Lutfo to regulate labour brokers

Here is a recent post from the swazi observer regarding regulating labour brokers.

MINISTER of Labour and Social Security Lutfo Dlamini says intensive regulation of labour brokers is the best solution in dealing with challenges associated with their operations.
He said labour brokers employ more than 60% of the workers in the hospitality and retail industries hence the suggestion to regulate than to stop them.
Dlamini said this in a report he submitted to the House of Assembly, which was a response to a motion where he was tasked to investigate allegations of unfair practices in the hospitality and  retail industry. The motion was motivated by allegations that some employees of the South African companies engaged on temporary basis for longer periods violated the Employment Act.
It was also alleged that a certain outlet engaged the services of an agent and that resulted to the reduction of employee’s wages.
In the report, Dlamini noted that 80% of the South African companies operating in the country engaged the services of labour brokers and they shifted their responsibility of being employers to the brokers.
He said the workers engaged by labour brokers were subjected to less favourable conditions compared to the ones directly employed by the companies themselves. Investigations also that some operators in the retail and hospitality industry also engaged labour brokers for recruitment.
Findings are that those employed by the operators directly get better conditions and yearly wage increments while those employed by the brokers were just paid the basic minimum wage.
According to the report, Mbabane and Ezulwini Pick ‘n Pay were among some of the retail operators that engaged brokers for recruitment.
Mbabane Pick ‘n Pay has a total of 159 workers and out of that, 105 were employed through a labour broker.
Only 54 were employed by the company. Royal Swazi Spa has 758 employees and 433 of them were recruited through a labour broker. A total of 325 were employed by the company. Shoprite conducts its own recruitment.
The report indicates that most of the visited companies mainly relied on labour brokers who supplied and managed the workers.
The minister noted that unions often have difficulty organising the people employed through agencies as they are employed on a fixed term contract, of which some are renewable after a six or 12 month period.
He said the Employment Act was being reviewed and a research done with regards to the position of operations of brokers in neighbouring countries.
He said this was aimed at finding a way of regulating the brokers rather than stopping them considering that they employed more than 60% of the workers in the hospitality and retail industries.
Dlamini said the ministry was currently engaged in consultations with the workers and employers at the Labour Advisory Board level to try and find an amicable and lasting solution to the issue.

via The Swazi Observer.

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