DATE: 14 OCTOBER 2019
FOR IMMEDIATE RELEASE
ATTENTION: NEWS DESKS AND EDITORS
SUBJECT: DESPITE THE RISING CASELOAD, CCMA EXCEEDED JOB-SAVING TARGETS
“CCMA saw an increase in caseload in the 2018/19 financial year, largely due to unfair dismissals and the new legislations which have expanded the CCMA’s Jurisdiction – the National Minimum Wage Act and Basic Conditions of Employment Act Amendment”, CCMA Director, Cameron Sello Morajane said during a press briefing.
CCMA Director, Cameron Sello Morajane was presenting the CCMA 2018/19 Annual Report earlier today at the CCMA National Office, in Johannesburg.
The 2018/19 Annual Report, was tabled before Parliament along with the report from Auditor-General, by Minister of Employment and Labour, Mr Thulas Nxesi.
During the 2018/19 financial year, the CCMA received a total of 193 732 cases, compared to the 186 902 referrals of the preceding financial year, making it the largest labour dispute resolution agency in the world by volume of referrals.
Of the total cases, approximately 71% were related to unfair dismissals followed by 11% on unfair labour practices.
The highest referring sector in the reporting period was Business Professional Service at 27%, followed by the security sector at 12% and the retail sector at 11% of total cases dealt with.
As at 31 March 2019, the CCMA had received a total of 4 287 BCEA and NMWA referrals, three (3) post-enactment. This constitutes eight percent (8%) of the total referrals received during this three (3) months period.
He added that the CCMA caseload is projected to increase by 25% in the current 2019/20 financial year, in part as more beneficiaries become aware of the new legislations of NMWA and BCEA.
Employment Security and Job-Saving Interventions
The committed efforts of CCMA facilitators in large-scale retrenchment processes ensured that the CCMA exceeded its job-saving target that resulted in 41% jobs saved (15 787), of those employees likely to be retrenched (38 588).
The highest number of employees facing retrenchment were recorded in the Building and Construction (3584), Mining (3260) and Metal (1741) sectors.
The spate of large-scale retrenchment (s189A) referrals continued with 529 recorded in the 2018/19 compared to 488 referred during 2017/18 financial year, representing an increase of 8.4%.
The CCMA’s success rate in mitigating job losses was largely due to the innovative efforts of facilitators and parties in processes to seek meaningful alternatives to avoid job losses.
The CCMA achieved a 95% performance rate as 18 of 19 set annual performance targets were met in line with its legislated mandate to deliver expeditious dispute prevention and resolution.
Despite the rising caseload, Director Morajane emphasised that the CCMA continued to meet its statutory obligations as 88% of reconcilable cases were heard within the statutory timeframe of 30 days, with the CCMA taking, on average, 24 days to complete the conciliation process and 68 days to deal with arbitration cases.
In addition, the CCMA achieved 99% compliance as obliged by Labour Relations Statutory timeframe to send arbitration awards to parties within 14 days after the conclusion of the awards.
Director Morajane attributed the performance to CCMA’s continued effort and commitment to provide effective disputes resolution and maintain peace in the labour market. He added that ensuring 100% compliance with statutory obligations remains a priority for the CCMA.
Collective Bargaining and Mutual Interest Disputes
The CCMA dealt with 5 160 section 134 of the LRA (Mutual Interest Disputes) during the reporting period, representing a 10% increase compared to the previous financial year.
“These figures suggest a high level of labour market trust and reliance on the CCMA to facilitate Collective Bargaining Disputes”, Morajane said.
Of 187 Public Interest Matters arising from Section 150 of the LRA (Public Interest Matters), the CCMA settled 160 resulting in 87% success rate in resolving such matters.
He added that through the CCMA Dispute Management and Prevention Outreach services, about 70 000 people were capacitated to better understand the law and their rights.
He attributed the success on the CCMA’s continuous proactive monitoring, support and guidance provided to the labour market in respect of Collective Bargaining matters.
The CCMA’s mandate was further expanded by the launch of the two (2) Presidential Projects emanating from the Presidential Jobs Summit Framework.
The projects are spearheaded by the CCMA in collaboration with other key role players. The projects are CCMA/BUSA Labour Advice Webtool for Small Businesses and Training Lay-Off Scheme (TLS), now known as the Temporary Employee/Employer Relief Scheme (TERS), aimed at saving jobs.
On the TERS, the newly constituted Single Adjudication Committee is comprised of the CCMA, Economic Development Department (EDD), Productivity SA and Unemployment Insurance Fund (UIF).
The Expedited application processes for considering TERS applications and payment of the allowances are effected within a period of twenty-six (26) days.
A total of 32 Temporary Employee/Employer Relief Scheme (TERS) applications were received for the financial year, representing a 23% increase when compared to the twenty-six (26) TLS applications received for the same period last year.
The total funding allocated for the recommended applications since the reconstituted single adjudication committee was R24 961 743.17 as at 31 March 2019.
It is anticipated that the uptake will increase, as efforts are underway to re-publicise the scheme.
The CCMA entered into mutually beneficial strategic partnerships with Stakeholders in the labour market to collaborate towards the advancement of South Africa’s developmental agenda.
One strategic partner is the Sheriffs’ Board, where a total of 3 905 persons were assisted in the execution of awards.
On capacity building and to have World-Class Commissioners in the employ of CCMA, the Commission maintains its relations with the seven (7) Public Universities on the continued development and delivery of the Labour Dispute Resolution Practice (“LDRP”) qualification.
“CCMA’s statutory and discretionary functions, the implementation of the NMWA and ELA, as well as the execution of the two (2) Presidential Projects, are the CCMA’s direct contribution to the attainment of the objectives of the National Development Plan (NDP2030)”, said Morajane.
Issued by: Amos Tshabalala – Communications Officer, CCMA. Tel: 011 377 6662; Cell: 071 108 9385; Email: AmosT@ccma.org.za