Ricochet News

Labour market under strain: Global Business Solutions to unpack effects of downgrades etc

By Jonathan Goldberg - Apr 20, 2017
Labour market under strain: Global Business Solutions to unpack effects of downgrades etc

The recent downgrade in South Africa’s status and the weakening Rand have led to organisations having to think carefully about tightening their belts.

Looming wage negotiations and the impending implementation of the National Minimum Wage mean that businesses must now, more than ever, consider their budgets and invest time reviewing their organisational efficiencies to remain globally competitive.

The labour law amendments, in particular to the use of flexible, part-time and temporary labour, require organisations to consider their workforce planning options to balance compliance and enable the flexibility so important in a volatile market.

Recent case law and a pending labour court appeal regarding the clarification of the ‘deeming provision’ have given some guidance to the way in which flexible labour and third party providers, such as Temporary Employment Services, can be utilised.

At the 2017 Global Business Solutions Mid-Year Labour Law Updates, scheduled to take place across the country in June, Jonathan Goldberg will unpack the practical implications of these, and other, precedents.

In keeping with the pragmatic approach of the labour consultancy, delegates at the seminars will receive expert guidance, detailed insights and practical solutions that can be implemented immediately.

To learn more about the seminar and how to secure your seat, please click here.

National Minimum Wage

Despite agreement being reached on the concept, the practical implications of the roll-out of the national minimum wage are beginning to surface, including confusion about whether the R3 500 per month includes or excludes benefits, how it impacts commission-only employees, and the like.

Planning in this regard becomes crucial as the additional financial burden comes at a time when many companies are rallying against weakening exchange rates, increasing competition and lowering consumer demand.

The need to link, as far as possible, cost with productivity, is greater in an environment where business sustainability will be dependent on effectively balancing greater operational expenditure with increasing revenue generation.

Equal Pay for Work of Equal Value

The increased number of Commission for Conciliation, Mediation and Arbitration (CCMA) referrals challenging Equal Pay demonstrate a growing awareness of the provisions contained in section 6 of the Employment Equity Amendment Act.

The concept appears simple but as we know, remuneration is not cut and dry with a myriad of factors impacting.

The legislation is clear that unfair discrimination in terms of pay is entirely unacceptable and the regulations and Code of Good Practice issued by Department of Labour require organisations to conduct an analysis of their payroll and remuneration policies to ensure that no discrimination exists.

Global Business Solutions has been at the cutting edge of Equal Pay, assisting organisations of all sizes to complete the assessment and mitigate any risk.

These solutions have been expanded with the addition of a value-adding strategic partnership with Emergence Growth, one of South Africa’s leading remuneration specialist consultancies.

Combining compliance and best practice enables our clients to not only mitigate any risk but also to boost their businesses.

If you’re interested in learning more about Equal Pay for Work of Equal Value please contact us for a no-obligation consultation.

Visit www.globalbusiness.co.za for more information and contact details.