requirement for increased competitiveness in a global market and the urgent need to address the social living conditions of employees in an environment worsened by both inequality and poor service delivery .
All of us need to carefully consider what we understand by , and what we ideally seek from , the concept of Collective Bargaining . This is a critical element of the employer-employee relationship in South Africa and it will feature strongly on the agendas of the various unions .
What eventually results from the discussion about the future of collective bargaining remains to be seen , but what is clear is that the current state of affairs is unsustainable and the time for action is long overdue . However , this action needs to be considered and well researched and , most importantly , it requires genuine commitment from all stakeholders , which clearly includes more than just employers and employees .
A successful system will be one which continues to address problems of minimum standards , inequality and poverty , while also , critically , ensuring the continued survival and growth of the businesses in the sector . Until this balance is found , our industrial relations climate will remain seriously problematic and continue to erode investor confidence and direct investment in the economy .
Collapsing the current system without coming up with an acceptable , well-thought-out and viable alternative model acceptable to all stakeholders will not address the symptoms underlying the root causes plaguing our labour relations environment . More directly , an immediate collapsing of the current centralised collective bargaining model may well result in total chaos , which is a situation that cannot possibly be in the interest of any employer .
Q
: What do you believe needs to be done to secure the future of the
MEIBC ?
A
: When it comes to the Bargaining Council , most employers would readily agree that a lot can and should be done to raise the levels of professionalism , performance , service delivery and efficiency . SEIFSA ’ s commitment to doing whatever is necessary , within mandate , to ensure that this important institution does not fail cannot be questioned . SEIFSA has been at the forefront of leading discussions with all stakeholders at the MEIBC on the need to agree on processes and measures aimed at saving the MEIBC .
Functionally all parties which avail themselves of services through the MEIBC should accept the responsibility to make payment for those services . An acceptable budget should accommodate and provide for the skills and services required from the MEIBC , and all who use it should equitably meet that budget .
It was not easy . Neither we nor the unions are entirely happy with the agreement reached , but we can live with it . We believe that it is the best possible agreement that we could reach under the circumstances , and we believe that it is fair to both parties .
Industry interests should be greater than parochial interests .
Knowingly allowing the obvious underfunding of the legitimate and recognised needs of the MEIBC for whatever reasons those parties may have , thereby inviting the collapse of performance and structures within the MEIBC , is not only a recipe for disaster , but it ’ s simply immoral .
It is important to note that SEIFSA ’ s mandate , derived from the SEIFSA Council which is our assembly of member Associations , is to ensure that this institution does not implode , thus leading to the creation of a vacuum in the industry in a year where employers face the next round of industry bargaining . While there may be a lot wrong with the current system ( and employers feel very strongly that a lot should be done to improve it ), allowing the Bargaining
Council to fail cannot possibly be in the best interests of our community .
Q
: As a vastly experienced businessman , what do you think needs to be done to stimulate growth and to steer the South African economy back to investment grade in the shortest time possible ?
A
: The hard truth of the matter , despite the rhetoric of those who should know better , is that there is nothing positive coming from South Africa ’ s descent into junk status . Understanding and embracing the impact of this challenge and the possibility of further negative ratings and then implementing a plan of action to recover our position is the first necessary step . We must dispel the thought – and isolate the propaganda – that South Africa ’ s downgrade was a conspiracy against the Government and the ANC . We must ensure that our plan has collective buy in and constructive input from government , business , labour and all other stakeholders necessary , such that it has the capacity to achieve a successful outcome .
The plan must encourage and provide for ethical and competent leadership in every stakeholder entity , along with a commitment to every expectation and requirement of fiduciary responsibility and accountability .
We must prioritise greater benefit – through our asset strength in the public and private sectors , financial institutions , mineral and metal reserves , agriculture and agro-processing , tourism , manufacturing and construction , urban development and rural infrastructure and development , water supply and recovery , transport and logistics – and reposition for economic growth in every sphere . We must recognize the value of critical mass , the benefits of scale and the importance of big business in the socio-economic growth necessary for South Africa . Action must be taken to strongly and speedily improve the reach and the quality , and thereby the performance , of our education and healthcare services .
We must square up to our weaknesses and must act decisively and quickly .
We must eradicate patronage , corruption , wasteful expenditure and other criminal activity , and we must return State-owned entities , where
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