LARM 311 -- Study Unit 8--Some future patterns and predictions for labour relations in South Africa.pptx

Notes

1. LARM 311 Study unit 8 Some future patterns and predictions for labour relations in South Africa

2. Venter , R., Levy, M., Bendeman , H., & Dworzanowski -Venter, B. (2014) Labour Relations in South Africa (5 th Ed). South Africa: Oxford University Press . CHAPTER 15 OR Related material REFERENCE

3. Learning objectives Become familiar with possible future directions for labour relations in South Africa.

4. Class discussion: Labour News: Demography as destiny – South Africa’s politics in the years to come.

5. Introduction Large degree of conjecture South Africa has undergone dramatic change System remains in flux Labour in ‘transition’. 15.1 Introduction

6. Introduction (cont.) Webster & Von Holdt: Triple transition Transitionary pressures: Political Economic Social.

7. Political transition Mbeki: N eo-liberalist tendencies GEAR: Market-oriented & flexible macro-economic growth policy Zuma (support of COSATU). 15.2 Political transition

8. Political transition (cont.) Implications? Alignment with labour Neo-liberalism Global competitiveness Inflexible labour market Drop in support (2014 election) EFF DA.

9. Labour market flexibility and international competition Labour market rigidity = downward pressure on employment & less competitive in global markets Economic growth & job creation = primary objective. 15.3 Economic transition

10. Labour market flexibility and international competition (cont.) Two schools of thought: Labour: redress, representative workforce, wage gap Business: minimal intervention, labour market flexibility.

11. Labour market flexibility and international competition (cont.) At present many statutory limitations on employment, some of these are: Stringent unfair dismissal provisions Centralised wage agreements Vast trade union rights Rigidities in BCEA EEA and B-BBEE.

12. Labour market flexibility and international competition (cont.) Expensive i.t.o unit costs of labour relative to productivity (high wage cost) = less employment: Firms to downsize, capital-intensive, outsourcing FDI directed to other ‘more facilitative, less rigid’ nations SME development hampered.

13. Labour market flexibility and international competition (cont.) Class discussion Labour News: South African labour laws ‘flexible enough’.

14. The changing face of the employment relationship Traditional approach: Internal labour market Outsourcing Trend towards casualised and more flexible labour relationships.

15. The changing face of the employment relationship (cont.) Implications Equal footing (employers and employees) Redundancy of trade unions Middle management to fall away Work less rigidly controlled Less commitment & loyalty, higher turnover.

16. Social transition Redistribution of power and resources Increased representation of black employees in top positions More diverse ownership of organisations. 15.4 Social transition

17. Social transition (cont.) Redressing issues of discrimination Mixed progress BEE codes.

18. Social transition (cont.) Class Discussion – ‘Transforming South Africa’s workplace’

19. Examination logistics Examination venue Examination date Revision session

20. INTRODUCTION The practical management of everyday employee relationships is one of the greatest challenges facing the management of any enterprise, irrespective of size . Human problems are manifest, and each has its own dynamic and characteristics that, although often common in theme, are as unique and specific as the number of employees who are involved in employment. There are usually several courses of action open, some of which may be more cost- and time-effective than others. This is where experience and judgement are of value. Problem solving in labour is somewhat like a chess game: all the other parties’ possible reactions to your moves need to be anticipated before final courses of action may be determined. Another example of this search for a set of rules that can be applied to bring certainty and simplicity to this most complex relationship is the notion of having formal rules and procedures for everything, and making these all contractually binding in the mistaken belief that, once this is done, the labour relationship will run on fixed rails.

21. The employment relationship as a source of rights and obligations The conclusion of a valid employment agreement between employer and employee creates a reciprocal relationship based on rights and obligations for each party. These rights may be explicitly stated in, for example, the employee’s contract of employment (explicit rights), or they may be contained in various pieces of legislation, which may or may not be referred to in the contract of employment (implicit rights). MLA (Modern Language Assoc.) Venter, Robert, et al. Labour Relations in South Africa Fifth Edition. Vol. 5th edition, Oxford University Press Southern Africa, 2014. 143 062 4513 APA (American Psychological Assoc.) Venter, R., Levy, A., Bendeman , H., & Dworzanowski -Venter, B. (2014). Labour Relations in South Africa Fifth Edition: Vol. 5th edition. Oxford University Press Southern Africa.