lOMoARcPSD|12846732 Study Guide LLW2602 study guide & notes Collective Labour Law (University of South Africa) Scan to open on Studocu Studocu is not sponsored or endorsed by any college or university Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 Tutorial Letter 501/3/2020 COLLECTIVE LABOUR LAW LLW2602 Semesters 1 and 2 Name of Department This tutorial letter contains important information about your module. BARCODE Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 CONTENTS A. GENERAL INFORMATION 1. Introduction 2. The prescribed book 3. Overview of the prescribed book B. STUDY UNITS STUDY UNIT 1 : Freedom of association, trade unions’ rights and employers’ rights STUDY UNIT 2 : Collective bargaining STUDY UNIT 3 : Workplace forums STUDY UNIT 4 : Strikes and lock-outs STUDY UNIT 5 : Pickets and protest action 2 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 A. GENERAL INFORMATION Dear Student 1. INTRODUCTION Welcome to the Labour Law module (LLW2602). We hope that you will find it interesting and rewarding. We will do our best to make your studies of this module successful. Please note that this learning material only provides guidance to assist you go through and understand your prescribed book. You will therefore still be required to have and study your prescribed book. 2. THE PRESCRIBED BOOK The prescribed book for this module is: McGregor, M and Dekker, AH (eds). 2017. Labour law rules! 3rd. Cape Town: Siber Ink. You have to purchase the prescribed book and work through it with the help of this tutorial letter. Please take note that only the following chapters of the prescribed book are prescribed for this module: Chapters 11; 12; 13; 14 and 15. 3. OVERVIEW OF THE PRESCRIBED BOOK The prescribed book consists of four parts: Part Part Part Part I II III IV : : : : Introduction to labour law Rules applicable during the course of employment Rules applicable to the termination of the employment relationship Rules applicable to collective labour law PART I: INTRODUCTION TO LABOUR LAW Labour law deals with the legal consequences that flow from the employment relationship. It regulates both the individual and collective employment relationship. The individual employment relationship is concluded between one employer and one employee. The collective relationship exists between one or more employers and more than one employee. Employers may act collectively by way of employers’ organisations and employees may join trade unions that represent them in the collective labour arena. It is important to understand that the contract of employment forms the basis of the relationship between the employer and the employee and that the principles of law of contract therefore apply to this relationship. Law of contract assumes that the parties to a contract are in an equal bargaining position. However, the employment contract is different 3 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 because the employer is in a stronger bargaining position and can largely dictate the terms and conditions of employment. Hence, the principles of law of contract had to be supplemented by labour laws designed to balance the interests of employees and employers in order to ensure fairness in the employment relationship. Part I of the prescribed book consists of only one chapter (chapter 1), which gives a brief historical background to South African labour law and contrasts it with modern labour law. The tripartite manner of currently making labour laws and the scope of labour laws are explained. PART II: RULES APPLICABLE DURING THE COURSE OF EMPLOYMENT This part of the prescribed book concerns the legal requirements with regard to the following: concluding a valid contract the effect of certain terms in the contract of employment, for example a “restraint of trade clause” the minimum terms and conditions of employment the rights and duties of employers and employees that flow from the contract the consequences that flow from common law and their effect on the contractual relationship, for example the doctrine of vicarious liability the potential and compulsory deductions that must be made from employees’ salaries relating to social protection laws, for example insurance against unemployment and medical aid and pension fund contributions the compulsory contribution of the employer in terms of social protection legislation, for example in terms of the Compensation for Occupational Injuries and Diseases Act 130 of 1993 (COIDA) and the Skills Development Act 97 of 1998 (SDA) the circumstances in which terms and conditions of employment can be changed, and acts (or omissions) of the employer that will be regarded as unfair labour practices Part II consists of six chapters. Chapter 2 deals with the exclusive protection of employees provided by labour laws. The tests used to determine the difference between an employee and an independent contractor are discussed. Chapter 3 is about the impact of common law on the contractual agreement between the parties. Both law of contract and common law are sources for determining the rights and duties of employers and employees that flow from the employment relationship. Chapter 4 is about the Basic Conditions of Employment Act 75 of 1997 (BCEA), which mainly regulates minimum terms and conditions of employment. The focus of chapter 5 is on the Employment Equity Act 55 of 1998 (EEA), which prohibits unfair discrimination in the workplace and regulates the implementation of affirmative action measures. The Labour Relations Act 66 of 1995 (LRA) is discussed in chapter 6, but only as far as unfair labour practices (unfair acts or omissions by an employer against an individual employee) are concerned. Unfair labour practices are discussed separately from dismissal because they occur during actual employment. 4 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 In chapter 7, social insurance legislation is discussed. The focus of this chapter is on social insurance matters that influence the employment relationship. The chapter is divided into discussions on social insurance legislation aimed at: the prevention of occupational injuries and diseases (in terms of the Occupational Health and Safety Act 85 of 1993 [OHSA] and the Mine Health and Safety Act 29 of 1996 [MHSA]), compensation for employees who have suffered occupational injuries/contracted diseases or lost employment (COIDA, Occupational Diseases in Mines and Works Act 78 of 1973 [ODMWA] and Unemployment Insurance Act 63 of 2001 [UIA]) and the re-integration of employees into the workplace after an injury or illness (SDA and Skills Development Levies Act 9 of 1999 [SDLA]). In Chapter 8, the transfer of a business as a going concern, is discussed. PART III: RULES APPLICABLE TO THE TERMINATION OF THE EMPLOYMENT RELATIONSHIP In this part of the prescribed book, the different ways of terminating the contract of employment are explained. The less confrontational ways (such as resignation, retirement, death and insolvency) are briefly discussed. The focus is on the more “confrontational” form of termination, namely dismissal. The LRA allows dismissal for three reasons, namely: (1) (2) (3) misconduct incapacity, and operational reasons Dismissal for misconduct, or “fault” dismissal, implies that the employee is guilty of misbehaving and is then dismissed. Dismissal for incapacity and operational reasons are termed “no-fault” dismissals, because the employee is regarded as a “victim” or is caught in circumstances beyond his or her control that warrant dismissal. Examples are an employee who cannot perform the required work because of lack of skills or injury, or where he or she is retrenched because of poor economic conditions. The focus of chapter 9 is on determining when the conduct of the employer will be regarded as dismissal of the employee. If such conduct does constitute dismissal, the next step is to determine whether the dismissal was automatically unfair and, if not, whether it was fair or unfair. The type of dismissal will determine which requirements will be applicable in determining whether it was both substantively and procedurally fair. This part of the prescribed book consists of two chapters (chapters 9 and 10), which contain a detailed discussion of law of dismissal and other ways of terminating the employment relationship. At the start of the employment relationship, it is important to determine whether a person qualifies as an employee or not because only employees qualify for protection in terms of labour legislation. Such protection relates to minimum terms and conditions of employment, unfair labour practices, unfair discrimination, unfair dismissal and participation in industrial action. Once an employment contract has been concluded and an employee has commenced work, both the employee and the employer have to perform as agreed on, in the contract of employment. However, remember that the employment contract is subject to the minimum conditions of employment contained in the BCEA and the rights and duties determined by common law. 5 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 As in any other area of life, matters may go wrong in the workplace. For example, during employment, an employee can get temporarily ill or may be injured while on duty and the provisions of COIDA or the UIA may apply. An employee may have a grievance against the employer based on, for example, non-promotion or an unfair suspension and if it is unsatisfactorily resolved, the employee will have to resort to an unfair labour practice claim. With regard to dispute resolution, the LRA created the Commission for Conciliation, Mediation and Arbitration (CCMA), the Labour Court and the Labour Appeal Court as special dispute resolution institutions. The aim is to ensure accessible and fast dispute resolution. The LRA requires that most disputes first be referred for conciliation, which can be conducted under the auspices of the CCMA or a bargaining or statutory council registered for a particular sector and area. If conciliation fails, the Act prescribes the dispute resolution route that should be followed. These routes are either arbitration or adjudication. Either the CCMA or a bargaining or statutory council deals with arbitration; the Labour Court deals with adjudication. After arbitration, provision is made for a review of the award. In the case of adjudication, provision is made to appeal against the decision by the court a quo. PART IV: RULES APPLICABLE TO COLLECTIVE BARGAINING The power play between employers and employees is best displayed when the employer and employees engage in collective bargaining. The LRA and other labour legislation lay down basic rights, duties and remedies to ensure fairness in the employment relationship. These are matters relating to the rights that employees have and are called “rights issues”. When it comes to creating new terms and conditions of employment ("interest issues" or "matters of mutual interest") or changing existing terms, there is no legislation that specifically regulates the situation. This is because the parties themselves best determine these issues. For example, a court cannot determine an annual increase for employees. The LRA recognises the importance of collective bargaining and supports the mechanism by protecting the rights of employees and employers to form and join organisations of their choice and to participate in the activities of those organisations. The LRA regulates the registration of these organisations. It further creates bargaining forums, guarantees the right to freedom of association, and regulates the right to freedom of association and organisational rights. Lastly, it regulates industrial action for both employees and employers. When you study Part IV of the prescribed book, it is important to understand that collective labour law is not discussed as a phase of employment because it influences all stages of the employment relationship. Part IV consists of chapters 11, 12, 13, 14 and 15. Chapter 11 deals with the foundations of collective labour law, namely freedom of association and organisational rights. Chapter 12 deals with collective bargaining and chapter 13 with workplace forums. Chapters 14 and 15 are about the various forms of industrial action, namely strikes and lock-outs, pickets and protest action. Please note that each part of the prescribed book starts with a summary and sets out the legal implications relevant to each employment stage. Each chapter starts with a detailed table of contents that will guide you through the chapter. If you study the prescribed book and follow the guidelines in this learning material, you will do well. 6 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 B. STUDY UNITS 7 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 STUDY UNIT 1 FREEDOM OF ASSOCIATION, TRADE UNIONS’ RIGHTS AND EMPLOYERS’ RIGHTS OUTCOMES After studying this study unit, you must be able to do the following: explain the employees and employer’s right to freedom of association in terms of the Constitution and the LRA draw a distinction between closed shop agreements and agency shop agreements and how they limit the right to freedom of association of employees list and explain organisational rights which registered trade unions may acquire and the level of representation required to acquire them list and explain different methods of acquiring organisational rights, and understand the dispute resolution process relating to organisational rights 1.1 PRESCRIBED MATERIAL Chapter 11 of the prescribed book Mischke C “Getting a Foot in the Door: Organisational Rights and Collective Bargaining in terms of the LRA” CLL 13(6) (2004) 51. Landman A “No free ride: The agency shop in South Africa” CLL (1996) 6 (No 1) 1.2 INTRODUCTION KEY TERMS: freedom of association; trade union security arrangements; closed shop agreement; agency shop agreement The right to freedom of association is important for collective bargaining. Freedom of association means that people have the right to associate with others in order to defend and protect their common interests. In the workplace, freedom of association entails the right of workers to form and join trade unions of their choice and to participate in its lawful activities. Employers can also form and join employers’ organisations. This is in line with the African (Sepedi) idioms that ‘motho ke motho, ka batho’ (you are, because of others); ‘bobedi bo bolaya noga’ (It is easier for two or more people to conquer the enemy) and ‘kopano ke matla’ (unity is power). Freedom of association is one of the basic principles of labour law and this is reflected in several International Labour Organisation (ILO) Conventions (Convention 87 of 1948 and Convention 98 of 1949), the LRA and the Constitution. The right to freedom of association is clearly protected in terms of sections 18 and 23 of the Constitution. There is no balance of power between the employer and employees as employers have better resources than employees and therefore employees get their strength and bargaining power through trade unions. In order to strengthen the right to freedom of association for 8 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 employees and their trade unions, the Constitution and the LRA provide for amongst others, trade union security arrangements. Trade union security arrangements refer to closed shop agreements and agency shop agreements. The LRA further strengthen the right to freedom of association and collective bargaining by providing for five organisational rights which representative trade unions may acquire from the employer. The LRA provides for: what level of representation is needed to obtain these rights how the level of representation should be determined the processes available for obtaining these rights, and the rights of minority trade unions with regard to organisational rights 1.3 IMPORTANT MATTERS TO UNDERSTAND This STUDY UNIT deals with freedom of association, trade unions’ rights and employers’ rights. (a) Historical background to freedom of association and trade unionism in South Africa Study paragraph 1 of chapter 11 of the prescribed book. Although freedom of association is important for workers; for many years, trade unionism did not exist in South Africa. However with the discovery of minerals and the development of mines in the late 19th century, trade unionism was introduced by mineworkers and artisans who came from overseas, especially Britain. In South Africa, trade unions were first given statutory recognition by the Industrial Conciliation Act 11 of 1924. Later, the Industrial Conciliation Act 28 of 1956 was passed, which dealt extensively with freedom of association and trade union rights. Far-reaching changes to labour legislation were however made after the Wiehahn Commission made recommendations, which included the granting of the right to freedom of association to all workers, including black workers. The right to freedom of association is now entrenched in the Constitution and given effect to by the LRA. (b) Freedom of association Study paragraph 2 of chapter 11 of the prescribed book. First, the Constitution grants everyone the right to freedom of association in its section 18 and then grants the right to freedom of association specifically to workers, trade unions, employers and employers’ associations in its section 23 (see par 2.1 of chapter 11 of the prescribed book). Second, the LRA gives effect to this right through various sections, including sections 4; 5; 6; etc. Through freedom of association employees form trade unions and employers form employers’ organisations in order to exercise this right. The LRA protects freedom of association for employees, people seeking employment and employers. The right to freedom of association is in line with the old practice in African societies, where people found their security in groups such as the family and the community. This was based on the belief that in unity there is power because individuals now see themselves through the collective. In the workplace context employees form groups which are called ‘trade unions’ and employers form groups called ‘employers’ organisations’. On the one hand, through trade unions employees’ interests, which include job security and improved terms and conditions of employment are protected and on the other hand employers’ organisations represent the interests of employers. 9 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 Although the LRA does not apply to uniformed members of the SANDF and the State Security Agency (which includes the National Intelligence Agency, the South African Secret Service, the South African National Academy of Intelligence and the Electronic Communications Security (Pty) Ltd), their right to freedom of association is still protected by section 23 of the Constitution. Managerial employees also have a right to freedom of association, however it is limited as they must balance their common law duty to act in good faith with their right to freedom of association. Do you think the limitation of the right to freedom of association for managerial employees is justified? (c) Trade union security arrangements Study paragraph 3 under chapter 11 of the prescribed book. The Constitution and the LRA provide for the limitation of the right to freedom of association by amongst others allowing trade union security arrangements in the form of closed shop and agency shop agreements (section 23(6) of the Constitution and sections 25 and 26 of the LRA). It must be noted that this limitation infringe on the right to freedom of association, however the limitation is justified in terms of section 36 of the Constitution. An agency shop agreement requires the employer to deduct an agreed agency fee from the wages of employees who are identified in the agreement and who are not members of the trade union which is party to the agreement, while the closed shop agreement requires all employees covered by the agreement to be members of the trade union that is party to the agreement. Do you think it is fair for employees who do not want to become members of trade unions to be bound by these agreements and why? Study more about the two agreements in paragraphs 3.2 and 3.3 of chapter 11 of the prescribed book. Please note that only post-entry closed shop agreements (employees are required to join trade unions after they are employed and not before) are recognised under the LRA. ACTIVITY 1 Read through the following set of facts and answer the question below. BB (Pty) Ltd concluded an agency shop agreement with BB Union, a majority trade union within the workplace. John who is employed by BB (Pty) Ltd, but not a member of the union realises that there are monthly deductions of an amount of R50 from his salary which are made without his knowledge. On enquiry, he is informed that it is an agency fee, however John is not pleased about this and wants this to stop because he never authorized the deductions. Advise John on whether he will succeed in stopping the agency fee deductions made from his salary. FEEDBACK 1 This is an agency-shop agreement concluded by a majority union and an employer through 10 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 which the employer must deduct the agreed agency fee from the employees identified in the agreement, subject to the following: The employer may only deduct from non-members who are eligible for membership (conscientious objectors to the policies of the union (on religious or moral grounds) must pay the fee, which is then paid into a fund administered by the Department of Labour). The fee of non-members cannot be higher than the subscription fee payable by members of the majority union. The employer can deduct agency fees from the wages of employees without their authorisation. Therefore John may not succeed in his claim. (d) Organisational rights (i) The purpose of organisational rights Study paragraph 4.1 of chapter 11 of the prescribed book. The purpose of organisational rights is to enable trade unions to be more effective in their collective bargaining function. Organisational rights are only granted to registered trade unions that have a certain level of representation in the workplace. The following table shows the five organisational rights and the level of representation that a union must have, in terms of the LRA, in order to acquire them: Organisational right Access to premises of the employer (workplace) Deduction of trade union membership fees (subscription fees) Election of trade union representatives (shop stewards) Leave (time-off) for trade union activities Disclosure of information Minimum level of representation Majority representation and Sufficient representation Majority representation and Sufficient representation Only Majority representation Majority representation representation Only Majority representation and Sufficient It is important to note that a trade union that has majority representation in the workplace is in principle entitled to all five organisational rights, while a sufficiently representative trade union will only enjoy three rights. A majority trade union is a trade union that represents at least 51% of all employees in the workplace (see paragraph 4.4 of chapter 11 of the prescribed book). The LRA does not define what sufficiently representative is, but gives guidelines (a union that represents approximately 30% of the employees in the workplace). Study more about these rights in paragraphs 4.2 to 4.4 of chapter 11 of the prescribed book. (ii) The acquisition of organisational rights Study paragraph 4.5 of chapter 11 of the prescribed book. Trade unions acquire organisational rights in the following ways: 11 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 Method Collective agreement Membership of a bargaining council Strike action Section 21 procedure (iii) Notes A registered trade union and an employer/employers’ organisation can conclude a collective agreement that regulates organisational rights. Any registered trade union that is a party to a bargaining council automatically acquires the right to access the workplace (s 12) and the deduction of trade union subscriptions (s 13) in respect of all workplaces that fall within the jurisdiction of the bargaining council. A minority trade union, may strike in support of a demand for organisational rights. A registered trade union that is sufficiently representative may acquire organisational rights through the procedure outlined in section 21 (see paragraph 4.5.4 of chapter 11 of the prescribed book). Disputes about organisational rights Study paragraph 4.6 of chapter 11 of the prescribed book. Disputes about organisational rights may be referred to the CCMA in writing by any party to the dispute. (e) Relationship between a union and its members Study paragraph 5 of chapter 11 of the prescribed book. The relationship between a trade union and its members is regulated by the union’s constitution, which contains the necessary rules and procedures for different things, including meetings. (f) Registration of unions Study paragraph 6 of chapter 11 of the prescribed book. The LRA defines a trade union as an association of employees whose principal purpose is to regulate the relations between employers, including employers’ organisations, and their employees. It is not necessary for a trade union to be registered in order to exist, however, the LRA encourages registration and therefore grants benefits such as trade union security arrangements; organisational rights; etc., to trade unions that register. 1.4 SELF-ASSESSMENT QUESTIONS Question 1 Which organisational rights can only be acquired by a majority trade union? 12 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 Question 2 Which ONE of the following statements about a closed shop agreement between a trade union and an employer is INCORRECT? (a) (b) (c) (d) It is entered into by way of a collective agreement between a majority trade union and an employer or employers’ organisation. None of the employees who were in the employ of the employer or employers when the closed shop agreement was concluded may be dismissed for refusing to join the trade union that is party to the closed shop agreement. The dismissal of conscientious objectors for their refusal to join the union will be fair. Union subscription fees can only be used to advance the socio-economic interests of union members and not for any political affiliation. Question 3 Section 21 of the LRA provides that a registered trade union can notify an employer in writing that it wishes to exercise organisational rights. Name FOUR types of information that must be contained in the written notice. Which document must accompany the notice above? 13 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 STUDY UNIT 2 COLLECTIVE BARGAINING OUTCOMES After studying this STUDY UNIT, you must be able to do the following: explain the concept of collective bargaining list examples of refusal to bargain by the employer define a collective agreement explain the binding effect of collective agreements in general and those concluded in a bargaining council describe the role of bargaining councils and statutory councils explain how collective agreements are extended, and understand the dispute resolution process for collective agreements 2.1 PRESCRIBED MATERIAL Chapter 12 of the prescribed book 2.2 INTRODUCTION KEY TERMS: collective bargaining; collective agreement; refusal to bargain; trade union; bargaining council; statutory council Study paragraph 1 of chapter 12 of the prescribed book. The collective bargaining concept refers to a process which involves willingness on the part of each party (employers and employees represented by trade unions) to not only listen to and consider representations of the other party, but also to abandon fixed positions where possible, in order to find common ground and reach agreement where possible. It is called collective bargaining because employees (collectively) represented by a trade union (and not as individuals) negotiate with the employer or employers’ organisation. Labour law and Ubuntu both encourage a sound relationship based on accommodating opposing views and conciliating competing interests. They are both based on an inclusive approach where negotiations take place and a decision is reached on a particular matter. This promotes a horizontal approach where decisions are not only made from the top. Collective bargaining’s roots are based on freedom of association, which is an important principle of Ubuntu, which encourages people to work together and when they do, their strength and voice is stronger. The purpose behind collective bargaining is to reach consensus about terms and conditions of employment and formalise this by means of a collective agreement. A collective agreement regulates the rights and duties agreed upon by the parties. This promotes peace and reduces conflict in the workplace because once an agreement is reached, it must be adhered to, for as long as it is valid. 14 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 In this STUDY UNIT, we discuss the right to bargain, including refusal to bargain by the employer; bargaining agents; bargaining structures and collective agreements. 2.3 IMPORTANT MATTERS TO UNDERSTAND (a) The duty to bargain Study paragraph 2 of chapter 12 of the prescribed book. The Constitution provides for the right to collective bargaining, however, in South Africa, there is no duty (obligation) to bargain. The LRA adopted a voluntary approach to collective bargaining but encourages it by amongst others granting organisational rights; recognising union security arrangements (discussed in the previous study unit) for trade unions and allowing parties to establish bargaining structures. The refusal to bargain can however result in industrial action (for example, a strike) by employees in order to pursue the employer to bargain. In terms of section 64(2) of the LRA, the refusal to bargain includes the following: the the the the the employer’s refusal to recognise a trade union as a bargaining agent employer’s refusal to establish a bargaining council employer’s withdrawal of the recognition of a collective bargaining agent employer’s resignation as a party to a bargaining council, and employer disputing appropriate bargaining units, levels and topics Do you think there must be a duty to bargain in South Africa and why? (b) Bargaining agents Study paragraph 3 of chapter 12 of the prescribed book. A trade union is a bargaining agent for employees. As explained in the previous STUDY UNIT, a trade union is ‘an association of employees whose principal purpose is to regulate the relations between employers, including employers’ organisations, and their employees’. Trade unions are regulated by the LRA, which also prescribes the process for their registration. Although a single employer can engage in collective bargaining with a trade union, however, a single employee cannot engage in collective bargaining with the employer (they must be represented by trade unions). An employers’ organisation is defined as "any number of employers associated together for the purpose, whether by itself or other purposes, of regulating relations between employers and employees or trade union". Trade unions and employers’ organisations may together form bargaining councils. A bargaining council is also similar to an African structure called ‘Kgoro’ where parties meet to address whatever issues they have. At the ‘Kgoro’, people may send their representatives who will represent their interests during the discussions. The representations made at the ‘Kgoro’ are seen as representations by the groups represented. Decisions relating to the community made at the ‘Kgoro’ will then affect the community as a whole. (c) Bargaining Levels Study paragraph 4 under chapter 12 of the prescribed book. Bargaining can take place at the following levels: 15 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 Bargaining level Plant level Sector level Industry level (d) Explanation This takes place between the employees and the employer at a specific plant or factory. This takes place in a specific sector of the economy and is linked to a specific geographical area. This is bargaining for a whole industry, for example the mining industry. Statutory bargaining structures Study paragraph 5 of chapter 12 of the prescribed book. Bargaining councils and statutory councils are two types of structures created by the LRA for collective bargaining purposes. (i) Bargaining councils Study paragraph 5.1 under chapter 12 of the prescribed book. A bargaining council can be established by one or more registered trade unions and one or more registered employers’ organisations for a sector and area (for example, the mining industry in Limpopo). Section 30 of the LRA lists topics that must be provided for in the constitution of a bargaining council. The parties to the council may apply for its registration to the Registrar of Labour Relations by submitting the documents prescribed by the LRA (see section 5.1.2 of chapter 12 of the prescribed book). The powers of a bargaining council include: to conclude collective agreements, to enforce such agreements and to prevent and resolve disputes; etc. (see section 5.1.3 of chapter 12 of the prescribed book for other powers and functions). (ii) Statutory councils Study paragraph 5.2 under chapter 12 of the prescribed book. A statutory council may only be established in a sector or area where there is no bargaining council. A statutory council may be established when a representative trade union (that is, a union or unions representing at least 30% of employees employed in the sector or area in which application is made) or representative employers’ organisation (that is, an employers’ organisation whose members employ at least 30% of employees in the sector or area in which the application is made) applies to the Registrar for the establishment of a council. (e) Collective agreements Study paragraph 6 under chapter 12 of the prescribed book. At the end of a successful collective bargaining process, a collective agreement is concluded between the employer and trade union/s. A collective agreement regulates the terms and conditions of employment on which the parties agreed. 16 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 See paragraph 6 of chapter 12 of the prescribed book for the definition of a collective agreement and its important elements, and for the legal and binding effect of a collective agreement. Effects of a collective agreement of a contract of employment: It is important to note that a collective agreement changes any contract of employment between an employee and an employer if they are both bound by the agreement. A collective agreement concluded in a bargaining council is binding on parties to the bargaining council that are parties to the agreement, and to parties to the council that are not parties to the agreement and parties that are not members of the council and not parties to the agreement but fall within the sector and area of jurisdiction of the council, if the agreement is extended to them in terms of section 32 of the LRA by the Minister of the Department of Labour. This is based on the belief that the majority rules. In other words what many people agree upon will usually over-rule the position of individuals. Collective agreements must contain a procedure for the resolution of disputes about the application and interpretation of that agreement. ACTIVITY 1 Abner’s contract of employment provides that he is entitled to 20 days’ sick leave days per annum. There is a collective agreement concluded at the bargaining council within the sector in which Abner works which provides that employees are entitled to 23 days’ sick leave per annum. Discuss whether Abner will be entitled to 20 days’ sick leave or 23 days’ sick leave per annum. FEEDBACK 1 You must discuss the legal effects of a collective agreement. Abner will be entitled to 23 days’ sick leave as provided by the collective agreement concluded at the bargaining council. 2.4 SELF-ASSESSMENT QUESTIONS Question 1 Explain the process of collective bargaining. Question 2 Which ONE of the following statements regarding collective bargaining is CORRECT? (a) (b) (c) (d) In South Africa employers have a duty to bargain with trade unions Industry level bargaining refers to bargaining between an employer and trade unions in the factory A bargaining council represents the interests of employers during collective bargaining A single employee may not engage in collective bargaining with the employer. Question 3 Define a ‘collective agreement’. 17 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 STUDY UNIT 3 WORKPLACE FORUMS OUTCOMES After completing this STUDY UNIT, you should be able to do the following: draw a distinction between workplace forums and trade unions explain how workplace forums are established describe the main functions of workplace forums, and 3.1 PRESCRIBED MATERIAL Chapter 13 of the prescribed book 3.2 INTRODUCTION KEY TERMS: workplace forum; consultation; joint-decision making Study paragraph 1 of chapter 13 of the prescribed book. This STUDY UNIT looks at workplace forums. Workplace forums were introduced in order to enable all employees to participate in decision-making in the workplace, irrespective of their trade union membership. They were aimed at dealing with non-wage-related matters, separate from the collective bargaining system, which is adversarial in nature. Labour law and Ubuntu use an inclusive approach of consultation and joint decision making in dealing with matters both of which encourage fairness and transparency in reaching decisions. The introduction of workplace forums was aimed at encouraging this approach within the workplace. The main functions of workplace forums are consultation and joint decision-making. ‘Dikgoro’ in African practice, served as forums for consultation and joint decision-making where important decisions affecting the community were taken. This is again an approach where not all decisions are made from the top, but all parties are involved. This approach humanises the law because decisions made are generally based on consensus. This approach also encourages and allows for a transparent and accommodative way of dealing with matters. 3.3 IMPORTANT MATTERS TO UNDERSTAND (a) Establishment of workplace forums Study paragraph 2 under chapter 13 of the prescribed book. In terms of the LRA, a workplace forum may only be established in a workplace where there are more than 100 employees. This is done through a collective agreement, or through the intervention of the CCMA or by a trade union. Unlike trade unions, workplace forums are not 18 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 involved in wage-related issues and cannot embark on industrial action. All employees, except senior managerial employees, can be members of a workplace forum. Do you think workplace forums are necessary and why? (b) Functions of workplace forums A workplace forum has a number of functions, including, consultation and joint decision– making powers. It must therefore be consulted on certain matters and be involved in jointdecision making on certain matters. Study these matters in paragraphs 4; 5 and 6 of chapter 13 of the prescribed book. The following is a summary: Consultation The forum makes representations and advances alternative proposals on a matter to the employer. The employer must consider the proposals and respond to them. If the proposals are not acceptable, it must provide reasons. Matters for consultation: Joint decisionmaking restructuring of the workplace (for example, the introduction of new technology) changes in the organisation of work the total or partial closure of the plant mergers and transfers of ownership if they affect employees the retrenchment of employees exemptions from a collective agreement or law job grading criteria for merit increases or the payment of discretionary bonuses education and training product development plans the promotion of exports The employer must consult and reach consensus with the workplace forum. Matters for joint decision-making: disciplinary codes and procedures proper regulation of the workplace measures to protect and advance persons disadvantaged by unfair discrimination changes of employer representatives on boards of employercontrolled schemes with regard to social benefits Study paragraph 7 of chapter 13 regarding workplace forums and disclosure of information. Study also paragraph 8 of chapter 13 regarding organisational rights of workplace forums. 19 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 ACTIVITY 1 Draw a distinction between consultation and joint decision-making as functions of workplace forums. FEEDBACK 1 Consultation: The forum makes representations and advances alternative proposals on a matter to the employer. The employer must consider the proposals and respond to them. If the proposals are not acceptable, it must provide reasons. Joint decision-making: The employer must consult and reach consensus with the workplace forum. Study paragraphs 5.1 and 6.1 of chapter 12 of the prescribed. 3.4 SELF-ASSESSMENT QUESTIONS Question 1 Draw a table with two columns indicating three matters about which consultation must take place and three matters that must be settled by way of joint decision-making, with a workplace forum. Question 2 Is the statement below true or false? Provide reasons for your answer. A workplace forum enters into an agreement which regulates the terms and conditions of employment with company A. This agreement has the status of a collective agreement and is binding on all the employees of company A. 20 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 STUDY UNIT 4 STRIKES AND LOCK-OUTS OUTCOMES After completing this STUDY UNIT, you should be able to do the following: define a strike and a lock-out mention and explain procedural requirements for a protected strike and lock-out explain what matters of mutual interest are for purposes of strikes and lock-outs mention and explain the limitations/prohibitions on strikes and lock-outs explain the legal consequences of a protected strike explain the legal consequences of an unprotected strike define a secondary strike, and mention and explain procedural requirements for a protected secondary strike 4.1 PRESCRIBED MATERIAL Chapter 14 of the prescribed book Le Roux, PAK “Strikes and Lock-outs: When does a Dispute exist?” CLL 17(8), March (2008) 76 4.2 INTRODUCTION KEY TERMS: industrial action; strike; lock-out; matters of mutual interests; secondary strike; ‘no work no pay’ Study paragraph 1 of chapter 14 of the prescribed book. The aim of collective bargaining between the parties is to negotiate and conclude a collective agreement, however, if no agreement is reached; after following the set processes, one party may decide to put pressure on the other party through industrial action. This STUDY UNIT, discusses industrial action which can take the form of strikes or secondary strikes by employees or recourse to lock-outs by employers. The use of power sounds inhumane and contrary to Ubuntu; however, before any form of industrial action may take place there are procedural requirements, which must be met in order to ensure fairness and justice. If the requirements are not met then the action will not be protected and there will be negative consequences. Industrial action through strikes and lock-outs is an integral part of collective bargaining. Industrial action should, however, be used as measures of last resort. Take note that strikes are used by employees to support their demands and to promote and defend their employment-related interests and lock-outs are used by employers to support their demands. Industrial action is recognised in South Africa and the right to strike is entrenched in the Constitution, which guarantees every worker the right to strike. However, the Constitution, does not grant employers the right to lock-out employees as this right is implied in the express protection of the constitutional right to bargain collectively. This is given effect to by 21 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 the LRA, which provides that every employee has the right to strike and every employer has recourse to lock-out. You must be able to distinguish between the different types of industrial action and to know when such action will be protected in terms of the LRA. In addition to the above, this STUDY UNIT also discusses the limitations on the right to strike and on recourse to lock-out in terms of section 65 of the LRA. These are instances where employees may not strike and employers may not lock-out employees. Examples of these limitations are where there is an agreement that regulates the issue in dispute and where workers are engaged in essential services. The legal consequences of protected and unprotected strikes and lock-outs are also discussed in this STUDY UNIT. Why do you think it is important for employees to have the right to strike? 4.3 IMPORTANT MATTERS TO UNDERSTAND (a) Legislative protection of the right to strike and lock-out Study paragraph 2 of chapter 14 of the prescribed book. As stated above, the Constitution protects the right of every worker to strike, but does not grant employers the right to lock-out employees. Both the right to strike and recourse to lock-out are regulated and protected by Chapter IV of the LRA. Neither of these rights is directly protected in terms of ILO conventions, but indirectly through Conventions 87 (Freedom of Association and Protection of the Right to Organise Convention) and 98 (Right to Organise and Collective Bargaining Convention). (b) Protected industrial action Both strikes and lock-outs must comply with the following requirements in order to be protected: the action must comply with the definition of “strike” or “lock-out”; it must comply with the procedural requirements in terms of section 64 of the LRA; and there should not be any limitations in terms of section 65 of the LRA. Requirement 1: Definition The action has to comply with the definition of a strike and a lock-out to qualify for protection. Study the definitions of these two concepts in paragraphs 4.2 and 4.3 of chapter 14 of the prescribed book. Each definition has important elements that you should know. The three elements of a strike are (study these elements under paragraphs 4.2.1 – 4.2.3 of chapter 14 of the prescribed book): Refusal to work The refusal can be partial or complete, or the retardation or the obstruction of work. Work includes overtime work. by persons employed by the same or The right to strike 22 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) cannot be exercised lOMoARcPSD|12846732 LLW2602/501/3/2020 different employers individually; there must be collective action. for the purpose of remedying a If there is no dispute of mutual interest between grievance or resolving a dispute in the parties, the action will not comply with the respect of any matter of mutual interest definition. between an employer and employee. In line with Ubuntu collective labour law promotes oneness even when it comes to strikes, as an individual employee is not allowed to engage in a strike action. This emanates from the Sepedi expression that ‘kopano ke matla’ (unity is power). The right to strike can therefore only be exercised collectively. The two elements of a lock-out are as follows (study these elements under paragraphs 4.3.1 and 4.3.2 of the prescribed book): The exclusion of employees from the It is not a lock-out if the employer excludes an employer’s workplace individual employee from the workplace. for the purpose of compelling them to If the purpose is not to compel employees to accept a demand in respect of any accept a demand in respect of a matter of mutual matter of mutual interest. interest, the action will not comply with the definition. Take note that for an action by employees to constitute a strike and for an action by the employer to constitute a lock-out; all the stated elements in the definition must be present. It is important to understand these definitions because if an action does not fall within the prescribed definition, it will not constitute a strike or lock-out and it might even be regarded as a breach of contract or a delict (which could result in a claim for damages). Requirement 2: The procedural requirements for strikes and lock-outs Study paragraph 5 of chapter 14 of the prescribed book in this regard. Through the procedural requirements, the LRA provides the rules for fair play in collective bargaining. A strike or lock-out will be protected if these requirements have been met, except in a few exceptional cases that will be discussed later. The purpose of the procedural requirements is to give parties the opportunity to try to resolve their disputes before they engage in a strike or lock-out. The following are the procedural requirements prescribed by the LRA in order for strikes and lock-outs to be protected: (i) The issue in dispute. The LRA requires that there must be an issue in dispute. In addition, it requires that the parties must try to resolve the issue by first referring it to a bargaining council (if there is one for the sector) or to the CCMA (if there is no bargaining council), for conciliation. (ii) Certificate of outcome. The forum to which the dispute was referred must attempt to resolve it through conciliation within 30 days of the referral. If no agreement is reached, a certificate must be issued to indicate that the matter has not been resolved. (iii) Notice. If the matter is not resolved or 30 days have passed, the LRA prescribes that at least 48 hours’ written notice must be given before the commencement of the strike or 23 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 lock-out. In cases where the state is the employer, at least seven days’ notice must be given. Where the employer is a member of an employers’ organisation, notice must be given to the employers’ organisation. This promotes fairness which is a constitutional value and is in line with Ubuntu, as the employer is informed in advance that action will be taken against it. It gives an employer an opportunity to prepare itself for the looming action. ACTIVITY 1 Read through the following set of facts and decide whether the actions fall within the first element of the definition of a strike: Members of Together We Win Union, working in the packaging department of Aroma Soaps, embark on an action in terms of which they report for duty every morning, but refuse to work during the lunch-time period. Employees in the dispatch section of Cheap Cements lock the doors to their section and refuse to dispatch any cement for a few hours every day, however, during this time they carry on packing the cement bags which are within their section. FEEDBACK 1 The actions in both of the above examples comply with the first element of a strike. Both constitute partial refusals to work. In the first case, the employees are refusing to work their full hours. In the second case, they are refusing to perform all the tasks allocated to them. Remember that although these actions fall within the first element of the definition of a strike, this does not mean that they are strikes. For this to be the case, the other elements of the definition must also be complied with. The LRA does not prescribe the details that the notice must contain; it only prescribes that it must be in writing and must be issued at least 48 hours before the action. The exceptions where the parties do not need to follow the procedures prescribed by the LRA are the following: where the parties to the dispute are members of a bargaining council and the dispute followed the procedure prescribed by that council’s constitution where the parties are party to a collective agreement which prescribes the procedures to be followed before a strike or lock-out, and those procedures have been followed where employees strike in response to an unprotected lock-out or the employer resorts to a lock-out in response to an unprotected strike where the strike takes place because the employer has unilaterally changed the terms and conditions of employment, and the employer has failed to rectify this despite prior warnings Where an employer refuses to bargain with a union, the dispute must be referred for advisory arbitration, after conciliation has failed, before notice of the strike can be issued 24 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 Requirement 3: Prohibitions or limitations on strikes and lock-outs Study all these limitations under paragraph 6 of chapter 14 of the prescribed book. The rights in the Bill of Rights may be limited in terms of section 36 of the Constitution. In view of this provision, in its section 65, the LRA limits or prohibits the right to strike and recourse to lock-out. If a strike or lock-out takes place in spite of these limitations or prohibitions, the strike or lock-out will be unprotected, even if the procedural requirements discussed above have been met. In terms of the LRA, strikes and lock-outs are prohibited in the following circumstances: striking or locking out is prohibited in a If the parties agreed that they would not engage collective agreement in industrial action on a certain issue, they are not allowed to do so. arbitration is prescribed by agreement Parties are bound by any agreement in terms of which the particular issue should be arbitrated. the parties have a right to refer a dispute If a party has the right to refer the dispute to to arbitration or adjudication arbitration or to the Labour Court for adjudication, that party may not resort to a strike or lock-out in order to resolve the dispute. employees who work in essential or maintenance services. Make sure you understand this important limitation, discussed under paragraphs 6.6.1 and 6.6.2 of your prescribed book. Employees who are engaged in the provision of essential and maintenance services are prohibited from striking, unless there is an agreement regarding minimum services. an award or agreement or determination No one may take part in a strike or a lock-out if regulates the issue he or she is bound by an arbitration award or an agreement or a determination by the Minister of Labour that regulates the issue. (c) Secondary strikes Study paragraph 7 of chapter 14 of your prescribed book and make sure that you understand how a secondary strike differs from a primary strike (discussed above). A primary strike is the main strike by employees who have a dispute with their employer. A secondary strike is by employees who are employed by another employer (secondary employer), who do not have a dispute with their employer. A secondary strike is in support of employees who are engaged in a primary strike. A secondary strike will therefore be protected if first, the primary strike is protected; second, if strikers gave their employer seven days’ written notice before the strike and third, if the harm to the secondary employer is not more than that which is necessary to make an impact on the primary employer. Through secondary strikes also known as sympathy strikes, employees show solidarity and sympathise with other workers who are in dispute with their employer. This is solidarity in action which is in line with Ubuntu which requires that people should support those who are in need of support. 25 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 Do you think it is necessary and fair to have secondary strikes? (d) Legal consequences of strikes and lock-outs (i) Protected strikes and lock-outs Study paragraph 8 of chapter 14 of the prescribed book. The action by employees or the employer will be protected if all the requirements set by the LRA are met. Consequently, the employees and the employer (whatever the case may be) will enjoy the following protection: The employee may not be dismissed, except in the case of misconduct and for the operational requirements of the business. The action by the employer or the employees does not constitute a delict or breach of contract. The employer may not discriminate against the employee because of his or her involvement in the strike. No claims for compensation can be instituted against employees or employers. This is in line with the constitutional value of fairness and Ubuntu, which encourages compliance with the rules. Those who comply with the rules should be protected, however, there must be consequences for those who do not comply with the rules as will be seen below. Given the above, what is your opinion about strikes and violence in South Africa? Other consequences for a protected strike (ii) No claim for compensation against employees engaged in a protected strike The employer does not have to pay employees who are on strike or are locked out, since the "no work, no pay" rule applies. What is your opinion about this rule? Take note that where the remuneration of employees include payment in kind in the form of accommodation, the provision of food and other basic amenities of life, the employer may not withhold that payment in kind during the strike or lock-out. However, the employees must request that the payment in kind continues. No replacement labour may be used by the employer if the service is designated as a maintenance service or the employer embarks on an offensive lock-out. Unprotected strikes and lock-outs Study paragraph 9 of chapter 14 of the prescribed book The following are the consequences of an unprotected strike or lock-out: Interdict The Labour Court has jurisdiction to grant an interdict or an order restraining any person from participating in or acting in contemplation or furtherance of an unprotected strike. 26 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 Compensation The Labour Court may order the payment of "just and equitable compensation" to either employees or employers who suffered any loss caused by an unprotected strike or lock-out. This is in line with African practice where in the ‘Kgoro’ if a person who caused damage to another is found guilty, such as person may be required to pay damages or to compensate the victim for the damage caused. This is also in line with the Ubuntu principle of fairness entrenched in the Constitution. Dismissal of strikers Employees who participate in an unprotected strike, or who commit certain forms of conduct in contemplation or furtherance of an unprotected strike, may be dismissed. Participation in unprotected action will be the reason for such a dismissal. The Code of Good Practice: Dismissal provides that participation in an unprotected strike constitutes misconduct. However, as is the case with any other act of misconduct, participation in an unprotected strike does not necessarily justify dismissal as the dismissal will only be fair if it is both substantively and procedurally fair. This again encourages the constitutional value of fairness and is in line with Ubuntu according to which a person cannot be punished unless it is clear that he/she failed to comply with certain rules or failed to follow a certain prescribed procedure. Substantive fairness of dismissal for participation in an unprotected strike Study paragraph 9.3.1 of chapter 14 of the prescribed book. The Code of Good Practice: Dismissal requires that the substantive fairness of the dismissal of strikers who participated in an unprotected strike must be evaluated in the light of the following: the seriousness of the failure to comply with the LRA attempts to comply with the provisions of the LRA, and any unjustified conduct by the employer Procedural fairness of dismissal for participation in an unprotected strike Study paragraph 9.3.2 of chapter 14 of the prescribed book. The Code of Good Practice: Dismissal requires that the dismissal of strikers who engaged in an unprotected strike must be procedurally fair, and it sets out the procedure to be followed as follows: The employer is required to contact a union official "at the earliest opportunity" before dismissing the strikers. The purpose of this contact is to discuss the course of action the employer intends to follow and to give the union the opportunity to persuade the employer not to dismiss the strikers and for the workers to return to work. The employer must give the strikers an ultimatum before dismissing them. The following factors are important regarding the ultimatum: the purpose of an ultimatum is to convince strikers to return to work the ultimatum must be communicated to the strikers in a medium they understand 27 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 the ultimatum should be issued in their own language the ultimatum must be clear and unambiguous, leaving no doubt as to what is expected of them the time set in the ultimatum should be reasonable, in other words it must allow sufficient time for workers to receive and digest the ultimatum, to hold meaningful discussions with their union and to take rational decisions if the ultimatum is issued to a collective bargaining representative (a union representative) within a reasonable time, it would constitute sufficient notice to employees. Once the strikers have complied with the ultimatum, the employer can no longer take disciplinary action against them for taking part in the unprotected strike. If the workers, however, elect not to make representations, their dismissal will not be considered to be procedurally unfair. In circumstances where it cannot reasonably be expected from the employer to issue an ultimatum, the employer may summarily dismiss the strikers. ACTIVITY 2 Answer the following questions: Discuss whether employees who participate in a protected strike may at all be dismissed. FEEDBACK 2 Employees who participate in a protected strike may not be dismissed for their participation, otherwise that will amount to an automatically unfair dismissal. However, employees who participate in a protected strike may be dismissed if they commit acts of misconduct or for operational reasons. 4.4 SELF-ASSESSMENT QUESTIONS Question 1 Indicate whether the following actions will constitute a strike action and provide reasons for your answer. Action 1: Employees employed by Shining Granites decide to disrupt production. Half of them refuse to work during the morning of each day and the other half during the afternoon. The purpose of their action is to compel the employer to stop taxi drivers from harassing ladies employed by the company at the taxi rank. Action 2: Employees in a spice factory deliberately produce fewer spices than they normally do in order to compel the employer to increase their salaries. Action 3: Employees who work for Core Stone Mine refuse to work underground because they consider the conditions unsafe. After an investigation, the mine is declared safe; however, the employees still refuse to work. Action 4: Employees represented by trade unions affiliated to GFTU engage in an action 28 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 against the new tax system introduced by the government. Question 2 An employer faced with a protected strike can . 1 2 3 4 5 dismiss the striking employees for participating in the strike dismiss employees who are not striking for refusing to do the jobs of the protected strikers promise to pay a bonus to all those strikers who decide to return to work dismiss the striking employees on the basis of operational requirements approach the Labour Court for an interdict prohibiting the strike action Question 3 SAAS is a factory situated in Pretoria and it supplies car paints to Car Paints (Pty) Ltd, a company which sells car paints in Pretoria. Paint Workers Union (PWU) has been trying to negotiate with Car Paints (Pty) Ltd for a change in the shift system without success. PWU embarks on a protected strike to compel Car Paints (Pty) Ltd to accept their demand. After hearing about the dispute, members of PWU employed by SAAS go on strike in support of the demand. What is the strike by employees of SAAS called and what requirements must be complied with for the strike to be protected? 29 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 STUDY UNIT 5 PICKETS AND PROTEST ACTION OUTCOMES After completing this STUDY UNIT, you must be able to do the following: define a picket and a protest action mention and explain procedural requirements for a protected picket mention and explain procedural requirements for a protected protest action 5.1 PRESCRIBED MATERIAL Chapter 15 of the prescribed book 5.2 INTRODUCTION KEY TERMS: picket; protest action In this STUDY UNIT other forms of industrial action such as pickets and protest action are discussed. Often employees and trade unions pursue other, broader interests beyond the workplace, in order to advance economic interests. However, they may not use strike action for this purpose. The LRA affords employees and trade unions the right to participate in a protest action as a form of industrial action in pursuit of socio-economic interests. This shows that trade unions play a wider role in society more than just work-related matters. Trade unions often engage in campaigns that go beyond matters of mutual interest between employers and employees. Trade unions and their federations in South Africa played an important role in putting pressure on the government in order to bring political changes in the country. These also shows Ubuntu as the interests pursued by workers are socio-economic interests which benefit not only workers, but the society as a whole. 5.3 IMPORTANT MATTERS TO UNDERSTAND 5.3.1 Picketing A strike is the most effective weapon that trade unions and employees can use against employers, however, in order to exert more pressure on the employer during a protected strike, trade unions may encourage their members to engage in another action, called a picket, to advance the object of the strike. A picket is therefore conduct in contemplation or furtherance of a strike. A picket shows solidarity for employees, which is inherent in Ubuntu. A picket serves to raise greater awareness and binds a group of people together for one cause. Study paragraph 2.2 of chapter 15 of your prescribed book and item 3(1) of the Code of Good Practice: Picketing regarding the purpose of a picket. Do you think it is necessary to for employees to picket if they are on strike? 30 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 (a) Requirements for protected pickets During a picket, employees may stand at or near their workplace to try to persuade employees not on strike to strike or to convince customers or suppliers of the employer not to deal with the employer. As is the case with strikes and lock-outs, a picket will be protected if it complies with certain requirements. The action must comply with the definition of a picket and with the procedural requirements set by section 69 of the LRA. This again encourages the constitutional value of fairness and is in line with Ubuntu which encourages compliance with the rules and promotes peace between the parties. An action by employees which does not comply with the set procedure will not be protected. Requirement 1: Definition Study paragraph 2.2 of chapter 15 of the prescribed book. The purpose of the action must be to encourage non-striking employees and members of the public peacefully to oppose any lock-out or to support a protected strike. Requirement 2: Procedural requirements In terms of section 69 of the LRA, the requirements are the following: The picket must be authorised by a registered trade union. Unregistered trade unions and employees on their own cannot authorise a picket. This encourages trade unions to register and be regulated. The picket must be for the purpose of peacefully demonstrating. Intimidation and violence will result in civil and criminal liability. This peaceful element of a picket is an important element of Ubuntu, which discourages violence. The picket must be in support of a protected strike or in opposition to any lock-out. Pickets in support of unprotected strikes will not be protected. Pickets may take place at any place to which the public has access, but are usually held outside the premises of an employer. A picket may even be held on the premises of the employer, on condition that the employer gives permission for this. Such permission may, however, not unreasonably be withheld. Study paragraph 2.4 of chapter 15 of the prescribed book regarding where picketing can take place. Study paragraph 2.5 of chapter 15 of the prescribed book regarding picketing rules and conduct during a picket. (b) The legal consequences of protected and unprotected pickets Study paragraph 2.6 of chapter 15 of the prescribed book. As is the case with strikes and lock-outs, there are legal consequences to pickets that are protected and to those that are unprotected. This again encourages employees and their trade unions to comply with set requirements. The following are the legal consequences of a protected picket: An employee who takes part in a protected picket does not commit a delict or breach of contract. 31 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 The employer may not sue employees or their trade union for damages suffered during a protected picket. No disciplinary action may be taken against an employee for participating in a protected picket, except for acts of misconduct (such as intimidation or threatening others). The consequences of an unprotected picket are exactly the opposite of those of a protected picket. ACTIVITY 1 Members of Ultimate Power Union engage in a picket in support of a demand that the government should change the tax system. Discuss whether the action will indeed qualify as a picket in terms of the LRA. FEEDBACK 1 The action will not qualify as a picket in terms of the LRA, as a picket must be in support of a protected strike or any lock-out. The demand mentioned above is not a matter of mutual interest between the employer and employee, but it is a socio-economic matter. 5.3.2 Protest action After studying protest action, you must be able to explain its purpose and how it differs from the purposes of a strike action and a picket. (a) Requirements for protected protest action There are two requirements for protected protest action: the action must comply with the definition of protest action, and with all the procedural requirements in terms of section 77. Requirement 1: Definition of protest action At times, employees and trade unions pursue interests of more general importance (beyond those of the workplace) in order to advance economic development (COSATU and other federations have engaged in various campaigns for this purpose). However, they cannot strike for these purposes. The LRA affords employees and trade unions the right to engage in protest action as a form of industrial action in order to pursue socio-economic interests. Study the definition of protest action in paragraph 3.1 of chapter 15 of the prescribed book. Take note that the difference between a strike and protest action lies in the purpose of the actions. The purpose of a strike is "to remedy a grievance or resolve a dispute in respect of any matter of mutual interest between employer and employee", whereas the purpose of a protest action is "to promote or defend the socioeconomic interests of workers". Ubuntu is demonstrated in protest action where workers pursue not only their interests but also the interests of others. Through protest action workers put pressure on the powers that be (government) to give attention to socio-economic issues. During these actions employers are not required to pay employees because they will not be performing their duties as per 32 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 their contracts of employment. Workers therefore sacrifice (their wages) for the benefit of all, which is an element of Ubuntu. Do you think a protest action is important? Requirement 2: Procedural requirements Study paragraph 3.2 of chapter 15 of the prescribed book. Please note that employees engaged in essential and maintenance services may not take part in protest action. Protest action will be protected if it complies with the following procedural requirements: (b) A registered trade union or federation of trade unions must call the action. The National Economic, Development and Labour Council (NEDLAC) must be informed of the protest action, its nature and the reason for the action. NEDLAC or any other appropriate forum must have considered the matter that gives rise to the protest action. NEDLAC must have been given 14 days’ notice of the intention to protest. Legal consequences of protected and unprotected protest action Study paragraph 3.3 of chapter 15 of the prescribed book. If a protest action meets the above procedural requirements it will be protected. No civil claim may be brought against participating employees and they may not be dismissed for their participation in the action. However, in terms of section 77(4) of the LRA the action will not be protected if employees participate in protest action in breach of a Labour Court order or when employees otherwise act in contempt of an order of the Labour Court made in terms of section 77. If the action is not protected, employees may be interdicted and damages may be claimed from employees who participated in the action. Such employees may also be fairly dismissed. ACTIVITY 2 Members of trade unions affiliated to the Trade Unions of South Africa are engaged in an action in terms of which they demand a change in the education system which has just been introduced by the government. Discuss whether these workers are engaged in a strike action or a protest action. FEEDBACK 2 The action by workers will not qualify as a strike action because its purpose is not to remedy or resolve any dispute with regard to matters of mutual interest between employees and their employers. Instead the action will qualify as a protest action because it relates to socioeconomic interests of workers. 33 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com) lOMoARcPSD|12846732 LLW2602/501/3/2020 5.4 SELF-ASSESSMENT QUESTIONS Question 1 Which ONE of the following is NOT a requirement for a protected picket? (a) (b) (c) (d) (e) The picket must be authorised by a registered trade union. The picket must be peaceful. The picket must be in support of a protected strike. The picket must, if it is not in support of a strike, be in opposition to any lock-out. The employer must give permission, which (permission) may not be unreasonably withheld, for the picket to go ahead. Question 2 Can employees engaged in essential services take part in protest action? Best wishes with your studies! YOUR LECTURERS 34 Downloaded by vinolia dombeni (vinoliadombeni@gmail.com)