currency under even more pressure. JEL codes: C68, J52 Keywords: Platinum mining strike, computable general equilibrium, UPGEM 1 Introduction Globalization has managed to have an impact on the economy ,politics and social nature bringing about positive results for South Africa. 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