The EFF condemns the covert section 189 process that is underway at the South African Broadcasting Corporation (SABC), which has been rolled out along with a framework for restructuring and recruitment into the various divisions of the SABC. The LRA in section 189(2) prescribes the consideration of certain factors during the consultation process, one of which is “the method for selecting the employees to be dismissed”. These are defined as requirements based on economic, technological, structural or similar needs of the employer. The goal here is to let as many employees, as possible, keep their jobs. In this case, the applicant alleged that he is a consulting party as contemplated in Section 189 (1) of the LRA. The airline is adamant that it informed the unions of its intention to issue a Section 189 notice which facilitates the retrenchment process. Furthermor… Procedurally, retrenchments are not a problem - the procedure is clearly laid down step-by-step in section 189 and 189A of the Labour Relations Act. 190(4) No partial dissent. R 9 750.00 Employers must remember that the ultimate decision whether a retrenchment is fair, lies with the courts. Should this occur, and the delegate chooses not to attend the next available date of the relevant event, the registration fee will be credited on the delegate’s account. The purpose of this consultation is that the parties must engage in a “meaningful joint consensus-seeking process” and attempt to reach an agreement on possible ways to avoid or postpone the impending retrenchments. Subsequently, the following seems to be the test in determining whether a “meaningful joint agreement-seeking” consultation was held prior to retrenchments being effected: that the employees or their representative union were afforded a fair opportunity to meet with the employer and voice their suggestions on avoiding or postponing the envisioned retrenchments. Employees are often faced with the fear of retrenchment when a company is being sold or when a company embarks on a restructuring exercise. NUM has interdicted the Section 189 process at Village Main Reef to ensure its members are fairly compensated amid the company’s restructuring plans … What is the current Section 189 procedure? Published on 13 Mar 2015 Hugo Pienaar & Sihle Masango On 3 March 2015, the Labour Appeal Court (LAC) ruled that the Court's prior interpretation of the validity of termination notices that are issued in violation of s189A(8) of the Labour Relations Act, No 66 of 1995 (LRA) was incorrect. 189(3) Extraordinary sale, lease or exchange. Section 189 of the Labour Relations Act (hereinafter called “the Act”) relates to the dismissal of employees based on operational reasons and prescribes a very clear procedure to be followed in the event of such retrenchments. 189(9) Termination. Retrenchments and business restructuring. If the event is cancelled, delegates will be notified no less than 3 working days prior to an event. These are defined as requirements based on economic, technological, structural or similar needs of the employer. Procedurally, retrenchments are not a problem - the procedure is clearly laid down step-by-step in section 189 and 189A of the Labour Relations Act. Provided that the employer follows that procedure - even if it may seem a bit onerous or time consuming to do so - the employer would not be found lacking on procedural fairness. Section 189(A) of the Basic Conditions of Employment Act: If the relevant employer plan to implement retrenchments on a major scale due to operational reasons, he must adhere to the requirements enforced by the Act. This article will focus on what is expected of the parties in order to satisfy the Act’s requirement of a “meaningful joint consensus-seeking process”. They may only do so if they are restructuring and certain positions becomes redundant as a result of the restructuring, or if they are in financial difficulties. The Act requires the employer to allow the other consulting party an opportunity during consultation to make representations on the avoidance or postponement of the retrenchments, among other things. a flat daily rate of, + a daily fee for each Introduction to Organisational Rights through a magnifying glass. The public broadcaster has given out letters of redundancy or surplus to hundreds of staff members as its retrenchment process unfolds.Around 300 people are expected to lose their jobs. The employer must consult with the above-mentioned individuals in writing. But what would constitute a legitimate reason for proposing a retrenchment? Procedurally, retrenchments are not a problem - the procedure is clearly laid down step-by-step in section 189 and 189A of the Labour Relations Act. Employers need a vigorous platform to assist them in a meaningful way. 1.1) WHEN MUST CONSULTATION COMMENCE Act, 66 of 1995 (LRA), regarding the possible restructuring of its gold operations and associated services, pursuant to ongoing financial losses experienced at the Beatrix 1 and Driefontein 2,6,7,8 shafts during 2018. Section 189 Restructuring Process: Compliance in times of Covid-19 4-hour Zoom event Friday 30th October: 09h00 - 13h00 The public broadcaster on Monday issued notice to staff of its intention to proceed with controversial restructuring in terms of Section 189 of the Labour Relations Act. Director means the Director appointed under section 260; (directeur) ... the Winding-up and Restructuring Act; and (c) the provisions of a Special Act, as defined in section 87 of the Canada Transportation Act, that are inconsistent with this Act. The Code of Good Practice on Operational Requirements, paragraph 5, clearly states that proper consultation will include the opportunity for the employer to meet and report back to employees/union, the opportunity for the employees/union to meet with the employer and the request, receipt and consideration of information by either party. Permalink Reply Quote Printer Friendly. The Labour Relations Act No. Am 32 years old, am working in the company of pvc industry company,. NUM has interdicted the Section 189 process at Village Main Reef to ensure its members are fairly compensated amid the company’s restructuring plans … If you would like to run this course in-house at your company, please contact us and will will get back to you ASAP. The initiation of a Section 189 consultation process follows numerous initiatives to … 190(5) Objection. Initiating a Section 189 Restructuring Process 2-day course Employees may have concerns, complaints, dissatisfaction or a feeling of injustice related to workplace relationships or the work environment. This notice summarized all the objectives referred to above. In accordance with Section 189 (3) of the Labour Relations Act, your employer, XXX (Pty) Ltd, (hereinafter referred to as "the Company") issues you with this notice and thus invites you to consult with it regarding a proposal dealing with the potential operational Throughout this specific section, the Act obliges the employer to consult both the affected employee(s) and/or union on the envisioned retrenchments. Retrenchments and the LRA Section 189 of the Labour Relations Act 66 of 1995 (LRA), as amended, permits an employer to dismiss employees for operational requirements or reasons. In 2014, Aveng initiated a section 189 retrenchment process in the wake of a decline in the company’s profits. Section 189 of the Labour Relations Act (hereinafter called “the Act”) relates to the dismissal of employees based on operational reasons and prescribes a very clear procedure to be followed in the event of such retrenchments. This section must be signed off by a person in your company who has the authority to purchase this course/package/s. Sibanye Gold enters into section 189 consultation process regarding possible restructuring of its support services functions August 15, 2013. They may only do so if they are restructuring and certain positions becomes redundant as a result of the restructuring, or if they are in financial difficulties. No. The applicant submitted that the number disclosed by the respondent in its notices was only three. by Thabo Baloyi. 190(6) Notice of resolution. Please ensure that you fill in all the necessary requirements before submitting the form. Operational requirements are defined under the Labour Relations Act (LRA) as “requirements based on the economic, technological, structural or similar needs of an employer”. Yes, you may send someone else in your place. Acting Chief Executive Officer, Zuks Ramasia said the airline has commenced a consultation process with all employees in line with section … Once the Company contemplates retrenchments it must prior to making a decision advise and consult with the employees or their designates and follow the provisions contained in Section 189 of the Labour Relations Act, which provides that the Employer must:- Determine which employees will be affected by the proposed termination; Section 189(1) of the LRA provides for a hierarchy in relation to consultation for purposes of restructuring exercises, known as the cascade principle. All cancelled registrations will receive a training credit, which can be used within a calendar year. They need a voice that will do for them what COSATU does for unions and their members. Reasons for the ConCourt’s majority judgment. The Economic Freedom Fighters (EFF) has condemned what it terms “the covert section 189 process” which is currently under way at the South African Broadcasting Corporation (SABC).. Read More, © Copyright 2017 Consolidated Employers Organisation | Ref. Restructuring Changes That May be Considered Constructive Dismissal Only changes to the essential terms of the employment contract will allow the employee to reject the change and conclude that he or she has been dismissed. Section 189 of the Labour Relations Act, No 66 of 1995 (LRA) applies when an employer contemplates dismissing one or more of its employees for reasons based on its operational requirements ie the employer's economic, technological, structural or similar needs. Section 197 of the LRA states the following – Good day. We can tailor-make this course, or customise any combination of courses to suit your organisation’s needs. retrenchment in terms of section 189 and 189A of the Labour Relations Act 66 of 1995 (the LRA). TOPIC: Restructuring/Section 189/apply for other Positions; Anonymous Date: Feb 3, 2019. Delegates will be notified no less than 3 working days prior to an event. The procedure that a company needs to follow in order to reduce staff is set out in section 189. 190(1) Right to dissent. “On 11th of November, SAA issued a written notice to all recognised unions within SAA, in line with the LRA; this was after SAA scheduled a meeting with unions on the same day. Section 189 of the Labour Relations Act (“LRA”) permits employers to dismiss employees for operational requirements. If you would like to purchase a package, please fill out the booking form. Section 189A(1) applies to employers that employ 50 or more employees and intend to retrench the following number of employees: • 10 employees, if the employer employs up to 200 employees • 20 employees, if the employer employs more than 200, but not more than 300, employees • 30 employees, if the employer employs more than The first thing that must be discussed is how to avoid a retrenchment. 190(2.1) If one class of shares. of Section 189(3) of the Labour Relations Act 66 of 1995. As a point of departure, the LRA requires that employers must consult with any person with whom it is required to consult in terms of a collective agreement (section 189 (1) (a)). Facilitated by the Commission for Conciliation, Mediation and Arbitration (CCMA), the Section 189 consultation process at Cooke, which began on 12 September 2014, culminated in an agreement with employees and organised labour on 12 November 2014. Copyright 21st Century (2016) | All Rights Reserved, Initiating a Section 189 Restructuring Process, In this time of Covid-19 we will be offering our courses either face-to-face or online via Zoom. I have purchased a package that I won't be using. Realistic scenarios necessitating retrenchment would include, but are not limited to, issues relating to the financial well-being of the business (economic), new technology making an employee’s position obsolete/redundant (technological) or corporate restructuring post-merger (structural), or a combination of these requirements. 190(2) Further right. Fredericks addressed the media in Johannesburg. It was unsuccessful in both the Labour Court and Labour Appeal Court, after which the union turned to the Constitutional Court. Restructuring/Section 189/apply for other Positions. An employer who employs 50 or less employees is subject to the process (set out in section 189 of the LRA) that sets out what their procedural and substantive obligations are to maintain a fair retrenchment process. As a point of departure, the LRA requires that employers must consult with any person with whom it is required to consult in terms of a collective agreement (section 189(1)(a)). This is because the aim of the exercise is normally to avoid potential forced [4] On the other hand, the respondent submitted that section 189A applies and that consequently this Court’s jurisdiction to enquire into procedural fairness is ousted by section 189A(18) of the LRA. Please inform us – IN WRITING – of the new name for registration purposes at least one working day prior to the event. ... “The section 189 process began with the issuing of the notice in June 2020 and, after an intensive nine-month period, will conclude on 31 March 2021. Yes, provided that you do so – IN WRITING – at least 15 working days prior to the event. Line Managers, Human Resource Professionals, Unions, Employees. COOKE 4 SECTION 189 PROCESS. In the case of large scale retrenchments (section 189A) either party may request facilitation through … Can I get a refund? In 2014, Aveng initiated a section 189 retrenchment process in the wake of a decline in the company’s profits. Can I send a substitute in my place - and will there be a cost involved? Section 189 (1) of the LRA provides for a hierarchy in relation to consultation for purposes of restructuring exercises, known as the cascade principle. Section 189 Retrenchment Process and the Employee’s proposals in the avoidance and/or postponement of retrenchments. SA Airways (SOC) Ltd (In Business Rescue) and Others v National Union of Metalworkers of SA on behalf of Members and Others (2020) 41 ILJ 2113 (LAC) The previously discussed case of NUMSA and Another v SAA and Others (LC) (unreported case no J424/20, 8-5-2020) (Van Niekerk J), discussed by Moksha Naidoo ‘A … This is as the embattled public broadcaster forges ahead with its plans to cut just over 300 permanent jobs as part of its restructuring plans. At the end of this course participants will be able to: 21st Century ED offers one and two-day courses that cover all areas of Remuneration and HR. If you – or any company employees – would like to attend more than one public training course, or more than one person from your company would like to attend any of the courses, we highly recommend purchasing one of our packages. As a point of departure, the LRA requires that employers must consult with any person with whom it is required to consult in terms of a collective agreement (section 189 (1) (a)). ... when will we know that the section 189 is over. If you have not received confirmation – IN WRITING – of your booking five working days before the event, please contact us on +27 11  447  0306  to confirm that we have received your registration. Section 197 of the LRA states the following – Pre-retrenchment consultation is not merely a box to be ticked on a checklist in order to adhere to the procedural requirement of the retrenchment process. 189(6) Right to vote. Once invoiced, there will be no refunds. However, the Act now requires the consulting parties to attempt to reach an agreement on the avoidance or postponement of retrenchments, and this goes much further than the ordinary meaning of a consultation as just mentioned. What are my rights in the event of changes to programme content, speakers, venue or dates? The S189 of the LRA permits employers to dismiss employees for operational requirements based on economic needs (eg, financial management), technological needs (eg, introduction of new technology), structural needs (eg, the reduction of posts due to restructuring) or similar needs of the employer. 189(4) Notice of meeting. Should this restructuring potentially result in retrenchments (dismissal for operational requirements), then section 189 of the Labour Relations Act sets out very specific requirements which the employer must adhere to. The public broadcaster on Monday issued notice to staff of its intention to proceed with controversial restructuring in terms of Section 189 of the Labour Relations Act. Consult with any person who represents the affected person in terms of a collective agreement, registered trade union or workplace forum (Section 189 (1)); Issue a written notice calling on all the affected persons (employees) or any other consulting party to consult with the Company, as well as disclosing in the notice all relevant information to the proposed dismissals, including: New employees will be employed once interviews are done. The current retrenchment procedure, as outlined by the Department of Labour, starts off with a consultation process. This does not mean that the employer is obliged to entertain any delay-tactics from the employee(s) and/or union. What is the current Section 189 procedure? The Labour Relations Act No. Labour law: The interpretation of Section 189A. For this reason, employers should refrain from rushing the consultation process. SABC sheds over 20% of its workforce after ‘difficult’ restructuring By Staff Reporter 30 March 2021 No Comments. If you choose to reschedule in this time you will be charged the FULL FEE and will not receive a training credit. the restructuring process. In January Sibanye-Stillwater reported that 1 142 employees have been retrenched following Section 189 restructuring at its Marikana operation. This started a while ago and have consulted with unions. Need some information or advice or direction... Company I am working for is busy with section 189 retrenchments. It cited sections 23(1)(d) and section 189(1) of the LRA as constitutionally invalid. * Please note that we need a minimum of 5 delegates in order to run this course. The SABC has announced it is ready to implement Section 189 of the Labour Relations Act . THE SECTION 189 RETRENCHMENT PROCESS IN TERMS OF THE LABOUR RELATIONS ACT Section 189 of the Labour Relations Act (“LRA”) permits employers to dismiss employees for operational requirements. Applicability: This section applies to every company including banking and insurance company In early 2014, the employer, (respondent) underwent a restructuring exercise and the applicant was going to be affected by the proposed restructuring. It is, however, advisable that employers take steps to showcase their attempts to obtain feasible suggestions from the employee(s) and/or union regarding whether, in their opinion, retrenchments could be avoided or postponed. Section 189(8) and (13) providing urgent court application or immediate industrial action as remedies for procedural flaw - non-compliance with section 189A(8) of the LRA was not intended to result in the invalidity or nullity of any ensuing dismissals. restructuring of the Employer’s enterprise. Provided that the employer follows that procedure - even if it may seem a bit onerous or time consuming to do so - the employer would not be found lacking on procedural fairness. In terms of Section 189 of the Labour Relations Act, a joint consensus-seeking process is prescribed in an attempt to, inter alia, reach consensus on implementing appropriate measures to minimise job losses.
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