Date: 28/01/2003
Source: Department of Labour
Title: Mdladlana: Deregistration of trade unions
MEDIA STATEMENT BY THE MINISTER OF LABOUR, MMS MDLADLANA, ON THE DEREGISTRATION OF TRADE UNIONS, 28 January 2003
One of the key elements of the Bill of Rights is the recognition of workers' rights, which finds expression on a number of levels. One of the key ways in which workers can vigorously defend those rights is through trade unions and our constitution also entrenches the right of both workers and employers to form and belong to trade unions and employer organisations. At a legislative level this finds expression through the Labour Relations Act, 1995.
To lessen the bureaucracy surrounding the setting up of representative bodies in the workplace, sections 95 and 96 of the Act brought about a simplification of the registration process and also eased the requirements for organisations to retain registration. In the context of both our constitution and our membership of the International Labour Organisation - where we have ratified the conventions on Freedom of Association and Collective Bargaining - the requirements are minimal and more aimed at assisting members of organisations to ensure that these organisations function in terms of their constitutions than to interfere with the internal affairs of trade unions and employers' organisations.
In February 1999 Amendments to the Labour Relations Act came into effect, which required that only registered trade unions and employers' organisations be permitted to represent their members at dispute resolution forums.
These two elements of our legislation resulted in the proliferation of trade unions and employer organisations. Unscrupulous individuals and consultants not only set up bogus organisations, but also infiltrated the structures of existing registered organisations and turn them into profit making businesses. Another favourite approach was when an organisation - for whatever reason- became dormant, individuals or consultancies would take the certificates of registration to gain access to dispute resolution forums like the CCMA and the Labour Court. The main objective was the handling of labour disputes, especially dismissal and unfair labour practices thereby also undermining the efforts of genuine organisations to bargain collectively.
The Labour Law Amendments - promulgated on 1 August 2002 - has empowered the Department to address this. Since promulgation the Department has vigorously embarked on a process to identify and weed out those organisations which are either bogus or have failed to comply with the requirements of the Act. Emphasis was placed on the requirement in Section 100 stipulating that organisations must submit their financial statements together with an auditors report to the Registrar of Labour Relations within 30 days of receipt thereof.
It just needs to be emphasised that financial irregularity was not a criteria for cancellation of registration. It is - in the first instance - the responsibility of members to deal with any irregularities in terms of the constitution of the organisation.
During August 2002 written notices were sent to all the registered trade unions and employers' organisations following the amendments promulgated on 1 August 2002 advising them to meet all the registration requirements. A failure to do so would result in notification of the Department's intention to de-register them being published in the Government Gazette.
The timeframe set for each individual trade union and employers' organisation for compliance with the legal requirements lapsed on 30 November 2002. The names of the default organisations together with the names of the organisations that will be de-registered as they have ceased to be genuine will be published in the Government Gazette on 31 January 2003. All the identified organisations or any other interested person will have 60 days after publication to make representations to the Registrar of Labour Relations as to why the registration of the organisation should not be cancelled.
Our investigations have revealed that of the current total of 504 registered trade unions, 18 are not genuine, while 11 of 270 employer organisations can also be regarded as such. A total of 158 trade unions and 41 employer organisations have failed to submit financial statements during the previous five years.
In view of the cancellation process and the right of any organisation to appeal to the Labour Court against any decision of the Registrar, the final number of organisations whose registration are to be cancelled may vary from the above figures. Just to note that as it has become clear that the Department is serious about dealing with bogus unions and employer bodies, the number of financial statements reaching the registrar has increased dramatically.
The Department has embarked upon the second phase of de-registration, which is to determine whether any of the other organisations are still genuine. Further cancellations can be expected.
Source: Department of Labour (http://www.labour.gov.za)
Source: Department of Labour
Title: Mdladlana: Deregistration of trade unions
MEDIA STATEMENT BY THE MINISTER OF LABOUR, MMS MDLADLANA, ON THE DEREGISTRATION OF TRADE UNIONS, 28 January 2003
One of the key elements of the Bill of Rights is the recognition of workers' rights, which finds expression on a number of levels. One of the key ways in which workers can vigorously defend those rights is through trade unions and our constitution also entrenches the right of both workers and employers to form and belong to trade unions and employer organisations. At a legislative level this finds expression through the Labour Relations Act, 1995.
To lessen the bureaucracy surrounding the setting up of representative bodies in the workplace, sections 95 and 96 of the Act brought about a simplification of the registration process and also eased the requirements for organisations to retain registration. In the context of both our constitution and our membership of the International Labour Organisation - where we have ratified the conventions on Freedom of Association and Collective Bargaining - the requirements are minimal and more aimed at assisting members of organisations to ensure that these organisations function in terms of their constitutions than to interfere with the internal affairs of trade unions and employers' organisations.
In February 1999 Amendments to the Labour Relations Act came into effect, which required that only registered trade unions and employers' organisations be permitted to represent their members at dispute resolution forums.
These two elements of our legislation resulted in the proliferation of trade unions and employer organisations. Unscrupulous individuals and consultants not only set up bogus organisations, but also infiltrated the structures of existing registered organisations and turn them into profit making businesses. Another favourite approach was when an organisation - for whatever reason- became dormant, individuals or consultancies would take the certificates of registration to gain access to dispute resolution forums like the CCMA and the Labour Court. The main objective was the handling of labour disputes, especially dismissal and unfair labour practices thereby also undermining the efforts of genuine organisations to bargain collectively.
The Labour Law Amendments - promulgated on 1 August 2002 - has empowered the Department to address this. Since promulgation the Department has vigorously embarked on a process to identify and weed out those organisations which are either bogus or have failed to comply with the requirements of the Act. Emphasis was placed on the requirement in Section 100 stipulating that organisations must submit their financial statements together with an auditors report to the Registrar of Labour Relations within 30 days of receipt thereof.
It just needs to be emphasised that financial irregularity was not a criteria for cancellation of registration. It is - in the first instance - the responsibility of members to deal with any irregularities in terms of the constitution of the organisation.
During August 2002 written notices were sent to all the registered trade unions and employers' organisations following the amendments promulgated on 1 August 2002 advising them to meet all the registration requirements. A failure to do so would result in notification of the Department's intention to de-register them being published in the Government Gazette.
The timeframe set for each individual trade union and employers' organisation for compliance with the legal requirements lapsed on 30 November 2002. The names of the default organisations together with the names of the organisations that will be de-registered as they have ceased to be genuine will be published in the Government Gazette on 31 January 2003. All the identified organisations or any other interested person will have 60 days after publication to make representations to the Registrar of Labour Relations as to why the registration of the organisation should not be cancelled.
Our investigations have revealed that of the current total of 504 registered trade unions, 18 are not genuine, while 11 of 270 employer organisations can also be regarded as such. A total of 158 trade unions and 41 employer organisations have failed to submit financial statements during the previous five years.
In view of the cancellation process and the right of any organisation to appeal to the Labour Court against any decision of the Registrar, the final number of organisations whose registration are to be cancelled may vary from the above figures. Just to note that as it has become clear that the Department is serious about dealing with bogus unions and employer bodies, the number of financial statements reaching the registrar has increased dramatically.
The Department has embarked upon the second phase of de-registration, which is to determine whether any of the other organisations are still genuine. Further cancellations can be expected.
Source: Department of Labour (http://www.labour.gov.za)
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