Employment conditions commission

Issues for discussion

During the meeting, Labour representatives tabled a list of demands for negotiation. The meeting agreed that the list of issues should be broken down into those that can be addressed in the short term and those that can that can be addressed in the longer term, whilst understanding that they are interrelated. The meeting agreed to isolate two issues to address as a matter of urgency; namely wages and dismissal/disciplinary action/evictions/intimidation on the farms.

1. Wages

Labour’s demand for a minimum wage increase of R150 per day for a 9 hour day was the tabled and employers indicated that at that stage they were not able to put forward a counter offer. The meeting agreed that in any wage model for the future, research relating to the economic analysis of the sector should be undertaken to determine the viability and the sustainability of any wage level. Furthermore the parties agreed that the analysis process should also look at job retention and creation in the agricultural sector. As a result of the agreements, the meeting agreed to establish a Task Team consisting of two persons from each party to map the way forward.

2. Agriculture economic analysis

The two aside met on the 22 November 2012 and the following was agreed to:

• 
  That the task team would engage The Bureau for Food and Agricultural Policy (BFAP) who would provide an agricultural economic analysis that would inform the parties in their negotiations for a wage increase.
  
• 
  That the task team would commence its work on Tuesday, 27 November 2012 and deliver a preliminary report on Thursday, 29 November 2012.
  

3. Disciplinary action/dismissals/intimidation/evictions

The two aside further agreed to establish a mediation task team that would evaluate and assess all complaints brought to it by workers and farmers regarding any of the above issues. The task team would attempt to resolve these matters through a process of facilitation and negotiations. In the event that a dispute remained unresolved, it would be directed to the relevant and appropriate forum or institution that has the legal mandate to address the complaint. The mediation task team would consist of one representative from labour, business and the Department of Labour and would be coordinated by the CCMA.

4. Other demands put forward by labour

Regarding other demands, the meeting agreed to establish a two person team consisting of Agri SA and labour representatives. The two representatives were to exchange the list of demands and then classify or categorise the different issues into those that relate to compliance and those that require other departments or institutions to address them. These demands held within them the elements of agreements that could go towards a short term solution, and would be part of the interim discussions.
The meeting agreed that the next plenary meeting was to be held on 29 November 2012, in Cape Town, where the document by the BFAP would be discussed as a basis for negotiations. On 29 November 2012, parties met but negotiations could not take place as the BFAP report was not ready As a result Labour indicated that they would be going back on strike.

3. Terms of references

The terms of reference for this investigation were published in the Government Gazette No. 34339 notice No. R.737 dated 27 May 2011 as follows:

“to review wages and the conditions of employment in the Farm Worker Sector”

4. Methodology

A four-phased project framework was developed for the investigation.

1. Phase One – Administrative aspects

This phase commenced in November 2012 when the Department published notices inviting interested parties to make written representations within 15 days to the Director-General in relation to the review of the sectoral determination.
In response to the notices, written submissions were received from the following organisations:

1. 
   Agri SA
   
2. 
   Cane growers Association
   
3. 
   Free State Agriculture
   
4. 
   Agri Limpopo
   
5. 
   TAU SA
   
6. 
   LWO
   
7. 
   East Cape Agricultural Research Project
   
8. 
   Labour Research Services
   
9. 
   Food and Allied Workers Union - KwaZulu Natal
   
10. 
    SMB supplies
    
11. 
    Sovereign Foods
    
12. 
    Suiderland Plase
    
13. 
    Agri-Seta
    
14. 
    Desaci Investment
    
15. 
    Honingklip Dryflowers
    
16. 
    Pumula
    
17. 
    Cape Agri Employers’ Organisation (CAEO)
    
18. 
    CEASER
    

During the public hearings, further written submissions were received from the constituents of the above-mentioned organisations at the provincial level, which were similar to the submissions forwarded by their national offices. Furthermore almost all the written submissions received, objected to the cancellation of the sectoral determination. Given this and other advice, the Department decided not to pursue the cancellation process.

2. Phase Two – Consultation with stakeholders

Parallel with the negotiation process by the parties, the Department commenced with public hearings in all provinces. Invitations of such public hearings were forwarded through employer’s organizations, trade unions and distribution of invitations to farm workers by the Department officials. Due to timeframes in relation to the completion of the investigation, one session was arranged in each province. The table below indicates areas where public hearings were held in each province.
Table 1 below indicates places visited together with the attendance profile of stakeholders for each hearing.

Day	Month	Province	Area	Attendance
				Employers	Employees
11	December	Northern Cape	Keimoes	60	0
12	December	Northern Cape	Keimoes	0	25
12	December	Mpumalanga	KwaMhlushwa	4	18
06	December	Limpopo	Makhado	77	51
23	November	KwaZulu-Natal	Boston Farm	98	40
13	December	Gauteng	Bronkhorspruit	55	0
18	December	Gauteng	Boschkop Primary School	0	44
8	December	Free State	Bothaville	19	7
13	December	Eastern Cape	Barkley East Aliwal North	25	73
22	November	Western Cape	Worcester		54
23	November	Western Cape	Worcester	137	0
9	December	North West	Ottosdal	0	60
10	December	North West	Lichtenburg	8	2
Total number of attendees				133	211

In January 2013, further public hearings were arranged in the Western Cape area targeting employees. This came as a result of the request by the employee organizations. The public hearings were therefore held as from 14 January to 20 January as per the schedule below:

Date	Area	Employee attendance
14/01/13	Grabouw	36
15/01/13	Paarl	283
16/01/13	De Doorns	258
17/01/13	Robertson	52
18/01/13	Oudtshoorn	65
20/01/13	Vredendal	85
Total number of attendees		779

3. Phase Three – ECC Process

During this stage the ECC engaged with the inputs received and made its recommendations to the Minister as contained in this report.

1.4.4 Phase Four – Publication of the new sectoral determination

This phase will see the publication of the amendments to the sectoral determination once the Minister has decided whether or not to approve the recommendations of the ECC.

1.5 Structure of the report

The report consists of the following chapters:

• 
  Chapter 1 of this report gives a background of the sector and the methodology utilised.
  
• 
  Chapter 2 of this report outlines the state of the agricultural sector.
  
• 
  Chapter 3 discusses the findings of the investigation and resultant proposals.
  
• 
  Chapter 4 discusses the proposals in light of the criteria that the ECC has to consider.
  
• 
  Chapter 5 summarises the recommendations of the ECC.