Fin24

Proposed labour laws will cost jobs

2012-07-25 18:30

Johannesburg - About 285 000 people will lose their jobs if proposed changes to labour regulations are passed, Business Unity SA (Busa) said on Wednesday.

It determined the figures after conducting an impact assessment of the proposed changes to the Basic Conditions of Employment Act and the Labour Relations Act.

According to Busa the amendments would affect two major areas.

"Firstly, they will damage the prospects of small business.

Secondly, they will take a heavy toll of those most vulnerable and marginalised in the labour market - young people and recent entrants to the labour market, women, Africans, and those with lower levels of education."

The organisation submitted its views to the parliamentary portfolio committee on labour on Wednesday.

It said Parliament needed to conduct its own assessment of the changes.

On Tuesday, the SA Chamber of Commerce and Industry told the portfolio committee the amendments would not create jobs. It said labour regulations should promote job creation and economic growth.

"Unfortunately, some of the proposed amendments... do exactly the opposite, by imposing further costs on business [that wish] to employ workers."

Comments
  • charlesmakgale.radingoane - 2012-07-25 18:51

    what does those amendtment say regarding basic employment.

  • wendy.schneider3 - 2012-07-25 18:52

    change the law, all that get laided off, get your money from the unions instead from the tax payer.... the unions are killing you they live lekker and you suffer!

      ray.priestley.79 - 2012-07-26 09:31

      I thought Zuma promised to create a million jobs-he is very quiet now.

  • mofstok - 2012-07-25 19:52

    Nothing new to see here.

  • kevin.pitzer - 2012-07-25 21:32

    Okay ...Govt...Go ahead and kill the country further....The chinese are waiting to be your brother and hopefully you will finally be classed as yellow.

  • andrew.grieveson.92 - 2012-07-25 22:11

    The message here is if it needs to be manufactured import from China or India , it's cheaper, no red tape and no Trade Unions.

  • Kevin - 2012-07-25 22:47

    It must be Jacob Zuma's way of using COSATU's influence in government to cause COSATU"s destruction. When there are no people in formal employment COSATU will be a toothless organisation and he can ignore Vavi.

  • victor.windsor - 2012-07-26 06:14

    typical mentality mess with something that works !!!

  • jake.neumann.35 - 2012-07-26 07:21

    The new proposed labour laws as they stand now, place my business in a very difficult position. Apart from the four full-time black staff that I have, I make use of skilled part time workers for periods of up to 12 months at a time, but then it often takes four to five months before a new contract starts. I cannot support a staff of six to eight people during the 'off-period' as it only requires two people to finalise the next 'job'. These are international contracts and I can for all pratical reasons run the business from anywhere in the world and that is exactly what I am forced to do now. I have investigated several options and even though I will still work in Africa it will not be from South Africa for much longer. I feel sorry for my four full time black workers as they do not qualify to move with the business to another country. They are facing a very bleak future, but the welfare of my family comes first. I was about to start on the job training for several young people who show potential, but obviously I will not invest in South Africa any longer.

      rob.stead - 2012-07-26 10:03

      I'm sorry to hear it Jake. I have no doubt about the significant challenges facing SA, but remain optimistic. All the best with the move. I hope that for you the grass is genuinely greener.

  • banele.xaji - 2012-07-27 16:39

    The amendment deals with the question of Labour Brokers, the practice has resulted in the amendments as more people are being exploited through this practice. I know people who have been temporary workers for 10 years, 10 years of no pension, or security. No matter where you stand on this matter, 10 years is inappropriate. I therefore understand the need for banning of Labour Brokers and the 6 months probation thereafter permanent emploment.

  • luna.moon.5243817 - 2013-02-19 16:52

    Yes, we are making big progress in job creation ! Nah!!

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