FEDUSA

The Federation of Unions of South Africa (FEDUSA) strongly supports Affiliate, South African Parastatal and Tertiary Institutions Union’s (SAPTU) announcement to strike. SAPTU will embark on strike action from tomorrow, 31 March 2011 against The Home Owners’ Association of Mosselbay.

SAPTU’s major dispute relates to the refusal of The Home Owners’ Association to accept the contracts of employment in terms of Section 197 of the Labour Relations Act, which is designed to regulate the transfer of employment contracts in circumstances where a business has transferred from one employer to another employer. The Home Owners Association is stating that all employees must sign new contracts, which will stipulate new terms and conditions of employment in favour of the employer and to the detriment of the workers concerned.

In addition workers are demanding a 10% wage increase and the implementation of a 13^th cheque as an annual bonus.

After obtaining the necessary certification from the CCMA, workers will be commencing strike action from tomorrow morning in the Mosselbay area.

At today’s NEDLAC meeting, representatives of the Federation of Unions of South Africa (FEDUSA) and their affiliate union UASA stressed the need for the current NEDLAC working group to produce real and achievable solutions to address South Africa’s poor waste water management systems.

The Department of Water Affairs acknowledged that many municipalities did not previously comply with the Department of Water Affair’s (DWA) 2009 Green Drop Report (GDR) criteria for safe drinking water however their new GDR which will be released in July, will indicate any individual declines or improvements.

Stakeholders from the South African Local Government Association (SALGA), the Department of Water affairs (DWA), South African Water Boards (SAWB), South African Business and Organised Labour were present to identify the challenges facing current waste water systems.

FEDUSA and UASA know that addressing the structural problems within the South African waste water management systems will be a lengthy process; however both were pleased with the initial exchanges between stakeholders and look forward to outlining real solutions for the future.

The current objectives of this NEDLAC working group will be to unpack and interrogate the challenges outlined in the GDR, identify feasible ways in which to notify the general public as well as tackling the licensing regime relating to the Departments of Water and Environmental Affairs and Mineral and Energy.

Rob Davies

The Federation of Unions of South Africa (FEDUSA) supports Trade and Industry Minister Rob Davies’ recent undertaking to source alternative players to produce Sishen Mine’s steel at cost plus 3%.  FEDUSA applauds Davis’ view that irrespective of which company owns Sishen mining rights, a 24.1% portion of the mine’s output must be earmarked for the development of the local steel industry. “It is imperative to strengthen and grow local industry,” said Krister Janse van Rensburg, FEDUSA Deputy General Secretary, “sustainable job creation can only be realised with increased local infrastructure and growth”

FEDUSA supports the view that Kumba Iron Ore (KIO) has public developmental obligations that cannot simply circumstantially fall away. “After benefiting from this lucrative industry, business must plough back through capacity building and skills transfer,” commented Janse van Rensburg. FEDUSA welcomes the notion of introducing more competitors to this steel production race. “FEDUSA has often expressed concern and dismay at the lack of competition and ongoing price fixing within industry,” concluded Janse van Rensburg.

SARB Building

The Federation of Unions of South Africa (FEDUSA) is highly disappointed with the decision by the Governor of the South African Reserve Bank (SARB), Gill Marcus, to leave the current interest repurchase rate unchanged at 5.5%. “There will be no relief for our members or the common shopper this month,” mused Krister Janse van Rensburg, “electricity rates and petrol prices will increase and consumers have no recourse”.

In the face of the unchanging repo rate FEDUSA is calling for a structural change to South Africa’s current macroeconomic outlook. “We are still using outdated and narrow methods to create economic stability,” said van Janse van Rensburg, “the South African Reserve Bank’s mandate must be extended from only targeting inflation to addressing South Africa’s real unemployment figures.”

Despite the notion that South African’s inflation is being kept under control, individual consumer purchasing power will be hard hit. The Monetary Policy Committee (MPC) would like consumers to think that South Africa’s inflation is stable, however according to FEDUSA Affiliate UASA’s study entitled The UASA Optimal Repurchase Rate Estimate using the Rudebush method, there are alternative ways of realising an optimal repo rate which address both the unemployment situation and price stability.

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