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THE LRA DISPUTE RESOLUTION INSTITUTIONS: MR. CAMERON SELLO MORAJANE
AN ASSESSMENT PRESENTED BY CCMA DIRECTOR: MR. CAMERON SELLO MORAJANE
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COPYRIGHT © Unless otherwise indicated, copyright in this material vests in the Commission for Conciliation, Mediation and Arbitration (CCMA). No part of this material may be reproduced, modified or adapted in any form or by any means without the written permission of the Commission for Conciliation, Mediation and Arbitration. © The Commission for Conciliation Mediation & Arbitration 3
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PRESENTATION LAYOUT SCOPE OF ASSESSMENT
INTEGRATED DISPUTE RESOLUTION SYSTEM ASSESSMENT OF DISPUTE RESOLUTION INSTITUTIONS DISPUTE RESOLUTION SYSTEM CHALLENGES MOVING TOWARDS DISPUTE PREVENTION CONCLUSION © The Commission for Conciliation Mediation & Arbitration September 2017
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SCOPE OF ASSESSMENT © The Commission for Conciliation Mediation & Arbitration September 2017
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SCOPE OF ASSESSMENT Dispute resolution institutions established by statute must give effect to statutory purposes and primary objects This assessment approach is not limited to the Labour Relations Act institutions, but includes all dispute resolution institutions of all other statutes: How efficiently each institution deals with its mandate Learnings from the past Challenges to overcome in the future Proposals for dispute prevention interventions © The Commission for Conciliation Mediation & Arbitration September 2017
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EMPLOYMENT LAW FRAMEWORK
International Labour Organisation Policies and Conventions Labour Relations Act Basic Conditions of Employment Act South African Constitution Employment Equity Act Unemployment Insurance Act Occupational Health and Safety Act September 2017 © The Commission for Conciliation Mediation & Arbitration
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INTERNATIONAL LABOUR ORGANISATION CONVENTIONS
South African labour law gives effect to International Labour Organisation (ILO) policy and conventions A total of 27 Conventions ratified by South Africa : Fundamental Conventions: 8 Governance Conventions (Priority): 2 Technical Conventions: 17 © The Commission for Conciliation Mediation & Arbitration September 2017
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INTEGRATED DISPUTE RESOLUTION SYSTEM
© The Commission for Conciliation Mediation & Arbitration September 2017
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INTEGRATED APPROACH TO ASSESSING DISPUTE RESOLUTION INSTITUTIONS
BCEA LRA UIF OHS EEA The Courts Operational Challenges Hamper Social Justice Statutory Dispute Resolution Institutions © The Commission for Conciliation Mediation & Arbitration September 2017
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DISPUTE RESOLUTION INSTITUTIONS
The Courts Constitutional Court Labour Appeal Court Labour Court Equality Court CCMA Bargaining Councils (35) Public Sector Private Sector Statutory Councils Private Agencies (4) Compensation Commission Occupational Health and Safety Inspectorates Employment Law Dispute Resolution System Not an Exhaustive List… © The Commission for Conciliation Mediation & Arbitration September 2017
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EXAMPLES OF TIME TAKEN TO ATTAIN SOCIAL JUSTICE
Case / Judgment Time Taken Sidumo and another v Rustenburg Platinum Mines Ltd and Others (2007) 12 BLLR 1097 (CC) 7 years Sizwe Myathaza v Johannesburg Metro bus (CC) 6 years NUMSA & others v Bader Bop (Pty) Ltd & another [2003] 2 BLLR 103 (CC) 3 years © The Commission for Conciliation Mediation & Arbitration September 2017
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CRITICAL QUESTIONS ARISING FROM DISPUTE PATH
Case law is a product of the dispute path Unintended consequence of becoming too legally driven and complicated Justice delayed is justice denied: Reinstatement and back pay awarded with interest. What about damages? (The case never ends) © The Commission for Conciliation Mediation & Arbitration September 2017
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ASSESSMENT OF INSTITUTIONS
© The Commission for Conciliation Mediation & Arbitration September 2017
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COMMISSION FOR CONCILIATION MEDIATION AND ARBITRATION
Purpose: Conciliate, Mediate, Arbitrate Accredit Bargaining Councils and Private Agencies Impact: 72% of Labour Market Represented by CCMA’s Activities 2,8 million referrals since inception 68% Disputes Settled at Conciliation for 2016/2017 52% Job Saving in Section 189A Interventions 2016/2017 Successful Dispute Management and Prevention Initiatives Challenges: Case Load increased from 64,600 in 1996 to 188,450 in 2016/2017 Ever-increasing Case Load due to Labour Market Factors This situation could lead to challenges in future © The Commission for Conciliation Mediation & Arbitration September 2017
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SUMMARY OF CCMA RESULTS 1 APRIL 2016 – 31 MARCH 2017
is the registered caseload for the 2016/2017 financial year (compared to the of the 2015/16 financial year) 2 500 outreach activities were conducted (awareness raising activities, capacity building activities and social justice blockages activities) 24 days was the average to deal with conciliation cases as compared to the legislated target of 30 days people were capacitated to better understand the law and their rights through the outreach activities conducted 52% of jobs ( out of jobs at stake) were saved compared to employees facing retrenchments (cases referred to the CCMA) (Section 189A) 60 days is the average time taken to deal with arbitration cases (performance target of 60 days) 4 Thought Leadership Conversations were convened: 1. “South Africa faces retrenchment crisis” 2. “Equity in the workplace” 3. “Equal Pay for Work of Equal Value” 4. “The Proposed National Minimum Wage” 143 public interest matters were settled (Section 150) 68% cases were settled through conciliation 530 complaints were received; all complaints were investigated and responded to © The Commission for Conciliation Mediation & Arbitration September 2017
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ESSENTIAL SERVICES COMMITTEE
Impact: Since inception 71 referrals and 8 self-initiated investigations Since inception 34 investigations completed More than 100 services designated as essential services Challenges: Implementation of the Minimum Services Agreements Volume of disputes could become practically problematic Absence of consequence for non compliance © The Commission for Conciliation Mediation & Arbitration September 2017
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BARGAINING COUNCILS Challenges: Sustainability (eg. MEIBC)
PFMA regulations and consequent revenue challenges Reduced from 101 bargaining councils in 2001 to 35 in 2017 © The Commission for Conciliation Mediation & Arbitration September 2017
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BARGAINING COUNCILS REFERRAL PROCESSING 2012-2017
NB: Only includes the 18 Bargaining Councils which use the CCMA case management system 161,817 referrals over a five year period 15.6% of the above referrals were settled at conciliation 63.9% of the above referrals were arbitrated 0.9% of the above referrals were taken on review Of the arbitration awards taken on review, 22% set aside, 76% pending appeal at Labour Appeal Court © The Commission for Conciliation Mediation & Arbitration September 2017
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DEPARTMENT OF LABOUR INSPECTORATES
Impact: Whole of the labour market represented by the various forms of inspectorates Only opportunity for statutory relief Challenges: Capacity of inspectors Enforcements of compliance orders Capacity to deal with volumes of cases Time taken to process relief is of great concern © The Commission for Conciliation Mediation & Arbitration September 2017
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DISPUTE RESOLUTION CHALLENGES
© The Commission for Conciliation Mediation & Arbitration September 2017
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DISPUTE RESOLUTION CHALLENGES
An overly legal approach to dispute resolution has led to lengthy delays in obtaining justice Sustainability of Bargaining Councils, reducing in number Case load ever increasing in dispute resolution institutions Lack of an integrated, common case management system Time it takes to conclude cases © The Commission for Conciliation Mediation & Arbitration September 2017
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DISPUTE RESOLUTION CHALLENGES
Disintegrated, unsynchronised approach to Dispute Resolution Lack of collaboration due to the disintegrated approach Transforming the labour market by transforming workplaces is a process, not an event Proper diagnosis in an integrated way is required Employment law review required © The Commission for Conciliation Mediation & Arbitration September 2017
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MOVING TOWARDS DISPUTE PREVENTION
© The Commission for Conciliation Mediation & Arbitration September 2017
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STRATEGIC SHIFT TO DISPUTE PREVENTION
How can dispute resolution institutions transform into dispute prevention institutions? Dispute Resolution (Reactive) Dispute Prevention (Proactive Stance) © The Commission for Conciliation Mediation & Arbitration September 2017
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INTERNATIONAL APPROACH TO DISPUTE PREVENTION
The International Labour Organisation encourages dispute prevention Requires a commitment to problem solving Focus on addressing workplace issues that have the potential to escalate into major conflict © The Commission for Conciliation Mediation & Arbitration September 2017
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EXAMPLES OF CCMA INITIATIVES TOWARDS DISPUTE PREVENTION
Capacity building interventions Prevention interventions include joint training, improved processes of dialogue, consultation, and commitment to improved workplace relation Facilitated 14 Managing Conflict in the Workplace (MCW) and 8 Building Workplace Relations (BWR) interventions during 2016/2017 Piloted a workplace mediation model in the Western Cape Fruit Sector © The Commission for Conciliation Mediation & Arbitration September 2017
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CONCLUSION © The Commission for Conciliation Mediation & Arbitration
September 2017
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CONCLUSION Dispute prevention requires buy-in and collaboration
The dispute resolution institutions are efficient The current dispute resolution system’s resources are stretched The present reactive system with its capacity limitations cannot deal with underlying causes of conflict in the workplace In line with the dispute prevention policies of the International Labour Organisation, dispute prevention measures must be pursued Calls for joint labour market intelligence to transform workplace relations (eg. Early detection system) The duty of care by panelists Dispute prevention requires buy-in and collaboration © The Commission for Conciliation Mediation & Arbitration September 2017
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Thank You © The Commission for Conciliation Mediation & Arbitration
September 2017 August 2017
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