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SA: Statement by Business Leadership South Africa, independent business association, call for action to address the current labour crisis in South Africa (24/10/2012)

24th October 2012

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Our country is facing a major crisis. The labour relations framework, especially in the mining sector is under stress, stretching to breaking point the relationships between workers, organised labour, communities, business and government. Trust and confidence in important sectors of society, and particular amongst a number of marginalised communities has been seriously damaged. BLSA welcomes the meetings that have taken place in recent weeks, convened by President Zuma, to explore constructive and shared responses to this crisis.



Specific actions and targets are key
We strongly support the areas of action identified last week in order to:

  • restore the rule of law;
  • re-build confidence in labour market institutions;
  • address the underlying socio-economic challenges, including income inequality.

We have developed specific ideas in each of these three areas which we look forward to sharing with our social partners in the dialogue that will continue next week.

Our members have also taken note of the call for restraint in Executive Pay, and we are confident that companies and their boards, who are and remain, the responsible decision makers about these matters will take note of this call.  For this call to have the symbolic effect intended other social partners both in government and in labour will need to support it.  No leader in our society should engage in ostentatious, extravagant and unproductive use of resources, especially at this time.



Progress in the longer term

The meetings with President Zuma have correctly identified some vital short term responses to the tensions manifest in recent weeks.   In the longer term the National Development Plan has set out a vision for a South Africa in 2030, with an economy three times the present size, unemployment reduced to 6%, no one living below the poverty datum line, and inequality significantly reduced.

Beyond the immediate crisis the challenge to all South Africans is to unite around this vision and the detailed plans set out in this national plan to achieve this vision.   The plan is a plan for our society and not just government. BLSA will review its programme of action for 2013 in the light of the plan, and will seek to help implement the plan where we can. We challenge our social partners to do the same.



Looking ahead

South Africans have risen to greater challenges than those that we face today. There is no reason why we cannot do this again in the months and years that lie ahead. BLSA and its members are determined to work with our fellow South Africans to once again scale the seemingly insurmountable.  The recent article in The Economist magazine has correctly identified a number of present challenges.  It has quite incorrectly concluded that the society in the light of these challenges is doomed to fail.  It is the job of all South Africans to prove this prediction wrong.

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