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MEIBC - what are they up to?

MEIBC - what are they up to?

Dear Steel Industry employer

Since 2010 NEASA [with the support of the Plastic Convertors’ Association of South Africa (PCASA) and recently also the South African Engineers’ and Founders’ Association (SAEFA)] has succeeded in either setting aside the extension to ‘non-parties’ of each and every agreement between Seifsa and Numsa or preventing the requests for extensions reaching the Minister.

During the course of the last couple of months we haven’t communicated much in this regard. The reason for this is that, although much has been happening under the surface, developments were not ripe for communication.

However, the time is now right to communicate the following important developments:

  • Directly as a result of our successes in preventing the extension of Industry hostile agreements, the State President, in January 2019, signed into law amendments to section 32 of the Labour Relations Act (LRA) which is aimed at making it easier for the Seifsa and Numsa types to extend their Industry hostile, de-industrialisation and job destroying agreements to non-parties.

We are of the view that these amendments (which we explained in previous newsletters) are unconstitutional and we are therefore in the process of preparing a challenge to the Constitutional Court.

  • As a result of the changes to the LRA, new efforts are being made by the Seifsa/Numsa-alliance to extend both the Admin Levies- and the so-called Main Agreement, which was entered into between these two conspirators in July 2017 - 20 months ago. Their attempts in this regard will trigger our constitutional challenge.
  • NEASA, PCASA and SAEFA also lodged proceedings to stop the Council from unlawfully utilising dispute levies for the operational expenses of the Council.
  • A further matter that warrants mention is a decision by the Labour Court which effectively allows party unions to negotiate outside of the structures of a bargaining council. Although NEASA is very critical towards the current collective bargaining dispensation, allowing trade unions to negotiate both in- and outside of the current collective bargaining framework, will be extremely prejudicial towards employers. We are currently preparing papers to appeal this decision in the Labour Appeal Court.

WHATEVER THEY COME UP WITH, WILL BE MET AND DEALT WITH, WITH EXTREME PREJUDICE.

All our efforts are as a result of our firm view that a free market dispensation is the only model which will lead to growth of the Industry. The current bargaining council dispensation, which allows for extreme forms of interference in the employment relationship, with the Meibc as the quintessential example, strangles business.

Our successes over the last ten years in preventing hostile agreements being enforced on Steel Industry employers, have saved tens of thousands of jobs.

Perseverance is not a long race; it is many short races one after the other.

Walter Elliot

We need the support of all Steel Industry employers to further the Industry’s cause.

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