MARIKANA AND ITS IMPLICATIONS FOR INDUSTRIAL RELATIONS

Transcription

1 MARIKANA AND ITS IMPLICATIONS FOR INDUSTRIAL RELATIONS by John Brand Presented to the Leaders Angle 21 June 2013

2

3 Courtesy: Greg Marinovich Introduction

4 Courtesy: Greg Marinovich Content THE MARIKANA CONFLICT A TENTATIVE ANALYSIS Manifestations Trigger Causes Aggravators Moderators

5 Courtesy: Greg Marinovich Content THE BROADER INDUSTRIAL RELATIONS CONTEXT Outcomes in public sector bargaining Outcomes in private sector bargaining International comparison of strike days lost

6 Courtesy: Greg Marinovich Content WHAT CAN THE PARTIES INFLUENCE? WHAT CAN BE DONE?

7 The Marikana Conflict Dynamic Courtesy: Greg Marinovich

8 manifestations moderators aggravators trigger causes

9 manifestations DISREGARD FOR THE LAW

10 Courtesy: Greg Marinovich DISREGARD FOR THE LAW

11 Collective Agreements Dispute Procedures Labour Relations Act Unprotected Strike DISREGARD FOR THE LAW

12 manifestations HOSTILITY DISREGARD FOR THE LAW

13 HOSTILITY Courtesy: Greg Marinovich

14 Courtesy: Greg Marinovich Anger Defiance Revenge Solidarity HOSTILITY

15 Courtesy: Greg Marinovich Anger Defiance Revenge Solidarity HOSTILITY

16 Courtesy: Greg Marinovich Anger Defiance Revenge Solidarity HOSTILITY

17 Courtesy: Greg Marinovich Anger Defiance Revenge Solidarity HOSTILITY

18 manifestations VIOLENCE HOSTILITY DISREGARD FOR THE LAW

19 Courtesy: Greg Marinovich VIOLENCE

20 Courtesy: Greg Marinovich Intimidation Assault Death VIOLENCE

21 Courtesy: Greg Marinovich Intimidation Assault Death VIOLENCE

22 Courtesy: Greg Marinovich Intimidation Assault Death VIOLENCE

23 manifestations VIOLENCE HOSTILITY DISREGARD FOR THE LAW NEW PLAYERS

24 Courtesy: Greg Marinovich NEW PLAYERS

25 Courtesy: Greg Marinovich AMCU Workers Committee Church NEW PLAYERS

26 Courtesy: Greg Marinovich AMCU Workers Committee Church NEW PLAYERS

27 Courtesy: Greg Marinovich AMCU Workers Committee Church NEW PLAYERS

28 manifestations VIOLENCE HOSTILITY POLICE ACTION DISREGARD FOR THE LAW NEW PLAYERS

29 Courtesy: Greg Marinovich POLICE ACTION

30 Courtesy: Greg Marinovich Shooting Torture Arrests POLICE ACTION

31 Courtesy: Greg Marinovich Shooting Torture Arrests POLICE ACTION

32 Courtesy: Greg Marinovich Shooting Torture Arrests POLICE ACTION

33 manifestations VIOLENCE HOSTILITY POLICE ACTION DISREGARD FOR THE LAW NEW PLAYERS GRIEF

34 GRIEF Courtesy: Greg Marinovich

35 GRIEF Courtesy: Greg Marinovich

36 manifestations VIOLENCE HOSTILITY POLICE ACTION DISREGARD FOR THE LAW NEW PLAYERS GRIEF FARLAM

37 FARLAM Courtesy: Greg Marinovich

38 CONSEQUENCES - 45 deaths and growing - Hundreds injured - Lonmin workers did not get a 22% increase as a result of the strike - Actually the maximum increase at Lonmin was 7.7% to the lowest grade - The maximum actual increase to rock drillers at Lonmin was 3%

39 CONSEQUENCES - Lonmin workers lost ±12% of annual wages in the strike due to no work no pay - Some Lonmin workers received a R2 000 return to work bonus - ±9000 Lonmin contract workers got nothing

40 CONSEQUENCES - All lost more in lost wages than they got in wage increases - Direct losses in gold and platinum amounted to R10.1 billion - Coal losses R180 million

41 CONSEQUENCES - R15.3 billion lost across all mining sectors - There was a R12.5 billion reduction in export revenues in GDP growth forecast down from 3% to 2.5

42 manifestations moderators aggravators trigger causes

43 trigger

44

45 2010 Two Year Deal RDO s Miners Interim Increase IMPLATS Strike Mass Dismissal

46 manifestations moderators aggravators trigger causes

47 THE MONETARY WAGE? causes

48 R Rock drillers earn ±R per month R3 000 The average South African worker earns ±R3 000 per month

49 Of the average South African worker: 59% have pension 40% have medical aid 77% have UIF few workers have all 3 rock drillers have all 3

50

51 4/10 Only 4 out of 10 adults in South Africa 7.3million Therefore only 7.3 million out of 32.9 million adults work in South Africa top 6% Therefore rock drillers are in the top 6% of adult earners in South Africa

52 R Rock drill operators earn more than entry level teachers in South Africa R8 392 Greek teachers earn R8 392 per month R6 000 Indian high tech employees earn R6 000 per month

53 WAS A POVERTY WAGE A CAUSE? causes

54 WORKING CONDITIONS LACK OF TRI-PARTITE DIALOGUE BARGAINING STRUCTURES POLITICIANS THE SOCIAL WAGE BARGAINING SKILLS NUM causes

55 THE SOCIAL WAGE Courtesy: Greg Marinovich

56 Courtesy: Greg Marinovich Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

57 Courtesy: Greg Marinovich Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

58 Courtesy: Greg Marinovich Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

59 Courtesy: Greg Marinovich Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

60 Courtesy: Greg Marinovich Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

61 Source: Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

62 Courtesy: Greg Marinovich Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

63 Source: Austin Andrews Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

64 Courtesy: Greg Marinovich Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

65 Courtesy: Greg Marinovich Housing Refuse Removal Electricity Security Sewerage Education Health Transport Water Roads THE SOCIAL WAGE

66 WORKING CONDITIONS LACK OF TRI-PARTITE DIALOGUE BARGAINING STRUCTURES POLITICIANS THE SOCIAL WAGE BARGAINING SKILLS NUM causes

67 Courtesy: Greg Marinovich WORKING CONDITIONS

68 Courtesy: Greg Marinovich Health and Safety Migrant Labour Wage Differentials Labour Brokers Unemployment Money Lenders Garnishee Orders Recovery Attorneys Discrimination Lack of Concern Lack of Respect

69 Courtesy: Greg Marinovich Health and Safety Migrant Labour Wage Differentials Labour Brokers Unemployment Money Lenders Garnishee Orders Recovery Attorneys Discrimination Lack of Concern Lack of Respect

70 Courtesy: Greg Marinovich Health and Safety Migrant Labour Wage Differentials Labour Brokers Unemployment Money Lenders Garnishee Orders Recovery Attorneys Discrimination Lack of Concern Lack of Respect

71 WORKING CONDITIONS LACK OF TRI-PARTITE DIALOGUE BARGAINING STRUCTURES POLITICIANS THE SOCIAL WAGE BARGAINING SKILLS NUM causes

72 BARGAINING STRUCTURES Courtesy: Greg Marinovich

73 Courtesy: Greg Marinovich Organisation Rights Problems Over Centralised Lack of Tiers Unresponsive BARGAINING STRUCTURES

74 WORKING CONDITIONS LACK OF TRI-PARTITE DIALOGUE BARGAINING STRUCTURES POLITICIANS THE SOCIAL WAGE BARGAINING SKILLS NUM causes

75 Very Adversarial Not Interest Based Poor Preparation Ill-informed BARGAINING SKILLS

76 Claimer Claimer = MEDIOCRE MEDIOCRE Outcome

77 Problem Solver Problem Solver = GREAT GREAT Outcome

78 WORKING CONDITIONS LACK OF TRI-PARTITE DIALOGUE BARGAINING STRUCTURES POLITICIANS THE SOCIAL WAGE BARGAINING SKILLS NUM causes

79 NUM

80 Complacent Remote Ideological Bureaucratic NUM

81 WORKING CONDITIONS LACK OF TRI-PARTITE DIALOGUE BARGAINING STRUCTURES POLITICIANS THE SOCIAL WAGE BARGAINING SKILLS NUM causes

82 Courtesy: Greg Marinovich POLITICIANS

83 Courtesy: Greg Marinovich Poor service delivery Corrupt

84 Courtesy: Greg Marinovich R25billion lost to corruption in government procurement

85 WORKING CONDITIONS LACK OF TRI-PARTITE DIALOGUE BARGAINING STRUCTURES POLITICIANS THE SOCIAL WAGE BARGAINING SKILLS NUM causes

86 LACK OF TRI-PARTITE DIALOGUE Courtesy: Greg Marinovich

87 manifestations moderators aggravators trigger causes

88 PAST UNRESOLVED CONFLICT MISTRUST ILLITERACY INNUMERACY UNREALISTIC EXPECTATIONS INACCURATE PERCEPTIONS MISREPRESENTATION POOR COMMUNICATION THE MEDIA POLITICS POLITICAL OPPORTUNISTS DEMONIZING POOR POLICING POOR MEDIATION aggravators

89 manifestations moderators aggravators trigger causes

90 moderators CHURCH NEED FOR PAY

91 manifestations moderators aggravators trigger causes

92 manifestations VIOLENCE HOSTILITY POLICE ACTION DISREGARD FOR THE LAW NEW PLAYERS FARLAM GRIEF PAST UNRESOLVED CONFLICT MISTRUST ILLITERACY INNUMERACY UNREALISTIC EXPECTATIONS moderators CHURCH NEED FOR PAY INACCURATE PERCEPTIONS MISREPRESENTATION POOR COMMUNICATION THE MEDIA POLITICS aggravators POLITICAL OPPORTUNISTS DEMONIZING trigger POOR POLICING POOR MEDIATION POLITICIANS BARGAINING STRUCTURES LACK OF TRI-PARTITE DIALOGUE WORKING CONDITIONS NUM BARGAINING SKILLS THE SOCIAL WAGE causes

93 The broader industrial relations context OUTCOMES IN RECENT PUBLIC SECTOR BARGAINING

94 Public Sector Strike 2010 Municipal Strike 2011 Duration of strike 21 days Wages lost No work no pay [2% per week] 6% ANNUAL SALARY LOST Duration of strike 16 days Wages lost No work no pay [2% per week] 4.2% ANNUAL SALARY LOST Apparent gain/loss suffered [difference between employer offer at start of strike and settlement] ( ) = 1% "GAINED" 0.0% Actual gain/loss [difference of wages lost and apparent gain] (1 6) = 5% LOST (0 4.2) = 4.2% LOST

95 Public Sector Strike 2010 Number of weeks for workers to recover actual loss using apparent gain 156weeks Municipal Strike 2011 Number of weeks for workers to recover actual loss using apparent gain Never Reported violence INTIMIDATION, RUBBER BULLETS, WATER CANNONS, DEATH, DISMISSAL SERVICE INTERRUPTION, DESTRUCTION OF PROPERTY, INTIMIDATION Reported cost to employer ESTIMATED COST TO SOUTH AFRICAN ECONOMY R1 BILLION PER DAY

96 OUTCOMES IN RECENT PRIVATE SECTOR BARGAINING

97 National Road Freight Strike 2011 Metal Industry Strike 2011 Chemical and Petroleum Industry Strike 2011 Mining Industry Strike (Diamond) 2011 Mining Industry Strike (Coal) 2011 Mining Industry Strike (Gold) 2011 Cleaning Sector Strike 2011 Bus Strike 2013 Duration of strikes 6 Days 14 Days 21 Days 14 Days 10 Days 4 Days 21 Days 21 Days % Wages lost [no work no pay]

98 National Road Freight Strike 2011 Metal Industry Strike 2011 Chemical and Petroleum Industry Strike 2011 Mining Industry Strike (Diamond) 2011 Mining Industry Strike (Coal) 2011 Mining Industry Strike (Gold) 2011 Cleaning Sector Strike 2011 Bus Strike 2013 Apparent gain % [difference between employer offer at start of strike and settlement] Actual gain/loss % [difference of wages lost and apparent gain]

99 National Road Freight Strike 2011 Metal Industry Strike 2011 Chemical and Petroleum Industry Strike 2011 Mining Industry Strike (Diamond) 2011 Mining Industry Strike (Coal) 2011 Mining Industry Strike (Gold) 2011 Cleaning Sector Strike 2011 Bus Strike 2013 Reported violence Petrol bombs Property damage Intimidation Assault Rubber bullets Arrests Injury Blockades Fuel shortages Violence Service interruption Stone assault Malicious damage

100 National Road Freight Strike 2011 Metal Industry Strike 2011 Chemical and Petroleum Industry Strike 2011 Mining Industry Strike (Diamond) 2011 Mining Industry Strike (Coal) 2011 Mining Industry Strike (Gold) 2011 Cleaning Sector Strike 2011 Bus Strike 2013 Reported cost of employer Fuel retailers Taxi industry R2 billion R35 million Output lost $25 million per day

101 INTERNATIONAL COMPARISON OF WORKING DAYS LOST

102 THE FREQUENCY AND EXTENT OF STRIKE ACTION IN EUROPE Working days lost through industrial action per employees, annual average Denmark France Belgium Finland Spain EU 15 and Norway Cyprus Ireland Italy All countries Malta UK Norway Slovenia Portugal NMS 12 Lithuania Poland Germany Seden Romania Hungary Netherlands Luxembourg Slovakia Latvia Estonia Austria Source: EIRO

103 All European countries South Africa Average working days lost per employees Maximum Minimum 0 36

104 South Africa International comparison of working days lost HIGHEST IN THE WORLD MOST VIOLENT IN THE WORLD

105 2011 STRIKE STATISTICS

106 NUMBER OF WORK STOPPAGES TRENDS IN THE NUMBER OF WORK STOPPAGES IN SOUTH AFRICA, Source: Department of Labour, Strikes Statistics YEAR

107 AMOUNT IN RANDS WORKING DAYS LOST PER EMPLOYEES DUE TO STRIKES, Source: Department of Labour, Strikes Statistics 1, , , , , YEAR

108 AMOUNT IN RANDS WAGES LOST DUE TO WORK STOPPAGES IN SOUTH AFRICA, Source: Department of Labour, Strikes Statistics 1,200,000, ,000,000, ,000, ,000, ,000, ,000, YEAR

109 DISTRIBUTION OF WORKING DAYS LOST PER EMPLOYEES BY INDUSTRY, 2010 AND 2011 Source: Department of Labour, Strikes Statistics INDUSTRY TIME-LOSS RATIO AGRICULTURE MINING MANUFACTURING ELECTRICITY CONSTRUCTION WHOLESALE, RETAIL TRADE TRANSPORT FINANCIAL INTERMEDIATION COMMUNITY SERVICES

110 PERCENTAGES OF WORK STOPPAGES DURATION OF WORK STOPPAGES, 2010 AND 2011 Source: Department of Labour, Strikes Statistics > >40 DURATION IN DAYS

111 2012 STRIKE STATISTICS

112 2012 STRIKE STATISTICS working hours lost to unprotected strikes alone up from a total of in working hours lost to unprotected strikes in mining - 99 strikes in total up from 67 in 2010 and from a maximum of 75 in strikes out of 99 unprotected.

113 WHAT CAN BE DONE? - Consider what can be done about workers living conditions the social wage - Implement minimum wages appropriately - Address workers working conditions as close to source as possible

114 WHAT CAN BE DONE? - Improve industrial democracy, particularly access to that democracy organisational rights negotiation in appropriate bargaining units engagement with appropriate communities of interest

115 WHAT CAN BE DONE? - Reform centralised bargaining - Improve collective bargaining skills - Encourage social dialogue

116 WHAT CAN BE DONE? - Encourage improved mediation - Moderate worker expectations and perceptions - Address illiteracy and innumeracy - Address unresolved conflict when possible

117 WHAT CAN BE DONE? - Communicate effectively and understandably - Correct media inaccuracies - Manage manifestations effectively - Introduce moderators

118 Thank you Special thanks and acknowledgement to Greg Marinovich for use of his photographs