Exploring factors that prevent non-compliance with Basic Conditions of Employment Act; Sectoral Determination 9 : the case of Sunflower retail store, Western Cape

Abstract

Thesis (MPA)--Stellenbosch University, 2019.ENGLISH SUMMARY : The Constitution of the Republic of South Africa (1996) promotes the right to sound labour practices in the workplace. Part of this includes improved wages and working conditions. In line with the notion of a developmental state, the Sectoral Determination 9, which is derived from the Basic Conditions of Employment Act, No. 75 of 1997, was developed to set the minimum wage and standards and also acts as a guide to parties that are in the collective bargaining in the wholesale and retail sector. Promoting decent work in private businesses in order to eradicate unemployment, inequality and poverty is a critical objective of government’s Department of Labour. Non-compliance with the provisions of the Sectoral Determination 9 (SD9) undermines the spirit and letter of this determination. The aim of this study is to explore factors that prevent non-compliance with the provisions of the SD9. Sunflower store is used as a case study in this research, which uses the study to determine the level of compliance of this enterprise, to look at the structures that have been put in place to promote sound labour practice in this business and also to determine the support that government is providing to promote compliance and decent work in Sunflower as a business. The study commences with a discussion on the development state as an intervention strategy by government to reform socio-economic conditions in South Africa. Different models of a developmental state, parties in the implementation, alternative service delivery approaches to service delivery and the legal framework that promotes sound labour practice are discussed. This provides a basis for assessing the level of compliance in the case study identified in the study. Research findings establish that, as much as the enterprise appears to be compliant with the provisions of the SD9 on paper, in reality there are a number of areas that the company is not complying with and the reasons thereof are cited. As public policy implementation is a complex issue and a multifaceted process, partnerships between government, employees and private business at enterprise level are recommended. Government, through the Department of Labour, is expected to play a strategic role by providing relevant information pertaining to the policy and services it renders, conduct advocacy to both employers and employees to ensure that employers are aware of the legislation and their responsibilities while employees are educated of their rights. Additionally, the Department of Labour is expected to monitor compliance with the employment laws through regular inspections. However, government cannot carry out this responsibility alone, parties that are in the employment relationship are encouraged to join hands and assist the department at all levels to ensure that policies that are a product of a collective engagement at a macro-level are complied with. Employment laws also help employers and unions to self regulate, bargaining for better wages and improved conditions of employment. For this ideal to be realised, the research recommends that favourable conditions for promoting self-regulation should be created. Recommendations are also provided in terms of improving enforcement strategy, policy development and future research.AFRIKAANSE OPSOMMING : Die grondwet van die Republiek van Suid-Afrika (1996) bevorder die reg tot gesonde arbeidspraktyke in die werkplek en hierby word verbeterde besoldiging en werksomstandighede ingesluit. Met die idee van ‘n ontwikkelende staat in gedagte is die Sektorale Beslissing 9, afgelei van die basiese diensvoorwaardes Wet 75 van 1997, ontwikkel om die minimum loon vas te stel en wedersydse betrokkenheid tussen die vennote in die werksverhoudings binne die Groot- en Kleinhandelsektor te bevorder. Terwyl ordentlike werk in private besighede bevorder word om sodoende werkloosheid hok te slaan, bly die bestryding van ongelykheid en armoede die dringendste doelwit van die regering wat dit deur middel van die Departement van Arbeid moet bereik. As daar nie ag geslaan word op die Sektorale Beslissing 9 (SD9) nie, sal die gees en voorneme van die beslissing ondermyn word. Die doel van hierdie studie is om verskeie faktore te ontgin wat die nakoming van die voorwaardes van die SO9 in die wiele kan ry. Sunfllower Store word hier as gevallestudie gebruik om die vlak van nakoming in hierdie sakeonderneming te bepaal met verwysing tot strukture wat in plek gestel is ter bevordering van gesonde arbeidspraktyke asook om die regering se ondersteuningrol in die uitvoer van die beslissing en die skep van ordentlike werk in die besigheid te bepaal. Die studie begin met die bepreking van die ontwikkelingstaat as ‘n intervensie strategie deur die regering om sosio-ekonomiese toestande in Suid-Afrika te hervorm. Verskillende modelle van ‘n ontwikkellingstaat, deelnemers in die uitvoering daarvan, alternatiewe diensverskaffingsmetodes en die wetlike raamwerk wat gesonde arbeidspraktyke bevorder is bespreek. Hierdie faktore is later as maatstaf tot die vlak van nakoming in die gevallestudie gebruik. Navorsing het getoon dat hoewel dit op papier voorkom dat die besigheid die bepalings van die SO9 in ag neem en nakom, daar wel terreine is waar hulle ernstig te kort skiet en nie die bepalings nakom nie en die redes daarvoor word uiteengesit. Aangesien publieke beleid ‘n komplekse aangeleentheid is en vele fasette behels, word ‘n vennootskap tussen die regering, werknemers en privaat besighede aanbeveel. Die regering moet deur middel van die Dept van Arbeid ‘n strategiese rol speel ten opsigte van die verskaffing van inligting aangaande beleid en die diens wat hy kan lewer, aanbevelings kan maak, die vordering kan monitor deur inspeksies sodat alle partye as waghonde kan optree om te verseker dat die maatskappy aan die bepalings voldoen, en beter lone en werksomstandighede kan skep. Die navorsing het bevind dat hierdie doelwitte slegs bereik kan word indien ‘n gunstige omgewing vir selfbestuur geskep kan word. Aanbevelings is ook gemaak ten opsigte van die verbetering van toepassing-strategie, beleidsontwikkeling en toekomstige navorsing