The impact of labour laws on small firms : a study of employer perceptions of the Labour Relations Act (66 of 1995) and the Basic Conditions of Employment Act (75 of 1997) in Grahamstown, Port Alfred and Port Elizabeth
- Authors: Mfecane, Asanda
- Date: 2014 , 2014-07-10
- Subjects: Industrial relations -- South Africa -- Eastern Cape , Labor laws and legislation -- South Africa -- Eastern Cape , Industrial laws and legislation -- South Africa -- Eastern Cape , Small business -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MSocSc
- Identifier: vital:3371 , http://hdl.handle.net/10962/d1012953
- Description: This study sought to explore and explain the impact of labour laws on small firms, focusing on employer perceptions of the Labour Relations Act of 1995 and the Basic Conditions of Employment Act of 1997 in three towns of the Eastern Cape. It is important to focus on this impact of labour laws on these firms because of the high unemployment that faces the country. In this regard, it must be emphasised, firstly, that small firms are central to job creation; therefore, they contribute to a reduction in the unemployment rate; hence, the strategies created by the government to reduce any burdens (including regulatory burdens) on small firms. It is therefore important to study the impact of labour law on small businesses in order to assess the regulatory burden on small firms. The theoretical framework which underpins this study on the impact of labour law on small firms arises from the neo-corporatist critique of neo-liberalism. The two frameworks maintain the extent to which the government should intervene in the industrial relations system. Liberalism maintains that there should be a minimum role of the government, which involves only the facilitation of a framework for negotiations between employers and employees. Corporatism, however, maintains a social democratic approach, and holds that there should be an active role of the government in the industrial relations system with business, labour and the state working co-operatively (Klerck, 2009). This theoretical framework therefore shapes the extent to which employers perceive labour laws or state’s regulatory role impacts small businesses. The data was collected through the qualitative inquiry; using face-to-face, semi-structured interviews. The findings in this study included negative employer perceptions of labour laws. More specifically, many of the employers that were interviewed claimed that labour laws were burdensome on their businesses. They claimed that labour laws imposed financial and administrative costs to their firms, negatively affected the employer-employee relationships in these firms as well as the employing decisions of the employers. As a result, the employers saw labour laws as undermining flexibility and imposing unfair rigidities on small firms. Furthermore, employers perceived South African labour laws as not addressing the unique iii circumstances of small firms. They maintained that labour laws treated small firms similarly to large firms. Even though the employers held these perceptions of labour laws, it was evident that these subjective perceptions did not reflect the objective impact of labour laws on small firms. This was firstly related to the fact that many of the employers that were interviewed had negative views of labour laws but these views were not substantiated by particular events in their firms. Secondly, it was revealed that the employers’ perceptions of labour laws were based on their misconception or misunderstanding of labour law. Thirdly, it was revealed in this thesis that small firms were not affected in the same way to big firms by labour regulation. This was related to the fact that many of the small firms’ employers that were interviewed tended to be less concerned by regulation. Specifically, although many employers that were interviewed claimed that labour laws were burdensome on their firms it was evident that regulation was avoided because of the informality that characterised these firms. Consequently informality mediated the impact of labour laws on these firms, and labour laws imposed less ‘costs’ on these firms. However, it cannot be argued that small firms are isolated from the sphere of labour laws. Rather, although these firms were governed by regulation it was found that the extent to which employers complied with regulation depended on the extent to which organisational practice already reflected similarity with the legislative objective. , Acrobat PDFMaker 10.1 for Word , Adobe PDF Library 10.0
- Full Text:
- Date Issued: 2014
- Authors: Mfecane, Asanda
- Date: 2014 , 2014-07-10
- Subjects: Industrial relations -- South Africa -- Eastern Cape , Labor laws and legislation -- South Africa -- Eastern Cape , Industrial laws and legislation -- South Africa -- Eastern Cape , Small business -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MSocSc
- Identifier: vital:3371 , http://hdl.handle.net/10962/d1012953
- Description: This study sought to explore and explain the impact of labour laws on small firms, focusing on employer perceptions of the Labour Relations Act of 1995 and the Basic Conditions of Employment Act of 1997 in three towns of the Eastern Cape. It is important to focus on this impact of labour laws on these firms because of the high unemployment that faces the country. In this regard, it must be emphasised, firstly, that small firms are central to job creation; therefore, they contribute to a reduction in the unemployment rate; hence, the strategies created by the government to reduce any burdens (including regulatory burdens) on small firms. It is therefore important to study the impact of labour law on small businesses in order to assess the regulatory burden on small firms. The theoretical framework which underpins this study on the impact of labour law on small firms arises from the neo-corporatist critique of neo-liberalism. The two frameworks maintain the extent to which the government should intervene in the industrial relations system. Liberalism maintains that there should be a minimum role of the government, which involves only the facilitation of a framework for negotiations between employers and employees. Corporatism, however, maintains a social democratic approach, and holds that there should be an active role of the government in the industrial relations system with business, labour and the state working co-operatively (Klerck, 2009). This theoretical framework therefore shapes the extent to which employers perceive labour laws or state’s regulatory role impacts small businesses. The data was collected through the qualitative inquiry; using face-to-face, semi-structured interviews. The findings in this study included negative employer perceptions of labour laws. More specifically, many of the employers that were interviewed claimed that labour laws were burdensome on their businesses. They claimed that labour laws imposed financial and administrative costs to their firms, negatively affected the employer-employee relationships in these firms as well as the employing decisions of the employers. As a result, the employers saw labour laws as undermining flexibility and imposing unfair rigidities on small firms. Furthermore, employers perceived South African labour laws as not addressing the unique iii circumstances of small firms. They maintained that labour laws treated small firms similarly to large firms. Even though the employers held these perceptions of labour laws, it was evident that these subjective perceptions did not reflect the objective impact of labour laws on small firms. This was firstly related to the fact that many of the employers that were interviewed had negative views of labour laws but these views were not substantiated by particular events in their firms. Secondly, it was revealed that the employers’ perceptions of labour laws were based on their misconception or misunderstanding of labour law. Thirdly, it was revealed in this thesis that small firms were not affected in the same way to big firms by labour regulation. This was related to the fact that many of the small firms’ employers that were interviewed tended to be less concerned by regulation. Specifically, although many employers that were interviewed claimed that labour laws were burdensome on their firms it was evident that regulation was avoided because of the informality that characterised these firms. Consequently informality mediated the impact of labour laws on these firms, and labour laws imposed less ‘costs’ on these firms. However, it cannot be argued that small firms are isolated from the sphere of labour laws. Rather, although these firms were governed by regulation it was found that the extent to which employers complied with regulation depended on the extent to which organisational practice already reflected similarity with the legislative objective. , Acrobat PDFMaker 10.1 for Word , Adobe PDF Library 10.0
- Full Text:
- Date Issued: 2014
Public sector industrial relations in the context of alliance politics: the case of Makana Local Municipality, South Africa (1994-2006)
- Authors: Makwembere, Sandra
- Date: 2007
- Subjects: Makana Municipality , South African Municipal Workers Union , African National Congress , Cosatu , South African Communist Party , Local government -- South Africa -- Eastern Cape , Industrial relations -- South Africa -- Eastern Cape , Labor unions -- South Africa , South Africa -- Politics and government -- 1994-
- Language: English
- Type: Thesis , Masters , MSocSc
- Identifier: vital:3301 , http://hdl.handle.net/10962/d1003089 , Makana Municipality , South African Municipal Workers Union , African National Congress , Cosatu , South African Communist Party , Local government -- South Africa -- Eastern Cape , Industrial relations -- South Africa -- Eastern Cape , Labor unions -- South Africa , South Africa -- Politics and government -- 1994-
- Description: This thesis is in the field of Industrial Relations. It concerns a micro-level investigation of the dynamics of public sector industrial relations in post-apartheid South Africa. It focuses on the Tripartite Alliance between the African National Congress (ANC), the South African Communist Party (SACP) and the Congress of South African Trade Unions (COSATU) and explores what the Alliance relationship has meant for the traditional roles of employees and their representatives on the one hand, and employers and their representatives on the other. The thesis examines the political, organisational and societal contradictions and implications for COSATU public sector union affiliates and their members in their relationship to the ANC as an ally (via the Alliance) and the context in which ANC members form part of management (in government). The South African Municipal Workers’ Union (SAMWU) was used as an archetype of a COSATU public sector union affiliate that engages with the State as employer at the municipal level. It is a case study of Makana Local Municipality (Eastern Cape Province, South Africa) using qualitative research techniques and content analysis to derive the relevant information. The author conducted a series of in-depth interviews of key informants and observations at Makana Local Municipality were done. Based on the empirical data obtained from the investigation, the thesis argues that the traditional roles in the employment relationship at the workplace have been affected by the political alliance. Industrial relations roles have become increasingly vague especially since many within local government share ANC/SACP memberships with members of the trade union. The study also highlights that within an increasingly globalising post-apartheid environment, the Alliance provides mixture of benefits and challenges for workplace negotiations and employment relations in ways that macro-level analyses of employer-employee relationships do not always capture.
- Full Text:
- Date Issued: 2007
- Authors: Makwembere, Sandra
- Date: 2007
- Subjects: Makana Municipality , South African Municipal Workers Union , African National Congress , Cosatu , South African Communist Party , Local government -- South Africa -- Eastern Cape , Industrial relations -- South Africa -- Eastern Cape , Labor unions -- South Africa , South Africa -- Politics and government -- 1994-
- Language: English
- Type: Thesis , Masters , MSocSc
- Identifier: vital:3301 , http://hdl.handle.net/10962/d1003089 , Makana Municipality , South African Municipal Workers Union , African National Congress , Cosatu , South African Communist Party , Local government -- South Africa -- Eastern Cape , Industrial relations -- South Africa -- Eastern Cape , Labor unions -- South Africa , South Africa -- Politics and government -- 1994-
- Description: This thesis is in the field of Industrial Relations. It concerns a micro-level investigation of the dynamics of public sector industrial relations in post-apartheid South Africa. It focuses on the Tripartite Alliance between the African National Congress (ANC), the South African Communist Party (SACP) and the Congress of South African Trade Unions (COSATU) and explores what the Alliance relationship has meant for the traditional roles of employees and their representatives on the one hand, and employers and their representatives on the other. The thesis examines the political, organisational and societal contradictions and implications for COSATU public sector union affiliates and their members in their relationship to the ANC as an ally (via the Alliance) and the context in which ANC members form part of management (in government). The South African Municipal Workers’ Union (SAMWU) was used as an archetype of a COSATU public sector union affiliate that engages with the State as employer at the municipal level. It is a case study of Makana Local Municipality (Eastern Cape Province, South Africa) using qualitative research techniques and content analysis to derive the relevant information. The author conducted a series of in-depth interviews of key informants and observations at Makana Local Municipality were done. Based on the empirical data obtained from the investigation, the thesis argues that the traditional roles in the employment relationship at the workplace have been affected by the political alliance. Industrial relations roles have become increasingly vague especially since many within local government share ANC/SACP memberships with members of the trade union. The study also highlights that within an increasingly globalising post-apartheid environment, the Alliance provides mixture of benefits and challenges for workplace negotiations and employment relations in ways that macro-level analyses of employer-employee relationships do not always capture.
- Full Text:
- Date Issued: 2007
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