PROGRESS MADE REGARDING LEGISLATION PORTFOLIO COMMITTEE ON LABOUR 15 NOVEMBER 2011

1. PROGRESS MADE REGARDING LEGISLATION • PORTFOLIO COMMITTEE ON LABOUR 15 NOVEMBER 2011

2. POLICY MANDATE Mandate statement: To regulate the labour market through policies and programmes developed in consultation with social partners, which are aimed at: improved economic efficiency and productivity; employment creation; sound labour relations; eliminating inequality and discrimination in the workplace; alleviating poverty in employment; enhancing occupational health and safety awareness and compliance in the workplace, as well as nurturing the culture of acceptance that worker rights are human rights.

3. OVERVIEW OF LEGISLATION • LRA To provide a framework within which employees and their trade unions, employers and employers organisations can – • Collectively bargain to determine wages, terms and conditions of employment and other matters of mutual interest; and • Formulate industrial policy; and To promote: • Orderly collective bargaining; • Collective bargaining at sectoral level; • Employee participation in decision-making in the workplace; and • The effective resolution of labour disputes (establishment and functioning of CCMA dealt with)

4. Overview of legislation cont. 2. BCEA To give effect to and regulate the right to fair labour practices conferred by section 23 (1) of the Constitution- • By establishing and enforcing basic conditions of employment; and • By regulating the variation of basic conditions of employment; To give effect to obligations incurred by the Republic as a members state of the ILO.

5. Overview of legislation cont. 3. EEA To achieve equity in the workplace by – • Promoting equal opportunity and fair treatment in employment through the elimination of unfair discrimination; and • Implementing affirmative action measures to redress the disadvantages in employment experienced by designated groups, in order to ensure their equitable representation in all occupational categories and levels in the workforce.

6. NEDLAC PROCESS • Initiated NEDLAC discussions in 2009 on basis of Discussion document; “Decent work and non-standard employees: Options for legislative reform in South Africa.” • Areas of possible amendment identified through NEDLAC discussions and drafting commenced in early 2010. • Draft Bills approved by Cabinet in December 2010 • Labour law amendment bills published for public comment on 17 December 2010 • Public consultations held in all nine Provinces in addition to written comments received

7. Bills published (GG 33873; 17/12/2010) • Labour Relations Amendment Bill, 2010 • Basic Conditions of Employment Amendment Bill, 2010 • Employment Equity Amendment Bill, 2010 • Employment Services Bill, 2010

8. NEDLAC PROCESS cont. Policy themes identified for discussion by Labour Law Amendment Task Team: • Atypical employment relationships • Dispute resolution • Compliance and enforcement • Access to employment • Equity • Collective bargaining

9. Theme 1: Atypical employment relationships • Scope of atypical employment relationships • Addressing problem areas in atypical employment in a way that is conducive to job creation and decent work • Prohibiting abuse practices, including child labour • Protecting categories of employee (fixed term contract, temporary and part-time employees)

10. Theme 2: Dispute resolution • Effectiveness of the CCMA • Effectiveness, jurisdiction and power of the Labour Court • Disputes in the public interest • Essential services • Capacity of bargaining councils iro dispute resolution • Accreditation of private dispute resolution agencies • Operational requirement dismissals

11. Theme 3: Compliance and enforcement • Strengthening the power of the inspectorate • Streamlining enforcement, strengthening compliance • Administrative and criminal sanctions • Capacity building of inspectorate • Public private partnerships • Addressing child labour

12. Theme 4: Access to employment • The role and function of public employment services • Private employment services • Labour market information & reporting • Creating decent work • Public private partnerships: Employment services and PPE • Promotion of Youth Employment • Probation • Cost of doing business/compliance costs

13. Theme 5: Equity • Equal pay for work of equal value • Reporting • Enforcement and compliance issues • Compliance costs • Discrimination disputes

14. Theme 6: Collective bargaining • Protecting vulnerable workers • Bargaining councils and statutory councils • Sectoral determinations • Violence in strikes • Protest action • Organisational rights

15. Status of Negotiations • Atypical employment relationships Discussions focus around amendments to Section 198 of the LRA and cover Temporary Employment services, fixed term contracts, organizational rights, probation, public employment schemes and part-time employees. • Dispute resolution Amendments are proposed to approximately 36 sections and subsections of the LRA dealing with operations of the CCMA and dispute resolution. Essential services and strike violence will be dealt with under the theme of collective bargaining.

16. Status of Negotiations (cont) • Collective Bargaining DOL proposed 13 areas of amendments to the LRA and BCEA that cover protection of vulnerable workers, improve the role and function of bargaining councils and statutory councils, deal with violence in strikes and improve the functioning of essential services • Compliance and Enforcement Proposed amendments cover the strengthening of the powers of the inspectorate,

17. Status of Negotiations (cont) streamlining enforcement and compliance, administrative and criminal sanctions and addressing child labour

18. WAY FORWARD • Legal drafting has commenced on Collective Bargaining and compliance and enforcement. • All negotiations on the LRA and BCEA should be concluded by end of November 2011 • It is envisaged that the drafting of all amendments to the LRA and BCEA be concluded by middle December 2011 • Negotiations will continue on the other themes and Bills.

19. THANK YOU