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Employers who flout EE must feel the pain - Mdladlana

Labour minister says on the spot fines should be introduced (with graphs)

Equity transgressors provoke Labour Minister

29 Jul 2010

Tougher penalties and more stringent measures lie ahead for recalcitrant employment equity employers, Labour Minister, Membathisi Mdladlana told a media briefing in Pretoria today (Thur).

He was speaking at the launch of the 10th Commission for Employment Equity (CEE) report (see here).

Clearly impatient, the Minister said he was getting tired of "endless excuses'' that try to justify as to why the law was not being implemented as fast as required.

"We want to shorten the process around fining those who do not comply by being able to fine them on the spot. As to the size of the fines, there is talk around looking at a percentage of turnover in order to make those large employers to feel the pain,'' he said.

The Minister said he has tabled the amendment in Cabinet after which the Bills would be put for public comment. These will then be followed by the Nedlac process.

The report showed that very little progress had been made in terms of transforming the workplace, with white males still dominating senior and top management structures particularly in the private sector (see graphs below).

Mpho Nkeli, chairperson of the CEE, said apart from the general need to increase the black group, figures showed that "there is a drastic requirement to raise the representation of females, especially African and Coloured in the private sector.

She said the public sector on the other hand, was more representative in terms of race and gender than the private sector.

In her foreword to the report, Nkeli said: "The recommended changes to the Employment Equity Act will drive better compliance and introduce severe consequences for companies that flout the law.''

The Minister also expressed his disappointment at the failure by many institutions - both private and public - to appoint people with disabilities.

Statement issued by Mzobanzi Jikazana, Department of Labour, July 29 2010

Source: 10th CEE Annual Report, Department of Labour, July 29 2010

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