Dr Michael Cardo

Dear MyPE The Democratic Alliance (DA) believes that the above-inflation minimum wage increases gazetted yesterday by the Minister of Employment and Labour will lead to further job losses at a time when unemployment is already rampant and rising. The National Minimum Wage (NMW) has been increased by 4.5%. The minimum wages for domestic workers and farm workers have been increased by 23% and 16% respectively. Few sectors will be able to absorb such steep increases at a time of serious … [Read more...] about Mandatory above-inflation minimum wage increases will lead to job losses

Dear MyPE Reports that the Unemployment Insurance Fund (UIF) has decided not to extend the Temporary Employer-Employee Relief (Ters) scheme will come as a severe blow to cash-strapped workers in sectors of the economy hobbled by the adjusted level 3 lockdown. This is especially true for the tourism, hospitality and liquor industries. The UIF’s about-turn on the extension, after weeks of seemingly positive talks at Nedlac, is apparently informed by a report compiled by the Fund’s … [Read more...] about Non-extension of Ters: UIF must account to Parliament

Dear MyPE The Democratic Alliance (DA) condemns the decision by the Minister of Employment and Labour, Thulas Nxesi, to extend an agreement with the Bargaining Council for the Fast Food, Restaurant, Catering and Allied Trades to all employers and employees in the industry. The extension of this agreement, and its enforcement, will deliver the death-blow to an industry that has been battered over the past year and is already on its knees. The Minister’s extension of the collective … [Read more...] about New labour fiat a knockout punch for restaurant and catering industry

Dear MyPE The assertion by Statistics South Africa (StatsSA) that the official unemployment rate declined from 30.1% (in quarter 1) to 23.3% (in quarter 2) is deceptive and masks the real extent of the unemployment crisis in South Africa. The key takeaway from yesterday’s Quarterly Labour Force Survey (QLFS) is that 2.2 million people lost their jobs in the 2nd quarter of 2020 and that the real unemployment rate increased by 2.3% to an unprecedented 42% in the same quarter. This is … [Read more...] about Dodgy data from StatsSA on unemployment masks real jobs crisis

Dear MyPE The Democratic Alliance (DA) calls on Statistics South Africa (StatsSA) to commit to a specific timeline of when it will release the Quarterly Labour Force Survey (QLFS) for the second quarter of the financial year. StatsSA has indicated that the report will be released at the end of September citing data collection challenges posed by Covid-19. Whilst we understand the extent to which the pandemic has affected the entity’s ability to collect data, it is concerning that StatsSA … [Read more...] about StatsSA must commit to specific timeline on release of QLFS following second postponement

Dear MyPE The Minister of Employment and Labour, Thulas Nxesi, must indicate when July applications for the Unemployment Insurance Fund’s (UIF) Covid-19 Ters benefit will open. He owes it to the anxious and desperate workers of South Africa, who aren’t sure when their next pay cheque will arrive. The Ters scheme is due to come to an end on 15 August, and July applications still aren’t open. Applications for May opened late, at midnight on 26 May. Applications for June opened late, on … [Read more...] about When will July Ters applications open?

Dear MyPE Minister of Employment and Labour, Thulas Nxesi, must withdraw the collective bargaining deal that he extended to “non-parties” in the beauty and haircare sector yesterday. The sector, which has been shuttered since the beginning of lockdown and still cannot open for business, is already on its knees. The Democratic Alliance (DA) has taken the matter to court, and is fighting to have the ban and criminalisation of "personal care" services (which includes hairdressers and … [Read more...] about Minister Nxesi must withdraw extension of bargaining deal that will destroy salons

If UIF is not up to the task Dear MyPE If the Unemployment Insurance Fund (UIF) is unable to cope with processing and paying out a high volume of Covid-19 Ters benefit applications, then this function should be handed over to the South African Revenue Service (SARS). In the ordinary course of events, SARS collects UIF money paid over by employers and transfers it to the UIF. SARS has the expertise and sytems to pay over the Covid-19 Ters benefit to employers swiftly. In any event, the … [Read more...] about SARS should pay out Covid-19 Ters benefit