Oct 12, 2012
Working as a team an ‘economic necessity’Back
New York|SECURITY|Africa|Industrial|Security|Africa|North America|South Africa|United States|Columbia University|Security|Food Service Workers|Healthcare|Security|Service|Andy Stern|Barack Obama|Security
© Reuse this
Stern is the former president of the 2.2-million member Service Employees International Union, which, under his leadership, grew into North America’s largest union, representing cleaners, security and food service workers, as well as healthcare and provincial workers.
Currently associated with Columbia University, in New York, Stern has also served on President Barack Obama’s National Commission on Fiscal Responsibility and Reform and also collaborated on a recent Council on Foreign Relations report on the role of trade in the global economy.
One of his key messages for business and labour is that “countries are teams” competing in the global economy for investment and employment. Therefore, “your other stakeholders are team mates” and a job-centric collaboration between business, labour and government is “now an economic necessity”, not merely a nice to have.
It’s message that doesn’t even fit well with Stern’s own natural anti-business and anti-establishment inclinations, with his own mother having described his union involvement as a job for a “juvenile delinquent”.
But merely fighting business “doesn’t really work well for workers,” he shared in an interview.
Controversially for a labour leader, Stern now tends to eschew old distinctions between left and right ideology. “What is more relevant may be right and wrong strategies for growth and sharing in success.”
Given the pace of change and innovation, the reality of global-isation and the emergence of an entirely new world of work, where the concept of ‘one job in a lifetime’ is less and less realistic, Stern argues that it is incumbent on labour leaders to understand the competitive pressures faced by the employer.
“What you do with that understanding is one question, but it is not good for members for trade union leaders to be ignorant of those realities.”
Different interests will prevail, but an objective analysis of the economic reality will show that “unless we work together as a team, our country is not going to be successful.”
It’s unlikely to be a popular message in the current South African context and, in the short term, it may even be sensible, in the interest of industrial peace, for employers to give into demands that are not justifiable on the economic facts.
However, in the longer term, labour leaders will need to do what is truly in the interests of their members: help build rather than undermine firm- level competitiveness through a disciplined adherence to labour-relations rules and by pursuing the best deal for workers within the constraints of prevailing economic con- dition.
In the end, without additional and more competitive companies, jobs – which the World Bank now acknowledges to be more important to development than growth – will be even harder to create and sustain. A prospect that no South African can surely bear face.
Edited by: Terence Creamer© Reuse this Comment Guidelines (150 word limit)
Other Editorial Insight News
Article contains comments
Updated 3 minutes ago A research partnership has been launched in South Africa in a quest to make air transport more environmentally and economically sustainable. Hydrogen South Africa (HySA) Systems, the National Aerospace Centre and Airbus are working together on research into using...
Updated 42 minutes ago The South African National Roads Agency Limited (Sanral) will not make representations to the advisory panel on e-tolls and their socio-economic impact, it said on Tuesday. "No, Sanral will not be making representations," spokesperson Vusi Mona said in an e-mail to...
Recent Research Reports
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
Real Economy Insight: Road and Rail 2014 (PDF Report)
This six-page brief covers key developments in the road and rail industries over the past 12 months, including details of South Africa’s road and rail network and prospects for both sectors.
This Week's Magazine
South African State-owned defence industrial group Denel has announced its fourth consecutive year of profits. The group's results for the financial year 2013/2014 were recently announced at its head office in Centurion, south of Pretoria. Revenues grew by 17%, net...
There is little opportunity for JSE-listed infrastructure company Group Five to grow shareholder value in the domestic market, says CEO Mike Upton. He says value can still be found in the private sector, in the renewable and industrial power sector, as well as in...
The National Association of Automobile Manufacturers of South Africa (Naamsa) has announced the event dates of the 2015 Johannesburg International Motor Show (JIMS). The event will take place from October 14 to October 25, 2015, at the Johannesburg Expo Centre, Nasrec.
UK engineering support services provider Babcock is set to deliver the largest order of global truck manufacturer DAF’s truck tractors in Southern Africa to bulk carrier road-based logistics company Ngululu Bulk Carriers (NBC), with 133 trucks to be delivered in...
Digital radio communications in the African local government space can open up the world, but have many challenges to overcome, notes integration and migration of legacy radio communications infrastructure with digital mobile radio company Emcom Wireless head of...