XHANTI PAYI: Labour unions fit for the moment?
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The nature and structure of our economy have changed fundamentally as a result of the Covid-19 pandemic. As we try to reimagine this — and especially the future of work — we have to consider a key stakeholder: the labour sector. In particular, we have to ask whether unions have the presence of mind, and the capacity, to represent the interests of workers at this time and into the future.
I recently facilitated a webinar discussing the impact of Covid-19 on the future of work. We’re all aware of the disruption caused by the pandemic and the subsequent lockdown. It has changed the way we work — including displacing jobs in the formal and informal sectors. But it has also highlighted key problems in the way our economies and production structures are aligned.
During the webinar, I asked former National Union of Mineworkers general secretary Frans Baleni what the labour movement could have done to prepare for this moment to shield workers from the devastation, and what lessons we need to take forward. Baleni insisted, and I agree, that unions need to learn to adapt. He argued that the rules of engagement need to evolve so that unions can start factoring in how possible changes might affect the workplace, while also looking for sustainable long-term solutions to wage agreements.
The Covid disruption has presented new opportunities for engagement. In an article published in February, the World Economic Forum notes that the "Covid-19 outbreak is disrupting manufacturing and global value chains, with consequences for businesses, consumers and the global economy".
The article further asserts that "global value chains, which are essential engines of economic development and GDP growth, have traditionally been designed to optimise for cost competitiveness. The coronavirus underlines the need to focus on risk competitiveness as well."
This is an important realisation, with implications for jobs. What it means for SA’s workforce depends entirely on the stance of workers, and how effectively their voices will be heard.
Clearly, production needs to be restructured, and that may mean returning a fair amount of productive activity to within the borders of the country.
However, while we know that the cost of labour is an important consideration, one wonders whether labour representatives always consider this issue well.
According to the most recent Stats SA "Living Conditions Survey", the three major costs weighing on South Africans’ budgets are housing and utilities (32.6%), transport ...
I recently facilitated a webinar discussing the impact of Covid-19 on the future of work. We’re all aware of the disruption caused by the pandemic and the subsequent lockdown. It has changed the way we work — including displacing jobs in the formal and informal sectors. But it has also highlighted key problems in the way our economies and production structures are aligned.
During the webinar, I asked former National Union of Mineworkers general secretary Frans Baleni what the labour movement could have done to prepare for this moment to shield workers from the devastation, and what lessons we need to take forward. Baleni insisted, and I agree, that unions need to learn to adapt. He argued that the rules of engagement need to evolve so that unions can start factoring in how possible changes might affect the workplace, while also looking for sustainable long-term solutions to wage agreements.
The Covid disruption has presented new opportunities for engagement. In an article published in February, the World Economic Forum notes that the "Covid-19 outbreak is disrupting manufacturing and global value chains, with consequences for businesses, consumers and the global economy".
The article further asserts that "global value chains, which are essential engines of economic development and GDP growth, have traditionally been designed to optimise for cost competitiveness. The coronavirus underlines the need to focus on risk competitiveness as well."
This is an important realisation, with implications for jobs. What it means for SA’s workforce depends entirely on the stance of workers, and how effectively their voices will be heard.
Clearly, production needs to be restructured, and that may mean returning a fair amount of productive activity to within the borders of the country.
However, while we know that the cost of labour is an important consideration, one wonders whether labour representatives always consider this issue well.
According to the most recent Stats SA "Living Conditions Survey", the three major costs weighing on South Africans’ budgets are housing and utilities (32.6%), transport ...