PRETORIA (miningweekly.com) – Government, business and labour has agreed to ratify a draft document on ensuring sustainable mining in South Africa, Deputy President Kgalema Motlanthe has outlined.
Government, organised labour and business also committed to continue to meet quarterly over the next 12 months, or as frequently as required, under the leadership of the Deputy President to ensure common action to address blockages and new issues should they arise (also see video).
Motlanthe said at a media conference, after a long period of discussion by the who’s who of South African mining, that all parties recognised the mining industry's centrality to South Africa’s economy and job creation, as well as the need to strengthen the sector in the current difficult global economic conditions.
In the interim, the attendees had agreed broadly that it is crucial to ensure law and order and end violence and conflict.
There was also broad consensus on the need for the industry to be repositioned in order to become attractive to investors and a more meaningful contributor to job creation.
Other key areas requiring immediate attention by all parties to place the mining industry on a sustainable footing included responding to the immediate economic situation and identifying long-term policy measures, including creating certainty in sector regulations and tax policy and accelerating the implementation of human settlement intervention to ensure that there is proper mineworker housing.
Motlanthe said that government would ensure that the legislative and regulatory programmes provided predictability and certainty for the mining industry.
Government would undertake an assessment of economic and social conditions in surrounding and labour-sending areas, as well as take steps to prevent abuse of workers by unscrupulous micro-lenders.
Parties recognised the necessity for proper implementation and coordination, combined with monitoring and evaluation of agreed deliverables.
The draft document, which was distributed to the members of the media, draws attention to the rule of law and stability being a fundamental pillar of democracy and a necessity to ensure economic and social development.
“We as government, labour and business will work together to ensure the sustainability of the mining sector for the future of our country and our people,” the draft document says, adding that the mining faces tough choices in that global economic growth will be lower.
It notes that the country’s largest trading partner, Europe, remains in recession and the composition of growth in China is changing.
The result is that demand for South African exports, including exports of gold, platinum and other commodities is lower.
Export earnings are lower, sustainability of mines is under threat, and government revenues are likely to be lower.
The draft document further recognises that deepening workplace conflict has led to violence and stoppages, which has impacted negatively on production, investment, workers and communities.
The need to expedite further transformation in the mining sector is recognised, as are the aspiration for changes in working and living conditions as well as career prospects.
The draft document commits all parties to working together to put in place processes that will strengthen collaboration and cooperation.
The guiding principles agreed are that democracy requires respect for the rule of law by all members of society while working together to ensure that the benefits and costs of development are more fairly shared.
The document notes that continued violence increases the risk of loss of life and damage to property, with unprocedural work stoppages making the impact of lower economic growth more intense.
It commits managers and leaders to ensuring that appropriate capability is developed to manage people issues more constructively and that ordinary workers see a real change in their career prospects, their working conditions and their communities.
“We can only get there if we work together, moving as fast as possible,” it states, adding that workers, the unemployed and vulnerable groups are the biggest losers in unstable economic conditions.
Experience from the 2008 global financial crisis highlights that job losses are often difficult to reverse and that regaining market share is not easy for firms given the high levels of global competition.
To succeed, this agreement requires that stakeholders dedicate the necessary capacity and time; accept that economic realities constrain decisions; and communicate their commitments as well as progress in implementation consistently and strongly to their members.
The core task now is to ensure more coherent, urgent and visible implementation, the draft says.
In the document, the government commits to improve the effectiveness of mechanisms for legal and regulatory compliance.
In addition there is commitment:
- Ensuring that there is always a resilient framework for labour relations and consistency and certainty in development and application of regulations.
- Accelerating efforts to upgrade human settlements in mining towns by all spheres of government, mobilising technical expertise to identify and address the basic factors underlying workplace conflict and improving negotiations structures at all levels.
- Continuing to improve core infrastructure to support production growth in the sector.
- Improving capacity to intervene effectively and increase delivery.
In terms of the document, communities will be encouraged to support improved human settlements and social cohesion and solidarity amongst all the stakeholders in the mining industry and initiate a process to transform the migrant labour system.
Business commits to:
- Work with government and labour to identify and address factors behind workplace conflict.
- Improve internal security measures and consistently implement them at workplaces.
- Negotiate in the workplace and the industry in ways that support long-term development and constructive, peaceful labour relations.
- Assist with resources and technical support for upgrading human settlements around mining towns.
- Support a constructive and sustainable adaptation to the current economic realities, maintaining and growing investment, production and employment as far as possible.
- Assist workers with financial literacy and financial planning, adhere to regulatory compliance, and support the process to transform the migrant labour system.
Labour commits to:
- Help to manage workplace conflict by identifying and dealing with its root causes, and by ensuring that members know about this agreement and initiatives to bring about real change.
- Support the changes in labour relations at the workplace and sectoral level needed for more constructive, peaceful and representative bargaining and dispute settlement.
- Negotiate in the workplace and the industry in ways that support long-term development, and work with members to end violence and avoid stoppages
- Educate workers on labour relation legislation, company policies and acceptable practices for workplace conduct.
- Work with government and business to improve investor sentiment and support the process to transform the migrant labour system.
The government commits to:
- Act decisively to enforce the rule of law, maintain peace during strikes and other protests relating to labour disputes, and ensure protection of life, property and the advancement of the rights of all citizens, including through crime prevention measures.
- Ensure that law enforcement agencies act in a manner that is fair, impartial and objective and that all care is taken to protect life and property.
- Put in place adequate and appropriate capacity in the form of detectives and specialist prosecution teams to prosecute cases on violence, intimidation, assault and murder.
- Prioritise the investigation and finalisation of cases arising from lawlessness in and around mining areas, in appropriate designated courts. Take measures to stop the carrying of weapons during protest action or strikes.
- Enforce municipal by-laws related to gatherings and demonstrations.
- Establish a mine crime combating forum (MCCF) and develop protocols for security and law enforcement in mining areas together with business and labour.
In this regard, business commits to:
- Take measures to protect staff members from violence and intimidation and to ensure that security personnel act in accordance with the law.
- Participate in the MCCF and take all legal steps to mitigate against unprotected labour actions.
- Provide venues for police operations where required and work with government and labour in developing protocols for security and law enforcement in mining areas.
- Inform police of all planned and unplanned strikes and protests and enforce the principle of not carrying or harbouring of any weapons on company property in line with existing laws of the country.
In turn, labour will:
- Support ongoing interventions to end workplace conflict and build cordial industrial relations at a sector and firm levels.
- Denounce violence and take active measures to eliminate violence and intimidation.
- Work with law enforcement authorities to prevent labour disputes from becoming violent, including informing the police timeously of any protest or strike action that could potentially require policing.
- Participate in the MCCF and enable its engagement with mining communities.
- Respect the rule of law and all due processes addressing criminal activity.
- Desist from violence, intimidation and murder and actively discourage members from taking the law into their own hands.
- Condemn and prevent the carrying of weapons during strike action and take reasonable measures to ensure that members do not carry weapons during strike action.
- Stop carrying or harbouring of any weapons on company property at any time in line with existing laws of the country.
- Adhere to legal procedures for marches and protest action.
- Ensure that there will be peaceful demonstrations and respect for people and property.
Strengthening Labour Relations
The draft affirms the right of workers to join unions, to declare disputes, to strike and to engage in any form of peaceful protest.
These rights must be practiced in accordance with the law. The rights of others to similarly engage in such activities must be recognised.
The draft recognises that, while the Labour Relations Act accepts principle of majoritarianism as one of its main pillars, some have raised concerns of its unintended consequences, including the possibility that it may infringe on the constitutional rights of other organisations and individuals' freedom of association. These concerns warrant a need for evaluation.
The government commits to:
- Working with business and labour to resolve issues speedily through existing legally mandated institutions.
- Advocate speedy resolution of labour disputes in the best interest of members and South Africa.
- Work with business and labour to fast-track resolution of disputes over membership status, verification of membership figures and recognition agreements.
- Stabilise the current labour relations environment through working together in developing a protocol for verification of union membership and work to develop capacity of union leaders and workers on labour relations matters.
- Explore various instruments to address any possible unintended constitutional consequences in the application of the majoritarian principle, including introducing an instrument in law to balance the exercise of the majoritarian principle in a manner that does not unfairly prejudice other parties.
Labour commits in the draft document to:
- Managing all disputes within the legal framework of the country.
- Respect the rights of employers to take the necessary steps, within the confines of the law, against workers involved in unprotected strike action, violence and intimidation.
- Resolve labour disputes as speedily as possible in the best interest of members and South Africa.
- Take responsibility to educate members on labour relations issues.
The Mining Industry Growth and Development Task Team is charged with ongoing support for implementation of the commitments made, as well as supporting communication to the constituencies.