10 February 2015
The National Employers Association of South Africa has filed a review application at the Labour Court into the scrapping of the extension of the July 2014 Metal Industry Agreement.
Minister of Labour Mildred
Oliphant last year extended the wage agreement between trade unions
representing 34 percent of employees in the Metal Industry and Seifsa.
Neasa Chief Executive Gerhard
Papenfus said the minister extended the agreement without considering the
negative impact it will have on business and employment.
Papenfus said notwithstanding
admitting that they have failed in the negotiations, they convinced the
Minister to extend this agreement.
Papenfus said The Minister
complied with this request, disregarding the poor levels of representatives of
the parties to this agreement and also ignoring the damage it will cause the
Industry.
Papenfus said this is an
irresponsible act that illustrates how the cooperation between monopoly
capitalism and socialism, with the support of government, can work against the
interests of SMME's.
Papenfus said the extension of
this agreement is also unconstitutional and not compliant with the rules of
administrative justice.
“We will bring this case
before the Labour Court in due course” Papenfus added.
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