Numsa’s refusal to commit to collective bargaining could harm motor industry, Sacci warns
Any hope of further building the South African motor manufacturing industry hinged on harmonious industrial relations, South African Chamber of Commerce and Industry (Sacci) CEO Neren Rau said on Monday, warning that irresponsible actions by unions could lead to disinvestment.
Rau stated that Sacci was concerned by the refusal of the National Union of Metalworkers of South Africa (Numsa) to commit to a collective bargaining agreement that would return motor industry operations to normal.
This comes as a strike in the automotive components sector continued.
“The unrealistic demands by union representatives seem to be at odds with the moderate wishes of workers who are losing weeks of pay during the strike. Employers now face a lose-lose situation; the entire industry can engage in strikes based on the collective bargaining model, but once an agreement is reached there is no guarantee that union representatives in specific manufacturing plants will not again call a strike to get some marginal benefit, while imposing heavy costs on the economy,” Rau said.
He further reiterated the negative impact of strikes on the economy.
“The vehicle manufacturing strike alone cost South Africa an estimated R20-billion. One manufacturer has not produced a single car in the past six weeks, and there is a risk that domestic manufacturers may be losing out on export contracts because of the production delays and uncertainty,” he said.
Rau added that while government did have a role to play in facilitating a conducive labour environment, its most important role was to protect the rights of businesses and workers.
Many workers wanted to work but were prohibited by way of union intimidation and many strikes would, in fact, not have occurred if workers were polled, as illustrated by the recent petrol attendant strike, he said.
Rau concluded that Sacci would write to Labour Minister Mildred Oliphant to ask for the protection of employees who chose to work.
Comments
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation