LABOUR BROKERAGE ON FRUIT FARMS THE PORTFOLIO COMMITTEE ON LABOUR TUESDAY 18 TH AUGUST 2009
CONTENT Introducing the Organisations Context of the Agricultural Sector Methodology SA Legislative Framework ILO and International Case Studies Key Research Findings Policy Options Women seasonal workers picking fruit
Introducing the Organisations The Centre for Rural Legal Studies: est 1991 work on land and labour issues for farm workers Research, Legal Advice on labour matters; Rights Education and Training; Advocacy and Lobbying Partners CBOs; NGOs; TUs; Worker representative orgs, etc. The Women on Farms Project: Established in 1996 Mobilise and Organised women farm workers Womens Health, Women Leadership, Workers Rights
AGRICULTURAL CONTEXT Commercial agriculture: roots in slavery under colonialism System of subsidised labour supply to farms under apartheid Prevailing paternalistic power relations Historically: workers tied to farm (workers inherited between generations) - low mobility among farm workers Formal contracts with male permanent workers Less than 5% workers unionised (mostly permanent, male workers)
METHODOLOGY Focus groups Interviews Labour Brokers Farmers Department of Labour officials Limitations of Study: Geographic scope Gender Work season Size and commodity
INTERNATIONAL CASE STUDIES Australia Increase in casualisation structural changes USA Migrant workers in agricultural industry High transport & accommodation Regulation of Labour Brokers registration, bonds & joint liability Namibia Labour hire, emerged in 1990s Workers unclear about who is employer Less pay for same hours as permanent workers R480pm R1 200pm New Labour Act 2007 prohibits labour hire Constitutional challenge 2008 African Personnel Services High judgement on appeal at Supreme Court
LEGISLATIVE FRAMEWORK South Africa: BCEA & LRA definition of standard employment relationship Temporary Employment Services Collective bargaining that does not cover casual or seasonal workers; The lack of a clear distinction between an employee and an independent contractor; No clear legal imperatives for the employer and contractor regarding liability inadequate protection for farm workers who are recruited by labour brokers ILO: Forced labour Convention 1930 Abolition of Forced Labour Convention 1957 Private Employment Agencies 1997 Not ratified by SA
Key Research Findings Broker Profile Mainly male, former farm workers and/or supervisors Very few women Worker Profile Mainly migrant workers from former Transkei Links between race, gender, origin, contract status Minimum Wage & Contracts Farmers: pay brokers enough Suspect that brokers do not pay Minimum Wage Responsibility? Department of Labour 95% of workers: no contracts with labour brokers; 42% of labour brokers no contract with farmers.
Gender & Race Key Research Findings Male permanent workers earn more than contracted female workers No access to non-wage benefits: e.g. rain-day payments, bonuses, sick leave Labour Rights Knowledge Little knowledge, no training about their labour rights Most do not know the legal minimum wage Unionisation No unionisation & limited knowledge of trade unions Farmers and brokers do not approve of unions Unions face challenges in organising temporary workers.
Key Research Findings Unregistered Brokers Widespread use of non-registered brokers Lack of support from Department of Labour Statutory Deductions 50% report no UIF or Workmen s Compensation deductions: Problems with registration Department of Labour officials lack knowledge of provisions for contract workers Other Deductions For transport and loans (plus interest) Long-term indebtedness to broker
Key Research Findings Who is the Employer? 83% of workers identified the broker Confusion about lines of accountability. Power Relations Replication of farmer-worker power relations Brokers: inability to negotiate favourable contracts Workers: do not assert their rights Farmers Use of Labour Brokers Avoidance of logistical and administrative requirements Migrant workers: more reliable than resident workers
Key Research Findings Accommodation Informal housing settlements and hostels Inferior to housing of permanent, resident workers Women: security and privacy issues. Dwelling for seasonal workers
Policy Options: Unchanged, Banning or Regulation? Policy Option 1: Banning Objective End to exploitation of temporary workers Risks Drive labour brokers underground Possible Constitutional challenges Lack of enforcement by Department of Labour Out of step with international trends; ILO.
Policy Option 2: Regulation Benefits Most enforceable Address current legal ambiguities Put in place a legal framework Allow for effective monitoring of labour law compliance Protect the rights of farm workers Reflect international trends
Policy Option 2: Regulation Requirements Review of existing legislation: Predicated on standard two-way relationship Definition of employer collective bargaining LRA: temporary employment services Introduction of specific legislation Enforcement: What is needed? DoL: Expand and improve capacity Agriculture-specific labour inspectors Enforce and monitor labour brokers Partner with trade unions and NGOs.
THANK YOU
THANK YOU Centre for Rural Legal Studies Women on Farms Project Sharron Marco-Thyse sharron@crls.org.za www.crls.org.za Colette Solomon colette@wfp.org.za www.wfp.org.za Phone: 021 8838032 Fax: 021 8865076 Phone: 021 8872960 Fax: 021 8872963