LABOUR RELATIONS

314
 Chapter 1, 2 and 3

Contents
Discuss the nature of labour relations using examples from the 1900s in South Africa. ....................... 3
Discuss LR theories that are in direct contradiction to the free market theory. .................................... 4
Discuss conflicts between the trade unions at which labour relations occurs in South Africa. ............. 5
Discuss how labour relations can be orderly and constructive or disorderly and destructive in South
Africa and use examples. ........................................................................................................................ 6
Give an example of how societal dynamics have influenced labour relations in South Africa. ............. 8
What was the cause of the Marikana strike in South Africa? ................................................................. 9
Discuss/explain the reasons for discontent/causes of the Marikana strike at each level of Labour
Relations. .............................................................................................................................................. 10
What is the role of the employer in labour relations in South Africa, and use examples. ................... 11
Discuss the events that led to the transformation of labour relations in South Africa. ....................... 12
How has labour relations progressed in South Africa to become fairer............................................... 13
Explain the causes of the Rand Rebellion 1922. ................................................................................... 14
Explain the impact that the Rand rebellion of 1922 had on labour relations in South Africa. ............. 15
Discuss/explain the reasons for discontent/causes of the Rand Rebellion 1922 at each levels of
Labour Relations. .................................................................................................................................. 15
How could the Rand Rebellion 1922 result have been avoided, what steps could have been taken? 16
Explain the Theories of labour relations in South Africa with practical examples (free market
economists, social reformists, Marxism, and the working class). ........................................................ 17
The perspective to labour relations (unitarism, pluralism, radicalism, societal corporatism, state
corporatism). Have these perspectives CHANGED over time in South Africa? What were the forces of
change? ................................................................................................................................................. 19
What is the role of the three main parties/players to labour relations in South Africa? (the State,
Labour, individual or collective and Capital/ the employers). .............................................................. 20
Analyse the dynamic nature of the dynamic complex adaptive system - DCAS. How the system
changes with time and how it has changed in South Africa, driven by the core elements -
Environmental Influences, The Parties, Conflict Resolution, Outcomes. ............................................. 21
Explain how POVERTY impacts labour relations in South Africa and how poverty can be decreased . 22
How can the nature of labour relations decrease poverty in South Africa?......................................... 23
What is the impact of high unemployment rates in South Africa, and give an example of
unemployment issues in South Africa after 1994. ................................................................................ 24
What is the cause of inequality in South Africa and give an example of inequality issues in South
Africa after 1994. .................................................................................................................................. 25
Who was in charge of the economic system during the apartheid years in South Africa? .................. 26
Explain the direct impact that the Reconstruction and Development
Plan (RDP) has on Labour Relations in South Africa.
The Reconstruction and Development Plan (RDP) had a direct impact on labour relations in South
Africa by promoting policies and practices that aimed to improve working conditions, protect
workers' rights, and promote collective bargaining.

One of the key objectives of the RDP was to create new jobs and reduce unemployment, which
had been a major problem in South Africa for many years. To achieve this objective, the RDP
proposed a range of measures, including the creation of new small businesses and the expansion
of key industries such as agriculture, tourism, and manufacturing. This expansion of employment
opportunities had a positive impact on labor relations, as it provided workers with more
bargaining power and gave them greater opportunities to secure better wages and working
conditions.

The RDP also recognized the importance of protecting workers' rights and promoting collective
bargaining. The plan called for the implementation of new labor laws that would protect workers
from discrimination and unfair treatment and would allow them to form and join trade unions.
These laws helped to promote better labor relations by giving workers more power to negotiate
with employers and to protect their interests.

Additionally, the RDP recognized the importance of training and skills development in improving
labor relations. The plan called for greater investment in education and training programs to help
workers acquire the skills they needed to participate in the modern economy. This investment in
skills development helped to improve labor productivity and job security, and contributed to
more positive labor relations by providing workers with greater job satisfaction and a sense of
job security.

Overall, the Reconstruction and Development Plan had a positive impact on labor relations in
South Africa by promoting policies and practices that aimed to improve working conditions,
protect workers' rights, and promote collective bargaining. The plan contributed to the
development of a more inclusive and equitable society, and helped to build a stronger and more
productive economy.
Overall, the trade unions in South Africa had mixed reactions to the NDP when it was
introduced in 2013. While some unions welcomed the plan as a step in the right direction
towards addressing the country's socio-economic challenges, others were highly critical of
the plan and saw it as a threat to the working class. NUMSA, in particular, was highly critical of
the NDP and expressed its readiness to take on the ANC and COSATU leadership over the issue.

Critical analysis of the transition from RDP to GEAR.

The transition from the Reconstruction and Development Programme (RDP) to the Growth,
Employment, and Redistribution (GEAR) policy framework in South Africa was a significant
turning point in the country's economic development. The RDP was introduced in 1994,
immediately after the end of apartheid, as a response to the pressing social and economic
challenges faced by the newly democratic government. The RDP aimed to address the needs of
poor and marginalized communities through a range of policies and programmes that
emphasized social welfare, infrastructure development, and job creation.

However, in 1996, the government announced the GEAR policy framework, which marked a
significant departure from the RDP's approach. GEAR emphasized macroeconomic stability,
privatization, and fiscal discipline, with the goal of attracting foreign investment and
stimulating economic growth. This policy shift was met with a mixed response from civil
society, labour unions, and other stakeholders, with some hailing it as a necessary step
towards economic development and others criticizing it as a betrayal of the government's
promises to prioritize social welfare.

A critical analysis of the transition from RDP to GEAR would need to consider several factors,
including the context in which the policies were introduced, their theoretical underpinnings, their
practical implementation, and their impact on different segments of society.

1. One important factor to consider is the political context in which the policies were
introduced. The RDP was formulated in the early years of South Africa's democratic
transition, when the new government was grappling with the legacy of apartheid and
the urgent need to address the massive social and economic disparities created by
decades of racial segregation. The RDP was a response to these challenges, and it
reflected the government's commitment to social justice and equality. However, by
the mid-1990s, the government was facing mounting pressure from global financial
institutions and investors to adopt more market-friendly policies. This pressure was
compounded by the country's high levels of debt, inflation, and unemployment,
which made it difficult for the government to sustain the ambitious social programmes
outlined in the RDP.

2. Another important factor is the theoretical basis of the two policies. The RDP was
grounded in a human development approach, which emphasized the importance of
addressing the basic needs of people, such as food, shelter, healthcare, and education,
as a means of promoting social and economic development. GEAR, on the other hand,
was based on neoclassical economic theory, which emphasizes the importance of
market mechanisms, efficiency, and competition in driving economic growth. The
shift from a human development approach to a neoclassical one reflected a broader
 Chapter 4, 5 and 6

Table of Content
Chapter 4................................................................................................................................................. 2
Explain the characteristics of a trade union that qualifies it as a genuine trade union. ......................... 2
Explain the meaning of a Trade Union, including Genuine Trade Union, and use a practical example in
South Africa ............................................................................................................................................. 3
Name and describe the different types of Trade Unions, and thereafter give practical examples of the
types of South African trade unions. ...................................................................................................... 4
Why workers join trade unions in South Africa....................................................................................... 5
Explain the organisational structure of a national trade union in South Africa. ..................................... 6
Explain The Goals of Trade Unions in South Africa ................................................................................. 8
Explain The Power of Trade Unions in South Africa with practical examples. ...................................... 12
Explain the decision-making process of a national trade union in South Africa................................... 13
Explain The Strategies used by Trade Unions in South Africa and use practical examples. .................. 14
Explain the power and strategies of other parties to labour relations in South Africa ........................ 15
Explain the trade union phenomena in South Africa ............................................................................ 16
Explain The challenges faced by public sector trade unions in South Africa and use practical
examples. .............................................................................................................................................. 18
Explain all the important information and main concepts that is stipulated in The Constitution, S23.19
Explain in detail the Labour legislation transformation in South Africa and use practical examples. .. 20
CHAPTER 5: ........................................................................................................................................... 22
Identify and explain the different labour relations strategies in South Africa and use practical
examples applicable to today’s world ................................................................................................... 22
Identify and explain the different business strategies and management styles in South Africa and use
practical examples................................................................................................................................. 24
Explain the alignment of labour relations strategy with business strategy. ......................................... 26
Explain the need for labour relations policy in SA with a practical example. ....................................... 28
Explain the general role of employer organisations and identify the employer organisations in South
Africa including their role in labour relations. ...................................................................................... 30
Chapter 6............................................................................................................................................... 32
State difficult choices for balancing unitarism and pluralism in South Africa....................................... 32
Explain the Strategies for promoting pluralism/ societal corporatism structures and processes, with
reference to:.......................................................................................................................................... 33
Explain the dual role of the state as an employer and tripartite partner in South Africa .................... 35
Explain the Structure of the public sector in terms of Labour relations in South Africa. ..................... 36
Explain The Goals of Trade Unions in South Africa
Trade unions in South Africa have several goals that fall under the categories of
economic and procedural objectives. Here are the explanations and practical
examples of each goal:

Economic Goals:

1. Living Wage: Trade unions strive to secure fair and decent wages for workers,
ensuring that they earn enough to meet their basic needs and maintain a
reasonable standard of living. They negotiate with employers for higher wages
and improved benefits. For example, the National Union of Metalworkers of
South Africa (NUMSA) campaigned for a living wage for workers in the metal
and engineering sector, demanding higher wages and improved working
conditions.

2. Reducing the Wage Gap: Trade unions aim to reduce income inequality by
advocating for equitable pay scales and challenging wage disparities. They
fight for fair wage structures that address wage gaps based on factors such as
job levels, skills, and experience. For instance, the South African Clothing and
Textile Workers' Union (SACTWU) has been actively involved in negotiating
industry-wide agreements to narrow the wage gap between different job
categories within the textile industry.

3. Gender Equality: Trade unions work towards gender equality in the

workplace, fighting against discrimination, unequal pay, and unequal
treatment based on gender. They advocate for equal opportunities for women
in hiring, promotions, and training. For example, the South African Transport
and Allied Workers' Union (SATAWU) has been instrumental in fighting for
gender equality in the transportation sector, addressing issues such as equal
pay for equal work and combating sexual harassment.

4. Parental Rights: Trade unions seek to protect the rights of working parents
by advocating for parental leave, flexible working arrangements, and childcare
support. They aim to ensure that employees can balance work and family
responsibilities. The National Education, Health and Allied Workers' Union
(NEHAWU) has actively campaigned for improved parental leave policies and
access to affordable childcare facilities for public sector workers.

5. Pension and Provident Funds: Trade unions strive to secure adequate

pension and provident funds for workers, ensuring that they can retire with
financial security. They negotiate with employers for fair contributions and
improved pension benefits. For instance, the South African Municipal Workers'
Union (SAMWU) has been involved in negotiations to protect municipal
Explain the alignment of labour relations strategy with business
strategy.

1. Profit Maximization: In pursuit of profit maximization, organizations focus

on increasing revenue and reducing costs. Labor relations strategies aligned
with this objective may include negotiating competitive wage agreements,
optimizing workforce productivity, and implementing cost-effective HR
practices. For instance, a manufacturing company in South Africa may engage
in collective bargaining with trade unions to reach agreements on productivity
incentives that motivate employees to increase output while controlling labor
costs.

2. High Profit Maintenance: Organizations aiming to maintain high profits

prioritize strategies to sustain profitability over the long term. In labor
relations, this may involve maintaining a stable and productive workforce,
minimizing industrial disputes, and ensuring employee retention. A practical
example could be a financial services company in South Africa implementing
employee engagement programs and offering competitive compensation
packages to retain skilled employees and reduce turnover costs.

3. Organizational Survival and Profit: In challenging economic environments,

organizations focus on strategies that ensure their survival and profitability.
Labor relations aligned with this objective may involve collaborative efforts
between management and trade unions to identify cost-saving measures,
promote flexibility, and adapt to changing market conditions. For instance, a
retail company in South Africa could engage in joint decision-making with
unions to implement flexible work arrangements during periods of reduced
consumer demand, allowing the organization to adapt and survive.

4. Organizational Legitimacy: Organizations seek to maintain legitimacy and a

positive reputation in society. Labor relations strategies aligned with
organizational legitimacy involve fair treatment of employees, compliance
with labor laws, and responsible corporate citizenship. For example, a mining
company in South Africa may implement health and safety measures beyond
legal requirements, engage in transparent communication with unions, and
actively support community development initiatives to enhance its legitimacy.

5. Global Competitiveness: Organizations aiming to be globally competitive

focus on strategies that enable them to compete effectively in international
markets. In labor relations, this may involve promoting workforce skills
development, fostering innovation, and maintaining labor costs within
competitive ranges. A practical example could be an IT company in South
 Africa providing training opportunities to employees to enhance their
technological expertise, thereby improving the organization's global
competitiveness.

6. Growth and Profit through Integrated Strategy: Organizations pursuing

growth and profit through an integrated strategy prioritize alignment between
different areas of the business, including labor relations. This involves
integrating labor relations goals with overall business objectives and
strategies. A practical example could be a logistics company in South Africa
aligning its labor relations strategy with its expansion plans by proactively
engaging with trade unions to address potential labor challenges in new
markets, ensuring smooth operations and sustained growth.

HOW TO REMEMBER

Use the following sentence to remember the main points:

➔ Puppies Happily Observed Other Golden Retrievers Gathering

 Chapter 7

Contents
Chapter 7................................................................................................................................................. 1
Explain a contract of employment in South Africa ................................................................................. 2
Explain the formalities that a contract of employment must comply with in South Africa .................... 3
Briefly explain the content of a typical contract of employment in SA .................................................. 4
Explain the duties of the employee and employer in terms of the contract of employment. ............... 5
Explain the different ways in which a contract of employment can be terminated in South
Africa....................................................................................................................................................... 6
Explain and appreciate the centrality of the Constitution to labour legislation in South Africa ............ 7
Explain the most important provisions of the Labour Relations Act (LRA), 1995, as well as to evaluate
the acceptability of different human resources practices within the relevant legislative provisions..... 8
Explain the most important provisions of the Basic Conditions of Employment Act (BCEA), 1997, as
well as to evaluate the acceptability of different human resources practices within the relevant
legislative provisions. Read the BCEA together with the National Minimum Wage Act (NMWA) 9 of
2018. ..................................................................................................................................................... 10
Explain the most important provisions of the Employment Equity Act (EEA), 1998, as well as to
evaluate the acceptability of different human resources practices within the relevant legislative
provisions explain the government's choices in respect of labour relations policy.............................. 12
Briefly discuss the following:................................................................................................................. 14

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Explain the most important provisions of the Employment Equity Act
(EEA), 1998, as well as to evaluate the acceptability of different
human resources practices within the relevant legislative provisions
explain the government's choices in respect of labour relations policy.

The Employment Equity Act (EEA) of 1998 is a crucial piece of legislation in South Africa that aims
to promote equality and eliminate unfair discrimination in the workplace. It focuses on achieving
equity in employment by addressing historical disadvantages and imbalances. Here are the
important provisions of the EEA and an evaluation of the acceptability of different human
resources practices within its relevant legislative provisions:

Provisions of the Employment Equity Act (EEA):

1. Prohibition of Unfair Discrimination: The EEA prohibits unfair discrimination on various

grounds, including race, gender, disability, age, religion, and sexual orientation. It
promotes equal opportunity and fairness in employment by ensuring that individuals are
not unfairly treated or excluded based on these protected characteristics.

2. Affirmative Action Measures: The EEA requires designated employers to implement

affirmative action measures to address historical disadvantages and promote the
equitable representation of designated groups, such as black people, women, and people
with disabilities, in the workplace. These measures aim to advance employment equity
and create a more inclusive and diverse workforce.

3. Employment Equity Plans: The EEA requires designated employers to develop and
implement Employment Equity Plans. These plans outline the employer's objectives,
strategies, and timelines for achieving employment equity within their organization. They
include targets and measures to eliminate unfair discrimination and promote
representation of designated groups at all occupational levels.

4. Reporting and Compliance: The EEA mandates designated employers to submit annual
Employment Equity Reports to the Department of Employment and Labour. These reports
provide information on the employer's progress in implementing employment equity
measures and achieving their targets. Employers must also display a summary of the
report in the workplace for employees to access.

Evaluation of HR Practices:

To evaluate the acceptability of different human resources practices within the relevant legislative
provisions of the EEA, it is important to ensure compliance with the following:

1. Non-Discriminatory Recruitment and Selection: HR practices should promote non-

discriminatory recruitment and selection processes. This includes implementing fair and
transparent procedures, ensuring equal access to job opportunities, and evaluating
candidates based on their qualifications and abilities rather than their protected
characteristics.

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