PRESENTATION TO PRESENTATION TO

THE ANNUAL LABOUR LAW SEMINAR THE ANNUAL LABOUR LAW SEMINAR 30 JUNE 201130 JUNE 2011

COMMISSION FOR CONCILIATION, MEDIATION AND ARBITRATION

Imagine a workplace…

You performing the same job as someone else …but

For a Different wage

Different working conditions

Different training benefits

No or Absent management

No or low unionization

IS THIS OUR NEW NORM?

LABOUR MARKET REALITIES

New reality started creeping in when re entered the global

economy.

Not envisaged in the honeymoon period of social dialogue and a

belief of shared values (Moral and in the system).

Spirit of LRA was self regulation and strong tripartism,

everything could be resolved through dialogue.

We created institutions to embody this - NEDLAC and CCMA

LABOUR MARKET REALITIES

Early years social partners sought to comply with the social

partnership dream

We saw the benefits, decline in unprocedural strikes, good

relations in some workplaces, an outlet for disputes

Excitement in many workplaces as innovation began to occur

Dialogue, partnerships and joint decision making developed in

many workplaces

LABOUR MARKET REALITIES

As years passed, global economic realities began to hit home

Idealism faded, compliance dwindled, and a culture of

circumvention rather than compliance crept in

Economy changed…rise and rise of unemployment, poverty

remained but also services sector developed in line with global

trends……..Labour market focus changed.

Need for unskilled to need for semi skilled and skilled labour.

Finally move towards different forms of employment

relationships..outsourcing or triangles crept in, home work

Workplace is now different

LABOUR MARKET REALITIES

These changes are significant to the labour market…and the

dialogue relationships envisaged

Trend has emerged that managers no longer manage or deal

with employees, all outsourced to HR, Labour brokers or

consultants

Come running to the CCMA to sort out workplace issues and

relationships

The CCMA was there for social justice for vulnerable workers

LABOUR MARKET REALITIES

Not the reality..rub shoulders with executives…& workers

CCMA possibly contributed to this in it’s over proceduralism

phase

CCMA is now operating as envisioned, and is efficient.

This has lead to its own problem…victim of its success.

Workers, employees bypassing the establishment channels and

coming straight to the CCMA

Mandate expanded, job security project

LABOUR MARKET REALITIES

Management has out sourced its main function to manage

people

Downgraded the HR function, not always key decision making

forums

Eroded the idealistic gains of the initial phase

Move to technology, yes, but we still need people

Over emphasis on performance outcomes and management,

and less and less on people management.

So we are all busy alienating our employees

LABOUR MARKET REALITIES

From a Trade Union perspective

New economy hampers capacity to organize

Hard to get new members, new kind of workplaces

Insufficient resources to adequately service members

Inadequate skills, training

Trade Union’s tend to focus on policy to solve workplace issues

Distance between officials and membership

No leadership or direction given as a result

Trade unionism as a profession not as noble or as sexy as it was

LABOUR MARKET REALITIES

Impact on Collective Bargaining vision?

Not strategic

Neglected area by both sides

Employers have outsourced / downgraded HR & IR

Trade Unions revert to using policy and politics to change

workers’ lives

Overall in the CCMA we see a loss of skill and capacity to

bargain (loss of influence, continuity, resources)

LABOUR MARKET REALITIES

Trade Unions just pushing for higher wages?

Both sides need strategic engagement, preparation and

understanding of where they are going to

Need to have general education about the political and social

economy

Not just in times of crisis

LABOUR MARKET REALITIES

Where does this leave us?

Workers don’t believe that employers can solve their problems

Plays out where Collective Bargaining disputes are no longer

resolved in the Bargaining room

Disempowers everyone in the process – Employer, Worker and

Commissioner

LABOUR MARKET REALITIES

Why do I say this?

Increase / blurring of lines between who is business and who is

in politics

Lines are unclear in workers mind between ownership and

control of business

Who are the leaders of the country and . . . who are the leaders of

the company

LABOUR MARKET REALITIES

Greatest impact is on Collective Bargaining

Change in nature of demands, emphasis on comparison with

executive pay, class related demands

More adversarial

Post apartheid labour market has been widened, growing

income inequality, some economic growth, increase in real

wages ?

Related to conspicuous consumption, emerging tenderprenuers,

a growing elite

LABOUR MARKET REALITIES

Go back to negotiating on the shop floor and take back responsibility for management staff

Recommit to the spirit of the LRA

Build capacity, elevate the importance of HR & IR

Relook at collective agreements and how we are bargaining

Refocus attention on education and training and a real commitment to skills development

How do we revive the ideal?

Revolutionising Workplace Revolutionising Workplace RelationsRelations