Labour Relations in

South Africa

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Study Unit 3
Leereenheid 3

E. Keyser
 CHAPTER 3:

THE HISTORICAL DEVELOPMENT OF SOUTH AFRICAN

LABOUR RELATIONS
Learning objectives

Know about and understand the origins and

development of the dual system of South African
labour relations and the progression to the unified
system as we know it today.
List, define and explain the three main types of
social engineering that affected labour relations in
South Africa from a historical viewpoint.
List and explain key pieces of legislation that shaped
labour relations in South Africa along racial lines.
Comprehend the relationship between exerting state
and managerial control over workers and worker
protest.
Learning objectives

Understand the progression towards the deracialisation of

labour relations, with particular reference to the build-up to
the 1970 uprisings, the Wiehahn Commission of Inquiry into
Labour Legislation, and the National Party government’s
response to the Wiehahn Commission.
Understand the role of the Mbeki and Zuma governments in
influencing contemporary South African labour relations.
Debate the relative merits of the New Development Plan,
with special emphasis on job creation and ‘decent work’.
https://www.youtube.com/watch?v=jwTP-pmOzBU
3.1 Introduction

Social engineering:
Colonialism
Apartheid
Democratisation

Twin themes: protest & control

Racially divided labour force.

3.2 Social engineering begins: Colonialism (1652
-1947)

• Colonisation: the Dutch, the British & slavery

(1652 – 1886)
1652: colonialism begins
End of colonialism? Contested
Slavery
Master-slave relationship
Slaves emancipated (1834)
Master and Servant Act (1856)
Agrarian economy.
• Gold, diamonds and reluctant black proletarians (1886
– 1920)
Discovery of gold and diamonds

Skilled labour vs unskilled labour (mines)

Both in short supply

Labour unrest

Industrial Disputes Prevention Act of 1909

Mines and Works Act of 1911.

• English mining capital and race politics: Rand
Rebellion (1922)
Unskilled & semi-skilled white labour left unprotected by 1911 Act

1921 – crash in gold price

Withdrawal of 1918 status quo agreement

January 1922 – Rand Rebellion

Martial law.
• An Afrikaner welfare state and the Colour Bar (1924)

Pact government (1924)

Industrial Conciliation Act of 1924

Formal conciliation mechanism

Registration of white unions

Black workers excluded from definition of ‘employee’ by the Act.

• Black protest: Unions, women, war and the
1946 strike (1930 – 1948)
Industrial and Commercial Worker’s Union (ICU)
Clements Kadalie
Growth in manufacturing industry
Mixed unions
Black female urbanisation
Second World War
Black men as replacement labour
Black Mine Workers Strike (1946).
3.3 Extreme Social Engineering: Apartheid (1948
-1994)

• Institutionalisation of Apartheid (1948-

1960)
Native (Urban Areas) Consolidation Act
Native Laws Amendment Act
Suppression of Communism Act
Botha Commission (1953)
Resulted in more, not less segregationist laws
Bantu Labour Act (1953)
Freedom Charter (1956) – Kliptown
SACTU strikes: 1957 & 1958.
• High Apartheid (1960-1970)

Sharpeville (1960)

Banning of ANC and the PAC

TUCSA – black unions as affiliates (1962)

Drop in union membership due to coercive state action

See Pause for Reflection (Helen Suzeman).

• The decline of Apartheid (1970-
1990)
Resurgence of protest

Durban strike (1973)

Soweto Uprisings (1976)

Massive international disinvestment

Turbulence.
• The decline of Apartheid (1970-1990)

The Wiehahn Commission

Key turning point in SA labour relations
Proposed:
 Include black workers within definition of employee

 Industrial court (replace industrial tribunal)

 National Manpower Commission

 Limitations

 Industrial Conciliation Amendment Act (1979).

• The decline of Apartheid (1970-1990)
1979 Amendment Act did little to change the status quo

1981 amendments critical

The period following the 1981 amendments

COSATU (1985)

Labour Relations Amendment Act (1988).

 3.4 Social re-engineering via democratisation:
Transition and consolidation (1990 – 2014)
• Transition towards democracy (1990-1994)

Political prisoners released

CODESA

Interim Constitution Act of 1993

Entrenchment of labour rights a major advance.

• Towards a new labour dispensation

Insert Table 3.1

• Towards a new labour dispensation (cont.)
• Towards a new labour dispensation
(cont.)
• Early transition and attempted consolidation in the
Mbeki years (1996-2007)
RDP (1994)
GEAR (1996)
Globalisation
Inflexibility of the labour law
Skills imbalances
Employment equity
Neoliberal policy
Tensions in the ANC-COSATU-SACP alliance.
Early transition and attempted consolidation in the Mbeki
years (1996-2007) (cont.)

AsgiSA (2006)
Accelerated, Shared Growth Initiative for South Africa

Main objectives:

Halving of unemployment
Building on fairly steady growth levels (4-5%).
Early transition and attempted consolidation in the
Mbeki years (1996-2007) (cont.)

Six binding constraints

Volatility & level of the currency
Cost, efficiency, capacity of the national logistics system
Shortage of suitably skilled labour (amplified by the cost effects on labour
of Apartheid spatial patterns)
Barriers to entry, limits to competition, limited new investment
opportunities
Regulatory environment & burden on SMMEs
Deficiencies in state organisation, capacity and leadership.
• The first Zuma administration: A period of crises or a
vision for inclusive growth? (2009-2014)

Polokwane ANC party conference (2007)

2009 National Election

Jacob Zuma elected President

Pause for reflection: ‘Polokwane Spring’ gives the left a lift.

The first Zuma administration: A period of crises or a
vision for inclusive growth? (2009-2014) (cont.)

New Growth Path (NGP) (2010)

Aim: Create 5 million jobs by 2020
Five job drivers:
Infrastructure
Main economic sectors
The new/ green economy
Social capital and public services
Spatial development
Similarities and differences between NGP and AsgiSA?
Wage moderation?
The first Zuma administration: A period of crises
or a vision for inclusive growth? (2009-2014)
(cont.)

National Development Plan (NDP)

(2012)

Class discussion: Labour news

The NDP debate: Coleman
versus Mathe.
The first Zuma administration: A period of crises
or a vision for inclusive growth? (2009-2014)
(cont.)
Crises faced by the Zuma administration:
Marikana (2012)
Protection of State Information Bill (2013)
Unemployment crisis (ongoing)
‘Boo-ing’ crisis (2013)
E-tolls (2014)
Nkandla report (2014)

ANC won general election in May 2014

Zuma signed Labour Relations Amendment Act (August 2014).
Summary
Summary (cont.)
 Summary

Summary: Chapter 3 – Figure 3.1

• Social engineering through colonialism (1652 - 1947)

•Racialised
Theme 1
Macro-level poli cal
context economy

• Extreme social engineering through Apartheid

•Job reserva on
Meso-level (1948-1994)
context
at company
level / collec ve Theme 2
ac on (unions)

•Conflict and
Micro-level control over • Social re-engineering through democra sa on:
context individuals transi on and consolida on (1994-2014)
(agents) Theme 3

Links to preceding chapter

• Themes 1-3 relate to theories and perspec ves Links to subsequent chapters
• i.e. How do we understand labour rela ons
• Theme 1: Chapter 15 (links between past and present)
in the past?
• Theme 2: Chapter 7 (dismantling Apartheid laws)
• Theme 3: Chapter 6-15 (context for these issues)