Central bargaining needs to be fixed by moving to collective bargaining construct: Afzul Soobedar

Seifsa CEO Lucio Trentini. Photo supplied.

Seifsa CEO Lucio Trentini. Photo supplied.

Published May 24, 2023

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To fix centralised bargaining there needs to be a move towards a collective bargaining construct that emphasises inclusivity over majoritarianism, according to Perispec Consulting director Afzul Soobedar.

“Enhance the efficacy of trade unions and employers’ organisations to bolster their appeal and attract greater membership,” he said.

He was one of the speakers on day one of the Steel and Engineering Industries Federation of Southern Africa (Seifsa) Collective Bargaining Summit held at Emperors Palace, Gauteng.

The conference aims to discuss challenges facing the sector, including crucial debates around conditions of employment and labour costs.

Seifsa CEO Lucio Trentini said: “A well-functioning economy needs business, labour and government to agree to terms of the policy. Our economy has been under enormous pressure since the global financial crisis. We are dealing with crippling youth unemployment, a sub-investment status, stagnant growth, and the lingering effects of the Covid-19 pandemic.

"We hope the summit will plant the seed amongst all stakeholders that, to begin addressing our many challenges, we need to find a better way of working together," he said.

Another speaker, UCT law professor Halton Cheadle said: "The sectoral bargaining was under threat, there is little co-determination, and it is important for us to now really look at what was originally intended and to see whether or not we can recreate a labour relations system and collective bargaining that will assist in the recovery of the economy.

"Up to now, there has been positional bargaining. If there is not enough money, what has to happen is improve productivity, and that would release money for more equitable distribution for employers and employees," he said.

Cheadle said headwinds affecting the industry including load shedding could be navigated through a tripartite governance.

"It's only through collective bargaining with social partners that the headwinds affecting the industry, including load shedding, can be navigated.

"As they have done through the Covid-19 pandemic, the tripartite governance should happen – the government, unions and employees. There are real possibilities for achieving or assisting the government in navigating these headwinds," he said.

The conference continues on Thursday.

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